Cyber Security Bill Sri Lanka 13-07-2023 (Draft)

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LD-O 14/2019

AN ACT TO PROVIDE FOR THE ESTABLISHMENT OF THE CYBER SECURITY


REGULATORY AUTHORITY OF SRI LANKA WHICH IS THE APEX INSTITUTION
RESPONSIBLE FOR ALL MATTERS RELATING TO CIVILIAN ASPECTS OF CYBER
SECURITY; TO PROVIDE FOR THE IMPLEMENTATION OF NATIONAL
INFORMATION AND CYBER SECURITY STRATEGIES AND POLICIES; TO
PROVIDE FOR THE PROTECTION OF CRITICAL NATIONAL INFORMATION
INFRASTRUCTURE IN ORDER TO ADDRESS THE CYBER SECURITY THREATS
CHALLENGING SRI LANKA, AND TO PROVIDE FOR MATTERS CONNECTED
THEREWITH OR INCIDENTAL THERETO

Be it enacted by the Parliament of the Democratic Socialist Republic of Sri


Lanka as follows: -

Short title and 1. (1) This Act may be cited as the Cyber Security Act, No. of 2023.
date of
operation
(2) The provisions of Part VII of this Act shall come into operation on
such date as the Minister may appoint by Order published in the Gazette.

(3) The provisions except the provisions of Part VII of this Act shall
come into operation on the date on which the Bill becomes an Act of
Parliament.

PART 1

OBJECTS OF THE ACT

Objects of the 2. The Objects of the Act shall be -


Act
(a) to establish the Cyber Security Regulatory Authority of Sri
Lanka as the apex institution responsible for all matters
relating to civilian aspects of cyber security;
(b) to ensure the effective implementation of the national
information and cyber security strategies, and cyber security
policies as approved by the Cabinet of Ministers;

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(c) to prevent, detect, mitigate and respond to cyber security
threats and incidents effectively and efficiently;
(d) to provide for creation of a safe and secure cyber security
environment; and
(e) to ensure effective coordination and collaboration with the
Defence Cyber Command of Sri Lanka established under the
Defence Cyber Command Act, No. of 2023 (hereinafter
referred to as the “Command”) to deal with matters on
cyber security in relation to the national security.

Establishment 3. (1) (a) There shall be established an authority which shall be


of the Cyber
Security
called the Cyber Security Regulatory Authority of Sri Lanka (hereinafter
Regulatory referred to as ‘‘the Authority’’) for the purposes of this Act.
Authority of Sri
Lanka
(b) The Authority shall be the apex executive body for the
implementation of all matters relating to civilian aspects of cyber security
in Sri Lanka.

(2) The Authority shall, by the name assigned to it by subsection (1),


be a body corporate having perpetual succession and a common seal and
may sue and be sued in its corporate name.

Powers, duties 4. (1) The powers, duties and functions of the Authority shall be
and functions
of the
to-
Authority (a) function as the national point of contact for civilian
cyber security and to ensure national cyber security
readiness;

(b) conduct security assessments for the national defence


infrastructure where required by the Defence Cyber
Command established under the Defence Cyber
Command Act, No. of 2023.

(c) formulate and implement national cyber security


strategies, policies, standards, guidelines, action plans
and projects in government and in other relevant
sectors, and provide necessary advice, instructions
and guidance to create a resilient and trusted national
cyber security ecosystem to realize the benefits of
digital technologies and to facilitate its growth;

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(d) assess the progress of implementation of national
cyber security strategies, policies, standards,
guidelines, action plans and projects by government
institutions, and in other relevant sectors and make
recommendations to improve cyber security
resilience;

(e) perform the cyber incident response functions which


were assigned to Sri Lanka Computer Emergency
Readiness Team, prior to coming into operation of this
Act;

(f) identify and designate, Critical National Information


Infrastructure in terms of section 19, both in
government and other relevant sectors, and obtain
information from such Critical National Information
Infrastructure on incidents relating to the civilian
aspects of cyber security;

(g) establish or designate institutions, units, sectoral


Computer Incidents Readiness Teams (hereinafter
referred to as the “sectoral CERTs”) and Computer
Security Incident Response Teams (hereinafter
referred to as the “CSIRTs”) or any other entity to
assist the Authority in the performance and discharge
of the duties and functions of the Authority, in
consultation with the relevant Ministries;

(h) protect Critical National Information Infrastructure and


other computer systems of Sri Lanka by leading and
coordinating at national level by preventing and
responding to cyber threats and incidents in respect
of matters relating to civilian aspects of cyber security;

(i) issue cyber security standards, guidelines and other


instructions to improve and ensure the cyber resiliency
of Critical National Information Infrastructure,
government institutions, and other stakeholders, in
consultation with relevant Regulatory Authorities
where applicable;

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(j) monitor the designated CNIIs owned by government
and other relevant sectors through the National Cyber
Security Operation Centre in order to detect,
investigate and respond to potential cyber threats and
incidents in respect of matters relating to the civilian
aspects of cyber security;

(k) obtain information from law enforcement authorities,


the Cyber Security Command, Internet Service
Providers, Lanka Domain Registry, other relevant
sectoral Computer Incidents Readiness Teams,
Computer Security Incident Response Teams, and any
other Cyber Security Service Provider on cyber threat
indicator, defensive measures, cyber security risks,
incidents and analysis, in relation to cyber security
threats and incidents relating to the civilian aspects of
cyber security;

