RBI rolls out AI-based model to tackle digital frauds [Video]

The Reserve Bank of India (RBI) has introduced an artificial intelligence/machine learning (AI/ML)-based model, MuleHunter.AI, developed by the Reserve Bank Innovation Hub (RBIH), in an attempt to tackle digital frauds. The AI model is also expected to help banks deal with the issue of mule bank accounts, a typical tactic fraudsters use to funnel the proceeds of their fraudulent activities.

“As part of the Reserve Bank’s continued efforts to prevent and mitigate digital frauds, an innovative AI/ML based model, namely, MuleHunter.AI has been developed… This will help the banks to deal with the issue of mule bank accounts expeditiously and reduce digital frauds,” Shaktikanta Das, RBI’s Governor, said in his Monetary Policy statement. Monetary Policy refers to actions taken by a country’s central bank to manage the money supply and influence economic activity.

The use of money mule accounts is a common method fraudsters adopt to channel fraud proceeds, according to the RBI’s statementon Developmental and …