Govt Will Regulate UPI Apps, UPI Transactions? Supreme Court Will Decide On This Date
After regulating all digital media, OTTs and digital news, and capping the UPI market share, the regulation UPI apps, UPI transactions is the talking point.
Infact, Supreme Court will hear a petition regarding this, and a verdict can be announced on November 23, 2020.
Keep reading to find out more!
UPI Apps, UPI Data Regulation: Petition Filed
Last week, Rajya Sabha MP Binoy Viswam filed a petition in the Supreme Court, asking the apex court to direct RBI for regulating UPI apps.
Binoy Viswam is a Rajya Sabha MP from Communist Party of India (CPI).
The main contention and logic of the petition filed in the Supreme Court is data privacy and data security of the UPI users in India.
The petition asks Supreme Court to ensure that all the data related with UPI users is protected, and not shared with any 3rd party entities, for any purpose.
Infact, the petition also asks the apex court to ensure that the UPI users’ data and transaction data is not even shared with the parent company.
The plea stated that instead of protecting the data of UPI users, RBI and NPCI are allowing foreign and Indian firms to exploit the UPI users’ data, and even ignoring the fact that data can be sold to third party entities.
The plea stated, “In India, the UPI payments system is being regulated and supervised by Respondent no. 1 (RBI) and Respondent no. 2 (NPCI), however the RBI and the NPCI instead of fulfilling their statutory obligations and protecting and securing the sensitive data of users are compromising the interest of the Indian users by allowing the non-compliant foreign entities to operate its payment services in India,”
Supreme Court To Hear Petition On November 22
After the petition was filed, Supreme Court asked RBI, NPCI and prominent UPI apps providers and their parent companies to respond to the petition.
The Bench of Chief Justice SA Bobde and Justices AS Bopanna and V Ramasubramanian will hear the pleas of the petition on November 22.
Since the petition also requested the Supreme Court to stop the launch of Whatsapp, unless they follow the regulatory guidelines.
We will keep you updated, as more details come in.