Supreme Court Orders Nationwide CBI Probe into Digital Arrest Scams, Seeks Accountability of Bank Officials and Stronger Cybercrime Coordination
The Supreme Court on Monday directed the Central Bureau of Investigation (CBI) to conduct a nationwide investigation into the alarming rise of digital arrest scam cases across India.
The court also instructed the agency to examine the suspected involvement of bank officials who allegedly colluded with cybercriminals to cheat unsuspecting citizens.
A Bench headed by Chief Justice of India Surya Kant, along with Justice Joymalya Bagchi, questioned the Reserve Bank of India (RBI) over why advanced Artificial Intelligence tools were not being used to trace and freeze fraudulent bank accounts used by scam networks.
The court asked opposition-led states such as Punjab, West Bengal, Tamil Nadu, Karnataka and Telangana—which had withdrawn general consent for CBI investigations under the Delhi Special Police Establishment Act, 1946—to approve so the agency can conduct a unified, all-India probe into the large-scale scam.
Granting complete authority to the CBI, the Bench instructed it to prioritise cases specifically linked to digital arrest fraud, while other cybercrime categories may be examined later.
The court also directed IT service providers to fully cooperate by sharing relevant data and technical support whenever required.
Emphasising the seriousness of financial fraud through mule bank accounts—those opened under false identities to route illegal funds—the Bench made it clear that states, union territories and police forces are free to freeze any suspicious accounts used to siphon money from victims.
To enhance coordination, all states and UTs were ordered to establish regional and state-level cybercrime coordination centres.
Solicitor General Tushar Mehta was asked to collect and present the views of the Home Affairs, Department of Telecom, Finance Ministry and Ministry of Electronics and Information Technology in the next hearing.
Digital arrest scams involve criminals pretending to be police, court or government officials and threatening victims through audio or video calls, forcing them to make large payments under fear of arrest or prosecution.
Expressing shock that cybercriminals have extorted over ₹3,000 crore from citizens—many of whom are elderly—the Supreme Court had earlier vowed to take harsh measures to combat the menace.
The remarks came after reviewing a sealed cover report from the Ministry of Home Affairs and the CBI submitted on November 3.
The matter first came to the court’s attention after it took suo moto cognisance of a case in Ambala, Haryana, where a senior couple was trapped through forged court orders and extorted of more than ₹1.05 crore between September 3 and 16, 2025.
The woman revealed that criminals impersonating CBI, ED and judicial authorities used forged documents carrying fake seals and arrest orders to threaten them with custody.
The Supreme Court, in an earlier order dated October 17, had strongly condemned the forgery of court documents, calling it a direct attack on the dignity and authority of the judiciary.
It stressed that such offences cannot be viewed as ordinary cybercrime but rather a serious breach of public trust and the rule of law.
The Bench stated that it was horrified by the misuse of the Supreme Court’s name and seal, clarifying that the case demanded more than routine investigation efforts and required central intervention.
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