In a bid to combat the issue of counterfeit SIM cards and financial scams, the Minister of Communications and IT, Ashwini Vaishnaw, unveiled fresh regulations for SIM card vendors. These regulations necessitate biometric verification and compulsory registration with telecom companies. Under the guidelines, any violation by SIM card sellers that involves fraudulent card sales will result in both criminal prosecution and a penalty of up to Rs 10 lakh. Additionally, vendors engaged in unlawful activities will face termination and a three-year blacklisting.
Presently, out of the firms procuring SIM cards in large quantities for their operations, only 80% can be verified as legitimate, while the remaining 20% exploit these cards for inappropriate purposes. To address this, the government plans to eliminate the notion of bulk connections and instead introduce a well-defined business connection protocol, stated Vaishnaw.
The minister revealed that the government has deactivated 5.2 million mobile connections. Additionally, 67,000 dealers have faced blacklisting, and since May 2023, a total of 300 First Information Reports (FIRs) have been lodged against SIM card dealers.
He further explained that following comprehensive registration, including submission of GST numbers, PAN cards, and individual KYC details of employees, legitimate business connections will be granted.
Who can only sell the bulk SIM card?
Bulk sales of SIM cards will be ceased by the government, except for legitimate business entities. These authorized entities will be able to acquire bulk cards after completing the necessary registration process and ensuring individual verification of the employees using those SIM cards.
In an official statement, Vaishnaw said, “We found that a lot of dealers are selling SIMs without doing proper verification of consumers. Therefore, in order to put accountability on the sellers selling fake cards, the government has made their verification and registration mandatory,” Vaishnaw said.
When will the new norm be implemented by the Indian government?
The implementation of the new regulations is scheduled for October. In terms of registration, the procedure will necessitate a written agreement between the SIM card vendor and the telecommunications companies. Ashwini Vaishnaw emphasized that all current card vendors will be registered by the telecommunications companies within a span of 12 months. Notably, the country currently has one million SIM card sellers.
Digital frauds and how many dealers are blacklisted?
In an extensive campaign to combat digital fraud associated with SIM cards, the minister stated that the government has severed 5.2 million mobile connections. Furthermore, a blacklist now includes 67,000 dealers, and from May 2023 onwards, a cumulative count of 300 FIRs has been lodged against dealers involved in SIM card-related activities.
Furthermore, the government has obstructed the functioning of 17,000 mobile phones that were reported as stolen. Additionally, they have successfully traced 300,000 mobile phones that were stolen using the Sanchar Saathi Portal, according to Vaishnaw's statement.
About the frauds
Regarding bulk SIM cards, the existing scenario involves fraudsters utilizing a device known as a SIM box to make improper calls via a single connection. This device generates automated calls and subsequently deactivates the SIM cards after the fraudulent calls. The newly introduced norms are designed to counter such actions, emphasized Vaishnaw.
In recent developments, approximately 66,000 WhatsApp accounts associated with fraudulent activities have been blocked. Additionally, around 800,000 payment wallet accounts have been suspended.
About Sanchar Saathi Portal
In May, the government introduced the Sanchar Saathi Portal, offering citizens across the nation the capability to trace and prevent the usage of their lost or stolen mobile phones. This platform also allows individuals to verify the legitimacy of pre-owned devices prior to purchase and monitor the count of phone numbers linked to their identity without their awareness.
How many SIM can an individual use?
Regarding its intentions to limit the number of SIM cards under a single ID, Vaishnaw clarified that the government is presently not considering such a move, and the current allowance of nine individual connections per ID will remain unchanged.
How to prevent the misuse of Aadhaar
In a bid to counter the misuse of printed Aadhaar cards, the government has stipulated that demographic information must be captured by scanning the QR code on the printed Aadhaar. Additionally, if a mobile number is disconnected, it won't be reassigned to a new customer for a period of 90 days from its disconnection.
