Hyderabad: The Telangana Transport Department has issued a show-cause notice to M/s. Colorplast India Pvt. Ltd. for allegedly supplying smart cards with substandard chips, raising concerns about potential data breaches and unauthorized access.
The notice, dated June 24, followed an inspection that revealed multiple batches of smart cards did not meet quality standards and were non-compliant with SCOSTA (Smart Card Operating System for Transport Application) guidelines. The department has requested an explanation from the supplier within 10 days of receiving the notice.
The issue was brought to light by Raahat, an NGO, which filed a complaint warning about the security risks posed by the use of non-approved Chinese chips in the smart cards. “The use of substandard chips is a serious threat to data security and national interests,” said Raahat Chairman Kamal Soi.
In response, the Transport Department has initiated an investigation and sent samples of the smart cards to the National Informatics Centre (NIC) for testing. The results of these tests will determine further action regarding the supplier.