Section 66B explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 66B of the Information Technology Act, 2000 punishes a person who dishonestly receives or retains a stolen computer resource or communication device, knowing or having reason to believe it to be stolen. The punishment printed is imprisonment of either description up to three years, or fine up to one lakh rupees, or both. This article follows the consolidated text consulted (the Act as amended by the Information Technology (Amendment) Act, 2008); later amendments and the current position should be checked.
Section 66B applies to whoever dishonestly receives or retains a stolen computer resource or communication device and knows, or has reason to believe, that it is stolen. The printed punishment is imprisonment of either description for a term up to three years, or fine up to rupees one lakh, or both. The section prints no definition of "stolen"; "computer resource" and "communication device" are defined in section 2.
What section 66B says
The section reads: "Whoever dishonestly receives or retains any stolen computer resource or communication device knowing or having reason to believe the same to be stolen computer resource or communication device, shall be punished with imprisonment of either description for a term which may extend to three years or with fine which may extend to rupees one lakh or with both."
It is a short provision with four working parts:
- Receiving or retaining. Two verbs. A person who first receives an item and a person who keeps it are both within the words.
- Dishonestly. The section does not carry an Explanation of this word. Section 66, the neighbouring provision, has an Explanation for "dishonestly" that applies "for the purposes of this section", meaning section 66 itself. Do not assume it extends to section 66B; the text of section 66B has no such Explanation.
- A stolen computer resource or communication device. Two defined terms from section 2 are involved.
- Knowledge or reason to believe. The state of mind relates to the stolen character of the item.
If you buy, repair, refurbish or trade second-hand devices, a legal dispute resolution consultation on how these words could apply to your dealings is more useful before a complaint arrives than after.
The two defined terms
Section 2(1)(k) defines "computer resource" to mean "computer, computer system, computer network, data, computer database or software". Section 2(1)(ha) defines "communication device" to mean "cell phones, personal digital assistance or combination of both or any other device used to communicate, send or transmit any text, video, audio or image". Read together, section 66B reaches laptops and servers as well as mobile phones, and the words "data, computer database or software" in the definition are part of "computer resource". Our article on section 2 of the IT Act explains these definitions.
| Term | Where it is defined | What the definition lists |
|---|---|---|
| Computer resource | Section 2(1)(k) | Computer, computer system, computer network, data, computer database or software |
| Communication device | Section 2(1)(ha) | Cell phones, personal digital assistance or a combination of both, or any other device used to communicate, send or transmit any text, video, audio or image |
| Stolen | Not defined in section 66B | The section is silent |
Punishment as printed
| Element | Printed text |
|---|---|
| Imprisonment | "of either description for a term which may extend to three years" |
| Fine | "which may extend to rupees one lakh" |
| Combination | "or with both" |
The words are "may extend", so the section prints maximums and no minimum. The copy does not print any separate punishment for a repeat offence under this section.
The general provisions that surround it
Six other sections of the Act apply across the offences. This article states what each says as printed and does not go beyond the words.
- Section 77A (compounding). A Court of competent jurisdiction may compound offences "other than offences for which the punishment for life or imprisonment for a term exceeding three years has been provided". Two provisos bar compounding where the accused is liable to enhanced punishment or a punishment of a different kind by reason of a previous conviction, and where the offence affects the socio economic conditions of the country or has been committed against a child below the age of 18 years or a woman. Sub-section (2) refers to "sections 265-B and 265-C of the Code of Criminal Procedure, 1973 (2 of 1974)".
- Section 77B. Printed as: "Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (2 of 1974), the offence punishable with imprisonment of three years and above shall be cognizable and the offence punishable with imprisonment of three years shall be bailable." The heading speaks of "Offences with three years imprisonment to be bailable". The section is numbered "(1)" with no sub-section (2). We quote it and do not classify any offence beyond those words. Our article on sections 77A and 77B sets it out.
- Section 78. "Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (2 of 1974), a police officer not below the rank of shall investigate any offence under this Act."
- Section 84B (abetment). Punishment "with the punishment provided for the offence under this Act" where the act abetted is committed in consequence of the abetment and no express provision is made for it.
- Section 84C (attempt). Where no express provision is made, imprisonment of any description provided for the offence "for a term which may extend to one-half of the longest term of imprisonment provided for that offence", or such fine as is provided, or both.
- Section 85. Where the person committing a contravention is a company, those in charge of and responsible to it for the conduct of business, as well as the company, are liable, with a proviso for lack of knowledge or due diligence; sub-section (2) covers consent, connivance or neglect of a director, manager, secretary or other officer.
The copy refers to the Code of Criminal Procedure, 1973; check the current procedural law for the corresponding provisions.
A worked example
Meera Das runs a small resale shop, an invented business. A walk-in seller offers three used smartphones at a price far below the market rate and has no purchase papers. Meera asks no questions and buys them. Later, a person complains that one of the phones was taken from them.
For section 66B, the facts to examine are whether Meera received or retained the phone, whether she did so dishonestly, and whether she knew or had "reason to believe" it was stolen. The price, the absence of papers and what she was told are the kind of facts that bear on the last question. Section 66B itself does not list evidentiary factors; those would be matters of proof.
Need help with a section 66B matter?
If a device you hold or sold is the subject of a complaint, or you need a purchase policy that records where second-hand equipment comes from, our team can review the facts and suggest steps. Speak to us about legal dispute resolution.
Key takeaways
- Section 66B covers dishonestly receiving or retaining a stolen computer resource or communication device with knowledge or reason to believe it is stolen.
- Printed punishment: imprisonment of either description up to three years, or fine up to rupees one lakh, or both.
- The section does not define "stolen" or "dishonestly"; "computer resource" and "communication device" are defined in section 2.
- Sections 77A, 77B, 78, 84B, 84C and 85 apply to offences under the Act as printed; check the current procedural law for the Code references.
Read next
- Section 66 of the Information Technology Act, 2000: computer related offences
- Section 66C of the Information Technology Act, 2000: punishment for identity theft
- Section 2 of the Information Technology Act, 2000: computer, data, information, intermediary
- Cognizable vs Non-Cognizable Offences: FIR and Police Powers Explained
Disclaimer: Based on a consolidated copy of the Information Technology Act, 2000 as amended by the Information Technology (Amendment) Act, 2008, on the Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021 as originally notified on 25 February 2021 and on the CERT-In Directions of 28 April 2022, read with the amendments made to the Act by the Jan Vishwas (Amendment of Provisions) Act, 2023 and by section 44 of the Digital Personal Data Protection Act, 2023, as consulted on 2 October 2026. Commencement notifications, other amendments, rules, directions and the current position of each provision are not covered and should be checked. This article is general information, not legal advice; check the official text before acting.