Data Sutram Raises $9 Million in Series A Funding Led by B Capital and Lightspeed to Expand AI-Powered Fraud Detection Platform
- ByStartupStory | May 22, 2025
Regulatory technology startup Data Sutram has raised $9 million in Series A funding, a round co-led by global venture capital firms B Capital and Lightspeed, to fuel the company’s mission of transforming fraud detection and compliance with its AI-powered intelligence platform.
The Mumbai-based startup plans to use the funding to scale its operations internationally and broaden its fraud detection capabilities beyond traditional banking into high-risk sectors such as insurance, gaming, and cryptocurrency. The round also included participation from existing investors and strategic angels.
Founded in 2019 by Rajit Bhattacharya, Sagnik Poddar, and Ankit Das, Data Sutram helps financial institutions detect fraud, ensure regulatory compliance, and reduce non-performing assets using alternative data and artificial intelligence.
The company’s platform processes over 110 million individual identities, offering real-time insights via a proprietary “Trust Score.” This score evaluates behavioral patterns across digital footprints to detect risks such as synthetic identities, collusion, and identity theft. By inputting a name, phone number, and email, the system taps into a massive network of government, telecom, ecommerce, logistics, and payment sources to generate instant fraud risk assessments.
“Our USP is external intelligence,” said Rajit Bhattacharya, Co-founder and CEO. “Most of our partners had never sold data before.” He added, “The company seeks to bring visibility into a customer’s behaviour outside the bank’s environment—right at the entry point. Whether it’s a new account, a loan, or an insurance application, the company can help assess if the transaction is trustworthy.”
Data Sutram’s technology is already being used by several large banks, NBFCs, and fintechs in India, operating in the background as a data processor that aggregates and analyses massive volumes of external data. Its machine learning models detect outliers and deviations in behavior, rather than relying on static fraud templates, giving institutions a dynamic and scalable solution.
“They’ve already onboarded large financial institutions—a rare feat for an early-stage startup in this space,” said Karan Mohla, General Partner at B Capital. “The regtech category itself is experiencing tailwinds,” Mohla added, “driven by rapid digitisation in financial services and the growing urgency to address rising fraud levels with compliant, AI-native solutions. The infrastructure had lagged behind the pace of user and product growth. That’s changing now.”
Hemant Mohapatra, Partner at Lightspeed, emphasized the platform’s adaptability: “With digitization accelerating, the need for intelligent, real-time fraud signals is only growing. Data Sutram is uniquely positioned to meet this demand.”
The latest funding round marks a significant milestone for Data Sutram as it gears up for global expansion and seeks to bring its AI-native compliance and fraud prevention technology to a broader range of sectors facing regulatory challenges.
About Data Sutram
Founded in 2019, Data Sutram is an AI-driven regulatory technology startup that provides external intelligence to detect fraud, ensure compliance, and reduce NPAs. Leveraging alternative data from multiple sources, the company delivers actionable insights through its proprietary Trust Score for leading financial institutions in India.
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