SC Issues Fresh Directions on Digital Arrest Scams

On 4th August 2026, the Supreme Court issued a fresh set of nationwide directions to strengthen the investigation of digital arrest scams, improve recovery of victims’ money and enhance cyber fraud prevention mechanisms.

Key Points

RBI's Role: The Reserve Bank of India (RBI) was directed to frame a Standard Operating Procedure (SOP) within four weeks for handling mule bank accounts used to launder cyber fraud proceeds.
State Governments: All States were directed to operationalise cyber fraud grievance redressal and money restoration systems.
e-Zero FIR: The Court called for nationwide adoption of the e-Zero FIR mechanism to facilitate prompt registration of cybercrime complaints.
Victim Protection: The Centre was asked to examine a shared liability and victim compensation framework for victims of digital arrest scams.