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Parliament passes Aadhaar amendment bill

The amendment bill, which also provides for a stiff Rs one crore penalty and a jail term for private entities for violating provisions on Aadhaar data, was earlier passed by Lok Sabha on July 4.

July 08, 2019 / 21:03 IST
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Parliament on July 8 passed an amendment bill which allows voluntary use of Aadhaar as proof of identity for users to open bank accounts and get mobile phone connections.

The Aadhaar and Other Laws (Amendment) Bill, 2019 was passed in Rajya Sabha by a voice vote, although many parties including the Trinamool Congress and DMK opposed it citing various reasons, including apprehensions data theft.

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The amendment bill, which also provides for a stiff Rs one crore penalty and a jail term for private entities for violating provisions on Aadhaar data, was earlier passed by Lok Sabha on July 4. It was introduced on June 24 to replace an ordinance issued in March 2019.

The amendments provide for use of Aadhaar number for KYC authentication on voluntary basis under the Telegraph Act, 1885, and the Prevention of Money Laundering Act, 2002. Put simply, this means it will allow voluntary use of Aadhaar number for authentication and identity proof in opening bank accounts and procuring mobile phone connections.