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In a bid to combat cybercrime, India's government has deactivated 8.5 million mobile connections and introduced stricter Know Your Customer (KYC) guidelines for telecom providers.
The new rules mandate biometric verification and physical address checks for all Points of Sale (PoS) issuing SIM cards.
Additionally, the Department of Telecommunications (DoT) has discontinued bulk connections, requiring individual KYC verification for each user and has implemented a more rigorous process for SIM swaps or replacements.

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Most of the disconnections were on account of fake documents

India government deactivates 8.5 million mobile connections to combat cybercrimes

By Akash Pandey

Dec 12, 2024

02:34 pm

What's the story

As part of its efforts to tackle fraud and improve telecom security, the Department of Telecommunications (DoT) has deactivated over 85 lakh mobile connections. Most of these disconnections, around 78.33 lakh, were on account of fake documents. Another 6.78 lakh connections were linked to cybercrime activities. The move came after an analysis with an artificial intelligence (AI)-based tool developed by the DoT.

Regulatory update

DoT introduces new KYC guidelines for telecom providers

The DoT has also issued new guidelines to bolster the Know Your Customer (KYC) framework for telecom service providers. These rules require the registration of all Points of Sale (PoS), including franchisees, distributors, and agents issuing SIM cards. This is to ensure that customer enrollment is secure and transparent. Now, telecom companies will have to verify each PoS through biometric verification and physical address checks.

Enforcement measures

Strict verification and penalties for non-compliance

In some areas such as Jammu & Kashmir, Assam, and North Eastern License Service Areas (LSAs), PoS must undergo police verification. These points must also sign inter-service agreements detailing their duties and penalties for non-compliance. If a PoS is found involved in fraud, they will be blacklisted across all telcos and subscribers enrolled by them will be re-verified. PoS enrolling customers without registration after January 31, 2025, will be fined ₹10 lakh per instance.

Policy changes

DoT discontinues bulk connections, mandates individual KYC verification

The DoT has scrapped the bulk connections framework and launched a business connections framework that mandates individual KYC verification of every end-user before activation. A stricter process has been introduced for SIM swap or replacement requests. Paper-based KYC processes have been done away with from January 1, 2024. Dr. Pemmasani Chandra Sekhar, Minister of State for Communications and Rural Development, shared these changes in Lok Sabha today.