Section 47 of ITA, 2000 : Section 47: Factors To Be Taken Into Account By The Adjudicating Officer

ITA, 2000

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Explanation using Example

Let's consider a hypothetical scenario. Imagine a company named "TechSoft", which is a software development firm. One of their employees, Mr. X, misuses his access to the company's confidential data and sells it to a competitor. This act is in violation of The Information Technology Act, 2000.

When the matter is brought before the adjudicating officer, he will consider the following factors under Section 47:

  • (a) The amount of gain Mr. X made from selling the data, which is the unfair advantage he gained as a result of the default.
  • (b) The financial loss suffered by TechSoft due to this data breach, which is the amount of loss caused to any person as a result of the default.
  • (c) If Mr. X has a history of similar defaults, indicating a repetitive nature of the default.

Based on these factors, the officer will decide the quantum of compensation that Mr. X needs to pay to TechSoft.

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