Mumbai. The Bombay High Court has taken a strict stance against an online fraud network misusing the name and corporate identity of DBS Bank India, directing the immediate blocking of fake WhatsApp groups and fraudulent investment websites operating under the bank’s name. The matter arose from an interim petition filed by DBS Bank alleging systematic impersonation and investor fraud.
DBS Bank Identity Used in Investment Scam
Justice Sharmila U. Deshmukh, while passing the order, observed that digital intermediaries cannot remain limited to a reactive role and must take proactive steps to prevent such fraudulent activities. The Court directed WhatsApp and domain registrars to swiftly remove or block fake accounts, groups, and websites within the prescribed timelines under applicable rules.
DBS Bank alleged that an organised network was misusing its corporate identity to deceive investors. According to the bank, unidentified individuals created WhatsApp groups using the bank’s name, logo, and the photograph of its CEO Rajat Verma to falsely present themselves as authorised representatives. These groups allegedly circulated forged documents, including fake SEBI certificates, fabricated incorporation papers, and fraudulent brokerage licences.
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Fake WhatsApp Groups Face Court Heat
The bank further submitted that victims were induced to invest in fake trading websites and mobile applications promoted through these WhatsApp groups. Several investors were reportedly duped into transferring large sums of money under the impression that the schemes were legitimate and endorsed by DBS Bank.
During the proceedings, WhatsApp argued that, because of end-to-end encryption, it cannot access message content and therefore cannot monitor or review group communications. It also contended that blocking accounts results in deletion of all associated data and urged the Court to restrict such orders to specific identified cases rather than issuing broad directions.
Fraud Websites Ordered to Be Blocked
However, the Court rejected this argument. It held that under the Information Technology Rules, 2021, intermediaries are required to act within 36 hours of receiving complaints involving impersonation, fraud, or misuse of identity. The Court emphasised that proactive and time-bound action is mandatory, especially in cases involving public financial harm.
The Court directed that once DBS Bank provides screenshots, group details, and account identifiers along with an undertaking confirming that the content is unauthorised, intermediaries must promptly remove or disable such content without delay.
In addition, the Court ordered the suspension and blocking of several fraudulent websites, including indiadbs.me and dbsindia.vip, which were found to be falsely representing themselves as affiliated with DBS Bank.
Intermediaries Told to Act Fast
The Court further observed that no individual or group can be permitted to use the name, logo, or any deceptively similar identity of a bank to offer financial services or investment schemes. It stated that such actions clearly fall within the ambit of “passing off” and constitute fraudulent misrepresentation.
DBS Bank was represented by Senior Advocate Birendra Saraf, while WhatsApp and Meta Platforms were represented by Senior Advocate Vivek Reddy, along with other legal counsels.
