This document provides an introduction to key Sri Lankan laws relating to electronic commerce and computer crimes. It summarizes several Acts that were established to address legal issues arising from increased IT use, including the Evidence (Special Provisions) Act, Electronic Transactions Act, Computer Crimes Act, Payment Devices Frauds Act, and Intellectual Property Act. These Acts aim to facilitate electronic transactions, define new computer-based offenses, and regulate areas like digital signatures, software protection, and credit card fraud. The document urges further reading on this topic from experts and sources like specific Acts to gain deeper understanding beyond this introductory overview.

1. Introduction to law relating to
Electronic Commerce and Computer
based crimes for Marketing Students
in Sri Lanka
By Maxwell Ranasinghe

2. • The invention of computer and Information
technology related software and equipment
has revolutionized the way we do things in
many fields
• Especially in the science, education, business
and commerce it has made far reaching
changes.
• Without using a single sheet of paper, a lot of
communications and transactions are done.

3. • Automation of businesses, financial institutions
and the government records have become
widespread.
• Many transactions such as sale of goods, transfer
of information, transfer of funds and even buying
air tickets could be done through the use of
computers.
• The existing laws that governs transactions and
information did not address such issues as they
were made before the IT era.

4. • Therefore many countries including Sri Lanka
had to formulate new laws to address issues
that would rise as a result of the use of IT in
business and society.
• UNCITRAL* model laws have been taken as a
guide lines in formulating IT related laws in
many countries including Sri Lanka
• (*United nations Commission on International
Trade Law)

5. • There are more than a dozen new Acts relating to
ICT and related matters but following could be
considered as very important
• Evidence ( Special Provisions) Act No 14 of 1995
• Electronic Transactions Act No 19 of 2009
• Computer Crimes Act No 24 of 2007
• Payment Devices Frauds Act No 30 of 2006
• Intellectual Property Act No 36 of 2003

6. Evidence (Special Provisions) Act No 14
of 1995
• It was decided in Benwell Vs. Republic of Sri
Lanka ( 1978-79) SLR Vol 2 p 194 that under law
of Sri Lanka that computer evidence is not
admissible under sec 34 of Evidence Ordinance.
• Until Evidence (Special Provisions) Act No 14 of
1995 the status did not change. Under sec 3 of
the Act computer evidence are acceptable.
• Sec 6-9 of the Act provides the procedure to
produce computer evidence.

7. • Act also defines computer “ any device the
functions of which includes the storing and
processing of information”
• Sec 5 (1) further says that “ In any proceeding
where direct oral evidence of a fact would be
admissible any information contained in any
statement produced by a computer shall be
admissible as evidence…..

8. Computer Crimes Act No 24 of 2007
• Our penal code is older than 125 years. By then the
computers were not dreamt of and therefore covering
something called computer based crimes was not an
issue. As a result the provisions therein could not
interpret elements of a computer based crimes as they
were unique to the conventionally described crimes.
• E.g. On cases of theft it has to be proved that there was
a removal of movable tangible property. Therefore,
student removing the examination paper before the
exam and photocopying and keeping the exam paper
on the same place later was not considered to have
committed theft ( Oxford Vs. Moss 1968 – 68 Crm Appl
Reports 183)

9. • Further in a case in Sri Lanka Nagaiah Vs.
Jayasekera ( 28 NLR 467) the accused was
charged with theft of electricity and was
aquitted for the reason that it did not come
under the interpretation of theft under Sec
366 of Penal code as electricity was not a
tangible product. As a result Electricity Act has
to be brought into deal with such matters.

10. • Even to prove criminal tresspass under penal
code ( sec 427) one has to prove physical entry.
• The computer term “ access” which is used to
denote entry will not really come under “physical
entry”
• Therefore, new interpretations to words, new
offences have to be covered by new law,( rather
than amending the Penal Code) hence Computer
Crime Act No 24 of 2007 is enacted.

11. • Part I of the Act deals with offences relating to
cyber crimes
– Unathorised access, Computer hacking,
unauthorised modifications, using computers to
commit crimes against national security, national
economy, public order, offences as to obtaining
information unlawfully, illegal interception of data,
using illegal devices etc, unauthorised disclosure
of information, conspiracy to commit computer
related offences etc are described in the Act.

12. Electronic Transactions Act No 19 of
2006
• Main intention of the Act is to facilitate domestic and
international electronic commerce by eliminating legal
barriers and establishing legal certainty.
• To encourage use of reliable forms of electronic
commerce
• To facilitate electronic documents with government
and to promote efficient delivery of government
services
• To promote public confidence in authenticity and
reliability of data messages and electronic
communications

13. • It also provides legal background and modalities
to engage in electronic forms of contracting,
including the recognition of an offer and
acceptance in electronic form.
• Under the Act an email is deemed have been
dispatched when it enters an designated
information system outside of ones control. It is
deemed to have received by the other when it
enters his designated system ( postal rule applies)

14. • However, one may stipulate a condition that
the acceptance will happen only when he
acknowledges the receipt of the email.
• It also talks about Electronic Signatures in
digital formats. Digital Encrypted signatures to
verify the authenticity.

15. • However, Last wills, Contract of sale or
conveyances of immovable property or any
interest in such property, Power of Attorney
are expressly excluded from Electronic
transactions.
• There are so many other provisions as to
operation and facilitation it is not in our
syllabus to deal them in detail

16. Intellectual Property Act No 36 of 2003
• The law relating to copy rights, patent rights
and trade marks are described in the above
ACT.
• The computer software, technologies etc are
also covered under the above Act.(IPA)
• Within the scope of literary, sceintific and
artistic works computer programs are also
covered under sec 6(1) of the IPA
• ( we have dealt about this in another lesson)

17. Payment Devices Frauds Act No 30 of
2006
• This Act is mainly deal with the legal background to create a safer
environment to pay through credit cards/ debit cards and other
devices of electronic payments
• It has provisions to make certain activities iillegal and punishable
under law
• eg. Unlawful possesion of equipemnt that could fabricate or
change or alter credit cards/debit cards or any other device
• Implanting foreign objects or recording devices into swiping
machines of credit cards to capture data and information etc.
• Making multiple entries on transactions or bogus or fraudualnt
entreis by merchants and many other offences are described in the
act.
• Further it also provide provisions to penalise credit Card holders
who make transactions who tries to make a farud on the issuing
banks and other financial institutions.

18. • This is only an introductory lecture to makemarketing students
aware that Sri Lanka has changed their laws to suit the modern
day transactions.
• However, this is only an introduction and you are required to read
an learn from the articles in the internet and books published on
the subject
• Read – Dr. Wickrema Weerasooriya – Commercial Law-
• Mr. Kalinga Indatissa- Law relating to Computer Crimes.
• Books and articles written by Mr. Sunil Abeyratne and Mr.
Jayantha Fernando.
• I must confess that I have obtained information from their books
articles and Acts of Sri Lanka to prepare this short presentation
for SLIM students and not for any legal practitioners or law