In a significant crackdown on digital crime, the Karnataka police have achieved a major breakthrough by tracing and recovering hundreds of crores stolen from citizens through sophisticated online scams. Over the past three years, authorities have successfully reclaimed a staggering Rs 627 crore siphoned off by cybercriminals, offering a ray of hope to thousands of victims across the state.
Massive Recovery Effort: Rs 470 Crore Already Refunded
The state's home minister, G Parameshwara, provided these crucial details during the recent assembly session in Belagavi. He revealed that of the total amount recovered, approximately Rs 470 crore has already been returned to those who were defrauded. The process to refund the remaining sum is underway, pending necessary court orders.
The recovery figures show a determined year-on-year effort. Till November 15, 2025, police have recovered Rs 127 crore. This follows an impressive haul of Rs 323.5 crore in the previous year. In 2023, the force prevented losses amounting to Rs 177.6 crore. These efforts are part of a focused strategy to not just investigate crimes but also ensure victims get their money back.
The Daunting Challenge of Tracking Digital Money Trails
A senior police officer involved in these operations explained the immense difficulty in recovering cybercrime funds. Fraudsters are adept at moving money at lightning speed. They route stolen funds through a complex maze of multiple bank accounts and digital wallets. A common tactic to evade detection is to quickly convert the money into cryptocurrency, which is largely irreversible. Funds are also frequently diverted to online gaming platforms.
To systematize the recovery process, police classify fraudulent transactions into 10 levels, based on how many times the money moves between accounts. A Level-1 transaction, where the money is still in the fraudster's account when a complaint is filed, is the easiest to recover. As the number of account hops increases, tracking becomes exponentially more complex.
"Timely reporting by victims is absolutely crucial," the officer emphasized. "It allows banks to freeze the recipient's account quickly and dramatically increases the chances of recovery." He urged the public to be extremely cautious with their bank details online. However, he tempered expectations by noting that recovery is only possible in about 10 to 20 percent of cases due to the speed at which scammers operate.
Mysuru Bears a Significant Brunt
The city of Mysuru has not been spared in this wave of cybercrime. In a shocking revelation, police data shows that cybercriminals siphoned off approximately Rs 47 crore from residents in 2025 alone. So far, authorities have managed to recover around Rs 5 crore of this amount, highlighting the ongoing battle at the local level.
The scale of the problem statewide is enormous. Assembly data indicates that Karnataka lost a mind-boggling Rs 5,474 crore to cyber fraud across 57,733 registered cases in the last three years. This underscores the pervasive threat posed by online scammers.
How to Stay Protected and Report Fraud
Cybercriminals use clever disguises to trick people. They often impersonate bank officials, police personnel, courier service staff, or job recruiters. Their goal is to obtain One-Time Passwords (OTPs) and other personal financial information. Many scams start with a simple, seemingly innocent call or message and escalate with the use of remote access apps that give fraudsters control over a victim's device.
Police have issued clear advisories for citizens:
- Always verify unknown phone numbers.
- Never share your OTP with anyone, under any circumstances.
- Be wary of unsolicited calls asking for personal or banking details.
- Report any suspected fraud immediately.
To report a cybercrime, citizens should immediately contact the national helpline at 1930 or file a complaint on the official portal cybercrime.gov.in. Quick action is the best defense in limiting financial loss and aiding police in their recovery efforts.