UPSC Prelims 2020 · Question 31 of 100

UPSC Prelims 2020 question on Aadhaar Privacy Judgment

Consider the following statements:

1. Aadhaar metadata cannot be stored for more than three months.

2. State cannot enter into any contract with private corporations for sharing of Aadhaar data.

3. Aadhaar is mandatory for obtaining insurance products.

4. Aadhaar is mandatory for getting benefits funded out of the Consolidated Fund of India.

Which of the statements given above is/are correct?

  1. 1 and 4 only
  2. 2 and 4 only
  3. 3 only
  4. 1, 2 and 3 only
Show answer

Answer: B. 2 and 4 only

Verdict

Correct statements: 2 and 4 → Option (b).

Statement by statement

Statement 1 – INCORRECT: Metadata or meta base is a set of data that describes and gives information about other data. As per Regulation 27(1) of the Authentication Regulations, authentication records are not to be kept beyond a period of six months. The Supreme Court held that retaining authentication data of citizens beyond six months was impermissible.

Statement 2 – CORRECT: The Supreme Court struck down Section 57 of the Aadhaar Act which allowed sharing of data with private entities. The judgement means that private bodies like telecom companies and e-commerce firms cannot ask for biometric and other data from consumers for their services.

Statement 3 – INCORRECT: Insurance regulator IRDAI advised insurers not to mandatorily seek Aadhaar and PAN/Form 60 from customers for KYC purposes. Insurers may accept Aadhaar as one of the identity documents only when offered voluntarily by the policy-holder.

Statement 4 – CORRECT: As per Section 7 of the Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016, any individual desirous of availing any subsidy, benefit or service for which the expenditure is incurred from the Consolidated Fund of India shall furnish proof of possession of Aadhaar or undergo Aadhaar-based authentication.

Extra UPSC info

Aadhaar has been a recurring theme post the Puttaswamy judgement (2017) and the Aadhaar Act verdict (2018). Section 57 strike-down and Section 7 retention are high-yield areas.

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