Telecommunications Minister Renee Webb introduced a take note motion on the code of conduct for electronic transactions in the House of Assembly yesterday.

The document, according to Ms Webb, was drafted nine times and was arrived at through consultation with the e-commerce business community.

She described the code as "evolutionary'' and explained that it was designed to reflect the needs of the industry, as and when they arose.

The standards seek to bring electronic transactions in line with already existing laws in the criminal code, company law and human rights.

It is written in simple layman's language because the Minister said she wanted the code to be easy for everyone to understand.

The standards insist that service providers know their customers to avoid potential for assisting illegality and to "know their own business'' -- to protect firms from accidentally breaching the law on electronic records or information.

The code contains rules on fair advertising and treatment of customers -- with disputes to be settled using already-established methods and also rules that any "intermediary or e-commerce service provider'' who finds wrong-doing in partners to either remedy the problem or end the relationship.

The Telecommunications Minister is also given the power to issue warnings, enforce compliance -- or recommend prosecution.

And providers will also have to guarantee that they will not send unsolicited bulk mail to people.

Privacy rules to protect personal information or business records unless the customer consents or it is required by law were also introduced. Opposition Leader Pamela Gordon said her party supported the code but stressed the need for regulations to be put in place to give a means to deal with offenders.

Ms Gordon also held that the absence of regulations put small local businesses in the industry at risk.

But she stressed that the code had already been officially gazetted and will come into effect on July 3 so it was brought to Parliament as a "fait accompli''.

She claimed that this took "away the validity of the motion being brought to the House''.

Progressive Labour Party Warwick East MP Dale Butler noted the difficulties in trying to police and monitor the Internet, pointing to numerous on-line get rich quick advertisements.

He also expressed concern over the importance of time to e-businesses.

"I hope certain providers do not make frivolous complaints because time is very important in this business and even one day can mean the loss of considerable business.'' Immigration Minister Paula Cox pointed to the easy language of the code and held that it encouraged people who were not very computer literate, but want to be so, to gain the expertise.

Ms Cox also recognised the practical importance of growing this type of business in Bermuda as it tended not to be labour intensive.

"It is particularly important because it requires less physical presence,'' she said.