Tackling Cyber Threats faced by MSMEs

Aditi Pangotra

Research Analyst, Policy & Advocacy, CyberPeace

PUBLISHED ON

Oct 1, 2024

Introduction

MSMEs, being the cornerstone of the Indian economy, are one of the most vulnerable targets in cyberspace and no enterprise is too small to be a target for malicious actors. MSMEs hardly ever perform a cyber-risk assessment, but when they do, they may run into a number of internal problems, such as cyberattacks brought on by inadequate networking security, online fraud, ransomware assaults, etc. Tackling cyber threats in MSMEs is critical mainly because of their high level of dependance on digital technologies and the growing sophistication of cyber attacks. Protecting them from cyber threats is essential, as a security breach can have devastating consequences, including financial loss, reputational damage, and operational disruptions.

Key Cyber Threats that MSMEs are facing

MSMEs are most vulnerable to are phishing attacks, ransomware, malware and viruses, insider threats, social engineering attacks, supply chain attacks, credential stuffing and brute force attacks and Distributed Denial of Service (DDoS) Attacks. Some of these attacks are described as under-

Insider threats arise from employees or contractors who intentionally or unintentionally compromise security. It involves data theft, misuse of access privileges, or accidental data exposure.
Social engineering attacks involve manipulating individuals into divulging confidential information or performing actions that compromise security by pretexting, baiting, and impersonation.
Supply chain attacks exploit the trust in relationships between businesses and their suppliers and introduce malware, compromise data integrity, and disrupt operations.
Credential stuffing and brute force attacks give unauthorized access to accounts and systems, leading to data breaches and financial losses.

Challenges Faced by MSMEs in Cybersecurity

The challenges faced by MSMEs in cyber security are mainly due to limited resources and budget constraints which leads to other issues such as a lack of specialized expertise as MSMEs often lack the IT support of cyber security experts. Awareness and training are needed to mitigate poor understanding of cyber threats and their complexity in nature. Vulnerabilities in the supply chain are present as they rely on third-party vendors and partners often, introducing potential supply chain vulnerabilities. Regulatory compliance is often complex and is taken seriously only when an issue crops up but it needs special attention especially with the DPDP Act coming in. The lack of an incident response plan leads to delayed and inadequate responses to cyber incidents, increasing the impact of breaches.

Best Practices for Tackling Cyber Threats for MSMEs

To effectively tackle cyber threats, MSMEs should adopt a comprehensive approach such as:

Implementing and enforcing strong access controls by using MFA or 2FA and password policies. Limiting employee access as role based and updating the same as and when needed.
Regularly apply security patches and use automated patch management solutions to prevent exploitation of known vulnerabilities.
Conduct employee training and awareness programs and promote a security-first approach for the employees and assessing employee readiness to identify improvement areas.
Implement network security measures by using firewalls and intrusion detection systems. Using secure Wi-Fi networks via strong encryptions and changing default credentials for the router are recommended, as is segmenting networks to limit lateral movement within the network in case of a breach.
Regular data backup ensures that in case of an attack, data loss can be recovered and made available in secure offsite locations to protect it from unauthorized access.
Developing an incident response plan that outlines the roles, responsibilities and procedure for responding to cyber incidents with regular drills to ensure readiness and clear communication protocols for incident reporting to regulators, stakeholders and customers.
Implement endpoint security solutions using antivirus and anti-malware softwares. Devices should be against unauthorized access and implement mobile device management solutions enforcing security policies on employee-owned devices used for work purposes.
Cyber insurance coverage will help in transferring financial risks in case of cyber incidents. It should have comprehensive coverage including business interruptions, data restoration, legal liabilities and incident response costs.

Conclusion

Addressing cyber threats in MSMEs requires a proactive and multi-layered approach that encompasses technical solutions, employee training, and strategic planning. By implementing best practices and leveraging cybersecurity solutions tailored to their specific needs, MSMEs can significantly enhance their resilience against cyber threats. As cyber threats continue to evolve, staying informed about the latest trends and adopting a culture of security awareness will be essential for MSMEs to protect their assets, reputation, and bottom line.

References:

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PUBLISHED ON

Oct 1, 2024

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Fake News Dilemma - Virat Kohli's Case

February 4, 2024

Introduction

In a world perpetually in motion, the currents of the information superhighway surge ceaselessly, molding perceptions, shaping realities, and often blurring the lines that tether truth to its moorings. At the heart of this relentless churn lies a conundrum that has become all too familiar, in which veracity is obscured by the shadow-play of misinformation. Emblematic of this dilemma is the narrative of Virat Kohli, a name that has become synonymous not only with cricketing brilliance but with the complexities of a modern era where digital echo chambers amplify half-truths and outright fabrications with alarming efficacy.

