The Central Bureau of Investigation (CBI) has registered an FIR against a branch head of Punjab & Sind Bank and 18 others for allegedly opening and operating mule accounts used to launder over ₹1,000 crore generated from cybercrime and other illicit activities, officials said on Friday.

The action follows a preliminary enquiry that uncovered 13 mule accounts opened in the names of non-existent companies using forged and fabricated documents. These current accounts were allegedly created at the Government Girls Senior Secondary School branch of Punjab & Sind Bank in Sri Ganganagar, Rajasthan, where Vikas Wadhwa was serving as branch head.

According to the FIR, several individuals arranged falsified Know Your Customer (KYC) documents, fake rent agreements, and other fabricated supporting papers to facilitate the opening of the accounts. The CBI alleged that the accounts were opened in criminal conspiracy with bank officials, in violation of KYC norms, due diligence requirements, and standard operating procedures.

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Investigators further alleged that fake site visit reports and business verification records were prepared by bank officials to legitimise the opening of these accounts. The 13 firms in whose names the accounts were opened were found to be fictitious and created solely for the purpose of operating the accounts using forged documentation.

The FIR claims that significant transactions, amounting to approximately ₹1,084 crore, were routed, layered, and transferred through these mule accounts using various banking channels and digital platforms. A mule account is typically used to move or launder illicit funds, often set up with falsified identification documents, sometimes without the knowledge of the individuals whose identities are misused.

The CBI alleged that the accused, including the branch head, gained illicit benefits, causing wrongful reputational damage to Punjab & Sind Bank. The agency also noted that if money laundering charges are established, the bank could face regulatory penalties, potentially exposing it to further financial losses. Further

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