Concept
A financial penalty is the monetary penalty the Board may impose for a significant breach, in the amounts set out in the Schedule.
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.
Penalties are decided by the Board after an inquiry, and only where the breach is significant. The person always gets a hearing first.
The amounts are steep: up to two hundred and fifty crore rupees for weak security, two hundred crore for breach-notification or children's failings, one hundred and fifty crore for SDF failings, and fifty crore for other breaches.
A company with poor security that suffers a major breach could face a penalty of up to two hundred and fifty crore rupees.
What is the maximum penalty?
Up to two hundred and fifty crore rupees, for failing to take reasonable security safeguards.
Who imposes penalties?
The Data Protection Board, after an inquiry and a hearing, where the breach is significant.