If you read the Internet, you will hear that India has strict controls on KYC for SIM cards and so on. But on my last trip there I acquired one without much fuss. I'm not sure how that happened but I didn't provide any ID! I suspect that in such an environment you can't really do the thing you're suggesting.
The average mobile phone store there had an absolutely mind-blowing profusion of smartphone brands that all sound like those Amazon drop-shipped Chinese brands: Vivo, Poco, Realme, Oppo. And those are the good ones! There is a Cambrian-like explosion of brands there from various manufacturers. It's an unusual place.
EDIT: I'm going to have to reply to you here because I'm rate-limited on comments. See below in response.
Is it contradictory? I imagine saying "install this app on your phones from the factory when selling here" is a lot more achievable than coordinating what you suggested which is:
> ...build tools, reporting, support services around helping with both Scamming applications or Stolen phones etc....
But perhaps you anticipate these to both require equivalent ability? If so, I think that's the crux of the disagreement. I don't think the Indian state has the power to set up a mechanism to set a standard for tools, reporting, and support services that meet some requirements to detect scammers etc.
In fact, I think that's a really high bar. I think perhaps only highly developed nations would have any success designing such a program. I think even the smaller EU member nations would fail at it, and I don't think any of the developing nations (barring China).