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Table of Contents

Chapter 1- Introduction
11

Historical Background of Cyber Crime and Social Security

12

Definitions

13

The project: An overview

Chapter 2- Social Security and its facets


21

What is Social Security?

2.2

Social security in India

22

Factors affecting Social Security

23

Threat of Cyber Crimes on Social Security

Chapter 3- Societal impact of Cyber Crime


31

On Commerce

32

On Social Networking

33

On Women

34

On Inter-governmental relations

Chapter 5- Conclusion
51

Remedial measures

Introduction
1.1 Historical background
In the early decades of modern information technology (IT), computer crimes were largely
committed by individual disgruntled and dishonest employees. Physical damage to computer
systems was a prominent threat until the 1980s. Criminals often used authorized access to
subvert security systems as they modified data for financial gain or destroyed data for
revenge. Early attacks on telecommunications systems in the 1960s led to subversion of the
long-distance phone systems for amusement and for theft of services.[1]

As

telecommunications technology spread throughout the IT world, hobbyists with criminal


tendencies learned to penetrate systems and networks. Programmers in the 1980s began
writing malicious software, including self-replicating programs, to interfere with personal
computers. As the Internet increased access to increasing numbers of systems worldwide,
criminals used unauthorized access to poorly protected systems for vandalism, political action
and financial gain.[2] As the 1990s progressed, financial crime using penetration and
subversion of computer systems increased. The types of malware shifted during the 1990s,
taking advantage of new vulnerabilities and dying out as operating systems were
strengthened, only to succumb to new attack vectors. Illegitimate applications of e-mail grew
rapidly from the mid-1990s onward, generating torrents of unsolicited commercial and
fraudulent e-mail. In 1960-1970 Early computer crimes often involved physical damage to
computer systems and subversion of the long-distance telephone networks. In February 1969,
the largest student riot in Canada was set off when police were called in to put an end to a
student occupation of several floors of the Hall Building. The students had been protesting
against a professor accused of racism, and when the police came in, a fire broke out and
computer data and university property were destroyed. The damages totalled $2 million, and
97 people were arrested.[3] Thomas Whiteside cataloged a litany of early physical attacks on
computer systems in the 1960s and 1970s. In 1968, Olympia, WA: an IBM 1401 in the state
is shot twice by a pistol toting intruder. In 1970, University of Wisconsin: bomb kills one and
injures three people and destroys $16 million of computer data stored on site. In 1970, Fresno
State College: Molotov cocktail causes $1 million damage to computer system. In 1970, New
York University: radical students place fire-bombs on top of Atomic Energy Commission
computer in attempt to free a jailed Black Panther.[4] In 1972, Johannesburg, South Africa:
municipal computer dented by four bullets fired through a window In 1972, New York:
magnetic core in. Honeywell computer attacked by someone with a sharp instrument, causing

$589,000 of damage. In 1973, Melbourne, Australia: antiwar protesters shoot American


firms computer with double-barreled shotgun.In 1974, Charlotte, NC: Charlotte Liberty
Mutual Life Insurance Company computer shot by a frustrated operator.[5]
The incidents of physical abuse of computer systems did not stop as other forms of computer
crime increased. For example, in 2001, NewsScan editors5 summarized a report from Wired
Magazine as follows:
A survey by British PC maker Novatech, intended to take a lighthearted look at technoglitches, instead revealed the darker side of computing. One in every four computers has been
physically assaulted by its owner, according to the 4,200 respondents.6 In April 2003, the
National Information Protection Center and Department of Homeland Security reported: [6]
Nothing brings a network to a halt more easily and quickly than physical damage. Yet as data
transmission becomes the lifeblood of Corporate America, most big companies havent
performed due diligence to determine how damage-proof their data lifelines really are. Only
20% of midsize and large companies have seriously sussed out what happens to their data
connections after they go beyond the company firewall, says Peter Salus of
MatrixNetSystems, a network-optimization company based in Austin, TX.[7]

1.2 Definitions of Cyber Crime and Social Security


Social Security
The comprehensive federal program of benefits providing workers and their dependents with
retirement income, disability income, and other payments. The Social security tax is used to
pay for the program.[8]
Cyber Crime
1) Cybercrime is criminal activity done using computers and the Internet. This includes
anything from downloading illegal music files to stealing millions of dollars from online
bank accounts. Cybercrime also includes non-monetary offenses, such as creating and
distributing viruses on other computers or posting confidential business information on the
Internet.[9]
2) Cyber crime encompasses any criminal act dealing with computers and networks (called
hacking). Additionally, cyber crime also includes traditional crimes conducted through the

