UPSC Prelims 2020 – Question 1

by Edukemy Team February 28, 2024

Here is Question No. 1 a part of our series on UPSC Prelims 2020.

Table of Contents

Aadhaar metadata cannot be stored for more than three months.
The state cannot enter into any contract with private corporations for sharing of Aadhar data.
Aadhaar is mandatory for obtaining insurance products.
Aadhar is mandatory for getting benefits funded out of the consolidated Fund of India.

Which of the statements given above is/are correct?
(a) 1 and 4 only
(b) 2 and 4 only
(c) 3 only
(d) 1, 2 and 3 only

Answer: B

Statement 1 is not correct: A Constitution A bench of the Supreme Court ruled that the Aadhaar metadata cannot be stored beyond six months. The Supreme Court has read down Section 2(d) of the Aadhaar Act which allowed storage of such data for a period of five years, to refrain government authorities from storing metadata of transactions.
Statement 2 is correct: Part of Section 57 of the Aadhaar Act, enabling corporations and individuals to seek authentication has been held unconstitutional by the Supreme Court.
Statement 3 is not correct: In the 2018 judgment, the Supreme Court held that Aadhar is not mandatory to purchase insurance products, however, it can be voluntarily used for KYC of the insurance products. Even IRDA has made similar rules.
Statement 4 is correct: Further, the amendment made to Section 7 of the Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016 has been upheld. It stipulates a condition that the State government can mandate use of Aadhaar authentication for beneficiaries for receipt of a subsidy, benefit or service for which the expenditure is incurred from the Consolidated Fund of India.

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