Supreme Court orders coordinated crackdown on digital arrest scams and mule accounts
The Supreme Court instructed banks, regulators and police across the country to jointly tackle digital arrest fraud and improve recovery of stolen funds.
In a nationwide directive, the Supreme Court called on all banking institutions, financial intermediaries, regulatory bodies and law-enforcement agencies to cooperate against the surge in digital arrest scams. It also mandated that every state set up mechanisms for swift grievance handling and restitution of victims' money. The court further asked the Reserve Bank of India to provide a standard operating procedure for dealing with mule accounts used in such schemes.
Why it matters
Coordinated action can curb online scams and help victims recover lost money.
In this story
digital arrest scamscyber fraudmoney restorationgrievance redressalnationwide actionSOPmule accountsfinancial coordination