Rs 5,474 Crore Lost To Cyber Fraud In Karnataka Over 3 Years: Minister

A whopping Rs 5,474 crore was lost to cyber fraud in Karnataka over the last three years, Home Minister G Parameshwara informed the Legislative Assembly on Wednesday while replying to a question on the rising menace of digital fraud.

Official data tabled in the House showed that the state registered 22,255 cybercrime cases in 2023, 22,478 cases in 2024, and 13,000 cases to date in 2025. 

According to the data, however, the detection rate has declined, with only 6,159 cases solved in 2023, 3,549 in 2024, and a mere 1,009 in 2025 so far.

The financial damage has escalated over the same period. Cyber fraudsters siphoned off Rs 873.29 crore in 2023, Rs 2,562.63 crore in 2024, and Rs 2,038.84 crore this year, pushing the three-year total to Rs 5,474.76 crore.

The Home Minister attributed the rise in cyber fraud cases to multiple factors. The rapid increase in internet users across the state has widened the target base for fraudsters. A lack of digital literacy and awareness among citizens also continues to make them vulnerable to online scams.

Criminals use VPNs, encrypted messaging platforms, and dark-web tools to evade tracking. The uncontrolled expansion of digital payment systems has provided fraudsters with new avenues to strike. 

Socio-economic issues such as unemployment, poverty, and urban stress, excessive exposure to social media, and declining moral values have also contributed to the rise in such offence, the report said. 

The government further acknowledged structural challenges, including weak law enforcement capacity in handling cybercrime and prolonged delays in judicial processes, which are hampering effective deterrence and conviction.