(l) in keeping with best practices, issue instructions to


Internet Service Providers in removal of harmful
computer programs such as malicious bots or any other
type of malware from client computers of the
subscribers of Internet Service Providers, and
monitoring remediation measures implemented by
Internet Service Providers to prevent cyber security
threats and incidents created by such activities;

(m) request reports from Critical National Information


Infrastructures, government institutions, and other
relevant sectors on information relating to the
compliance with the cyber security strategies,
policies, standards, guidelines or with any other
instructions issued by the Authority;

(n) conduct cyber security assessments and audits on


Critical National Information Infrastructures,
government and other relevant institutions;

(o) collaborate with international agencies, authorities and


foreign states in order to obtain training on cyber

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security and related matters for relevant officers and
authorities in Sri Lanka;

(p) conduct and manage cyber security services for


government institutions and other relevant sectors on
request, and where necessary, impose charges and
levies as shall be prescribed by regulations for any
service rendered by the Authority;

(q) with the approval of the Cabinet of Ministers, enter into


agreements with or engage in any activity, either alone
or in conjunction with local or international
organizations for the purposes of this Act;

(r) with the approval of the Cabinet of Ministers, represent


Sri Lanka internationally in matters relating to cyber
security in accordance with the government
procedures;

(s) facilitate the domestic implementation of international


legal obligations to which Sri Lanka is a party, in order to
ensure the effective implementation of cyber security
strategies and cyber security policies;

(t) assist public and private organizations in developing


curricula in relation to cyber security, gathering and
disseminating knowledge on cyber security, providing
training and education in relation to cyber security, and
take necessary actions to ensure the availability of
competent and highly skilled professionals in cyber
security domain;

(u) promote the awareness among citizens and in relevant


sectors regarding the risks in cyber space, and to
engage in capacity building to protect the identity,
privacy, and economic assets in cyber space;

(v) accredit individuals and firms which provide cyber


security services;

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(w) coordinate the conduct of sectoral cyber security drills,
from time to time, to improve overall cyber security
readiness;

(x) operate the Certification Authority designated under


the Electronic Transactions Act, No.19 of 2006 and
facilitate the implementation and promotional
activities of the Electronic Transactions Act, No.19 of
2006 in consultation with the Minister of the Ministry
to whom the implementation of the provisions of the
said Act is assigned;

(y) acquire by way of purchase or otherwise, any movable


or immovable property and hold, take or give on lease
or hire, mortgage, pledge and sell or otherwise dispose
of such property as may be determined by the
Authority for the purpose of this Act;

(z) open and maintain bank accounts with any bank as may
be determined by the Authority;

(aa) charge fees for performing powers and functions of


the Authority, receive grants or contributions from
any legal source and to raise funds by all lawful means
and apply such funds in the exercise, performance and
discharge of the power, duties and functions of the
Authority:

Provided however, the Authority shall


obtain prior written approval of the Ministry of
Finance in respect of all foreign grants, gifts or
donations;

(ab) make rules and issue directives in respect of the


matters for which rules and directives are required to
be issued under the provisions of this Act;

(ac) issue directions to the Director General appointed


under section 14 in respect of administration and
control of the affairs of the Authority; and

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(ad) do all such other acts which are not inconsistent with
the provisions of this Act or any other written law as
may be expedient for the accomplishment of the
objects of the Authority

(2) The Authority shall, for the purpose of giving effect to the
provisions of this Act, designate, in consultation with the owner of any
Critical National Information Infrastructure, an officer of such Critical
National Information Infrastructure as an Information Security Officer in
accordance with such criteria as shall be prescribed.

(3) Every Information Security Officer designated under subsection


(2) shall ensure the compliance with the rules and directives issued by the
Authority, from time to time, in respect of matters relating to the civilian
aspects of cyber security.

Powers, duties 6. (1) The powers, duties and functions of Authority shall be
and functions
of the
exercised, discharged and performed by a Board of Directors (hereinafter
Authority to be referred to as the “Board”) consisting of –
exercised,
discharged and
performed by a (a) the following ex-officio members, namely: -
Board of
Directors (i) the Secretary to the Ministry of the Minister to whom
the subject of information and cyber security is
assigned or an Additional Secretary of such Ministry
nominated by the Secretary of such Ministry;

(ii) the Secretary to the Treasury;

(iii) the Director General of the Defence Cyber


Command, established under the Defence Cyber
Command Act, No. of 2023;

(iv) the Director General of Telecommunication


Regulatory Commission, established under section
22B of the Sri Lanka Telecommunications Act,
No25 of 1991;

(v) Chairperson of Information and Communication


Technology Agency of Sri Lanka registered under
the Companies Act, No.7 of 2007; and

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(b) four persons appointed by the President, (hereinafter
referred to as the “appointed members”) each of whom
shall have over fifteen years of experience and
demonstrated professional excellence in the fields of
cyber security, information and communication
technology, public or corporate sector administration,
management, law or finance.

Chairperson of 7. (1) (a) The President shall appoint from among the appointed
the Board
members, a member of the Board who has demonstrated effective
leadership qualities in public or private sector entities to be the Chairperson
of the Board.

(b) The Chairperson shall hold office for the period of his
membership of the Board.

(2) The President may for reasons assigned therefor, remove the
Chairperson from the office of Chairperson.

(3) The Chairperson may resign from his office by letter addressed
to the President and such resignation shall be effective from the date on
which it is accepted by the President.

(4) Where the Chairperson is temporarily unable to exercise, perform


and discharge the powers, duties and functions of his office due to ill health,
other infirmity, absence from Sri Lanka or any other cause, the President
may appoint any other appointed member to exercise, perform and
discharge the powers, duties and functions of the Chairperson in addition
to his normal duties as a member of the Board.

