Govt raises red flag over ‘pig butchering scam’; here’s what Home Ministry just found

A new online scam called “pig butchering” is targeting more and more vulnerable people in India, including unemployed youth, housewives, students, and those in need, news agency PTI reported on January 2 citing the Union Home Ministry’s annual report. The scam, also known as an “investment scam,” tricks people into losing large sums of money.Cybercriminals are using Google’s advertising platform to target potential victims, the report said. “Google Advertisement platform provides a convenient facility for targeted advertisement from across the border. This scam, known as ‘Pig Butchering Scam’ or ‘Investment Scam’ is a global phenomenon and involves large-scale money laundering and even cyber slavery,” the report stated.

Where “pig butchering” originated

The scam, originating in China around 2016, involves building trust with victims and then convincing them to invest in fake cryptocurrency or other schemes. The name “pig butchering” refers to the way criminals fatten up their victims before stealing their money.

The Indian Cyber Crime Coordination Centre (I4C) is working with Google to address this threat. The report also notes that criminals are using sponsored Facebook ads to promote illegal lending apps in India, and I4C is sharing this information with Facebook.

Pig butchering: Some big watch-outs

WhatsApp is the most misused social media platform for cybercrime in India, followed by Telegram, Instagram, Facebook, and YouTube, according to complaint data. I4C is also collaborating with Facebook to fight this issue.

The National Cybercrime Threat Analytical Unit (NCTAU) analyses cybercrime trends and shares reports with banks, financial institutions, and other organizations to help them prevent fraud.

The ministry has launched a Cyber Volunteer program, where citizens can report online crime and promote cybersecurity awareness. Over 54,000 volunteers registered by March 31, 2024.The Citizen Financial Cyber Frauds Reporting and Management System (CFCFRMS) helps victims of cyber fraud recover their money. The platform has recovered over Rs 1,600 crore and helped more than 575,000 victims since its launch in April 2021.