To establish the extent of internet
fraud and its operational impact
The effectiveness of current fraud
Finally to identify common
features in the way internet
The effect of cyber fraud on e
commerce: examining various aspects
2. Ecommerce and its relation to cyber
3. Various aspects of ecommerce.
4. Technical issues involved.
5. Legal issues: substantive and procedural.
6. Conclusion and suggestions
The major issues tackled with in this paper are as
1. How ecommerce is affected by cyber fraud.
2. Adequacy of regulations in the national and
3. Technical measures.
4. Mechanisms and laws to check cyber fraud
Crime committed using a computer and the
internet to steal a person's identity or illegal
imports or malicious programs.
Cybercrime is nothing but where the
computer is used as an object or subject of
Online activities are just as vulnerable to crime
and can compromise personal safety just as
effectively as common everyday crimes.
Lawmakers, law enforcement, and individuals
need to know how to protect themselves and
the persons for which they are responsible.
We can categorize Cyber crime in two ways :
The Computer as a Target :- using a
computer to attack other computers. e.g.
Hacking, Virus/Worm attacks, DOS attack
The computer as a weapon :- using a
computer to commit real world crimes. e.g.
Cyber Terrorism, IPR violations, Credit card
frauds, EFT frauds, Pornography. Cyber
Crime regulated by Cyber Laws or Internet
Denial Of Service Attack
Types of Cyber attacks, by percentage
Financial fraud: 11%
Sabotage of data/networks: 17%
Theft of proprietary information: 20%
System penetration from the outside: 25%
Denial of service: 27%
Unauthorized access by insiders: 71%
Employee abuse of internet privileges 79%
Manipulate data integrity 6.8%
Installed a sniffer 6.6%
Stole password files 5.6%
Proving/scanning systems 14.6%
Trojan logons 5.8%
IP spoofing 4.8%
Introduced virus 10.6%
Denied use of services 6.3%
MVS mainframe users (5%)
UNIX users (25%)
Desktop users (50%)
Electronic mail can be intercepted and read
Customer’s credit card numbers may be read
Customers risks :
Stolen credentials or password
Merchants risk :
Forged or copied instruments
Insufficient funds in customers account
Authorization , Access Control:
protect intranet from hoarders: Firewalls
Confidentiality , Data Integrity:
message must not be altered or tampered with :
both parties prove identity before starting
transaction: Digital Certificates
proof that the document originated by you and
you only: Digital signature
The cyber security will defend us from
Internet security process all the incoming
and outgoing data on our computer.
Cyber security will defend from hacks
Shared database/Chain calls
Call the customer
Implementation of existing laws in a stricter
Changes in the:1. Information Technology
Act, 2000, Amendment 2008 should be strictly
2. Indian Penal Code, 1908
should be in amended, stricter punishment
should be imposed on violators.
3. The newly added sections
of the Indian Evidence Act should be
considered while giving judgments on cyber
The police officers, judges lawyers and the
persons associated with legal profession
should be sensitized on the matter.
The general public, companies and
corporate houses should be made aware
of the damages cyber fraud can cause
Advertisements in all forms of media is an
effective tool for creating awareness.
High fines should be imposed which should
be deterrent in nature.