The rapid use of information technology by human beings in every walk of life is inevitable. At the same time it creates a kind of proof of the every act which is done by using one of the several modes of informant technology. This leads to the situation today that all cases either civil or criminal revolve around at least some sort of electronic information which has a potential to sue or to be sued in a court of justice as a proof. It is hard to delete those from the digital age due to the unique scientific technology involved in this phenomenon. One can erase a fingerprint but cannot permanently erase digital foot prints emitted in electronic environment. In this context it is a positive opportunity for the crime investigation agencies to retrieve and collect electronic evidence, preserve it and produce before the court in order to secure convictions on the basis of great evidentiary value possessed by the electronic evidence. This paper seeks to analyze the increased use of information technology due to its importance in almost all sectors of human life. It also decodes the concept of electronic evidence which was not defined under the Indian Evidence Act, 1872 however its meaning was generated from the judgments delivered by the courts. It further attempts to list out the stages of collecting the electronic evidence, the mode and manner in which it is preserved till the trial and ultimately how it is produced before the court. This paper also tries to answer a crucial question that how to establish the authenticity of electronic evidence before courts. The present paper also discusses about the appreciation of electronic evidence and evidentiary value accorded to it by the courts. At the end this article along with concluding remark provides for certain suggestion to be implemented by the agencies dealing in administration of justice in order to enhance the evidentiary vale of electronic evidence.