How NRIs Can Safeguard Against Rising Cyber Fraud in 2025?

POSTED BY: NRI Legal World | 2 January - 2025

As a Non-Resident Indian (NRI), you’re no stranger to managing life across borders. While living abroad comes with numerous advantages, there are unique challenges too — one of the most pressing being the threat of cyber fraud. Over the years, fraudsters have become increasingly sophisticated in their tactics and in 2024, NRIs were particularly vulnerable to scams where cyber criminals pose as officials from government agencies like the Enforcement Directorate (ED), Income Tax Department (IT), or Directorate of Revenue Intelligence (DRI).

In this blog, we’ll dive into the growing threat of cyber fraud targeting NRIs, share real-world examples and provide practical steps you can take to protect yourself and your finances.

The Growing Cybercrime Problem for NRIs in 2024

The rise of cybercrime in India has been alarming, and NRIs are among the prime targets. According to a recent report, cybercrime cases had risen by 22% in India in 2024, and NRIs had unfortunately become a significant proportion of the victims. In fact, NRIs accounted for 30% of all cybercrime cases reported, with many cases involving fraudulent claims of tax evasion, money laundering, or other financial offenses.

How Cybercriminals Target NRIs: The Impersonation Tactics

Cyber fraudsters often use fear, urgency, and false documentation to trick victims into making hasty decisions. Here’s how the scam typically works:

Fake Government Calls or Emails: Fraudsters pose as officials from agencies like the ED, IT Department, or DRI, claiming that they need to discuss your tax records or an alleged legal violation. They’ll often say something like, “You owe back taxes,” or “You’re under investigation for illegal foreign remittances.”
Pressure and Threats: These criminals are highly skilled in creating a sense of urgency. They’ll threaten immediate action, such as freezing your accounts, garnishing your wages, or even arresting you, unless you make an immediate payment.
Authentic-Looking Documents: To make the scam even more convincing, fraudsters often send fake notices or summons that appear to be from government agencies, complete with case numbers and official-looking letterheads.
Demand for Payment: After scaring you into thinking that you have no choice, they will demand immediate payment and often through untraceable methods like cryptocurrency, wire transfers or gift cards.
Follow-up Scams: Once you pay, they may continue contacting you for more, thus exploiting your fear and panic.

Real-World Impact: Some Major Cybercrime Fraud Cases

Case 1: Canada-Based NRI Sisters Lose ₹19 Crore

Two NRI sisters from Canada fell victim to a digital arrest scam in Lucknow, losing ₹19 crore. Posing as government officials, scammers threatened the sisters with arrest and fabricated charges. They demanded money to “resolve” the matter, successfully deceiving the victims over multiple transactions. The full case details can be found here.

Case 2: Vardhman Group Chairman Duped of ₹7 Crore in Sophisticated Cyber Scam

In 2024, S.P. Oswal, chairman of Vardhman Group, was duped out of ₹7 crore by cybercriminals posing as Enforcement Directorate officials. They orchestrated a fake Supreme Court hearing on Skype, complete with forged documents and impersonations of top officials, including the Chief Justice of India. Using fabricated arrest warrants, they threatened Oswal with immediate arrest, forcing him to transfer the money. The scam unraveled when they demanded an additional ₹2 crore, prompting Oswal to investigate and report the fraud. The full case details can be found here.

How to Protect Yourself: Essential Steps for NRIs

While these scams may seem sophisticated, there are several ways NRIs can protect themselves:

Always Verify: If you receive a call, email, or message claiming to be from the ED, IT Department, or any other government agency, do not panic. Instead, verify the information by directly contacting the respective agency through official contact numbers listed on their website.
Understand How Government Agencies Operate: Real government departments will never ask for urgent payments or request sensitive financial information via phone or email. Legitimate communications typically come via official letters, not untraceable phone calls or emails.
Do Not Share Personal Information: Never share personal details like your Aadhaar number, bank details, or passport number with unsolicited callers or emails. Government agencies never request such sensitive information this way.
File a Report Immediately: If you’ve fallen victim to cyber fraud, act fast. Report the incident to the National Cyber Crime Reporting Portal or your local cybercrime cell. The quicker you report, the better the chances of stopping the fraud and preventing further damage.
Consult Legal Experts: If you’re unsure or feel like the situation is beyond your control, don’t hesitate to consult a cybercrime lawyer. Legal professionals at NRI Legal World specialize in cyber fraud can guide you on how to proceed, possibly recover your funds, and protect yourself legally.

In Case of a Scam: Immediate Actions to Take

If you’ve already been scammed:

Freeze Bank Accounts: Contact your bank immediately and request them to freeze your accounts to prevent further withdrawals or transfers.
File a Complaint: Report the fraud to the Cyber Crime Cell or the National Cyber Crime Reporting Portal. Provide all details — including emails, phone numbers, and any documents you received.
Consult NRI Legal World: It’s a good idea to consult with a cybercrime lawyer or legal expert to explore options for recovering funds and taking legal action against the perpetrators.

In 2025, cyber fraud continues to be a major threat for NRIs. However, by staying informed and being cautious, you can greatly reduce your chances of becoming a victim. Always verify information, avoid rushing into decisions, and consult experts if needed. Remember, it’s crucial to act quickly if you suspect fraud.

At NRI Legal World, we are committed to helping you navigate such challenges, ensuring that you’re aware of your rights and options when it comes to cybercrime. If you have questions or need legal advice, don’t hesitate to reach out to our team of legal consultants for NRIs.

By : NRI Legal World

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