Karnataka Cyberfraud Losses Cross Rs 5,474 Crore In 3 Years; Rs 2,000 Crore Lost In 2025 Alone

Karnataka has lost over Rs 5,474 crore to cyberfraud in the last three years, with Rs 2,000 crore lost in 2025 alone. Daily losses average Rs 6 crore as recoveries remain limited, the home minister told the Assembly.

Karnataka has suffered massive financial losses of more than Rs 5,474 crore due to cyberfraud over the last three years, underscoring the growing threat of online crime in the digital era. Nearly Rs 2,000 crore of this amount was lost in 2025 alone, translating into an average daily loss of over Rs 6 crore. Despite intensified efforts by law enforcement agencies, only a small portion of the stolen funds has been recovered so far.

Revelation Made In Assembly By Home Minister

The alarming figures were revealed by Home Minister G Parameshwara while responding to a question from BJP MLA S Manjunatha from Sakleshpur during the Assembly session in Belagavi on Tuesday. The minister said that Karnataka has witnessed over 52,000 cybercrime incidents in the last four years, with the number of cases continuing to rise despite various preventive measures.

Daily Losses High, Recoveries Remain Limited

According to official data, the state currently records average cybercrime losses of more than Rs 6 crore per day, while the daily recovery stands at only around Rs 60 lakh. So far, authorities have managed to retrieve approximately Rs 627 crore from the total amount lost, highlighting the challenges involved in tracking and reversing digital financial fraud.

Year-Wise Breakdown Of Cyberfraud Losses

Giving a detailed account, the home minister said that in 2023, over 22,000 cyberfraud cases were registered, resulting in financial losses of Rs 873 crore, of which Rs 177 crore was recovered.

In 2024, more than 22,400 cases led to losses exceeding Rs 2,500 crore, with recoveries crossing Rs 300 crore. 

In 2025, although cybercrime cases have dropped to nearly 13,000 following government interventions, losses have already crossed Rs 2,000 crore, with only Rs 125 crore recovered so far.

Key Factors Driving Cybercrime In Karnataka

Parameshwara attributed the sharp rise in cybercrime to several factors, including widespread access to smartphones and computers, low levels of digital awareness, excessive dependence on social media, financial greed and the misuse of advanced technologies. He also pointed out that the rapid expansion of digital payments and internet-based services has created new opportunities for cybercriminals.

Bengaluru Accounts For Major Share Of Losses

Highlighting the scale of the problem in the state capital, the minister said that Bengaluru alone recorded cyberfraud losses of over Rs 1,500 crore this year till November 15. The city remains one of the most heavily targeted urban centres for online fraud due to its high volume of digital transactions.

Legal Hurdles Delay Stronger Action Against Online Gaming

On the issue of online betting and gaming-related fraud, MLA Manjunatha urged the government to introduce a special law to tackle the menace. The home minister said that the state government had already amended the Karnataka Police Act to regulate online gaming. However, gaming companies challenged the amendment in court, and the matter is currently pending before the Supreme Court. 

The case is scheduled to be heard on December 19. He added that even the Central government’s proposed legislation to regulate online gaming is facing legal hurdles.

Karnataka Leads National Fight Against Cybercrime

Parameshwara stressed that Karnataka remains at the forefront of the national fight against cybercrime. He noted that the state was the first in India to establish a dedicated cybercrime wing headed by a Director General of Police.

“Karnataka is waging a strong battle against cyberfraud, and sustained efforts are being made to bring down both the number of cases and the financial losses,” he said.