Seven Arrested in Fake PhonePe Scam; Andaman & Nicobar Police Warns Citizens Against Digital Fraud
In a major crackdown on cyber fraud, the Andaman and Nicobar Police have dismantled a digital payment scam involving a fake version of the PhonePe app. According to an official social media post, seven individuals have been arrested in connection with the case. Authorities have urged citizens to remain vigilant and avoid relying on payment screenshots as proof of transaction.
The brief advisory, posted across official social media platforms, stated:
“Andaman & Nicobar Police bust digital payment fraud racket! 7 arrested for scamming using fake PhonePe app. Citizens, be cautious! Verify transactions independently via mobile banking apps or official notifications. Don’t rely on screenshots!”
However, further details regarding the case remain unavailable at this time, as the official website of the Andaman & Nicobar Police is currently down, preventing access to the FIR and additional case information.
While this incident has shocked the local business community, similar scams have been reported across India in recent years. Typically, fraudsters use a fake app that mimics the interface of genuine UPI-based payment applications like PhonePe. These counterfeit apps generate realistic-looking payment success screens—including transaction IDs and green ticks—even though no actual money is transferred.
The fraudsters then present these fake confirmations to unsuspecting merchants, who accept them as valid proof of payment. The scam is particularly effective in busy retail environments, where merchants may not have the time or tools to cross-verify payments. Many victims rely on screenshots or visual confirmation from the customer’s device rather than checking their own banking or UPI apps. In most cases, the fraud is only discovered minutes or hours later, when the expected payment fails to appear in the merchant’s account.
To safeguard against such scams, police and cybersecurity experts advise merchants to:
✅ Verify all digital payments directly through their bank’s mobile app or UPI platform.
✅ Avoid relying solely on screenshots or verbal confirmation from customers.
✅ Enable instant SMS or email alerts for transactions.
✅ Install certified sound-box devices that announce receipt of payments only after successful transactions.
The Andaman and Nicobar Police have not yet released the identities of those arrested or the extent of the financial damage caused by the scam. As investigations continue, authorities are expected to provide further updates.
This case serves as a critical reminder for businesses and individuals to stay alert and verify transactions independently to avoid falling victim to digital fraud.
