Context:

According to recently released data compiled by the Indian Cyber Crime Coordination Centre (I4C) under the Union Ministry of Home Affairs, Indians lost ₹19,812.96 crore to cheating and financial frauds in 2025. More than 21.7 lakh complaints were recorded on the National Cyber Crime Reporting Portal during the year.

Key Findings:

Among Indian states, Maharashtra, Karnataka, Tamil Nadu, Uttar Pradesh and Telangana together accounted for more than half of the total monetary losses in 2025, cumulatively exceeding ₹10,000 crore.

Magnitude and State-wise Breakdown:

• • • • Maharashtra recorded the highest monetary losses at ₹3,203 crore, with 28,33,20 complaints, making it the worst-affected state in terms of both volume and value of offences.
      • Karnataka followed with losses of ₹2,413 crore and 21,32,28 complaints.
      • Tamil Nadu reported losses amounting to ₹1,897 crore from 12,32,90 complaints.
      • Uttar Pradesh witnessed losses of ₹1,443 crore with 27,52,64 complaints, indicating significant exposure even in states with large rural and semi-urban populations.
      • Telangana lost ₹1,372 crore from around 95,000 complaints.
      • Together, these five states accounted for the majority of offences, largely clustered around digitally facilitated frauds.

Types of Fraud and Emerging Trends:

• • • • The data indicates that fraudulent investment schemes dominated the fraud landscape in 2025, accounting for nearly 77% of total monetary losses.
      • Other significant categories included:
        • Digital arrest scams (8%) — where victims are falsely informed that they are accused in legal cases and coerced into transferring money.
        • Credit card frauds (7%) — involving unauthorised use of card details.
        • Sextortion (4%), e-commerce frauds (3%), and app- or malware-based frauds (1%).
      • Experts attribute the surge in losses to multiple overlapping factors, including rapid digitisation, a sharp increase in online financial transactions, aggressive promotion of high-return investment products, and the growing sophistication of organised cyber fraud networks.

Causes of Vulnerability:

• • • • Urbanisation and Digital Connectivity: States with larger urban populations and higher levels of digital penetration—such as Maharashtra, Karnataka and Tamil Nadu—have experienced higher fraud incidence due to greater online engagement with financial products and digital platforms.
      • Investment Scams: Fraudsters exploit aspirations for quick wealth creation by offering “too-good-to-be-true” returns, particularly through unregulated investment schemes, crypto-related platforms, and fake trading applications.
      • Digital Access to Banking: Despite improvements in financial inclusion, cyber security awareness remains uneven. Vulnerable groups, including senior citizens and first-time digital users, are frequently targeted through impersonation, phishing and social engineering techniques.

Conclusion:

The substantial financial losses recorded in 2025—particularly in Maharashtra, Karnataka, Tamil Nadu, Uttar Pradesh and Telangana—underscore the growing challenge of cyber-enabled financial fraud in India’s increasingly digital economy. While technological progress has expanded access to financial services, it has simultaneously created wider attack surfaces for fraudsters. Strengthening enforcement mechanisms, enhancing public awareness, and promoting secure digital practices remain critical to curbing this trend and safeguarding citizens’ financial assets.