Financial Services Sector Gears Up Against Cyber Threats: 70 Lakh Mobile Connections Disconnected

The meeting acknowledged the concerted efforts in disconnecting 70 lakh mobile connections associated with cybercrime and financial frauds reported through digital intelligence platforms. Additionally, it was revealed that Rs. 900 crore of defrauded money has been recovered, benefiting 3.5 lakh victims.

Several key issues were addressed during the deliberation, including the need for enhanced coordination between police, banks, and financial entities for real-time tracking and blocking of defrauded funds. The focus extended to bringing all financial institutions, including Non-Banking Financial Companies (NBFCs) and major cooperative banks, onto the 'Citizen Financial Cyber Fraud Reporting and Management System (CFCFRMS)' platform.

Strategies were devised to combat the proliferation of mule accounts, improve response times in handling alerts on online financial frauds, appoint regional/state-level nodal officers, maintain a central registry of merchant onboarding, standardize Know Your Customer (KYC) processes, and whitelist digital lending apps through stakeholder consultation.

The meeting concluded with an emphasis on implementing recommendations from the Digital Lending Working Group, including the establishment of the Digital India Trust Agency (DIGITA) and the introduction of the 'Banning of Unregulated Lending Activities (BULA) Act.' Stakeholders were encouraged to conduct more customer awareness and sensitization programs on digital payment security.