View source for Aadhaar Act 2016

{{use dmy dates|date=April 2019}}
{{use Indian English|date=March 2017
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{{Infobox legislation
| imagesize          = 160
| long_title          = An Act to provide for, as a good governance, efficient, transparent, and targeted delivery of subsidies, benefits and services, the expenditure for which is incurred from the Consolidated Fund of India, to individuals residing in India through assigning of unique identity numbers to such individuals and for matters connected therewith or incidental thereto.
| citation           = [http://www.prsindia.org/administrator/uploads/media/AADHAAR/Aadhaar%20Bill,%202016.pdf 47 of 2016]
| territorial_extent  = Whole of [[India]]
| enacted_by          = [[Parliament of India]]
| date_passed = 11 March 2016 
| enforced = 12 July 2016 and 12 September 2016
| bill_date                = 3 March 2016
| introduced_by = [[Arun Jaitley]],<br/> 
{{small|[[Minister of Finance (India)| Minister of Finance]]}}
| status	     = in force
}}

The '''Aadhaar (Targeted Delivery of Financial and other Subsidies, benefits and services) Act, 2016''' is a [[money bill#India|money bill]] of the [[Parliament of India]]. It aims to provide legal backing to the [[Aadhaar]] unique identification number project. It was passed on 11 March 2016 by the [[Lok Sabha]].<ref name="Empower-TOI">{{cite news|title=Lok Sabha passes Aadhaar bill to empower citizens|url=http://timesofindia.indiatimes.com/india/Lok-Sabha-passes-Aadhaar-bill-to-empower-citizens/articleshow/51358896.cms|access-date=11 March 2016|work=[[The Times of India]]|date=11 March 2016}}</ref> Certain provisions of the Act came into force from 12 July 2016 and 12 September 2016.<ref>https://uidai.gov.in/images/notification_of_sections_13072016.pdf</ref><ref>https://uidai.gov.in/images/notification_regarding_enforcing_provisions_of_sections1to10_24to47_14092016.pdf</ref>

==Background==
During the [[2016 Union budget of India|budget]] presentation on 29 February 2016, Finance Minister [[Arun Jaitley]] announced that a bill will be introduced within a week which will provide legislative support to the [[Aadhaar]].<ref name="MightBeMoney-Red">{{cite news|title=Aadhaar legislation might be a Money Bill|url=http://www.rediff.com/business/report/budget-2016-aadhaar-legislation-might-be-a-money-bill/20160302.htm|access-date=6 March 2016|work=[[Rediff]]|date=2 March 2016}}</ref> On 3 March 2016, the Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Bill, 2016 was introduced in the Parliament as a [[Money bill#India|money bill]] by Jaitley as it fulfilled Article 110's provisos - 110(1)(c), 110(1)(d) and 110(1)(e) of the [[Constitution of India]].<ref name="Tabled-BL">{{cite news|title=Aadhaar legislation tabled as a money Bill|url=http://www.thehindubusinessline.com/economy/new-aadhaar-bill-introduced-as-money-bill-in-lok-sabha/article8309587.ece|work=[[The Hindu Business Line]]|date=3 March 2016}}</ref><ref>{{Cite web|url=https://indiankanoon.org/doc/72095/|title=Article 110 in The Constitution Of India   1949|website=indiankanoon.org|access-date=2016-06-13}}</ref> The decision to introduce it as a money bill was criticised by the opposition parties. [[Ghulam Nabi Azad]], an [[Indian National Congress|INC]] leader, wrote in a letter to Jaitley that the ruling party [[BJP]] was trying to bypass the [[Rajya Sabha]], as they did not have the majority in the upper house. A money bill is only required to pass in the lower house [[Lok Sabha]].<ref name="MoneyBill-TH">{{cite news|title=Opposition livid over money bill on Aadhaar|url=http://www.thehindu.com/news/national/aadhaar-opposition-livid-over-money-bill/article8318870.ece|access-date=6 March 2016|work=[[The Hindu]]|date=6 March 2016}}</ref> [[Jyotiraditya Scindia]] of INC asked why a new bill was introduced when the National Identification Authority of India Bill, 2010 was still pending in the Rajya Sabha.<ref name="AmidProtest-DC">{{cite news|title=Aadhaar bill tabled in LS amid protest|url=http://www.deccanherald.com/content/532580/aadhaar-bill-tabled-ls-amid.html|access-date=6 March 2016|work=[[Deccan Chronicle]]|date=4 March 2016}}</ref>