Internet. For example; hate crimes, telemarketing and Internet fraud, identity theft, and credit
card account thefts are considered to be cyber crimes when the illegal activities are
committed through the use of a computer and the Internet.[10]
1.3 Overview of Project:
In this project, we have discussed about social security, factors affecting social security i.e.
what are the factors which affects the social security. In this we also discuss cyber crimes and
how cyber crimes affect the social security of individuals. Then after, we discuss societal
impacts of cyber crime on commerce, on social networking, on women, on intergovernmental relations. After that a chapter has been included which includes cyber laws like
IT act, 2005. What all is given in that act and the merits and demerits of the act. Concluding it
we mention the measures that should be undertaken by government to control cyber crimes
and also the social security of individuals.
SOCIAL SECURITY AND ITS FACETS:
What is Social Security?
Social Security is both a concept as well as a system. It represents basically a system of
protection of individuals who are in need of such protection by the State as an agent of the
society. Such protection is relevant in contingencies such as retirement, resignation,
retrenchment, death, disablement which are beyond the control of the individual members of
the Society.[11] Men are born differently, they think differently and act differently. State as
an agent of the society has an important mandate to harmonise such differences through a
protective cover to the poor, the weak, the deprived and the disadvantaged.[12]
The concept of social security is now generally understood as meaning protection provided
by the society to its members through a series of public measures against the economic and
social distress that otherwise is caused by the stoppage or substantial reduction of earnings
resulting from sickness, maternity, employment injury, occupational diseases, unemployment,
invalidity, old age and death.
2.2 SOCIAL SECURITY IN INDIA;
Social Security system in a large and diverse country like India is bound to be complex.
Around 400 million persons in India are in the working age group; less than 7 percent are in
organized or in the formal sector, while 93 percent workers are unorganized.[13] This shows

that large number of population is under unorganized sector. So, in India it is very important
on the part of government to ensure the social security of citizens.
Even today 1/8thof the worlds older people live in India.
The overwhelming majority of these depend on transfers from their children. Addressing
social security concerns with particular reference to retirement income for workers within the
coverage gap has been exercising policy makers across the world. In India the coverage gap
i.e. workers who do not have access to any formal scheme for old-age income
provisioning constitute about 92% of the estimated workforce of 400 million people. Hence
the global debate and evaluation of options for closing the coverage gap is of special
significance to India. The gradual breakdown of the family system has only underscored the
urgency to evolve an appropriate policy that would help current participants in the labour
force to build up a minimum retirement income for themselves.[14]
Our constitution directs the government to ensure social
security of citizens as mentioned in Directive Principles of State Policyand are dealt under
concurrent list of subjects written in constitution, likewise :Directive Principles of State Policy
Article 41 Right to work, to education and to public assistance in certain cases
The State shall, within the limits of its economic capacity and development, make effective
provision for securing the right to work, to education and to public assistance in cases of
unemployment, old age, sickness and disablement, and in other cases of undeserved want.
Article 42 Provision for just and humane conditions of work and maternity relief
The State shall make provision for securing just and humane conditions of work and for
maternity relief,[15] and in many other articles.
The issues relating to the social securiy mentioned in concurrent list
(list iii in seventh schedule of constitution of india):Item No. 23: Social Security and insurance, employment and unemployment.
Item No. 24: Welfare of Labour including conditions of work, provident funds, employers
liability, workmens compensation, invalidity and old age pension and maternity benefits.[16]

2.2.1 Social security laws in India


1)

The Employees State Insurance Act, 1948 (ESI Act)


ESI Scheme for India is an integrated social security scheme tailored to provide

Social Production to workers and their dependents, in the organised sector, in contingencies,
such as Sickness, Maternity and Death or Disablement due to an employment injury or
Occupational hazard.[17]
2)

The Employees Provident Funds & Miscellaneous Provisions Act, 1952 (EPF &

MP Act)
The Supreme Court has stated in Andhra University v. R.P.F.C. 1985 (51) FLR 605 (SC) that
in construing the provisions of the Employees Provident Funds and
Miscellaneous Provisions Act 1952, it has to be borne in mind that it is a beneficent piece of
social welfare legislation aimed at promoting and securing the well-being of the employees
and the court will not adopt a narrow interpretation which will have the effect of defeating the
very object and purpose the Act. The preamble to the Act also states that this is an Act to
provide for the institution of:
(i) Provident Funds
(ii) Pension Fund and
(iii) Deposit Linked Insurance Fund
for employees in factories and other establishments. It is with this background that one must
interpret the various provisions of the Act and the Scheme related to it.[18]
3)

The Workmens Compensation Act, 1923 (WC Act)

4)

The Maternity Benefit Act, 1961 (M.B. Act)

5)

The Payment of Gratuity Act, 1972 (P.G. Act)

And many other acts have been come into force from last some time which helps to maintain
the social security.

