They then exploit the victim's bank accounts. Numerous cases of this fraudulent conduct have recently emerged.
According to a Reserve Bank of India (RBI) study, India experienced bank frauds totaling more than Rs 30,000 crore in FY23. Over the last decade, Indian banks have reported 65,017 fraud instances, resulting in a total loss of Rs 4.69 trillion.
To deceive naive people, cybercriminals use a variety of strategies, such as UPI, credit card, OTP, job, and delivery scams. Digital house arrest is a new popular scamming strategy.
About digital arrest
Digital house arrest occurs when cybercriminals trap victims in their homes to trick them. Perpetrators instill terror by making calls, frequently impersonating law enforcement officers via AI-generated voice or video calls.
They fraudulently accuse victims of misconduct involving their Aadhaar or phone number, creating a sense of imminent arrest and pushing them to send money.
Hackers usually contact victims and claim they shipped or received boxes carrying illegal substances such as narcotics or false passports. They may even fraudulently alert the target's relatives or acquaintances about their involvement in a crime, instilling a sense of urgency.
Criminals pose as law enforcement officers, and demand money from victims as compensation for covering the case. Victims are pressured to remain visible on video conferencing services until their requests are granted.
Forcing potential victims
Hackers use strategies such as setting up fake police stations or government offices and dressing in uniforms mimicking those of law enforcement authorities.
Uttar Pradesh Police launched an investigation into the first recorded case of 'digital arrest' in December of last year after receiving a complaint from a Noida resident.
The victim fell victim to the fraud, losing more than Rs 11 lakh and facing a day-long 'digital arrest'. Perpetrators posed as police officers, impersonating an IPS officer from the CBI and the founder of a bankrupt airline, and implicated the victim in a manufactured money-laundering case.
Government's response to frauds
The Indian Cyber Crime Coordination Centre (I4C) and the Department of Telecommunications (DoT) are collaborating to combat the influx of spoof calls coming from abroad. These callers falsely claim to be from law enforcement authorities such as the Narcotics Control Bureau or the Central Bureau of Investigation, among others, and claim 'digital arrests'.
In addition, I4C has partnered with Microsoft to fight the abuse of law enforcement emblems. These logos are regularly used by scammers abroad to take money from Indian nationals.
To raise awareness, I4C has released infographics and videos on its social media platform Cyberdost and its X (Twitter), Facebook, and Instagram pages. The Ministry has asked citizens to remain vigilant and raise awareness about cybercrime.
How to stay safe?
If you get a similar call or message, contact the authorities. The government of India has launched the Chakshu portal on the Sanchar Saathi website to combat cyber and online fraud. Individuals can also report similar incidents using the cybercrime helpline 1930 or online http://www.cybercrime.gov.in.
