Cyber Law in Nepal

The Government Nepal issued electronic transaction ordinance 2061 in September 2004 as ordinance. The house of representatives of the government of Nepal approve the Electronic Transaction Act-2063 on December 4, 2006 and ministry of science. Technology and Environment (MoSTE) formulated the Electronics Transaction Rules and Regulations.  The new legislation has set forth legal framework, administrative and application mechanism for electronic transaction and digital signature. For the legal validity of electronic records and digital signature, there I provision of controller of certification authority (CCA). The act is divided into 12 sections and 80 clauses with detailed information on role and rights of regulator, certification authority, customer, government and all the concerned stakeholders. It has also envisaged a separate judicial body IT Tribunal and Appellate Tribunal, to look into all cases related to computer and cyber crimes.

The computer and cyber crimes such as hacking, piracy, copyright violation, fraudulent and all other deceitful activities have been clearly defined and punishment are set accordingly.

CrimePunishment and imprisonment 
To pirate, destroy or alter computer sourceTwo hundred thousand rupees’ punishment or 3-year imprisonment.
Unauthorized Access in Computer MaterialsTwo hundred thousand rupees’ punishment or 3-year imprisonment.
Damage to any computer and information systemTwo hundred thousand rupees’ punishment or 3-year imprisonment.
Publication illegal materials I electronic formOne hundred thousand rupees’ punishment or 5-year imprisonment.
Confidentiality to divulgeOne hundred thousand rupees’ punishment or 2-year imprisonment.
To inform false statementOne hundred thousand rupees’ punishment or 2-year imprisonment.
Submission or display of false license of certificatesOne hundred thousand rupees’ punishment or 2-year imprisonment.


Electronic transactions and digital signatures are valid for the private sector and government agencies. It allows government offices to use electronic means for tender notices, vacancy announcements and more. It also certifies public procurement and acceptance of electronic applications. The law would be beneficial to the business community but would require better infrastructure such as telephone, internet connectivity, and electricity, as well as better use of ICT equipment.

Cyber Crime

Cyber crime is criminal activity using computers and the Internet, cyber crime is any criminal activity that involves computer or network resources, equipment or targets or crime sites. Crimes involving the use of information or the use of electronic means to increase crime fall within the scope of cyber crime. Cyber crimes can be committed individually, appropriately and against the government.

The cyber crime is categorizing in 3 ways:

  • The computer as a target- attacking the computers of others. For example, spreading viruses.
  • The computer as weapon- using a computer to commit “traditional crime” that we see in the physical world (such as fraud or illegal gambling).

The common types of cyber crimes are as follow:

  1. Cyber Bullying

Cyber bullying is the use of technology to harass, threaten, embarrass, or target another person. This is also called cyber-harassment or cyber-stalking. Sometimes cyber bullying can be easy to spot for example, if the child shows responses to a text massage, tweet or status update on Facebook that is harassing, mean, or cruel.

  • Hacking: A hacker is an unauthorized user who attempts to or gains access to an information system. Hacking is a crime even if there is no visible damage to the system, since it is an invasion in to the privacy of data.
  • Spamming: Spamming is ending of unsolicited bulk and commercial massage over the internet, although irritating to most email users. It is not illegal unless it causes damage such as overloading networking and disrupting service to subscribers.
  • Child Pornography: Woman and children are victims of sexual exploitation through internet. Pedophiles use the internet to send photos of illegal child pornography to targeted children so as to attract children to such funds.  
  • Phishing: it is a criminally fraudulent process of acquiring sensitive information such as username, passwords and credit card details by disguising as a trustworthy entity in an electronic communication.
  • Software Piracy: it is an illegal reproduction and distribution of software for business of personal use. This is considered to be a type of infringement of copy right and violation of a license agreement.
  • Credit Card Fraud: Around the worlds a billions of dollars have been lost annually by consumers who have credit cards and calling card numbers. These are stolen from on line databases.
  • Cyber Terrorism: Cyber terrorism is any premeditated, politically motivated attack against information, computer systems, computer programs, and data which results in violence against non-combatant targets by sub national groups or underground agents. –Electronic Commerce  –Data Protection and privacy
  1. Intellectual Property

Copyright, trademarks and patents are all concerned with the protection of intellectual property (IP)

  • Copyright: when someone creates an original piece of software, that person then holds something called the copyright for that software. When a person produces creative work such as book, painting, musing, film or computer software that item is automatically protected by copyright law.
  • Trademark: A trademark is any sign which can distinguish the goods and services of one traders from those of another. A sign includes, for example, words, logos, pictures, or a combination of these. In the software industry these would be the company name logo and name logo of a particular game.
  • Patents: A patent gives an inventor the right for limited period to stop others from making, using or selling an invention without their permission. 

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