Kathmandu, Ashoj 29 - The government is preparing to establish a dedicated Anti-Scam Centre in Nepal to tackle rising online financial fraud and help freeze stolen money before scammers can withdraw or transfer it. The Ministry of Home Affairs has approved the proposal, while budget approval from the Ministry of Finance is still pending. The proposed center will coordinate the Nepal Police, Nepal Rastra Bank, banks and financial institutions, payment service providers, internet service providers and telecommunications companies.
According to the Nepal Police Cyber Bureau, authorities receive around 200 to 300 cyber fraud complaints daily. Currently, victims often face delays because they must contact banks and police separately, allowing scammers to move money through multiple accounts. Police officials say stolen funds can pass through as many as four bank accounts within a minute, while only around 10 percent of money lost through scams is recovered. The proposed center aims to identify suspicious transactions and attempt to freeze funds within approximately 10 minutes of receiving a report. It is also expected to help block fraudulent bank accounts, mobile numbers and websites and facilitate the return of recovered money to victims.
Nepal's Electronic Transactions Act, 2063, under Section 52, provides for the recovery of financial benefits fraudulently obtained through electronic transactions. The offence can carry a fine of up to Rs 100,000, imprisonment for up to two years, or both. However, officials have highlighted the need for clearer procedures to freeze funds and return money transferred through multiple accounts. Authorities are also considering the potential use of artificial intelligence to identify fraud patterns.
Initially, the center will focus on domestic online scams and financial fraud, while sophisticated cyberattacks targeting banking systems and SWIFT networks will remain under the responsibility of specialized cybersecurity agencies. Meanwhile, authorities emphasize that victims should report suspicious transactions to their banks and law-enforcement agencies immediately, as faster reporting may improve the chances of tracing and freezing stolen funds.
Source: Online Khabar
