The Calcutta High Court, through notification No. 1913-RG issued on March 10, 2025, has implemented a significant procedural update concerning cyber fraud cases. This change empowers Magistrates to handle requests for the release of funds blocked in connection with these cases, specifically under the provisions of Section 503 of the Bharatiya Nagarik Suraksha Sanhita (BNSS), 2023, which corresponds to the former Section 457 of the Criminal Procedure Code (Cr.P.C.), 1973.

The key aspect of this new directive is that Magistrates are now authorized to process these requests based solely on complaints lodged with the National Cyber Crime Reporting Portal (NCRP). This eliminates the previous requirement of a formal First Information Report (FIR) before initiating the process for refunding victims' blocked funds. The overarching goal is to accelerate the process of providing relief to victims of cyber fraud, while ensuring that all actions remain compliant with established legal frameworks.

The recent notification signals a critical response to an alarming escalation in cyber fraud incidents reported to the National Cybercrime Reporting Portal (NCRP). West Bengal has witnessed an exponential surge in these reports, jumping from a mere 451 in 2021 to a staggering 37,825 by 2024, highlighting the growing vulnerability of citizens to online scams and fraudulent activities.

This dramatic increase in cybercrime has spurred the urgent need for a more efficient and effective mechanism for victims to reclaim lost funds. Recognizing this imperative, the notification specifically aims to expedite the fund recovery process. The state has already achieved considerable success, recovering over ₹66.57 crore by July 2024, further underscoring the importance of streamlining procedures to aid cyber fraud victims in reclaiming their assets.

The legal foundation for this notification rests upon Section 503 BNSS, corresponding to Section 457 of the Code of Criminal Procedure (Cr.P.C.). This section grants Magistrates the authority to manage property that has been seized during investigations, even if that property is not physically brought before the court. This empowers them to take necessary actions regarding the seized assets, facilitating their preservation and potential return to rightful owners.

The notification further clarifies the process for initiating recovery proceedings in cases of online financial fraud. It specifies that filing a complaint on the National Cybercrime Reporting Portal (NCRP), coupled with subsequent action by the cyber police to trace and freeze the involved fraudulent accounts, is sufficient to trigger the recovery process. Importantly, it eliminates the previously perceived requirement of first registering a First Information Report (FIR) as a mandatory preliminary step before such proceedings can commence.

The new directive harmonizes with established legal authorities, specifically Sections 106 BNSS (102 Cr.P.C.), granting police the power to confiscate property linked to criminal activity, and Sections 106(3) BNSS (103(3) Cr.P.C.), obligating police to report these seizures to a Magistrate. Critically, the notification strengthens the application of these sections to cyber fraud incidents. It empowers Magistrates to handle requests for fund recovery more efficiently by removing the mandatory FIR requirement, thereby accelerating aid to victims. This streamlined process ensures faster relief while simultaneously upholding adherence to essential legal protections and reporting obligations.

The most significant advantage of this notification is the expedited resolution of grievances. Victims frequently experience lengthy delays in seeking justice, largely due to the necessity of filing a First Information Report (FIR). However, by enabling the acceptance of complaints and action reports through the National Crime Records Portal (NCRP), this notification effectively streamlines the process. This bypasses bureaucratic obstacles and significantly enhances accessibility to the justice system for those who have been wronged, offering quicker and more efficient avenues for seeking redress.

The lack of a mandatory First Information Report (FIR) before processing cyber insurance claims introduces a significant vulnerability. Without this crucial requirement, the system becomes susceptible to exploitation, leading to potentially inadequate scrutiny of claims. This deficiency elevates the risk of fraudulent applications successfully slipping through the cracks, or funds being disbursed prematurely based on unsubstantiated claims.

Therefore, Magistrates and cyber police must implement robust safeguards to mitigate these risks. These safeguards should include stringent verification processes for all complaints, demanding comprehensive documentation to support each claim, and employing advanced analytical tools to detect patterns indicative of fraudulent activity. Such measures are crucial to maintain the integrity of the cyber insurance system and ensure responsible fund allocation.

The notification plays a crucial role in safeguarding the rights of victims by affirming their ability to file a First Information Report (FIR). It clearly mandates that law enforcement agencies are required to register such reports whenever a complaint is made. This provision empowers victims, ensuring that their grievances are acknowledged and taken seriously. By establishing a formal mechanism for reporting, the notification reinforces the importance of addressing cybercrime and upholding the rule of law.

Moreover, the explicit directive for law enforcement to register FIRs significantly enhances the investigation of serious cybercrimes. This requirement not only fosters accountability among police officials but also promotes a thorough examination of incidents involving cyber offences. By prioritizing the registration and investigation of these crimes, the notification aims to create a safer digital environment for all individuals. Ultimately, this initiative reflects a commitment to combating cybercrime and protecting the rights of those affected by it.

This directive underscores the judiciary's proactive recognition of the dynamic and complex nature of cybercrime. The inherent speed and anonymity associated with online offences pose significant challenges that often render traditional criminal procedures obsolete. Consequently, the Calcutta High Court's adaptation of procedural requirements signals a progressive, victim-centered approach designed to better address these evolving threats.

This notification aligns with a growing global trend of leveraging technology to combat cyber-enabled financial crime, as numerous countries are implementing comparable digital complaint systems to accelerate response times and minimize bureaucratic hurdles. By embracing this progressive approach, the NCRP significantly strengthens its ability to effectively address and mitigate cybercrime within India.

In summary, the Calcutta High Court's notification seems to represent a well-considered and legally robust advancement in addressing cybercrime in a timely manner. The new measures strike a commendable equilibrium between expediting victim assistance and maintaining the essential principles of due process, promising swifter resolution of cases without compromising the thoroughness of investigations. However, vigilant oversight will be paramount to safeguard against potential misuse of the system and to guarantee that each case receives the comprehensive attention and severity it warrants. This careful implementation will be key to ensuring the long-term effectiveness and fairness of the modernized cybercrime redressal process.

Written By: Md.Imran Wahab, IPS, IGP, Provisioning, West Bengal
Email: imranwahab216@gmail.com, Ph no: 9836576565