ED Arrests Two CAs in ₹641 Crore Multi-State Cyber Fraud and Money Laundering Case
March 5, 2026
ETT News / New Delhi
The Directorate of Enforcement (ED) has arrested two Chartered Accountants, Ashok Kumar Sharma and Bhaskar Yadav, in connection with a massive cyber fraud and money laundering case involving proceeds of crime worth around ₹641 crore. The arrests were made on February 28 under the Prevention of Money Laundering Act (PMLA), 2002, following an investigation into a nationwide cyber scam that targeted innocent citizens through fake investment offers and online job schemes.
According to the ED, the fraudsters lured victims across India by promising high returns on investments, offering part-time job opportunities, and carrying out QR code scams and phishing operations. Victims were persuaded to transfer money online, which was initially credited into mule bank accounts operated by members of certain Telegram groups.
Investigators found that the funds were later layered through a network of dummy and shell companies across India to obscure the origin of the money. These companies allegedly operated from common addresses in Bijwasan, Delhi, and had overlapping partners, authorized signatories, mobile numbers, email IDs and KYC documents, indicating the existence of a coordinated financial network.
The ED said the laundered money was transferred using Indian bank-issued VISA and MasterCard debit cards to a UAE-based fintech platform called PYYPL, which offers internationally usable prepaid cards regulated by the Abu Dhabi Global Market Financial Services Regulatory Authority. From these wallets, the funds were either withdrawn overseas, particularly in Dubai through ATM and point-of-sale transactions, or converted into virtual digital assets through the Binance cryptocurrency exchange.
The agency revealed that a structured syndicate of professionals, including Chartered Accountants Ashok Kumar Sharma, Bhaskar Yadav, Ajay and Vipin Yadav, allegedly operated the money laundering operation. The group incorporated and controlled more than 20 entities that acted as conduits for transferring illicit funds and sending them abroad.
During the investigation, the ED conducted searches at several locations, including the residences of Sharma and Yadav, on November 28, 2024. Officials said Sharma fled from the premises during the search and allegedly assaulted ED officials while trying to evade action. Following the incident, an FIR was registered at Kapashera Police Station in New Delhi against Sharma and his brother Subhash Sharma. Bhaskar Yadav also reportedly absconded after learning that ED officials had reached his residence for a search.
The agency recovered several incriminating documents from Sharma’s residence, including ATM cards and cheque books linked to shell companies.
Since the searches in November 2024, both accused had remained absconding and sought anticipatory bail to avoid investigation under the PMLA. However, their bail pleas were rejected by the Special Court on January 15, 2025, and later by the Delhi High Court on February 2, 2026. Bhaskar Yadav also filed a Special Leave Petition before the Supreme Court, which dismissed the plea on February 18, 2026, and directed him to surrender before the concerned court.
Following their surrender, the ED arrested both accused under Section 19 of the PMLA.
Officials said that so far 10 individuals have been arrested in the case. The ED has also issued two Provisional Attachment Orders attaching movable and immovable properties worth about ₹8.67 crore. Two prosecution complaints have been filed before the Special PMLA Court, which has taken cognizance of the case.
Further investigation in the matter is ongoing.
ED Cyber Fraud Case 641 Crore Cyber Scam Ashok Kumar Sharma Arrest Bhaskar Yadav Arrest Enforcement Directorate Cyber Fraud
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