Truecaller Under Scrutiny in South Africa for Alleged Popia Violations

Truecaller, the popular call identification app, is currently under investigation by South Africa's Information Regulator following allegations of violating the Protection of Personal Information Act (Popia). The complaint, as accessed by the media, accuses Truecaller of deceptively harvesting users’ address books through its "Enhanced Search" feature, which is purportedly enabled by default.

Nomzamo Zondi, a senior communication manager at the Information Regulator, confirmed the receipt of the complaint. Zondi stated, "We are in the preliminary stages of addressing this issue, and an investigator will soon be appointed to delve deeper into the allegations."

The heart of the complaint lies in Truecaller's practice of accessing and uploading users' phone contacts onto its platform, allegedly without the explicit consent of the individuals whose data is being shared. Legal experts, including Ahmore Burger-Smidt, head of regulatory practice at Werksmans Attorneys, argue that this practice not only undermines user consent but may also lead to unlawful transborder data flows, as Popia mandates that personal information may only be transferred across borders under stringent compliance conditions.

Furthermore, Burger-Smidt raised concerns about non-subscribers, whose information could be uploaded without their knowledge. She suggests that Truecaller, as the party determining the data collection process, should shoulder the responsibility for these breaches, despite its attempts to shift the blame onto users via its terms and conditions.

In defense, Hitesh Bhagat, Truecaller’s global head of corporate communications, differentiated between access to contacts during signup and actual data upload. He emphasized that Truecaller’s primary need for access to contacts is to screen calls effectively. Bhagat’s clarification suggests a misunderstanding among the public and regulators about the app's operational functionalities. However, he conspicuously omitted any specific mention of the controversial "Enhanced Search" feature, which has been omitted in app versions from official stores like Google Play and the Apple App Store, but remains accessible through other means.

The complaint also highlights another significant issue regarding how Truecaller manages its spam labeling process, which allegedly lacks transparency and proper recourse measures, potentially impacting individuals tagged as spammers without just cause.

If the allegations are proven true, Truecaller may face stringent enforcement actions from South African authorities, not only casting a shadow over its operations in the country but also igniting a broader debate on the ethics of data handling by tech companies globally.