Deepfake Cyber Threats to the Financial Sector in India: A Growing Concern

Introduction

A recent massive scam has been uncovered in the Indian state of Gujarat, where the Criminal Investigation Department (CID) has blacklisted 30,000 SIM cards that were used for illegal activities. The scam has created a huge uproar in the state, and its implications are significant. In this blog, we will discuss the details of the Gujarat scam and its impact on the state.

What is sim card fraud?

Sim card fraud occurs when someone uses a fake or cloned sim card to impersonate someone else. This allows the fraudster to gain access to sensitive information or conduct transactions on behalf of the victim. The use of fraudulent sim cards has become increasingly common in recent years, with scammers targeting individuals and businesses around the world.

The Gujarat Scam: The Gujarat scam involves the use of SIM cards for illegal activities such as extortion, blackmail, and cybercrime. The CID has identified that the SIM cards were obtained using fake documents and were used for illegal activities.  The scam has been happening for a while, involving several individuals, including businessmen, politicians, and government officials.

The CID has conducted raids across the state and has arrested several individuals involved in the scam. They have also seized a significant amount of cash, mobile phones, and other electronic devices used for illegal activities. The investigation is ongoing, and more arrests are expected in the coming days.

The Gujarat scam is not an isolated incident, as similar scams have been reported in other parts of the country. The Telecom Regulatory Authority of India (TRAI) has also reported that several telecom operators are not following the regulations and are not verifying the authenticity of documents used to obtain SIM cards.

Impact on the State: The Gujarat scam has caused significant damage to the state’s reputation, and it has also affected the economy. The scam has highlighted the lack of regulation in the telecom industry, and it has exposed the loopholes in the system that criminals are exploiting.

The blacklisting of 30,000 SIM cards will affect several individuals who may have obtained them legally but were unaware of their use for illegal activities. The blacklisting may also impact businesses that rely on mobile phones for their operations.

The scam has also raised concerns about personal information and data safety. With the use of fake documents to obtain SIM cards, it is evident that personal information is not secure and can be easily misused. The government needs to take steps to ensure that personal information is protected and that the telecom industry is regulated to prevent such scams from happening in the future.

Steps Taken by the Government: The Gujarat scam has prompted the government to take action to prevent such incidents from happening in the future. The government has announced that it will implement stricter regulations in the telecom industry to prevent the misuse of SIM cards. The government has also announced that it will introduce a system to verify the authenticity of documents used to obtain SIM cards.

The government has also urged citizens to be vigilant and report any suspicious activity related to the misuse of SIM cards. The government has assured citizens that it will take strict action against those involved in the scam and that it will ensure the safety of personal information and data.

The TRAI has also taken steps to address the issue. It has directed telecom operators to verify the authenticity of documents used to obtain SIM cards and to follow the regulations. The TRAI has also introduced a new system to identify and deactivate inactive SIM cards.

Here are some key takeaways from the Gujarat Sim scam: These takeaways should be kept in mind to prevent such incidents from happening in the future and to ensure the safety of citizens and businesses.

Need for Stricter Regulations: The Gujarat Sim scam has highlighted the need for stricter regulations in the telecom industry. The government needs to ensure that telecom operators follow the regulations and verify the authenticity of documents used to obtain SIM cards. This will help prevent the misuse of SIM cards and illegal activities.

Importance of Personal Information Security: The scam has raised concerns about personal information and data safety. It is important to ensure that personal information is protected and that the telecom industry is regulated to prevent such scams from happening in the future.

Impact on Reputation and Economy: The Gujarat scam has caused significant damage to the state’s reputation, and it has also affected the economy. The blacklisting of 30,000 SIM cards will impact several individuals who may have obtained them legally but were unaware of their use for illegal activities. The scam has also raised concerns about the safety of businesses that rely on mobile phones for their operations.

Need for Vigilance: The government has urged citizens to be vigilant and report any suspicious activity related to the misuse of SIM cards. It is important for citizens to be aware of the regulations and to report any illegal activities to prevent such incidents from happening in the future.

Strong Action Against Criminals: The blacklisting of 30,000 SIM cards and the arrests made by the CID sends a strong message to those involved in illegal activities that they will not be spared. It is important for the government to take strict action against those involved in the scam to deter others from engaging in such activities.

