Government Proposes Penalty of Up to Rs 500 Crore Under Data Protection Bill

November 18, 2022

The government has raised the penalty amount for violating provisions proposed under the Draft Digital Personal Data Protection Bill 2022 to up to Rs 500 crore. It has also proposed a fine of around Rs 200 crore on companies dealing in the personal data of consumers, if they fail to take reasonable safeguards to prevent data breaches.


The draft, which was released on Friday, three months after withdrawing the previous bill, has been put up for public consultation and is open for comment till December 17. It will be presented in the next parliament session.


The draft personal data protection bill in 2019 proposed a penalty of Rs 15 crore or 4 per cent of the global turnover of an entity.


The current draft proposes to set up a Data Protection Board of India, which will carry on functions as per the provisions of the bill. It also seeks to allow transfer of data outside India as opposed to the data localisation requirement in the previous draft.

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