No legal basis required for using Aadhaar for DBT, says Montek

Planning Commission Deputy Chairman Montek Singh Ahluwalia today said no legal basis is needed for transferring benefits under government schemes to beneficiaries bank accounts using Aadhaar platform.
"The (apex) court has actually said no (to making Aadhaar mandatory for transferring benefits under government schemes)...Whether you need legal basis or not, can be an open question. In my view you do not need legal basis," he said here addressing an NCAER event.
Earlier this year, the government had suspended the ambitious scheme to pay LPG subsidy in cash to consumers directly.
The direct benefit transfer for LPG (DBTL) scheme, where consumers in 289 districts in 18 states got cash of Rs 435 in their bank accounts so that they could buy cooking gas at market rate, has been put on hold because many complained that they were not getting the benefit in absence of either an Aadhaar card or a bank account linked Aadhaar.

The government decision was followed by Supreme Court observation that the benefits cannot be denied to beneficiaries who do not have Aadhaar number.
However, the government has tried to push the long-pending National Identification Authority of India Bill, 2010 to provide statutory status to the Unique Identification Authority of India (UIDAI) in recent winter session of Parliament. But it could not be taken up for discussion.

The UIDAI, which issues 12-digit Aadhaar numbers to residents, currently operates through an executive order.
The working of the UIDAI has come under scrutiny of the Supreme Court, which in an interim order had observed that the identification number cannot be made mandatory for availing of benefits of the government's subsidy schemes.

Elaborating further Ahluwalia said, "For example government says that if you want an employment, you need a degree. But that is not by law. I don't know why it cannot be done. This is the matter which is before court".
"In election year, it is bound to become controversial. I think this is low hanging fruit which is waiting to be picked up in next course of 12 months," he added.