Let us now continue on our discussion on the petition of Mr Venkatesh Nayak on Sections 17(1) (c) and 17(2) as well as 33(1) and 36 which are sought to be scrapped.
The petition says that Sections 17(1)(c) and 17(2)(a) and 17(2)(b) empowers “Disproportionate surveillance” by granting sweeping exemptions both to State and Non-State instrumentalities” without any objective scrutiny or statutory responsibility, under garb of crime preventin. It also alleges that the collection can be indiscriminate and can be used for policing using predictive algorithms. The lack of safeguards is allegedely failing the proportionality test. The petitioner states that there is no legitimate reason to exempt state actors from being bound by statutory obligations under the DPDPA. even for research and statistical purposes.
Let us recall what the two sections state.
Section 17(1)(c): The provisions of Chapter II, except sub-sections (1) and (5) of section 8, and those of Chapter III and section 16 shall not apply where—personal data is processed in the interest of prevention, detection, investigation or prosecution of any offence or contravention of any law for the time being in force in India;
Section 17(2)
The provisions of this Act shall not apply in respect of the processing of personal data—
(a) by such instrumentality of the State as the Central Government may notify, in the interests of sovereignty and integrity of India, security of the State, friendly relations with foreign States, maintenance of public order or preventing incitement to any cognizable offence relating to any of these, and the processing by the Central Government of any personal data that such instrumentality may furnish to it; and
(b) necessary for research, archiving or statistical purposes if the personal data is not to be used to take any decision specific to a Data Principal and such processing is carried on in accordance with such standards as may be prescribed.
It appears that the learned counsels have either not read the sections diligently or trying to mislead the Court with wrong statements.
Section 17(1)
Firstly, Section 17 (1) does not provide “Sweeping powers”. The powers are restricted to exemptions under Chapter II which relate to consent and other obligataions, Chapter III which relates to Right and Section which relates to Cross border transfer. Even under Chapter II Sections proviions of 8(1) and Sectio 8(5) are not exempted.
Section 8(1) relates to the appointment of a data processor and Section 8(5) relates to protection of personal data.
The petitioner’s concern that the data collected for law enforcement would be algorithmically analysed to create biases etc is a pure figment of imagination particularly without the processing being done by private sector data processors or joint data fiduciaries.
Further the purpose related to prevention, detection, investigation or prosecution of any offence or contravention of any law for the time being in force in India is directly pointing to constitutional exceptions under Article 19(2) which even Justice Puttaswamy Judgement has recognized. Limited exemptions related to exceptions under Constitutions cannot be called “Sweeping exemptions”. If the petitioner is serious, we can also state that they are making sweeping statements to mislead the Court and implying speculative fears which does not exist.
We should also note that the same exemptions of Chapter II except Section 8(1) and 8(5), Chapter III and Section 16 is also available to many other instances by the private sector including notified startups, during mergers and acquisitions and during recovery of bad debts by financial institutions. Does the petitioner also allege that these private sector agencies also enjoy sweeping powers of surveillance?
It appears that the petitioners have failed to understand the exemptions properly.
Section 17(2)
Now let us turn our attention to Section 17(2) which states
The provisions of this Act shall not apply in respect of the processing of personal data—
(a) by such instrumentality of the State as the Central Government may notify, in the interests of sovereignty and integrity of India, security of the State, friendly relations with foreign States, maintenance of public order or preventing incitement to any cognizable offence relating to any of these, and the processing by the Central Government of any personal data that such instrumentality may furnish to it; and
(b) necessary for research, archiving or statistical purposes if the personal data is not to be used to take any decision specific to a Data Principal and such processing is carried on in accordance with such standards as may be prescribed.
Have the petitioners observed that for this exemption, the instrumentalities of the State also have to be “Notified”. It does not include all and sundry instruments of state. Further, such instrumentalities of state should be processing data in the interest of sovereignty and integrity of India etc..which are exceptions under Article 19(2).
Where is the exemption to “Non State Instrumentalities” as mentioned in Ground Y of thepetition (page 30) and where is any definition of a “Non State Instrumentality”?
The objection under Ground Y desrves a summary rejection.
For the purpose of research,archiving or statistical purpose, the exemption is limited to instances where the data is not used to take any decisions specific to a data principal. Further such data has to be processed subject to standards that have been prescribed under Rule 5 -second schedule.
Hence under both Sections 17(1) and 17(2) there are enough safeguards to prevent misuse of data collected under these exemptions.
Why Law Enforcement Agencies need a free hand
I would like to further reiterate, that the statement in page 31 of Venkatesh nayak petition para AA that “There is no legitimate reason to exempt the state actors ” for security purposes is a complete nonsense. It is the duty of a Government to secure the citizens and Right to Security is a fundamental right of citizens that the Government must protect. There is no right to criminals to use Privacy as an excuse to hide their activities and for the petitioners to support such criminals by raising objections to laws that help mitigate crime risk to the society.
Hence the grounds for considering Sections 17(1) and 17(2) as unconstitutional is not tenable.
Section 33(1)
Sectin 33(1) states
“If the Board determines on conclusion of an inquiry that breach of the provisions of this Act or the rules made thereunder by a person is significant, it may, after giving the person an opportunity of being heard, impose such monetary penalty specified in the Schedule.”
We donot know what the petitioners want if there is non compliance. Is it wrong for the law to specify a penalty?
Petitioners harp on the use of the word “Significant Data Breach”. This actually restricts the powers of the Board that for insignifiant data breaches, Board should not use the penalty provisions indiscriminately.
Naavi.org has suggested methods including the “Valuation of Data” as a measure of the harm caused and the decision if any is appealable.
Hence the objection deserves summary rejection .
Section 36
Section 36 states
” The Central Government may, for the purposes of this Act, require the Board and any Data Fiduciary or intermediary to furnish such information as it may call for”
Again the petitioners simply speculate that the section is arbitrary. The Central Government is the administrator of the law and would require many types of information both from the Board as well as the Data Fiduciaries. Claiming that this is “Arbitrary”, “Excessive”, “amenable for abuse” etc is a play of words that has no relevance to the real concerns of the public.”
In summary the petition lacks genuine grounds for challenging either Section 44(3) or Section 17(1) or 1792) or 33 or 36.
Let us watch further developments in this regard.
Naavi












