Crypto in India: CASC files Application in Supreme Court Seeking Ban on WhatsApp’s Payment pilot project

In an application filed on Monday, CASC urged Supreme Court to stop WhatsApp's Trial of Payments pilot project with 1 Million Users.

Centre for Accountability and Systemic Change(CASC) filed a PIL (Public interest litigation) before the Supreme Court last year against WhatsApp Pay, where CASC has sought an immediate rollback of the WhatsApp payments pilot project.


What is a PIL?

Public Interest Litigation (PIL) is a legal action that is initiated in a court of law for the enforcement of general interest or Public interest in which the public has a pecuniary interest by which their liabilities or legal rights are affected.

Individuals and groups can directly file interest litigation with Supreme court, apart from the Supreme Court of India, The High Courts, as well as the Judicial members, are capable of accepting the litigation files.


Let’s Understand what WhatsApp Pay is?

WhatsApp pay is an application designed to run on the UPI (Unified payments Interface), which is developed by NPCI (National Payments Corporation of India).UPI allows users to pay others or do business transactions Through their business accounts.

WhatsApp has been working on a pilot project with 1 Million users since 2018, while it has yet to receive the permissions to do a full rollout with all 400 Million Indian users. CASC reported that according to RBI’s affidavit to Supreme Court in November, WhatsApp could not fully compile with the rules.


What are the Actions taken on WhatsApp?

In an application filed on Monday, CASC has urged the apex court to stop WhatsApp’s trial with a count of 1 Million users, Direct the RBI (Reserve Bank of India) to put on the record permission granted for the trial and to disclose all the communications between WhatsApp and the National Payments Corporation Bank of India (NCPI)

While the conflict was largely about non-compliance to data localization policies and fears that the sensitive personal data, including financial transactional data, would be shared with Facebook and cannot be stored outside India, stated in contravention to the RBI circular.

Among other objections, CASC said that in any case, there could not be a blanket for trials, and the same should be restricted by duration, the number of banks involved, and monetary limits.

As per a report, NPCI gave its approval to WhatsApp payments, but in a phased manner, WhatsApp will reportedly be allowed to open its services initially for 10 Million users, further will only be allowed a full rollout after WhatsApp adheres to all pending complaints, if any.

WhatsApp also reportedly assured RBI, NPCI, and other regulators of complying with data localization norms.



On an application filed by CASC against WhatsApp regarding WhatsApp’s payment pilot project, WhatsApp reportedly assured RBI, NPCI, and other regulators that it would take the matter sensitively and adhere to all the privacy and data localization norms.

+ posts

An enthusiastic content writer with zeal and impetus to work towards excellence

Disclaimer: The views, thoughts, and opinions expressed in the article have been curated for our audience and does not warrant a 100% accuracy. All the information mentioned in the article is subject to change according to the changing viewpoints. Feel free to reach us at [email protected] for any change or copyright issues.

Note: If you buy something via a link on this page, we might earn a small commission on it.

Deepish Mahajan
Deepish Mahajan
An enthusiastic content writer with zeal and impetus to work towards excellence

Leave A Reply

Please enter your comment!
Please enter your name here

related stories

The china-based threat activity group, RedEcho, targets at least a dozen Indian organizations, including the Indian power sector.

Report: Chinese Hacker Groups Target Indian Organisations Amid the Border Tension

Since mid-2020, Chinese State-sponsored groups intruded into the computer networks of at least a dozen Indian state-run organizations, mostly power utilities and load dispatch...
The SEC stated that it has temporarily halted trading in 15 companies amid concerns that their stock prices were artificially inflated.

US Watchdog Halts Trading of 15 Companies, Sharpens Gaze on ‘Suspicious Social Media Activities’

The United States security regulators suspended trading in the securities of 15 companies on Friday because of 'questionable trading and social media activity.' It...
Facebook recently launched its short video entertainment format platform known as bars that cater to a specific community called rappers.

How the launch of Facebook’s Bars will be a game changer for aspirants in...

The world's hands at entertainment are getting saturated, and there is no doubt about it. This market's global landscape had changed dramatically since the...
The IPO season is here, and many companies have reached for the big deal on the NYSE. DigitalOcean also aims to reach the NYSE boards and introduce their IPO by going public.

DigitalOcean goes public in its first ever IPO aiming for the NYSE

With a range of rationales, digital transformations are carried out. Some stem from the need to replace IT systems that have reached the end...
All successful companies need better tools. Here is the list of today's best product management tools to cover all your business requirements.

Essentials Project Tools You Need in 2021

Project managers and product managers share similar work responsibilities, which is beyond just sharing similar titles. Both roles work in tandem to successfully deliver...
The Indian public sector is undergoing a new shift. Since time, many of these sectors have worked for the government and made the extra dime public.

How the Privatisation move might put the Modi government afront in public benefit

A crisis on an unprecedented scale is facing the Indian banking sector. When more facts are brought to light, the problem becomes peculiar. You...
Disruptors have been challenging big logistics players for years and the shift towards ecommerce has created a fertile ground for logistics startups.

Transformation of Indian Logistics Tech Ecosystem

The logistics industry is the backbone of every economy. The growth of the Indian ecommerce sector enabled startups dealing in logistics to expand their...
India's healthcare sector is booming, thus giving many opportunities to establish a unified system that contributes to better health.

India’s healthcare startup ecosystem is booming, as Government prioritises on better systems

India is a country that is democratic and It is the government's responsibility to provide primary health care for individuals. India is a large...