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IT committee urges data protection law to avoid financial fraud risks

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The Senate Standing Committee on IT and Telecom has raised serious concerns over increasing financial fraud and data misuse, warning that without a comprehensive data protection law, the public will remain vulnerable.

In a recent committee meeting at Parliament House, lawyer Tariq Khattak revealed that numerous illegal call centers are operating in Pakistan under the guise of IT companies.

These centers, he said, are involved in scams targeting people both locally and internationally.

Their tactics include fake emails, social media fraud, and luring victims into fake investment schemes using false identities, often posing as women.

These fraudulent operations reportedly use messaging platforms like Telegram to add people to investment groups, only to remove them once money is transferred.

Many of these call centers are staffed by young individuals, raising concerns about youth being exploited for illegal activities.

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Read More: PTA warns public of fake WhatsApp messages, fraud

The Pakistan Telecommunication Authority (PTA) distanced itself from the issue, saying it does not license or regulate call centers.

Meanwhile, a representative of the National Cybercrime Investigation Agency said raids have been carried out on 54 such centers, and many register themselves as IT companies to bypass legal scrutiny.

Senator Afnanullah emphasized the urgent need for a data protection law, stating, “Without legislation, financial fraud will continue.”

The committee has summoned the Director General of the National Cybercrime and Electronic Evidence Agency (DGNCCEA) for further explanation in the next meeting.

The committee also discussed the Regulation of Artificial Intelligence Bill 2024.

The IT Secretary informed members that Pakistan’s AI Policy was approved by the federal cabinet and stressed the importance of verifying AI-generated information.

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Senators expressed mixed views, with some highlighting AI’s risks, inaccuracies, and potential impact on jobs, while others called for its integration into Pakistan’s development strategy.

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