Canada’s biggest banks and telecom companies form coalition to tackle fraud worth millions

Canada’s largest financial institutions and telecom companies on Wednesday launched a platform that will allow them to work together to identify and prevent repeat fraud at a time when criminals are adopting new techniques that include the use of artificial intelligence and machine learning to scam people.

The Cross-Sector Anti-Fraud Exchange (CSAFE) will include the Big Six banks except for Toronto-Dominion Bank, the Big Three telcos and Desjardins as founding members.

The platform was developed by Toronto-based EnStream LP, a joint venture of Canada’s top telecom companies that focuses on providing online security services. The company said it has already conducted a pilot program with Canadian Imperial Bank of Commerce and Rogers Communications Inc. that has led to positive results.

“Fraud is a rapidly evolving, cross-sector problem, and our response has to reflect that to be successful,” Anthony Ostler, chief executive of the Canadian Bankers Association, said in a statement. “When financial institutions, telecom providers, government and law enforcement act on the same confirmed intelligence instead of working in isolation, we close the gaps criminals rely on.”

Canadians reported approximately $351 million in fraud-related losses in the first six months of 2026, according to the Canadian Anti-Fraud Centre (CAFC), a government body that collects details on fraud and identity theft. But it estimates only five per cent to ten per cent of fraud is reported.

About $140 million of the $351 million lost was due to investment fraud, which takes place when fraudsters use social media, online advertisements or messaging applications to promote fraudulent investment opportunities. Victims may initially see fake account balances or returns designed to encourage additional deposits, the CAFC said on its website.

The CSAFE will allow companies to share intelligence related to such fraudulent activities, which can further strengthen how the organizations deal with fraud.

It will allow the participants to receive data on fraud from a broader range of sources, share intelligence more quickly and identify fraud that repeatedly takes place at critical points, EnStream said.

“Participants bring the confirmed fraud intelligence; our role is to give them a secure, common platform to act on it together and to keep strengthening the capabilities over time with AI and machine learning as CSAFE grows, so the collective gets smarter and more effective over time,” Upinder Saini, chief executive of EnStream, said in a statement.