Term of office 8. (1) Every appointed member shall, unless he vacates office earlier,
of the
appointed
by death, resignation or removal, hold office for a period of three years
members from the date of his appointment.

(2) Any appointed member of the Board who vacates office shall,
unless he has been removed from office under subsection (4), be eligible
for re-appointment for not more than one further term of office, whether
consecutive or otherwise.

(3) Any appointed member of the Commission may at any time,


resign his office by letter in that behalf addressed to the Minister and such

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resignation shall take effect from the date on which the resignation is
accepted in writing by the Minister.

(4) The President may, for reasons assigned therefor remove any
appointed member from office and who has been so removed from office
shall not be eligible for re-appointment as a member of the Board or to
serve the Board in any other capacity.

(5) In the event of the vacation of office by death, resignation or


removal of any appointed member, the President shall, subject to
paragraph (b) of subsection (1) of section 6, appoint another person to fill
such vacancy and such person shall hold office for the un-expired period
of the term of office of the member whom he succeeds.

(6) Where any appointed member of the Board is temporarily


unable to perform the duties of his office on account of ill health or any
other cause or if he is absent from Sri Lanka for a period of not less than
six months, the Minister shall, having regard to the provisions of paragraph
(b) of subsection (1) of section 6, appoint any other person to act in place
of such member during his absence.

(7) Where any appointed member of the Board fails to attend three
consecutive meetings of the Board without obtaining prior approval from
the Chairperson for absence, such member shall be deemed to have
vacated his office at the conclusion of the third meeting and the Minister
shall appoint another person to fill such vacancy in the manner provided
for in subsection (5).

Disqualification 9. (1) Any person shall be disqualified from being appointed or


to become a
member of the continue to be a member of the Board, if such person –
Board

(a) is or becomes a Member of Parliament, Member of


Provincial Council or a Member of Local Authority;

(b) is or becomes directly or indirectly, by himself or by any


other person on his behalf, holds or enjoys any right or
benefit under any contract made by or on behalf of the
Authority, unless it has been declared by such person as
specified in section 10;

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(c) is under any law in force in Sri Lanka found or declared to
be of unsound mind;

(d) is a person who has been declared an insolvent or


bankrupt under any written law in Sri Lanka or in any
other country, is discharged insolvent or bankrupt; or

(e) has been convicted of any criminal offence by any court


in Sri Lanka or in any other country.

Members to 10. (1) A member who is directly or indirectly interested in any


disclose
interest
matter dealt with by the Board or any decision that is to be taken by the
Board on any such matter shall disclose the nature of such interest at the
meeting of the Board where such decision is being taken.

(2) Such disclosure shall be recorded in the minutes of such


meeting and such member shall not take part in any deliberation or
decision of the Board with regard to that matter, and shall not participate
in such meeting while such deliberations is in progress or such decision is
being made.

Meetings of 11. (1) The Director-General of the Board appointed under section
the Board
15 shall summon all the meetings of the Board.

(2) The Chairperson shall preside at every meeting of the Board and
in the absence of the Chairperson from any meeting of the Board, any
appointed member elected by the members present shall preside at such
meeting.

(3) The quorum for any meeting of the Board shall be five members
including the Chairperson if he is present at such meeting.

(4) A meeting of the Board may be held either –

(a) by the number of members who constitute a quorum being


assembled at the place, date and time appointed for such
meeting; or

(b) by means of audio-visual communication by which all


members participating and constituting a quorum can
simultaneously see and hear each participating member
for the duration of the meeting.

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(5) All questions for decision at any meeting of the Board shall be
decided by vote of the majority of members present and voting at such
meeting. In the case of an equality of votes, the Chairperson or the
member presiding in the absence of the Chairperson shall, in addition to
his vote, have a casting vote.

(6) The meetings of the Board shall be conducted in conformity


with the rules made and procedure established by the Board in that behalf,
from time to time.

Remuneration 12. The members of the Authority other than ex-officio members,
of members
may be remunerated in such manner in consultation with the Minister
assigned the subject of Finance and shall carry out their functions subject
to such terms and conditions as may from time to time be determined by
the President.

Seal of the 13. (1) The seal of the Authority -


Authority

(a) shall be in the custody of a member of the Board as may


be determined by the Board, from time to time;

(b) may be altered in such manner as may be determined by


the Board; and

(c) shall not be affixed to any instrument or document except


with the sanction of the Board and in the presence of two
members of the Board who shall sign the instrument or
document in token of their presence and such signing
shall be independent of the signing of any person as a
witness.

(2) The Board shall maintain a register of the instruments and


documents to which the seal of the Authority has been affixed.

Act, decision 14. Any act, decision or proceeding of the Board shall not be invalid
or proceeding
of the Board
by reason only of the existence of any vacancy in the Board or any defect
not to be in the appointment of a member of the Board.
invalid

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PART II

APPOINTMENT OF THE DIRECTOR-GENERAL AND THE STAFF OF THE


AUTHORITY

Director- 15. (1) The Board shall appoint a Director General of the Authority
General of the
Authority
who have achieved eminence, integrity and has proven professional
expertise in providing leadership to public sector or private sector, and
who shall not be a member of any political party.

(2) The Director-General shall be the chief executive officer of the


Authority and the conditions of employment including remuneration of
the Director-General shall be determined by the Board in accordance with
the rules made by the Authority.

