Supreme Court Directs CBI on ‘Digital Arrest’ Scams

The Supreme Court has tasked the Central Bureau of Investigation (CBI) with tackling 'digital arrest' scams, granting the agency broad authority to investigate corruption involving bankers who open mule accounts linked to such cybercrimes.

Background and Context

• A significant ₹3,000 crore has been scammed from victims, primarily the elderly, through these scams.
• The apex court has prioritized investigating digital arrest scams over other cybercrimes such as fraudulent investments and part-time job scams.

Details of the Supreme Court Order

• The CBI is directed to conduct a pan-India investigation without requiring state consent, a rare judicial step reserved for exceptional circumstances.
• States like Bihar, Tamil Nadu, and others must consent under Section 6 of the Delhi Special Police Establishment Act for investigations under the Information Technology Act, 2000.
• The court emphasized working with Interpol to track international cybercrime havens.

Implementation Measures

• The Reserve Bank of India is involved to explore using AI and Machine Learning to trace the movement of crime proceeds through bank accounts.
• Online intermediaries are required to support the CBI by providing relevant data.
• States and Union Territories must establish regional cybercrime centers linked to the Indian Cybercrime Coordination Centre (I4C).

Telecom Industry Concerns

• Negligence in SIM card issuance by telecom operators was criticized, highlighting the issuance of multiple SIMs in the same name.
• The Telecom Department is to propose measures to prevent SIM misuse.

Classification of Cyber Frauds

• Advocate N.S. Nappinai classified frauds into digital arrest, fraudulent investments, and part-time job promises, stressing the need for immediate action to protect victims, especially senior citizens.

The Supreme Court's decisive actions underscore the urgency and seriousness with which digital arrest scams are being addressed, ensuring comprehensive strategies and collaborations to mitigate these frauds.