Cyber crackdown: On the investigation into cyber-crime
Tackling digital arrest scams also needs global action
The Supreme Court’s direction to the CBI to conduct a pan-India investigation into cyber-crimes, and “digital arrest” scams in particular, might seem extraordinary, as such directions normally require State government consent. But by doing so, the Court has acknowledged the severity of the menace that transcends State jurisdictions and boundaries. The Court’s prioritisation of the “digital arrest” scam — fraudsters impersonate police or government officials in a video call, falsely accuse victims of crimes, and pressure them to transfer money to avoid arrest — is fully warranted. The government has estimated that this scam, which often targets senior citizens, has resulted in losses exceeding ₹3,000 crore. The Court has asked the CBI to target not just the scammers but also banking officials who facilitate the creation of “mule” accounts. This is necessary as these scams depend on a malleable financial architecture and therefore require the intervention of agencies such as the RBI, which has also been instructed by the Court to employ Artificial Intelligence and Machine Learning to trace the “layering” of proceeds through multiple accounts. The Court has also asked online intermediaries to cooperate with the CBI, invoking the IT Rules 2021. The Court is also right in asking the CBI to investigate other scams such as investment schemes and part-time job scams, subsequently.
The severity of cyber frauds, as National Crime Records Bureau data indicate, has risen significantly. However, while the judiciary and domestic policing can address the symptoms within India, the problem has another dimension — it is also transnational. The burgeoning of “scam centres” — compounds where trafficked workers, unable to escape due to violence, confiscated documents or debt bondage, are forced to run online fraud operations — in conflict-ridden zones of Southeast Asia suggests that the solution requires robust international diplomacy. The U.S., for instance, has established a Scam Center Strike Force to tackle the issue. Furthermore, Myanmar remains a hotbed for these operations, primarily because the illegally ruling junta benefits from taxing the proceeds of such crimes. Tackling this requires moving beyond bilateral requests. New Delhi must act in cohesion with ASEAN and the UN to sanction the illegal regime and cut off the financial lifelines of these modern-day slavery sweatshops. Domestically, the battle must also be fought on the grounds of digital literacy and capacity. As daily life and governance become increasingly digitised, there remains a glaring deficit in cyber awareness among the population. States, local administrations, and the RBI must launch widespread awareness campaigns. Simultaneously, there is an urgent need to upgrade the digital capabilities of State police.