Section 118 of the Factories Act 1948: Restrictions on Disclosure of Information
Section 118 imposed confidentiality duties on factory Inspectors in relation to manufacturing, commercial and working-process information obtained through official duties. The provision is important historically, but the current central framework is now contained in the Occupational Safety, Health and Working Conditions Code, 2020.
Meaning and scope of former Section 118
Former Section 118 of the Factories Act, 1948 restricted an Inspector from disclosing information about a manufacturing or commercial business or a working process that came to the Inspector's knowledge in the course of official duties. The obligation applied both during service and after the Inspector left service.
The rule was not absolute. The section itself recognised specified situations in which disclosure could lawfully be made, including written consent of the owner and disclosures connected with legal or criminal proceedings.
Text of former Section 118
118. Restrictions on disclosure of information.
(1) No Inspector shall, while in service or after leaving the service, disclose otherwise than in connection with the execution, or for the purposes, of this Act any information relating to any manufacturing or commercial business or any working process which may come to his knowledge in the course of his official duties.
(2) Nothing in sub-section (1) shall apply to any disclosure of information made with the previous consent in writing of the owner of such business or process or for the purposes of any legal proceeding (including arbitration) pursuant to this Act or of any criminal proceeding which may be taken, whether pursuant to this Act or otherwise, or for the purposes of any report of such proceedings as aforesaid.
(3) If any Inspector contravenes the provisions of sub-section (1) he shall be punishable with imprisonment for a term which may extend to six months, or with fine which may extend to one thousand rupees, or with both.
When disclosure was permitted
Under former Section 118(2), the confidentiality restriction did not apply where the owner of the business or process had given previous written consent, or where the information was disclosed for specified legal proceedings, criminal proceedings, arbitration connected with the Act, or a report of those proceedings.
Penalty under the former provision
Former Section 118(3) provided a specific punishment for an Inspector who breached sub-section (1): imprisonment up to six months, a fine up to Rs. 1,000, or both. This was the penalty stated in the repealed Factories Act provision and should not be confused with the penalty structure under the current Code.
Current law under the Occupational Safety, Health and Working Conditions Code 2020
The current Code uses a broader and updated confidentiality framework. Section 39 treats specified records and information acquired during inspection or survey as confidential and regulates disclosure by the Chief Inspector-cum-Facilitator, Inspector-cum-Facilitator and other covered persons. It also protects the source of complaints, subject to the terms of the provision.
Section 124 contains a general restriction on disclosure of manufacturing, commercial-business and working-process information obtained in the course of official duties, while recognising statutory exceptions. Section 100 separately provides punishment for disclosure contrary to the confidentiality provisions referred to there.
| Provision | Present relevance |
|---|---|
| Former Factories Act, 1948 - Section 118 | Historical confidentiality rule for Inspectors; relevant to the former Act and subject to repeal-and-savings considerations. |
| OSHWC Code, 2020 - Section 39 | Secrecy of information obtained by Chief Inspector-cum-Facilitator, Inspector-cum-Facilitator and covered persons, including protection of complaint sources. |
| OSHWC Code, 2020 - Section 100 | Punishment for unlawful disclosure of information covered by the provisions specified in that section. |
| OSHWC Code, 2020 - Section 124 | General restriction on disclosure of manufacturing, commercial and working-process information obtained through official duties. |
| OSHWC Code, 2020 - Section 143 | Repeal and savings provision, including repeal of the Factories Act, 1948 from commencement of the Code. |
Official legal resources
For the authoritative statutory text and current commencement information, use the official India Code and Ministry of Labour and Employment resources:
Last reviewed: 26 September 2026. This page is an informational legal reference and should be read with applicable notifications, rules, savings provisions and case-specific facts.