2.3 Factors Affecting Social Security:


There are many factors which affect social security of in adverse manner; Likewise In the
case of developing countries, the factors affecting social security are basically socioeconomic, like poverty, unemployed youth, etc., whereas, in the case of developed countries,
social security programs are mostly affected due to the fast changing demographic factors.
These factors include increase in the average life span of people post retirement, increasing
female participation in the workforce, affordability of the government pocket, etc. Social
security was initially targeted at only the aged, the retired, and families of workers who were
either disabled or deceased. But, today, in order to cater to the emerging needs, social security
has expanded its scope to women and children as well. [19]
1. Poverty affects social security like when the poverty increases, with it because as the
poverty increase it becomes hard to those poors to survive in such an environment, so they
get away from their correct path, which leads to crimes and resulting into loss of social
security of other citizens of the country.
2. Unemployment it again affects the social security of citizens adversely because if there will
be unemployment i.e. more of the youth will not be employed and which again will get
involved in unsocial activities like crimes whi in result will effect the social security of
peoples.
3. Unequal Status of Woman- There are many other factors like Crimes, Terrorist Activities,
etc thus, it is the duty of government to put check on these factors to safeguard the social
security of its citizens. Social security was initially targeted at only the aged, the retired, and
families of workers who were either disabled or deceased. But, today, in order to cater to the
emerging needs, social security has expanded its scope to women and children as well. Social
security benefits to women have become a prominent phenomenon. With this expanding
scope of Social security, governments are finding it difficult to finance the welfare programs
in the long run. With the average life span increasing, dependents will be more and hence,
this cost will be proportional to the funding of the social security benefits provided to one
particular family. Today, the need is felt to shift towards privatization. How far this shift
would be acceptable or not is yet to be decided.[20]
2.4 Cyber Crime Affects Social Security

The internet is a second world to a lot of people, they work online, network online and share
information online. The online community is changing fast and we are starting to see what
has been happening behind the screens of the internet. There is a world of cybercrime active
online. There are many types of cyber-crimes like: Hacking, spoofing, phishing and many
others
today due to these sort of cyber crimes the social security of persons is in danger, many e
banking accounts are first hacked and the money is transferred from them illegally.
Similarly, in case of social networking sites there are many times hacking of email ids or
facebook account for defaming someone.
Thus, we can say that cyber crimes affects society in a very adverse manner.
2.5 Closing Remark
Thus, social security is very important aspect for survival of society and maintaining peace
in the society. So, government has play its role keenly and make more firm laws on things
like cyber crime, etc. so as to restrict someone from disturbing the social security.

Societal Impact of Cyber Crime


3.1 On Commerce
The complexity of modern enterprises, their reliance on technology, and the heightened
interconnectivity among organisations that is both a result and a driver of e-business these are
rapidly evolving developments that create widespread opportunities for theft, fraud, and other
forms of exploitation by offenders both outside and inside an organisation.[21]
With the growth of e-business, internal and external perpetrators can exploit traditional
vulnerabilities in seconds. They can also take advantage of new weaknessesin the software
and hardware architectures that now form the backbone of most organisations.[22] In a
networked environment, such crimes can be committed on a global basis from almost any
location in the world, and they can significantly affect an organisations overall well-being.
A central issue, in both public and private sectors, is whether we are devoting enough
resources to information security. Part of the answer must come from economic analysis.
What are the costs, both historical and potential, of security breaches? No one in the field of