The bill was passed on the 11 March 2016 by the [[Lok Sabha]] by a [[voice vote]] after a brief debate.<ref name="Empower-TOI"/> [[Tathagata Satpathy]] of [[Biju Janata Dal]] (BJD) had raised concerns that the project could be used for [[mass surveillance]] or [[ethnic cleansing]] in the future. He also raised  questions about why a new identity card project was created despite having several identity card systems. He also questioned why the bill was introduced as a [[money bill#India|money bill]]. He also said that although the bill allows the sharing of biometric under the circumstances of national security, no concrete definition of national security was included.<ref name="MassSurveillance-NDTV">{{cite news|title=Opposition Alleges Aadhaar Data Could Be Used For Mass Surveillance|url=http://www.ndtv.com/india-news/opposition-alleges-aadhaar-data-could-be-used-for-mass-surveillance-1286202|access-date=11 March 2016|work=[[NDTV]]|date=11 March 2016}}</ref> 

Bhartruhari Mahtab of BJD requested that the bill should not be rushed and referred to a parliamentary panel. [[Mallikarjun Kharge]] of INC said that they supported the bill but wanted some suggestions to be discussed.<ref name="DirtyTrick-NDTV">{{cite news|title=As Aadhaar Bill Is Passed In Lok Sabha, Opposition Alleges Dirty Trick|url=http://www.ndtv.com/india-news/no-political-difference-on-aadhar-arun-jaitley-tells-congress-1286116|access-date=11 March 2016|work=[[NDTV]]|date=12 March 2016}}</ref> [[Rajeev Satav]] of INC reminded the house that initially the ruling-party BJP had opposed the Aadhaar during the reign of [[United Progressive Alliance]] (UPA), before turning around and supporting it.<ref name="MassSurveillance-NDTV"/> During the debate, Finance Minister [[Arun Jaitley]] assured the house that the Aadhaar project will not be misused. Jaitley stated that 97% of the adult and 67% of children had already been registered under the project.<ref name="Adults97-NDTV">{{cite news|title=Arun Jaitley Says Aadhaar Now With 97 Per Cent Adults|url=http://www.ndtv.com/india-news/arun-jaitley-says-aadhaar-now-with-97-per-cent-adults-1286111|access-date=11 March 2016|work=[[NDTV]]|date=11 March 2016}}</ref> He also said that the definition of national security is up to the courts to define.<ref name="AmidProtests-IE">{{cite news|title=Aadhar Bill passed in Lok Sabha amid Opposition protests|url=http://indianexpress.com/article/india/india-news-india/aadhar-card-uid-bill-lok-sabha-arun-jaitley/|access-date=11 March 2016|work=[[The Indian Express]]|date=11 March 2016}}</ref>

