DoT’s new proposed Telecom Bill: What it may mean for users, social media companies and telecom companies – Times of India
The Department of Telecommunications (DoT) recently released the much-awaited draft of Indian Telecommunications 2022 bill, which once framed into Act, will define rules of the sector. The proposed legislation seeks to replace the existing Indian Telegraph Act of 1885. The bill has been put up for public consultation and stakeholders can send their comments by October 20. Here are the key features.
WhatsApp, Facebook, Instagram and Twitter may be brought under the ambit of a telecom services licence
The bill identifies OTTs – or over-the-top service providers (who ride the internet networks) such as the social media giants and new age satellite- and internet-based communication companies – as an important element of India’s burgeoning telecommunication network, which may henceforth be required to operate under a designated licence. This means that the bill proposes to bring social media giants such as WhatsApp, Facebook, Instagram and Twitter under the ambit of telecom services licence. It added that the companies will need to comply with a variety of obligations, including providing a mandated identification of their users when asked by other users. The draft bill has included OTT as part of the telecommunication service.
Social media platforms will need to identify their users
The mandate, if it becomes a law, will require Facebook, Twitter and WhatsApp to identify the user of its services through a verifiable mode of identification. The identity of the person sending a message using a platform should be available to the person receiving it. In the past, entities such as WhatsApp have argued that it is not possible to identify all the persons in the chain as technology does not allow it to track the messages, given encryption tech used by it.
Giving fake documents to get SIM card or misrepresenting identity on WhatsApp and other similar platforms can be penalised
Giving fake documents to get a mobile SIM card or misrepresenting identity on over-the-top (OTT) communication platforms like WhatsApp, Signal or Telegram may lead to imprisonment of one year or a fine of up to Rs 50,000 for a telecom consumer. This means that users may be required to share their real identity while opening an account on WhatsApp, Telegram or other social media platform. The same may also be the case for opening an email account. Similarly, sharing fake papers to get a SIM card may also be penalised.
The bill says these provisions aim to protect users from online financial frauds and other illegal activities. There have been numerous instances of financial frauds committed by cyber criminals, who usually take SIM cards on fake documents and hide their real identity on OTT apps to make calls. As per an official explainer of the Bill, every telecom user should know who is calling. “This will help in preventing cyber frauds done using telecom services. Therefore, provisions related to identity have been included in the Bill at relevant places,” said the explanatory note. Sub-section 7 under Section 4 of the draft Bill requires telecom users to declare their identity.
Broadens the definition of telecommunication services
The Telecom Bill proposes to broaden the definition of telecommunication services to factor in the current times, the draft bill lists them as “service of any description (including broadcasting services, electronic mail, voice mail, voice, video and data communication services, audiotex services, videotex services, fixed and mobile services, internet and broadband services, satellite-based communication services, internet-based communication services, in-flight and maritime connectivity services, interpersonal communications services, machine-to-machine communication services, over-the-top (OTT) communication services) which is made available to users by telecommunication”.
Government has sole discretion to grant a licence to an entity to operate as a telecommunication services provider
The draft bill proposes the Centre will have the sole discretion to grant a licence to an entity to operate as a telecommunication services provider.
Fee waiver option for telecom service providers in certain situation
The government in the bill has proposed a provision to waive fees and penalty of telecom and internet service providers. In case of default payment by a licensee of any amount and it has been determined that there exist extraordinary circumstances, including financial stress, consumer interest, maintaining competition in the sector, or reliability and continued supply of telecommunication services etc, the government may defer payment of such amounts, conversion of part or all the amounts payable into shares, write-off of such amounts or relief from payment of such amounts. The government can also grant exceptions from the provisions of this Act or rules to a licensee. The ministry has also proposed a provision for the refund of fees in case a telecom or internet provider surrenders his licence.
Government can revoke licence in case of severe breach
In case of breach of licence conditions, the DoT can revoke such licence, registration, authorization or assignment and impose a penalty. The penalty regime has been changed, with varying amounts of penalties depending on the severity of the offence.
The mandate of USOF has been widened to include provisioning of telecom services to urban areas, R&D, skill development, support of pilot projects etc.
Government has powers to suspend any communication
As per the draft bill, on the occurrence of any public emergency or in the interest of the public safety, the Central or state governments or any officer specially authorised in this behalf, can direct that any message or class of messages, to or from any person or class of persons shall not be transmitted, or shall be intercepted or detained or disclosed to the officer mentioned in such order.