(3) The Board shall not appoint any person as the Director General
of the Authority, if such person –

(a) has been previously found guilty of serious misconduct by a


court or tribunal or has been subject to a disciplinary action
by a regulatory body;

(b) has been previously dismissed from office; or

(c) has committed a breach of the provisions of this Act, or


regulations, rules or directives made thereunder.

(4) The Director General shall, subject to the general directions and
control of the Board –

(a) be charged with the administration and control of the affairs


and transactions of the Authority including the
administration and control of the staff;

(b) be responsible for the execution of all decisions of the


Board;

(c) exercise such powers, duties and functions of the Authority


under this Act as may be assigned to him by the Board.

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(5) The Director General shall hold office for a period of three years
from the date of appointment and shall be eligible for reappointment.

(6) Whenever the office of the Director General becomes vacant


upon the death, removal from office or resignation by letter in that behalf
addressed to the Board, the Board may, having regard to the provisions
of subsection (1) appoint any other senior officer of the staff of the
Authority to perform the functions of the Director General until another
person is appointed to fill such vacancy.

(7) The Director General shall attend the meetings of the Board but
shall not have the right to vote at any such meeting.

(8) The Director General may be removed from office by the Board
with the approval of the Minster in the event that -

(a) there is a likelihood of any conflict of interests in carrying


out by the Director-General, the duties and functions
assigned to him under this Act;

(b) the Director-General becomes permanently incapacitated


and incapable of performing his duties;

(c) the Director-General has done any act which is of a


fraudulent or illegal character or is prejudicial to the
interest of the Authority; or

(d) the Director-General has failed to comply with any rule


made under this Act or directives issued by the Authority.

(9) The Director General may with the approval of the Board,
delegate to an officer of the staff of the Authority, in writing any power or
function assigned to him by this Act and such officer shall exercise and
discharge such power or function subject to the direction and control of
the Director General.

Officers and 16. (1) Notwithstanding anything to the contrary in any other
employees of
the Authority
written law, the Authority may create cadre positions and employ officers
and employees as it considers necessary for the efficient discharge of its
functions and may fix their salaries and wages or other remuneration,

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benefits and pensions of such officers and employees for the purposes of
carrying out its duties and functions under the provisions of this Act.

(2) The Authority shall promote and sponsor the training of


technical personnel on the subjects of information technology and cyber
security, privacy and personal data protection, analytics, information
technology, law and other related subjects and for this purpose, the
Authority shall be authorised to defray the costs of study, in Sri Lanka or
abroad of the officers and employees of the Authority who are of proven
merit as determined by the Authority.

(3) The officers and employees of the Authority shall be subject to


the provisions of a code of conduct which shall be applicable to them,
prepared and revised, from time to time, by the Authority in accordance
with the rules of the Authority.

(4) The Authority shall not appoint any person to the staff of the
Authority where such person–

(a) has been previously found guilty of serious misconduct by


a court or tribunal or has been subject to a disciplinary
action by a regulatory body;

(b) has been previously dismissed from office; or

(c) has acted in contravention of the provisions of this Act or


any regulation or rule made thereunder or any directives
issues thereunder.

Appointment 17. (1) At the request of the Authority any officer in the public
of public
officers to the
service may, with the consent of the officer and the Public Service
staff of the Commission established by the Constitution be temporarily appointed to
Authority the Authority for such period as may be determined by the Authority or
with like consent, be permanently appointed to such staff.

(2) Where any officer in the public service is temporarily appointed


to the staff of the Authority, the provisions of subsection (2) of section 14
of the National Transport Commission Act, No. 37 of 1991, shall mutatis
mutandis, apply to and in relation to such officer.

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(3) Where any officer in the public service is permanently
appointed to the staff of the Authority, the provisions of subsection (3) of
section 14 of the National Transport Commission Act, No. 37 of 1991, shall
mutatis mutandis, apply to and in relation to such officer.

(4) Where the Authority employs any person who has agreed to
serve the Government for a specified period, any period of service to the
Authority by that person shall be regarded as service to the Government
for the purpose of discharging the obligations of such agreement.

(5) The Authority may with the consent of such officer or employee
propose secondment of its officers or employees to other state institutions
or regulatory authorities in Sri Lanka or abroad for a period determined by
the Board on an assignment agreed upon between such institution and
the Authority. The period of secondment shall be deemed to be
considered as service to the Authority.

Winding up of 18. (1) The Sri Lanka Computer Emergency Readiness Team Private
the CERT
Private (Ltd)
(Ltd) (in this Act referred to as the “CERT Private (Ltd)”) which is
incorporated as a company under Companies Act, No.07 of 2007, shall be
wound up with effect from the date on which the Bill becomes an Act of
Parliament.

(2) Upon winding up the CERT Private (Ltd) –

(a) it shall become part of the Authority primarily focusing


on Incidents Response and shall be renamed as Sri Lanka
Computer Emergency Response Team.

(b) all property movable and immovable belonging to the


CERT Private (Ltd), together with all its assets and
liabilities shall with effect from the date of the coming
into operation of this Act, be transferred to the
Authority; and

(b) the powers and functions exercised by the CERT Private


(Ltd) immediately before the date on which the Bill
becomes an Act of Parliament shall continue to be
exercised by the Authority.

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(3) The provisions relating to winding up of Companies specified
in the Companies Act, No.07 of 2007 shall mutatis mutandis apply in
respect of the winding up of the CERT Private (Ltd), under this section.

