Supreme Court Orders SOPs for Digital Arrests

India's Supreme Court on Tuesday directed the Reserve Bank of India (RBI) to issue standard operating procedures (SOP) for banks to handle digital arrests within four weeks. The court also asked an inter-departmental committee to examine frameworks for shared liability and victim compensation.

The directions were issued during the court's suo motu case on digital arrests. The court noted that existing mechanisms require wider adoption, faster disposal, and continued follow-up. The case originated in October 2025 following a complaint by an elderly couple who were defrauded of Rs 1.05 crore by individuals impersonating law enforcement officials.

During proceedings, the court questioned banks' failure to flag suspicious transactions and reminded them of their responsibility as trustees of public money. The court emphasized that banks hold a position of trust for depositors.

The Supreme Court now requires the RBI to share the SOP with banks and inform the registrars general of all high courts. Furthermore, authorities are urged to expedite the processing of cases involving frozen bank accounts and to launch public awareness campaigns on digital fraud.