Summary:
The Department of Telecommunications (DoT) and the Securities and Exchange Board of India (SEBI) have signed an MoU to strengthen cooperation in combating telecom-linked financial frauds and investment scams. The agreement focuses on structured data sharing and intelligence exchange, including tools like the Financial Fraud Risk Indicator and Mobile Number Revocation List, to enable early detection and prevention of fraudulent activities. Supported by DoT’s digital intelligence platform, the collaboration aims to enhance real-time coordination, improve enforcement efficiency, and shift toward proactive fraud prevention. This initiative comes amid rising digital investments and fraud risks, building on DoT’s existing efforts that have already curbed large-scale fraud and financial losses, with the broader goal of strengthening investor confidence.
The Department of Telecommunications (DoT) and the Securities and Exchange Board of India (SEBI) have formalized a memorandum of understanding to enhance collaboration in addressing financial frauds and investment scams linked to telecom services.
The pact establishes a structured mechanism for data exchange between the two regulators, with the objective of facilitating early identification and prevention of fraudulent activities in the securities market. The agreement was signed by Sanjeev Kumar Sharma, deputy director general in DoT’s AI and digital intelligence division, and Sandip Pradhan, whole-time member at SEBI, in the presence of Deb Kumar Chakrabarti, member (services) of the Digital Communications Commission.
A central element of the partnership is the sharing of critical intelligence. DoT will supply SEBI with the Financial Fraud Risk Indicator, which identifies mobile numbers potentially associated with suspicious behavior through layered analytical processes. It will also provide the Mobile Number Revocation List, allowing SEBI-regulated entities such as brokers and asset management companies to ensure investor accounts are linked only to valid and active mobile numbers.
In exchange, SEBI will furnish details on telecom resources connected to fraudulent trading accounts, impersonation incidents, and money mule networks, enabling DoT to respond more swiftly on the telecom front.
This collaboration will be supported by DoT’s digital intelligence platform, which links more than 1,400 stakeholders and enables real-time sharing of actionable information across institutions.
The initiative comes amid rapid growth in India’s digital investment landscape, which has been accompanied by increasingly sophisticated fraud attempts. By combining telecom intelligence with market oversight, the regulators intend to move from a reactive approach to a more preventive strategy.
DoT’s ongoing efforts under the Sanchar Saathi programme have already resulted in the disconnection of over 8.8 million fraudulent mobile connections, while the Financial Fraud Risk Indicator has helped avert losses of approximately ₹2,300 crore over the past ten months.
Through this agreement, both regulators aim to create a more integrated and forward-looking framework, strengthening safeguards and enhancing investor trust in an increasingly digital financial ecosystem.
