• Tallal tells NA panel current identity verification system is ‘outdated’, proposes face, eye scans for SIM issuance
• Claims bank accounts being ‘rented out’ for money laundering
• PTA chairman says scammers stealing fingerprints from airports, driving licence centres, passport offices
• NCCIA official attributes crime surge to illegal SIMs

ISLAMABAD: As criminals use SIM cards obtained through illegal means to commit identity and financial fraud, Minister of State for Interior Tallal Chaudhry admitted that the current “outdated” biometric system has failed to prevent data theft despite a crackdown and fines on telecom companies.

This was revealed during a meeting of the National Assembly Standing Committee on Interior and Narcotics Control, where regulators acknowledged that scammers remained active despite the blocking of 18.2 million illegal SIM cards over the past two and a half years.

The officials informed the NA panel that criminals were exploiting stolen fingerprints and rented bank accounts to commit financial fraud, admitting loopholes existed in the current SIM issuance system, which uses fingerprints for the issuance of SIMs, and the banking channels.

NCCIA Director Irfanullah Khan attributed the crime surge to the “gaps” in the current system. He informed the committee that the agency had seized 195 active SIM cards and 81 ATM cards being used by the scammers. “They are exploiting gaps to carry out their activities,” he explained.

PTA Chairman retired Major General Hafeezur Rehman admitted that the biometric system designed to secure SIM issuance was being bypassed and scammers were stealing fingerprint data from airports, driving licence centres, passport offices, and possibly even Nadra itself.

In connection with these frauds, the NCCIA and the PTA raided 110 facilities, blocked 29,000 illegal SIM cards and arrested 171 suspects. Data belonging to 600,000 individuals was also recovered.

Mr Chaudhry also admitted the ineffectiveness of the biometric verification system, calling it “outdated”. The minister said there was a need to shift towards facial and iris recognition systems, adding that the telecom companies should also upgrade their security features in coordination with the PTA. He also flagged a new trend in which bank accounts were being rented out for laundering proceeds from scams.

Committee chairman Raja Khurram Nawaz directed Interior Secretary Ahmad Raza Sarwar to urgently convene a meeting of all stakeholders, including the State Bank of Pakistan (SBP), the PTA, the NCCIA and telecom operators, to devise a new plan to curb the supply of illegal SIM cards used for online financial fraud.

The panel also received a detailed briefing on fraudulent calls and misuse of biometric data and financial scams. It also discussed emerging fraud methods, including unauthorised withdrawals and the use of rented or “mule” bank accounts.

Authorities were instructed to formulate practical legislative, regulatory and technical measures to strengthen Pakistan’s cybersecurity framework. They were also asked to raise public awareness about the unauthorised use of foreign SIMs and monitor social media to prevent their illegal promotion.

MNA Izharul Hassan suggested that citizens should receive an automatic SMS alert if more than one SIM was issued against their CNIC.

The PTA chief proposed that SIMs should be issued only through Nadra’s PAKID system, while a SBP official recommended restricting each SIM to a single IMEI number.

In other business, the committee considered the ‘Islamabad Capital Territory Local Government (Amendment) Bill, 2026’ and recommended that it be passed by the National Assembly. PPP members Rafiullah and Patel recorded dissenting notes.

The meeting was attended by Minister of State Tallal Chaudhry and lawmakers, including Anjum Aqeel Khan, Abdul Qadir Patel and Khawaja Izharul Hassan, among others.

Safe city project

On law and order, Islamabad Police briefed the committee on the Safe City Project and narcotics.

The panel called for anti-narcotics awareness campaigns in schools and universities, particularly against meth (ice) and other synthetic drugs, and directed that all Safe City cameras be made fully functional.

Last February, the FIA stated that illegal international SIMs, particularly those from the United Kingdom, are being widely used in Pakistan for serious crimes, including child pornography, kidnapping for ransom and online financial fraud.

Published in Dawn, September 4th, 2026