PayTM, Google Pay, Razorpay, banks and RBI, TRAI, NPCI, UIDAI discuss issues with DFS Secretary; Rs9 Bn defrauded money saved, benefitting 3.5 lakh victims
FinTech BizNews Service
Mumbai, November 28, 2023: Vivek Joshi, the Secretary, Department of Financial
Services (DFS), Ministry of Finance, chaired a meeting in New Delhi, today, to discuss issues
related to cyber security in the financial services sector and increasing incidents of recent
online financial frauds.
The meeting was also attended by Secretary, Telecom and senior officials of Department of
Financial Services (DFS), Department of Economic Affairs (DEA), Department of Revenue
(DoR), Ministry of Electronics & Information Technology (MeitY), Department of Telecom
(DoT), Reserve Bank of India (RBI), Telecom Regulatory Authority of India (TRAI), Unique
Identification Authority of India (UI), Indian Cyber Crime Co-ordination Center (I4C),
National Payments Corporation of India (NPCI), State Bank of India (SBI), Bank of Baroda,
Canara Bank, Punjab National Bank, HDFC Bank, ICICI Bank, IDFC First Bank, Airtel
Payment Bank, Equitas Small Finance Bank, Google Pay India, PayTM, and Razorpay.
The Indian Cyber Crime Co-ordination Center (I4C), Ministry of Home Affairs, made a
presentation on the latest statistics of digital payment frauds as reported in the National Cyber
Crime Reporting Portal (NCRP), various sources of these financial frauds, modus operandi
adopted by the fraudsters, including challenges faced to counter financial cybercrimes.
Further, representatives from State Bank of India (SBI) made a brief presentation on the
Proactive Risk Monitoring (PRM) strategy implemented by SBI. Besides, PayTM and
Razorpay representatives also shared their best practices which has enabled them to mitigate
such frauds.
The meeting took stock of the preparedness of the banks and other financial institutions in
tackling the challenges arising from cyber security in the financial services sector, increasing
trend of digital payment frauds, and deliberated on a focused approach to mitigate such
cyber-attacks and frauds. It was noted during the deliberation that:
? 70 lakh mobile connections involved in cybercrime/ financial frauds reported
through digital intelligence platforms have been disconnected so far.
? Rs900 crore defrauded money has been saved, benefitting 3.5 lakh victims
Some of the issues that were discussed included:
? Renewed focus on facilitating seamless coordination between Police, Banks and
Financial Entities for real time tracking and blocking of defrauded money
? Bringing all financial institutions including NBFCs and major cooperative
banks on ‘Citizen Financial Cyber Fraud Reporting and Management System
(CFCFRMS)’ platform, wherein 259 financial intermediaries are already
onboarded
? Strategy to tackle menace of mule accounts by banks
? Banks to improve the response time in handling the alerts on online financial
frauds received from different agencies
? Appointment of regional/ state level nodal officers by the banks and financial
institutions to cater to the requirements of law enforcement agencies
? Maintaining a central registry of onboarding of merchants and standardisation
of KYC
? Whitelisting of digital lending apps through consultation with relevant
stakeholders
? Status on implementation of recommendations of the Digital Lending Working
Group including setting up of Digital India Trust Agency (DIGITA) and
bringing a new legislation ‘Banning of Unregulated Lending Activities (BULA)
Act’
? All stakeholders including banks and financial institutions to undertake more
customer awareness and sensitisation programmes on digital payments security
