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AADHAAR CONSTITUTIONALLY VALID (Highlights of the Verdict (passed the…
AADHAAR CONSTITUTIONALLY VALID
Background
Aadhaar sought to make the requirement of demographic and biometric data of an individual mandatory. It was argued to be against the fundamental right to privacy.
Aadhaar Act, 2016 was passed as Money Bill to give statutory backup to the Aadhaar and UIDAI.Its
passage as Money Bill too was contested.
Till now no exclusive Data Privacy Law exist in India giving rise to the concerns of State surveillance and misuse of personal data by the commercial entities
Highlights of the Verdict
passed the triple test laid down in the Puttaswamy (Privacy) judgment to determine the reasonableness of the invasion of privacy (under Art 21)
Existence of a law
A legitimate state interest
Test of proportionality
No fear of Surveillance state
Provisions of the Aadhaar Act “do not tend to create a surveillance state”
Aadhaar collects minimal biometric data in the form of iris and fingerprints
Security of the biometric data
an encrypted, unidirectional relationship between the host application and the UIDAI
authentication agencies are not allowed to store the biometrics
Linking of Aadhaar with Financial transactions
the amendment did not stand the proportionality test in the triple test
Aadhaar Act as Money Bill
Supreme Court has upheld the validity of the Aadhaar
Act being passed as a Money Bill
Impact of the Judgement
Striking down of Regulation 27(1)
storage period of authentication data from five years to six months
Striking down of Section 47
citizens can file a complaint in case of data theft, which earlier could be done by the government (i.e. UIDAI) alone
Challenges that still remain
For the Fintech companies, Verdict makes it like removing an enabler instead of ensuring protection
Impact of mandating Aadhaar on the poor:
We need a strong data protection law
Aadhaar as a single identifier