Rs 58 crore 'digital arrest' case: International network linked to China, other countries found

The Maharashtra Cyber Department probing a Rs 58 crore "digital arrest" fraud case in Mumbai has found an international network with links extending to Hong Kong, China and Indonesia, an official said.

In one of India's biggest reported 'digital arrest' scams, cyber fraudsters siphoned off Rs 58 crore from a Mumbai-based businessman by posing as Central Bureau of Investigation (CBI) and Enforcement Directorate (ED) officials between August 19 to October 8 this year.

The entire racket operated through cryptocurrency transactions with the stolen funds routed abroad via multiple crypto wallets, the official said on Tuesday.

"The cyber department has found an international network with links extending to Hong Kong, China and Indonesia" in the Rs 58 crore "digital arrest" case, he said.

Investigators found that the gang worked through a series of commission-based bank accounts.

The fraud came to light after the businessman filed a complaint, stating he had received a phone call from someone claiming to be a CBI officer. The caller intimidated him into joining a video call under the guise of an official inquiry and, over several hours, managed to siphon off Rs 58 crore from his accounts.

During the investigation, the cyber police found it was not an isolated case, but part of a large international syndicate that has been targeting Indian citizens for more than a year, the official said.

Officials estimate that scams of this nature may have collectively generated more than Rs 2,000 crore, exploiting victims across India through "digital arrest" tactics and cryptocurrency manipulation, he added.

'Digital arrest' is a growing form of cybercrime in which fraudsters pose as law enforcement officials or personnel of government agencies and intimidate victims through audio/video calls. They hold the victims hostage and put pressure on them to pay money.

Maharashtra Cyber is a nodal agency for cybersecurity and cyber investigation for the state.