The pilots for MuleHunter.AI have been successful, says Swaminathan

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The Reserve Bank of India (RBI)’s Deputy Governor Swaminathan J on Wednesday said that the pilots for Mule Hunter conducted with large banks have been highly successful and the outcomes have become almost real time.

 

During the monetary policy press meet, Swaminathan responded to a question on whether Mule Hunter is helping against digital frauds and said, “The pilots for Mule Hunter done for large banks have been highly successful. The outcomes are almost real time and the models have proved to be effective, but these AI/ML-based models need more data to digest and become more successful. So, we will take this pilot into production as quickly as possible.”

 

In December 2024, RBI launched MuleHunter.ai, developed by the Reserve Bank Innovation Hub, to help banks reduce digital fraud. The model enables detection of mule bank accounts in an efficient manner.

 

“It is our intention that we become as near to real time as possible to ensure frauds are prevented and recovered as quickly as possible. But fraudsters are always one step ahead. So, we are invariably in a catch-up game, but we will probably catch up better,” Swaminathan added.

 

Meanwhile, speaking on e-KYC, RBI Governor Sanjay Malhotra said that the central bank has given instructions regarding the same to all regulated entities. However, he highlighted that the lenders have to undertake changes in their IT systems, and this is underway as it is a top priority.

 

“We have also asked all our regulated entities to follow the rule. If e-KYC documents are already there, then they do not face the need to submit e-KYC documents again. So, it takes time because banks have to make changes in their system. The process of change is going on because it is our top priority,” Malhotra said.