Vodafone Idea has countered Paytm’s lawsuit over phishing frauds, arguing that telcos cannot legally access or control the content of communications sent over their networks and judge whether it is fraud.
Following Reliance Jio’s stand on the issue, Vodafone Idea alleged that Paytm has camouflaged its own non-compliance of securing their user data.
Vodafone Idea pointed out that as per an FIR produced by Paytm, the fraudster had access to victim’s name, email ID, past transactions history, transaction IDs, amount of money transferred with date and recipient’s name. On this, the telco in its counter affidavit said that petitioners’ customers are being defrauded due to security lapses on the part of the petitioners.
Vodafone Idea called the claim unfounded and false since the loss suffered by such customers is Rs 10 million and not Rs 1 billion as claimed by Paytm.
The telco argued that the Telecom Regulatory Authority of India’s (TRAI) regulation requires enquiry and imposition of graded penalty before blocking any sender to ensure a fair balance between right to privacy and business interests. Vodafone Idea said that Paytm is deliberately dragging telcos while the petition itself shows that they have alternate remedies available such as law enforcement agencies to deal with cases of financial frauds.
Recently, One97 Communications Limited, parent company of Paytm, moved the Delhi High Court alleging that telcos are not blocking fraudsters defrauding its customers by phishing activities over the various mobile networks.
The next hearing of the case is listed for June 24, 2020.