Paytm Payments Bank MD & CEO Satish Gupta<\/a> told TOI that while telcos have acknowledged the issue of rising fraud on online platforms, they are yet to take adequate action even when complaints are filed along with the involved numbers. While other payments companies and online platforms are also facing the same issue, Paytm is the first firm to come out with an official statement.
“As a first step, the initial due diligence needs to be made more stringent so that telecom resources (bulk SMS and calling facility) are not provided by telcos to fraudsters. Further, if a complaint is filed against fraudulent messages\/calls, the telecom service provider should be able to do due diligence on them and block such fraudsters immediately,” said Gupta.
Cellular Operators Association of India (COAI), which represents telecom service providers<\/a>, however, feels it is compliant with relevant Trai guidelines for commercial communications and has taken necessary actions. “The complaint redressal mechanism is being duly followed by the telecom service providers and action is being taken according to the provisions of Trai regulations. The Trai complaint redressal mechanism allows individual telecom subscribers to make complaints to their service provider regarding any unsolicited commercial communication (voice and SMS),” said Rajan Mathews, DG, COAI.
The move comes after the Noida-based company had also shared data of 3,500 numbers with Trai, the home affairs ministry and cybersecurity agency CERT-In. According to sources aware of the matter, Trai officials recently held a meeting with lenders in Mumbai as many cyber crooks use their banking services to mislead people with promises of freebies and discounts.
A critical aspect of this matter is also what’s called SMS shortcodes, often used by cyber crooks. SMS shortcodes are essential tools to use the company’s name falsely to fool consumers. For example, one of the most-used shortcodes is Pytm, mimicking Paytm. This can deceive a consumer to believe the text is coming officially from Paytm. Gupta added telcos need to have stringent control on the issuance of shortcodes for bulk messages to companies.
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