Page 534 - ComputerScience_Class_11

13.5.1 Procedure
In a typical digital arrest scam, fraudsters contact victims by telephone, WhatsApp or other messaging platforms.
They present fake identity documents (such as fake FIRs, warrants or official IDs), falsely accusing the victims of illegal
activities. The victims are then placed under “digital arrest” and are pressured through intimidation tactics, which may
include long video calls and threats of criminal charges. Victims are pressured into transferring money or providing
banking credentials, OTPs or remote access to their devices. In some cases, they are urged to transfer funds to multiple
“safe” accounts or convert funds to cryptocurrency in order to evade a supposed “investigation” or to get charges
dropped.

Common Elements in Digital Arrest Scams
• Impersonation of agencies such as the Central Bureau of Investigation, Reserve Bank of India, police, customs or
narcotics agencies by individuals disguised in uniform.
• Presentation of forged documents and fake FIRs or court orders over video calls.

• Isolation of the victim, keeping them on continuous calls and applying psychological pressure to obtain immediate
transfers.

• Use of large networks of mule accounts, fake SIMs and multi-layer money laundering to move and hide stolen funds.

Typical Crimes Associated with Digital Arrest Scams
• Improper transfer of money or money laundering
• Cybercrimes
• Issues related to drug trafficking

13.5.2 Impact in India
Digital arrest scams have caused significant financial loss to Indian citizens, with estimates running into crores of
rupees. These scams were discovered to be primarily operated from countries like Myanmar, Laos and Cambodia. The
rise in incidents has been alarming, with a substantial increase in the number of complaints reported by the National
Cybercrime Reporting Portal. From 4.52 lakh complaints in 2021, the number of complaints surged to 7.4 lakh during
the first four months of the respective years.
Notable Incidents
• A senior citizen in Hyderabad was reported to have lost ₹1.92 crore, with several suspects arrested.
• A ₹58.13 crore fraud was investigated by Mumbai cyber-police, which led to multiple arrests and the discovery of
thousands of fake bank accounts used for laundering money.
• In 2025, an elderly couple in Karnataka tragically died by suicide after being duped of ₹50 lakh.

• Multiple cases have targeted elderly victims across cities such as Pune, Jabalpur, Gurugram, with losses ranging
from lakhs to crores.

13.5.3 Measures Taken by Indian Authorities
In response to the rise in digital arrest scams, Indian law-enforcement agencies and courts have implemented several
measures:
• The Indian Cyber Crime Coordination Centre was established by the Ministry of Home Affairs, along with a Cyber Fraud
Mitigation Centre. This centre includes representatives from telecom companies, banks, financial intermediaries,
payment aggregators and local police to enable swift cooperation in tackling cybercrimes.
• In late 2025, the Supreme Court of India directed a pan-India probe into these scams. The Court instructed the
Central Bureau of Investigation to coordinate investigations and work with banks and telecom providers to trace and
freeze accounts linked to digital-arrest networks. The Court also questioned the use of advanced tools like AI and
machine learning to detect suspicious transactions.

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