In digital arrest cases, golden hour crucial for cops to act
DIGITAL arrest is not a legal term but a cyber extortion scam where victims are coerced by impersonated officials into paying money or sharing data. Digital arrest scams operate like global corporations. At the base are mule accounts — bank accounts run by coerced or unaware individuals to move stolen funds. The middle tier includes scam centres with trained staff impersonating officials through fake calls and documents. At the top, masterminds control strategy and finances from abroad. Funds are routed through layers of mule accounts, shell firms, forged cards and cryptocurrency to evade detection.
In digital arrest scams, the “golden hour" — the first four hours after a fraud — can determine whether funds are recovered or lost. During this window, banks flag suspicious activity while police act with intelligence and investigation. Swift coordination is key to disrupting the scam in real time.
Banks must evolve from transaction facilitators to proactive cybersecurity partners. With scammers using spoofed identities, leaked data and fake authority setups to instil fear even in educated victims, banks are well-positioned to detect and block fraud in motion. AI- and ML-driven systems should flag anomalies like large or rapid transfers, new payees or sudden liquidations. Integration with the DoT’s Financial Fraud Risk Indicator (FRI) allows real-time risk profiling of mobile numbers and automatic blocking or delay of high-risk transactions. Verification must be strengthened with behavioural biometrics (unique user habits) and device fingerprinting (device traits), to prevent unauthorised access.
Tackling mule or temporary accounts used to move stolen funds and shield culprits is critical. A 2024 BioCatch report found each mule-linked device in India accessed 35 accounts on average, with hotspots in Bhubaneswar, Navi Mumbai and Lucknow. Fraudsters lure individuals via fake job offers or agents, sometimes aided by bank insiders. Banks must use advanced analytics to spot suspicious patterns like frequent small deposits followed by large withdrawals and enforce strict KYC during account opening.
Customer education is equally vital. Banks should run continuous awareness campaigns via SMS, email and social media to alert users about red flags like isolation tactics, fake legal notices or coercive video calls.
Equally important is real-time coordination with Indian Cyber Crime Coordination Centre (I4Cs) 1930 helpline and NCRP portal. Acting within the golden hour greatly improves chances of fund recovery through swift freezing and tracing of money trails.
The police should increasingly adopt pre-emptive cyber intelligence operations to intercept scams in real time. Recently, the Tamil Nadu Cyber Intelligence Wing detected two digital arrest scams in Coimbatore. Officers reached a doctor’s home just in time; he had already lost Rs 2.9 crore and initially refused to open the door, believing the arrest was real. The case highlights both the seriousness of such scams and the value of timely intervention. While the police don’t monitor bank activity directly, they can act swiftly through closer collaboration with financial institutions via the Citizen Financial Cyber Fraud Reporting and Management System (CFCFRMS) platform.
The police should combat digital arrest globally via Interpol operations like First Light and HAECHI V to dismantle cross-border syndicates. Ultimately, banks detect, the police intervene, forming a hyperlocal cyber shield. Swift action, strong coordination and public vigilance are key to stopping these scams.
Sharad S Chauhan is DGP and MD, Punjab Police Housing Corporation.
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