RBI Launched MuleHunter.ai to Curb Financial Frauds It is expected to significantly reduce fraud cases, said RBI Governor Shaktikanta Das
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Increasing digital fraud and mule accounts are deceiving the public and agencies. To address this, the Reserve Bank of India (RBI), through its subsidiary Reserve Bank Innovation Hub (RBIH), has launched an artificial intelligence (AI) model named 'MuleHunter.ai.'
RBI introduced this initiative at a time when the National Crime Records Bureau reported that 67.8 per cent digital scams were linked to financial scams such as unauthorized access to bank accounts, credit or debit card fraud, phishing scams to steal financial details, online payment frauds (e.g., UPI, e-wallets) and investment scams or fake loan offers among others.
The AI model aims to assist banks in identifying fake bank accounts and monitoring their operations. It is expected to significantly reduce fraud cases, shared RBI Governor Shaktikanta Das.
According to the RBI, the model was developed following extensive and detailed consultations with several banks. It replaces the earlier rule-based system, which was failed to deliver accurate and timely results. MuleHunter.ai leverages advanced machine learning (ML) algorithms to analyze transactions and account-related datasets, providing higher accuracy and faster detection of mule accounts.
The model was first showcased in August 2024 at the Global Fintech Fest, where its use cases were demonstrated. Subsequently, it was deployed at one of the large public sector banks in September.
