In 2024, India registered more than 14.42 lakh cybercrime cases and suffered losses exceeding Rs 11,000 crore due to cyber scams. The most trending scam was the "digital arrest," which is non-existent in our statute books.
An analysis of reported digital arrest cases shows that after initially contacting the victims on their mobiles, the perpetrators subsequently instructed them to switch to Skype or WhatsApp video communication. Posing as law enforcement officials such as the CBI, ED, or police, the scammers intimidate, falsely accuse them of having committed grave offences, place them under digital arrest, and extort money under the guise of getting their name cleared. Once the money is transferred to their designated accounts and the scammer vanishes, the victims realise they have been duped.
The cause for concern is the human cost of these scams extends far beyond financial loss, as victims often experience severe emotional distress, including anxiety, fear and loss of trust. Some internalise the blame, questioning their own judgment and worth, even expressing self-doubt ("I don't know what's wrong with me").
The tragic case in Agra, where a teacher recently succumbed to a heart attack after enduring hours of emotional distress during a "digital arrest" scam, serves as a stark reminder of this devastating impact.
There have even been high-profile cases like that of SP Oswal, Chairman of the Vardhman Group, who was duped out of Rs 7 crore by a gang posing as CBI officials, and the case of a Bengaluru techie who lost Rs 11.8 crore to fraudsters impersonating police officers. The case of a 59-year-old Japanese national working in Bengaluru, who lost Rs 35.49 lakh to cyber criminals and was threatened with a fabricated "digital arrest," emphasises that these scams have reached a global level.
The vulnerability to these scams is not limited to the elderly. A 25-year-old IIT Bombay student lost Rs 7.29 lakh after being "digitally arrested" by scammers impersonating TRAI officials, and a former Femina Miss India was "digitally arrested" by scammers posing as CBI officers and lost Rs 99,000. These cases serve as a stark reminder that everyone, regardless of education or status, must be cautious.
Despite a plethora of advisories issued by various regulatory authorities, why do people continue to fall for digital arrest scams? The psychology of fear and respect for authority plays a crucial role in the success of these scams. Scammers exploit these deep-seated human emotions to manipulate victims into compliance. By impersonating authority figures like police officers and CBI officials, they leverage the fear and knowledge of corruption in these institutions.
Threats of legal repercussions, arrest, and imprisonment create a sense of panic and urgency, compelling victims to act impulsively and make irrational decisions. This exploitation of fear and the inherent respect for authority figures creates powerful psychological pressure that can be difficult to resist. These fraudsters often employ tactics like a fake Supreme Court hearing via Skype, as in the Oswal case.
In order to extort maximum money, it is normal for them to keep their victims under "digital surveillance" for extended periods, as in the case of the Hyderabad family confined to their home for 17 days, thereby instilling fear. In some instances, victims have been subjected to further humiliation, such as being coerced into undressing or performing other degrading acts during video calls.
The recent arrest of a gang of scammers has revealed the existence of intricate networks that leverage refined techniques like deepfakes and highly realistic impersonations to deceive victims. Criminals have been found to create shell companies to launder money and acquire numerous SIM cards for anonymous communication. They were also found utilising "mule" accounts to facilitate the movement of funds.
The Gujarat Police released sketches of the masterminds behind a nationwide digital arrest scam, which defrauded over 800 victims of Rs 111 crore. This has revealed the sophisticated nature of these criminal networks.
The challenges law enforcement authorities face in combating this evolving threat are complex. It requires a multifaceted approach, such as creating public awareness and educating individuals to recognise red flags, such as unsolicited calls from "officials" and demands for immediate payments.
Strengthening law enforcement capabilities, including augmenting cybercrime units and leveraging technology to detect and block fraudulent calls, is essential.
By understanding the tactics employed by scammers, raising public awareness, and strengthening law enforcement responses, we can protect ourselves from falling victim to these sophisticated cybercrimes.
Remember that the digital age is a double-edged blade, where shadows lurk and fears invade. But vigilance can serve as a guiding light. Just hang up the phone if something is wrong.