The Japanese government has decided to require mobile carriers to verify the identities of buyers of data-only SIM cards to curb fraud perpetrated via social media. The move targets scams such as fake investment and romance schemes. The Internal Affairs and Communications Ministry plans to submit a bill to amend the relevant law to the Diet by the end of this year.
The Japanese government plans to introduce new rules requiring mobile phone carriers to verify the identities of customers purchasing data-only SIM cards, aiming to reduce fraud conducted through social media. While identity checks using documents like driver's licenses are already mandatory for voice-capable mobile phones, this has not applied to data-only SIMs, which are commonly used in tablets and similar devices. These SIMs have been exploited in scams where fraudsters build trust with victims via repeated online interactions without face-to-face meetings, often posing as investment opportunities or romantic interests.
According to research by the National Police Agency, data-only SIM cards accounted for 75% of the internet connections in such scams detected between April and September 2024. Many of these frauds involved secure, encrypted messaging apps. The Internal Affairs and Communications Ministry intends to propose amendments to the relevant law by the end of this year, allowing carriers to reject contracts that provide an unusually high number of lines to a single individual or corporation. This targets the improper resale of lines to parties who use them for criminal activities.
Major carriers currently follow a self-imposed limit of no more than five lines per individual, but there are no legal restrictions. Under the proposed revisions, carriers could refuse excessive requests lacking reasonable justification. For corporate contracts, they would also need to confirm that the person handling the agreement is actually employed by the company. Such measures aim to prevent cases where large batches of lines are sold to criminal organizations for use in scams.
This initiative highlights growing concerns over online fraud in Japan's digital landscape, with the government hoping stricter verification will significantly cut down on victims.
