Bill defines bankers’ books to include digital, cloud, and offsite records

It aims to align evidence rules with modern digital banking practices by defining how certified copies of these records are created and admitted in court.

Who it concerns: The law applies to banks (including companies, corporations, post office savings banks, and money order offices), other financial sector entities if extended by the Central Government, and parties involved in legal proceedings, arbitrations, or investigations where evidence from bank records is required.

What the bill does

• Defines 'bankers’ books' to include records stored in electronic, digital, cloud, or offsite locations, not just physical ledgers.
• Establishes specific conditions for 'certified copies' of physical books, requiring a certificate stating the copy is true, made in the ordinary course of business, and books are in custody.
• Establishes specific conditions for 'certified copies' of electronic/digital records, requiring details of the computer system used and compliance with integrity safeguards.
• Mandates that certificates must be signed or digitally authenticated by an authorized bank officer (branch head, office head, etc.).
• Declares that certified copies of bankers' books are prima facie evidence of the entries and matters recorded therein.
• States that electronic or digital records cannot be denied admissibility solely because they are electronic, provided conditions in Section 7 are met.
• Lists ten specific conditions for the admissibility of electronic records, including regular use of the system, proper operation, authorized data entry, adequate safeguards against tampering, and cybersecurity measures.
• Prevents bank officers from being compelled to produce books or appear as witnesses in proceedings where the bank is not a party, unless the Court orders it for 'special cause' (e.g., doubt about accuracy or non-compliance).
• Allows Courts to order inspection of bankers' books or production of certified copies upon application by a party to a legal proceeding.
• Grants the Central Government power to extend the Act's provisions to other financial sector entities via notification.

Also in the document

• The Bill explicitly references and aligns with the Bharatiya Nagarik Suraksha Sanhita, 2023, and the Bharatiya Sakshya Adhiniyam, 2023.
• It includes provisions for cybersecurity, requiring that networks and data be secure and equipped to meet cyber risks or threats.
• The Act allows for the use of digital or electronic signatures for certifying copies, in accordance with the Information Technology Act, 2000.