Digital fraud on the rise as Indian government pushes toward cashless economy

Tuesday, December 20, 2016

KOLKATA: One unintended fallout of the government’s aggressive push for digital transactions is a significant jump in digital payment frauds whereby people are losing money through online payment and e-wallets.

Post demonetisation, Kolkata police has recorded 58 cases of digital payment frauds in three weeks of November. Other state and central agencies are also receiving several complaints even as thousands of people who had never made any digital transaction before are trying their hands at digital payment modes.

“We are trying to create awareness in this regard. People should not use public Wi-Fi, download unauthorized apps and open attachments from unknown sources,” a senior Kolkata police officer said.

He also warned against fraudulent mobile wallet operators. “We have 52 e-wallets operating in the market and we maintain liaison with all of these operators.But we always recommend customers to go for a reputed e-wallet system other than going for unknown ones. There are many fraudulent operators who have not yet received government’s sanction,” the police officer said.

According to figures released by official think tank Niti Aayog, following demonetisation of old Rs 1,000 notes and Rs 500 on November 8, digital payments jumped manifold across the country both in terms of volume and the amount of money transacted.

Source: Economic Times (link opens in a new window)