On 15 March 2016, Shumsher K. Sheriff, Secretary of the [[Rajya Sabha]], formally notified the house that the bill has been passed in the Lok Sabha.<ref name="TabledRS-TH">{{cite news|title=Aadhaar Bill tabled in RS, Opposition cries foul|url=http://www.thehindu.com/news/national/aadhaar-bill-tabled-in-rs-opposition-cries-foul/article8353471.ece|access-date=16 March 2016|work=[[The Hindu]]|date=15 March 2016}}</ref> During the debate spanning over two days, [[Naresh Agrawal]] of [[Samajwadi Party]] (SP) said that the bill doesn't fit into the definition of a money bill. [[P. J. Kurien]], Deputy Chairman of Rajya Sabha, said that it was the decision of Lok Sabha Chairperson [[Sumitra Mahajan]] to allow the bill, so it should not be questioned. [[Sitaram Yechury]] of [[Communist Party of India (Marxist)]] (CPI-M) argued that the bill was unconstitutional as the [[Constitution of India|Constitution]] guarantees the [[Fundamental rights in India|freedom of life and liberty]] and [[privacy]] comes under it.<ref name="ClashRS-TOI">{{cite news|title=Government, opposition clash over Aadhaar Bill in Rajya Sabha|url=http://timesofindia.indiatimes.com/india/Government-opposition-clash-over-Aadhaar-Bill-in-Rajya-Sabha/articleshow/51426059.cms|access-date=16 March 2016|work=[[The Times of India]]|date=16 March 2016}}</ref> Jaitley responded to Yechury by saying that privacy is not an absolute right and it can be restricted by the law.<ref name="YechurySpar-IT">{{cite news|title=Jaitley, Yechury spar in Rajya Sabha on Aadhaar as a Money Bill|url=http://indiatoday.intoday.in/story/jaitley-to-yechury-definition-of-intolerance-cant-be-different-for-you-and-me/1/621545.html|access-date=16 March 2016|work=[[India Today]]|date=16 March 2016}}</ref> [[Jairam Ramesh]] of INC said Aadhaar should be limited to subsidies only and not made mandatory for any purpose.<ref name="RSReturns-HT">{{cite news|title=Rajya Sabha returns Aadhaar bill to Lok Sabha with amendments|url=http://www.hindustantimes.com/india/rajya-sabha-returns-aadhaar-bill-to-lok-sabha-with-amendments/story-uCVCaTLOVVyOVwrHqEuOSI.html|access-date=16 March 2016|work=[[Hindustan Times]]|date=16 March 2016}}</ref>

On 16 March 2016, the bill was returned to the Lok Sabha by the Rajya Sabha with some suggested amendments. The Lok Sabha was free to accept or reject the amendments.<ref name="RSReturns-HT"/> But, Lok Sabha rejected the amendments and passed the bill.<ref name="RejectAmends-DNA">{{cite news|title=Aadhar bill passed in Lok Sabha after rejection of amendments introduced in Rajya Sabha|url=http://www.dnaindia.com/india/report-aadhar-bill-hits-rajya-sabha-roadblock-returned-to-lok-sabha-with-amendements-2190133|access-date=16 March 2016|work=[[DNA India]]|date=16 March 2016}}</ref>

==Summary==
Most of the provisions of the Bill have been borrowed from the previous National Identification Authority of India Bill, 2010. The major difference is that the three-member committee called the Identity Review Committee of the previous bill was removed in the new bill.<ref name="AdoptUPA-BS">{{cite news|title=Government adopts UPA's Aadhaar Bill|url=http://www.business-standard.com/article/economy-policy/government-adopts-upa-s-aadhaar-bill-116030700046_1.html|access-date=11 March 2016|work=[[Business Standard]]|date=7 March 2016}}</ref> Also, the section 8 of Aadhaar Act is significantly different from that of NIAI bill, 2010. While the NIAI bill allowed the authentication limited to the biometric match only with Yes/No option, the Aadhaar Act allows the requesting agency/person to ask for other information too, pertaining to the person's identity.<ref name="The Curious Case of Aadhaar">{{cite news|title=The Curious Case of Aadhaar|url=http://www.anupamtimes.com/2017/06/the-curious-case-of-aadhaar.html|access-date=6 July 2017|work=[[Anupamtimes]]|date=26 June 2017}}</ref>

===Chapter I: Preliminary===
The Clause 2 (g) defines "[[biometric]] information" as photograph, [[finger print]], [[iris scan]], or "other such biological attributes" of an individual. The Clause 2 (k) defines "[[demographic]] information" as name, date of birth, address and "other relevant information" of an individual. It explicitly excludes [[Race (human categorization)|race]], [[religion]], [[caste]], [[tribe]], [[ethnicity]], [[language]], records of [[entitlement]], [[income]] or [[medical history]]. The Clause 2 (v) defines "resident" as an individual who has resided in India for a period or periods amounting in all to 182 days or more in the 12 months immediately preceding the date of application for enrolment.<ref name=FullAct>{{cite act |title=Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Bill, 2016 |type= Bill|number=47 |date=2016 |url= http://www.prsindia.org/uploads/media/AADHAAR/Aadhaar%20bill%20as%20passed%20by%20LS.pdf|access-date=18 March 2016}}</ref>

