What are the penalties for non-compliance with data protection laws in Bangladesh regarding phone numbers?

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Act 2023, organizations handling personal data such as phone numbers must take compliance seriously. Non-compliance with data protection laws can lead to significant penalties, impacting businesses both financially and reputationally.

This overview explains the penalties relevant to non-compliance, focusing on phone number data, which is considered personal and sensitive under Bangladeshi law.

1. Legal Context
The Data Protection Act 2023 is the primary legislation regulating the collection, storage, and processing of personal data in Bangladesh. It sets out principles for lawful data processing, data subject rights, and obligations on data controllers and processors. Phone numbers are classified as personal data, and their improper handling triggers liability under the Act.

In addition to the Data Protection Act, provisions from the Digital Security Act 2018 and the Information and Communication Technology Act 2006 (amended 2013) can also apply, especially where data misuse causes harm or breaches national security or privacy.

2. Types of Non-Compliance
Non-compliance includes but is not limited to:

Collecting or processing phone numbers without valid consent or lawful basis.

Failing to implement appropriate security measures to protect phone number data.

Unauthorized disclosure or data breaches buy telemarketing data involving phone numbers.

Retaining phone number data longer than permitted by law.

Not responding to data subject requests (e.g., access or deletion requests).

Failing to notify authorities or affected individuals about a data breach within stipulated timelines.

3. Financial Penalties
The Data Protection Act 2023 prescribes significant fines for violations:

Fines for Minor Infractions: For lesser violations such as failure to maintain proper records or insufficient consent procedures, fines may range from BDT 50,000 to BDT 5,00,000 (approximately USD 500 to USD 5,000).

Severe Penalties for Data Breaches or Gross Negligence: If a breach leads to serious harm or if there is gross negligence in protecting phone numbers, fines can escalate up to BDT 10,00,000 or more (approximately USD 10,000+), depending on the gravity and scale of the offense.

Repeat Offenders: Repeat violations often attract higher penalties and increased regulatory scrutiny.