[PRESS RELEASE] The Danger of Online Fraud in Digital Era | Digitalk #34
Thu, 31 Oct 2019 || By Admin CfDS

Yogyakarta, October 29th 2019 - Online fraud has recently become one of the major issues to our digitally-connected society. Henceforth, certain deterrence is needed to diminish the negative effect caused by the activities of online fraud. In collaboration with the Ministry of ICT, ATSI (Indonesian Association of Telecommunication) and BRTI (Indonesian Telecommunication Regulatory Board), CfDS held the 34th DigiTalk that addressed the issue of online fraud, by emphasizing on the growth of the online fraud trends in Indonesia, the preventive actions needed to be done by the civil society, and the progress of the government’s regulations on the issue. The event was held at Auditorium FISIPOL UGM on Tuesday (29/10).


Why Online Fraud Can Happen?

            Online fraud can happen because of various reasons. Through a concept called ‘The Fraud Triangle’, Marwan O. Baasir (Secretary General of ATSI) explained that there are three main incentives that drives people to do online fraud. The first one is opportunity (the easiness to extract personal data), rationalization (the easiness to be succeed), and pressure (economic incentive). From these three incentives, people are developing many complex ways to carry out online fraud activities. For example, through online registrations, people can collect the personal data needed to commit certain frauds for various purposes, such as extortion, forgery of identity permit, social engineering, lottery, etc. These online registrations are regularly distributed in the form of a link that assimilated with particular e-commerce, social media, and other online applications. Behavioral data are also subject to extraction from third parties. The ability that these technology companies have is believed to be the reason for what makes them to have more valuation than oil companies now.


Multi-stakeholder Approach as The Key to Fight Online Fraud

            “To be aware of the online security aspects, it requires collaboration between the government, the private sector, academia, and society.”, said Marsma TNI Dr. Sigit Priyono, GSC, S.I.P., M,Sc. while he also explained the actions needed to prevent online fraud. The government has taken several steps to create a much safer digital society through the ITE (Information and Electronic Transaction) regulations and the Indonesian Telecommunications Regulatory Board. Private technology companies that require personal data submission from the users has also taken preventive measures such as ‘One Time Passwords’ that is sent to the user when carrying out online transactions. I Ketut Prihadi Kresna also added that there’s a huge need for our society to be critical in understanding the terms and conditions before submitting personal data online - especially on the permission of personal data distribution to third-parties.



Writer: Charissa P.
Editor: Raka W.