Biometric SIM checks to bank debit holds: Govt's plan to tackle digital arrests

The report, prepared after consultations with stakeholders, seeks court directions to various authorities to ensure coordinated action against the growing cyber fraud threat. With this, the Centre is pushing for tighter accountability across telecom, banking and digital platforms to curb the surge in digital arrest scams.

In Short

• Government submits detailed report to Supreme Court on digital arrest scams
• Calls for strict telecom controls and real-time data sharing with law enforcement
• Directs MeitY to enforce WhatsApp safeguards, retain deleted data for 180 days

The government has submitted a detailed report before the Supreme Court outlining a coordinated, multi-agency strategy to tackle the growing menace of digital arrest scams, proposing measures ranging from biometric SIM verification to temporary debit holds on suspicious bank accounts.

The report, prepared after consultations with multiple stakeholders, urges the court to issue directions to key authorities, including the Department of Telecommunications (DoT), Ministry of Electronics and Information Technology (MeitY), and the Reserve Bank of India (RBI), to ensure uniform and time-bound implementation of safeguards.

TELECOM REFORMS AND SIM TRACEABILITY

A major focus of the recommendations, submitted by the Attorney General of India on behalf of the Centre, is tightening telecom controls to curb misuse of SIM cards in cyber fraud.

The Centre has called for expedited implementation of the Telecommunications (User Identification) Rules and the Biometric Identity Verification System to ensure national-level visibility of SIM issuance. Telecom service providers have been asked to strictly comply with these frameworks and cooperate in their rollout.

The report also stresses stronger verification and accountability mechanisms for Point of Sale (PoS) vendors involved in SIM activation, in line with the DoT’s August 31, 2023 circular. It proposes swift blocking of suspicious or fraudulent SIM cards used in cybercrime cases, including digital arrest scams.

Additionally, telecom operators and their PoS agents have been asked to extend full cooperation to law enforcement agencies by enabling real-time sharing of subscriber activation details and PoS data during investigations.

WHATSAPP, PLATFORM SAFEGUARDS AND DEVICE TRACKING

On digital platforms, the report directs MeitY to ensure compliance by WhatsApp with safeguards discussed with the Inter-Departmental Committee.

These include implementation of SIM-binding mechanisms in line with the DoT’s November 28, 2025 circular, along with enhanced tools to detect and mitigate prolonged scam calls -- one of the defining features of digital arrest frauds.

The report also suggests examining additional protective features similar to those deployed on platforms like Skype, and calls for mechanisms to identify and block device IDs used in scams, preventing repeat offenders from creating new accounts with different numbers.

Further, WhatsApp has been asked to retain data of deleted accounts for at least 180 days, in compliance with the Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021, and to cooperate with law enforcement agencies and the Indian Cyber Crime Coordination Centre (I4C) by acting promptly on signals related to scam networks, impersonation and fraudulent activity.

BANKING MEASURES AND UNIFORM IMPLEMENTATION

On the financial front, the government has backed the RBI’s standard operating procedure (SOP) for temporary debit holds on accounts suspected to be involved in cyber-enabled financial fraud.

The report seeks Supreme Court directions to ensure uniform implementation of this SOP across jurisdictions, noting that divergent High Court orders have led to inconsistencies in handling such cases. A standardised framework, it argues, would enable faster response and minimise financial losses to victims.

LEGAL FRAMEWORK AND ADJUDICATION

The report also highlights gaps in the existing legal framework and calls for expedited development of an online portal to operationalise the adjudication mechanism under the Information Technology Act, 2000, particularly for complaints under Section 43.

It further recommends strengthening the law to introduce civil liability for digital intermediaries in cases involving financial fraud, signalling a push towards greater platform accountability.

RISING THREAT OF DIGITAL ARREST SCAMS

Digital arrest scams have emerged as a major category of cyber fraud, where criminals impersonate police or enforcement agencies and threaten victims with arrest, account freezing or passport cancellation to extract money under the guise of fines or security deposits.

The scams typically rely on fear, spoofed communications, forged documents and prolonged calls to pressure victims. Background material cited in the report points to a sharp rise in such incidents in 2024, affecting a wide spectrum of individuals, including senior officials, journalists, security personnel and elderly citizens.

While mechanisms such as the Indian Cyber Crime Coordination Centre, the National Cyber Crime Reporting Portal and the Financial Cyber Fraud Reporting System are already in place, the report spotlights the need for stronger, court-backed coordination across telecom, digital platforms, banking systems and the legal framework.

- Ends