Section 25 of ITA, 2000 : Section 25: Suspension Of Licence

Explanation using Example

Let's consider a hypothetical scenario. XYZ is a Certifying Authority that has been granted a license by the Controller to issue electronic signature Certificates. However, it was discovered that XYZ made a false statement about its security measures during the application for the renewal of its license. Furthermore, XYZ failed to comply with the terms and conditions of the license, such as maintaining certain security standards as specified in section 30.

In this case, according to Section 25(1) of The Information Technology Act, 2000, the Controller, after conducting an inquiry, can revoke XYZ's license. However, before revoking the license, the Controller must give XYZ a reasonable opportunity to show cause against the proposed revocation.

If the Controller has reasonable cause to believe that there is ground for revoking the license, as per Section 25(2), he can suspend XYZ's license pending the completion of the inquiry. However, the suspension cannot exceed ten days without giving XYZ an opportunity to show cause against the proposed suspension.

During the suspension period, as per Section 25(3), XYZ is not allowed to issue any electronic signature Certificates.