KOCHI: In October last year, a Perumbavoor man, doing business in a Gulf country, met a person in Dubai who shared his success story of earning crores through a share trading app. The man’s curiosity about quick money led to a loss of Rs 4.1 crores.
After expressing interest in investing, the man was instructed to download an app via a web link. Although he initially earned high returns on a small investment, things took a turn when he invested Rs 4.1 crores. When he tried to withdraw the funds, he received neither the profit nor the invested amount.
The NRI later filed a complaint with Ernakulam Rural Police Chief Vaibhav Saxena via email. The Ernakulam Rural Cyber Police registered a case and launched an investigation.
“Many people are falling prey to bogus share trading apps. Fraudsters lure even well-educated individuals into their schemes. It’s crucial to verify the authenticity of apps and platforms before investing,” says officer Vaibhav.
In 2024 (till December 1), cyber fraudsters swindled around Rs 698 crores from individuals in the state, a 200% increase from the Rs 210 crores lost in 2023. The police recovered Rs 89 crore in 2024 compared to Rs 27 crore in 2023.
“Kerala, despite its high literacy rate, sees a growing number of cyber fraud cases. The amount lost in such cases is likely higher than cheating, theft and burglary cases registered in the state,” says Advocate Jiyas Jamal, a cyberlaw expert and founder of Cyber Suraksha Foundation.
Social platforms as bait?
Calling for stricter measures, Jiyas says social media platforms must be held accountable as many scams originate from advertisements and posts shared there. “These platforms claim to use AI to detect fraud, but the rising number of incidents shows otherwise,” Jiyas says.
Making matters worse is these platforms’ inaction on information received about fraudulent activities.
“Even if we alert these platforms, posts carrying misinformation and those intended for fraud are not taken down promptly,” Jiyas points out, adding, “Police should register cases against these platforms so that they would start taking concrete measures.”
Yet another area of concern is digital addiction. It has contributed to 19 suicides in Kerala recently, with children being particularly vulnerable.
“Children are increasingly addicted to mobile phones and online content. Fake loan apps target them, offering small loans for gaming purchases. This has been linked to child suicides. Additionally, some children use fake IDs on dating apps,” a cyber police officer says.
Cyber training & awareness programmes
Jiyas also emphasised the need for police training and awareness programmes.
“Currently, only one or two officers in a station can handle cyber cases effectively. At least 50% of police personnel should be trained to deal with such crimes,” he says.
Jiyas also emphasises the need for new modes of awareness programmes — both offline and online. “Considering how there is a rise in the number of cyber fraud cases, it is vital to educate people across all age groups,” he says.
“Public awareness is vital to curbing cyber fraud. We have seen how easily, a person appearing on WhatsApp video calls with a police uniform is managing to dupe people and swindle crores of rupees. People should think about possible scams whenever they get phone calls from anonymous numbers,” he says.
“Also, people should be aware that there is no shortcut to earn money easily. Perhaps investing wisely in the stock market nowadays means ensuring the genuineness of the platforms first,” Jiyas adds.
Measures taken
In 2024, Kerala blocked 12,658 SIM cards, 14,293 devices, and 29,020 social media accounts used in fraud.
“We have a security operation centre which constantly monitors fraudulent online activities. Through constant social media patrolling activities, several fake accounts used for scams were taken down,” says an officer.
“Similarly, we have specialised groups working at the Counter Child Sexual Exploitation Centre, a dedicated team to look into cryptocurrency fraud and keep a watch of activities on the dark web. We coordinate with telecommunication companies, national cyber security agencies like the Indian Computer Emergency Response Team (CERT-IN) and top universities in the country as part of our drive against cyber crimes,” says an officer.
A senior officer from the Cyber Police Division also stated that Kerala Police is developing an AI-based tool to verify the authenticity of apps, social media accounts, websites, and links. It is learned that the tool is in its final stage.
What’s to be done?
Murali M K, assistant commissioner of police, Cyber Police Station, Kochi, outlined common cyber fraud cases, including investment scams, impersonation, and website tampering. He urged people to report cyber fraud to the National Portal 1930.
“While cybercrime cases peaked at the beginning of 2024, December saw a slight dip, possibly due to increased public awareness,” he says.
Murali adds that police are also collaborating with banks to flag suspicious transactions. “Banks can identify and alert customers about bogus accounts. People should also insist on a PAN number when transferring money. Awareness, especially among the elderly, is key.”
Experts also warn against using Caller ID apps due to potential data breaches.
“These apps access call logs, contacts, and messages, posing a significant privacy risk. Many fraudsters obtain personal data from these apps. For safety, their use is not recommended,” Jiyas points out.
Reign of ruin
In 2024 (till Dec 1), cyber fraudsters swindled around I698 crore from individuals in the state, a 200% increase from the I210 crore lost in 2023. The police has managed to recover I89 crore last year