The IT Act, 2000: scheme, definitions and jurisdiction - Cyber Law

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1. Objectives and history
2. Structure
3. Section 1: extent, commencement and application
4. Key definitions in section 2(1)
5. Extraterritorial reach: section 75
6. Overriding effect: section 81
7. Police powers: sections 78 and 80
How AIBE asks this
Quick check

Cases checked to exist. Read the judgment before quoting a holding.

Every case cited here has been checked to exist — the citation resolves and names the right parties. The propositions attributed to each case have not been verified line by line against the judgment. Case names link through to the full judgment: read it before quoting a holding in an examination answer, and never carry a proposition from notes into court on trust.

The IT Act is an e-commerce law that grew into a cyber crime law. The Information Technology Act, 2000 (Act 21 of 2000) was passed to give legal recognition to electronic records and digital signatures, following the UNCITRAL Model Law on Electronic Commerce. The 2008 Amendment Act added most of the offences, the intermediary regime and the technology-neutral “electronic signature”. For AIBE, know the dates, the chapter map, the First Schedule and the main definitions in section 2(1).

1. Objectives and history

Model Law. The Preamble recites that the UN General Assembly, by resolution A/RES/51/162 dated 30 January 1997, adopted the Model Law on Electronic Commerce prepared by the United Nations Commission on International Trade Law (UNCITRAL), and recommended that States consider it when making laws on paperless communication.
Objects (long title): legal recognition of transactions by electronic data interchange and other electronic means (“electronic commerce”), electronic filing of documents with Government agencies, and amendment of the Indian Penal Code, the Indian Evidence Act, the Bankers’ Books Evidence Act and the Reserve Bank of India Act.
Dates. Assent 9 June 2000; in force from 17 October 2000 (G.S.R. 788(E)).
Information Technology (Amendment) Act, 2008 (Act 10 of 2009), in force from 27 October 2009. It replaced “digital signature” with the wider “electronic signature” (section 3A), added sections 10A (e-contracts), 43A (data protection), 66A to 66F, 67A to 67C, 69A, 69B, 70A, 70B, 72A, 77A, 77B, the new Chapter XII on intermediaries (section 79) and Chapter XIIA (Examiner of Electronic Evidence, section 79A). It lowered the investigating rank from Deputy Superintendent of Police to Inspector.
Finance Act, 2017 (w.e.f. 26 May 2017) abolished the Cyber Appellate Tribunal and made the TDSAT the Appellate Tribunal (section 48).
Jan Vishwas (Amendment of Provisions) Act, 2023, in force for the IT Act from 30 November 2023 (S.O. 4745(E)), omitted section 66A and turned several offences (sections 33, 67C, 68, 72, 72A) into money penalties. Details are in the notes on penalties and on offences.

2. Structure

Chapter	Subject	Sections
I	Preliminary	1–2
II	Digital signature and electronic signature	3–3A
III	Electronic governance	4–10A
IV	Attribution, acknowledgment and despatch of electronic records	11–13
V	Secure electronic records and secure electronic signature	14–16
VI	Regulation of Certifying Authorities	17–34
VII	Electronic Signature Certificates	35–39
VIII	Duties of subscribers	40–42
IX	Penalties, compensation and adjudication	43–47
X	The Appellate Tribunal	48–64
XI	Offences	65–78
XII	Intermediaries not to be liable in certain cases	79
XIIA	Examiner of Electronic Evidence	79A
XIII	Miscellaneous	80–90

Sections 91 to 94 originally amended the IPC, Evidence Act, Bankers’ Books Evidence Act and RBI Act through four Schedules. The 2008 Amendment omitted those sections and the Third and Fourth Schedules, and substituted a new First Schedule (documents to which the Act does not apply) and Second Schedule (electronic signature or authentication techniques). Today only these two Schedules remain.

3. Section 1: extent, commencement and application

Section 1(2): extends to the whole of India and, save as otherwise provided, applies also to any offence or contravention under it committed outside India by any person.
Section 1(3): different dates may be notified for different provisions.
Section 1(4): nothing in the Act applies to the documents or transactions in the First Schedule. The Central Government may amend the Schedule by notification, which must be laid before each House (sections 1(4) proviso and 1(5)).

First Schedule: documents or transactions excluded.

A negotiable instrument (other than a cheque) as defined in section 13 of the Negotiable Instruments Act, 1881.
A power-of-attorney as defined in section 1A of the Powers-of-Attorney Act, 1882.
A trust as defined in section 3 of the Indian Trusts Act, 1882.
A will as defined in section 2(h) of the Indian Succession Act, 1925, including any other testamentary disposition.
Any contract for the sale or conveyance of immovable property or any interest in such property.

The cheque carve-out links to section 81A, which applies the Act to electronic cheques and truncated cheques (Negotiable Instruments Act, section 6).

