INFORMATION TECHNOLOGY ACT, 2000

Introduction
 IT is one of the most important law relating to Indian Cyber Laws. It
was passed in the Indian Parliament in the year 2000

 It consists of 13 chapters and 4 schedules

 It sets rules and regulation which can be applied on any electronic

business transaction

 It is was introduced because of the increasing number of cyber-

crimes
 NEEDS OF IT ACT 2000
National reasons:
• Increasing use of ICTs
• To get legal protection for using ICTs in Business.
• To stop computer crime and protect privacy of internet user
• Email to be accepted as legal form of communication

International reasons:
• International trade through electronic means.
• The United Nations Commission on International Trade Law
(UNCITRAL) had adopted a Model Law on Electronic Commerce in
1996
• Because the World Trade Organization (WTO) was also likely to
conduct its transactions only in electronic medium in future.
 OBJECTIVES OF THE IT ACT
 According to IT Act 2000,Any company can store their data in
electronic storage

 To give legal recognition for keeping books of account by banker’s

and other companies in electronic form

 To make more power for IPO, RBI and Indian Evidence Act for
restricting electronic crime

 The act now allows Govt to issue notifications on the web, thus
heralding e-governance
 KEY WORDS
 Digital Signature: It is the way of demonstrating the authenticity of
digital message. Private key and public key is used to sign digitally.
Digital signature is applied while communication as it provides
authentication, integrity and non-repudiation
 Electronic signature: It is the authentication of any electronic record
by a subscriber by means of electronic technique.
:- Examples are various courier services like Blue Dart, in RTO while
applying for license etc.
 Electronic contracts: An electronic contract is an agreement
created and signed in electronic form i.e. where no paper or hard
copies are used. They are conceptually very similar to traditional
contracts.

 Payment Gateways: It is an e-commerce application that

authorizes payments for e-business, online retailers, bricks and
mortar businesses. It acts as a middleman between the
customer’s bank and the merchant.
 A hash function is a mathematical function that converts a numerical
input value into another compressed numerical value. The input to the
hash function is of arbitrary length but output is always of fixed
length. Values returned by a hash function are called message
digest or simply hash values.
 Cyber Crime

 Cyber crime is any illegal activity that involves a computer

or network-connected device such as a mobile phone.

 Usually performed with the motive to cause reputational,

physical or mental harm to the victim directly or indirectly.

 Unusual characteristic that the victim and the criminal may

never come into direct contact , thus reducing chances of
detection and prosecution.

 Hampers the nation’s security and financial health.

 Types of Cyber Crime
 Data privacy and security

Example : Facebook users data leakage.

 Financial cybercrime : ATM fraud, Electronic money laundering,
etc.

Example :Rupsi lost Rs. 10,000 to fraud ATM transaction.

 Cyber Terrorism

Example : Pakistan hacking Indian Websites

 Hacking

Example : Shahid Malla and Adil Hussains website hacking.

 Cyber Pornography

Example : Chennai couple operating child pornography website.

 Digitalization
The process of converting something to Digital form
 Started by the government of India (Mr. Narendra Modi) on 1st
of July,2015.

 The main aim was to save manpower and time through

digitalization.

 Aimed to connect rural areas with high speed internet.

 Aimed to be completed by 2019.

 Aims of Digital India

 To ensure people with high speed internet.

 To make available more jobs in IT field.

 To make information online for all.

 To bring E-Governance by reforming Government through

digitalization.
 Benefits of Digital India

 Digital locker system.

 Digital signature.

 Makes information available for all at any time and

anywhere.

 Creation of employment in IT field.

What threats do E-Commerce websites
pose on Customers?

• Fake online store

• Credit card fraud

• Identity theft

• Data Breach

• Adware
How does IT Act,2000 Protect Customers?

FACTORS SECTION(S) APPLICABLE

Security 3, 3(A)

Privacy 66(E), 67, 67(A),67(B), 72, 72(A)

Data Protection 43(A)

Junk Mail & Spamming 66(A)

Content Regulation 66(A), 67, 67(A)

Intellectual Property Rights 43,65

 NASSCOM
Need

Businesses

Catalyst

Vision Statement
To help the IT and IT enabled products and services industry in India to be a
trustworthy, respected, innovative and society friendly industry in the world.
 NASSCOM Initiative: 4E Framework

 Engagement: Networking

 Education: Training and Skill Enhancement

 Enactment: Flow of offshore businesses

 Enforcement: The security Initiative

 Events at NASSCOM

 NIPP Block chain Challenge

 Government of Telangana and Data security council of India and

NASSCOM Partner to set-up Cyber Security Centre of Excellence
(COE)

 Securing India’s Digital Payment Frontiers

 NASSCOM signs MOU with Niti Aayog to accelerate Women

Entrepreneurship
 CYBERCRIME STATISTICS
 India has been ranked third
worldwide, next to USA and
China as a source of malicious
activity.

