The Australian Federal Police (AFP) will expand its fight against identity crime and theft internationally when it opens an office in India some time this year.
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The AFP views India as one of the most sophisticated technology nations in the world.
"We believe that India has access and use of technology beyond the capability of any other country.
"Whilst we can understand the economic drivers for moving offshore into places like India there is a risk associated with that and I guess time will tell how big that risk is," AFP Commissioner Mick Keelty said.
He was addressing business leaders at the American Chamber of Commerce in Sydney this morning.
The risk of personal information falling into the wrong hands is real, both in Australia and abroad, according to Keelty.
He said the AFP recently dismantled an Indian identity crime syndicate operating in Sydney and Melbourne, with AU$1 million in cash seized.
Keelty believes that to combat the rise in identity theft, companies have to look beyond their shareholders' interest to protect customer information.
"That data that sits on your database is as good as a kilo of heroin ... it is as good as any other commodity for an organised crime group and that's the way you have to look at it," he said.
The government is setting a bad example. It just shows that they dont trust australias ICT skills which I believe is good enough to get the job done. I just think its more of a budget and cost saving issue rather than a skills issue. The government can easily pay aussie professionals to protect the nation against identity frauds. Sending work to india and saving money just shows how important it is..what a joke..