Section 64 of ITA, 2000 : Section 64: Recovery Of Penalty Or Compensation
ITA, 2000
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Explanation using Example
Let's consider a scenario where an IT company, CyberTech Inc., is found guilty of violating certain provisions of the Information Technology Act, 2000. As a result, the court imposes a penalty on them. However, CyberTech Inc. refuses to pay the penalty. According to Section 64 of the Act, the unpaid penalty can be recovered as if it were an unpaid land revenue. This means the government can take action to recover the amount just like they would for unpaid taxes on property.
In addition to this, the company's license or electronic signature Certificate can be suspended until the penalty is paid. This could disrupt the company's operations as they might not be able to sign digital documents or provide certain services without the license or electronic signature Certificate. This provision serves as a strong deterrent for companies to ensure compliance with the Act.