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The Supreme Court on Friday urged the RBI to respond to a request to plead it as a party to a case to ask the US company WhatsApp to comply with data localization standards for the provision of payment services in the United States. India. Judges RF Nariman and Vineet Saran sent an opinion to the RBI following a request for formal notice from the NGO, the Center for Accountability and Systemic Change (CCAC), which had filed with the court a Motion alleging that WhatsApp had not fully complied with the circular that prescribed the data location standards.
The standards concern the storage of data relating to payments in India, which has 200 million WhatsApp users.
"Publish an opinion on the request for formal notice from the Reserve Bank of India (RBI) as a defendant," said the witness bank and posted the case for hearing on March 5.
On 14 January, the highest court allowed the lawyer Virag Gupta, who appeared for the petitioner, to file an application as a party involved in the RBI case.
Solicitor General Tushar Mehta, who was appearing for the Center, also told the court that it was necessary to make the RBI a part of the case because the issue concerned the location of the data.
In his petition, the NGO asked for instructions to prevent the IM platform from continuing to use its payment service, unless it fully complies with the provisions of the RBI.
The Center and WhatsApp had previously declared to the court that a claims agent for India had been appointed by the instant messenger company.
However, the NGO claimed that a grievance officer had been appointed to the United States of America, which is "absurd and contrary to the sovereignty of India".
In its advocacy, the NGO referred to the 2011 (computer) and computer (IT) rules (reasonable security practices and procedures, as well as sensitive personal data or information), the 2011 rules providing for the appointment of a claims manager.
He also stated in his affidavit that it would be paradoxical that data localization standards be prescribed in India, but that companies are allowed to retain data controllers in the United States.
On August 27, the Supreme Court had agreed to consider the plea alleging that WhatsApp was not complying with Indian laws, particularly with respect to the appointment of a claims officer.
WhatsApp would count more than 200 million users in India and nearly one million people "test" its payment service. India is one of the largest bases of the company owned by Facebook, which has more than 1.5 billion users worldwide.
In its plea, ACCS stated that in order to open a bank account, a client must comply with the KYC standards set by the RBI and various other formalities.
"WhatsApp is a foreign company without a desk or server in India." To operate the payment service in India, WhatsApp is forced to have its office and payments in India, "he said.
"In addition, it is also necessary to have a claims manager for users in India, however, he is allowed to continue his payments and other services, without any control," he said.
The petition also alleged that the social media giant was not complying with the tax laws and other Indian laws, but its scope was such that it was used by everyone, that it was all over the world. 39, a commoner or even judges of the highest jurisdiction.
He clarified that each user has a number on WhatsApp, but that the email platform does not have any number through which his user can contact him for any repair request.
Highlighting alleged cases of Internet-based crimes, he claimed that the growth of such incidents was directly proportional to the growth of the user-base messaging services such as WhatsApp.
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