Kozhikode, October 17, 2026: The Central Bureau of Investigation (CBI) has arrested Muhammed Fasal K, a key accused in an international cyber fraud and ATM card smuggling syndicate, from his residence in Thamarassery, Kozhikode district, Kerala. The arrest was made on Saturday following sustained surveillance after an earlier attempt by the accused to leave the country.
The case pertains to a cyber fraud reported in July 2024, in which a Thrissur-based complainant was allegedly defrauded of ₹1,04,40,111 (approximately ₹1.04 crore). According to investigators, the victim was contacted by individuals posing as FedEx officials and cybercrime police personnel. The fraudsters claimed that the victim’s bank account had been compromised and was under urgent investigation, and induced him to transfer the amount across multiple bank accounts under the pretext of verification.
The CBI investigation has revealed an organised cross-border network that systematically procured debit and ATM cards from young persons and students across Kerala by offering cash incentives ranging from ₹3,000 to ₹7,000 per active card. These cards were then smuggled to Dubai through illegal channels. Foreign associates of the syndicate allegedly used the cards at ATMs abroad to withdraw proceeds of cyber fraud, thereby obscuring the domestic money trail.
Further probe indicates that funds withdrawn overseas were channelled back into India. The accused is alleged to have invested portions of the proceeds in real estate across the country and to have been involved in gold smuggling operations into Kerala. The CBI is examining transaction records, banking trails, and asset documents to identify local card suppliers, couriers, UAE-based operatives, and any corporate entities used to conceal the illicit wealth.
Muhammed Fasal K had earlier come under the radar of central authorities. A Look Out Circular was issued against him, leading to his interception at Bengaluru Airport on May 13, 2026, while he was attempting to board a flight to Sharjah. He was subsequently released at that stage but remained under surveillance, which culminated in his arrest from Thamarassery.
The agency is continuing custodial interrogation to map the remaining links of the transnational syndicate, including the role of card providers and the end beneficiaries of the diverted funds. The case underscores the persistent challenge of mule-account networks and the cross-border movement of fraud proceeds through physical card smuggling.
