A single complaint by a woman from Goa has led the Enforcement Directorate (ED) to uncover what investigators describe as a massive, multi-state cyber-fraud and money-laundering network linked to 330 victims across 20 states and Union Territories.
The case began after the woman was allegedly subjected to a so-called “digital arrest” for nearly two weeks in May 2025. Fraudsters posing as law-enforcement officials kept her on video calls and allegedly told her that she was under criminal investigation. They instructed her to transfer money into accounts described as “Secret Supervision Accounts.”
Between May 21 and June 2, 2025, she transferred approximately ₹2.60 crore.
She subsequently filed a complaint with the Cyber Crime Police Station in North Goa. What initially appeared to be an individual cyber-fraud case eventually opened the door to a much larger investigation.
A Network Spanning 20 States
According to the ED, the bank accounts involved in the Goa case were connected to 163 FIRs covering 330 victims across 20 states and Union Territories. The reported losses in those cases amount to approximately ₹417.49 crore.
Investigators found that stolen money was rapidly moved through hundreds of bank accounts. In some cases, a victim’s money was routed through several entities belonging to the same network.
The ED says more than 400 beneficiary accounts were used in the layering process. Money was allegedly moved through bank transfers, cash withdrawals, payment gateways and other channels in an attempt to make the transactions difficult to trace.
The ₹27,850-Crore Money Trail
The investigation became even more serious when investigators traced the money to a network involving commodity trading, travel and foreign-exchange businesses.
According to the ED, entities associated with the network collectively carried out banking transactions exceeding ₹27,850 crore.
Investigators also identified approximately ₹2,904 crore in cash deposits. Around ₹584.70 crore of that amount was deposited through Bulk Note Acceptance Machines in more than 61,000 transactions.
The agency believes the infrastructure was allegedly being used to convert proceeds from cyber fraud into cash and subsequently into foreign currency.
Arrests and Raids
The ED conducted searches at multiple locations in Mumbai and Goa. During the searches, officers seized approximately ₹3.25 crore in cash, while bank accounts containing more than ₹30 crore were frozen.
Digital devices, financial records, account books and other documents were also seized for forensic examination.
On August 23, 2026, the ED arrested Fahim Moin Hussain Sayed and Naim Mueen Sayyed under the Prevention of Money Laundering Act. They were produced before the Special Court in Goa and remanded to ED custody until August 29.
The investigation remains ongoing, and authorities have indicated that additional information and possibly further arrests could follow.
What Exactly Is a “Digital Arrest”?
The scam works by convincing victims that they are involved in a serious criminal case. Fraudsters impersonate police officers, ED officials, customs officers or other government authorities.
The victim is then pressured into staying on a video call and following instructions, often involving the transfer of large sums of money supposedly for “verification,” “security” or “supervision.”
The ED has once again made the warning clear:
No genuine Indian law-enforcement agency places a person under “digital arrest” or demands money through a video call for investigation or verification.
People receiving such calls should disconnect immediately and report the incident through the national cybercrime helpline 1930 or the government cybercrime reporting portal.
