Cyber Scams in India: Rs 11,333 Crore Lost in Just 9 Months in 2024
In a shocking revelation, India has lost approximately Rs 11,333 crore to cyber fraud in the first nine months of 2024, according to data compiled by the Indian Cyber Crime Coordination Centre (I4C). The report underscores the rapidly growing cyber crime landscape and the need for increased vigilance in digital spaces.
The Growing Menace of Cyber Fraud in India
Cyber scams have been on a rise in India, with as many as 12 lakh complaints of cyber fraud being reported in 2024 alone. According to the I4C, under the Ministry of Home Affairs (MHA), the highest share of these crimes pertains to stock trading scams, resulting in losses of Rs 4,636 crore from 2,28,094 complaints. Apart from this, investment scams were responsible for Rs 3,216 crore loss on 1,00,360 complaints, and digital arrest frauds caused Rs 1,616 crore to be stolen on 63,481 complaints.
Southeast Asia's Role in Cyber Fraud
One of the shocking discoveries in the report by I4C is the growing involvement of fraudsters operating from Southeast Asian countries. The data shows that close to 45% of the cyber frauds reported in India in 2024 have been traced to Cambodia, Myanmar, and Laos. The Citizen Financial Cyber Fraud Reporting and Management System (CFCFRMS), since 2021, has received a whopping 30.05 lakh complaints with total losses pegged at ₹27,914 crore.
Types of Cyber Scams
The most prevalent types of cyber scams in India have been stock trading scams, investment frauds, and digital arrest frauds. Digital arrest frauds, wherein fraudsters impersonate government officials or law enforcement agents, have raised serious concerns, especially after Prime Minister Narendra Modi mentioned these cyber frauds in his 115th edition of 'Mann Ki Baat'. Modi categorically stated that no agency will ever call anyone over phone or through video calls for investigation, and asked the general public to be aware and beware of such fraudulent practices.
Methods of Cyber Fraud and Laundering
Fraudulent money is generally withdrawn through cheques, CBDC, fintech crypto, ATMs, merchant payments, and e-wallets. One of the major initiatives to address these cyber frauds involves the freezing of mule bank accounts, which are bank accounts used for laundering the proceeds of cybercrime. In fact, about 4.5 lakh mule bank accounts have been frozen in the last one year.
Challenges in Tackling Cyber Crime
However, despite these, I4C has listed some of the challenges investigators are facing while investigating cyber fraud cases. Anonymity due to the use of digital wallets, foreign money exchanges, and VPNs hampers investigations. Then, scams relating to cryptocurrency frauds coming from abroad are thriving unabated. To check the issues, the I4C with the help of the telecom ministry has blocked more than 17,000 WhatsApp accounts attributed to cybercriminals from Southeast Asia.
A Call for Awareness in the Digital Space
With cybercrime increasingly becoming more sophisticated, there is a growing need for digital literacy and awareness among citizens. Since fraudsters employ highly tactical methods to deceive people, one needs to be very vigilant and well-informed to avoid financial losses and the compromise of personal data.
While the Indian government has also been taking various efforts through initiatives like the I4C towards meeting these emerging threats, public participation in identifying and reporting cyber frauds remains paramount. And this is where all of us come into play by keeping watchful eyes on each and every unsolicited call or offer that comes our way.
Stay Alert, Stay Safe!
The increase in cyber threats calls for continued awareness among individuals of various cyber scams. Always validate any financial transaction and immediately report the suspicious activity to the law. Prevention will always be better than cure for cyber fraud.