“NEW CHALLENGES IN BANKING FRAUD: A SOCIO LEGAL ANALYSIS- IN INDIA”

AUTHOR – HIMANSHI SINGH, STUDENT AT LAW COLLEGE DEHRADUN

BEST CITATION – HIMANSHI SINGH, “NEW CHALLENGES IN BANKING FRAUD: A SOCIO LEGAL ANALYSIS- IN INDIA”, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 5 (5) OF 2025, PG. 140-147, APIS – 3920 – 0001 & ISSN – 2583-2344

Abstract:

The rapid evolution of digital banking has brought unprecedented convenience to consumers but has also created new challenges in banking fraud.

Cybercriminals leverage advanced technologies such as artificial intelligence, deepfake scams, and social engineering tactics to exploit vulnerabilities in banking systems. Additionally, the rise of decentralized finance (DeFi) and cryptocurrency transactions introduces new complexities in fraud detection and prevention. This paper explores emerging fraud trends, including account takeover fraud, synthetic identity fraud, and insider threats, while highlighting the role of machine learning, blockchain, and regulatory frameworks in combating these threats. Addressing these challenges requires a collaborative effort between financial institutions, cybersecurity experts, and regulatory bodies to develop proactive fraud prevention strategies and safeguard customer trust.

Keywords:

Banking fraud, cybersecurity, financial crime, digital banking, synthetic identity fraud, account takeover, blockchain security, Al in fraud detection, regulatory compliance, financial technology.