Section 71 of ITA, 2000 : Section 71: Penalty For Misrepresentation

Explanation using Example

Let's assume that John, an owner of a software development company, applies for an electronic signature certificate from a Certifying Authority. To increase his chances of approval, he intentionally omits information about a previous data breach in his company, which is a material fact that could affect the decision of the Certifying Authority. Later, the Certifying Authority discovers the omission and John is found guilty of suppressing a material fact under Section 71 of The Information Technology Act, 2000. Consequently, he is subjected to a punishment that could lead to imprisonment for up to two years, a fine up to one lakh rupees, or both.