Brief by Shorts91 Newsdesk / 12:14pm on 29 Oct 2026,Thursday India
The Supreme Court has said banks must compensate victims of “digital arrest” scams if investigations find that a failure in due diligence by financial institutions led to the fraud. A bench led by Chief Justice of India Surya Kant stressed that banks must take steps to stop suspicious transactions before money is transferred. The court called for safeguards, including temporary holds on unusual transactions, automated alerts and verification of suspicious activity. It will examine the Reserve Bank of India’s proposed KYC Amendment Directions, 2026, expected by November 30. The court noted that digital fraud losses had reached nearly ₹800 crore this year. (PC: The Indian Express)
