Bengaluru police have detained four people from Gujarat in a significant cybercrime case for allegedly stealing ₹12.5 crore from the credit card payment site CRED. The suspects are charged with carrying out the crime by faking Corporate Internet Banking (CIB) documents and stealing confidential information. Vaibhav Pitadiya, a 33-year-old relationship manager at Gujarat’s Axis Bank, is the scheme’s mastermind. He is charged with using his insider information to plan the whole scheme.
How the Fraud Was Committed
Vulnerabilities in CRED’s corporate account, which is run by the Bengaluru-based Indiranagar branch of Axis Bank, were used to commit the scam. Pitadiya found flaws in CRED’s nodal corporate account, which is connected to Dream Plugpay Tech Solutions Private Limited, the police said. Every day, this account handles transactions totaling more than ₹2 crore. Despite knowing how to reactivate them, Pitadiya discovered that two related corporate accounts were dormant.
Pitadiya recruited Neha Ben, a friend on Instagram, to pose as the managing director (MD) of CRED in order to carry out the scam. Neha successfully had the account changed and a new user with new credentials created after submitting fake board resolutions and supporting documentation to Axis Bank. The gang started many fraudulent transactions using these credentials.
Pitadiya then enlisted Shailesh and Shubham, two additional accomplices, to help with the scheme. Together, they created mule accounts and falsified more paperwork in order to transfer the stolen money. When CRED’s regular bank account reconciliation turned up ₹12.5 crore in inconsistencies on November 13, the theft was discovered. The business notified Axis Bank right away, which prompted more research.
Investigation and Arrests
A complaint submitted to the East CEN Crime police station served as the basis for the Bengaluru police’s inquiry. According to the investigation, cash were transferred to questionable accounts in 17 unlawful transactions that occurred between October 29 and November 11. During questioning after her detention on December 21, Neha Ben disclosed Pitadiya and other colleagues’ participation.
The police have so far recovered ₹1.83 crore of the total money that was taken, and they are working to find any further collaborators and retrieve the remaining monies. Authorities are striving to hold everyone accountable as the investigation continues.
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