Context:

• The Department of Revenue under the Ministry of Finance has recently issued a notification bringing the Indian Cyber Crime Coordination Centre (I4C) under the Prevention of Money Laundering Act (PMLA), 2002, specifically under Section 66.
• Objective: To effectively tackle complex issues such as cyber-enabled financial crimes and money laundering.

Key Points:

Section 66 of PMLA:

• Under Section 66(1)(ii) of the PMLA, the Central Government is authorized to share information obtained under the Act with other officers or authorities in the public interest.
• The recent notification has been issued using this provision. Previously, agencies like SEBI, RBI, CCI, GST Council, etc., have also been included under this section.
• Now, with the inclusion of I4C, it becomes an authorized institution capable of receiving confidential financial intelligence from Enforcement Directorate (ED) and other government agencies.
• The core objective of this section is to enable ED to share investigation-related information with other competent agencies when necessary, facilitating faster action against financial crimes.

Reasons for Including I4C under PMLA:

1. Rise in Cyber Fraud:

• India is witnessing a sharp increase in online financial frauds, including digital arrest scams, money laundering frauds, etc., often executed via fake websites, social media pages, and fraudulent advertisements.

2. International Nature of Crimes:

• Most cybercrimes are transnational in nature, involving offenders from different countries and often beyond gender or age boundaries. Inclusion of I4C will help in identifying and tackling such global networks.

3. Enhanced Coordination with ED:

• The decision aims to enable I4C to provide technical and intelligence support to the ED in tracking financial routes linked to cybercrimes.

Indian Cyber Crime Coordination Centre (I4C):

• Approval: October 2018
• Inauguration: 10 January 2020 by then Home Minister Amit Shah in New Delhi
• Nodal Ministry: Ministry of Home Affairs
• Headquarters: New Delhi
• Objective: To provide a framework and ecosystem for law enforcement agencies (LEAs) to deal with cybercrime in a coordinated and comprehensive manner
• Key Role: Strengthening efforts against cybercrimes targeting women and children

Recent Developments:

• First Foundation Day: Celebrated on 10 September 2024
• In July 2024, I4C was designated as an Attached Office of the Ministry of Home Affairs

Major Components of I4C:

1. National Cyber Crime Threat Analytics Unit (TAU): Analyzes trends in cybercrime
2. National Cyber Crime Reporting Portal: Platform for citizens to report cybercrime online
3. National Cyber Crime Training Centre: Provides training for law enforcement agencies
4. Cyber Crime Ecosystem Management Unit: Enhances awareness and coordination
5. National Cyber Crime Research and Innovation Centre: Promotes research and innovation
6. National Cyber Crime Forensic Laboratory (NCFL): Handles forensic investigations
7. Platform for Joint Cyber Crime Investigation Teams: Enables multi-agency collaboration

Cyber Crime Overview:

Definition:

Cyber crime refers to any illegal activity involving computers, the internet, or digital technologies.

Types of Cyber Crime:

• Financial Fraud: Online banking scams, credit card fraud, phishing
• Identity Theft: Misuse of someone’s personal information
• Cyberstalking and Bullying: Targeting and harassing women and children online
• Hacking: Unauthorized access to computer systems/networks
• Malware and Viruses: Software designed to damage systems
• Cyber Terrorism: Threats to national security via digital means