More than 21,900 complaints related to digital arrest fraud, involving over ₹647 crore, were registered across India between January 1 and August 31, 2026, according to a status report submitted by the Indian Cybercrime Coordination Centre (I4C) and the Ministry of Home Affairs (MHA) to the Supreme Court.
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The court had taken suo motu cognisance of the growing menace on October 17, 2025, following a letter from a senior citizen couple in Haryana who were cheated of more than ₹1 crore by fraudsters impersonating officers of the Central Bureau of Investigation (CBI) and Enforcement Directorate (ED). The suspects allegedly kept the couple under digital arrest through WhatsApp calls and video conferences, using forged Supreme Court orders to threaten them.
The report, filed on October 7, highlights measures being implemented by law enforcement agencies, banks, telecom operators and social media platforms to prevent digital arrest scams, recover stolen funds and strengthen safeguards for victims.
According to figures submitted earlier to the court, 1,23,672 complaints involving ₹1,935 crore were registered in 2024. The number declined to 58,239 complaints involving ₹1,211 crore in 2025.
Cybercrime Reporting Portal Expands, ₹332.7 Crore Restored
The Grievance Redressal Portal (GRP), launched by the Home Ministry in February, became fully operational nationwide in April 2026. By September 30, it covered 109 banks and 1.28 lakh branches across states and Union territories.
Of the 93,041 grievances received through the portal concerning cybercrime and cyber fraud, law enforcement agencies had acted on 60,638. The Supreme Court has directed states, Union territories, state legal services committees and high courts to publicise the portal.
The court also directed the establishment of State Cybercrime Coordination Centres (S4Cs) on August 4 to improve coordination and accelerate action on complaints. All states except Jharkhand have set up these centres.
An online zero First Information Report (FIR) mechanism is also being introduced, although Himachal Pradesh, Lakshadweep, Manipur and Nagaland have yet to operationalise it. According to the report, complaints under the e-Zero FIR mechanism have increased from 2% to 8% across states and Union territories.
The Money Restoration Portal (MRP), launched in April, has also facilitated refunds to cyber fraud victims. Against more than six lakh refund and restoration requests, law enforcement agencies issued 4.69 lakh orders, resulting in the restoration of ₹332.7 crore. Of this, banks have returned ₹112.96 crore to victims.
RBI Plans Stronger Banking Safeguards And Faster Compensation
The Reserve Bank of India (RBI) is considering amendments to its existing instructions on “Operations of Bank Accounts and Money Mules” to strengthen due diligence and transaction monitoring aimed at identifying accounts used to move fraudulently obtained money.
A draft standard operating procedure (SOP) is being prepared, with its implementation requiring integration with the GRP and MRP. The tentative deadline is December 2026, subject to the completion of technical development, integration and testing.
The RBI has also informed I4C and the inter-departmental committee (IDC) examining digital arrest fraud that it is considering additional safeguards, including delayed transactions or a lagged credit mechanism to prevent customers from losing money.
While some banks have supported the proposal, others have raised concerns about inconvenience to customers and its long-term effectiveness as fraud techniques evolve. A cost-benefit assessment is underway.
Separately, the RBI issued instructions titled “Customer Protection in Fraudulent Electronic Banking Transactions” on June 24, introducing compensation for small-value fraudulent electronic banking transactions and faster complaint resolution.
Effective January 1, 2027, the instructions will reduce the resolution period from 90 days to 45 days for domestic fraudulent electronic banking transactions and 60 days for cross-border cases.
Under the framework, an individual victim suffering a gross loss of up to ₹50,000 may receive compensation equivalent to 85% of the net loss or ₹25,000, whichever is lower. The benefit can be claimed only once in a lifetime, provided the fraud is reported to the bank and the National Cyber Crime Reporting Portal (NCRP) or helpline 1930 within five calendar days of its occurrence.
Several banks have already introduced additional safeguards, including Unified Payments Interface (UPI) payee and keyword blocking, disabling mobile banking during active calls, WhatsApp-based dispute resolution, in-app fraud reporting with immediate debit freezes and stricter verification of suspicious beneficiary accounts.
Other measures being developed include real-time alerts at bank branches for suspected digital arrest cases, behavioural biometrics, common customer risk scoring and closer monitoring of suspicious accounts.
CBI Arrests Over 49, Files Charge Sheets Against 140
The Supreme Court has directed the CBI to investigate digital arrest fraud cases involving ₹10 crore or more.
According to the status report, the agency has arrested more than 49 people and filed charge sheets against over 140 people since December 1, 2025.
The court has also examined technological interventions to prevent fraudsters from keeping victims on prolonged audio and video calls.
On August 4, it asked the Centre to consider a suggestion by amicus curiae and senior advocate NS Nappinai to introduce a “kill switch” mechanism that would automatically disconnect calls exceeding a specified duration.
The latest report states that major telecom service providers have already implemented a similar facility, with calls restricted to a maximum duration of 180 minutes.
WhatsApp, Telegram Raise Concerns Over ‘Kill Switch’ Proposal
As digital arrest scams frequently involve prolonged video calls, the Ministry of Electronics and Information Technology (MeitY) held discussions with Meta and Telegram in September to examine the technical feasibility of introducing a “kill switch”.
WhatsApp and Telegram raised practical concerns about implementing the proposed mechanism, although they supported the need for a graded approach.
Meanwhile, the inter-departmental committee examining digital arrest fraud is preparing a proposal addressing victim compensation and shared liability.
The Supreme Court is scheduled to hear the matter again on October 29.
