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Updated May 12, 2026 · 18:15
Technology News Updated May 12, 2026

AI-Driven MoU Signed to Detect Mule Accounts and Combat Cyber Fraud

The Union Home Ministry's Indian Cyber Crime Coordination Centre (I4C) and the Reserve Bank Innovation Hub (RBIH) have signed an MoU to combat cyber-enabled financial frauds. The collaboration focuses on AI-driven detection and curtailment of mule accounts across banking and digital payments. Union Home Minister Amit Shah highlighted that the move will use data from I4C's Suspect Registry to enhance fraud detection systems like MuleHunter.ai. The partnership aims to strengthen proactive fraud prevention and increase trust in India's digital banking ecosystem.

Home Ministry, RBI agencies sign MoU for AI-driven detection of mule accounts

New Delhi, May 12

Looking to strengthen the fight against cyber frauds, the Union Home Ministry's Indian Cyber Crime Coordination Centre and Reserve Bank Innovation Hub signed a Memorandum of Understanding for collaboration, an official said on Tuesday.

The two agencies will work together for combating cyber-enabled financial frauds and curtailing mule accounts across the banking and digital payments ecosystem, said the official in a statement.

The MoU aims to facilitate cooperation in the areas of fraud-risk Intelligence sharing, analytical support, and operational coordination for strengthening proactive fraud detection and prevention mechanisms, it said.

Union Home Minister Amit Shah, posted on X, "Modi govt is tirelessly working for cyber secure Bharat. Mule accounts are big hurdles in curbing cyber crimes. Today, the I4C under MHA signed an MoU with Reserve Bank Innovation Hub (RBIH) unleashing the power of Artificial Intelligence to combat cyber fraud."

"The move will swiftly detect and cull hidden mule accounts by feeding the data from the I4C's Suspect Registry to the AI-driven fraud detection system and serve the citizens as their next gen shield against cyber crime," he said.

Under the MoU, I4C and RBIH will collaborate for sharing of mule account related Intelligence and suspect identifiers from I4C-MHA's Suspect Registry to strengthen AI-driven fraud detection systems such as MuleHunter.ai implemented across banks.

RBIH will utilise the datasets for training and enhancement of AI-driven fraud-risk assessment models, including MuleHunter.ai, said the statement.

The MoU was signed by Roopa M, IG (Admin), I4C and Sahil Kinni, CEO, RBIH in the presence of Rohit Jain, Deputy Governor, RBI; Anand Swaroop, Special Secretary (IS), MHA; Rakesh Rathi, JS (CIS), MHA; Rajesh Kumar, CEO, I4C and other senior officers from RBI, RBIH and I4C.

The I4C has been working towards strengthening and collaborating for India's cybercrime response ecosystem through platforms such as the National Cybercrime Reporting Portal (NCRP), Suspect Registry and other Intelligence-sharing mechanisms.

RBIH, a wholly-owned subsidiary of the RBI, has been promoting innovation in the financial sector through technology-led initiatives and development of AI-enabled fraud detection frameworks aimed at strengthening the safety and resilience of the digital payments ecosystem and thereby increasing the trust of citizens in the digital banking ecosystem, said the statement.

— IANS

Reader Comments

Arjun K

It's good that I4C and RBIH are collaborating, but I hope this doesn't create false positives that freeze innocent people's accounts. Many small business owners rely on multiple bank accounts for legitimate transactions. Transparency needed.

James A

As someone who works in fintech, this is a smart move. AI-driven fraud detection is already proven in other countries. The suspect registry data combined with machine learning could be a game-changer for India's digital payment ecosystem. Well done.

Siddharth J

A small step in the right direction! But the real issue is that many cyber frauds originate from call centers overseas. Until international cooperation improves, catching only mule accounts won't solve the root cause. Still, better than nothing. 🇮🇳

Michael C

Impressive initiative. But I wonder how they'll handle privacy concerns with the suspect registry. The data should be used only for fraud detection, not for surveillance. Let's hope the framework is robust.

Neha E

Great news! My mother was almost scammed last week via a fake customer care number. If AI can flag suspicious accounts in real-time, it will save so many seniors from losing their savings. Thank you, Modi government. 👏

R Rajesh Kumar (from article, using CEO name respectfully) We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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