===Chapter II: Enrolment===
The Clause 3 (1) states that every resident is entitled to obtain an Aadhaar number by submitting their biometric and demographic information. The central government may however in future require other categories of individuals to enrol by releasing a notification. According to Clause 3 (2), at the time of registration the enrolling agency must inform the resident about the manner in which the data will be used, with whom it will be shared and procedure of access. The [[UIDAI]] will issue an Aadhaar number to the resident after verifying the data. According to Clause 4, it should be unique and random. The Clause 6 states that the UIDAI may require Aadhaar number holders to submit additional biometric and demographic information, or update the information in the future.<ref name=FullAct/>
1058/13797/48987

===Chapter III: Authentication===
The Clause 7 states that the central or state government may require a person to possess an Aadhaar number if he/she is receiving some [[subsidy]]. If they do not possess an Aadhaar number, they will be required to apply for other, in meantime the government will provide them the subsidy using an alternate mean of identification. According to Clause 8, UIDAI may perform verification of Aadhaar for other private and public agencies on request in exchange for a fee. The requesting must obtain the consent of the Aadhaar holder for verification, and inform him/her of nature of the information that will be shared upon verification. The Clause 8 (4) states that UIDAI may share identity information, but it cannot share the biometric information. The Clause 9 states that Aadhaar is not a proof of [[Indian citizenship|citizenship]] or domicile.<ref name=FullAct/>

===Chapter IV: Unique Identification Authority of India===
The Chapter IV details the functions and powers of the [[UIDAI]]. The Clause 23 (2) states that the UIDAI has the power to specify the demographic and biometric information that must be collected for registration. It can issue Aadhaar numbers to residents and perform verifications. It can also specify the subsidies and services for which Aadhaar will be required.<ref name=FullAct/>

The Clause 12 states that the UIDAI will consist of a chairperson, two part-time members and a chief executive officer. The Clause 13 states the chairperson and members must have experience and knowledge of at least 10 years in matters relating to
technology, governance, law, development, economics, finance, management, public affairs or administration.<ref name=FullAct/>

===Chapter V: Grants, Accounts and Audit and Annual Report===
The Clause 25 states that any fees collected and revenue generated by the UIDAI will be deposited in the [[Consolidated Fund#India|Consolidated Fund of India]]. The Clause 27 (2) states that the UIDAI must submit an annual report to the central government detailing its activities of the past year, revenues and expenditures of the past year, and plans for the upcoming year.<ref name=FullAct/>

===Chapter VI: Protection of Information===
The Clause 28 (1) states that the UIDAI must ensure the security of identity information and authentication records. The authentication records has been as "record of the time of authentication and identity of the requesting entity and the response provided" in Clause 2 (d). The Clause 32 states that the UIDAI must maintain the authentication records for the specified period. The Aadhaar number holder may access his authentication records subject to regulation. The UIDAI is not required to maintain the record of the purpose of authentication.<ref name=FullAct/>

The Clause 33 (1) states that a District Judge or higher court may force the UIDAI to reveal a person's identity information, i.e. Aadhaar number, photograph and demographic information, and authentication records, but not the core biometric information. The Clause 33 (2) states that an official with the rank of [[Joint Secretary to Government of India|Joint Secretary]] or higher may access a person's identity information including core biometric information, if the official has an order issued in the interest of national security by the central government.<ref name=FullAct/>

===Chapter VII: Offences and Penalty===
The Clause 34 states that providing false information in an attempt to [[identity theft|impersonate]] carries a maximum penalty of 3 years in prison and/or a fine of {{currency|10,000|INR}}. The Clause 38 states that unauthorised access to the Central Identities Data Repository, causing damaging to it or leaking the information stored on it carries a maximum penalty of 3 years in prison and/or a minimum fine or {{currency|100,000|INR}}. The Clause 47 states that the complaints under this law must be tried under a [[Courts of Metropolitan Magistrate|Chief Metropolitan Magistrate]] or a [[Courts of Judicial Magistrate of First Class|Chief Judicial Magistrate]], or a higher court. No court can recognise a complaint under this law unless filed by the UIDAI or a person authorised by it.<ref name=FullAct/>

