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RTI reveals RBI hasn’t ordered linking Bank A/cs with Aadhaar

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Aadhaar card

[vc_row][vc_column][vc_column_text]Reserve Bank of India confirms it has not issued any instruction so far regarding mandatory linking of Aadhaar number with bank accounts

If you are one of the many bank account holders in the country who have been harangued by pesky calls, messages and e-mails from banks or “central government orders” claiming that your bank accounts will be blocked if they aren’t linked with your Aadhaar number, then here’s some news for you.

In a reply to Yogesh Sapkale of online news portal moneylife.in, sought under the Right to Information (RTI) Act, the Reserve Bank of India has clarified that: “The Government has issued a Gazette Notification GSR 538(E) dated 1 June 2017 regarding Prevention of Money laundering (Maintenance of Records) Second Amendment Rules, 2017, inter-alia, making furnishing of Aadhaar (for those individuals who are eligible to be enrolled for Aadhaar) and permanent number (PAN) mandatory for opening a bank account. It may be noted that Reserve Bank has not yet issued instruction in this regard.”

The central bank’s response, in layman’s terms, means that the order to link your bank accounts with your unique identity Aadhaar number has not been authorised by the RBI – which is responsible for laying down guidelines and rules for operations of banking institutions. Instead, the so-called mandatory order has been issued by the Prime Minister Narendra Modi-led BJP government. In effect, the RBI’s response means that it is the Modi government that is forcing all banks to ask their customers for linking their bank accounts, in their own capacity, something that can be construed as a violation of an earlier order over Aadhaar that has been issued by the Supreme Court as well as a case of executive overreach.

According to moneylife.in, the RBI was asked through an RTI application to provide “copy of the file along with file notings regarding mandatory linking of Aadhaar number with bank accounts”. The RBI responded to the application saying it “has not issued any instruction so far regarding mandatory liking of Aadhaar number with bank accounts.”

The portal adds further that to Sapkale’s explicit query on whether “the RBI had taken permission from the Supreme Court for mandatory linking of bank accounts with Aadhaar number, especially when the apex court had restricted its usage for six schemes, the Reserve Bank stated that is has not filed any petition before the SC.”

The RBI’s clarification comes at a time when questions are being raised by economists, Opposition leaders, activists and common citizens alike over the legal validity of the perceived coercion of bank account holders to link their accounts with their respective Aadhaar numbers even as the matter is still pending before the Supreme Court for resolution. So far, the SC has only upheld the mandatory linking of Aadhaar with six schemes- those under which the Centre is providing direct benefits or subsidies to individuals.

The central bank’s response also comes close on the heels of the appalling tragedy in Jharkhand where a minor girl reportedly died of starvation because her family couldn’t get food items from a government-run shop as their ration card had not been linked with their Aadhaar number.

Moneylife.in notes that the Centre’s Gazette Notification [GSR 538(E)], which the RBI has mentioned in its reply, “is also in contravention with the orders passed by five-judge Bench of the Supreme Court as well as Aadhaar Act 2016.”

In its order on 15 October 2015, the apex court had said:

“After hearing the learned Attorney General for India and other learned senior counsels, we are of the view that in paragraph 3 of the Order dated 11 August 2015, if we add, apart from the other two Schemes, namely, PDS Scheme and the LPG Distribution Scheme, the Schemes like the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS), National Social Assistance Programme (Old Age Pensions, Widow Pensions, Disability Pensions) Prime Minister’s Jan Dhan Yojana (PMJDY) and Employees’ Provident Fund Organisation (EPFO) for the present, it would not dilute earlier order passed by this Court. Therefore, we now include the aforesaid Schemes apart from the other two Schemes that this Court has permitted in its earlier order dated 11 August 2015. We impress upon the Union of India that it shall strictly follow all the earlier orders passed by this Court commencing from 23 September 2013. We will also make it clear that the Aadhaar card Scheme is purely voluntary and it cannot be made mandatory till the matter is finally decided by this Court one way or the other.”

