Telegram, the popular messaging platform, informed an Indian court on Friday that it cannot monitor all hosted accounts to detect leaked customer data from India’s largest health insurer, Star Health. Telegram emphasized it would only block content flagged as problematic, as overseeing all chatbots would breach Indian legal standards.
Star Health has been confronting a significant reputational and operational challenge after a September 20 report revealed a hacker used Telegram chatbots and a website to leak sensitive customer information, including biometric ID cards and medical claim records. Following the revelation, Star Health approached the Madras High Court, requesting that Telegram remove bots linked to the data breach.
During Friday’s hearing, a Telegram representative argued that broad monitoring of chatbots would violate Indian law. However, Telegram agreed to delete flagged data if the insurer provides the necessary information. Star Health has reportedly received a ransom demand of $68,000 from the hacker to halt further leaks.
Star Health’s stock has dropped nearly 11% since the initial report, with an additional 1% decline noted on Friday. Globally, Telegram faces heightened scrutiny after founder Pavel Durov came under formal investigation in France on August 28 regarding the platform’s alleged use for illegal activities. Both Durov and Telegram deny any wrongdoing, stating they are addressing the criticisms.
Madras High Court Judge Kumaresh Babu directed Star Health to supply Telegram with details of specific problematic chatbots, instructing Telegram to block those immediately. Representatives from Telegram and Star Health did not provide comments following the hearing.
In a related development, Star Health is investigating allegations implicating its chief security officer in the data leak, though the executive, who is cooperating with the inquiry, has yet to be found at fault. The investigation continues, with no comments from the executive regarding the claims. The case is scheduled to resume in two weeks.
Featured image courtesy of CNBC TV18
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