SC directs mobile cos, banks to provide last date for linkage with Aadhaar

The Supreme Court today directed all mobile service providers and bank companies to issue a last date by which Aadhaar must be linked to user accounts.

A Bench of Justices AK Sikri and Ashok Bhushan issued the direction while hearing a batch of petitions challenging the Aadhaar Act.

The Bench has tagged these petitions with the existing ones challenging the Act, and has asked the parties concerned to approach the concerned Bench and make necessary requests.

A battery of senior lawyers including Anand Grover, Shyam Divan and Arvind Datar appeared and argued on behalf of the petitioners.

Attorney General KK Venugopal appeared for the Centre. He submitted that the Aadhaar Act might itself undergo some changes in light of the Data Protection Bill which is under the process of being drafted by a Committee headed by former Supreme Court judge Justice BN Srikrishna.

The Centre had submitted an affidavit stating that Rule 2(b) of the Prevention  of Money Laundering (Maintenance of Records) Second Amendment Rules, 2017 requires Aadhaar for opening new bank accounts and verification of existing accounts. The date for doing has been extended to March 31, 2018.

Datar submitted said that the government cannot dictate terms on linking bank accounts with Aadhaar card under the garb of the Rules under the PMLA. He argued that the rules to link accounts with Aadhaar were neither notified by the RBI, nor were they framed under the Banking Regulations Act. He stated,

“My prima facie concern is over jurisdiction.”

KV Vishwanathan apprised the Bench on the issue of linking mobile numbers to Aadhaar and said that a time limit should be specified by the mobile service providers for the same.

On that subject, the Centre in its affidavity submitted that as per the Supreme Court order in Lokniti Foundation v. Union of India, Aadhaar-based E-KYC verification of mobile subscribers was required to be done by February 6, 2018.

Justice Sikri jokingly said that even he receives calls and messages asking him to link his accounts with Aadhaar.

The Bench then asked the counsel present in the Court to address the issue before the Constitution Bench that will hear the main matter starting the last week of November.

It then proceeded to issue notice to the Centre and direct the service providers and bank companies to specify the last date to link accounts with Aadhaar.

Read excerpts from the Centre’s affidavit: