Eminent banks like SBI and HDFC move their case against SC on disclosing personal information, broaching sensitive information would only impose a nuclear competition.
The recent RBIs directive stating lenders and financial providers to disclose personal and sensitive data under the right to information act faces a case against them in the SC.
The supreme court last April revived its original judgment in 2015 making it necessary for banks to provide a public disclosure. Besides SBI and HDFC three other private banks-AXIS bank, YES Bank, and ICICI bank joined the petition against disclosing stating that a Public disclosure would only bring deleterious competition and produce business strategies and risk management won’t serve the public interest.
In their individual petition to wriggle out of the transparency law, the banks state that the Supreme court justice KS Puttasamy V UOL(Adhar judgment), acknowledges the right to privacy is a sacrosanct fundamental right that should not be violated at any cost.
The petition led by HDFC further stated that the RTI doesn’t apply to private entities like them as they are not public authorities and therefore can’t be sought to provide confidential or sensitive information.
The banks and financial institutions further mention that disclosing technical and highly confidential information would not only undermine investor’s confidence but also affect the economy at large. While the RBI is required to seek representation from other banks the banks may need consent from account holders and customers before any such disclosure.
The competitors worry at great length about trade secrets and internal affairs coming to light which could potentially affect their business and commercial services.