Thursday, June 30, 2005

India to tighten Data Security Laws

#96 The Indian prime minister has asked for changes in cybersecurity laws, after allegations of a call center data breach. I am not surprised at this reaction - the perception that data integrity is under threat in offshoring could severly dent the Indian economy if customers took flight. Obviously, all the high profile and mind boggling data thefts of the last few weeks (covered in a few previous blog entries) has left everyone jittery.

In a meeting Wednesday, Singh directed the Department of Information Technology to hasten the process of amending the Indian IT Act to ensure that any breach of secrecy and any illegal transfer of commercial or privileged information is made a punishable offense.

Singh reviewed the situation in light of the recent case of alleged sale of customer data by an Indian call center employee to an undercover reporter of British newspaper The Sun last week. Singh said the sting operation may have been directed to give Indian industry a bad name in light of its growing competitiveness.
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