As previously mentioned several times at this blog, ‘voice phishing’ draws lots of attention these days. Obviously, voice phishing is categorized as an illegal financial activity. The rising issue is that the phishing method becomes more diverse and trickier, causing a number of victims financially damaged.
Responding to the issue, FSC plans to legislate ‘Special Act on Electronic Financial Crime Prevention and Damage Refund.’ This Special Act is the enhanced version with amendments to the current legislation, ‘Special Act on Financial Damage Refund’. Its new name puts an emphasis on ‘prevention’ of financial crimes.
What does this new plan imply? First, it reflects enhanced responsibilities to be shared by financial authorities and financial companies. With the emphasis on crime ‘prevention’, both government and business are burdened with a higher level of regulatory and supervisory responsibility. They should be more mindful of probable causes of voice phishing. Second, the new legislation will include specification of punishment for voice phishing, making a clear framework.
Overall, with the new legislation being effective, FSC expects;
- To be equipped with countermeasure in more active and pre-emptive manner against newly introduced phishing methods
- To prevent financial crimes systemically, and enhance punishment measures for phishing activities
To consolidate its plan to legislate this Special Act, FSC will hold further discussions with related government authorities. Afterwards, the legislation will be submitted to the National Assembly, followed by a pre-announcement of legislation.
This is the overall picture of FSC’s crackdown on voice phishing. Is anyone interested in more details about what is going to be included in the Act? For those of you, I will introduce some provisions of the Act in the next blog post!