Previous Year Question
Consider the following statements:
Aadhaar metadata cannot be stored for more than three months.
State cannot enter into any contract with private corporations for sharing of Aadhaar data.
Aadhaar is mandatory for obtaining insurance products.
Aadhaar is mandatory for getting benefits funded out of the Consolidated Fund of India.
Which of the statements given above is/are correct?
1 and 4 only
2 and 4 only
3 only
1, 2 and 3 only
Correct Answer: B
Detailed Solution
Statement 1 is incorrect. The prescribed limit for retaining Aadhaar authentication transaction data was not three months. The Aadhaar Authentication Regulations prescribed a period of six months for such authentication transaction data. Therefore, the three-month limit given in the statement is incorrect.
The Aadhaar Act distinguishes Core Biometric Information from other identity-related information. Core biometric information includes fingerprints, iris scans and other biological attributes prescribed by regulations. Such core biometric information cannot ordinarily be shared with any person or entity.
Statement 2 is correct. In the K.S. Puttaswamy Aadhaar judgment, 2018, the Supreme Court invalidated the portion of Section 57 of the Aadhaar Act that permitted private entities to use Aadhaar on the basis of a contract between an individual and a private corporation. Sections 28 and 29 of the Aadhaar Act also impose restrictions on sharing Aadhaar data. Therefore, in the context of the question, Aadhaar data cannot be shared with private corporations through such contracts.
Statement 3 is incorrect. Following the Supreme Court’s judgment, Aadhaar cannot be made mandatory for purchasing insurance products. A person may voluntarily use Aadhaar under a legally permitted framework, but it cannot be imposed as a general mandatory condition for obtaining an insurance product.
Statement 4 is correct. Section 7 of the Aadhaar Act permits the Central or State Government to require the production of an Aadhaar number for receiving a subsidy, benefit or service for which expenditure is incurred from the Consolidated Fund of India or the Consolidated Fund of a State.
However, a person who has not yet been assigned an Aadhaar number must be offered an opportunity to enrol and must be provided an alternative means of identification until the Aadhaar number is assigned. An eligible person should not be denied the benefit merely because an Aadhaar number has not yet been issued.