The apex court is scheduled to hear a bunch of Aadhaar-related petitions in November.

The RBI reply, though bringing clarity on its role – or rather the absence of it – in sanctioning linking of Aadhaar numbers with bank accounts of customers, doesn’t however explain whether individuals can object to coercion from their respective banks when asked to link their accounts with their unique identification number.[/vc_column_text][/vc_column][/vc_row]

India News

Rahul Gandhi, Centre clash over Ladakh deepens as eight Congress MPs suspended

The Lok Sabha saw repeated disruptions after Rahul Gandhi was denied permission to speak on the Ladakh issue, leading to protests and the suspension of eight Congress MPs.

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Chaos engulfed the Lok Sabha on Tuesday as tensions between the opposition and the ruling Bharatiya Janata Party intensified over Congress leader Rahul Gandhi’s attempt to raise the issue of the India-China military standoff in Ladakh. The disruption eventually led to the suspension of eight Congress MPs for the remainder of the parliamentary session.

The confrontation unfolded after the Leader of the Opposition tried, for the second consecutive day, to read out excerpts from an unpublished book by former Army chief General M.M. Naravane that refer to the 2020 Ladakh crisis. The Speaker denied permission, citing procedural rules, triggering protests from opposition members.

Several MPs protested by refusing to speak when called upon, expressing solidarity with Gandhi. The uproar forced repeated adjournments of the House and, according to reports, involved members throwing pieces of paper towards the Chair.

Following the disorder, eight Congress MPs — including Hibi Eden, Amarinder Raja Warring and Manickam Tagor — were suspended. Warring later questioned the action, saying the protests were in response to Gandhi being denied the opportunity to speak despite having authenticated the document and submitted it to the House.

The BJP strongly criticised the Congress leadership. Party MP Anurag Thakur accused Rahul Gandhi of undermining Parliament and insulting the armed forces, alleging that the opposition was attempting to distract from recent government actions, including the presentation of the Union Budget. He also said the BJP would move a formal complaint seeking strict action against the suspended MPs.

Outside Parliament, Gandhi accused the ruling party of trying to silence him, saying he was prevented from speaking on the sensitive issue of the India-China border. He argued that he had followed procedure by authenticating the content he wished to quote but was still denied permission.

What happened a day earlier

On Monday, the Speaker had also disallowed Gandhi from reading the excerpts, with senior ministers countering his remarks during the debate. Government sources later maintained that the Congress leader violated House rules by attempting to introduce unpublished material into the official record without prior approval.

When proceedings resumed on Tuesday, Gandhi again raised the matter, insisting that the information had been authenticated. As the Speaker moved on to other members, two opposition MPs from the Samajwadi Party and Trinamool Congress declined to speak, signalling their support for him.

Rahul Gandhi targets India-US trade deal

Separately, Gandhi also criticised Prime Minister Narendra Modi over what he described as a lack of transparency surrounding the India-US trade deal. He questioned how negotiations that had reportedly remained unresolved for months were concluded overnight and alleged that the agreement compromised the interests of Indian farmers, particularly in agriculture and dairy.

Government sources, however, rejected these claims, stating that sensitive sectors would remain protected and that the deal does not undermine farmers’ interests. They said contentious issues, including market access, had been carefully handled.

The opposition has demanded full disclosure of the terms of the agreement, even as both sides continue to trade sharp political accusations inside and outside Parliament.

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Mamata Banerjee alleges mass voter deletions in Bengal, targets Election Commission

Mamata Banerjee has accused the Election Commission of deleting thousands of voter names without due process, raising questions over the timing of the exercise ahead of elections.

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Mamata Banerjee

West Bengal Chief Minister Mamata Banerjee on Monday intensified her attack on the Election Commission over voter roll revisions, alleging that a large number of names have been deleted without due process as the state heads towards elections.

Addressing party workers, Banerjee claimed that 40,000 voters’ names were removed from her constituency alone, alleging that the deletions were carried out unilaterally and without giving voters a chance to be heard.

