Gangs using Indian students as ‘money mules’ in extortions in Canada: report – Cloverdale Reporter
Surrey and Delta police responded to a call around 4:40 a.m. of shots fired outside of Kap's Cafe.
Criminal networks are taking advantage of "financially vulnerable" young Indian men who are in Canada on study permits to carry out on-the-ground extortion threats and violence in South Asian communities in Surrey and beyond, a new federal report says.
A special bulletin from the federal government outlines some of the ways extortionists move their money and confirms the extortion is often carried out by "interconnected" criminal networks rather than isolated individuals.
In February, Prime Minister Mark Carney announced that the federal government was creating a financial crimes agency, within the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC), that will "follow the money in extortion."
Surrey, B.C., is one of the two main cities – alongside Brampton, Ont. – that have seen a large spike in extortion-related violence over the last three years.
Surrey, B.C. saw 49 extortion-related shootings and 133 reports of extortion in 2025 and so far this year has seen 16 extortion-related shootings and 87 reports of extortion. CBC reported that the Peel Region saw 476 extortion crimes reported in 2025.
The extortion crisis has "evolved from sporadic threats into a sustained campaign of coercion that blends intimidation, opportunistic violence, and trans provincial coordination," notes the bulletin from FINTRAC.
The extortionists are "loosely" associated with organized crime networks that blend community members with those claiming to be "affiliated to overseas organized crime groups," such as the Bishnoi Gang and Bambhia Gang, according to FINTRAC analysis.
The Bishnoi Gang has claimed responsibility for several of the extortion-related shootings in Surrey over the past year, including ones at Kap's Café. Police have never confirmed this, though they said at the time it was under investigation.
The Bishnoi Gang is a transnational criminal organization that operates out of India but is known to have a presence in Canada, stated a post on publicsafety.gc.ca.
The Bambhia Gang is a rival gang to the Bishnoi gang, which also operates out of India and has a presence in Canada and the United States. It is known to be involved in extortion, contract violence and large-scale protection rackets, FINTRAC said. The gang is known to "forge alliances" with other criminal gangs to grow its "influence and revenue streams, particularly in the lucrative extortion economy," notes the bulletin.
These groups rely on people living in Canada to act as "money mules," enforcers or foot soldiers. They are normally financially vulnerable young Indian men who are in the country on a study permit.
"FINTRAC indicates the possibility of copycat actors leveraging the weight associated with these crime groups to maximize their own impact," reads the bulletin.
Surrey Police have also spoken about the copycats who are taking advantage of the crisis to get quick cash.
The individual carrying out the extortion-related violence on the ground often relies on rental cars and short-term accommodations to "stage attacks and quick-moving cash couriers to collect and disperse" the money.
They use "low tech" such as phone-based threats and encrypted messages to extort money from the victims.
"Overall, extortion directed at South Asian diaspora communities has become a multifaceted threat defined by intimidation, violence, financial coercion, and networked criminal operations that exploit both social dynamics and procedural vulnerabilities," reads the bulletin.
EARLY REPORTING AND 'STRONG INSTITUTIONAL VIGILANCE' NEEDED
FINTRAC highlighted several indicators that banks and credit unions can look out for that may point to extortion or money-laundering activities.
The main methods that the criminal groups who are extorting South Asian communities often involve large deposits through bank deposits and ATM, and "heavy layering and flow through using email money transfers."
While the extortionists might initially demand hundreds of thousands to several millions of dollars, some financial transactions analyzed by FINTRAC show smaller amounts, such as hundreds to thousands of dollars.
"It implies that victims probably negotiate with extortionists for payouts to be more realistic or manageable. High-value payments may be substituted for 'financing plans' that pay enforcers smaller amounts over a set period," reads the bulletin.
FINTRAC has found that many individuals involved in extortion who are depositing the money into financial institutions are between 17 and 28 years old, hold Indian passports, and are international students at a college rather than a university.
Other factors to watch for:
* The customer may also use an alias or "rapper" stage names.
* The amount of money going in and out of their account from email money transfers is not consistent with their status as a student or their current job. They will also have a number of unexplained cash deposits on their account, made at various branches and ATMs.
* The person may use money services or banks to send money to people or businesses in India, the United Arab Emirates, the United Kingdom, and possibly Portugal or Kenya.
* The customers who are international students may have paid for things such as hotels or short-term rentals, gas, fast food in areas known for extortion and be potentially far from their post-secondary institution, and they have no known consistent financial link to that area.
* The victims of extortion are often local business owners who want to make a large cash withdrawal or wire transfer, which is "inconsistent with past transaction behaviour." They may appear nervous or be receiving direction or coaching.
Reporting suspicious transactions to FINTRAC is a critical piece in tackling the ongoing extortion crisis.
There must be reasonable grounds to suspect reporting a customer's suspicious transaction, FINTRAC states, but "You do not have to verify the facts, context or money laundering or terrorist activity financing indicators that led to your suspicion, nor do you have to prove that a money laundering or terrorist activity financing offence has occurred in order to reach this threshold. Your suspicion must be reasonable and, therefore, not biased or prejudiced."
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