New eSIM Fraud Puts Indian Bank Accounts at Risk: Here’s How Scammers Empty Accounts in Seconds

India is facing a rising threat from a new type of cyber fraud that targets mobile users through eSIM activation scams. The Ministry of Home Affairs and the Indian Cyber Crime Coordination Centre (I4C) have issued a warning after recent cases revealed how scammers managed to drain bank accounts within seconds using nothing more than a victim’s phone number.

How the eSIM Scam Works

The fraud method is both clever and dangerous. Scammers first contact the victim, often posing as telecom executives or customer support agents. They trick the user into accepting an eSIM activation request. Once the request is approved, the victim’s existing SIM card loses its network connectivity, and their mobile number gets shifted to an eSIM controlled by the fraudster.

As a result, all calls, SMS alerts, and crucial banking OTPs (one-time passwords) are redirected to the scammer’s device. With this access, they can quickly log into bank accounts, authorize UPI or net banking transactions, and withdraw money before the victim realizes something is wrong.

Why This is a Serious Concern

Although eSIM usage in India is still relatively low—primarily limited to high-end devices like iPhones and Google Pixel smartphones—the risk remains significant. A single lapse in vigilance can allow scammers to wipe out an account in moments. Experts believe that as digital payments and UPI transactions become more common, such frauds could rise rapidly.

Government and Cybersecurity Warnings

The I4C has urged mobile users to stay alert and follow strict precautions:

• Ignore unknown calls and messages: Never respond to requests from unverified numbers.

• Avoid suspicious links: Do not click on links claiming to offer upgrades, cashback, or eSIM activation.

• Activate eSIM only through official channels: Always complete eSIM requests at authorized telecom stores or via official customer care numbers.

• Act quickly if your phone loses network: If your mobile network suddenly disappears, immediately contact your bank and verify the security of your accounts.

The cyber unit has emphasized that even one careless click or acceptance of a fraudulent request could give scammers complete control of a mobile number.

Why Users Fall for the Scam

According to cybersecurity analysts, many victims fall prey because the scam relies on social engineering—exploiting trust and urgency. Fraudsters may claim the activation is “mandatory” or offer attractive incentives. In other cases, they pressure users by saying their SIM will stop working unless they switch to eSIM immediately.

Experts’ Take

Security experts note that in the era of digital wallets, online banking, and UPI payments, controlling someone’s mobile number is almost equivalent to controlling their bank account. Since most financial transactions require OTP authentication, fraudsters who intercept these codes can bypass traditional safeguards within seconds.

Conclusion

The rise of eSIM-based fraud is a reminder that convenience often comes with hidden risks. While eSIM technology offers benefits like easier SIM management and faster connectivity, it can also open the door for cybercriminals if users are not cautious.

The government’s message is clear: stay alert, verify every request, and never approve an eSIM activation unless it is done through official, registered channels. In today’s digital-first world, awareness is the strongest shield against cybercrime.