Advocating for Digital Rights and best practices in Nepal

Digital Rights Weekly/Year 2/Issue 29

Jul 21, 2023
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Government’s Attempt to Register 5 million Mobile Phones Falters: Extension of Deadline Expected
The government’s initiative to register approximately 5 million mobile phones in MDMS faced setbacks. Nepal Telecommunication Authority (NTA) had set the deadline for registering a staggering 5 million unregistered mobile phones to 31 May 2023. However, only 2,241 mobile phones were registered within the specified timeframe, according to the authorities.
Under the MDMS system, the registration fees for different types of mobile phones were fixed: Rs 10,000 for iPhones or smartphones valued at 1 lakh or above, Rs 3,000 for smartphones below 1 lakh, and Rs 200 for bar phones. To facilitate registration, a dedicated website with an online payment system was launched.
Considering the significant number of unregistered mobile phones, government is considering extending the registration deadline by a month. Although there has been no official confirmation, the Authority has continued to process registrations based on unofficial information suggesting that a decision to extend the deadline is imminent.
Revised ICT Taxes For FY 2080\81 Comes Into Force
With the start of the current fiscal year 2080/81 BS, the new tax regulations have been implemented. The Finance Act 2080 includes following revised tax rates in the information technology sector compared to the previous fiscal year 2079/80 BS:

  • Tax on software Export: Foreign currency earned through software programming and outsourcing is now taxed at 10%, an increase from the previous rate of 1%.
  • E-Commerce companies: Online shopping platforms like Daraz and Sastodeal are required to pay 1% tax on their sales of products or services online. When wiring transactions to their sellers, a 1% tax must be deducted.
  • Social Media Content Creators: YouTube, TikTok, and other social media content creators shall pay 5% tax to the government on their earning. Previously only 1% tax was payable on receiving such income. Now, the bank will deduct 5% of the amount and pay it to the government.

United Nations Addresses AI Threats and Urges Global Oversight
The United Nations Security Council convened its inaugural session to address the potential threats posed by artificial intelligence (A.I.) to international peace and stability. UN Secretary-General António Guterres emphasized the need for a worldwide regulatory body to monitor the technology due to its associated concerns. He cautioned that AI could facilitate criminal and terrorist activities, resulting in widespread harm and unprecedented psychological damage.
During the session, diplomats and AI experts presented an analysis of the risks and benefits of this emerging technology, acknowledging that much remains unknown about AI despite its rapid development. The recent launch of ChatGPT, a versatile technology capable of generating texts, mimicking voices, and producing multimedia content, has raised alarm about the potential for disinformation and manipulation.

Government Postpones Full Implementation of A’ La Carte System
The government of Nepal has postponed its earlier decision to immediately enforce a full-fledged A’ La Carte system for paid foreign channels. Initially, the Ministry of Information and Communications, along with the Department of Information and Broadcasting under the Ministry of Information, had issued a statement warning that if the list of fees and “bouquet” of paid foreign channels were not received by 13th July, the broadcast of these channels in Nepal would be halted from 17 July. However, the government has now postponed the strict implementation of this system.
Bharat Gautam, Spokesperson and Director of the Department of Information and Broadcasting, explained that the process of formulating the bouquet list is still ongoing, and the response from channels has been positive. Despite the postponement, the government remains committed to implementing the A’ La Carte system, and a committee has been established by the ministry to oversee this process. The bouquet list from four operators has already been received, and others are in the process of being submitted.

TikTok Faces Security Breach as 700,000 Accounts
A significant security breach occurred in Turkey, where as many as 700,000 TikTok accounts were compromised. This hack granted attackers access to users’ private information and control over their accounts.
Internal emails, chat logs, and documents obtained from both inside and outside TikTok paint a concerning picture. The company had been informed of the vulnerability over a year prior, stemming from the “greyrouting” of SMS messages through insecure channels. In April 2022, TikTok’s security chief, Roland Cloutier, received a warning email from the U.K.’s National Cyber Security Centre, a division of GCHQ, the nation’s top intelligence agency. The email raised concerns that this practice could enable “SIM farms” in countries like Russia to request and intercept one-time passwords, leading to unauthorized access to TikTok users’ accounts.

Chinese Hackers Breach 25 US Government Email Accounts
A significant cyber security breach has been detected, revealing that Chinese hackers have successfully infiltrated the email accounts of 25 US government organizations. The hackers exploited a security vulnerability on Microsoft’s cloud platform, which allowed them unauthorized access to the email accounts. According to a report in The Washington Post, the attack has been attributed to a Chinese hacker group known as Storm 0558, and Microsoft has confirmed the incident. Among the 25 compromised email accounts, some belong to government agencies, while others are associated with consumer email accounts linked to government entities.

Publication
‘Cyber Security’ Book Released
The Office of the Registrar of Communications, Bagmati Province, has responded to the escalating cyber security challenges proactively by publishing the book ‘Cyber Security’ to educate citizens. Covering vital topics like the importance of cyber security and safeguarding information privacy, integrity, and availability of the information, the book offers insights into various security concepts and tools, including antivirus, cloud antivirus, security firewall, encryption and decryption, digital signature, and digital forensics. These tools aim to enhance understanding and awareness of effective measures against cyber threats.
Opportunities
Online Course on Combating Mis/Disinformation
An online course on Combating Mis/Disinformation is available if you want a comprehensive and practical guide to understand and address the challenges posed by misinformation and disinformation in today’s digital age. This course is offered by Shikshya.org.
You can join the course from here: https://shikshya.org/signup
Digital Rights Weekly is a week-based update on Digital Rights and ICT issues, that happened throughout the week, compiled and analyzed from the digital rights perspective by Digital Rights Nepal (DRN). DRN is a not-for-profit initiative dedicated to the protection and promotion of digital rights, including the right to online freedom of expression and association, online privacy, access to information, and related issues such as internet governance, cyber laws/policies, and cyber securities in Nepal.
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Digital Rights Nepal is a not-for-profit initiative dedicated to the protection and promotion of digital rights in Nepal.

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