UIDAI Partners with Sarvam AI: Aadhaar Users Would Soon Be Able to Detect Online Fraud with AI

While this extensive repository of personal and biometric information is essential to ensure unique identification, sadly it also makes Aadhaar cards a prime target for scammers and fraudsters.

One such incident occurred in Puppalaguda, Narsingi, reported by the Times of India in September 2024, where a farmer received a WhatsApp message urging him to update his Aadhaar to avoid inconvenience and additional charges.

Believing it to be genuine, he clicked on the link provided in the message and entered sensitive details such as bank account information, debit card number, and expiry date.

Soon after, nearly Rs 4 lakh was siphoned off from his savings account through four unauthorised transactions.

Unfortunately, this is not an isolated incident. Online Aadhaar frauds have become increasingly common, and taking many forms...

• Fake Aadhaar Enrolment Fees: Fraudsters set up unauthorised enrolment centres and charge individuals for Aadhaar registration or updates -- services that are officially free or involve only nominal charges.

• Phishing Calls and Messages: Scammers pose as government officials, bank representatives, or UIDAI personnel. They claim issues with your Aadhaar and request sensitive details such as OTPs, bank information, or Aadhaar numbers.

• Email Scams: Similar to phishing calls and messages, fraudsters often send deceptive emails that appear to be from official sources, including UIDAI. These emails contain links to counterfeit websites designed to trick individuals into revealing their Aadhaar details.

• Fake Aadhaar Websites: These mimic the official UIDAI portal, tricking users into sharing their personal information under the guise of updating Aadhaar details.

• Aadhaar Card Printing Frauds: Scammers promise quick Aadhaar printing services for a fee but often provide fake cards or fail to deliver altogether.

• Loan and Financial Frauds: Fraudsters misuse stolen Aadhaar data to obtain loans and credit cards in a victim's name, resulting in financial liability and damage to their credit history.

• AePS Fraud (Aadhaar Enabled Payment System): Scammers use stolen Aadhaar numbers or biometric data to perform unauthorised financial transactions and withdrawals.

Recognising all these new fraud tactics, the Unique Identification Authority of India (UIDAI) has partnered with Sarvam AI, a Bengaluru-based full-stack Generative AI (GenAI) company.

The collaboration aims to tap into the immense potential of AI to allow seamless and secure access to Aadhaar services for millions of Indians through AI-powered voice interactions, real-time fraud detection, and multilingual support.

UIDAI has consistently prioritised Aadhaar number holders, continuously enhancing technology and refining the user experience. The new MoU is one more step in this direction.

"UIDAI is a people-centric organization. GenAI is the next technology evolution in UIDAI's journey as a technology pioneer, building on our long-standing commitment to innovation for facilitating ease of living," said Bhuvnesh Kumar, CEO of UIDAI.

As per the agreement, effective from March 18, 2025, Sarvam AI will deploy the AI solution to enable voice-based interactions for resident-centric use cases.

This will allow UIDAI to get near real-time feedback from Aadhaar number holders regarding their enrolment and update processes.

The AI-powered solution will also help detect any cases of overcharging by service providers, promoting greater transparency and accountability.

Here are the key features...

Real-Time Fraud Alerts

With online security being one of the top priorities of UIDAI, the collaboration offers real-time fraud alerts to Aadhaar number holders.

The AI system will track authentication requests, immediately flagging any suspicious activity to enhance Aadhaar transaction security and reduce the risk of identity fraud.

Multilingual AI Support

The Sarvam AI solution has also considered India's linguistic diversity. It will initially facilitate voice interaction and fraud detection in 10 languages, namely Hindi, English, Telugu, Tamil, Marathi, Gujarati, Kannada, Odia, Punjabi, and Malayalam.

UIDAI has confirmed that more languages will be introduced in the coming months, making these facilities even more accessible to citizens across the country.

What About the Security of the Data Shared?

The custom GenAI stack delivered by Sarvam AI is being hosted on-premise within an air-gapped UIDAI infrastructure.

This ensures that no data leaves UIDAI's secure environment at any stage of operation while maintaining full compliance with data sovereignty and security protocols.

The agreement is initially valid for one year, with the possibility of a one-year extension. UIDAI will retain full ownership of the solution.

The development of this innovative solution has come to fruition through UIDAI's volunteer policy, which allows for industry collaborations.

Volunteers from Sarvam AI worked closely with UIDAI's Technology Centre in Bengaluru to develop and deploy this GenAI solution.

How to Protect Yourself from Online Aadhaar Frauds

As UIDAI plays its part in curbing online fraud and creating a safer environment for digital transactions, citizens must also take responsibility by staying vigilant and proactively improving their financial awareness.

Here are some ways to protect yourself from Aadhaar scams:

• If you receive unexpected emails, calls, or messages asking for your Aadhaar number, OTP, or bank details, do not share any information without verifying the source. Trusted organisations, including government bodies and banks, do not request such information through informal channels.

• For any Aadhaar-related services, always rely on official UIDAI channels, such as the UIDAI website and authorised enrolment centres. Avoid unverified individuals or third-party services claiming to offer Aadhaar-related assistance.

• Avoid carrying the physical card in your wallet unless necessary, and refrain from sharing your Aadhaar number casually. Store the card securely at home to reduce the risk of loss or misuse.

• Use only the official mAadhaar mobile app or other government-endorsed platforms for Aadhaar-related services. Steer clear of unofficial apps, which may appear genuine but are often designed to capture your personal data.

• Genuine Aadhaar services are either free or require a nominal charge. Be wary of individuals or entities demanding high fees for enrolment, updates, or linking services.

• Regularly review your bank statements for any unauthorised transactions. Early detection of suspicious activity can help prevent further financial losses.

[Read: How RBI Aims to Create a Safer Environment for Digital Transactions]

To Conclude...

The UIDAI-Sarvam AI collaboration is a significant step forward in the ongoing battle against online frauds and Aadhaar scams.

However, technological advancements alone are not sufficient. A truly secure digital transaction ecosystem requires combined efforts from both statutory authorities and citizens. While UIDAI strengthens its safeguards, individuals must remain alert, cautious, and informed.

Staying vigilant and taking proactive steps to protect your personal information, are your strongest lines of defence against online fraud.

Be thoughtful in your approach.

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