Officers and 19. (1) Notwithstanding the winding up of the CERT Private (Ltd)
employees of
the staff of the
in terms of section 17, the officers and employees of the CERT Private (Ltd)
CERT Private who on the day immediately preceding the date on which the Bill becomes
(Ltd) an Act of Parliament be offered employment in the Authority on such
terms and conditions as may be agreed upon the Authority and such
officers and employees.

(2) When an officer or employee referred to in subsection (1), who


wishes to opt out of serving in the Authority, may do so within three
months from the date on which such officer or employee was notified of
the option by the Authority.

(3) All officers and employees who are offered employment in the
Authority and who have expressed the desire to accept employment in
the Authority shall become employees of the staff of the Authority with
effect from the date of acceptance of employment.

(4) The officers and employees who have become employees of


the Authority shall be employed on terms not less favourable than their
terms of employment in the CERT Private (Ltd), and the period of service
rendered by them to the CERT Private (Ltd) shall be regarded as a service
rendered to the Authority.

(5) Where any officer or employee of the CERT Private (Ltd)


expresses his desire not to accept employment in the Authority shall be
deemed to have retired from service form the date on which such officer
or employee was notified of the option by the Authority, and shall be
eligible for the retirement benefits that such officer or employee would
have been entitled to, if he retired from service in the CERT Private (Ltd)
after reaching his age of retirement.

PART III
CRITICAL NATIONAL INFORMATION INFRASTRUCTURE

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Designation of 20. (1) The Authority shall, in consultation with relevant
a computer
system &c. as
authorities, identify any computer, computer program, computer system
Critical or any related device located wholly or partly in Sri Lanka, as a Critical
National National Information Infrastructure.
Information
Infrastructure
(2) The Authority shall, when any computer, computer program,
computer system or any related device is identified as a Critical National
Information Infrastructure, inform such fact to the owner computer,
computer program, computer system or any related device and the
relevant regulatory authority which regulates or supervises such Critical
National Information Infrastructure of such owner.

(3) The Authority may if it considers appropriate, obtain the views


of the owner of such Critical National Information Infrastructure relating
to such a Critical National Information Infrastructure and publish such
Critical National Information Infrastructure in the Gazette.

Responsibility 21. (1) Upon the identification of a Critical National Information


of an owner of
a CNII
Infrastructure, the owner of such Critical National Information
Infrastructure shall -

(a) (i) be responsible for ensuring cyber security of such


Critical National Information Infrastructure, in
conformity with the prescribed requirements;

(ii) if such Critical National Information Infrastructure


spreads across multiple institutions or multiple
sectors, every owner of such institution or sector
shall become jointly and severally responsible for the
protection of such Critical National Information
Infrastructure;

(b) be responsible –

(i) for developing and implementing a protection plan


for securing such Critical National Information
Infrastructure against cyber security threats or cyber
security incidents;

(ii) for assisting the Authority or any other institution,


unit or entity established or designated by the

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Authority to perform the duties and functions of the
Authority under this Act;

(iii) for adopting policies, standards, and guidelines as


may be prescribed for securing such Critical National
Information Infrastructure;

(c) conduct security risk assessments, audits and


vulnerability assessments of such Critical National
Information Infrastructure, in compliance with the
procedures and timelines specified by rules made by
the Authority;

(d) as part of a security review, furnish information on the


design, security configurations and other technical
details or information relating to the operations of such
Critical National Information Infrastructure or any other
computer, computer program, computer system or
related device under the control of such owner, to the
Authority in the form, manner and within the period of
time specified in accordance with the rules made by the
Authority;

(e) furnish any other information which may be required to


ascertain the cyber security readiness by Critical
National Information Infrastructure, and the level of
compliance of Critical National Information
Infrastructure according to the policies, standards and
guidelines issued by the Authority in the form, manner
and within the period of time as specified by rules made
by the Authority; and

(f) notify the Authority of the occurrence of any cyber


security incident in respect of such designated Critical
National Information Infrastructure or any other
computer, computer program, computer system or
related device under the control of the owner, in the
form, manner and within a period of time as specified
by rules made by the Authority.

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(2) the Authority shall maintain the confidentiality of the
information supplied by the owner of Critical National Information
Infrastructure.

PART IV

ADVISORY COMMITTEE ON CYBER SECURITY

Advisory 22. (1) There shall be a committee called the Advisory Committee
Committee on
Cyber Security
on Cyber Security (hereinafter referred to as the “Advisory Committee”).

(2) The function of the Advisory Committee is to review evolving


cyber security risks and associated technology and make
recommendations to the Board.

(3) (a) The Advisory Committee shall consist of five members


including the Chairperson, having eminence and proven professional
expertise in the fields of cyber security, information and communication
technology, and law, one of whom shall be a person representing the
public sector.

(b) The Minister shall appoint one of the members of the Advisory
Committee as the Chairperson.

(4) The Director General of the Authority shall be the secretary to


the Advisory Committee.

(5) Without prejudice to the generality of the provisions of


subsection (2), in the exercise, performance and discharge of its powers,
functions and duties, the Advisory Committee shall consider the following
matters referred to it by the Authority:-

(a) evolving cyber security risks and associated technologies;

(b) criteria in respect of accreditation of cyber security service


providers;
(c) criteria in respect of classifying Critical National Information
Infrastructure; and

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(d) legal matters on cyber security and cybercrime;

(e) any other technical matters as may be requested by the


Authority to be considered.

(6) The Advisory Committee shall, within the period specified in the
referral referred to in subsection (4), make recommendations to the
Authority on any matter referred to it by the Authority.

