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  The twin BPO 
  frauds  of Mphasis and Infinity e-Search in quick succession has given 
  raise to a series of discussions on the status of Data Protection Laws in 
  India. Unfortunately several media persons as well as industry persons have 
  gone on record with statements indicating that either there is no data 
  protection laws in India or if it is there, it si grossly insufficient. 
  The efforts of 
  Naavi.org in clearing the air is a drop in the ocean when NDTVs and Economic 
  Times continue to speak in a different tone. 
  One of the 
  adverse fall outs of this media publicity is  the formation of 
  international opinion which could be inimical to the reputation of the BPO 
  industry in India. Perhaps this is the raison d'etre for the Sun Report too. 
  The shrill cry 
  for a new law on "Data Protection" will only proliferate the number of laws 
  int he country applicable for the same offence and will cause more confusion 
  than comfort. If an offence is adequately covered by one law then claiming 
  that there is need for one more is absurd. (I will separately address this 
  issue in a future article..Naavi) 
  The object of 
  this article is to highlight that the Indian journalists are unnecessarily 
  queering the pitch for a new data protection law where it is not warranted. I 
  want these journalists especially from respected financial papers to first 
  study the law as it exists and then start passing comments that may force the 
  Government into some knee jerk reaction. 
  A few such 
  reports that have come to our notice are as follows:  
  
    
  
    
      | Publication | 
      Date | 
      Article | 
      Atributed to | 
      Statement | 
     
    
      | Business
       Standard  | 
      27,June 2006 | 
      
      
      Now get the law | 
      Editor | 
      
        There is as yet no data security law in India. 
      ... It should come, if only to raise comfort levels 
      A cross section of industry feels rightly that there is 
      no substitute for a comprehensive law on security issues and deterrent 
      punishment for transgression. An industry leader has specifically 
      suggested that data theft be made a non-bailable offence.   | 
     
    
      | Economic Times | 
      June 26, 2005 | 
      
      
      IT 
      Act Review Panel to submit report | 
      Editor | 
      
       The need for a data protection law has emerged again 
      with a leakage of credit card information last week with an employee of a 
      Gurgaon-based web marketing firm at the centre of the scam.   | 
     
    
      | Economic Times | 
      June 25 2005  | 
      
      
      Needed. New Law, Enforcement Agency | 
      Editor | 
      
       The Information 
      Technology Act 2000 prescribes as penalty for breach of privacy a fine up 
      to Rs 1 lakh and/or imprisonment up to two years. This is wholly 
      inadequate. 
      We need a separate data 
      protection law, with tough penalties. .. A separate enforcement agency 
      with the requisite skill, separate tribunals and high court benches ..The 
      government must act on this front, and fast.   | 
     
    
      | Telegraph India | 
      June 24 2005  | 
      
      
  | 
      M. RAJENDRAN Quoting unnamed sources and 
      Pavan Duggal  | 
      
       Unnamed Sources: "the government should 
      enact a data protection law if it wants to instil confidence among foreign 
      clients". 
       Pawan Duggal a cyber law expert 
      :said: “The Information Technology Act alone cannot give that confidence. 
      The government should show urgency in making data protection an important 
      part of the act.”  | 
     
    
      | BBC News Delhi  | 
      June 24 2005  | 
      
      
       | 
      Southik
       Biswas  | 
      
       ..experts agree that India needs to tighten up call 
      centre security and info tech laws to stay ahead in the call business 
      process outsourcing (BPO) business...that India's information technology 
      laws ..do not give adequate attention to data protection.  
      If a call centre worker is found guilty of leaking and 
      selling confidential data, he could face three years in prison and a fine 
      of 100,000 rupees ($2,297) .. can even be sued for damages up to $225,000 
      to be paid to people affected by the leakage of information.   | 
     
    
      | Sify.com | 
      8th June 2005 (pre Gurgaon 
      scam)  | 
      
      BPOs plump for 
      law on data security | 
      President and CEO of EXL 
      Service, Rohit Kapoor. & Mehra, PWC | 
      
       Kapoor: suggested making the existing IT Act more 
      effective by removing the existing lacunae and strengthening data 
      protection and privacy rules. 
      Mehra: though the Indian IT Act makes unauthorised use 
      of data a punishable offence, there are concerns about its timely 
      enforcement given the slow pace of the country’s legal system.."The 
      government needs to be proactive in keeping the IT Act in sync with 
      advancement in technology and put in place a speedy legal recourse 
      system," Mehra said  | 
     
    
      | Express Computers | 
      6th June
       2005  | 
      
      
      Needed: a facelift for cyber laws | 
      Sushma | 
      
       Data protection guidelines, protection from spam, and 
      credit card fraud are absent in the Indian cyber law. 
      :Vishwas Patel, Avenues: “Credit card fraud is still 
      not covered under the IT Act, so one has to approach the crime branch.” 
      This defeats the purpose as the crime branch isn’t IT-savvy.  | 
     
   
    
   
  
 
  
  A few positive 
  reports that have come to our notice are as follows:  
  
    
  
    
      | Publication | 
      Date | 
      Article | 
      Atributed to | 
      Statement | 
     
    
      | Independent-UK | 
      26, June 2005  | 
      
      
      Big hearts and small minds: companies rail at the dead hand of the 
      box-tickers | 
      Ian El-Mokadem, One-Tel's chief executive. | 
      
       "It is easier to set up a call centre in India than in 
      the UK," says  "There is a more flexible workforce, a more flexible 
      set of policies in India."  | 
     
    
      | TOI | 
      24th June 2005  | 
      
      
      Indian BPO is safer than UK's: Brit firms | 
      RASHMEE 
      ROSHAN LALL  
  | 
      
       Tim Pullan an IT & Outsourcing partner at London law 
      firm Lawrence Graham LLP told TOI on Friday that his clients, who signed 
      some of the biggest outsourcing contracts with India over the last two 
      years, were eminently satisfied with the security standards in place in 
      call centres across Delhi, Mumbai, Bangalore and elsewhere in India.   | 
     
   
    
   
  A small attempt 
  has been made in this report just to high light the fact that the media may 
  require better understanding of Indian Laws on Data Protection before adding 
  fuel to the fire of speculation about security.  
  It is important 
  for us to remember that "Security" where human elements are involved is 
  extremely complicated and frauds are a reality of the society. We need to 
  balance our criticism of the Indian BPO industry with the level of security 
  which is now available which is in fact considered to be superior to other 
  countries including perhaps US and UK. 
  I reiterate 
  that 
  India has a robust Data Protection Law ,
  the 
  current incident could be Cyber Terrorism, there is a
  threat 
  to Indian sovereignty if we do not respond with conviction to the present 
  crisis and we need a
  
  strategy for security management 
 
  
  
  Naavi 
  June 26, 2005 
  
  (Comments 
  welcome) 
 
   
  
  
 
  
  
   
  
  
  
    
 
  
 
   
  
  
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