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LAHORE: The Lahore High Court (LHC) has ruled that customer data entrusted to a bank constitutes “property” under the law and its dishonest misuse may amount to criminal breach of trust.
Justice Tariq Saleem Sheikh issued the ruling granting post-arrest bail to a telecom franchise operator accused in a multi-million-rupee SIM-swap fraud case while refusing bail to a private bank employee.
The National Cyber Crime Investigation Agency (NCCIA) had registered the case about the alleged fraudulent issuance of duplicate SIMs, using victims’ CNICs and fingerprints and unauthorised transfers of Rs10.45m from six customers’ accounts of the private bank. Justice Sheikh maintained that customer information maintained by banks – including account particulars and registered mobile numbers – falls within the definition of “data” under the Prevention of Electronic Crimes Act (Peca), and that Section 27(2) of Peca expressly treats such data as “property” for offences relating to property under the Pakistan Penal Code (PPC).
The judge observed that where customer data is entrusted to a bank employee or placed under his dominion, its dishonest disclosure or unauthorised use in furtherance of a fraudulent scheme may amount to criminal breach of trust. He asserted that such conduct would also violate the duties of confidentiality arising from banking employment and was reinforced under Section 33A of the Banking Companies Ordinance, 1962.
