Electronic Transaction Act (ETA), 2063 (2006)
The Electronic Transaction Act (ETA) is the first major legal framework in Nepal to regulate activities conducted through electronic means. It was enacted to facilitate electronic commerce, digital communication, and the legal recognition of electronic records. It also contains provisions to address cybercrime and ensure the safe use of digital technology.
Objectives of ETA:
- To legalize digital signatures and electronic records.
- To enable secure online transactions and communication.
- To prevent and penalize cybercrimes such as hacking, identity theft, and online fraud.
- To establish a legal environment for e-commerce and digital governance.
Electronic Transaction Act (ETA), 2008
- Section 45 – Unauthorized Access and Hacking
- This section makes it a punishable offense for any person to intentionally and without authorization access, hack, or attempt to hack into a computer system, network, or electronic device.
- Section 46 – Damage to Computer and Data
- This section states that anyone who intentionally deletes, alters, corrupts, or damages data, computer programs, or computer systems will be subject to legal penalties.
- Section 47 – Publication of Illegal Content
- According to this section, publishing, displaying, or transmitting illegal, obscene, defamatory, or harmful materials in electronic form is prohibited and punishable.
- Section 48 – Unauthorized Use of Passwords or Access Codes
- This section makes it an offense for anyone to steal, obtain, or misuse another person’s password, access code, or digital signature without permission.
- Section 49 – Computer-Related Forgery and Identity Theft
- This section criminalizes acts of electronic forgery, identity theft, or misrepresentation carried out through electronic records, signatures, or computer systems.
- Section 50 – Unauthorized Disclosure of Information
- This section prohibits the unauthorized disclosure, misuse, or sharing of confidential or personal information obtained through a computer or electronic medium.
- Section 51 – Pornography and Harassment in Electronic Form
- This section makes it an offense to publish, transmit, or distribute pornographic, sexually explicit, or offensive content online, and although the law does not specifically use the term “cyberbullying,” such activities are interpreted as forms of online harassment.
- Section 52 – Electronic Fraud
- This section deals with fraud committed through electronic means, including online scams, false representations, or electronic deception for financial or personal gain.
- Section 53 – Offenses Against the State and Public Morality
- This section prohibits the publication or transmission of electronic content that threatens national security, sovereignty, integrity, public order, or goes against public morality.
Key Provisions of the ETA:
| Section | Provision |
|---|---|
| Section 3 | Legal recognition of electronic records and digital signatures. |
| Section 4 | Recognition of digital documents as equivalent to paper documents. |
| Section 9 | Secure digital signatures must be unique and verifiable. |
| Section 47–54 | Defines and criminalizes cyber offenses like hacking, data theft, illegal access, and email abuse. |
| Section 55 | Defines penalties, including fines and imprisonment for cyber offenses. |
| Section 60 | Provides authority to formulate rules and regulations for enforcement. |
Examples of Offenses Under ETA:
- Unauthorized access to computer systems (hacking)
- Spreading false information via electronic means
- Creating and distributing harmful software (viruses/malware)
- Publishing obscene content online
- Digital identity theft or online fraud
