CBI Steps In! Supreme Court Orders Probe as ‘Digital Arrest’ Racket Traces Back to Thailand

New Delhi:The Supreme Court on Monday said it might ask the CBI to investigate the growing number of cyber fraud and 'digital arrest' cases - in which people are cheated of hard-earned money by gangs of criminals posing as government or police officers, or even members of the judiciary.

The court also noted a submission by Solicitor General Tushar Mehta. Appearing for the Central Bureau of Investigation, Mehta said some cases originated from foreign locations like Myanmar and Thailand. The court then directed the CBI to come up with a plan to probe these cases.

"We need a uniform investigation into 'digital arrest' cases across India," a bench of Justice Surya Kant and Justice Joymalya Bagchi said, "We are inclined to entrust the matter to CBI... because the criminals may be operating across India... or maybe even from across the border."

The court then asked the CBI if it needs more resources, including cyber experts. "We can monitor the progress... issue whatever directions are necessary," the court added, taking the first step by handing the agency the case of an elderly couple from Haryana's Ambala, who were cheated of their life savings while under 'digital arrest' for 16 days last month.

READ | Supreme Court Issues Notice To Centre Over Rising Digital Arrest Cases
In that case, the fraudsters displayed forged orders of the Supreme Court on WhatsApp and video calls, carrying the purported signature of former Chief Justice of India Sanjiv Khanna. Under the threat of arrest based on those forged documents, the couple was coerced into transferring Rs 1.5 crore through multiple bank transactions.

The court, which remarked "nothing is being done (to help such victims)", also issued notices to all state and union territory governments seeking details of digital frauds in their respective areas.

The court then set November 3 as the next date of hearing.

In the last hearing, which was on October 17, the court had issued notices to the centre and the Haryana government, as well as the CBI and the Cyber Crime Department of Ambala Police.

The court then said such crimes strike at the "foundation" of public trust in the system. During today's hearing, the Solicitor General responded to the point about "nothing being done" to say detailed meetings had been held, and that "the issue is greater than anticipated".

On the transfer of multiple cases to the CBI, Mehta expressed concern that "this might delay the process", and said he would consult the central agency for further directions. He pointed out the agency is already investigating some of these offences, with help from the Union Home Ministry. Referring to cases in which fraud is perpetrated by criminals based abroad, as in the case of Thailand and Myanmar, the Solicitor General called them "scam compounds".

"The problem is volume (i.e., the number of cases). We have seen this in Ponzi cases... the pressure on the CBI was too much and they wanted to offloads some cases," Justice Surya Kant noted, after Justice Bagchi asked the agency if it is ready for an "exclusive investigation".

The court noted the CBI could face different challenges in an investigation with an international angle, and said, "They might be required to coordinate with Interpol, local offshore police..." The court, however, pointed to established protocol, including a United Nations convention on sharing of intelligence in cases of cybercrimes.