You need someone involved who is willing and able to cut through the bullshit and call people out for doing that then. Daily standups quickly devolve to status updates, when the true purpose is to identify blockers and dependencies before they become problems.

One quick trick is to eliminate the "what did you do yesterday" question. It doesn't really matter. What matters is if each person is on track with the work they committed to, and people aren't being lazy.

And also, if people are basically taking the easy way out, sounds like you have a really bad project manager/product owner who isn't keeping tabs on things.