Cybercrime epidemic in India: Urgent need to curb mounting fraud

India’s cybercrime hotspots demand immediate attention as financial scams and sextortion devastate countless lives

Shubh Arora | FPJ

Mumbai

Between January and April 2024, Indian citizens lost over Rs 1,750 crore to cybercrime. This alarming figure stems from over 740,000 complaints lodged on the National Cybercrime Reporting Portal, highlighting a troubling surge in online fraud. According to the Cyber Crime Coordination Centre (I4C), approximately 7,000 complaints are registered daily an astounding 113.7% increase from 2021-2023. Indians now lose an average of `1.5 lakh per minute to faceless scammers. A recent study by an IIT Kanpurbacked startup identified ten districts as major cybercrime hubs.

Bharatpur, known for its bird sanctuary, leads with 18% of cybercrime activities, followed by Mathura at 12% and Nuh at 11%. Locations like Deoghar and Jamtara in Jharkhand are notorious for organized cybercrime networks, fueled by low digital literacy and a lack of specialized cybercrime units. Different regions have developed niches in cybercrime. Rajasthan specializes in sextortion, OLX fraud, and fake customer care schemes. Jharkhand excels in loan app harassment, matrimonial frauds, and investment scams, while Bihar is notorious for credit and debit card fraud. Meanwhile, states like Gujarat, Andhra Pradesh, Assam, Maharashtra, and Karnataka are witnessing a significant rise in digital scams.

The absence of robust law enforcement in rural areas, coupled with technological advancements, allows cybercriminals to operate with impunity. While financial frauds dominate, online sextortion scams are increasing at an alarming rate. These cases often go unreported due to social stigma, leaving victims vulnerable to exploitation and, in extreme cases, suicide. Tragically, these scams cut across all age groups. In Kolkata, a 15-year-old girl ended her life after a morphed image surfaced online. A teenager from Ahmedabad resorted to theft and later suicide after extortionists drained his father’s savings. Adults are not immune either; a 55-year-old Pune man and a Santacruz-based cook took their lives under similar threats. The sums involved are staggering.

A Nagpur pharmacist was swindled out of Rs 60 lakh in a forex scam over three months. These incidents underscore the urgent need for stronger safeguards. Cybersecurity experts warn that insiders within banks and telecom companies often leak sensitive customer data to scammers. Employees in outsourcing firms and vendors are frequently implicated in these breaches, perpetuating the cycle of exploitation. The west offers a model for tackling this menace. Governments there enforce stringent laws, holding platforms like Meta accountable for curbing cybercrime. In Nigeria, for instance, Facebook and Instagram purged over 63,000 accounts linked to sextortion scams. Such proactive measures are largely absent in India, where cybercrime convictions remain rare.

India must prioritize addressing cybercrime hotspots and strengthening enforcement mechanisms. Platforms like Meta should adopt measures such as hiding the followers and following lists of teenagers, as these are common leverage points for sextortionists. Users must also be encouraged to adopt safer online behaviors and avoid projecting a flashy lifestyle. Social media giants need to recognize sextortion and other cyber frauds as major financial crimes. Western tech companies face mounting lawsuits from victims’ families and public officials— pressure that has driven reforms. India must follow suit, holding platforms accountable for hosting and enabling criminal activity. The writer recounts their own harrowing encounter with cybercriminals. After downloading a fraudulent app, they faced relentless extortion threats.