PART V
ACCREDITATION OF CYBER SECURITY SERVICE PROVIDERS

Cyber security 23. (1) Any person or body of persons shall not engage in the
service
providers
business of providing the following cyber security services unless such
person or body of persons has been accredited by the Authority:-

(a) to operate sectoral CERTs and CSIRTs;

(b) to conduct vulnerability assessments and penetration


tests;

(c) to conduct cyber security audits and risk assessments;

(d) to monitor the cyber security through operating Cyber


Security Operation Centre;

(e) to conduct cyber security forensic investigations;

(f) to provide cyber security advisory and consultative services;

(g) to design, develop, implement, install, and troubleshooting


cyber security solutions;

(h) Importing, distributing, installing and maintaining cyber


security solutions that safeguard computer, computer
programs, computer systems, relevant devices from cyber
threats and incidents; and

(i) Managing the cyber security of client organizations.

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(2) Any person or body of persons who engages in cyber security
service specified in subsection (1) without having a valid accreditation
commits an offense and liable to an administrative penalty imposed under
section 24.

(3) The procedures and conditions to grant and renewal of


accreditation, the validity of accreditation, revocation or suspension of
accreditation, and for any determining the cyber security services for
which an accreditation shall be obtained shall be as prescribed.

PART VI

FUND OF THE AUTHORITY

Fund of the 24. (1) The Authority shall have its own fund (hereinafter referred
Authority
to as the “Fund”).

(2) There shall be paid into the Fund –

(a) all such sums of money as may be voted, from time to


time, by Parliament for the use of the Authority;

(b) all such sums of money as may be received by the


Authority in the exercise, performance and discharge of
its powers, duties and functions under this Act; and

(c) all such sums of money as may be received by the


Authority by way of gifts, grants or donations from any
local or foreign source:

Provided however, the Board shall obtain the prior


written approval of the Ministry of Finance in respect of
all foreign gifts, grants and donations made to the
Authority.

(3) There shall be paid out of the Fund all such sums as are required
to defray the expenditure incurred by the Authority in the exercise,
performance and discharge of its powers, duties and functions under this
Act or under any other written law and all such sums as are required to be
paid out of the Fund.

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PART VII

IMPOSITION OF PENALTIES

Imposition of 25. (1) A person who is required to conform to the requirements


penalties
of section 21 or 23 this Act, if fails to so conform, shall in the first instance
be issued with a warning in writing by the Board, and given a specified
period of time as may be specified in such warning to conform to such
requirements, or to show cause as to why such requirements are not being
complied with.

(2) Where a person fails to conform to the written warning issued


under subsection (1), the Authority shall, taking into consideration the
nature and gravity of such non-compliance, by notice require such person
to pay a penalty not exceeding rupees one million.

(3) Where any person fails to conform to any requirement


specified in section 21 or 23 in any second or subsequent occasion, such
person shall in addition to the penalty imposed under this section be liable
to the payment of an additional penalty of twice the amount imposed as
a penalty on a precious occasion.

(4) The Authority shall be responsible for the collection of a


penalty imposed under this section and the money so collected shall be
credited to the Consolidated Fund.

(5) If a person who becomes liable to a penalty in terms of


subsection (2) fails to pay such penalty, the Authority may make an ex-
parte application to the Magistrate Court of Colombo for an order
requiring the payment of the penalty recovered in alike manner as a fine
imposed by such court.

(6) The imposition of a penalty under this section shall not preclude
a supervisory authority or a regulatory authority from taking any other
regulatory measures including, but not limited to, the suspension of any
person from the carrying on of a business or profession or the cancellation
of a license or authority granted for the carrying on of a business or
profession, as may be permitted in terms of any applicable written law for
the regulation or supervision of the relevant business or profession.

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(7) Where a penalty is imposed under this section on a body of
persons, then -

(a) if that body of person is a body corporate, every person


who at the time of the imposition of the requirements
under subsection (1) was a director, and other officer
responsible with management and control of that body
corporate;

(b) if that body of persons is a firm, every partner of that firm;


or

(c) if that body is not a body corporate, every person who at


the time of the imposition of such requirements under
subsection (1) was the officer responsible with
management and control of that of that body,

Shall be liable to pay such penalty unless he proves that he had no


knowledge of the failure to comply with the requirement or that he
exercised all due diligence to ensure compliance therewith.

(8) Without prejudice to the provisions of subsection (1) and (2),


the Authority may issue a directive to any institution that has without
reasonable cause failed to comply in whole or in part with any obligations
specified in Parts VI of this Act.

(9) Where an Institution fails to comply with a directive issued


under subsection (8), the Authority may, upon application to the High
Court of the Western Province, holden in Colombo and upon satisfying
the Court that such institution has failed without reasonable excuse to
comply in whole or in part with the directive issued by it under subsection
(7), obtain an order against such institution and any or all of the officers
or employees of that institution in such terms as the Court deems
necessary to enforce compliance with such directive.

Appeals 26. (1) A person who is aggrieved by the imposition of a penalty


under section 24, may appeal against such decision to the Court of Appeal
within twenty-one working days from the date of the notice of the
imposition of such penalty was communicated to such person.

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13.07.2023
(2) Any person who prefer an application to the Court of Appeal
under subsection (1), shall deposit in cash as security such sum of money
equal to the penalty imposed under section 24, before the Registrar of the
Court of Appeal.

(3) Where an appeal is preferred under subsection (1), the


burden of proof shall be on such person, to prove that he has acted in
compliance with the provisions of this Act.

Financial year 27. (1) The financial year of the Authority shall be the calendar
and audit of
accounts
year.

