The Supreme Court of India has ordered the Central Bureau of Investigation (CBI) to conduct a nationwide investigation into the rising cases of "digital arrest" scams. The court has directed all state governments to cooperate with the CBI in investigating these cases within their jurisdiction.
A bench comprising Chief Justice of India Surya Kant and Justice Joymalya Bagchi also issued a notice to the Reserve Bank of India (RBI), seeking an explanation as to why Artificial Intelligence (AI) or machine learning technology is not being used to identify and freeze bank accounts used in cyber fraud cases. The court also directed the CBI to investigate the potential involvement of bank officials who may be colluding with the scammers. The CBI has been granted broad authority to investigate bankers involved in opening accounts used in these scams.
Digital arrest is a growing form of cybercrime where fraudsters pose as law enforcement, court officials, or government personnel to intimidate victims through audio and video calls. They hold the victims "hostage" and pressure them to pay money. The court noted that senior citizens are often targeted by these cybercriminals, who extort their hard-earned money. According to a note provided by the Union government, over ₹3,000 crore has already been swindled from victims, primarily elderly individuals, through these "digital arrests".
The Supreme Court has directed information technology (IT) intermediaries to cooperate with the CBI and provide details relevant to the digital arrest cases. The court also instructed the CBI to seek assistance from Interpol to reach cybercriminals operating from offshore tax haven countries. The Department of Telecom has been directed to ensure that telecom service providers do not issue multiple SIM cards to a single user, which could be used for cybercrimes.
To improve coordination, the bench has directed all states and union territories to establish regional and state cybercrime coordination centers to address these online offenses. The court has clarified that all states, union territories, and their police agencies, along with the CBI, are authorized to freeze bank accounts used in defrauding citizens.
The Supreme Court's decision to entrust the CBI with a pan-India investigation, overriding state consent, is an extraordinary step. The court has directed the CBI to identify police officers from different states and domain experts to assist in the investigation. The court has stated that it will monitor the progress of the CBI investigation and issue any necessary directions to address these crimes.
