How A Retired Delhi Banker Lost Rs 23 Crore In Month-Long ‘Digital Arrest’ Scam

A 78-year-old former banker from Delhi has been cheated of his entire life savings in a month-long cybercrime that investigators describe as a sophisticated case of “digital arrest”. The victim, Naresh Malhotra, told PTI the fraudsters posed as officials from the Enforcement Directorate (ED) and the Central Bureau of Investigation (CBI) and threatened him with false terrorism-related charges to extort money.

As per reports, the nightmare began on Aug. 1 when Malhotra received a call from someone claiming to be from a mobile service provider. The caller alleged his Aadhaar card had been misused in Mumbai to activate a connection tied to terror financing.

“They told me I needed to talk to the Mumbai Police regarding the same matter, and if they approved, the connection would continue, or else it would be disconnected and the matter reported,” he told PTI.

The call was swiftly transferred to people impersonating Mumbai Police personnel. He said as soon as the call was transferred to the purported police officials, they began intimidating him, alleging his Aadhaar had been linked to “terror funding, terror activities and many other serious offences.”

According to reports, the scammers told the retired banker he was under “digital arrest,” warning that he was being monitored and could not leave home. He was instructed to join video calls every two hours and ordered to remain silent about the matter. They even threatened to seize his passport and block any overseas travel. Between Aug. 1 and Sept. 4, they drained Rs 23 crore through 20 transactions from his three bank accounts, after first probing him about his savings.

“They wanted to know how much money I had in my bank account. I told them I had almost Rs 14 lakh. They asked me to transfer the amount to their account, assuring me that it was only for verification,” Malhotra said.

They also reportedly claimed they would begin by checking a quarter of his assets before reviewing the rest, and warned that refusal could result in his family being implicated as co-accused in terror-related offences.

According to PTI, the criminals continued to pose as senior ED and CBI officials and eventually claimed the Supreme Court was monitoring the "investigation". Malhotra said, “I refused to send the money and told them I would deposit the amount directly with the Supreme Court. I also said I would go to Hauz Khas Police Station and surrender,” he said.

Malhotra reported the case to the Delhi Police on Sept. 19. Officers said they have already managed to freeze Rs 2.67 crore of the stolen amount.

“The money trail revealed that the funds were layered across multiple accounts and withdrawn from different parts of the country to evade detection. Over 4,000 layered accounts were used to siphon off the funds,” an officer involved in the probe said.

Malhotra said he wanted his ordeal to alert others to such scams. “I spent my life savings building security for my old age. In one month, it all disappeared because I trusted the wrong people. I hope my story serves as a warning,” he said.