Source : Shooting The Messenger: India Blocks WeTransfer File-Sharing Site
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DoT usually does not come out with such statements just for banning a site so I think things aren't what they look at the surface(aka "national security" point).
If it were a Chinese service I'd have understood since there is kind of an anti-Chinese sentiment going on. But this is not a Chinese service.
True, applying Hanlon's razor, it's much more likely that they made this decision out of lack of understanding. This decision seems too random without much context. Perhaps there has been some episode that we are not aware of, or this is just the DoT's typical "blanket ban" behaviour, in the latter case it's probably just Tuesday.
that sarcasm
lots of technical people actually. but lack of technical mindset, to comprehend and solve situations technically.