From December 1, the Indian government's Department of Telecommunication (DoT) has implemented a new rule due to the rising threat of cyber fraud, known as the new SIM card rule.
The regulations aim to combat cyber fraud by introducing various changes, such as prohibiting the sale of bulk SIM cards, requiring mandatory registration of Point-of-Sale (PoS) franchises, and conducting police verification of SIM dealers.
These measures are designed to enhance online financial security. The implemented changes include a registration process for PoS agents.
According to the new rules, PoS agents must sign agreements with telecom service providers to prevent engagement in illegal activities. Violation of these terms could result in a Rs 10 lakh fine and a three-year service termination for the agents.
Registrations and KYC
Regarding Know Your Customer (KYC) rules, users purchasing new SIM cards must provide mandatory demographic details. For users applying for a new SIM on an existing number, these details will be captured by scanning the QR Code on their Aadhar card.
The mobile number will only be reassigned 90 days after disconnection by the previous customer.
Completing the entire KYC process is necessary for SIM replacement, with a 24-hour limit on outgoing and incoming SMS facilities.
Bulk buying of SIM Cards
Addressing bulk SIM card purchases, users can still buy up to 9 SIM cards using one ID card.
For businesses, corporates, or events, SIM card purchases are allowed with KYC norms applicable to each individual card owner as per the report.