What does this bill mean, and how does it affect businesses? A Digital Personal Data Protection Bill was passed on Monday to ensure that the publicly available personal data of an individual is not used in the wrong or unlawful manner.
According to this bill, companies that hold the personal data of individuals are supposed to disclose the purpose behind collecting, possessing, and storing the data and should delete the data if the consent is withdrawn.
Individuals will have the right to question the companies regarding the reason behind the data collected.
This act provides a framework for processing personal data digitally available in a transparent way.
This bill also states that companies possessing children’s data will have to take parental consent to use the data of minors.
With all this happening, what will be the impact on businesses?
It will lead to elaborate compliance procedures.
According to the Data Protection Bill, penalties could be imposed, or the data fiduciaries could be summoned as well if the personal data is used in any unlawful manner.
The penalty amount could be upto:
(i) Rs 200 crore for non-fulfillment of obligations for children
(ii) Rs 250 crore for failure to take security measures to prevent data breaches.
