The importance of Data Protection lies in infringing personal privacy. Even a listing of name, age, address and contact details is vulnerable to theft. It is easy to make copies and transmit the digital data. This ease is the epicenter of data protection tornado.

The telecommunication technology revolution has virtually wiped the distance dimension. It has provided new business opportunities in handling transfer of the back end business operations in some third world country for the sake of cutting the operational cost.

In the most of the developing countries, like India, there is no specific provision for data protection. The TRIPS Agreement speaks under Article 39 provision for protecting undisclosed information by the means of domestic laws. Generally by the application of contract law and a few provisions of the penal law, a tool for data protection is prepared.

The Information Technology Act, 2000 has strict penal provisions for tempering with confidential digital data, breach of privacy and confidentiality.