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CS Professional · Artificial Intelligence, Data Analytics and Cyber Security - Laws and Practice · Data Analytics and Law

Who is included in the term 'body corporate' for the purposes of Section 43A of the IT Act, 2000?

Body corporate under Section 43A means any company and also includes a firm, sole proprietorship or other association of individuals engaged in commercial or professional activities. So a small proprietorship running an analytics business can also be liable for failing to protect sensitive data.

  1. AOnly companies registered under the Companies Act
  2. BAny company, and also a firm, sole proprietorship or other association of individuals engaged in commercial or professional activitiesCorrect
  3. COnly listed companies and banks
  4. DOnly government departments handling citizen data

Explanation

The Explanation to Section 43A defines body corporate as any company and includes a firm, sole proprietorship or other association of individuals engaged in commercial or professional activities. Limiting it to companies, listed entities or government bodies is therefore incorrect.

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