India's UPI is being exploited by cybercriminals for money laundering

Cybercriminals are using hired money mules in India to orchestrate a massive money laundering scheme using an Android-based application.

Chinese cyber criminals use Indian Unified Payments Interface (UPI) service providers without coverage under the Prevention of Money Laundering Act (PMLA) to initiate illegal transactions under the guise of offering an instant loan.

Chinese payment gateways exploit the QR code feature of UPI with precision, and a network of compromised 'money mule' accounts is used to funnel illicit funds through fraudulent payment channels, ultimately transferring them back to China.

While payout orders are swift transfers to pre-designated accounts within 10 minutes, collection orders are passive and involve receiving incoming funds from other scammers utilizing the platform.

XHelper's features extend to inviting others to join as agents, who in turn recruit more mules and invite additional agents, perpetuating the growth of this interconnected network.

XHelper helps train mules to efficiently launder stolen funds using a Learning Management System that offers tutorials on opening fake corporate bank accounts, the different workflows, and ways to earn more commission.

Kaspersky revealed that malware, adware, and riskware attacks on mobile devices surged in 2023, with adware accounting for the majority of threats detected.

Source : How cybercriminals are exploiting(thehackernews)