Conclusion

The Gujarat scam has exposed vulnerabilities in the telecom industry and highlighted the need for stricter regulations to prevent such incidents from happening in the future. The blacklisting of 30,000 SIM cards has sent a strong message to those involved in illegal activities that they will not be spared. The government’s efforts to implement stricter regulations and ensure the safety of personal information and data are commendable. It is now up to the citizens to be vigilant and report any suspicious activity to prevent such incidents from happening in the future.

The telecom industry plays a vital role in the country’s development, and it is important to ensure that it is regulated to prevent the misuse of its services. Overall, the Gujarat Sim scam has highlighted the need for stricter regulations, personal information security, vigilance, and strong action against criminals.

Reference:

https://timesofindia.indiatimes.com/city/ahmedabad/pre-activated-sim-cards-behind-phone-scamming/articleshow/98261346.cms

https://timesofindia.indiatimes.com/city/ahmedabad/cid-blacklists-30000-sim-cards-used-to-con-1-27-lakh-gujaratis-of-rs-815-crore/articleshow/98259398.cms

Introduction

Misinformation poses a significant challenge to public health policymaking since it undermines efforts to promote effective health interventions and protect public well-being. The spread of inaccurate information, particularly through online channels such as social media and internet platforms, further complicates the decision-making process for policymakers since it perpetuates public confusion and distrust. This misinformation can lead to resistance against health initiatives, such as vaccination programs, and fuels scepticism towards scientifically-backed health guidelines.

Before the COVID-19 pandemic, misinformation surrounding healthcare largely encompassed the effects of alcohol and tobacco consumption, marijuana use, eating habits, physical exercise etc. However, there has been a marked shift in the years since. One such example is the outcry against palm oil in 2024: it is an ingredient prevalent in numerous food and cosmetic products, and came under the scanner after a number of claims that palmitic acid, which is present in palm oil, is detrimental to our health. However, scientific research by reputable institutions globally established that there is no cause for concern regarding the health risks posed by palmitic acid. Such trends and commentaries tend to create a parallel unscientific discourse that has the potential to not only impact individual choices but also public opinion and as a result, market developments and policy conversations. 

A prevailing narrative during the worst of the Covid-19 pandemic was that the virus had been engineered to control society and boost hospital profits. The extensive misinformation surrounding COVID-19 and its management and care increased vaccine hesitancy amongst people worldwide. It is worth noting that vaccine hesitancy has been a consistent trend historically; the World Health Organisation flagged vaccine hesitancy as one of the main threats to global health, and there have been other instances where a majority of the population refused to get vaccinated anticipating unverified, long-lasting side effects. For example, research from 2016 observed a significant level of public skepticism regarding the development and approval process of the Zika vaccine in Africa. Further studies emphasised the urgent need to disseminate accurate information about the Zika virus on online platforms to help curb the spread of the pandemic. 

In India during the COVID-19 pandemic, despite multiple official advisories, notifications and guidelines issued by the government and ICMR, people continued to remain opposed to vaccination, which resulted in inflated mortality rates within the country. Vaccination hesitancy was also compounded by anti-vaccination celebrities who claimed that vaccines were dangerous and contributed in large part to the conspiracy theories doing the rounds. Similar hesitation was noted in misinformation surrounding the MMR vaccines and their likely role in causing autism was examined.  At the time of the crisis, the Indian government also had to tackle disinformation-induced fraud surrounding the supply of oxygens in hospitals. Many critically-ill patients relied on fake news and unverified sources that falsely portrayed the availability of beds, oxygen cylinders and even home set-ups, only to be cheated out of money. 

