KYC process still ongoing despite Supreme Court ban

Despite the Supreme Court’s judgement to stop e-KYC process through Aadhaar, the number of Ekyc transactions in the country continues to run into millions.

The Supreme Court struck down Section 57 of the Aadhaar Act which allows private companies to ask consumers for Aadhaar details for identification purposes.

As per the judgement, mobile subscriber e-KYC process has to cease immediately and can continue only if companies file an application to the Court and seek more time to comply.

However, as per the data available on the Aadhaar Dashboard of the UIDAI website, the maximum Ekyc transactions touched 90 lakh transactions on the day of the judgement. While the trend was seen to be decreasing until September 30 at 62 lakh transactions per day, on the first day of October,79 lakh transactions were done.

Meanwhile, UIDAI on Monday asked all telecom service providers to come up with an action or exit plan by October 15 and comply with the judgement.

UIDAI in its statement said, “All TSPs shall take immediate cognizance of the request for delinking Aadhaar with mobile number and may take appropriate action to perform fresh KYC as per Dot-approved list of proof of identity and address within six months from the date of request to avoid de-activation of the mobile number.”

This means the private companies will have to revert to earlier methods of paper-based techniques using id proof and photograph for verification or come up with a new strategy.