Mumbai, August 27: A 64-year-old retired bank operations manager from Juhu, Mumbai, allegedly lost ₹3.8 crore in a ‘digital arrest’ cyber fraud after criminals posing as officers of the Mumbai and Lucknow Anti-Terrorism Squads (ATS) kept him under virtual surveillance for nearly 10 days. The fraudsters allegedly claimed that a bank account had been opened in his name in Jammu and Kashmir and that ₹7 crore deposited in it had been used to finance terrorist activities.
Under sustained pressure and threats, the victim allegedly transferred ₹3.8 crore, including his retirement savings, to multiple bank accounts. The West Cyber Police registered an FIR on August 21 following his complaint.
According to the police, the fraud proceeds were routed through around 150 bank accounts, including accounts allegedly used as mule accounts. Investigators have so far managed to freeze nearly ₹2 crore, while efforts are underway to trace and recover the remaining amount.
Fraud Began With a Fake ATS Officer
According to the police, the fraud started around 12:50 pm on August 7 when a man allegedly contacted the retired bank official while posing as Sub-Inspector Akash Sharma from the ATS headquarters in Colaba.
The caller allegedly told him that an illegal SIM card had been purchased in his name on July 31 and linked to his Aadhaar details. He was then instructed to contact another person through a WhatsApp number.
The second caller allegedly identified himself as Lucknow ATS Inspector Prem Kumar Gautam. He claimed that the victim’s identity documents had been used to open a bank account in Jammu and Kashmir.
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The fraudsters allegedly sent him a fabricated RBI letter claiming that the Supreme Court had issued an arrest warrant against him. They also allegedly linked his name to the arrest of a suspected terrorist identified as Asif Fauji and claimed that he was being investigated in a money laundering case.
Victim Allegedly Kept Under Video Surveillance
The fraudsters allegedly forced the victim to remain connected through video calls for extended periods and instructed him not to speak to family members. He was allegedly threatened that his relatives would also be arrested if he failed to follow their instructions.
The accused allegedly assured him that the money transferred during the investigation would eventually be returned and that he would receive a “non-involvement certificate” after the proceedings were completed.
Believing the claims and fearing arrest, the victim allegedly transferred a total of ₹3.8 crore to various bank accounts.
Suspicion Arose After More Money Was Demanded
The victim reportedly became suspicious after transferring the entire ₹3.8 crore, when the fraudsters allegedly continued demanding additional payments.
When he asked for his money to be returned, the accused allegedly continued pressuring him by giving new reasons for further payments. He subsequently contacted a friend who works as a bank manager.
After reviewing the circumstances, the friend reportedly told him that he had been targeted in a cyber fraud. The victim then approached the police and lodged a complaint.
Money Routed Through 150 Bank Accounts
The police investigation reportedly found that the fraud proceeds were initially transferred to four bank accounts before being moved through a network of around 150 accounts across different states. Some of these accounts were allegedly being used as mule accounts to layer and move the stolen money.
Investigators have frozen nearly ₹2 crore so far. Efforts are continuing to trace the remaining funds and identify the individuals operating the accounts.
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Renowned cybercrime expert and former IPS officer Prof. Triveni Singh said digital arrest scams work by creating intense psychological pressure using the names of police, courts, regulators and other government institutions.
He said legitimate investigating agencies do not place individuals under continuous video surveillance and compel them to transfer money as part of an investigation. Victims should independently verify such claims with the concerned police department or bank instead of acting under pressure.
Police Trace Money Trail and Suspected ATS Impersonators
Police are now examining the bank accounts involved, the trail of fund transfers and the identities of the people who allegedly posed as ATS officials. Investigators are also trying to determine the final beneficiaries of the ₹3.8 crore and establish how the money moved through the network.
The case highlights how organised cybercrime groups continue to exploit fear of law-enforcement action to target financially capable individuals, particularly by combining fake official documents, impersonation, video surveillance and threats of arrest.
About the author — Ananya Aradhya writes on cybercrime, fraud, scams, cybersecurity, digital safety, and emerging threats. Her work also covers major criminal cases, financial frauds, consumer scams, and stories that highlight risks affecting people in the real and digital world.