The above examples highlight the difficulty health officials face in administering adequate healthcare. The special case of the COVID-19 pandemic also highlighted how current legal frameworks failed to address misinformation and disinformation, which impedes effective policymaking. It also highlights how taking corrective measures against health-related misinformation becomes difficult since such corrective action creates an uncomfortable gap in an individual’s mind, and it is seen that people ignore accurate information that may help bridge the gap. Misinformation, coupled with the infodemic trend, also leads to false memory syndrome, whereby people fail to differentiate between authentic information and fake narratives. Simple efforts to correct misperceptions usually backfire and even strengthen initial beliefs, especially in the context of complex issues like healthcare. Policymakers thus struggle with balancing policy making and making people receptive to said policies in the backdrop of their tendencies to reject/suspect authoritative action. Examples of the same can be observed on both the domestic front and internationally. In the US, for example, the traditional healthcare system rations access to healthcare through a combination of insurance costs and options versus out-of-pocket essential expenses. While this has been a subject of debate for a long time, it hadn’t created a large scale public healthcare crisis because the incentives offered to the medical professionals and public trust in the delivery of essential services helped balance the conversation. In recent times, however, there has been a narrative shift that sensationalises the system as an issue of deliberate “denial of care,” which has led to concerns about harms to patients.

Policy Recommendations

The hindrances posed by misinformation in policymaking are further exacerbated against the backdrop of policymakers relying on social media as a method to measure public sentiment, consensus and opinions. If misinformation about an outbreak is not effectively addressed, it could hinder individuals from adopting necessary protective measures and potentially worsen the spread of the epidemic. To improve healthcare policymaking amidst the challenges posed by health misinformation, policymakers must take a multifaceted approach. This includes convening a broad coalition of central, state, local, territorial, tribal, private, nonprofit, and research partners to assess the impact of misinformation and develop effective preventive measures. Intergovernmental collaborations such as the Ministry of Health and the Ministry of Electronics and Information Technology should be encouraged whereby doctors debunk online medical misinformation, in the backdrop of the increased reliance on online forums for medical advice. Furthermore, increasing investment in research dedicated to understanding misinformation, along with the ongoing modernization of public health communications, is essential. Enhancing the resources and technical support available to state and local public health agencies will also enable them to better address public queries and concerns, as well as counteract misinformation. Additionally, expanding efforts to build long-term resilience against misinformation through comprehensive educational programs is crucial for fostering a well-informed public capable of critically evaluating health information.

From an individual perspective, since almost half a billion people use WhatsApp it has become a platform where false health claims can spread rapidly. This has led to a rise in the use of fake health news. Viral WhatsApp messages containing fake health warnings can be dangerous, hence it is always recommended to check such messages with vigilance. This highlights the growing concern about the potential dangers of misinformation and the need for more accurate information on medical matters.

Conclusion

The proliferation of misinformation in healthcare poses significant challenges to effective policymaking and public health management. The COVID-19 pandemic has underscored the role of misinformation in vaccine hesitancy, fraud, and increased mortality rates. There is an urgent need for robust strategies to counteract false information and build public trust in health interventions; this includes policymakers engaging in comprehensive efforts, including intergovernmental collaboration, enhanced research, and public health communication modernization, to combat misinformation. By fostering a well-informed public through education and vigilance, we can mitigate the impact of misinformation and promote healthier communities.

References

1. van der Meer, T. G. L. A., & Jin, Y. (2019), “Seeking Formula for Misinformation Treatment in Public Health Crises: The Effects of Corrective Information Type and Source” Health Communication, 35(5), 560–575. https://doi.org/10.1080/10410236.2019.1573295 
2. “Health Misinformation”, U.S. Department of Health and Human Services. https://www.hhs.gov/surgeongeneral/priorities/health-misinformation/index.html 
3. Mechanic, David, “The Managed Care Backlash: Perceptions and Rhetoric in Health Care Policy and the Potential for Health Care Reform”, Rutgers University. https://www.ncbi.nlm.nih.gov/pmc/articles/PMC2751184/pdf/milq_195.pdf 
4. “Bad actors are weaponising health misinformation in India”, Financial Express, April 2024.

https://www.financialexpress.com/life/entertainment-bad-actors-are-weaponising-health-misinformation-in-india-3448871/ 

5. “Role of doctors in eradicating misinformation in the medical sector.”, Times of India, 1 July 2024. https://timesofindia.indiatimes.com/life-style/health-fitness/health-news/national-doctors-day-role-of-doctors-in-eradicating-misinformation-in-the-healthcare-sector/articleshow/111399098.cms 

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Introduction

Sexual Offences against children have recently come under scrutiny after the decision of the Madras High Court which has ruled that watching and downloading child sexual porn is an inchoate crime. In response, the Supreme Court, on 23 September 2024, ruled that Section 15 of the POCSO and Section 67B of the IT Act penalise any form of use of child pornography, including storing and watching such pornographic content. Along with this, the Supreme Court has further recommended replacing the term “Child Pornography” which it said acts as a misnomer and does not capture the full extent of the crime, with a more inclusive term “Child Sexual Exploitative and Abuse Material” (CESAM). This term would more accurately reflect the reality that these images and videos are not merely pornographic but are records of incidents, where a child has either been sexually exploited and abused or where any abuse of children has been portrayed through any self-generated visual depiction.

