Islamabad: The National Assembly Standing Committee on Interior has expressed serious concern over large-scale cyber fraud, misuse of biometric data, fraudulent SIM cards and bank accounts, as officials disclosed alarming details of investigations involving the recovery of hundreds of thousands of biometric records, active SIMs and ATM cards.
The matter came under discussion during a meeting of the committee, where members received a detailed briefing on increasing incidents of WhatsApp and bank account hacking, cyber fraud and the misuse of citizens' personal and biometric information.
Officials informed the committee that during raids conducted against suspected criminal networks, authorities had recovered approximately six lakh fingerprints and biometric records from one location, raising serious questions about how such sensitive data had been obtained and subsequently used for fraudulent activities.
Committee members expressed surprise and concern over the scale of the alleged biometric data leak and questioned the sources from where citizens' fingerprints and other personal information were being acquired.
Officials of the relevant cybercrime investigation agency also briefed the committee about a recent case registered in Faisalabad involving the fraudulent withdrawal of Rs3.3 million from a woman's bank account after a suspect allegedly impersonated a bank employee.
The officials said one suspect had been arrested in connection with the case and that authorities had recovered 195 active SIM cards, 16 mobile phones and 81 bank ATM cards from his possession.
Members questioned how such a large number of SIM cards could be issued or activated for use by a single individual and called for accountability of telecom companies and regulatory authorities.
Officials informed the committee that action had been taken against fraudulent SIMs issued in the names of other individuals and that telecom companies had also faced financial penalties for violations and regulatory lapses.
The committee was informed that authorities had conducted more than 110 raids and recovered around 29,000 SIM cards and approximately six lakh biometric records during operations against suspected fraud networks.
Officials said biometric information could potentially be leaked through various sources and stressed the need for stronger security mechanisms to protect citizens' data.
The committee chairman questioned how citizens' fingerprints and SIM-related information were reaching criminal networks and expressed concern over possible involvement of officials from institutions and organisations having access to sensitive personal data.
Representatives of telecom companies told the committee that they were working with the Pakistan Telecommunication Authority on improving security features and remained bound to implement directions issued by the regulator.
They said that several lakh biometric verification machines were in use and that efforts were being made to inspect and upgrade the equipment regularly.
A telecom company representative told the committee that, instead of relying solely on thumb impressions, systems were capable of obtaining results from all ten fingerprints for verification purposes.
Minister of State for Interior Talal Chaudhry said stronger and more modern security features were required to prevent cyber fraud and identity theft.
He also highlighted the emergence of a disturbing practice involving so-called 'rented bank accounts', under which individuals allegedly knowingly allow bank accounts to be opened or used in their names for receiving and transferring fraudulent funds in return for a share of the proceeds.
He said such individuals were allegedly aware of the legal consequences but entered into these arrangements after receiving financial incentives.
Members suggested that citizens should automatically receive alerts whenever a new SIM card is issued in their name, allowing them to immediately identify and report unauthorised connections.
It was pointed out that stronger verification mechanisms and new security features were necessary to protect citizens from identity theft and digital fraud.
The committee also raised questions about the role of banks in protecting customers and responding to fraud incidents.
The chairman observed that banks should have effective mechanisms for protecting customers, particularly when fraudulent transactions occur, and questioned what measures financial institutions were taking to compensate or assist victims.
Members were informed that cybercrime cases were being registered on a daily basis and called for greater coordination among banks, telecom companies, the relevant cybercrime authorities, the State Bank of Pakistan and other institutions.
The Minister of State for Interior said the FIA and relevant cybercrime authorities would work jointly to develop solutions to the growing problem.
He said Pakistan needed to move towards modern and stronger verification systems rather than relying on outdated security arrangements.
The committee was informed that the Interior Secretary would hold meetings with all relevant stakeholders and submit a comprehensive report to the committee.