'Digital arrest' frauds cost Indians ₹120 crore in January-April
What's the story
Between January-April 2024, Indians lost a whopping ₹120.30 crore to "digital arrest" scams, Indian government's cybercrime data revealed. Online fraud has recently come to the fore and was even mentioned by Prime Minister Narendra Modi in his 115th episode of Mann Ki Baat yesterday. Myanmar, Laos, and Cambodia have been identified as the main bases for the fraud by the Indian Cybercrime Coordination Centre (I4C), under the Ministry of Home Affairs (MHA).
Fraud origins
Southeast Asian countries identified as fraud hotspots
The I4C's analysis found that nearly half (46%) of the cyber frauds reported between January and April, were traced back to Myanmar, Laos, and Cambodia. These scams led to victims losing an estimated ₹1,776 crore. The data was collated from the National Cybercrime Reporting Portal (NCRP), inputs from states and Union Territories (UTs), and open-source information.
Complaint increase
Surge in cybercrime complaints recorded
The NCRP also noted a sharp rise in cybercrime-related complaints. Between January 1 and April 30, the portal received 7.4 lakh complaints, as opposed to 15.56 lakh complaints for the whole of last year (2023). This is a major increase from the 9.66 lakh complaints recorded in 2022 and the 4.52 lakh in the year prior (2021).
Categories
Four major types of scams identified
The I4C has flagged four major types of scams: digital arrest, trading scam, investment scam (task-based), and romance/dating scam. "We found that Indians lost ₹120.30 crore in digital arrest, ₹1,420.48 crore in trading scam, ₹222.58 crore in investment scam, and ₹13.23 crore in romance/dating scam," said Rajesh Kumar, Chief Executive Officer (I4C).
Scam strategy
Modus operandi of 'digital arrest' scams
In a typical "digital arrest" scam, fraudsters contact potential victims, claiming they have sent or are due to receive a parcel containing illegal items. The scammers then pose as law enforcement officers and demand money for a "compromise" and "closure of the case." In some instances, victims are "digitally arrested," meaning they are coerced into staying visible to the fraudsters until their demands are met.
PM's warning
PM Modi highlights 'digital arrest' fraud in Mann Ki Baat
PM Modi addressed the issue of "digital arrest" fraud in his Mann Ki Baat address. He played an audio-video clip of a man dressed as a police officer, asking a victim to share his Aadhaar number to block a mobile number. "This audio is not just for information... It has emerged with deep concern. The conversation you just heard pertains to the fraud of Digital Arrest," Modi said.