CBI court denies bail to accused in ₹3.74-crore transnational cyber-fraud case

A Mumbai court denied bail to Sudhir Palande, linked to a cyber-fraud network, citing serious allegations and ongoing investigations into large-scale scams.

MUMBAI: A special court constituted under the Central Bureau of Investigation (CBI) in Mumbai has denied bail to Sudhir Bhaskar Palande, accused of playing an active role in an organised cyber-fraud network that allegedly targeted victims through phishing, identity theft and “digital arrest” scams. The court held that the allegations were grave and the investigation was still unfolding, warranting continued custody.

CBI court denies bail to accused in ₹3.74-crore transnational cyber-fraud case

According to the CBI’s Economic Offences Branch, the syndicate diverted proceeds of online scams through layers of shell entities and mule bank accounts. Investigators found that on July 2, a bank account of M/s SP Cargo and Courier Services Pvt Ltd, a firm linked to Palande, received ₹3.81 crore siphoned from multiple fraud victims in a single day. The funds were allegedly rapidly dispersed to hundreds of accounts opened across the country to obscure the money trail.

The agency’s charge sheet states that Palande travelled from Mumbai to Nagpur to facilitate these transactions. He allegedly handed over his company’s bank access kit, including ATM cards, cheque book, SIM cards and login credentials, to an intermediary acting for another accused, Shaurya Singh alias John, believed to have played a key role in coordinating the syndicate. In return, Palande is alleged to have received more than ₹4.3 lakh routed through cryptocurrency wallets.

He has been charged under sections 61(2), 318, 319, 336 and 340 of the Bharatiya Nyaya Sanhita, section 7 of the Prevention of Corruption Act, and Sections 66 and 66D of the Information Technology Act, relating to conspiracy, cheating, forgery, corruption and cyber offences.

Rejecting his bail plea, Special Judge BY Phad held that the filing of a charge sheet “does not create an absolute right to bail” when offences involve substantial financial loss and wider criminal networks. The court noted that further investigation was ongoing to uncover the full scope of the syndicate, citing the recent arrest of three more accused.

The order recorded that Palande’s travel to Nagpur, the handover of banking instruments and the receipt of cryptocurrency payments indicated “active and conscious involvement”. The court added that the cross-border dimension of the scam and the large sums involved increased the risk of evidence being tampered with if the accused were released at this stage.