Banks without Aadhaar centres in 10% branches to pay Rs 20000 fine from October
The Unique Identification Authority of India had asked private as well as public banks in July to open Aadhaar enrolment and updation facility in one out of 10 branches by August-end.
- Sep 5, 2017,
- Updated Sep 5, 2017 8:59 PM IST
The UIDAI has given banks one more month to open Aadhaar enrolment centres in a stipulated 10 per cent of branches. Banks will have to pay Rs 20,000 as fine for every uncovered branch after September 30, CEO Ajay Bhushan Pandey said on Tuesday.
The Unique Identification Authority of India (UIDAI), in July, had asked private as well as public banks to open Aadhaar enrolment and updation facility in one out of 10 branches by August-end.
Several banks had asked the authority to grant a grace period of one month for setting up such facility on their premises.
"Banks approached us saying they need more time, so we have given them till September 30 to set up the facility. Non-compliance after the deadline will attract a fine of Rs 20,000 per uncovered branch every month," Pandey told PTI.
This means a bank with 100 branches will need to have Aadhaar enrolment facility in 10 branches. Failure to open the stipulated facility in, say, five branches even after expiry of the September 30 deadline, would mean that the bank will have to cough up penalty of Rs 1 lakh in the first month itself (at the rate of Rs 20,000 per uncovered branch).
Similarly, the penalty will be imposed in subsequent months, also based on the branches that are left uncovered.
Aadhaar, the 12-digit biometric identity number, is required for opening of bank accounts and financial transaction of Rs 50,000 and above.
The UIDAI has given banks one more month to open Aadhaar enrolment centres in a stipulated 10 per cent of branches. Banks will have to pay Rs 20,000 as fine for every uncovered branch after September 30, CEO Ajay Bhushan Pandey said on Tuesday.
The Unique Identification Authority of India (UIDAI), in July, had asked private as well as public banks to open Aadhaar enrolment and updation facility in one out of 10 branches by August-end.
Several banks had asked the authority to grant a grace period of one month for setting up such facility on their premises.
"Banks approached us saying they need more time, so we have given them till September 30 to set up the facility. Non-compliance after the deadline will attract a fine of Rs 20,000 per uncovered branch every month," Pandey told PTI.
This means a bank with 100 branches will need to have Aadhaar enrolment facility in 10 branches. Failure to open the stipulated facility in, say, five branches even after expiry of the September 30 deadline, would mean that the bank will have to cough up penalty of Rs 1 lakh in the first month itself (at the rate of Rs 20,000 per uncovered branch).
Similarly, the penalty will be imposed in subsequent months, also based on the branches that are left uncovered.
Aadhaar, the 12-digit biometric identity number, is required for opening of bank accounts and financial transaction of Rs 50,000 and above.