MCA21 registration: Law Ministry suggests Modi government to postpone decision of making Aadhaar mandatory

By: |
Published: September 19, 2017 12:52:54 PM

The Law Ministry of India has recently urged the Central government to defer its plan to make the submission of Aadhaar details compulsory for corporate stakeholders and executives in the e-business register MCA 21.

MCA21 registration, law ministry on MCA21 registration, MCA21 registration decision, MCA21 registration case, MCA21 registration verdict, government on MCA21 registration, Law Ministry on aadhaar mandatory, Aadhaar details mandatory, Right to Privacy, MCA on aadhaar mandatory, Article 21, shell companies, money laundering, Indian marketThe development has come following the Supreme Court verdict which makes Right to Privacy a fundamental right.

The Law Ministry of India has recently urged the Central government to defer its plan to make the submission of Aadhaar details compulsory for corporate stakeholders and executives in the e-business register MCA 21. The development has come following the Supreme Court verdict which makes Right to Privacy a fundamental right. As several provisions of the Aadhaar Act are sub judice, the Law Ministry has advised the Ministry of Corporate Affairs (MCA) to wait for the apex court’s final verdict on the issue, as per a report by Indian Express. It has been about five months since the Narendra Modi-led NDA government has made it compulsory to submit Aadhaar and PAN details of top corporate executives in the e-business register.

The Law Ministry has suggested the government to put on hold its decision of mandatory linking of Aadhaar in order to avoid any controversy which might lead to any trouble from the related quarters. The Ministry’s advice came five days after a bench of nine judges of the apex court ruled that “privacy was intrinsic to freedom of life and personal liberty guaranteed under Article 21 of the Constitution.”

According to an Indian Express report published earlier this month, the Ministry of Corporate Affairs (MoCA) in April had asked individual stakeholders to obtain Aadhaar in order to list out the bogus entities as well as shell companies. With this move, the government reportedly wanted to weed out fake entities and identify shell companies suspected to be under money laundering activities.

However, the government realised that the information can be freely accessed by the public under the Companies Act. The report also states that MCA has sought advice from the Legal Affairs Department on whether the personal information and documents on MCA 21 could continue to be disclosed on public platform.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.