1. Banks sans Aadhaar enrollment centres face Rs 20,000 fine from October

Banks sans Aadhaar enrollment centres face Rs 20,000 fine from October

The UIDAI has given banks one more month to open Aadhaar enrolment centres in a stipulated 10 per cent of branches and will impose Rs 20,000 as fine per uncovered branch after September 30, CEO Ajay Bhushan Pandey said today.

By: | New Delhi | Published: September 5, 2017 4:19 PM
aadhaar, aadhaar enrollment centres, fine on aadhaar centres, UIDAI, Ajay Bhushan Pandey The Unique Identification Authority of India (UIDAI), in July, had asked private as well as public banks to open Aadhaar enrolment and updation facility in one out of 10 branches by August-end.

The UIDAI has given banks one more month to open Aadhaar enrollment centres in a stipulated 10 per cent of branches and will impose Rs 20,000 as fine per uncovered branch after September 30, CEO Ajay Bhushan Pandey said today. The Unique Identification Authority of India (UIDAI), in July, had asked private as well as public banks to open Aadhaar enrolment and updation facility in one out of 10 branches by August-end. The reprieve of one month has now been granted as many banks sought additional time from the authority for setting up such facility on their premises. “Banks approached us saying they need more time, so we have given them till September 30 to set up the facility. Non-compliance after the deadline will attract a fine of Rs 20,000 per uncovered branch every month,” Pandey told PTI. This means a bank with 100 branches will need to have Aadhaar enrolment facility in 10 branches. Failure to open the stipulated facility in, say, five branches even after expiry of the September 30 deadline, would mean that the bank will have to cough up penalty of Rs 1 lakh in the first month itself (at the rate of Rs 20,000 per uncovered branch).

Similarly, the penalty will be imposed in subsequent months, also based on the branches that are left uncovered. Aadhaar, the 12-digit biometric identity number, is required for opening of bank accounts and financial transaction of Rs 50,000 and above. Existing bank account holders too are required to furnish the Aadhaar number by December 31, 2017. “This (enrolment facility in bank premises) was done for convenience of people. Given the requirement of linking Aadhaar with existing bank account and for new bank accounts, having the enrollment and updation facilities within the branches (10 per cent) will ensure that people do not face any difficulty,” Pandey explained the rationale.

Many banks have informed the authority that the process of procuring biometric devices, certification of enrollment operators and identifying enrollment agencies is still on. “We wanted to give banks a reasonable time to set up the required infrastructure, and one month is a reasonable time,” Pandey said, adding that he did not anticipate any further delay by banks to have the enrollment facilities in place. The PSU and private banks have been informed about the extension.

There are 1,20,000 bank branches in the country and with this move, 12,000 Aadhaar enrolment and updation centres will have to be set up in those branches. Many banks are already registrars, but they do not have enrollment centres inside the bank premises today.

  1. R
    Reader
    Oct 1, 2017 at 8:18 am
    A centralized and inter-linked biometric database like Aadhaar will lead to profiling and self-censorship, endangering freedom. Personal data gathered under the Aadhaar program is prone to misuse and surveillance. A centralized and interlinked database can lead to commercial abuse. Aadhaar project has created a vulnerability to identi-ty fraud, even identi-ty theft. Easy harvesting of biometrics traits and publicly-available Aadhaar numbers increase the risk of impersonation, especially online and banking fraud. Centralized databases can be hacked. Biometrics can be cloned, copied and reused. Thus, biometrics can be faked. High-resolution cameras can capture fingerprints and iris information from a distance. You can change your password if it is compromised. But if someone gets a copy of your biometric data, which can be used for authentication, what would you do?
    Reply
    1. R
      Reader
      Sep 11, 2017 at 10:05 pm
      The Supreme Court is yet to take a decision on the validity of Aadhaar and whether the state can compulsorily link Aadhaar to various programs and all financial transactions. On 24 August 2017, a nine-judge bench ruled against the central government to declare that privacy is a fundamental right under the Consti-tution of India. The Supreme Court is set to hear peti-tions challenging the validity and other aspects of Aadhaar in the first week of November this year. So just wait for the verdict.
      Reply
      1. R
        Reader
        Sep 11, 2017 at 10:02 pm
        UK’s Biometric ID Database was dismantled. Why the United Kingdom's biometrics-linked National Identi-ty Card project to create a centralized register of sensitive information about residents similar to Aadhaar was scrapped in 2010?? The reasons were the massive threat posed to the privacy of people, the possibility of a surveillance state, the dangers of maintaining such a huge centralized repository of sensitive information, and the purposes it could be used for, and the dangers of such a centralized database being hacked. The other reasons were the unreliability of such a large-scale biometric verification processes, and the ethics of using biometric identification.
        Reply
        1. R
          Reader
          Sep 11, 2017 at 10:01 pm
          The US Social Security Number (SSN) card has no biometric details, no photograph, no physical description and no birth date. All it does is confirm that a particular number has been issued to a particular name. Instead, a driving license or state ID card is used as an identification for adults. The US government does not collect the biometric details of its own citizens.
          Reply
          1. R
            Reader
            Sep 11, 2017 at 10:01 pm
            The privacy laws of the United States deal with several different legal concepts. One is the invasion of privacy, a tort based in common law allowing an aggrieved party to bring a lawsuit against an individual who unlawfully intrudes into his or her private affairs, discloses his or her private information, publicizes him or her in a false light, or appropriates his or her name for personal gain. The essence of the law derives from a right to privacy, defined broadly as "the right to be let alone."
            Reply
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