Banks and Telecommunication companies insisting Aadhaar as the only identity and address proof will be liable to a penalty of up to Rs 1 crore and a jail-term for the staff concerned, ranging from three to 10 years.
The Union Cabinet cleared amendments which had penalties for the violations included in them. According to the sources, amendments to the PMLA and Indian Telegraph Act were made keeping in mind an earlier Supreme Court order regarding the Unique Identification card.
In the case of “state interest” only could exceptions be made in the amendments as prescribed by the Centre. Amendments would require the authentication performing entities to comply with standards of privacy, keeping in law with the law to be passed by Parliament.
Earlier, a 5-member constitution bench of the Supreme Court adjudged that Aadhaar is mandatory for allotment of Pan cards and filling of income tax returns.
The judgement had also said that for a new SIM card service provider cannot seek for Aadhaar card details.