Reports Of Cyber Crime Cannot Be Brushed Aside: P&H HC Asks Union Telecom Secy To Deliberate On Issue Of Fraud Calls From Pre-Paid SIM Cards

The Punjab & Haryana High Court has directed the Secretary of Telecommunication, Government of India, to deliberate on the issue of cyber-crime that takes place by using pre-paid SIM cards and also by fraudulent marketing companies by using mobiles and landlines.

The development came while hearing a bail plea of a man booked for cyber-crime. During the hearing the Court found that over 35 SIM cards were issued in his name, who has been "taking advantages from the vulnerabilities emerging from the unrestricted issuance of multiple SIM numbers."

Previously, the Court flagged absence of governmental measures restricting individuals to a single pre-paid SIM card, observing that cyber criminals are regularly misusing multiple SIM cards "to perpetuate their nefarious deeds." It also suggested the government to restrict issuing multiple SIM cards to a user to curb the menace.

However, during the pendency of the hearing the Government notified the Telecommunications Act, 2023, which came into force on 26 Jun 2024. The Act allows individuals to have a maximum of nine SIM cards in their name. The limit is being reduced to six for residents of Jammu and Kashmir and the Northeast. 

Justice Anoop Chitakara observed, "Cybercrime has been affecting people across the Nation, irrespective of religion, region, education, or class. Newspapers, Magazines, YouTube channels, and social media are brimming with the ordeals of an uncountable number of innocent victims of cybercrime, and these reports cannot be brushed aside as agendas."

"Leaving uncovered milk in a cattery and threatening cats with a cage will only boil the people's rage," the Court remarked.

Consequently, the Court directed the Secretary of Telecommunication, Government of India, to deliberate on the issue of cyber-crime that takes place by using pre-paid SIM cards and also fraudulent marketing companies by using mobiles and landlines, fraudulent authorization of OTP through voice using VPN, etc., and submit a report containing steps and suggestions to eliminate or at least limit the SIM and phone-based cyber-crimes, to the Secretary Home, Government of India, with a copy to the Cabinet Secretary, Government of India, positively by 31 July 2024.

In the present case, Sumit Nandwani had approached the Court seeking bail in a case wherein he was accused of committing cyber crime under Sections 420, 201, 120-B IPC. It was alleged that Nandwani was facilitating cybercrime by activating and supplying SIM numbers to co-accused.

After hearing the submissions, the Court noted that Nandwani was arrested in January, 2024 and the case is at the stage of prosecution evidence.

"The maximum sentence prescribed under Section 420 IPC is seven years; under S. 201, read with 420 IPC, would be one-fourth of seven years; under S. 120-B, read with S. 420, is six months. Given the penal provisions invoked viz-a-viz pre-trial custody of more than five months, and the other factors peculiar to this case, there would be no justifiability for further pre-trial incarceration at this stage," the Court opined.

While imposing certain conditions, the bail plea was allowed.

Mr. Vikas Arora, Advocate for the petitioner.

Mr. Rajat Gautam, Addl. A.G., Haryana (through V.C.).

Mr. Sandeep Lather, Advocate for the complainant.

Mr.Satya Pal Jain, ASG with Ms. Meghna Malik, Central Government Counsel for UOI.

SUMIT NANDWANI v. STATE OF HARYANA

2024 LiveLaw (PH) 242

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