 According to National Crime

Records Bureau’s 2016 report,
Uttar Pradesh is the leading
state in cybercrime registered,
while Maharashtra comes
second.

 According to recent Economics

Times article, banks have lost
₹ 88,553 every hour on an
average to cybercrime in the
past three years and three
months.
Healthcare Organizations Are The Number
One Cyber Attacked Industry.

The Most Expensive Computer Virus Ever

Caused $38.5 Billion In Damages.

There Are Cybercriminals On

The FBI’s Most Wanted List.

As Of May 2016, 6,00,000 Facebook

Accounts Were Compromised Every Day.
 Important sections related to
Cybercrimes

Section 43
Penalty and Compensation for damage to computer, computer
system

Section 43A
Compensation for failure to protect data

Section 65
Tampering with computer source documents.
Section 66
Computer Related Offences

Section 67
Punishment for publishing or transmitting obscene material in
electronic form
 THE INFORMATION TECHNOLOGY
(AMMENDMENTS) ACT, 2008

 ELECTRONIC SIGNATURE INTRODUCED

 Corporate responsibility introduced in Section 43A

 Important definitions added

 Legal validity of electronic documents re-emphasized

 Introduction of new cybercrimes as offences under amended Act

CONTINUE:-
 Role of Section 67 C in cyber-crime prosecution

 Section 69-Power of the controller to intercept amended

 Power to block unlawful websites

 Section 69B added to confer Power to collect, monitor traffic

data

 Liability of Intermediary amended

CASE STUDY- SHREYA SINGHAL VS UNION OF
INDIA

Background of the case:

 Shaheen Dhada and Rinu Shrinivasan were arrested on 18th

November,2012 on the grounds of criticizing the bandh.

 There was a violation of fundamental rights of freedom of speech and

expression.
 Arguments:
 Petitioners: Section 66A takes away the freedom of speech and
expression. The section had no clarity and was subjective in nature.
 Respondents: Abuse of authority cannot be a justification to declare
a provision invalid. Vagueness is not a ground to declare the
provision invalid.

Judgement:
 Section 66A was declared invalid and further scrapped.
 National Human Rights Commission (NHRC) directed the
Maharashtra Government to compensate both the girls by Rs50,000
each.
CASESTUDY:-LingaBhaskar v/s The State
through the Inspector of Police and
Vijayalakshmi

BACKGROUND OF THE CASE:-

 This case is from Tamil Nadu’s tuticorin city

 A complain was filled against 46 BSNL employees by Vijayalaxmi

 Case was filled under harassment of act, schedule cast and

schedule tribe act, and information technology act
ARGUMENTS:-
The allegations made by the complainant was that the recorded
conversation of BSNL customers uploaded by her is wrongly understood by
the petitioners as one to degrade their efficiency and that they started
retaliating the complainant and did this with an intention to humiliate her
by posting the annoying emojis one after another.
A case was registered for offences punishable under various Section and
Section 67 of Information Technology Act.
In order to get the FIR cancelled, the accused employees approached
Madras high court Madurai bench and filed a petition.

JUDGEMENT:-
The object of Section 67 of Information Technology Act is, therefore, about a
publication revealing an oversexual interest or desire or encouraging an excessive
interest in sexual matters. Hence, the Court was of the clear opinion that the
complaint do not disclose an offence under Section 67 of the Information
Technology Act.
Therefore, the court quashed the case registered by the complainant.
 Mphasis BPO Fraud

BACKGROUND OF THE CASE:-

 In December 2004, four call centre employees, working at an

outsourcing facility operated by MphasiS in India, obtained PIN
codes from four customers of MphasiS’ client, Citi Group.

 They used the PINs and account information gained during their
employment at MphasiS to transfer money from the bank accounts
of CitiGroup customers to the new accounts at Indian banks.
 By April 2005, the Indian police had tipped off to the scam by a U.S.
bank, and quickly identified the individuals involved in the scam.
Arrests were made when those individuals attempted to withdraw
cash from the falsified accounts, $426,000 was stolen; the amount
recovered was $230,000.

Verdict

 Court held that Section 43(a) was applicable here due to the nature
of unauthorized access involved to commit transactions.