The Central Government has introduced significant changes to the rules governing the purchase and sale of SIM cards.
These changes were announced in August and were initially set to take effect from October 1, 2023. However, due to requests from telecom companies, the implementation was delayed.
The government has now confirmed that these new rules will be enforced nationwide starting from December 1, 2023, according to a senior official from the Department of Telecommunications (DoT).
Key Changes in the New SIM Card Rules:
The new regulations usher in a series of important changes:
Limit on SIM Cards: Under the new rules, there will be restrictions on the number of SIM cards that can be purchased under a single identification.
This measure aims to tighten the process for obtaining multiple SIM cards.
Mandatory KYC: SIM card sellers will be required to conduct a Know Your Customer (KYC) verification before registering and activating a new SIM card.
Penalties for Non-compliance: After the implementation of the new rules, individuals or entities found selling SIM cards without proper registration may face substantial fines.
If any telecom company allows the sale of SIM cards without proper registration after November 30, a fine of Rs 10 lakh can be imposed.
All dealers are required to complete their registration by November 30, 2023.
During this registration process, a written agreement between the SIM card seller and the telecom companies is mandatory.
Combating Fake SIM Cards and Financial Fraud:
These new regulations have been put in place by the government to tackle the menace of fake SIM cards and financial fraud.
Many SIM card sellers were previously distributing SIM cards without adequate verification, and some were involved in illicit activities.
Under the new rules, SIM card sellers engaged in illegal activities will be debarred and blacklisted for a period of three years.
Currently, there are approximately 10 lakh SIM card sellers in the country.
The implementation of these new rules will contribute to enhanced security and better regulation in the SIM card industry, helping to protect consumers and reduce the risks associated with unregistered or fraudulent SIM cards.
