India

Government proposes accountability for unsolicited calls from unregistered phone numbers

Synopsis

The government has proposed holding certain entities accountable for contacting individuals through unregistered phone numbers. Banks, insurance companies, real estate developers, brokers and other organizations may be responsible if they call from numbers not listed with the Telecom Regulatory Authority of India (TRAI). This represents the latest effort to address unsolicited calls, a persistent issue for over two decades despite past initiatives. While TRAI has discussed measures to combat the problem, there have been no clear rules around the sale of personal data used by banks and real estate firms for unwanted calls, often featuring pre-recorded messages.

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The government has proposed holding certain entities accountable for contacting individuals through unregistered phone numbers. Banks, insurance companies, real estate developers, brokers and other organizations may be responsible if they call from numbers not listed with the Telecom Regulatory Authority of India (TRAI). This represents the latest effort by the government and telecom regulator to address unsolicited calls, a persistent issue for over two decades despite past initiatives like the ineffective 'do not disturb' facility.

While TRAI has discussed measures to combat the problem, there have been no clear rules around the sale of personal data used by banks and real estate firms for unwanted calls, often featuring pre-recorded messages promoting apartments or insurance plans.

Acknowledging violations of consumer rights and classifying unsolicited calls as "unfair trade practice," the consumer affairs department consulted stakeholders and circulated draft guidelines to tackle the issue. The proposed standards would define calls made for business promotion from unregistered numbers as 'pesky calls.'

The department's guidelines aim to safeguard consumer interests and assist them in identifying pesky calls. Upon lodging complaints against such unwanted calls with the National Consumer Helpline, action will be taken under the Consumer Protection Act.

The guidelines include three distinct series of numbers - '140' for marketing, '160' for service calls, and '111' for government agency communication - to clearly indicate the caller's purpose.

A panel was formed by the consumer affairs department including members from the telecom industry, regulatory bodies such as telecom and financial services departments, Reserve Bank of India, Insurance Regulatory and Development Authority, TRAI, Cellular Operations Association of India, telemarketing companies, and consumer organizations.

The department emphasized that such calls infringe on users' privacy and violate consumer rights. It was noted that most of these calls originate from the financial services sector, followed by real estate. Additionally, spam callers are increasingly using internet-based calls on platforms like WhatsApp to lure people into Ponzi schemes, crypto investments, and purported job opportunities. The new accountability measures could help curb the growing misuse of personal data and tech platforms for spam calls if properly implemented and enforced.

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