The Guwahati City police dismantled a cyber crime syndicate and apprehended few self-proclaimed stock market experts, on Tuesday, September 3, 2024, amidst growing concerns about the dark web's increasing entrapment of individuals.
Assam Police has unearthed a significant financial fraud totalling ₹22,000 crore, wherein brokers deceitfully promised investors substantial returns through bogus online stock market schemes, according to sources. Two individuals, Vishal Phukan, a 22-year-old online trader from Dibrugarh, and Swapnil Das from Guwahati, have been apprehended in connection with the case, with further arrests anticipated in the coming days as the scam has reportedly affected numerous individuals across the state, as reported in the media.
In a press meet on 3rd Sept, 2024, Commissioner of Police - Guwahati, Sh.Diganta Barah had remarked that,“Guwahati has experienced a significant upsurge in cybercrime, leading to the creation of a dedicated cyber police station to counter this threat. Since its establishment, we have received numerous complaints from the public, with criminals utilizing a range of fraudulent methods and tricks to deceive and exploit people.” Barah issued a warning, urging the public not to establish bank accounts and surrender them to others, for financial gain. “Doing this might land you in jail. Please be aware and vigilant,” he advised.
An official from a well-established organization, requesting anonymity, provided his perspective on the recent arrest of a few individuals responsible for cybercrime – “Such a criminal mentality at such small age !!Upon coming of age, these offenders are likely to mature into adept fraudsters or orchestrators of substantial international criminal operations. Sending them to jail will make things even worse and make them more brutal because as per IPC 420/Sec 318-319 of BNS, maximum punishment for such crimes is for 07 years.”
In light of this given statement, it is to be noted that the maximum punishment for cheating and deceit under Section 318 of the Bharatiya Nyaya Sanhita (BNS) is seven years in prison or a fine. This is the same maximum punishment as Section 420 of the Indian Penal Code (IPC), which has been replaced by Section 318 of the BNS. Section 319 of the BNS covers cheating by impersonation. He signed off by saying that, “Infact, these fraudsters must be sent to a rehabilitation centre for at least 4-5 years with rigorous psychometric tests and all their fixed and liquid assets must be auctioned to the banks. Needless to say, a longer & rigorous jail term is extremely important, so that it acts as a deterrent.”
With the escalating shift of our activities, notably monetary transactions, to the digital realm, it is a foregone conclusion that there will be a corresponding surge in cyber frauds, especially during the preliminary stages of transactions. Regrettably, the most notable aspect of such criminal activities has been the victims' own greed, which appears to have facilitated their exploitation by fraudsters. Psychologists believe that greed and the desire to become rich quickly are driven by a combination of emotional, cognitive, and social factors.
People often fall prey to cognitive biases like the illusion of control, where they overestimate their ability to beat the odds, or the optimism bias, where they underestimate the risk of harm, making them more susceptible to get-rich-quick schemes or fraudulent online offers. In a world where wealth is equated with status, people feel pressure to keep up with or surpass others, which can push them toward risky decisions or dubious offers from cyber criminals. In most instances, victims have been observed to behave irresponsibly, enticed by the prospect of effortless financial gain or profit maximisation. Some individuals may have an addictive relationship with risk-taking, similar to gambling, where the possibility of a massive reward overshadows the risks involved. The thrill of the potential financial gain blinds them to the dangers, making them easy targets for fraudsters. In the stock market, numerous individuals imprudently invest substantial amounts of capital, seeking overnight wealth, while disregarding the reality that only a small percentage of investors can yield substantial returns. Furthermore, the threat of questionable stock market players also exists, as revealed by the recent arrests.
It is particularly concerning, given the increasing frequency of reported cyber frauds, despite banks and government authorities regularly disseminating guidelines on preventive measures against such crimes. Most cyber crimes can be traced back to victims divulging sensitive information, such as ATM pins, CVV, OTP, and clicking on suspicious links with promises of easy wealth. In a conversation with a high-ranking bank official of a Nationalized bank, who chose to remain anonymous, “Banks possess expertise in guiding people to invest their hard-earned funds prudently. Instead of going to unverified sources, people should trust banks to invest their money well. For individuals seeking strong returns, we usually advise exploring options like life coverage, market-linked mutual fund investments, and general insurance, etc. By investing in mutual funds, we conduct market research and distribute investments percentage-wise across high-risk, medium-risk, and low-risk categories, reducing the impact of market fluctuations.” The official had an important message for everyone ~ “We keep on receiving cases of cyber crimes where even family members are involved. We strongly advise against sharing ATM cards or personal bank details with anyone, including family members, as debit and credit cards are private and confidential. The fundamental catalyst of online frauds or the desire for quick gains through unverified means is an individual's greed.”
Cyber crimes pose significant investigative challenges due to the anonymity of perpetrators and their ability to operate globally.
Recent news report indicates, that Assam Police have made notable strides in their efforts to combat cyber crimes, arresting over 200 individuals as part of a wider initiative to disrupt and dismantle the networks responsible in our region. Given the exponential growth of cybercrime in the State and across the country, police departments need to acquire comparable skills to tackle the cunning methods employed by cybercriminal organizations. Assam Police’s Cyberdome located in the Kahilipara area of Guwahati city serves as a cutting-edge hub for cybersecurity and innovation, dedicated to combating all forms of cybercrimes and offenses through effective strategies. It empowers investigating officers to progress in their inquiries and uncover crucial information regarding cybercriminals and their activities by leveraging advanced technology. A senior police official added the following, when asked how Assam Police is planning to counter the growing menace of cybercrimes through the use of technology, “AI tools can detect patterns in cybercrimes, analyze vast datasets, and predict potential threats. Machine learning models can help identify abnormal online activities or behaviours, which can alert authorities to fraud, hacking attempts, or identity theft. With up-to-date data analytics tools, Assam Police can quickly analyze cybercrime patterns and trends. This can help track down perpetrators more efficiently by identifying hotspots, repeated offenders, and common methods used in cybercrimes.”
To summarise, Guwahati has been plagued by a rise in cyber fraud, causing significant financial losses for the city's gullible residents. The masses need to be equally cautious of such scammers and observe basic protocols, including the vital need to shun quick enrichment. It is crucial to acknowledge that most such situations can be averted by adopting preventive measures and applying logical reasoning.
The cyber world's lack of geographical boundaries and the anonymity of its users have made the prevention and resolution of e-crimes a complex and multifaceted problem. Advanced technologies, with the rapid adoption of internet of things (IoT), the number of cyber threats on connected devices has increased.
Assam Police can establish teams focused on monitoring IoT devices for vulnerabilities, preventing large-scale breaches that can affect homes, businesses, or public infrastructure. Police officials, being the primary responders to such crimes, require enhanced vigilance and capacity-building exercises among personnel to effectively handle digitally facilitated crimes.
Along with technology, Assam Police should work closely with the government to ensure that cybercrime laws are updated regularly to handle new-age cyber offenses. Ensuring strict enforcement of penalties for cybercriminals can act as a deterrent for future offenders.