“In my constituency they have deleted 40,000 voters’ names unilaterally… Even a murderer gets a chance to defend himself,” she said.

Allegations against election officials

The chief minister directly accused an election official, alleging political bias and irregular conduct in the revision process. She claimed that voter names were being removed while officials sat in Election Commission offices, calling the process illegal.

“They cannot do it, it is illegal. 58 lakh names have been unilaterally deleted,” she said, echoing claims earlier made by Trinamool Congress leader Abhishek Banerjee.

Banerjee also alleged that individuals described as “micro-observers” had been appointed illegally, claiming they had no role under the Representation of the People Act and were linked to the BJP.

‘Alive but marked dead’

In a dramatic moment during her address, the chief minister asked those present who had been marked as deceased in the voter lists to raise their hands.

“See, they are alive but as per the Election Commission they are dead,” she said.

She further alleged that names were being deleted under the category of “logical discrepancy,” adding that even noted economist and Nobel laureate Amartya Sen had earlier been questioned regarding the age of his mother.

Questions over timing of voter roll exercise

While stating that she did not oppose the Special Intensive Revision process in principle, Banerjee questioned the timing of the exercise.

“I have no problem with SIR, but why do it on the eve of elections? Why not after elections?” she asked.

Reiterating confidence in her party’s organisational strength, the chief minister said she was prepared to fight the issue politically and democratically.

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Supreme Court raps Meta over WhatsApp privacy policy

The Supreme Court warned Meta that it would not tolerate any compromise of citizens’ privacy while hearing a case related to WhatsApp’s 2021 privacy policy and a CCI penalty.

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The Supreme Court on Tuesday delivered strong observations against Meta, the parent company of WhatsApp, over the messaging platform’s 2021 privacy policy, warning that it would not tolerate any compromise of citizens’ privacy.

A bench led by Chief Justice Surya said the court would not allow the sharing of user data in a manner that exploits Indians, remarking that privacy protections under the Constitution must be followed. “You can’t play with privacy… we will not allow you to share a single digit of our data,” the Chief Justice said during the hearing.

The matter relates to a plea challenging the law tribunal’s decision that upheld a ₹213 crore penalty imposed by the Competition Commission of India (CCI) on WhatsApp, while also permitting certain data-sharing practices for advertising purposes.

Court questions accessibility of privacy policy

During the hearing, the court raised concerns about whether WhatsApp’s privacy policy could realistically be understood by large sections of the population, particularly those who are poor or not formally educated.

The bench questioned if users such as roadside vendors, rural residents, or people who do not speak English would be able to comprehend the policy’s terms. It also expressed scepticism about the effectiveness of opt-out clauses, stating that even legally trained individuals find such policies difficult to understand.

Describing the alleged data practices as potentially exploitative, the court said it would not allow private information to be taken without genuine and informed consent from users.

The Chief Justice also cited a personal example, suggesting that users often begin seeing advertisements shortly after exchanging sensitive messages on WhatsApp, such as medical conversations, raising questions about how user data is being utilised.

Arguments from government and Meta

Appearing for the government, Solicitor General Tushar Mehta criticised WhatsApp’s data-sharing practices, calling them exploitative and commercially driven. In response, the Chief Justice said that if companies cannot operate in line with constitutional values, they should not do business in India.

Senior advocates Mukul Rohatgi and Akhil Sibal, appearing for Meta and WhatsApp, countered the allegations by asserting that all WhatsApp messages are end-to-end encrypted and that the company cannot read message content.

Background of the case

In November 2024, the CCI ruled against WhatsApp over its 2021 privacy policy, holding that the company had abused its dominant market position by effectively forcing users to accept the updated terms.

The watchdog objected to WhatsApp making continued access to messaging services conditional on permitting data-sharing with other Meta platforms, leading to the imposition of a ₹213 crore fine. Meta has deposited the penalty.

In January 2025, Meta and WhatsApp challenged the CCI order. Later, in November 2025, the law tribunal lifted a five-year restriction on data-sharing while maintaining the financial penalty.

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