commerce is satisfied with our present ability to measure the costs and probabilities of cyberattacks.[23] There are no standard methodologies for cost measurement, and study of the
frequency of attacks is hindered by the reluctance of organizations to make public their
experiences with security breaches.
Information security is the safeguarding of computer systems and the integrity,
confidentiality, and availability of the data In addition, cyber attacks, or breaches of
information security, appear to be increasing in frequency, and few are willing to ignore the
possibility that the severity of future attacks could be much greater than what has been
observed to date. Their containment has long been recognized as a critical national policy
issue. Several computer security consulting firms produce estimates of total worldwide losses
attributable to virus and worm attacks and to hostile digital acts in general. The 2003 loss
estimates by these firms range from $13 billion (worms and viruses only) to $226 billion (for
all forms of overt attacks).
The insurance industrys response to rising perceptions of cyber-risk has been twofold.
Initially, most companies excluded, and continue to exclude, cyber-attacks from standard
business insurance coverage. After this initial exclusion, several insurers then began selling
specialized cyber-risk policies. Growth of the market has been slow; lacking the empirical
data to construct actuarial tables, insurers are unable to price risk with the degree of
confidence they enjoy in traditional insurance lines.
As organisations increasingly integrate their systems with those of their vendors, suppliers,
customers, and others, the risks they face multiply. The shift toward self-service systems
within and among organisationscapabilities that offer enormous opportunities for cost
savings and other efficiencies in, for example, human resources, inventory, or billingalso
makes their host organisations increasingly vulnerable.
Apart from inherent technological weaknesses is the lack of e-crime awareness among many
organisations. Many do not realise that the same technological advancements that have
enabled business growth and innovation are also available to facilitate cyber misbehaviour. In
addition, organisations may not yet understand that protecting assets in the virtual world is a
more complex and exacting endeavour than protecting assets in the physical world.
Organisations may not perceive the extent to which they can benefit from preparedness
efforts.

Direct loss of assets is just one consequence of cyber misbehaviour. Whether the attack
comes from inside or outside the organisation, victims often suffer from negative publicity,
which can harm the organisations brand and reputation, erode relationships with customers
and other stakeholders, and eat into potential revenue.
This ever-present array of threats underscores the growing need for organisations to develop
a cyber defence program that weaves preventive measures into the fabric of e-business
operations.
Along with a strong emphasis on prevention, a cyber defence program must also focus on
detection in the form of a sound forensic incident response process. Such a process
establishes policies and procedures for departmental and individual behaviour and
encompasses plans for ongoing communication with employees and other stakeholders,
analysts, and the press.[27]
3.2

On Social Networking

With malware showing no signs of abating on social networks and continuous news of the
privacy implications of sharing personal details through social media, it's no surprise users
are making more efforts to reduce their risk of exposure[28].
Threats targeting social networks are continuously being regenerated in new versions so their
makers can evade detection and spread their malicious programs relentlessly across users'
accounts. Shouldnt a punishment be awarded, not only with the aim of reforming the culprit,
but also to make it serve as a deterrent for others? And more so when the case in question
pertains to cyber security.[29]
Recently, the Delhi high court imposed a fine of Rs.20,000 on a man for posting on a social
networking site objectionable photographs and the telephone number of a woman who had
studied along with him in the school.[30] The court imposed the fine while quashing a
criminal case registered against the man under the Information Technology Act (ITA).
While the victim and the accused in this case may have reached an out-of-court settlement to
avoid legal tangles and negative publicity, many argue that a stringent punishment should be
awarded in cyber crime cases since with widespread usage of social networking sites there is
a fear of cyber harassment, and exemplary punishments can serve as deterrents.

Harassment and stalking of women online is common, and can include rape threats and other
threats of violence, as well as the posting of women's personal information. It is blamed for
limiting victims' activities online or driving them offline entirely, thereby impeding their
participation in online life and undermining their autonomy, dignity, identity and
opportunities.
Cyber stalking of intimate partners is the online harassment of a current or former spouse,
boyfriend, girlfriend or significant other. It is a form of domestic violence, and experts say its
purpose is to control the victim in order to encourage social isolation and create dependency.
Harassers may send repeated insulting or threatening e-mails to their victims, monitor or
disrupt their victims' e-mail use, and use the victim's account to send e-mails to others posing
as the victim or to purchase good or services the victim doesn't want.[31] They may also use
the internet to research and compile personal information about the victim, to use in order to
harass her. This being a major effect of social networking websites.
3.4 On Women
Cyber crime is a global phenomenon. With the advent of technology, cyber-crime and
victimization of women are on the high and it poses as a major threat to the security of a
person as a whole. Even though India is one of the very few countries to enact IT Act 2000 to
combat cyber crimes, issues regarding women still remain untouched in this Act. The said Act
has termed certain offences as hacking, publishing of obscene materials in the net, tampering
the data as punishable offences. But the grave threat to the security of women in general is
not covered fully by this Act[32]
Types of cyber crime that are committed against women:
Amongst the various cyber crimes committed against individuals and society at large the
crimes which can be mentioned as specially targeting women are as follows:
1.

Harassment via e-mails.

2.

Cyber-stalking.

3.

Cyber pornography.

4.

Defamation.

5.

Morphing.

6.

Email spoofing.

CONCLUSION
Cybercrime is emerging as a serious threat. World wide governments, police departments and
intelligence units have started to react. Initiatives to curb cross border cyber threats are taking
shape. Indian police has initiated special cyber cells across the country and have started
educating the personnel. This project was an attempt to provide a glimpse on cyber crime in
India. This article is based on various reports from news media and news portal Cyber crime
is a term used to broadly describe criminal activity in which computers or computer networks
are a tool, a target, or a place of criminal activity and include everything from electronic
cracking to denial of service attacks. It is also used to include traditional crimes in which
computers or networks are used to enable the illicit activity.
Some points that should be taken care of are:
1.

Reliance on terrestrial laws is an untested approach.

Despite the progress being made in many countries, most countries still rely on standard
terrestrial law to prosecute cyber crimes.The majority of countries are relying on archaic
statutes that predate the birth of cyberspace and have not yet been tested in court.
2. Weak penalties limit deterrence. The weak penalties in most updated criminal statutes
provide limited deterrence for crimes that can have large-scale economic and social effects.
3. Self-protection remains the first line of defense.
The general weakness of statutes increases the importance of private sector efforts to develop
and adopt strong and efficient technical solutions and management practices for information
security.
4. A global patchwork of laws creates little certainty.

Little consensus exists among countries regarding exactly which crimes need to be legislated
against. The kinds of gaps that remain, even in the 19 countries that have already taken steps
to address cyber crimes. In the networked world, no island is an island. Unless crimes are
defined in a similar manner across jurisdictions, coordinated efforts by law enforcement
officials to combat cyber crime will be complicated.
5. A model approach is needed.
Most countries, particularly those in the developing world, are seeking a model to follow.
These countries recognize the importance of outlawing malicious computer-related acts in a
timely manner in order to promote a secure environment for e-commerce. But few have the
legal and technical resources necessary to address the complexities of adapting terrestrial
criminal statutes to cyberspace. A coordinated, public-private partnership to produce a model
approach can help eliminate the potential danger from the inadvertent creation of cyber crime
havens.
Further, we would like to give our point of views that is what we gained from this project
and what all one can get out of this project. First, the cyber crimes is a new phenonemenon in
India as it wasnt well known as a information and technology market till the enactment of the
Information and Technology Act ,2000 that brought what is called the IT revolution in India.
The government was made to enact this law because there were no laws that used to curb the
growing rate of Cybercrimes that were happening in the late 90s. the passing of this Act lead
to a proper governance over the internet and other services under the World Wide Web.
Moreover, would like to say though the Act of 2000 may have brought a revolution but the
actual revolution was brought about by the Amendment Act of 2005 and 2008. These
amendments have now made the Act stronger and the government in a stronger position in
controlling the mishaps that happen on the web. As the number of virus attacks towards India
increased the government had to come up with new laws to curb these issues as well as the
increasing hacking, phishing and spamming on the web.
From our project we have learnt that controlling the internet as in the ways of checking on
viruses, spams and worms is really a hard task to perform. Due to the increased use in the
social networking sites many accounts of the respective users are under the scanner as
advancement in technology has lead to innovative ways by which hacking is done.

The online banking has also lead to the increased cybercrimes because accounts could be
hacked and money could be transferred into another account all together. Hence, lead to many
ways by which one in present time commits Cybercrime.

BIBLIOGRAPHY:
Books & Authors

1.

Barkha & U. Rama Mohan , Cyber Law & Crimes- IT ACT 2000 and Computer

Crime Analysis, Asia Law House 2nd edn., Chap 1, pg.7


2.

Rodney D. Ryder, Guide to Cyber Laws, ISBN

3.

Nandan Kamath, Laws relating to computers internet and e- commerce

4.

Dr. R.K.Chaubey, An Introduction to Cyber Crime and Cyber Law

5.

Capt. Mithilesh K Singh,Cyber War and terrorism

Websites:
1. www.cyberlaw.com
2. www.cyberlawsindia.net
3. www.indlii.org
4. www.cyberlawassociation.com
5. www.ibef.org
6. www.answers.com
7. www.vakilno1.com

Articles:
1.Pawan Duggal, Cyberlaw India

[1] www.scribd.com/doc/61038319/Computer-Crime
[2] www.mekabay.com/overviews/history.pdf
[3] www.lib.berkeley.edu/MRC/pacificaviet.html
[4] dc439.4shared.com/doc/eyKvlqA2/preview.html
[5] Ibid
[6] www.castdiv.org/archive/winter01.pdf

[7] www.datafoundry.com/news/dont-put-all-your-data-in-one-basket/
8.[8] www.investorwords.com/4617/Social_Security.html Jay

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