Section 43 of ITA, 2000 : Section 43: Penalty And Compensation For Damage To Computer, Computer System, Etc

Explanation using Example

Let's consider a hypothetical scenario to understand the application of Section 43 of The Information Technology Act, 2000.

John is an employee at XYZ Ltd. He is frustrated with his boss and decides to take revenge. He uses his technical skills to gain unauthorized access to the company's computer network. Without permission, he downloads confidential data and introduces a computer virus into the network, causing significant disruption and damage to the computer system.

He also denies his boss access to the system and manipulates the system to charge services availed by him to his boss's account. He further destroys important information residing in the computer resource and alters the source code of an essential software, causing it to malfunction.

Under Section 43 of The Information Technology Act, 2000, John's actions are illegal. He can be held liable for the damage caused and may have to pay compensation to XYZ Ltd., the affected party.