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Centre Proposes RBI SOP Framework, IDC Coordination & PMLA Application to Combat Digital Arrest Frauds

Target:UPSC GS-IIMPSCSSC GABankingTeachingPrelims HighMains MediumStatic GK Link
28 Apr 2026
~2 min
Source: Indian Express
Key Data:PMLA-2002Before December 2026
Bodies:Supreme CourtInter-Departmental Committee (IDC)Ministry of Home Affairs (MHA)RBIDepartment of Telecommunications
Practice MCQs from today's news ▸
What This Article Covers

1.The Centre informed the Supreme Court about multi-pronged actions being considered to combat digital arrest frauds.

2.An Inter-Departmental Committee (IDC) agreed on RBI's SOP framework for temporary debit holds on suspicious accounts and applying PMLA-2002.

3.The report urges expediting the Biometric Identity Verification System (BIVS) for SIM verification and enhancing AI-based fraud detection systems.

The Big Picture
Prelims · HighMains · Medium

The Supreme Court is monitoring actions against digital arrest frauds. The Centre has submitted a status report outlining coordinated measures between RBI, MHA, and telecom providers, including using the Prevention of Money Laundering Act (PMLA) and temporary debit holds on suspicious accounts to prevent money-mule activities.

Exam Lens

Quick Exam Facts From News

Legal FrameworkPrevention of Money Laundering Act (PMLA)-2002
Coordinating CommitteeInter-Departmental Committee (IDC)
ChairpersonSpecial Secretary (Internal Security), Ministry of Home Affairs (MHA)
Meeting DateMarch 12
Proposed SystemBiometric Identity Verification System (BIVS)
Target TimelineBIVS operational before December 2026

1-Minute Revision

  • ›Legal Framework: Prevention of Money Laundering Act (PMLA)-2002
  • ›Coordinating Committee: Inter-Departmental Committee (IDC)
  • ›Target this Data: Prevention of Money Laundering Act (PMLA)-2002
  • ›Target this Nodal Body: Inter-Departmental Committee (IDC) chaired by Special Secretary (Internal Security), MHA
  • ›Target this Legal Point: Supreme Court monitoring actions against digital arrest frauds

Mastered this topic? Test your knowledge with a full MCQ quiz.

Practice exam-style questions, track your score, and strengthen your recall.

Q1Static LinkageEasy

Which ministry's official chairs the Inter-Departmental Committee (IDC) mentioned in the news report on digital arrest frauds?

Q2Statement-basedHard

Consider the following statements regarding the measures against digital arrest frauds:

1. The Inter-Departmental Committee (IDC) agreed with the Standard Operating Procedure (SOP) framework proposed by the RBI prescribing temporary debit holds.

2. The application of the Foreign Exchange Management Act (FEMA) to such offences is under consideration.

3. The Department of Telecommunications should expedite notification of rules for the Biometric Identity Verification System (BIVS) within three months.

Which of the statements given above is/are correct?

Q3Data-centricMedium

According to the Centre's status report, by when should the Biometric Identity Verification System (BIVS)-based cross-operator SIM monitoring system become operational?

Q4Application/ImpactMedium

What is a key proposed measure to prevent 'money-mule' activities in digital arrest frauds, as mentioned in the Centre's report?

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