SC to hear plea against linking Aadhaar to bank accounts, phones: 

SC to hear plea against linking Aadhaar to bank accounts, phones: 

Context:

• The Supreme Court will hear a petition challenging the government move to link bank accounts and mobile phones with Aadhaar numbers.
• It is said to violate the fundamental right to privacy and equates citizens, including the elderly, women and students, with money launderers.

What is Aadhaar?

• Aadhaar is a 12 digit unique-identity number issued to all Indian residents based on their biometric and demographic data.
• The data is collected by the Unique Identification Authority of India (UIDAI), a statutory authority established in January 2009 by the Government of India, under the Ministry of Electronics and Information Technology.

What is Unique Identification Authority of India?

• Unique Identification Authority of India (UIDAI): The UIDAI is mandated to assign a 12-digit unique identification (UID) number to all the residents of India.
• The number is linked to the resident’s basic demographic and biometric informations such as photograph, ten fingerprints and two iris scans, which are stored in a centralised database.
• The implementation of UID scheme entails:
• generation and assignment of UID to residents,
• defining mechanisms and processes for interlinking UID with partner databases,
• operation and management of all stages of UID life cycle and
• framing policies and procedures for updation mechanism and defining usage and applicability of UID for delivery of various services among others.

What are the services linked to Aadhaar?

• As over 50 services are linked to Aadhaar. Some of them are as follows:
• As proof of identity: Aadhaar is accepted as a valid identity proof by the Central and all State governments for availing services, including application for passport, opening of bank or insurance accounts, getting telephone and mobile phone connections, and buying rail tickets and availing concessions.
• To verify electoral roll: In order to keep a check on multiple entries in electoral rolls, the Election Commission has started a drive to include Aadhaar number along with Electors Photo Identity Card or voter Id card.
• To open bank accounts and transact over 50,000: The Centre on June 16, 2017 made quoting of Aadhaar mandatory for opening of bank accounts as well as for any financial transaction of 50,000 and above.
• In Provident fund: The Employees Provident Fund Organisation allots a Universal Account Number in order to facilitate smooth transfer of funds when an employee switches companies.
• In Pradhan Mantri Ujjwala Yojana: The scheme uses Aadhaar to verify the claim of the beneficiary and to transfer the subsidy amount.

What was the recent verdict on Right to Privacy? What are its conflicts with Aadhaar?

• On the 24th of August, 2017, a nine-judge bench of the Supreme Court delivered its verdict affirming that the right to privacy is a fundamental right under the Indian Constitution.
• The Court held that privacy is intrinsic to life, liberty, freedom and dignity and therefore, is an inalienable natural right.

Right to privacy and Aadhaar:

• Deeper questions of surveillance by the state, invasion of privacy at all levels, and the very fact of human beings being depicted to be mere numbers in the eyes of state leads to violation of dignity.
• This could potentially lead to the denial of, and access to, many important social opportunities and other facilities for a particular section of people, who could be discriminated against by the state.
• The mobile phone circular is violative of Article 300A of the Constitution which protects a person’s right to not be deprived of property.
• The Articles says that a bank account and mobile phone connection is the personal property of an individual.
• The second aspect of the Prevention of Money-laundering (Maintenance of Records) (Second Amendment) Rules, 2017 is the requirement for banks to block access to those bank accounts of those customers who do not link their Aadhaar numbers to their accounts.
• This rule is without doubt unconstitutional because the parliament did not delegate to the central government the right to block bank accounts and deprive Indian citizens of their property.

What is the way forward?

• In view of the increased security required specifically for territorial privacy and data privacy, there should be a provision added to the Constitution of India.
• There is a dire need for a comprehensive privacy legislation which would ensure the protection of personal and sensitive data of people.
• There is also the need for an established regulatory body.