In a significant operation to protect citizens' finances, the Gujarat government, led by Chief Minister Bhupendra Patel, has intensified efforts against digital fraud through targeted police actions.

This initiative aims to hold cybercriminals accountable and ensure a secure digital environment across the state.

Under the direction of Chief Minister Bhupendra Patel and Deputy Chief Minister Harsh Sanghavi, the Gujarat Police's Cyber Center of Excellence (CCE) led a state-wide crackdown on illicit “mule accounts,” revealing cyber fraud totalling ₹2,289 crore. Mule accounts are bank accounts used by criminals to receive, transfer, and launder money obtained through fraudulent activities, often involving “money mules” who may be acting knowingly or unknowingly.

In 2025, “Operation Mule Hunt 1.0” was carried out with participation from all Police Commissioners, Range Heads, and Inspectors from Local Crime Branch and Cyber Police Stations. The operation was closely monitored at headquarters, utilising data from the Indian Cyber Crime Coordination Centre (I4C), the National Cyber Crime Reporting Portal (NCRP), the Coordination Portal, and the 1930 helpline. Based on this intelligence, nodal officers were appointed at the district level, accompanied by support teams to manage field complaints. Coordination with banks was enhanced through directives aimed at real-time data sharing.

The operation resulted in 565 FIRs and 638 arrests related to various aspects of cybercrime. Authorities identified 4,052 crimes nationwide, including 491 within Gujarat. Action was taken against 193 mule accounts used in laundering proceeds from financial fraud amounting to ₹2,289 crore.

The crackdown has significantly impacted the modus operandi of cybercriminal networks. Data revealed a 75% overall reduction in cheque withdrawals, with monthly cheque withdrawals declining from ₹126 crore to ₹25 crore, representing an 80% fall in high-value transactions. The volume of first-layer mule accounts, where victims’ funds initially enter the system, decreased by 30% between August and December 2025. Additionally, cash withdrawals through ATMs-commonly used to obscure digital trails-fell by 66% from September to December 2025.

To enhance the campaign's effectiveness, the Indian Digital Payments Intelligence Corporation (IDPIC) is implementing a risk-scoring system based on Artificial Intelligence under the guidance of the Reserve Bank of India. This system classifies transactions as Low Risk, Medium Risk, or High Risk, enabling banks to identify and act upon suspicious accounts. IDPIC has been appointed as the nodal agency and established a registry named 'mulehunter.ai' to promote information sharing about suspicious accounts among banks.