Information Technology Amendment Act 2006
Notes on clauses
Clause 2.—This clause seeks to substitute the words “digital
signatures” by the words
“electronic signatures” as provided in the Table thereunder so as to
make it technology neutral.
Clause 3.—This clause seeks to amend sub-section (4) of section 1 so
as to exclude Negotiable Instruments, power of attorney, trust, will
and contract from the application of the Act and to empower the
Central Government to amend the entries in the First Schedule.
Clause 4.—This clause seeks to amend section 2 and to define certain
Clause 5.—This clause seeks to substitute heading of Chapter II with
‘DIGITAL SIGNATURE AND ELECTRONIC SIGNATURE’ so as to make the Act
Clause 6.—This clause seeks to insert a new section 3A which
provides for authentication of electronic record by electronic
signature or electronic authentication technique. It also empowers
the Central Government to insert in the Second Schedule any
electronic signature or electronic authentication technique and
prescribe the procedure for the purpose of ascertaining the
authenticity of electronic signature.
Clause 7.—This clause seeks to insert a new section 6A which
empowers the Central Government as well as the State Government to
authorise the service providers for providing efficient services
through electronic means to the public against appropriate service
charges. Further the said section empowers the Central Government as
well as the State Government to specify the scale of service
Clause 8.—This clause seeks to insert a new section 10A to provide
for contracts formed through electronic means.
Clause 9.—This clause seeks to make amendment in sub-section (1) of
which is of a consequential nature.
Clause 10.—This clause seeks to substitute sections 15 and 16 so as
to remove certain inconsistencies in the procedures relating to
secure electronic signatures and to provide for security procedures
Clause 11.—This clause provides for omission of section 20 with a
view to empower the Certifying Authority under section 30 to act as
repository of electronic signatures.
Clause 12.—This clause seeks to make amendment in sub-section (1) of
section 29 with a view to limit the powers of the Controller in
respect of access to any computer system only with reference to the
provisions of Chapter VI and not with reference to the provisions of
entire Act. The powers with respect to access to any computer system
under other provisions of the Act are proposed to be entrusted to
the Central Government under section 69.
Clause 13.—This clause seeks to amend section 30 with a view to
empower the Certifying
Authority to be the repository of all Electronic Signature
Certificates issued under the Act.
Clause 14.—This clause seeks to amend section 34 with a view to make
the provisions of that section technology neutral.
Clause 15.—This clause seeks to amend section 35 with a view to omit
the first proviso to sub-section (4) so as to make the provisions of
that section technology neutral. Clause 16.—This clause seeks to
amend section 36 so as to add two more
representations for issuance of digital signature.
Clause 17.—This clause seeks to insert a new section 40A which
provides for duties of the subscriber of Electronic Signature
Clause 18.—This clause seeks to make an amendment in the Chapter
heading of Chapter IX with a view to provide for making compensation
for damages in respect of various contraventions.
Clause 19.—This clause seeks to amend section 43 so as to add
certain more contraventions for damaging computer or computer
Clause 20.—This clause seeks to insert a new section 43A so as to
empower the Central Goverment to provide for reasonable security
practices and procedures and the sensitive personal data or
information and also to provide for compensation for failure to
protect sensitive personal data or information stored in a computer
Clause 21.—This clause seeks to make amendment in section 46 with a
view to make consequential changes.
Clauses 22 and 23.—These clauses seek to make amendments in the
heading of Chapter X and section 48 with a view to suitably modify
the same with the title of the Cyber Appellate Tribunal as mentioned
in clause (n) of sub-section (1) of section 2.
Clause 24.—This clause seeks to substitute sections 49 to 52 and
insert new sections
52A to 52D. Section 49 provides for the establishment of the Cyber
Appellate Tribunal. Sections 50, 51 and 52 provide for
qualifications, term of office, conditions of service and salary and
allowances of the Chairperson and Members of the said Tribunal.
52A to 52 D provide for powers of the Chairperson and distribution
of business among the
Clauses 25 to 28.—These clauses seek to make amendments in sections
53 to 56
with a view to make the Cyber Appellate Tribunal a multi-member
Clause 29.—This clause seeks to insert a proviso in section 61 so as
to provide jurisdiction to courts in certain cases.
