The Cabinet has approved the Digital Personal Data Bill

The Union Cabinet passed the Digital Personal Data Protection Bill (DPDP) on Wednesday, clearing the way for firms to disclose data breaches voluntarily while also creating an alternative dispute resolution mechanism.

The bill would be introduced in Parliament during the upcoming monsoon session by the Ministry of Electronics and Information Technology (MEITY).

Most of the criminal clauses for data breaches that were featured in prior draughts have been removed in this long-awaited draught. It does, however, provide the Data Protection Board (DPB) the authority to fine corporations found to be in violation up to Rs 250 crore. With cabinet permission, it can also enhance these penalties to no more than Rs 500 crore. According to officials, these hikes will not necessitate any changes to the law.

People in the know say the new DPB, which will be primarily made up of independent industry specialists rather than government officials, will act as a “digital office.” It will serve as the second level of judgement in all cases involving cyber private information and data.