Even the smartest can lose money: Zerodha's Nithin Kamath has a ₹2,000 crore reality check for those who feel educated can't be scammed

Digital scams are on the rise in India, with victims losing over ₹2,000 crore this year. Zerodha co-founder Nithin Kamath highlighted the issue in a recent post on social media platform X, warning that these scams exploit fear to deceive people.

How Digital Arrest Scams Work

Kamath described the method used by fraudsters to trap victims.

"You get a call from a person claiming to be a police officer. They tell you that a courier parcel in your name has been seized because it contains illegal items like drugs or other contraband. Then you get a WhatsApp video call with a scamster wearing a police uniform. They threaten to arrest you, take you to court, and then ask you to transfer money to their account to 'close the case,'" he wrote.


He emphasized that even well-educated individuals have been tricked by these scams. "Those of us who are educated may think that no one will fall for such obvious scams, but crores of educated Indians have fallen victim to these frauds."

How to Stay Safe

Kamath urged people to avoid reacting in haste and to seek expert advice when faced with such calls.

"I’ve shared this earlier as well: Never react in a hurry when you get such calls. At the very least, speak to someone knowledgeable, to your lawyer, or just walk into the nearest police station. The fraud works because we instinctively become afraid and will do whatever it takes to avoid trouble. Don’t react in a hurry. Also, block or don’t receive calls and messages from unknown numbers," he advised.

With digital fraud cases increasing, experts continue to stress the importance of awareness and caution while dealing with unknown calls and messages.