Kamlesh Varshney, Whole Time Member (WTM), SEBI earned huge round of applause from all quarters for using digital tools like Call Detail Record (CDR) and International Mobile Equipment Identity (IMEI) to nab Ketan Parekh. Sadly, Madhabi Puri Buch had chosen to dump CDR and IMEI details in certain cases for the reason best known to her. Let us discuss these investigating tools in detail.
Data picked up and tools employed: The intention of a regulatory investigator can be judged from the data chosen by it and the tools utilized for analyzing those data. For the first time, the capital market regulator Securities and Exchange Board of India (SEBI) has extensively utilized CDR (Call Detail Record), International Mobile Equipment Identity (IMEI) number, Location tracking and WhatsApp chat recovery mechanism to establish stock market manipulation and nab the perpetrator of crime. Not only this, but it has also gone to the extent of establishing the manipulation through data derived from third parties like Ministry of Corporate Affairs (MCA), Registrar of Companies (RoC), Income Tax and GST departments. Generally, third party data correlation and verification are viewed as mammoth task and used by elite investigating agencies like Serious Fraud Investigating Office (SFIO).
Importance of CDR: Call Detail Record (CDR) is digital evidence which is difficult to manipulate. Our telecom service providers record our movement through SIM and mobile handset and store the same at their server. This means, if we carry a mobile handset with a SIM, our location is known to service provider and recorded with a precision to the extent of 10 meters. The moment, we put a SIM into handset the IMEI number is recorded at server. If we change SIM in the handset, it is also recorded. A mobile number can also be tracked through IMEI. Kamlesh Varshney, WTM established the location of mobile handset at Ketan Parekh’ s residence, matched it with the IMEI and used third party chats (chat with wife) to establish his identity. In general, people use third part SIM to make anonymous calls and chats. Kamlesh Varshney was well aware of this and therefore he chose not to waste time on the identity details (Aadhar No.) used to buy SIM, rather, he dived into CDR and IMEI. Another WTM, Ashwani Bhatia has also used the locational tracking mechanism and CDR in TrafiKsol ITS Technologies case. Sadly, Madhabi Puri Buch had chosen to ignore CDR data in the matter of Allied Financial Services Private Limited during her tenure as WTM.
WhatsApp chat recovery syndrome: We all know that WhatsApp chats are end-to-end encrypted. This means that no body can intercept our chat during travel of chat text /image etc. from one handset to another. But the WhatsApp records two sets of information without fail. One, the IMEI number of handset and two, the mobile number being used to operate WhatsApp. These two things are enough to identify the chat owner. Interception of chat through intelligent devices is a common thing. Recovery of deleted chat is not so difficult either. The WhatsApp itself gives limited facility to recover chat. Advanced tools can easily recover all the deleted chats and images. SEBI has been smart enough to use WhatsApp chat to unravel truth. Its forensic agencies have extensively used chat scripts and images to establish modus operandi, deviations, manipulations and nexus. WTM Kamlesh Varshney and Ashwani Bhatia have been at the forefront in using these digital tools for during their investigation.
CDR and location tracking are sophisticated tools, and its misuse may create havoc in financial market. Time has come to create a framework as to when and how these tools could be utilized. There must be a nodal official to authorize and monitor these tools.
