INFORMATION
TECHNOLOGY ACT
BY
DILIP & GARIMA
BUSINESS LAW-2ND
INTRODUCTION TO
THE ACT
Information technology is one of the important law relating to
Indian cyber laws.
It had passed in Indian parliament in 2000.
This act is helpful to promote business with the help of internet.
It also sets rules and regulations which apply on any electronic
business transaction.
Due to increasing crime in cyber space, Govt. of India
understood the problems of internet user and for safeguarding
the interest of internet users, this act was made.
HISTORY TO THE ACT
The United Nations General Assembly by resolution A/RES/51/162,
dated the 30 January 1997 has adopted the Model Law on
Electronic Commerce adopted by the
United Nations Commission on International Trade Law . This is
referred to as the UNCITRAL Model Law on E-Commerce.
Following the UN Resolution India passed the Information
Technology Act 2000 in May 2000 and notified it for effectiveness on
October 17, 2000.
The Information technology Act 2000 has been substantially
amended through the Information Technology Amendment Act 2008
which was passed by the two houses of the Indian Parliament on
December 23,and 24, 2008. It got the Presidential assent on February
5, 2009 and was notified for effectiveness on October 27, 2009.
A Complete history of how the current version of the Information
Technology Act -2008 version evolved over a period of time between
1998 to 2009 is available at the reference link given under external
links below.'
SALIENT FEATURES TO
THE
The salient features of the ACT
Information Technology Act, 2000 are
as follows:—
(i) Extends to the whole of India (Section 1)
(ii) Authentication of electronic records (Section 3)
(iii) Legal Framework for affixing Digital signature by use of
asymmetric crypto system and hash function (Section 3)
(iv) Legal recognition of electronic records (Section 4)
(v) Legal recognition of digital signatures (Section 5)
(vi) Retention of electronic record (Section 7)
(vii) Publication of Official Gazette in electronic form (Section
8)
(viii) Security procedure for electronic records and digital
signature (Sections 14, 15, 16)
(ix) Licensing and Regulation of Certifying authorities for
issuing digital signature certificates (Sections 17-42)
Contd..
(xiii) Data Protection (Sections 43 & 66)
(xiv) Various types of computer crimes defined and stringent
penalties provided under the Act (Section 43 and Sections
66, 67, 72)
(xv) Appointment of Adjudicating officer for holding inquiries
under the Act (Sections 46 & 47)
(xix) Interception of information from computer to computer
(Section 69)
(xxi) Act to apply for offences or contraventions committed
outside India (Section 75)
(xxii) Investigation of computer crimes to be investigated by
officer at the DSP (Deputy Superintendent of Police) level
(xxiii) Network service providers not to be liable in certain cases
(Section 79)
(xxiv) Power of police officers and other officers to enter into
any public place and search and arrest without warrant
(Section 80)
(xxv) Offences by the Companies (Section 85)
Digital Revolution Internet Infra in INDIA
Internet INDIA Internet Infrastructure:2008.5
1Mil. Domains
(0.5 Mil. “.in”)
Bharti
BSNL NIC
130+ IDCs 134 Major Mail Servers
ISPs
ERNET
Reliance
TATA
Communications
4.8 Mil. High DNS
Speed Internet
Enterprise
IT /
65 Mil. Internet Govt. ITES
Users BPO
Home
248 Mil. Mobile Academia
Phones
8 Mil. Mobile Phones being added
per month
`
Tele Density 24 per 1000 person
Targetted Broadband connection = 10 Mil. VOIP, IPTV
(2010) 6
OBJECTIVES OF THE ACT
[Link] is objective is to give legal recognition to any transaction
which is done by electronic way or use of internet.
2. To give legal recognition to digital signature for accepting any
agreement via computer.
3. To provide facility of filling document online relating to school
admission or registration in employment exchange.
4. According to I.T. Act 2000, any company can store their data in
electronic storage.
5. To stop computer crime and protect privacy of internet users.
6. To give legal recognition for keeping books of accounts by
bankers and other companies in electronic form.
7. To make more power to IPO, RBI and Indian Evidence act for
restricting electronic crime.
PROVISIONS TO THE
ACT
1. Chapter II -Any contract which is done by subscriber. If he signs the electronic
agreement by digital signature. Then it will be valid.
In case bank, the verification of digital signature can be on the basis of key pair.
2. Chapter III-This chapter explains the detail that all electronic records of govt. are
acceptable unless any other law has any rules regarding written or printed record.
