Digital Arrest Scam: How An 81-Year-Old Businessman Lost ₹15.45 Crore In 40-Day Psychological Hostage

An 81-year-old businessman from Belagavi, Karnataka, has lost over Rs. 15.45 crore to cybercriminals who kept him psychologically hostage for nearly six weeks under the guise of a so-called "digital arrest" one of the largest such frauds reported in the state this year.

The trap: Naresh Goyal, Fake CBI badges and forged documents

The victim, identified as Ajit Gopalkrishna Saraf, received a call on February 5 from a person claiming to be a senior CBI officer named K. Siva Subramanyam, who alleged that Saraf had dealings with former Jet Airways chairman Naresh Goyal and was implicated in money laundering. The Hindu reports that the caller produced fake documents purportedly issued by the CBI and the RBI vigilance cell. The fraudsters claimed the victim had received a Rs. 5 lakh commission for laundering Rs. 25 lakh, and that complaints had been filed against him for illegal financial activities.

A second fraudster, posing as George Mathew from the RBI vigilance wing, soon joined the calls. Together, they pressured Saraf to furnish details of his fixed deposits and equity investments, and coerced him into liquidating his FDs and stock holdings with Motilal Oswal. Throughout the ordeal, the fraudsters assured Saraf that all transferred funds would be returned once the "investigation" was concluded.

Complaint filed, Rs. 90 lakh frozen

Saraf grew suspicious when he received no further communication and found all contact numbers untraceable, prompting him to approach police. A complaint was registered at the Belagavi City Cyber, Economic and Narcotics (CEN) police station. Police have since frozen bank accounts linked to the accused, including one containing Rs. 90 lakh, and Belagavi Police Commissioner Borse Bhushan Rao Gulabrao has constituted a special team to trace and arrest the culprits.

Not the first case in Karnataka

The case is not an isolated one. According to the Karnataka Home Department, the state lost Rs. 11.6 crore to digital arrest fraud in just January and February 2026. Since 2023, such scams have collectively extorted over Rs. 468.6 crore from victims across Karnataka. A 94-year-old research scholar lost Rs. 5 crore to a similar scam earlier this month, while a 78-year-old Bengaluru woman lost Rs. 38 lakh after fraudsters posing as NIA officials placed her under "digital arrest" on March 11.

What to do in case of such calls?

Cyber experts warn that no legitimate law enforcement agency conducts investigations via phone or video call, and urge citizens to immediately disconnect such calls and report them to the national cyber helpline at 1930.