Clause 30.—This clause seeks to amend section 64 so as to recover
the compensation also as the arrears of land revenue.
Clause 31.—This clause seeks to substitute sections 66 and 67 and
insert new sections 66A and 67A with a view to make certain more
computer related wrong actions punishable and enhance the penalty.
Clause 32.—This clause seeks to amend section 68 so as to reduce the
quantum of punishment and fine.
Clause 33.—This clause seeks to substitute section 69 so as to
empower the Central Government to issue directions to an agency for
interception or monitoring or decryption of any information
transmitted through any computer resource. It also provides for
punishment for rendering assistance to such agency.
Clause 34.—This clause seeks to amend section 70 so as to enable the
Central Government as well as the State Government to declare any
computer resource as protected system. It also provides for
information security practices and procedures for such protected
Clause 35.—This clause seeks to insert a new section 70A for
empowering Indian Computer Emergency Response Team to serve as a
national nodal agency in respect of Critical Information
Clause 36.—This clause seeks to insert a new section 72A which makes
the disclosure of information in breach of a lawful contract
Clause 37.—This clause seeks to substitute sections 77 and 78 and to
insert new sections 77A and 77B. Section 77 provides that
compensation, penalties or confiscation under the Act shall not
interfere with the award of compensation or imposition of any other
penalty or punishment under any other law for the time being in
force. Section 77A provides for certain offences relating to
computer resources as compoundable offences. Section 77B provides
that Court shall take cognizance only on a complaint and not
otherwise. Section 78 provides for power to investigate offences.
Clause 38.—This clause seeks to substitute Chapter XII and to insert
a new Chapter XIIA which provides for exemption of intermediaries
from liability in certain circumstances and also empowers the
Central Government to prescribe guidelines to be observed by
intermediaries for providing services. It also empowers the Central
Government to specify the Examiner of Electronic Evidence.
Clause 39.—This clause seeks to omit section 80 of the Act with a
view to entrust the powers of search and seizure, etc., to a Police
Officer not below the rank of Deputy Superintendent of Police and
for that purpose necessary provisions have been included in section
78 by substituting the same vide clause 37.
Clause 40.— This clause proposes to insert a proviso to section 81
so that the rights conferred under this section shall be
supplementary to and not in derogation of the provisions of the
Copyright Act or the Patents Act.
Clause 41.—This clause seeks to make amendment in section 82 with a
view to declare the Chairperson, Members, officers and employees as
Clause 42.—This clause seeks to amend section 84 with a view to make
Clause 43.—This clause seeks to insert three new sections 84A, 84B
and 84C with a view to empower the Central Government to prescribe
the modes and methods of encryption for secure use of electronic
media and for promotion of e-governance and e- commerce
applications. Further it provides that abetment of and attempt to
commit any offence shall also be punishable.
Clauses 44 and 45.—These clauses seek to make amendments in sections
87 and 90
respectively, which are of consequential nature.
Clause 46.—This clause seeks to omit sections 91 to 94 for the
reason that these provisions have become redundant as necessary
modifications have already been carried out in the Indian Penal Code
and other related enactments.
Clause 47.—This clause seeks to substitute new Schedules for the
First Schedule and the Second Schedule so as to provide for
documents or transactions to which the provisions of the Act shall
not apply. It also enables the list of electronic signature or
electronic authentication technique and procedure for affixing such
signature to be specified in the Second Scheudule.
Clause 48.—This clause seeks to omit the Third Schedule and Fourth
Schedule as consequential to the omission of provisions of sections
93 and 94.
Clause 49.—This clause provides for certain amendments in the Indian
Penal Code so as to specify certain offences relating to the
Clause 50.—This clause provides for certain consequential amendments
in the Indian
Evidence Act pursuant to the changes proposed in the Act.
Clause 51.—This clause provides for amendments in the Code of
Criminal Procedure by inserting new section 198B and amending
section 320 so as to make certain consequential amendments pursuant
to the changes proposed in the Act.