3. Chapter IV-This chapter deals with receipts or acknowledgement of any electronic
record. Every electronic record has any proof that is called receipt and it should be
in the hand who records electronic way.
4. Chapter V -This chapter powers to organization for securing the electronic
records and secure digital signature. They can secure by applying any new
verification system.
5. Chapter VI -This chapter states that govt. of India will appoint controller of
certifying authorities and he will control all activities of certifying authorities.
“Certifying authority is that authority who issues digital signature certificate.”
6. Chapter VII- In this chapter powers and duties of certifying authority is
given. Certifying authority will issue digital signature certification after getting
Rs. 25000. If it is against public interest, then C.A. can suspend the digital
signature certificate.
7. Chapter VIII-This chapter tells about the duties of subscribers regarding
digital signature certificate . It is the duty of subscriber to accept that all
information in digital signature certificate that is within his knowledge is true .
8. Chapter IX -If any body or group of body damages the computers ,
computer systems and computer networks by electronic hacking , then they are
responsible to pay penalty upto Rs. 1 crore . Fore judgment this , govt. can
appoint adjucating officer .
9. Chapter X -Under this chapter, cyber regulation appellate tribunal can be
established. It will solve the cases relating to orders of adjudicating officers.
10. Chapter XI -For controlling cyber Crime, Govt. can appoint cyber
regulation advisory committee who will check all cyber crime relating to
publishing others information. If any fault is done by anybody, he will be
responsible for paying Rs. 2 lakhs or he can get punishment of 3 years living in
jail or both prison and penalty can be given to cyber criminal.
11. Chapter XII-Police officers have also power to investigate dangerous cyber
crime under IPC 1860 , Indian Evidence Act 1872 and RBI Act 1934 .
ADVANTAGES
1. Helpful to promote e-commerce
• Email is valid
• Digital signature is valid.
• Payment via credit card is valid.
• Online contract is valid
2. Enhance the corporate business
After issuing digital signature, certificate by Certifying authority, now
Indian corporate business can enhance.
3. Filling online forms :-
After providing facility, filling online forms for different purposes has
become so easy.
4. High penalty for cyber crime
Law has power to penalize for doing any cyber crime. After making of this
law, nos. of cyber crime has reduced.
CRITICISM TO THE ACT
The amendment was passed in an eventful Parliamentary session
on 23rd of December 2008 with no discussion in the House.
Some of the cyber law observers have criticized the amendments
on the ground of lack of legal and procedural safeguards to
prevent violation of civil liberties of Indians.
There have also been appreciation about the amendments from
many observers because it addresses the issue of Cyber Security.
Section 69 empowers the Central Government/State Government/
its authorized agency to intercept, monitor or decrypt any
information generated, transmitted, received or stored in any
computer resource.
They can also secure assistance from computer personnel in
decrypting data (see mandatory decryption), under penalty of
imprisonment.
OFFENCES TO THE CYBER
Tampering with computer source documents
Hacking with Computer system
Publishing of information which is obscene in electronic
form
Power of the Controller to give directions
Directions of Controller to a subscriber to extend facilities to
decrypt information
Protected system
Penalty for misrepresentation
Breach of confidentiality and privacy
Penalty for publishing Digital Signature Certificate false in
certain particulars
SCOPE OF THE ACT TO
THE COUNTRY
Every electronic information is under the scope of I.T. Act 2000
but following electronic transaction is not under I.T. Act 2000
1. Information technology act 2000 is not applicable on the
attestation for creating trust via electronic way. Physical
attestation is must.
2. I.T. Act 2000 is not applicable on the attestation for making
will of any body. Physical attestation by two witnesses is must.
3. A contract of sale of any immovable property.
4. Attestation for giving power of attorney of property is not
possible via electronic record.
CONCLUSION
India’s Information Technology Act, 2000 is
comprehensive legislation but contains many lacunae.
The passage of the IT Amendment Act 2008 will resolve
many practical difficulties faced in the implementation
of the Act. The IT Amendment Bill 2008. Although it
aims to bring significant changes in extant cyber laws in
India, introducing legal recognition to electronic
signatures, data protection obligations and mechanisms,
provisions to combat emerging cyber security threats
such as cyber terrorism, identity theft, spamming, video
pornography on internet, and other crimes. There may
be still some lacunae which will surface with passage of
time .Hence, constant amendments in the legal statutory
framework will always be essential.
THANK YOU