Data protection bill may cap the maximum penalty for violations at Rs 250 crore

BL Mumbai Bureau Updated - July 11, 2023 at 04:37 PM.

While the earlier draft bill had set the penalty amount at Rs 250 crore, it had empowered the proposed Data Protection Board to impose a fine of up to Rs 500 crore

While the earlier draft Bill had set the penalty amount at Rs 250 crore, it had empowered the proposed Data Protection Board to impose a fine of up to Rs 500 crore.  | Photo Credit: Khanisorn Chaokla

The Personal Data Protection rules may cap the penalty at Rs 250 crore instead of the earlier proposed amount of Rs 500 crore. 

While the earlier draft Bill had set the penalty amount at Rs 250 crore, it had empowered the proposed Data Protection Board to impose a fine of up to Rs 500 crore. Under the revised bill, this provision has been removed. 

Also read: Revised draft. Personal Data Protection Bill may allow exemptions for Indian start-ups

“If the board determines on conclusion of an inquiry that breach of the provisions of this Act by a person is significant, it may, after giving the person an opportunity of being heard, impose such financial penalty as is specified in Schedule 1,” states the revised Bill seen by businessline. Schedule 1 specifies the quantum of various penalties, that ranges from Rs 10,000 to Rs 250 crore depending on the seriousness of the violation.

Also read: Revised bill. Personal Data Protection Bill may have relaxed cross-border data transfer rules

The earlier draft had said, “If the Board determines on conclusion of an inquiry that non-compliance by a person is significant, it may, after giving the person a reasonable opportunity of being heard, impose such financial penalty as specified in Schedule 1, not exceeding Rs 500 crore in each instance.

Published on July 11, 2023 10:59

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