Gujarat on Wednesday, 22 July became what the state government claims is the first state in India to launch a structured, real-time coordination initiative between banks and law enforcement to combat cyber fraud — with a sharp focus on freezing stolen funds during the critical window immediately after a complaint is filed. The initiative was unveiled at a high-level meeting chaired by Deputy Chief Minister Harsh Sanghavi at GIFT City, Gandhinagar, attended by heads of leading banks, senior police officers, and representatives of the Reserve Bank of India (RBI).

Scale of the Initiative

More than 5,300 officers and employees from bank branches across Gujarat joined the meeting via video conference, signalling the breadth of the coordination effort. The gathering reviewed cyber fraud cases reported so far and analysed data to map emerging fraud patterns, with the aim of preparing targeted preventive measures against evolving criminal methods.

At the heart of the initiative is a proposed real-time fund-freezing mechanism — a system designed to allow banks to act within minutes of a fraud complaint being lodged, dramatically improving the odds of recovering stolen money before it is moved beyond reach.

What Sanghavi Said

Sanghavi underscored the urgency of rapid response, stating: 'Even a delay of two minutes by the police or the bank in freezing an account could destroy a family's lifetime savings and social life. This is not merely a routine government protocol or Standard Operating Procedure (SOP), but a sensitive effort to maintain citizens' trust in digital banking.'

He also noted that an in-depth analysis of fraud cases was essential to understand 'evolving patterns of crime and prevent citizens from becoming victims.'

Senior Citizens in the Crosshairs

Sanghavi flagged that senior citizens are among the most frequent targets of digital arrest scams and other forms of cyber fraud. He urged bank staff to exercise heightened vigilance when elderly customers seek to prematurely break fixed deposits or make unusually large withdrawals.

'Whenever a senior citizen comes to prematurely break or withdraw a large fixed deposit, bank staff should act sensitively and politely ask two or three questions to verify the purpose,' he said. He also cautioned banks against cutting corners on quality checks and legal verification while chasing targets for new account openings.

A Bank in Ahmedabad Sets the Standard

Sanghavi cited a recent incident at a bank in Ahmedabad where alert employees intervened in time to prevent a customer from losing 'several lakh rupees' to fraudsters. He commended the staff's vigilance as a model for the sector. Officers and bank representatives who have contributed to saving citizens' money in cyber fraud cases were formally honoured at the event.

Intelligence Sharing and What Comes Next

Officials at the meeting confirmed that the Home Department and senior police officers already analyse data daily on cyber fraud calls, suspicious transactions, and frozen amounts. The next step, they said, is institutionalising real-time intelligence sharing between banks and law enforcement to further tighten the response loop.

The exchange of operational experience between the banking sector and the police was also emphasised as a key pillar of the initiative. If the proposed real-time freezing mechanism is implemented at scale, Gujarat's model could serve as a template for other states grappling with rising digital fraud.