===Chapter VIII: Miscellaneous===
The Clause 48 states that the central government may supersede the UIDAI for a period of up to 6 months, if it fails to performs its duties or due to a public emergency. The Clause 57 states that state or private agencies may use Aadhaar for verifying the identity of a person for any purpose.<ref name=FullAct/>

==Reactions==

[[Nandan Nilekani]], the former chairman of [[UIDAI]], welcomed the bill.<ref name="Nilekani-MC">{{cite news|title=NDA govt 'gracious' in taking forward Aadhaar: Nilekani|url=http://www.moneycontrol.com/news/business/nda-govt-gracioustaking-forward-aadhaar-nilekani_5856141.html|work=Money Control|date=12 March 2016}}</ref> He used [[Clarke's third law]] to describe the project. He also said that this technology will allow India to develop into a modern [[welfare state]]. He argued that this technology will give Indian residents a secure digital ID to access the internet and prevent "digital colonization" by foreign firms. He also said that this will check wastage of public funds, corruption, fake degrees and improve matching of jobs to employees in the labour market.<ref name="BasisRevolution-IE">{{cite news|title=Basis of a revolution|url=http://indianexpress.com/article/opinion/columns/aadhaar-bill-lpg-subsidy-mgnrega-paperless-govt-basis-of-a-revolution/|access-date=16 March 2016|work=[[The Indian Express]]|date=9 March 2016}}</ref>

[[Jean Drèze]], [[development economist]], said that the bill was designed to evade Supreme Court orders restricting the usage of Aadhaar. He also said that bill was presented as a money bill to prevent debate. He argued that despite declaring it voluntary the government had created practical compulsions for enrolment, and an intervention of the Supreme Court was need to end the "[[doublespeak]]".<ref name="Jean-TH">{{cite news|title=The Aadhaar coup|url=http://www.thehindu.com/opinion/lead/jean-dreze-on-aadhaar-mass-surveillance-data-collection/article8352912.ece|access-date=16 March 2016|work=[[The Hindu]]|date=15 March 2016}}</ref>

==Supreme Court Observation==
SC has orally observed that Aadhaar cannot be made mandatory for availing welfare schemes.<ref>{{citation|url=http://www.thehindu.com/news/national/aadhaar-cannot-be-mandatory-for-welfare-schemes-supreme-court/article17671381.ece | publisher=[[The Hindu]]|title=Supreme Court counters push for Aadhaar}}</ref>

The Center has declared that Aadhaar card will be mandatory for opening new bank accounts and for transactions above Rs. 50,000. All existing account holders will also have to submit their Aadhaar details by December 31, 2017, failing which accounts will be deemed invalid.

[Update] A five judge bench on December 15, 2017 agreed to the Central government's decision to extend the deadline of linking of "everything", including mobile phones and bank accounts, to Aadhaar card till March 31, 2018. But SC also ordered that an Aadhaar card holder opening a new bank account will have to furnish his Aadhaar card to the bank. <ref> {{citation|url=http://www.thehindu.com/news/national/supreme-court-orders-extension-of-aadhaar-linking-deadline-for-mobile-phone-connections-bank-accounts-to-march-31/article21669818.ece | publisher=[[The Hindu]]|title=SC extends Aadhaar linking deadline to March 31, but spells no relief for Aadhaar holders opening new bank accounts}}
 </ref>

==See also==
* [[Unique Identification Authority of India]]
* [[Pradhan Mantri Jan Dhan Yojana]]

==References==
{{Reflist|3}}

==External links==
* [http://www.prsindia.org/administrator/uploads/media/AADHAAR/Aadhaar%20Bill,%202016.pdf Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Bill, 2016]

{{Indian legislations}}

[[Category:Anti-corruption measures in India]]
[[Category:Government finances in India]]
[[Category:2016 in Indian economy]]
[[Category:Acts of the Parliament of India 2016]]
[[Category:Welfare in India]]