Despite government efforts to rein in cybercrime, digital fraud in India has spiralled into a full-blown crisis, stripping citizens of more than INR 1400 crore (≈$1.7 billion) over the past four and a half years.
New data presented in Parliament last week by Minister of State for Home Affairs Nityanand Rai underscores the speed and scale of the problem. In 2023, cybercriminals siphoned nearly INR 200 crore, but that figure ballooned to more than INR 825 crore in 2024—an almost fourfold surge within a year. “The pace of cyber fraud is far outstripping the state’s capacity to respond,” said a senior police officer, noting that while recovery rates have improved to 20–25 per cent in Delhi, most victims never see their money returned.
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A Post-Pandemic Spike
Experts say the pandemic accelerated India’s digital dependence—online banking, e-commerce, and digital payments surged, offering fertile ground for fraudsters. From phishing links disguised as bank alerts to fake investment schemes, scams have grown in sophistication, targeting both ordinary citizens and high-net-worth individuals.
Policing the Digital Frontier
In 2021, then-Delhi Police Commissioner Rakesh Asthana announced the establishment of dedicated cybercrime stations in all 15 city districts. Resources and personnel have since expanded, and officers now receive specialised training. Yet the infrastructure still lags behind the challenge.
The statistics presented in Parliament raise troubling questions: In the first six months of 2025, only 184 cybercrime cases were registered in Delhi, totalling about INR 71 crore in losses. Analysts warn the low numbers may reflect underreporting, bureaucratic bottlenecks, or difficulties in tracking cross-border fraud rings.
A Looming National Challenge
India’s rapid digitalisation has often been hailed as a success story, bringing millions into the formal economy. But the same ecosystem now poses risks that threaten public trust in digital banking. With cybercriminals often operating across jurisdictions, experts argue that India must strengthen coordination between state police, central agencies, and global enforcement bodies.
Until then, millions of Indians remain vulnerable. As one cybercrime expert put it: “Fraud has become a parallel economy—fast, invisible, and devastating.”