Chief Justice of India Surya Kant said the judiciary has taken proactive steps against emerging economic crimes, including digital arrest scams, while stressing the need for stronger global cooperation to tackle financial fraud.
Chief Justice of India Surya Kant has said the judiciary is responding to emerging forms of economic crime, including digital arrest scams, without waiting for Parliament to introduce new laws.
Speaking in London at the concluding session of the 43rd International Symposium on Economic Crime, Justice Kant said India’s approach to economic offences has developed through a combination of legislation, institutions and judicial principles.
He referred to digital arrest scams, in which fraudsters impersonate police officers, judges or other government officials during video calls and threaten victims with arrest or legal action unless money is transferred.
According to the CJI, the Supreme Court has taken note of the growing threat and directed the Centre and state governments to assess the scale of the problem. The court has also considered whether a separate offence for digital arrest scams should be created, with penalties reflecting the seriousness of the harm caused.
Justice Kant said the development reflects a wider approach in which the judiciary responds to new forms of fraud even as technology and criminal methods evolve.
India’s Layered Approach To Economic Crime
Justice Kant said India’s fight against economic offences cannot be viewed through the lens of a single law. Instead, it has developed as a “layered architecture” involving legislation, investigative agencies and judicial oversight.
He pointed to laws such as the Prevention of Money Laundering Act (PMLA), 2002, and the Fugitive Economic Offenders Act, 2018, as important components of this framework.
At the same time, the CJI acknowledged concerns about the alleged misuse of investigative powers under the PMLA, including complaints over arrests and prolonged custody.
He highlighted the Supreme Court’s position that accused persons must be informed of the grounds of their arrest in writing. He also referred to the court’s ruling in the Arvind Kejriwal- CBI case, where it upheld the legality of the arrest while emphasising that prolonged pre-trial detention should not effectively become punishment.
Justice Kant said due process, proportionality and the presumption of innocence remain essential to the judiciary’s approach, even as laws and technology continue to change.
International Cooperation Crucial To Recover Stolen Money
The CJI also stressed the importance of international cooperation in investigating economic offences and recovering money moved across borders.
He said illicit wealth often moves outside the country where a crime originates, making cooperation between jurisdictions increasingly important.
Justice Kant highlighted Mutual Legal Assistance Treaties (MLATs) as an important mechanism for recovering assets held abroad, noting that such cooperation can be more reliable for bringing back recovered assets than extradition.
He concluded that economic crime cannot be tackled within national borders alone and requires stronger international cooperation, vigilance and respect for the rule of law.