In the event of war or national security issues, the government can take over the control and management of, or suspending the operation of, or entrusting any authority of the Government to manage any or all of any telecommunication services.
WhatsApp, Facebook, Instagram and Twitter may be brought under the ambit of a telecom services licence
The bill identifies OTTs – or over-the-top service providers (who ride the internet networks) such as the social media giants and new age satellite- and internet-based communication companies – as an important element of India’s burgeoning telecommunication network, which may henceforth be required to operate under a designated licence. This means that the bill proposes to bring social media giants such as WhatsApp, Facebook, Instagram and Twitter under the ambit of telecom services licence. It added that the companies will need to comply with a variety of obligations, including providing a mandated identification of their users when asked by other users. The draft bill has included OTT as part of the telecommunication service.
Social media platforms will need to identify their users
The mandate, if it becomes a law, will require Facebook, Twitter and WhatsApp to identify the user of its services through a verifiable mode of identification. The identity of the person sending a message using a platform should be available to the person receiving it. In the past, entities such as WhatsApp have argued that it is not possible to identify all the persons in the chain as technology does not allow it to track the messages, given encryption tech used by it.
Giving fake documents to get SIM card or misrepresenting identity on WhatsApp and other similar platforms can be penalised
Giving fake documents to get a mobile SIM card or misrepresenting identity on over-the-top (OTT) communication platforms like WhatsApp, Signal or Telegram may lead to imprisonment of one year or a fine of up to Rs 50,000 for a telecom consumer. This means that users may be required to share their real identity while opening an account on WhatsApp, Telegram or other social media platform. The same may also be the case for opening an email account. Similarly, sharing fake papers to get a SIM card may also be penalised.
The bill says these provisions aim to protect users from online financial frauds and other illegal activities. There have been numerous instances of financial frauds committed by cyber criminals, who usually take SIM cards on fake documents and hide their real identity on OTT apps to make calls. As per an official explainer of the Bill, every telecom user should know who is calling. “This will help in preventing cyber frauds done using telecom services. Therefore, provisions related to identity have been included in the Bill at relevant places,” said the explanatory note. Sub-section 7 under Section 4 of the draft Bill requires telecom users to declare their identity.
Broadens the definition of telecommunication services
The Telecom Bill proposes to broaden the definition of telecommunication services to factor in the current times, the draft bill lists them as “service of any description (including broadcasting services, electronic mail, voice mail, voice, video and data communication services, audiotex services, videotex services, fixed and mobile services, internet and broadband services, satellite-based communication services, internet-based communication services, in-flight and maritime connectivity services, interpersonal communications services, machine-to-machine communication services, over-the-top (OTT) communication services) which is made available to users by telecommunication”.
Government has sole discretion to grant a licence to an entity to operate as a telecommunication services provider
The draft bill proposes the Centre will have the sole discretion to grant a licence to an entity to operate as a telecommunication services provider.
Fee waiver option for telecom service providers in certain situation
The government in the bill has proposed a provision to waive fees and penalty of telecom and internet service providers. In case of default payment by a licensee of any amount and it has been determined that there exist extraordinary circumstances, including financial stress, consumer interest, maintaining competition in the sector, or reliability and continued supply of telecommunication services etc, the government may defer payment of such amounts, conversion of part or all the amounts payable into shares, write-off of such amounts or relief from payment of such amounts. The government can also grant exceptions from the provisions of this Act or rules to a licensee. The ministry has also proposed a provision for the refund of fees in case a telecom or internet provider surrenders his licence.
Government can revoke licence in case of severe breach
In case of breach of licence conditions, the DoT can revoke such licence, registration, authorization or assignment and impose a penalty. The penalty regime has been changed, with varying amounts of penalties depending on the severity of the offence.
The mandate of USOF has been widened to include provisioning of telecom services to urban areas, R&D, skill development, support of pilot projects etc.
Government has powers to suspend any communication
As per the draft bill, on the occurrence of any public emergency or in the interest of the public safety, the Central or state governments or any officer specially authorised in this behalf, can direct that any message or class of messages, to or from any person or class of persons shall not be transmitted, or shall be intercepted or detained or disclosed to the officer mentioned in such order.
In the event of war or national security issues, the government can take over the control and management of, or suspending the operation of, or entrusting any authority of the Government to manage any or all of any telecommunication services.
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