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Generative AI Fuels Identity Theft, Aadhaar Card Fraud, and Misinformation in India

Generative AI fuels identity theft, Aadhaar card fraud, and misinformation in India, exposing cybersecurity risks through fake documents.

 

A disturbing trend is emerging in India’s digital landscape as generative AI tools are increasingly misused to forge identities and spread misinformation. One user, Piku, revealed that an AI platform generated a convincing Aadhaar card using only a name, birth date, and address—raising serious questions about data security. While AI models typically do not use real personal data, the near-perfect replication of government documents hints at training on real-world samples, possibly sourced from public leaks or open repositories. 

This AI-enabled fraud isn’t occurring in isolation. Criminals are combining fake document templates with authentic data collected from discarded paperwork, e-waste, and old printers. The resulting forged identities are realistic enough to pass basic checks, enabling SIM card fraud, bank scams, and more. What started as tools for entertainment and productivity now pose serious risks. Misinformation tactics are evolving too. 

A recent incident involving playback singer Shreya Ghoshal illustrated how scammers exploit public figures to push phishing links. These fake stories led users to malicious domains targeting them with investment scams under false brand names like Lovarionix Liquidity. Cyber intelligence experts traced these campaigns to websites built specifically for impersonation and data theft. The misuse of generative AI also extends into healthcare fraud. 

In a shocking case, a man impersonated renowned cardiologist Dr. N John Camm and performed unauthorized surgeries at a hospital in Madhya Pradesh. At least two patient deaths were confirmed between December 2024 and February 2025. Investigators believe the impersonator may have used manipulated or AI-generated credentials to gain credibility. Cybersecurity professionals are urging more vigilance. CertiK founder Ronghui Gu emphasizes that users must understand the risks of sharing biometric data, like facial images, with AI platforms. Without transparency, users cannot be sure how their data is used or whether it’s shared. He advises precautions such as using pseudonyms, secondary emails, and reading privacy policies carefully—especially on platforms not clearly compliant with regulations like GDPR or CCPA. 

A recent HiddenLayer report revealed that 77% of companies using AI have already suffered security breaches. This underscores the need for robust data protection as AI becomes more embedded in everyday processes. India now finds itself at the center of an escalating cybercrime wave powered by generative AI. What once seemed like harmless innovation now fuels identity theft, document forgery, and digital misinformation. The time for proactive regulation, corporate accountability, and public awareness is now—before this new age of AI-driven fraud becomes unmanageable.
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