In the fiscal year that ended in March 2022, 24 employees were let go for fraud-related offenses, down from 28 the prior year.
According to the telco’s most recent sustainability report, which was published on Tuesday, October 18, it launched 27 investigations into alleged fraud, dismissed 24 of them, and issued warnings to three more.
The government was contacted in five situations for additional action.
Ten of the cases, or the bulk, involved SIM swaps. This was an increase from four the year before.
Seven of the other cases involved asset misappropriation, while eight others concerned policy violations.
A number of Kenyans have lost money totaling hundreds of thousands of shillings each as a result of the current swindle known as sim-swap.
Sim-swap fraud is a problem not only for Kenya, but for other nations on the continent and around the world.
In SIM card swap fraud, a con artist typically calls and poses as a mobile network company employee.
When a mobile user answers the call, the scammer requests critical information from them, including their national ID number, mobile money PIN, SIM card PIN, and other information.
After collecting the details, the fraudster switches the SIM card, giving them access to all SIM-based services, including voice calls, SMS, data services, mobile money transfer, mobile and internet banking, and other services like voice and data calls and SMS.
In order to increase consumer safety, Safaricom, the largest and most successful telco in Kenya, has strengthened its fraud management teams with a focus on analytics, customer awareness, and process evaluations.
This is accomplished through increased automation and machine learning, ongoing fraud awareness, and process reviews.
We kept holding fraud awareness training sessions for our employees as well as for our M-Pesa agents, dealers, and suppliers. Additionally, we kept assisting consumers in protecting themselves from fraud by instructing them on how to be secure online by guarding and securing their data and sensitive information, “Safaricom stated.
The telco, which is the largest business in East Africa in terms of assets, claimed it is educating its clients so they can protect themselves against social engineering scams and organized crime groups that prey on M-Pesa consumers.
“We also offered advice on typical fraud methods. In addition to SMS broadcasts, fraud advisories on USSD menus, and the inclusion of USSD menus, we also communicated through media campaigns on radio, television, and internet platforms.
In order to reduce the possibility of being a victim of sim swap fraud, Safaricom created a service this year that assures a customer’s line or SIM card may only be swapped by visiting a Safaricom Shop or care desk with their ID.
Recently, millions of mobile subscribers had their phone lines cut off after a state deadline passed in an effort to improve data accuracy and strengthen security.
The exercise aims to verify complete compliance with SIM card registration laws, which, among other things, mandate that carriers keep a copy of each subscriber’s identification documents on file.
A mobile money investigations section made up of National Police Service personnel has been housed at Safaricom since 2014.
