'Digital Arrest' scams soar in India: Should NRIs in UAE be worried?

Dubai: India’s Supreme Court recently raised alarm over a surge in “digital arrest” scams, revealing that victims have lost nearly ₹30 billion (about $360 million) to cybercriminals posing as government or law enforcement officials.

Justice Surya Kant called the trend “shocking,” warning that if authorities “ignore it, the problem will magnify” and vowing that the court would “deal with this with iron hands.”

While most victims are in India, the threat is spreading to non-resident Indians (NRIs) in the UAE and elsewhere who hold financial, banking or identity links to India.

How 'Digital Arrest' scams work

Fraudsters contact targets via phone or video calls, impersonating police, tax officials or even judges. They claim the victim’s bank accounts are linked to money laundering or tax evasion and demand immediate payment to avoid arrest.

Using forged documents and fake video “hearings,” scammers convince victims they are under “digital arrest.” Victims are often told not to contact anyone, kept under video surveillance, and instructed to transfer money for “verification,” “bail,” or “legal settlement.”

In one case, a 78-year-old man in Ahmedabad lost ₹3.9 million after being told his identity was misused in a financial crime.

Because these crimes are carried out entirely online, they easily cross borders — making NRIs with India-linked assets or accounts prime targets.

Should UAE-based NRIs be worried?

Yes. Anyone with savings or investments in India can be exposed. Fraudsters often obtain leaked or public data about NRIs, using it to craft targeted scams.

The Supreme Court has noted that several cases show “transnational linkages,” making recovery and investigation difficult once funds are routed abroad.

Cybercrime officials warn that scammers increasingly target those with “dual exposure” — living overseas but maintaining Indian bank accounts or property. A Dubai-based professional, for example, might receive a call claiming an “IT violation” tied to their NRI account or property transactions.

Losses can be severe — from wiped-out retirement savings to distress asset sales. Payments made through UPI, online transfers or crypto are nearly impossible to recover once processed.

How NRIs in UAE protect finances

• Verify, don’t panic. If contacted by someone claiming to be from Indian authorities, hang up and call back using verified numbers of your bank or government department.

• Secure your India-linked accounts. Use strong two-factor authentication, monitor transactions and alerts, and keep emergency funds separate.

• Limit exposure. Avoid linking all savings to one device or number and restrict remote access tools on your phone or computer.

• Educate family in India. Relatives managing property or income should verify all financial instructions before acting.

• If scammed: Freeze NRE/NRO accounts, report to India’s National Cyber Crime Reporting Portal (cybercrime.gov.in) and UAE’s Cyber Crime Unit, and preserve all proof (messages, screenshots, payment slips).

Verdict: Digital arrest scams exploit fear and trust in authority. For UAE-based NRIs, vigilance is the best defence. Stay sceptical of urgent or secretive demands, verify every communication, and regularly review your India-linked financial access. A few moments of caution can prevent a devastating loss.