Centre clears faster refunds for cyber frauds under ₹50,000
HYDERABAD: Cybercrime victims who lose small amounts of money will soon get faster relief, with the Union home ministry approving a proposal to refund losses of up to ₹50,000 without requiring court orders.
The decision clears a long-standing bottleneck that forced victims to wait months for refunds despite banks freezing fraudulent transactions soon after complaints were filed.
Court process no longer mandatory
Under the new mechanism, victims who report cyber fraud immediately can get their money credited back directly to their bank accounts without approaching courts, provided the loss does not exceed ₹50,000.
The proposal was sent by the Indian Cyber Crime Coordination Centre (I4C) and has now received formal approval from the ministry of home affairs.
Relief for small-value victims
Cybercrime cases have risen sharply across the country, with fraudsters using deception to drain victims’ bank accounts. While high-value frauds often make headlines, officials say the majority of victims lose relatively small amounts.
Last year alone, the state recorded 88,413 cybercrime complaints, with total losses pegged at ₹1,378 crore. Of this, transactions worth ₹246 crore were frozen in time, but only ₹150.65 crore could be returned to 24,498 victims due to legal delays. Around ₹87 crore remains stuck in bank accounts.
For many victims, even losses of ₹10,000–₹15,000 are significant, but the legal process often discourages them from pursuing refunds.
Refunds within 90 days
Officials said the new system aims to credit frozen amounts directly to victims’ accounts within 90 days, as long as there are no legal disputes over the transactions.
Victims are advised to report cyber fraud immediately by calling the national helpline 1930 and sharing bank account details. This allows authorities to track the money trail and freeze transactions before funds are withdrawn or converted into cryptocurrency and moved overseas.
More than half of cybercrime victims fall into the small-loss category, officials said, adding that the new decision is expected to benefit a large number of people once implemented.