(2) The provisions of Article 154 of the Constitution relating to the


audit of the accounts of public corporations shall apply to the audit of
accounts of the Authority.

PART VIII

MISCELLENEOUS

Power of entry, 28. (1) Any officer of the Authority specifically authorized in
inspection and
search
writing in that behalf by the Director General may where the Director-
General considers it necessary for the purpose of discharging the functions
of the Authority, and for the purpose of ascertaining whether the
provisions of this Act or any regulation made thereunder are being
complied with, -

(a) enter, inspect and search premises of any designated CNII;

(b) conduct cyber security audits, forensic investigations or


any type of cyber security assessment pertaining to such
CNII;

(c) examine and take copies of any document, record or part


thereof pertaining to such CNII;

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13.07.2023
(d) question any person whom the Authority has reasonable
cause to believe that such person is an owner or
employee of such CNII.

(2) For the purpose of carrying out any function under subsection
(1), written consent to enter such premises shall be obtained from the
owner, occupier or the person in charge of such premises.

(3) Where the consent required to be obtained under subsection


(2) is unfairly refused, any officer of the Authority specifically authorized
by the Director General under subsection (1) may obtain from a
Magistrate’s Court, a search warrant for the purpose of entering such
premises and exercising all or any of the powers conferred upon such
officer by such search warrant.

(4) Notwithstanding the provisions of subsection (1), the


Authority or any other officer authorized in writing in that behalf by the
Authority may without a warrant excise all or any of the powers referred
to in that subsection, if, in the opinion of the Authority, –

(a) the investigation needs to be conducted urgently since it


would likely to have serious impact on public health,
public safety, privacy, national security, international
stability or on the effective functioning of the
government or the economy of Sri Lanka; and

(b) there is a likelihood of the evidence being lost, destroyed,


modified or rendered inaccessible.

(5) As soon as may be practicable the Authority shall and in any


event within seventy-two hours of such action which was carried out
without a warrant, make an application to the Magistrate to have such
action confirmed.

Authority to be 29. For the purpose of this Act, the Authority shall be deemed to
a scheduled
institution
be a scheduled institutions within the meaning of the Bribery Act (Chapter
within the 26) and the provisions of that Act, shall be construed accordingly.
meaning of the
Bribery Act
(Chapter 26)

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13.07.2023
Members of 30. For the purpose of this Act all members of the Board, officers
the Board and and servants of the Authority shall be deemed to be public servants within
officers and
the meaning and for the purposes of the Penal Code (Chapter 19)
servants of the
Authority
deemed to be
public servants

Acquisition of 31. (1) Where any immovable property is required to be acquired


immovable for any specific purpose of the Authority and the Minister by Order
property under
published in the Gazette approves of the proposed acquisition for that
the Land
Acquisition Act purpose that property shall be deemed to be required for a public purpose
and may accordingly be acquired under the Land Acquisition Act and
transferred to the Authority.

(2) Any sum payable, for the acquisition of any immovable property
under the Land Acquisition Act for the Authority shall be paid out of the
Fund of the Authority.

Expenses in 32. (1) Any expense incurred by the Authority in any suit or
suit or prosecution brought by or against it before any Court, shall be paid out of
prosecution to
the Fund and any costs paid to or recovered by the Authority in any such
be paid out of
the Fund suit or prosecution shall be credited to the Fund.

(2) Expenses incurred by any member of the Board, or any officer


or employee of the Authority in any suit or prosecution brought against
him before any court or tribunal in respect of any act which is done or
purported to be done by him under the provisions of this Act or any other
written law or if the court holds that such act was done in good faith, be
provident of the Fund, unless such expenses are recoverable by him in
such suit or prosecution.

Annual report 33. (1) The Authority shall within six months of the end of each
financial year, submit to the Minister an annual report of the activities
carried out by the Authority during that financial year, and cause a copy
each of the following documents to be attached to the report –

(a) the audited accounts of the Authority for the year along
with the Auditor-General’s report;

(b) report on the activities carried out by the Authority


during the preceding year; and

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13.07.2023
(c) a report of proposed activities for the year immediately
following, the year to which such report and accounts
relate.

(2) The Minister shall lay copies of the report and documents
submitted under subsection (1) before Parliament within six months from
the date of receipt of such report.

Directions by 34. (1) The Minister may, from time to time, advise the Authority
the Minster informing changes in the government policy, and it shall be the duty of the
Authority to give effect to such directions in discharge of its powers, duties
and functions.

(2) The Minister may direct the Authority to furnish to him in such
form as he may require, returns, accounts and any other information
relating to the work of the Authority, and it shall be the duty of the
Authority to give effect to such directions.

Duty to 35. The Authority, or any other institution, entity or person who
maintain obtains information under this Act shall, maintain confidentiality and
confidentiality
observe strict secrecy respecting all matters of which such information
provided as designated as confidential, and shall not disclose any
information which may come to his knowledge in the exercise,
performance and discharge of his power, duties and functions under this
Act, except -

(a) where it is necessary to comply with any provision of this Act


or any rule or regulation made thereunder or any other
written law;

(b) upon an order of a court of law; or

(c) where such disclosure is necessary in the interest of national


security, public interest or to safeguard the interest of
individuals.

Rules 36. (1) The Authority shall make rules in respect of –

(a) the schemes of recruitment, terms of appointment,


employment and dismissal of various officers and
employees and their powers, functions including the

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13.07.2023
conditions of employment of the Director General and
the payment of remuneration;

(b) the procedure to be observed at the summoning and


holding of meetings of the Authority;

(c) the management of the affairs of the Authority; and

(d) other matters for which rules are required to be made


under this Act.

