Banks to set up Aadhaar enrolment-update facility inside branch premises to verify accounts

Banks to set up Aadhaar enrolment-update facility inside branch premises by 30-08-2017 to verify accounts with Aadhaar by 31-12-2017 as per PML Rules 2005 

UNIQUE IDENTIFICATION AUTHORITY OF INDIA

Notification No. 13012/79/2017/Legal-UIDAI (No. 4 of 2017)

New Delhi, the 14th July, 2017

In exercise of Regulation 12A of the Aadhaar (Enrolment and Update) (Second Amendment) Regulations, 2017 (No. 2 of 2017) and the Aadhaar (Enrolment and Update) (Third Amendment) (No. 3 of 2017), the Unique Identification Authority of India (UIDAI) hereby issues the following notification, namely:—

1. Whereas the provisions of the Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016 (“Aadhaar Act”), and Regulations framed thereunder the Aadhaar Act have come into effect from 14th September, 2016 and notifications to this effect have been published in the Official Gazette,

2. And Whereas the Prevention of Money Laundering (Maintenance of Records) Rules, 2005 (“PML Rules 2005”) have been amended with effect from June 1, 2017 to require Aadhaar for every bank account. All existing Bank accounts have to be verified with Aadhaar by the banks by 31st December, 2017, failing which the accounts will become inoperative,

3. And Whereas Regulation 12A of the Aadhaar (Enrolment and Update) (Second Amendment) Regulations, 2017 (No. 2 of 2017) and the Aadhaar (Enrolment and Update) (Third Amendment) (No. 3 of 2017) provides that:

“12A. Entities requiring Aadhaar as condition for fulfillment of any obligation, etc.—

The Authority may require any Central or State department or agency or any Scheduled Bank or any other entity which requires an individual to undergo authentication or furnish proof of possession of Aadhaar number as a condition for receipt of any subsidy, benefit, service or fulfillment of any obligation pursuant to any Act or Rule or Regulation or order made thereunder, to ensure enrolment of such individual who is yet to be enrolled or update their Aadhaar details, by setting up enrolment centres at their premises.”,

4. And Whereas there are more than 100 Crore bank accounts which will be required to be verified before the aforesaid date and every new customer will also be required to be verified with Aadhaar,

5. And Whereas Scheduled Commercial Banks have major share of bank account holders who will need to authenticate their bank accounts with their Aadhaar numbers,

6. Therefore, it is necessary to provide Aadhaar enrolment and update facilities in Scheduled Commercial Banks so that no undue hardship is caused to their customers owing to the aforesaid amendment of the PML Rules, 2005,

7. And Therefore Unique Identification Authority of India, in exercise of Regulation 12A of the Aadhaar (Enrolment and Update) (Second Amendment) Regulations, 2017 (No. 2 of 2017) and the Aadhaar (Enrolment and Update) (Third Amendment) (No. 3 of 2017), hereby directs that every Scheduled Commercial Bank shall provide Aadhaar enrolment and update facilities to its customers in the following manner:

i. Every Scheduled Commercial Bank shall set up Aadhaar enrolment and update facility inside its bank premises at a minimum of 1 out of their every 10 branches by 30th August, 2017.

ii. The selection of branches for enrolment and update facility shall be such that it covers all the district headquarters where it is present, and that there is maximum coverage of Talukas/Block in every district.

iii. The Scheduled Commercial Bank shall notify to its customers, the general public, and UIDAI of the locations of branches where Aadhaar enrolment and update facilities will be provided by them. The list of such branches shall be displayed on its websites. Any changes in locations shall be notified at the earliest in the aforesaid manner.

iv. The Banks may at its discretion provide the Aadhaar Enrolment and Update facility to customers of other banks.

v. The Bank may charge the customers for the Aadhaar enrollment and update services at the rate prescribed by UIDAI.

vi. The Scheduled Commercial Bank shall, if not already done so, become Registrar of UIDAI for providing enrolment and update facilities.

8. Any non-compliance of these directions shall be dealt under Section 42 of the Aadhaar Act.

Dr. AJAY BHUSHAN PANDEY,
Chief Executive Officer
[ADVT.-III/4/Exty./148/17]