Section 13(2)
and 13(3) of the WMD Act, 2005 provide restrictions on transfer of technology. Section
13(2) clarifies that any transfer of technology of an item whose export is
prohibited under this Act or any other relevant Act relating to relevant
activity shall be prohibited. Note that it talks about “transfer of technology”
and not “export of technology”. Section 13(3) specifies that when any
technology is notified under this Act or any other relevant Act, as being
subject to transfer controls, the transfer of such technology shall be
restricted to the extent notified thereunder.
Transfer of
technology may take place through either or both of the following modes of
transfer, namely:-
a)
by a person or from a place
within India to a person or place outside India;
b)
by a person or from a place
outside India to a person, or a place, which is also outside India (but only
where the transfer is by, or within the control of, person, who is a citizen of
India, or any person who is a resident in India).
What are the restrictions
on transfer of technology to foreign nationals?
Transfer of
any controlled technology is not allowed from
a)
by a person or from a place
within India to a person or place outside India;
b)
by a person or from a place
outside India to a person, or a place, which is also outside India. (but only
where the transfer is by, or within the control of, person, who is a citizen of
India, or any person who is a resident in India).
Hence,
transfer of controlled technology to foreign nationals is barred by any person
who is a citizen of India, or any person who is a resident in India even if it
happens outside India.
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