Bail Denied Where Mule Account Facilitated Large-Scale Cyber Fraud Involving Voluminous Unexplained Transactions

The applicant, Kalvinder Singh, sought regular bail after being arrested on November 6, 2025, in connection with a cyber-economic fraud investigation.

Police received information that 22 "mule accounts" at the Bank of Karnataka were used to receive proceeds from cyber fraud.

One such account was registered in the applicant's name.

The applicant contended he was a driver with minimal education (8th standard) who was enticed by an unknown person to open the account for a promised sum of ₹5,000, which he never received, and that he was unaware of the fraudulent scheme.

A charge-sheet had already been filed.

However, the State opposed bail, citing a complaint regarding ₹50,000 against him and an affidavit from the Superintendent of Police detailing massive transactions in his account.

1. Whether the applicant is entitled to regular bail under Section 483 of the Bharatiya Nagarik Suraksha Sanhita, 2023, considering his claim of being a victim of enticement versus the scale of the financial transactions involving his bank account.

The court primarily applied Section 483 of the Bharatiya Nagarik Suraksha Sanhita, 2023 (BNSS), which governs the power of the High Court or Court of Session to grant bail.

The applicant was charged under Sections 317(2), 317(4), 318(4), 111, and 3(5) of the Bhartiya Nyay Sanhita, 2023 (BNS), which relate to organized crime, cheating, and dishonestly receiving stolen property.

The court's discretion was guided by the principle of assessing the gravity of the offense and the extent of the accused's involvement based on the evidentiary record.

The Court balanced the applicant’s plea of innocence and lack of criminal antecedents against the specific findings of the investigation.

While the applicant maintained he was a mere victim of greed for ₹5,000, the personal affidavit filed by the Investigating Officer revealed that between January 6, 2024, and the time of the investigation, a total of ₹52,81,736 was credited to the applicant’s bank account.

Furthermore, a total of ₹52,36,251 had been withdrawn or debited during this short span.

The Court determined that the sheer scale of the financial movement in a "mule account" used for cyber-economic fraud outweighed the applicant’s mitigating arguments regarding his education and profession.

The bail application of Kalvinder Singh was rejected.

The Court granted the trial court liberty to conclude the trial expeditiously and directed the office to provide a certified copy of the order to the concerned trial court for compliance.