The Chief Executive Officer of Baazee.com, , was arrested by the Delhi Police under Section 67 of the IT Act 2000 (publishing obscene material in electronic form) and Section 292 of the Indian Penal Code. This arrest triggered panic in the tech industry. It raised the question: Can an e-commerce platform be held criminally liable for user-generated content? Landmark Judicial Outcome

In late 2004, a male student at Delhi Public School, R.K. Puram , recorded an intimate video with an underage female classmate.

The grainy 2.37-minute video was transmitted to a classmate, who forwarded it to others. It spread rapidly across student networks via Bluetooth and MMS.

On November 27, 2004, a 23-year-old Indian Institute of Technology (IIT) student listed the video for sale on , India's premier online auction portal at the time. Listed under the heading "DPS Girls Having Fun," the video was sold for ₹125 (approximately $2.70 USD at the time) before the site deactivated the listing on November 29.