The Russian State Duma Approves Increased Fines for Violation of Data Processing Requirements
The Russian State Duma has adopted in the third reading the draft law that proposes to stiffen penalties for violation of rules applicable to personal data processing in Russia, as established by Federal Law No. FZ “On Personal Data”. The fine for first time violators could reach up to RUB 6. Repeated violations of the data localization law can incur increasing fines with a maximum penalty of RUB 18 million for legal entities.
The main legal requirement is to store the information about Russian users must be stored in the territory of the Russian Federation. On December 2, 2019, President Vladimir Putin signed Federal Law No. 405-FZ, On the Introduction of Amendments to the Administrative Offenses Code of the Russian Federation. As of December 13, 2019, the Code has introduced new constituent element of an administrative offense – breach of localization requirements.
Failure by an operator to comply with the requirement leads to increased fines:
for officials – up to RUB 200,000 (approximately US$3,350)
for legal entities – up to RUB 6,000,000 (approximately US$100,000)
For repeated violation:
for officials – up to RUB 800,000 (approximately US$13,350)
for legal entities – up to RUB 18,000,000 (approximately US$ 300,000)