Hyderabad Police bust Ghost SIM network: 66 arrested across 13 states
Synopsis
Key Takeaways
Hyderabad Police on Wednesday, 20 May announced the arrest of 66 persons across 13 states as part of Operation Octopus 3.0, a nationwide crackdown targeting the Ghost SIM network that serves as the anonymity backbone for organised cyber fraud in India. Hyderabad Police Commissioner V. C. Sajjanar confirmed the operation, which identified 1,194 Ghost SIMs linked to cases registered at the Cyber Crime Police Station (CCPS), Hyderabad.
Operation Octopus 3.0: What Was Targeted
Ghost SIMs are mobile connections fraudulently activated in the names of unsuspecting or exploited subscribers, providing cyber criminals with untraceable communication channels. Eighteen trained teams were deployed across 13 states over a continuous seven-day operation, seizing 544 SIMs within Hyderabad city alone through the CCPS Special Task Force. Of these, 432 were sealed SIMs awaiting deployment for cybercrime activities.
The operation builds on earlier phases: Operation Octopus 1.0 targeted mule account holders, and Operation Octopus 2.0 focused on bank officials abetting cyber fraud. The third iteration turns the spotlight on telecom infrastructure misuse.
Who Was Arrested and Their Links to Telecom Firms
Among the 66 persons apprehended, 44 were Ghost SIM holders, 20 were Point-of-Sale (PoS) agents or telecom promoters, and two were Ghost SIM suppliers. Of the arrested PoS agents, 10 were associated with Vodafone Idea, seven with Airtel, and three with Jio.
Collectively, the 66 accused are linked to 76 cybercrime cases across India involving a total fraudulent amount of ₹101.87 crore.
How the Ghost SIM Racket Operated
Investigators found multiple methods used to harvest SIM cards illegally. During Mobile Number Portability (MNP) eKYC verification, certain PoS agents activated additional SIM cards in genuine customers' names without their knowledge, then converted them to eSIMs for dispatch abroad.
Agents also offered free SIM activations to less digitally literate individuals, diverting the cards to distributors on commission for use in overseas fraud. In some cases, customers were monetarily induced to surrender SIM cards or share OTPs, enabling the creation of fake profiles on WhatsApp, social media, dating, and matrimonial platforms. Bulk SIM distribution camps were reportedly run in villages under the guise of free schemes, exploiting the Aadhaar identities of illiterate individuals.
What Hyderabad Police Plans Next
Commissioner Sajjanar said Hyderabad City Police will convene structured meetings with Telecom Service Providers (TSPs) — Airtel, Jio, and Vodafone Idea — at their senior leadership levels to develop stringent protocols curbing Ghost SIM proliferation within their distribution chains. The police will also approach the Department of Telecom, TRAI, and other public stakeholders to plug procedural loopholes and strengthen KYC norms.
The operation was supervised by V. Aravind Babu, DCP Cybercrimes, and Siva Maruthi, ACP Cybercrimes, with teams drawn from CCPS Hyderabad, Detective Inspectors, and Armed Reserve staff. As India's cyber fraud ecosystem continues to evolve, the pressure on telecom distributors to enforce tighter identity verification is set to intensify.