Electronic fraud is rising, mainly through identify theft
By Jeph Ajobaju, Chief Copy Editor
Electronic fraud is on the rise, the Nigerian Communications Commission (NCC) has warned, stressing scammers now target telecom networks to disrupt service delivery and infiltrate data banks, using SIM swaps and Unstructured Supplementary Service Data (USSD).
NCC Executive Vice Chairman Umar Dambatta sounded the alert at the Telecom Consumers Sensitisation Programme in Keffi, where he said fraudsters execute SIM swaps and USSD transactions to steal from victims.
Dambatta, represented by NCC Head of Consumer Protection and Advocacy, Clement Omeife, disclosed such fraud costs the economy huge sums of money.
“The Central Bank of Nigeria (CBN) rates electronic fraud as biggest risk in the sector, which has widely incorporated electronic payment solutions such as Automated Teller Machines (ATMs), Nigeria Inter-Bank Settlement System (NIBBS) Instant Payment and mobile banking,” he said.
“The telecommunications sector is not also spared in the raging storm, stoked by cyber fraudsters across the country.”
__________________________________________________________________
Related articles:
Banks and telcos’ talks on N120b USSD debt stalled by technical definition
ePayments failure rises as banks owe N45b USSD debt, IT workers emigrate
Bank staff steal N3.6b through ATMs, PoS, mobile channels
__________________________________________________________________
Impact of identity theft
“A lot of people are highly ignorant to how losing their phones to fraudsters can lead to a complete clean-up of their bank accounts. These fraudsters do this by stealing victims’ identities, names, addresses and bank information, which they use in gaining access to their bank accounts,” Dambatta added, per The Guardian.
“They also use the stolen identity to defraud other people, and even apply for loans, leaving the victim with debts.
“It is in view of this and in line with the Commission’s consumer-centric posture that NCC, in collaboration with relevant groups, embarked on the sensitisation programme.”
The programme is a deliberate initiative to educate the public against falling prey to fraudsters, he added.
Dambatta explained that in the fight against ebanking fraudsters, the NCC is collaborating with stakeholders such as the CBN, the police, Economic and Financial Crimes Commission (EFCC), Independent Corrupt Practices and other related Offences Commission (ICPC), and others.
He warned consumers not to open unfamiliar emails or respond to unfamiliar enquiries, and urged them to promptly report suspicious efraud to banks and telecom service providers.