4. Key definitions in section 2(1)

Clause	Term	Core of the definition
(a)	Access	Gaining entry into, instructing or communicating with the logical, arithmetical or memory function resources of a computer, computer system or network.
(b)	Addressee	Person intended by the originator to receive the electronic record; does not include an intermediary.
(ha)	Communication device	Cell phones, personal digital assistants, or any device used to communicate, send or transmit text, video, audio or image.
(i)	Computer	Electronic, magnetic, optical or other high-speed data processing device performing logical, arithmetic and memory functions, including connected input, output, storage, software and communication facilities.
(k)	Computer resource	Computer, computer system, computer network, data, computer database or software.
(nb)	Cyber security	Protecting information, equipment, devices, computer, computer resource, communication device and information stored in them from unauthorised access, use, disclosure, disruption, modification or destruction.
(o)	Data	Representation of information, knowledge, facts, concepts or instructions prepared in a formalised manner and intended to be processed in a computer system or network, in any form including printouts and storage media.
(t)	Electronic record	Data, record or data generated, image or sound stored, received or sent in electronic form, or micro film or computer generated micro fiche.
(ta)	Electronic signature	Authentication of an electronic record by a subscriber by an electronic technique specified in the Second Schedule; includes digital signature.
(w)	Intermediary	Any person who on behalf of another receives, stores or transmits a record or provides any service for it; includes telecom, network and internet service providers, web-hosts, search engines, online payment sites, online auction sites, online market places and cyber cafes.
(za)	Originator	Person who sends, generates, stores or transmits any electronic message, or causes it to be done; does not include an intermediary.

Other useful clauses: digital signature (p), Digital Signature Certificate (q), Electronic Signature Certificate (tb), cyber cafe (na), information (v), asymmetric crypto system (f), key pair (x), private key (zc), public key (zd), subscriber (zg), Controller (m), Appellate Tribunal (da). Note the pattern: originator and addressee both exclude an intermediary, which is why an intermediary is treated separately under section 79.

5. Extraterritorial reach: section 75

Section 75(1) applies the Act to an offence or contravention committed outside India by any person irrespective of nationality. Section 75(2) supplies the link: it applies if the act or conduct involves a computer, computer system or computer network located in India. So a foreign national who hacks a server in Bengaluru from abroad is within the Act; one who hacks a server abroad with no Indian computer involved is not.

6. Overriding effect: section 81

The Act has effect notwithstanding anything inconsistent in any other law. The proviso (added in 2008) saves rights under the Copyright Act, 1957 and the Patents Act, 1970. In Sharat Babu Digumarti v. Govt. of NCT of Delhi, 2016 INSC 1131, the Supreme Court relied on section 81 to hold that where the act alleged (here, online sale of obscene material) falls under section 67 of the IT Act, the accused cannot be proceeded against for the same act under section 292 IPC; the special law prevails.

7. Police powers: sections 78 and 80

Section 78: notwithstanding the Code of Criminal Procedure, a police officer not below the rank of Inspector shall investigate any offence under the Act.
Section 80(1): a police officer not below the rank of Inspector, or any other Central or State Government officer authorised by the Central Government, may enter any public place and search and arrest without warrant any person reasonably suspected of having committed, committing or being about to commit an offence under the Act. “Public place” includes a public conveyance, hotel, shop or any place accessible to the public.
Section 80(2): a non-police officer who arrests must take the person without unnecessary delay before a magistrate or the officer in charge of a police station.
References to the CrPC in these sections are now read as references to the Bharatiya Nagarik Suraksha Sanhita, 2023 (General Clauses Act, 1897, section 8). Cyber offences under the BNS and BNSS procedure are covered in the note on BNS and BNSS cyber offences.

How AIBE asks this

Expect a direct recall question: the year the Act came into force, the UNCITRAL Model Law behind it, which document is outside the Act (will, power of attorney, sale of immovable property, negotiable instrument other than a cheque), or the minimum rank of the investigating officer. A definition question often turns on what is included (cyber cafe in “intermediary”, digital signature in “electronic signature”) or excluded (intermediary from “originator”).

Quick check

The Information Technology Act, 2000 is based on:
(A) the Budapest Convention on Cybercrime
(B) the UNCITRAL Model Law on Electronic Commerce
(C) the OECD Privacy Guidelines
(D) the WIPO Copyright Treaty
Answer
(B). The Preamble recites UN General Assembly resolution A/RES/51/162 adopting the UNCITRAL Model Law.
Which of these is NOT excluded by the First Schedule?
(A) A will
(B) A power of attorney
(C) A cheque
(D) A contract for sale of immovable property
Answer
(C). Entry 1 excludes negotiable instruments other than a cheque; section 81A applies the Act to electronic cheques.
Under section 78, offences under the IT Act are investigated by a police officer not below the rank of:
(A) Sub-Inspector
(B) Inspector
(C) Deputy Superintendent of Police
(D) Superintendent of Police
Answer
(B). The 2008 Amendment substituted “Inspector” for “Deputy Superintendent of Police”.
Under section 75, the Act applies to an offence committed outside India by a foreigner if:
(A) the offender later visits India
(B) the victim is an Indian citizen
(C) the conduct involves a computer, computer system or network located in India
(D) the Central Government consents
Answer
(C). Section 75(2) makes the location of the computer in India the test, irrespective of nationality.
The definition of “intermediary” in section 2(1)(w) expressly includes:
(A) cyber cafes
(B) Certifying Authorities
(C) the Controller
(D) the addressee
Answer
(A). Cyber cafes are listed with ISPs, search engines, online market places and others.