SC tells CBI to probe all digital arrest cases

The Supreme Court empowered the CBI to investigate digital arrest scams, directing states to assist and allowing action against bank staff involved.

The Supreme Court on Monday granted sweeping powers to the Central Bureau of Investigation (CBI) to probe digital arrest scam cases across the country, directing states and Union territories to grant sanction to the federal agency for probing such cases in their jurisdiction. The court further allowed CBI to initiate action against complicit bank staff and get relevant information from social media intermediaries and telecom operators to net the culprits involved in the scam.

The directions come in a suo motu proceeding initiated by the apex court on October 17. (HT)

A bench of Chief Justice of India (CJI) Surya Kant and justice Joymalya Bagchi also sought the response of the Reserve Bank of India (RBI) on implementing artificial intelligence (AI) or machine learning technology to identify and freeze bank accounts used by cyber criminals.

“The digital arrest scam undoubtedly requires immediate attention of the premier investigation agency and therefore we proceed further with a clear direction that CBI shall investigate cases reported as Digital Arrest scam,” the bench said in its order.

The directions, which came in a suo motu proceeding initiated by the apex court on October 17, cleared the path for CBI to undertake a comprehensive probe by removing all possible roadblocks, legal and administrative.

“All states and UTs are directed that wherever FIR is registered under the penal laws or the Information Technology Act, sanction under section 6 of DSPE (Delhi Special Police Establishment Act) Act shall be accorded for investigation to be undertaken by CBI in those cases,” the court ordered.

Earlier, the court had expressed serious concerns over surging cases of digital arrest — a form of cybercrime in which fraudsters impersonate officials or personnel of law enforcement, court or government agencies to intimidate victims through audio and video calls. They hold the victims, mostly elderly people, hostage and put pressure on them to pay money. According to the Union government, the digital arrest cases have duped victims of ₹3,000 crore till date.

Considering the “magnitude” and reach of the crime, the court permitted CBI to requisition help from the Interpol to pursue the offenders to islands often used as “cybercrime havens”.

The court gave CBI a “free hand” to probe the role of bankers in unearthing their role under the Prevention of Corruption (PC) Act in opening of new bank accounts used by those involved in the digital arrest fraud and allowed both the federal agency and state police force to “freeze” such bank accounts that are traceable to cybercrimes even without a first information report (FIR).

The CJI-led bench also directed social media intermediaries and telecom service providers (TSP) to provide content data and details of SIM cards as required by CBI. It also asked the intermediaries to preserve the data on phones used in such crimes. The bench also flagged the “alarming” issue of multiple SIM cards issued to a single user and called for the department of telecommunications (DoT) to submit a proposal that could serve as binding guidelines against TSPs to prevent misuse of SIM cards.

“There can be no second opinion that every type of cybercrime which leads to defrauding victims, especially senior citizens, requires to be investigated,” the court ruled.

Reminding social media intermediaries of their obligations under the IT Rules on Intermediary Guidelines and Digital Media Ethics Code 2021, the court said, “The intermediaries under the 2021 IT Rules are directed to cooperate with CBI in providing full assistance on graphics and content data for investigation of digital arrest cases as and when such information is required.”

The top court had initiated the suo motu proceedings on a letter from an elderly Haryana couple, who were defrauded of over ₹1 crore in a digital arrest scam. As more victims from around 14 states approached the court with similar complaints, the court sought assistance from CBI and solicitor general Tushar Mehta appearing on behalf of the Centre.

The court appointed senior advocate NS Nappinai as amicus curiae, who pointed out that besides digital arrest, fraudsters were duping victims through investment scam and part-time job scam. The court said after monitoring the digital arrest scam, it will take up the other two categories at a later stage.