It is within this intricate fabric of the digital realm that the saga of Virat Kohli—a titan of cricket whose arsenal of strokes and strategic acumen have captivated audiences worldwide—takes on a dimension that transcends the sport. The speculative murmurs have been converted into roaring waves of misinformation, crafting a narrative that, while devoid of truth, assumes a disconcerting life. This digital osmosis, the transmutation from a quiet inkling to a deafening chorus of credibility, exemplifies the troublesome dynamic that has come to define our interactions with news media in the 21st century.

Fact check: Viral Misinformation

A viral post about Virat Kohli's mother suffering from liver issues has gone viral on social media. The claim came after Kohli withdrew from the India-England test series citing 'personal reasons'. Vikas Kohli, brother of Virat Kohli, clarified on Instagram that the viral news about their mother is false. He clarified that their mother is doing well and the viral claim is false. Vikas Kohli's Instagram page dismissed the viral claim, stating that he noticed the fake news and requested the media not to spread such news without proper information.

Fake Health Crisis

As this virulent strain of rumour regarding the health of Saroj Kohli, Virat Kohli’s mother, began to swell into the digital domain, it brought to the forefront a critical examination of the checks and balances within our networks of communication. Saroj, whose resilience and nurturing presence had been an anchor in the athlete's storied journey, undeservedly became the nucleus of a fictitious tale of despair, giving us pause to reflect on the ethical boundaries of storytelling in the world of clicks and views.

Vikas Kohli—the elder brother of Virat Kohli—took to social media, the very platform from which the falsehood originated, to stand as the bulwark against the spread of this groundless narrative.

The Consequences

The consequences of such falsehoods and their rapid dissemination are manifold, affecting individuals and communities in profound ways. The motivations behind the proliferation of deceitful stories are as labyrinthine as the networks they traverse - from manipulation and economic incentives to the pursuit of sheer sensationalism or cynical entertainment, each strand intertwines to form an intricate web wherein truth struggles to assert itself.

Conclusion

In the ceaseless expanses of the digital cosmos, where one can easily drift into the void of falsities, let the narrative of Virat Kohli stand as a sentinel, a reminder of our duty to navigate these waters with vigilance and to preserve the sanctity of truth. Amidst the vast ocean of content that laps in our consciousness, it is precisely this unwavering dedication to facts that will act as our compass, enabling us to discern the credible beacons from the deceptive mirages and ultimately ensuring that our discourse remains moored in the bedrock of reality.

References

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Mobile Internet Accessibility and its Impact on Misinformation Spread

September 30, 2024

Introduction

Smartphones have revolutionised human connectivity. In 2023, it was estimated that almost 96% of the global digital population is accessing the internet via their mobile phones and India alone has 1.05 billion users. Information consumption has grown exponentially due to the enhanced accessibility that these mobiles provide. These devices allow accessibility to information no matter where one is, and have completely transformed how we engage with the world around us, be it to skim through work emails while commuting, video streaming during breaks, reading an ebook at our convenience or even catching up on news at any time or place. Mobile phones grant us instant access to the web and are always within reach.

But this instant connection has its downsides too, and one of the most worrying of these is the rampant rise of misinformation. These tiny screens and our constant, on-the-go dependence on them can be directly linked to the spread of “fake news,” as people consume more and more content in rapid bursts, without taking the time to really process the same or think deeply about its authenticity. There is an underlying cultural shift in how we approach information and learning currently: the onslaught of vast amounts of “bite-sized information” discourages people from researching what they’re being told or shown. The focus has shifted from learning deeply to consuming more and sharing faster. And this change in audience behaviour is making us vulnerable to misinformation, disinformation and unchecked foreign influence.

The Growth of Mobile Internet Access

More than 5 billion people are connected to the internet and web traffic is increasing rapidly. The developed countries in North America and Europe are experiencing mobile internet penetration at a universal rate. Contrastingly, the developing countries of Africa, Asia, and Latin America are experiencing rapid growth in this penetration. The introduction of affordable smartphones and low-cost mobile data plans has expanded access to internet connectivity. 4G and 5G infrastructure development have further bridged any connectivity gaps. This widespread access to the mobile internet has democratised information, allowing millions of users to participate in the digital economy. Access to educational resources while at the same time engaging in global conversations is one such example of the democratisation of information. This reduces the digital divide between diverse groups and empowers communities with unprecedented access to knowledge and opportunities.