(2) Every rule made by the Authority shall be approved by the


Minister and be published in the Gazette and shall come into operation on
the date of its publication or on such later date as may be specified
therein.

Regulations 37. (1) The Minister may make regulations with the concurrence
of the Authority in respect of any matter required by this Act to be
prescribed or in respect of which regulations are authorized by this Act to
be made.

(2) In particular and without prejudice to the generality of the


powers conferred by subsection (1), the Minister may make regulations for
and in respect of all or any of the following matters specifying: -

(a) the duties and responsibilities of the Owners of CNIIs;

(b) the policies, standards, and guidelines to be adhered by


the CNIIs, government institutions and other relevant
sectors for protecting computer, computer program,
computer systems, and related devices;

(c) the conditions in relation to the compliance with the cyber


security policies, procedures, standards and guidelines by
CNIIs, government institutions, and other relevant sectors
and form and manner of reporting such information to
the Authority;

(d) information on cyber security threats and incidents


required by the Authority from sectoral CERTs and CSIRTs,
ISPs, Lanka Domain Registry, law enforcement authorities

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or any other relevant institution, and form and manner of
reporting such information to the Authority;

(e) duties and responsibilities of the Information Security


Officer appointed by the Authority;

(f) procedures and conditions for the grant and renewal of


accreditation, the validity of accreditation, revocation or
suspension of accreditation in relation to cyber security
service;

(g) procedures and timelines for conducting cyber security


risk assessments, audits other relevant assessments by
CNIIs, government institutions, and relevant sectors; and

(h) specifying the fees and charges levied for any service
provided under this Act.

(3) Every regulation made under this section shall be published in


the Gazette and shall come into operation on the date of such publication
or on such later date as may be specified in that regulation.

(4) Every regulation made under this section shall within three
months after its publication in the Gazette, be brought before Parliament
for approval.

(5) Every notification specifying the date on which the Parliament


has approved the regulation shall be published in the Gazette. Any
regulation which is not so approved shall be deemed to be rescinded as
from the date of such disapproval but without prejudice to anything duly
done thereunder prior to such disapproval.

(6) The notification specifying the date on which any regulation is


deemed to be so rescinded shall be published in the Gazette.

Interpretation 38. In this Act, unless the context otherwise requires –

“CERT” means computer emergency readiness team which is an


organization that handles computer security
incidents. Alternative names for such groups include
computer security incident response team (CSIRT)

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13.07.2023
“computer” means an electronic, magnetic, optical,
electrochemical, or other data processing device
performing logical, arithmetic, or storage functions,
and includes any data storage facility or
communications facility directly related to or
operating in conjunction with such device;

“computer system” means a group of interconnected


computers or related devices which are used to
collect, process, store, maintain, use, share, and
disseminate information. It includes information
system designed to perform a specific function, a
cloud-based system, intra or Internet based system,
Internet of Things, and operational technology
systems such as industrial control systems;

“computer program” means a set of instructions that can be


executed by the computer or related device to
achieve the intended result. This also includes virtual
assets such as application software, websites,
database, digital documents and any other
information processing application;

“cyber security” refers to the protection of information in


transit, in process and in storage, being used by
computer, computer program, computer system or
related devices from any form of attacks, or
unauthorized access, use, disclosure, disruption,
modification or destruction. This also includes any
set of activities intended to make cyberspace safe
and secure;

“cyber security threat” means any circumstance, or known or


suspected activity that could be potentially harmful
or have an adverse impact on a computer, computer
program, computer system or related devices that
may affect the cyber security of that computer,
computer program, computer system or device;

“cyber security incident” means any act or activity carried out


without lawful authority on a computer, computer

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system or related devices that may affect the cyber
security of the that computer, computer program,
computer system or device;

“Critical National Information Infrastructure” means, the


computer, computer program, computer system, or
related device identified by the Authority as a Critical
National Information Infrastructure under this Act,
which is located wholly or partly in Sri Lanka, and its
disruption or destruction would create a serious
impact on the national security, public safety, public
health and economic wellbeing of citizens, delivery
of essential services or effective functioning of the
government or the economy of Sri Lanka;

“civilian aspects of cyber security” means any cyber security


activity related to public and private domains other
than military domain;

“cyber security service provider” means an individual or


organization which provides services to ensure the
cyber security of a computer, computer program,
computer system or any related device of a client
organization. A list of cyber security services
pertaining to this Act is presented in <PART VIII>;

“Defence Cyber Command (DCC)” means the organization


established under the Defence Cyber Command Act,
No. of 2023;

“device” means any equipment, static or mobile, which uses


information and communication technology to
perform it’s general or specific tasks;

“information” includes data, text, images, sound, codes,


computer program, or databases. It may in the forms
of electronic, digital or physical formats;

“Minister” means the Minister assigned the subjects and


functions relating to cyber security under Article 43 or
44 of the Constitution;

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“National Information and Cyber Security Strategy” includes
Information and Cyber Security Strategies made from
time to time;

“Officials accountable for CNII means –


(a) the head of a government department or institution,
or a corporation established by or under any written
law;
(b) every director and any other officer of a body
corporate responsible for the CNIIs;
(c) every partner of a firm responsible for the CNIIs; or

(d) every officer responsible for CNIIs in an


unincorporated body; and

“prescribed” means prescribed by regulations under this Act.

Sinhala text to 39. In the event of any inconsistency between the Sinhala and Tamil
prevail in case
of
texts of this Act, the Sinhala text shall prevail.
inconsistency

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