Maldives Cracks Down on Prison Scams with Legal Action Against Registered SIM Card Owners

In a major bid to dismantle the network of financial fraud operating from within the nation’s correctional facilities, the Cabinet has approved stringent legal and administrative measures targeting individuals who register SIM cards that are subsequently smuggled into prisons.

According to the President’s Office, the decision was finalised during a Cabinet meeting on Sunday, marking a significant escalation in the government's ongoing fight against telecommunications fraud. Under the new policy, individuals in whose names illicit prison SIM cards are registered will face direct legal accountability and administrative penalties.

Previous investigations conducted by law enforcement have repeatedly revealed that the majority of scam calls and sophisticated financial fraud schemes in the Maldives are orchestrated by inmates inside prison walls. While authorities have made continuous efforts to curb this issue—including signal jamming and routine contraband sweeps—the flow of active SIM cards into prisons has remained a critical vulnerability. By targeting the registered owners of these SIM cards, the government aims to choke off the supply of telecommunication access to prisoners.

In tandem with this crackdown, the Cabinet has also introduced sweeping reforms to the country's mobile registration process, specifically targeting the exploitation of identity credentials. The government has decided to restrict unskilled foreign workers residing in the Maldives to purchasing a maximum of one SIM card. To prevent loopholes, the Cabinet established that if a foreign worker's SIM card is lost or damaged, a replacement will only be issued after the matter is formally reported to the police and specific, rigorous administrative procedures are completed.

The urgency of these measures is highlighted by alarming statistics released by the Maldives Police Service. To date, financial scams in the Maldives—predominantly driven by coordinated calls from inside prisons—have resulted in cumulative losses of 35 million Maldivian Rufiyaa (MVR).

Despite the staggering losses, law enforcement has made notable progress in clawing back stolen funds. Since the establishment of the dedicated Anti-Scam Centre in March last year, the police have successfully intercepted and recovered MVR 13 million of the lost funds reported to the centre.