IN VIEW of the increasing number of credit card frauds in the country, about 16 prominent banks issuing credit cards in the country have formed the Indian Payment Card Risk Council (IPCRC).
The IPCRC, in collaboration with VISA, has decided to press for a separate ‘Card Crime Legislation’.
Sharing this information with the Hindustan Times, a representative of ICICI Bank, requesting anonymity and working in the bank’s Risk Containment Unit in Delhi said the council would soon approach the government in this regard.
“We are aware that the legislation will take a couple of years to take shape.
But, then this is urgent for credit cards frauds are increasing and under the present law it is impossible to get the cyber criminals convicted,” said the bank official, who was in the city to participate in a workshop jointly conducted by UP Police and ICICI on ‘Economic Offences and Its Prevention’ .
The IPCRC’s member banks regularly exchange information and extend help to others in tracking down cyber criminals involved in credit card frauds. ‘
“In Delhi as indeed elsewhere, despite the cut throat competition, the banks are realising that a cyber criminal doesn’t affect one particular bank alone. The criminal hits at several locations and different banks at the same time. That is why the IPCRC move is important and all its member banks are backing the demand for a separate law and sharing information with each other to check credit card crimes,” the official added. While talking about credit card frauds, the official said these days a new trend was being witnessed.
“Now, foreigners involved in fraud from those countries where the cyber law is in place with provision of strict punishment, are arriving in India to carry out such crimes,” the official said.
He added that the modus operandi of such foreigners was simple. They arrived in India with a fake card and two passports, one real and the other forged.
“They fake their identities completely. Then they reach India for they are aware that cyber knowledge is little here and even if they are caught the law is such that they will be let off easily.” They then make heavy purchases of gold ornaments and mobile sets through the credit card, which can be easily sold off for hard cash and return home .This process is adopted mostly by those foreigners who are under heavy debt in their own countries and require ‘fast cash’ to tide over the financial crisis,” the official added.