Chennai | Special Correspondent: In a troubling sign for India’s expanding digital economy, banks in Tamil Nadu appear to be lagging behind cybercriminals, with customers reporting fresh debits even after filing fraud complaints. The incidents highlight a widening gap between RBI’s consumer protection framework and the reality on the ground.
Under RBI’s 2017 circular, a customer has “zero liability” if losses occur due to a bank’s negligence or system failure, or if the victim reports the incident within three working days. Yet, several recent cases reveal that bank officials often delay action, misinform customers, or simply deflect responsibility — costing victims lakhs of rupees.
Journalist Loses ₹1.99 Lakh While Sitting Inside the Bank
On October 9, a Chennai-based journalist lost nearly ₹2 lakh from her account while she was inside her bank branch.
The victim said she had searched online for her bank’s Positive Pay System (PPS) helpdesk number. The number connected her to a man posing as a “manager” who persuaded her to download a mobile app for assistance.
Sensing something amiss, she rushed to the branch — only to learn that no such officer existed.
“I was right there, inside the bank, when the messages came in — ₹1 lakh and ₹99,999 gone within minutes,” she said. “The manager just shrugged and said, ‘If the money’s gone, it’s gone.’”
Professor’s Account Emptied Despite Alerting the Bank
An engineering college professor faced a similar ordeal when ₹24,000 vanished from his account. Even after immediately requesting that his account be frozen, the transactions continued.
“I was told to change my mobile number instead of getting help,” he said. “The bank avoided responsibility instead of acting on time.”
RBI Rules Ignored, Customers Kept in the Dark
According to the RBI’s guidelines, banks must initiate a “shadow reversal” — a temporary refund — within 10 working days of a customer’s complaint if the loss occurs without negligence on their part.
However, experts say that many banks neither inform customers about these rights nor act swiftly enough to prevent additional damage.
Advocate Sanjay Pinto, who has represented several banking fraud victims, said:
“Banks should educate customers about RBI’s protection norms instead of spamming them with credit card offers or KYC reminders. When fraud happens, the same institutions suddenly become evasive.”
Cybercrime Units Demand Dedicated Bank Helpdesks
Senior officials from Tamil Nadu’s cybercrime wing argue that banks must establish dedicated cyber fraud support desks in every branch.
“Branch managers can freeze the victim’s account but cannot block the beneficiary accounts quickly enough. By the time police step in, the money is often laundered through multiple wallets,” one officer said.
The officer added that elderly citizens and non-tech-savvy customers remain the most vulnerable segment, often falling prey to fake helpline numbers and app-based scams.
A Race Against Time — and Technology
The spate of frauds underscores a sobering truth: India’s digital banking infrastructure is expanding faster than its protection systems.
Unless banks strengthen their cyber coordination with law enforcement and treat fraud response as a frontline service, experts warn that the trust deficit between consumers and banks will continue to deepen.
“The digital revolution is irreversible,” said a former cybercrime investigator. “But right now, cybercriminals are running ahead — and banks are still learning how to chase.”
