New Delhi: Banks are in talks with the Reserve Bank of India (RBI) to establish a common negative registry of fraudsters with the aim of preventing digital fraud via real-time information. It will be done in the form of a registry portal. This portal will enable lenders to connect with each other, trace funds in case they are being transferred from one account to multiple, and even put a stop to it.
In a statement by a bank executive, he said, the transfer of money into multiple accounts belonging to multiple banks and financial entities is a common method used by fraudsters to avoid being easily traced and this portal will put an end to this system.
Between 2022-23, private banks reported 8,932 cases of fraud involving Rs 8,727 crore, and public sector banks reported 3,405 cases involving Rs 21,125 crore. All of these cases were frauds involving Rs 1 lakh crore and above.
There are talks to synchronize RBI’s online dispute resolution (ODR) and National Payments Corporation of India’s unified dispute and issue resolution (UDIR). A standard operating procedure (SOP) is also being prepared to put a stop to transactions that are unauthorized. This process is predicted to be much easier if all stakeholders follow the same process.
RBI, in its circular, said, “To streamline reporting, enhance efficiency and automate the payments fraud management process, the fraud reporting module is being migrated to Daksh, the Reserve Bank’s advanced supervisory monitoring system.”
Also Read More –
Reserve Bank of India Releases New Guidelines for Home, Car Loan After Increase In Repo Rate
RBI notifies 4 key measures to help strengthen 1,514 urban cooperative banks
RBI Harmonises Provisioning Norms for Urban Cooperative Banks
Discussion about this post