1. Gold sales likely to revive during Diwali as KYC norms eased

Gold sales likely to revive during Diwali as KYC norms eased

Gold sales are likely to revive during the ensuing Diwali festival with the government revoking an order that mandated PAN and Aadhaar cards for purchases above Rs 50,000, an industry body said.

By: | New Delhi | Published: October 8, 2017 1:41 PM
Gold sales, Gold sales during diwali, pan, aadharr cards,  Dhanteras, All India Gems and Jewellery Federation , PMLA Gold prices were ruling firm at Rs 30,555 per 10 grams and silver at Rs 40,600 per kg in the national capital as of Saturday. (Reuters)

Gold sales are likely to revive during the ensuing Diwali festival with the government revoking an order that mandated PAN and Aadhaar cards for purchases above Rs 50,000, an industry body said. Higher sales are expected on Dhanteras to be celebrated on October 17 this year. Dhanteras is considered to be an auspicious day for buying gold, silver and other valuables and is largely celebrated in North and West India.

Gold prices were ruling firm at Rs 30,555 per 10 grams and silver at Rs 40,600 per kg in the national capital as of Saturday. “This is a big relief and there could not have been a better Diwali gift than this for both jewellers and consumers,” All India Gems and Jewellery Federation Chairman Nitin Kandelwal told PTI. “We are expecting sales to revive after a lull in preceding months. We will be more than happy if sales remain normal during Diwali,” he said.

More than jewellers, consumers were affected with the notification as they were not comfortable showing PAN and Aadhaar documents. “The rollback of this order will definitely improve ease of doing business,” he said. However, there is a need to create more awareness about the development among consumers, he added.

Echoing views, Kerala-based Kalyan Jewellers Director Rajesh Kalyanraman said it’s a “positive” move and should help improve sales in the coming days. “Sales were down in last two months…We are hoping Diwali sales to be positive. We are expecting a 15 per cent growth from over year-ago period,” he said. During last Dhanteras, gold and jewellery sales had risen by up to 25 per cent on higher demand in view of good monsoon and favourable price levels, as per the industry body data.

Mobile wallet company Paytm Vice President Nitin Misra said: “We have consistently held Paytm Gold buyers to the highest standards by ensuring 100 per cent digital transactions and fulfilling all PMLA requirements”. The company will continue to ensure best-in-class practices for customer KYC and provide a reliable and convenient platform for gold buying this festive season regardless of budget, he said in a statement.

In a notification issued on August 23, the government had brought jewellery dealers under the purview of the Prevention of Money Laundering Act 2002 (PMLA) and were told to report on buyers making purchases over Rs 50,000. Therefore, PAN and Aadhaar cards were made mandatory as part of ‘Know your customer (KYC)’ rule.

A decision to revoke the said notification was taken in the GST Council meeting held last week.
India is the world’s largest gold consumer and imports a sizeable chunk of its total annual consumption of around 900- 1,000 tonnes.

  1. R
    Reader
    Oct 9, 2017 at 3:09 pm
    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. 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 your fingerprints and iris information from a distance. Every eye hospital will have iris images of its patients. So another person can clone your fingerprints and iris images without your knowledge, and the same can be used for authentication. If the Aadhaar scheme is NOT STOPPED by the Supreme Court, the biometric features of Indians will soon be cloned, misused, and even traded.
    Reply
    1. R
      Reader
      Oct 9, 2017 at 3:08 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 personal 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
        Oct 9, 2017 at 3:08 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 for the purpose of issuing Social Security Number. The US collects the fingerprints of only those citizens who are involved in any criminal activity (it has nothing to do with SSN), and the citizens of other countries who come to the US.
        Reply

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