The Nature of Misinformation in the Mobile Era

Misinformation spread has become more prominent in recent times and one of the contributing factors is the rise of mobile internet. This instantaneous connection has made social media platforms like Facebook, WhatsApp, and X (formerly Twitter) available on a single compact and portable device. These social media platforms enable users to share content instantly and to a wide user base, many times without verifying its accuracy. The virality of social media sharing, where posts can reach thousands of users in seconds, accelerates the spread of false information. This ease of sharing, combined with algorithms that prioritise engagement, creates a fertile ground for misinformation to flourish, misleading vast numbers of people before corrections or factual information can be disseminated.

Some of the factors that are amplifying misinformation sharing through mobile internet are algorithmic amplification which prioritises engagement, the ease of sharing content due to instant access and user-generated content, the limited media literacy of users and the echo chambers which reinforce existing biases and spread false information.

Gaps and Challenges due to the increased accessibility of Mobile Internet

Despite growing concerns about misinformation spread due to mobile internet, policy responses remain inadequate, particularly in developing countries. These gaps include: the lack of algorithm regulation, as social media platforms prioritise engaging content, often fueling misinformation. Inadequate international cooperation further complicates enforcement, as addressing the cross-border nature of misinformation has been a struggle for national regulations.

Additionally, balancing content moderation with free speech remains challenging, with efforts to curb misinformation sometimes leading to concerns over censorship.

Finally, a deficit in media literacy leaves many vulnerable to false information. Governments and international organisations must prioritise public education to equip users with the required skills to evaluate online content, especially in low-literacy regions.

CyberPeace Recommendations

Addressing misinformation via mobile internet requires a collaborative, multi-stakeholder approach.

Governments should mandate algorithm transparency, ensuring social media platforms disclose how content is prioritised and give users more control.
Collaborative fact-checking initiatives between governments, platforms, and civil society could help flag or correct false information before it spreads, especially during crises like elections or public health emergencies.
International organisations should lead efforts to create standardised global regulations to hold platforms accountable across borders.
Additionally, large-scale digital literacy campaigns are crucial, teaching the public how to assess online content and avoid misinformation traps.

Conclusion

Mobile internet access has transformed information consumption and bridged the digital divide. At the same time, it has also accelerated the spread of misinformation. The global reach and instant nature of mobile platforms, combined with algorithmic amplification, have created significant challenges in controlling the flow of false information. Addressing this issue requires a collective effort from governments, tech companies, and civil society to implement transparent algorithms, promote fact-checking, and establish international regulatory standards. Digital literacy should be enhanced to empower users to assess online content and counter any risks that it poses.

References

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Deoghar's New Cyber Hub has Surpassed Jamtara

January 19, 2024

Introduction

The CID of Jharkhand Police has uncovered a network of around 8000 bank accounts engaged in cyber fraud across the state, with a focus on Deoghar district, revealing a surprising 25% concentration of fraudulent accounts. In a recent meeting with bank officials, the CID shared compiled data, with 20% of the identified accounts traced to State Bank of India branches. This revelation, surpassing even Jamtara's cyber fraud reputation, prompts questions about the extent of cybercrime in Jharkhand. Under Director General Anurag Gupta's leadership, the CID has registered 90 cases, apprehended 468 individuals, and seized 1635 SIM cards and 1107 mobile phones through the Prakharna portal to combat cybercrime.

This shocking revelation by, Jharkhand Police's Criminal Investigation Department (CID) has built a comprehensive database comprising information on about 8000 bank accounts tied to cyber fraud operations in the state. This vital information has aided in the launch of investigations to identify the account holders implicated in these illegal actions. Furthermore, the CID shared this information with bank officials at a meeting on January 12 to speed up the identification process.

Background of the Investigation

The CID shared the collated material with bank officials in a meeting on 12 January 2024 to expedite the identification process. A stunning 2000 of the 8000 bank accounts under investigation are in the Deoghar district alone, with 20 per cent of these accounts connected to various State Bank of India branches. The discovery of 8000 bank accounts related to cybercrime in Jharkhand is shocking and disturbing. Surprisingly, Deoghar district has exceeded even Jamtara, which was famous for cybercrime, accounting for around 25% of the discovered bogus accounts in the state.

As per the information provided by the CID Crime Branch, it has been found that most of the accounts were opened in banks, are currently under investigation and around 2000 have been blocked by the investigating agencies.

Recovery Process

During the investigation, it was found out that most of these accounts were running on rent, the cyber criminals opened them by taking fake phone numbers along with Aadhar cards and identity cards from people in return these people(account holders) will get a fixed amount every month.

The CID has been unrelenting in its pursuit of cybercriminals. Police have recorded 90 cases and captured 468 people involved in cyber fraud using the Prakharna site. 1635 SIM Cards and 1107 mobile phones were confiscated by police officials during raids in various cities.

