Section 8(1) in The Information Technology (Certifying Authorities) Rules, 2000
(1)The following persons may apply for grant of a licence to issue Digital Signature Certificates, namely:-(a)an individual, being a citizen of India and having a capital of five crores of rupees or more in his business or profession;(b)a company having-(i)paid-up capital of not less than five crores of rupees; and(ii)net worth of not less than fifty crores of rupees:Provided that no company in which the equity share capital held in aggregate by the Non-resident Indians, Foreign Institutional Investors, or foreign companies, exceeds forty-nine per cent of its capital, shall be eligible for grant of licence:Provided further that in a case where the company has been registered under the Companies Act, 1956 (1 of 1956) during the preceding financial year or in the financial year during which it applies for grant of licence under the Act and whose main object is to act as Certifying Authority, the net worth referred to in sub-clause (ii) of this clause shall be the aggregate net worth of its majority shareholders holding at least 51% of paid equity capital, being the Hindu undivided family, firm or company:Provided also that the majority shareholders referred to in the second proviso shall not include Non-resident Indian, foreign national, Foreign Institutional Investor and foreign company:Provided also that the majority shareholders of a company referred to in the second proviso whose net worth has been determined on the basis of such majority shareholders, shall not sell or transfer its equity shares held in such company-(i)unless such a company acquires or has its own net worth of not less than fifty crores of rupees;(ii)without prior approval of the Controller;(c)a firm having-(i)capital subscribed by all partners of not less than five crores of rupees; and(ii)net worth of not less than fifty crores of rupees:Provided that no firm, in which the capital held in aggregate by any Non-resident Indian, and foreign national, exceeds forty-nine per cent of its capital, shall be eligible for grant of licence:Provided further that in a case where the firm has been registered under the Indian Partnership Act, 1932 (9 of 1932) during the preceding financial year or in the financial year during which it applies for grant of licence under the Act and whose main object is to act as Certifying Authority, the net worth referred to in sub-clause (ii) of this clause shall be the aggregate net worth of all of its partners:Provided also that the partners referred to in the second proviso shall not include Non-resident Indian and foreign national:Provided also that the partners of a firm referred to in the second proviso whose net worth has been determined on the basis of such partners, shall not sell or transfer its capital held in such firm-(i)unless such firm has acquired or has its own net worth of not less than fifty crores of rupees;(ii)without prior approval of the Controller;(d)Central Government or a State Government or any of the Ministries or Departments, Agencies or Authorities of such Governments.Explanation. - For the purpose of this rule,-(i)"company" shall have the meaning assigned to it in clause 17 of section 2 of the Income-tax Act, 1961 (43 of 1961);(ii)"firm" , "partner" and "partnership" shall have the meanings respectively assigned to them in the Indian Partnership Act, 1932 (9 of 1932), but the expression "partner" shall also include any person who, being a minor, has been admitted to the benefits of partnership;(iii)"foreign company" shall have the meaning assigned to it in clause (23-A) of section 2 of the Income-tax Act, 1961 (43 of 1961);(iv)"net worth" shall have the meaning assigned to it in clause (ga) of sub-section (1) of section 3 of the Sick Industrial Companies (Special Provisions) Act, 1985 (1 of 1986);(v)"Non-resident" shall have the meaning assigned to it as in clause (26) of section 2 of the Income-tax Act, 1961 (43 of 1961).
