Companies failing to comply with Aadhaar Act norms may be liable for up to Rs 1 crore fine

NEW DELHI: The executive has proposed a penalty of as much as Rs 1 crore on entities that violate the provisions of the Aadhaar Act, with an extra fine of as much as Rs 10 lakh consistent with day in case of constant non-compliance, assets said. Amid privateness considerations over Aadhaar, amendments had been planned in the Act, below which the government also proposes to arm the Unique Identification Authority of India (UIDAI) with more powers, similar to that of regulators, assets said.


The Aadhaar Act, at the moment, does now not empower the frame to take enforcement motion against errant entities in the Aadhaar ecosystem.

Children, maintaining Aadhaar, will have the opportunity of cancellation of the 12 digits biometric identifier within a duration of six months of accomplishing 18 years of age. The consent of a mother or father or mum or dad will be a must for enrolling a child, whilst no child will be denied any subsidy, advantages or products and services for loss of Aadhaar, as consistent with the proposed changes.

The proposed amendments also make provision for 'Virtual ID' and voluntary and offline modes of the use of Aadhaar. A bill to amend the Aadhaar Act, the Indian Telegraph Act and the Prevention of Money Laundering Act is indexed for creation in the Lok Sabha on Wednesday.

Besides, the government also plans to arrange a UIDAI fund below the Aadhaar Act and has proposed that the authority be exempt from taxes on income.

Mooting fines for violation of the Aadhaar Act, the draft provisions say that a new section will be added to offer for civil penalties which might prolong to Rs 1 crore for each and every contravention on failure to conform to provisions of the Act, regulations, rules and instructions through any entity in the Aadhaar ecosystem.

The Aadhaar ecosystem comprises enrolling agencies, registrars, soliciting for entities, offline verification searching for entities and another entity or staff as could also be laid out in rules.

It further mooted an extra penalty of as much as Rs 10 lakh for every day of continuing non-compliance after the primary contravention.

Punishment for unauthorised get entry to to the Central Identities Data Repository as well as information tampering is proposed to be extended to 10 years each and every from the current 3 years.

According to assets, the government is keen to give UIDAI regulatory powers, considering the fact that over 122 crore Aadhaar numbers had been issued around the nation however the authority does now not lately have powers to take enforcement actions against errant entities.

There will be a provision to report an enchantment prior to the TDSAT (Telecom Disputes Settlement and Appellate Tribunal), and against the orders of TDSAT, an enchantment will also be made in the Supreme Court.


The executive also plans to amend the Telegraph Act and the Prevention of Money Laundering Act (PMLA) to offer for voluntary use of Aadhaar for acquiring SIMs and opening financial institution accounts.


The Supreme Court, in a landmark verdict in September remaining yr, had upheld the constitutional validity of 'Aadhaar' however restricted the scope of the debatable biometric id mission, ruling it is not necessary for financial institution accounts, mobile connections or school admissions.


Holding there was once not anything in the Aadhaar Act that violates right to privateness of an individual, the SC had cleared the usage of Aadhaar (international's greatest biometric ID programme) for welfare schemes. The courtroom had held that Aadhaar will remain necessary for filing of Income Tax (IT) returns and allotment of Permanent Account Number (PAN) however struck down Section 57 of the Aadhaar (Targeted Delivery of Financial and other Subsidies, Benefits and Services) Act, 2016 that permitted personal entities like telecom companies or other corporate to avail of the biometric Aadhaar information.


Following this, the Cabinet remaining month licensed amendments to Aadhaar Act, the Indian Telegraph Act and the Prevention of Money Laundering Act.
Companies failing to comply with Aadhaar Act norms may be liable for up to Rs 1 crore fine Companies failing to comply with Aadhaar Act norms may be liable for up to Rs 1 crore fine Reviewed by Kailash on January 02, 2019 Rating: 5
Powered by Blogger.