Retired Income Tax Officer Loses Rs 51 Lakh In ‘Digital Arrest’ Scam: How The Fraud Unfolded

A retired income tax officer in Mumbai has allegedly lost around Rs 51 lakh after cybercriminals posing as senior police officers drew him into a fake money-laundering investigation.

The case began with a video call from a man who introduced himself as a senior Lucknow police officer. He claimed that a bank account had been opened in the retired officer’s name using his documents and that transactions linked to money laundering had taken place through it.

The victim reportedly said he had never been to Lucknow and did not have an account there. The fraudsters, however, insisted that the account carried documents in his name.

Threat Of Arrest Used To Keep Victim Under Pressure

Two more men later joined through video calls, claiming to be a police inspector and a director general of police. They allegedly told the retired officer that a criminal case had been registered against him and that he could face at least 10 years in prison.

The scammers said he would have to remain available on video while the supposed investigation continued. He was told he was under “house arrest” and warned against discussing the matter with anyone. They also threatened that police would come to his residence if he failed to cooperate, according to a recent report by The Times of India.

Such isolation is a common feature of digital-arrest frauds, where fear is used to stop victims from checking the caller’s claims with family, friends or the authorities.

The fraudsters allegedly sent fake government documents and sought details of the victim’s bank accounts. They then told him to transfer his deposits and savings to another account until the inquiry was completed.

Believing the claims, he transferred around Rs 51 lakh in instalments.

What Happened After The Money Was Sent

When no further questioning followed, the retired officer realised he had been cheated and approached the cyber cell of Mumbai Police’s North Regional Division.

Investigators later identified Mohammed Safwan Abdul Hameed as a suspect. Police allege that he provided bank accounts used for routing the fraud proceeds and received a fixed commission. He was arrested and remanded in police custody, while investigators are searching for other suspects.

For consumers, the warning is clear: “digital arrest” is not a legitimate legal procedure. Government agencies do not ask people to transfer money to prove their innocence or conduct such investigations through video calls.

Anyone receiving such a call should disconnect, independently verify the claim and avoid sharing bank details, OTPs or passwords. If money has already been transferred, report it immediately to the bank and the national cybercrime helpline at 1930. Quick reporting can improve the chances of freezing fraudulent transactions.

FAQs

What is a digital arrest scam?
A digital arrest scam involves fraudsters posing as police or government officials and threatening victims with arrest or prosecution to force them to transfer money.

Do police or government agencies ask people to transfer money during an investigation?
No. Legitimate authorities do not ask individuals to move money to another account to prove their innocence or avoid arrest.

What should you do if you receive a suspicious digital arrest call?
End the call, verify the claim independently, and do not share banking details, OTPs, or passwords. If money is transferred, contact your bank and report it to 1930 immediately.