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CS Professional · Banking and Insurance - Laws and Practice · Digital Banking

Meera Textiles Ltd. publishes its Digital Signature Certificate in a repository to sign electronic bank instructions. Under the Information Technology Act, 2000, what is the legal effect of this publication by the subscriber?

Meera Textiles is deemed to have accepted the DSC. The Information Technology Act, 2000 provides that a subscriber who publishes or authorises publication of the certificate in a repository, or to one or more persons, is treated as having accepted it, with the resulting certifications to relying parties.

  1. AThe subscriber is deemed to have accepted the DSCCorrect
  2. BThe Certifying Authority is deemed to have revoked the earlier DSC
  3. CThe subscriber is relieved from certifying the truth of the DSC information
  4. DThe DSC becomes valid only after RBI approval

Explanation

Under section 41(1), a subscriber is deemed to have accepted a DSC if he publishes or authorises publication of it to one or more persons or in a repository. On acceptance, section 41(2) makes the subscriber certify that he holds the corresponding private key and that the information is true. So the option about relief is wrong.

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