Business/ News Measurements Network
The Union Cabinet has approved the issuance of Ordinance to open the bank account and allow voluntary use of the base as an identity card for mobile phone connection. This Ordinance was necessary because, despite the passage of the amendments related to it in the Lok Sabha on January 4, it was stuck in the Rajya Sabha. In such a situation, after the dissolution of the Lok Sabha, it would be neutralized.
Amendments to the Aadhaar Act will be effective from this Ordinance. Union Minister for Information Technology Ravi Shankar Prasad told reporters after a meeting of the Cabinet chaired by Prime Minister Narendra Modi that the Cabinet approved the proposal to bring an ordinance to make the amendment in the base and other laws effective.
In the amendment, there is a provision for stringent penalties for the violation of rules related to the use of the base and privacy. Prasad said, "The basis under the Telegraph Act and Prevention of Money Laundering Act (PMLA) can be used voluntarily for KYC. Companies using the Aadhaar will have to follow the guidelines related to privacy.