Sunday, 29 January 2012

Legal and regulatory framework for e-commerce

Besides developing the e-infrastructure in the country through effective Telecom Policy measures,
the Indian government is taking appropriate steps as confidence building measures for the growth of
e-commerce. It has created the necessary legal and administrative framework through the enactment of
the Information Technology IT Act which combines e-commerce transactions and computer misuse and
frauds rolled into an Omnibus Act. While on the one hand it seeks to create the Public Key Infrastructure
(PKI) for electronic authentication through digital signatures, on the other hand, it seeks to build confidence
among the public that the frauds in the cyber space will not go unpunished. The Controller of Certifying
Authorities (CCA) has been put in place for effective implementation of the IT Act. The Act also
enables e-governance applications for electronic delivery of services to citizens.
The CCA acts as a regulator for the growth of e-commerce and e-governance. It is responsible
for the establishment of PKI the country through licensing of certifying authorities (CAs). For this
purpose, it has notified standards which are based on international standards as adopted by the International
Telecom Union, the Internet Engineering Task Force (IETF), Institute of Electrical and Electronics Engineers, Inc. (IEEE) and the Federal Information Processing Standards (FIPS) of the Government of
the United States. These standards range from specifying the high security modules for storing private
keys of the CAs to the public key certificates, the certificate revocation lists and the directory services.
Notable feature of the implementation in India is the creation of a panel of independent auditors who
would be responsible for auditing the technical and physical infrastructure of the CAs to ensure conformance
with the standards as also to ensure that the CAs comply with their certification practice statement.
There will be greater emphasis to ensure that the identity of individuals and businesses is verified as per
established procedures to create the required level of trust in electronic environment.
The CCA has established the National Root infrastructure which would be used for digitally
signing the certificates of all the certifying authorities. Beginning February 2002, four Certifying
Authority licence have been issued to operate under the Root. It is also setting up the National Repository
to store all the certificates issued by all the CAs in the country as required under the Information
Technology Act..

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