Centre cautions against illegal payment gateways like PeacePay, PoccoPay amid rising cybercrime incidents

Union Home Ministry has cautioned common public against illegal payment gateways using mule bank accounts by trans-national organised cyber criminals, facilitating money laundering services, in the wake of rising incidents of cyber frauds.

Some of the payment gateways identified are PeacePay, RTX Pay, PoccoPay, and RPP among others. These gateways are learnt to be providing money laundering as a service and are operated by foreign nationals, official sources said.

The Indian Cybercrime Coordination Centre (I4C), which is the Home Ministry’s cybercrime arm, has advised citizens not to sell or give on rent their bank accounts, company or Aadhaar registration certificate to anyone. Illicit funds deposited in such bank accounts can lead to legal consequences, including arrest.

Banks may deploy checks to identify misuse of bank accounts that are used for setting up illegal payment gateways, the I4C said.

The citizens must immediately report any cybercrime on helpline number 1930 or www.cybercrime.gov.in and follow ‘CyberDost’ channels or account on social media.

I4C further informed that it was revealed during the recent nation-wide raids by Gujarat Police and Andhra Pradesh Police conducted, that trans-national criminals have created illegal digital payment gateways using mule or rented accounts.

These illegal infrastructures facilitating money laundering as a service are used for laundering proceeds of multiple nature of cybercrimes, I4C said.

As per inputs received from state police agencies and I4C, current accounts and saving accounts are scouted through social media, mainly from Telegram and Facebook. These accounts belong to shell companies and enterprises or individuals.

These mule accounts are controlled remotely from overseas, sources informed further.

An illegal payment gateway is then created using these mule accounts given to criminal syndicates for accepting deposits on illegal platforms like fake investment scam sites, offshore betting, gambling websites and fake stock trading platforms.

Funds are immediately layered to another account as soon as the crime proceeds are received. Bulk payout facility provided by banks are misused for the same, official sources informed.