The Crime Branch has revealed the names of the cities where accounts are opened

Deoghar 2500
Dhanbad 1183
Ranchi 959
Bokaro 716
Giridih 707
Jamshedpur 584
Hazaribagh 526
Dumka 475
Jamtara 443

Impact on the Financial Institutions and Individuals

These cyber scams significantly influence financial organisations and individuals; let us investigate the implications.

Victims: Cybercrime victims have significant financial setbacks, which can lead to long-term financial insecurity. In addition, people frequently suffer mental pain as a result of the breach of personal information, which causes worry, fear, and a lack of faith in the digital financial system. One of the most difficult problems for victims is the recovery process, which includes retrieving lost cash and repairing the harm caused by the cyberattack. Individuals will find this approach time-consuming and difficult, in a lot of cases people are unaware of where and when to approach and seek help. Hence, awareness about cybercrimes and a reporting mechanism are necessary to guide victims through the recovery process, aiding them in retrieving lost assets and repairing the harm inflicted by cyberattacks.

Financial Institutions: Financial institutions face direct consequences when they incur significant losses due to cyber financial fraud. Unauthorised account access, fraudulent transactions, and the compromise of client data result in immediate cash losses and costs associated with investigating and mitigating the breach's impact. Such assaults degrade the reputation of financial organisations, undermine trust, erode customer confidence, and result in the loss of potential clients.

Future Implications and Solutions: Recently, the CID discovered a sophisticated cyber fraud network in Jharkhand. As a result, it is critical to assess the possible long-term repercussions of such discoveries and propose proactive ways to improve cybersecurity. The CID's findings are expected to increase awareness of the ongoing threat of cyber fraud to both people and organisations. Given the current state of cyber dangers, it is critical to implement rigorous safeguards and impose heavy punishments on cyber offenders. Government organisations and regulatory bodies should also adapt their present cybersecurity strategies to address the problems posed by modern cybercrime.

Solution and Preventive Measures

Several solutions can help combat the growing nature of cybercrime. The first and foremost step is to enhance cybersecurity education at all levels, including:

Individual Level: To improve cybersecurity for individuals, raising awareness across all age groups is crucial. This can only be done by knowing the potential threats by following the best online practices, following cyber hygiene, and educating people to safeguard themselves against financial frauds such as phishing, smishing etc.
Multi-Layered Authentication: Encouraging individuals to enable MFA for their online accounts adds an extra layer of security by requiring additional verification beyond passwords.
Continuous monitoring and incident Response: By continuously monitoring their financial transactions and regularly reviewing the online statements and transaction history, ensure that everyday transactions are aligned with your expenditures, and set up the accounts alert for transactions exceeding a specified amount for usual activity.
Report Suspicious Activity: If you see any fraudulent transactions or activity, contact your bank or financial institution immediately; they will lead you through investigating and resolving the problem. The victim must supply the necessary paperwork to support your claim.

How to reduce the risks

Freeze compromised accounts: If you think that some of your accounts have been compromised, call the bank immediately and request that the account be frozen or temporarily suspended, preventing further unauthorised truncations

Update passwords: Update and change your passwords for all the financial accounts, emails, and online banking accounts regularly, if you suspect any unauthorised access, report it immediately and always enable MFA that adds an extra layer of protection to your accounts.

Conclusion

The CID's finding of a cyber fraud network in Jharkhand is a stark reminder of the ever-changing nature of cybersecurity threats. Cyber security measures are necessary to prevent such activities and protect individuals and institutions from being targeted against cyber fraud. As the digital ecosystem continues to grow, it is really important to stay vigilant and alert as an individual and society as a whole. We should actively participate in more awareness activities to update and upgrade ourselves.

References

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Tackling Cyber Threats faced by MSMEs

Introduction

Key Cyber Threats that MSMEs are facing

Challenges Faced by MSMEs in Cybersecurity

Best Practices for Tackling Cyber Threats for MSMEs

Recommended Cybersecurity Solutions Tailored for MSMEs

Conclusion

References:

Related Blogs

Introduction

Fact check: Viral Misinformation

Fake Health Crisis

The Consequences

Conclusion

References

Introduction

The Growth of Mobile Internet Access

The Nature of Misinformation in the Mobile Era

Gaps and Challenges due to the increased accessibility of Mobile Internet

CyberPeace Recommendations

Conclusion

References

Introduction

Background of the Investigation

Recovery Process

Impact on the Financial Institutions and Individuals

Solution and Preventive Measures

How to reduce the risks

Conclusion

References

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