RBI rules that Bank KYC? Think Aadhaar!

Fight against, Aadhaar making only Valid ID Proof in India is turning out to be much strong as Reserve Bank of India has announced a new regulation now.

As of the regulation, RBI has made it clear that
Aadhaar shall be the only valid ID proof for implementing any KYC related task. On the other side, a case against Aadhaar Validation is being run in Supreme Court. What will Supreme court decides over it.

As per the new rule, RBI has added a line that every entity under them must obtain “from an individual who is eligible for enrolment of Aadhaar”: Aadhaar, PAN Card or Form 60. As per basic Aadhaar rules, every Indian citizen can obtain Aadhaar; and hence, indirectly, it implies that Aadhaar must be obtained for all KYC, along with PAN Card and Form 60 for KYC.

KYC Rule Get Implemented :-

It solely depends on the ongoing case being heard in Supreme Court. As a result of this ongoing case, Supreme Court has already quashed March 31st deadline for linking every phone, driving licence, insurance etc with Aadhaar.

And, under the same trail, Supreme Court has asked the Govt. about their ‘obsession’ with linking everything with Aadhaar; and questioned the very logic of this massive exercise.

In the circular, RBI hasn’t mentioned any date for the implementation of this new KYC rule and has said that it depends on Supreme Court’s judgement.

Right now as per Supreme Court orders " KYC document has completely removed other “officially valid documents”, which was mandated as valid ID proof by RBI, in their circular dated February 25, 2016."

In that circular, RBI had stated that copy of the marriage certificate (issued by the state government) or a gazette notification can act as a valid source of ID proof for KYC.