1.  Is the government empowered to intercept communication between two individuals? Answer: Yes. The Central and the State government can intercept communication.  Letters, telephone (mobiles and landlines) and internet communication (e mails, chats etc.) can be intercepted by the government. Interception of:

  • postal articles is governed by the Indian Post Office Act, 1898 [Section 26];
  • telephones is governed by the Indian Telegraph Act, 1885 [Section 5(2)];
  • e mails/chats etc. is governed by the Information Technology Act, 2000 [Section 69].

2. Under what circumstances can the government intercept communication? Answer: The circumstances under which communication can be intercepted by the government are:

  • for postal articles: the occurrence of any public emergency, or in the interest of the public safety or tranquility;
  • for telephones: in the interests of the sovereignty and integrity of India, the security of the State, friendly relations with foreign States or public order or for preventing incitement to the commission of an offence;
  • for e mails / chats etc.: in the interests of the sovereignty and integrity of India, the security of the State, friendly relations with foreign States, or public order or for preventing incitement to the commission of any cognizable offence relating to above;

3. Are there any safeguards that have been built into the interception process? Answer: The Supreme Court in the case of PUCL Vs Union of India observed that the right to have telephone conservation in the privacy of one’s home or office is part of the Right to Life and Personal Liberty enshrined in Article 21 of the Constitution, which cannot be curtailed except according to the procedure established by law. Elaborating the scope of Section 5 (2) of the Indian Telegraph Act, 1882 the Court clarified that this section does not confer unguided and unbridled power on investigating agencies to invade a person’s privacy. The court laid down the following safeguards: a.  Tapping of telephones is prohibited without an authorizing order from the Home Secretary, Government of India or the Home Secretary of the concerned State Government b. The order, unless it is renewed shall cease to have authority at the end of two months from the date of issue. Though the order may be renewed, it cannot remain in operation beyond six months. c. Telephone tapping or interception of communications must be limited to the address (es) specified in the order or to address (es) likely to be used by a person specified in the order. d. All copies of the intercepted material must be destroyed as soon as their retention is not necessary under the terms of Section 5 (2) of the Indian Telegraph Act, 1882. e. In an urgent case, this power may be delegated to an officer of the Home Department, Government of India or the Home Department of the State government, who is not below the rank of Joint Secretary. Copy of this order should be sent to the concerned Review Committee within one week of passing of the order. f. This Review Committee shall consist of the Cabinet Secretary, Law Secretary and the Secretary Telecommunications at the Central Government. At the state level, the Committee shall comprise of Chief Secretary, Law Secretary and another member (other than the Home Secretary) appointed by the State Government. The Committee shall on its own, within two months of the passing of an order under Section 5 (2) investigate whether its passing is relevant. If an order is in existence, the Committee should find out whether there has been a contravention of the provisions of Section 5 (2). If the Review Committee on investigation concludes that provisions of Section 5 (2) have been contravened, it shall direct destruction of the copies of the intercepted material. In pursuance of the Supreme Court judgement the Indian Telegraph (First Amendment) Rules, 1999 were framed and notified on 16.02.1999. A similar notification titled, the Information Technology (Procedures and Safeguards for Interception, Monitoring and Decryption of Information Rules, 2009 were notified on October 27, 2009. [see page 18] 4. Are there any other known cases of telephone tapping of politicians? Answer: In 2005, Shri Amar Singh alleged that his telephones were tapped by private individuals.  The case against them is currently pending in the Tis Hazari court in Delhi. 5. Are there any statistics about the number of telephones being tapped by the government? Answer:  Currently no such statistics are publicly available.  In a similar context, in the UK (where the Regulation of Investigatory Powers Act 2000 governs this particular subject) a Report of the Interception of Communications Commissioner states that a total of 5344 warrants were issued for interception of communication in 2008.

On September 14, 2012, the central government announced that foreign airlines would now be allowed to invest up to 49% in domestic airlines.  Under the policy announced by the government, the ceiling of 49% foreign investment includes foreign direct investment and foreign institutional investment.  Prior to investing in a domestic airline, foreign airlines would have to take approval of the Foreign Investment Promotion Board.  Additionally, the applicant will also be required to seek security clearance from the Home Ministry. In 2000, the government first permitted foreign direct investment up to 40% in the domestic airline sector.  However, no foreign airline was allowed to invest either directly or indirectly in the domestic airlines industry.  Non Resident Indians were permitted to invest up to 100%. Furthermore, the foreign investor was required to take prior approval of the government before making the investment.  Subsequently, the central government eased the foreign investment norms in this sector.  As of April 2012, foreign direct investment is permitted in all civil aviation sectors.  The Civil Aviation sector in India includes airports, scheduled and non-scheduled domestic passenger airlines, helicopter services / seaplane services, ground handling Services, maintenance and repair organizations, flying training institutes, and technical training institutions.  Foreign airlines were not permitted to invest either directly or indirectly in domestic passenger airlines.  However, they are permitted to invest in cargo companies and helicopter companies. Investment by foreign airlines in the domestic airline industry has been a long standing demand of domestic airlines.  According to the Report of the Working Group on Civil Aviation for formulation of twelfth five year plan (2012-17), India is currently the 9th largest civil aviation market in the world.  Between 2008 and 2011, passenger traffic (domestic and international) and freight traffic increased by a compounded annual growth rate of 7% and 11% respectively. The traffic growth (passenger and freight) at 18% exceeded the growth rate seen in China (9.7%) and Brazil (7.5%), and was higher than the global growth rate of 3.8%. According to the Centre for Civil Aviation, until February 2012, India had the second highest domestic air traffic growth.   However, due to the crisis faced by Air India and Kingfisher, the passenger numbers have declined in June-July 2012.  India was the only major domestic market that failed to show an expansion in demand in June 2012, as compared to the previous year.  Despite the rapid growth, the financial performance of airlines in India has been poor. According to the Report of the Working Group on Civil Aviation, the industry is expected to have a debt burden of approximately USD 20 billion in 2011-2012.  According to the same report, during the period 2007-2010 India's airlines suffered an accumulated loss of Rs 26,000 crores. According to the government, investment by foreign airlines shall bring in the much needed funds and expertise required by the domestic industry.  However, as per to some analysts, foreign investment alone cannot solve the problem.  According to them, the major cost impacting the growth of the industry is the high cost of Aviation Turbine Fuel.  As per the press release by the government on June 6, 2012,  ATF accounts for 40% of the operating cost of Indian carriers.  In comparison, fuel constitutes only 20% of the cost for international carriers. ATF in India is priced, on an average, 60% higher than international prices.  This is due to the high rate of taxation imposed on ATF by some states.  In most states, the VAT on ATF is around 25-30%.