Hyderabad: Cyber fraudsters are now adopting a unique method of using Aadhaar cards with outdated photos of children to acquire SIM cards for malicious purposes illegally, according to a study conducted by the Hyderabad-based Indian School of Business (ISB)-Institute of Data Science, Telangana Cyber Security Bureau (TGCSB), and the Centre of Excellence for Cyber Security of Telangana State.
The study, titled “Telecom SIM Subscription Frauds: Global Policy Trends, Risk Assessments, and Recommendations,” highlights that SIM card fraud is a significant component of cybercrime. It emphasizes that only a robust identity verification solution can effectively prevent such fraudulent activities.
The study found that 64.5 percent of Indian consumers prefer digital KYC for SIM registration, with Aadhaar being the most popular identity document. Notably, 89 percent of alternate numbers provided are not linked to Aadhaar, highlighting a significant gap in the verification process.
“Often, the alternate numbers used for authentication purposes were linked to other criminals. The study recommends incorporating online identification and validation methods, enhancing electronic identification processes, and increasing customer education to combat fraud,” said Shikha Goel, Director of the Telangana Cyber Security Bureau (TGCSB).
The study utilized subscriber data from Customer Acquisition Forms (CAFs) across all telecom service providers. A total of 1,600 CAF phone numbers belonging to criminals reported by people across Telangana were obtained, and real-time analysis of the data was conducted using AI models. “An extensive analysis of SIM registration policies in 160 countries was conducted to benchmark global best practices, offering valuable insights for enhancing local protocols,” the official said.
Director Goel emphasized the importance of SIM card fraud, urging the public not to share personal information and to report lost or stolen SIM cards promptly. “We urge everyone to remain vigilant, protect your personal information, deal only with verified agents, and report suspicious activities immediately,” she added.
The TGCSB plans to share the study’s recommendations with relevant stakeholders at the national level due to the urgent need to address this critical issue.
