Cyber Crime Cell uncovers fake payment scheme defrauding small businesses using counterfeit UPI confirmations.
Sri Vijaya Puram, June 4: The Cyber Crime Cell has arrested seven youths from Delanipur in connection with a series of digital payment frauds that targeted small businesses across Port Blair in recent weeks.
Investigators report that the group visited various establishments, including cafés, small hotels, general stores, and retail shops, and used a deceptive method to avoid actual payment. They would scan the merchant’s UPI QR code and then present a fake payment confirmation screen, giving the impression that the transaction had been completed. Believing the payments to be legitimate, shopkeepers allowed the individuals to leave without verifying the receipt of funds.
More than 40 businesses in key commercial areas such as Aberdeen Bazaar, Junglighat, Phoenix Bay, and Middle Point were reportedly affected. Complaints began to surface as business owners noticed discrepancies between the payments shown by customers and those actually received.
In response, the Cyber Crime Cell launched a coordinated investigation, which revealed a recurring pattern linked to a specific group of individuals operating in Delanipur. Arrests were made over the weekend following targeted operations by the police.
Authorities have recovered several mobile phones, along with applications and digital tools used to create fake payment screens. The materials seized are now being examined as part of the ongoing investigation.
Officials have confirmed that the actions were not isolated or accidental but part of a planned effort to defraud multiple businesses. The nature of the tools and tactics used indicates a deliberate attempt to exploit the growing reliance on digital transactions, particularly among small merchants who may not always verify each UPI payment through their banking apps.
Law enforcement agencies are continuing to investigate the case and are assessing whether additional individuals or similar groups may be involved. A formal press release is expected soon, and advisory notices may be issued to help businesses better protect themselves from similar frauds in the future.
This case has underscored the vulnerabilities in quick-pay systems and highlighted the need for more stringent verification practices among digital payment users in the city.