Intermediaries cannot claim exemption from Liability U/S 79 

Previously, intermediaries claimed safe harbour by only complying with the requirements stipulated under the  MOU. As per the decision of the SC, now, an intermediary cannot claim exemption from the liability under Section 79 of the IT Act for any third-party information, data, or communication link made available or hosted by it unless due diligence is conducted by it and compliance is made of these provisions of the POCSO Act. This is as per the provisions of Sections 19 and 20 of the POCSO read with Rule 11 of the POCSO Rules which have a mandatory nature.

The due diligence under section 79 of the IT Act includes the removal of child pornographic content and immediate reporting of such content to the concerned police units in the manner specified under the POCSO Act and the Rules. In this way, the Supreme Court has broadened the Interpretation and scope of the ‘Due Diligence’ obligation under section 79 of the IT Act. It was also stated that is to be duly noted that merely because an intermediary complies with the IT Act, will not absolve it of any liability under the POCSO. This is unless it duly complies with the requirements and procedure set out under it, particularly Section 20 of the POCSO Act and Rule 11 of the POCSO Rules.

Bar on Judicial Use of the term ‘Child Porn’

Supreme Court found that the term child pornography can be trivialised as pornography is often seen as a consensual act between adults. Supreme Court emphasised using the term Child Sexual Exploitative and Abuse Material  (CESAM) as it would emphasise the exploitation of children highlight the criminality of the act and shift the focus to a more robust framework to counter these crimes. The Supreme Court also stated that the Union of India should consider amending the POCSO Act to replace the "child pornography" term with "child sexual exploitative and abuse material" (CSEAM). This would reflect more accurately on the reality of such offences. Supreme Court also directed that the term "child pornography" shall not be used in any judicial order or judgment, and instead, the term "CSEAM" should be endorsed.

Curbing CSEAM Content on Social Media Platforms

Social Media Intermediaries and Expert Organisations play an important role in curbing CESAM content. Per the directions of the Apex Court, a need to impart positive age-appropriate sex education to prevent youth from engaging in harmful sexual behaviours, including the distribution, and viewing of CSEAM is important and all stakeholders must engage in proactive measures to counter these offences which are under the umbrella of CSEAM. This should entail promoting age-appropriated and lawful content on social media platforms and social media platforms to ensure compliance with applicable provisions.  

Conclusion 

In light of the Supreme Court’s landmark ruling, it is imperative to acknowledge the pressing necessity of establishing a safer online environment that shields children from exploitation. The shift towards using "Child Sexual Exploitative and Abuse Material" (CSEAM) emphasizes the severity of the crime and the need for a vigilant response. The social media intermediaries must respect their commitment to report and remove exploitive content and must ensure compliance with POCSO and IT regulations. Furthermore, comprehensive, age-appropriate sex education can also be used as a preventive measure, educating young people about the moral and legal ramifications of sexual offences, encouraging respect and awareness and ensuring safer cyberspace. 

References

• https://www.scconline.com/blog/post/2024/09/23/storing-watching-child-pornography-crime-supreme-court-pocso-it-act/#:~:text=Supreme%20Court%3A%20The%20bench%20of,watching%20of%20such%20pornographic%20content
• https://timesofindia.indiatimes.com/india/supreme-court-viewing-child-porn-is-offence-under-pocso-it-acts/articleshow/113613572.cms
• https://bwlegalworld.com/article/dont-use-term-child-pornography-says-sc-urges-parliament-to-amend-pocso-act-534053  
• https://indianexpress.com/article/india/child-pornography-law-pocso-it-supreme-court-9583376/

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