In this paper, an effective and robust method of image cryptography scheme is proposed using Phase Congruence Correlative (PCC) method and Arnold Cat Map (ACM). The secret image or a secret watermark is scrambled using ACM method. This scrambled secret image is then embedded into a host image using Adaptive α-β Blending method. The place of embedding in the host image is effectively obtained using PCC method. The embedded image is subjected to various attacks and the secret image is retrieved from the distorted embedded image. This retrieved secret image is compared with the original secret image and various parameters like Peak Signal to Noise Ratio (PSNR), Root Mean Square Error (RMSE), Absolute Difference (AD), Mean Absolute Error (MAE), Maximum Difference (MD) are obtained. This proposed method proves to provide better performance metrics over the past methods.