The Bombay High Court on Monday directed the Union government to apprise it on January 17, 2022 about the introduction of the bill on cryptocurrency and what further action has been taken on the issue.
A division bench of Chief Justice Dipankar Datta and Justice M S Karnik said it cannot direct the parliamentary legislation to enact a law.
The court was hearing a public interest litigation (PIL) filed by advocate Aditya Kadam, seeking directions to the central government to formulate laws to govern the use and trade of cryptocurrency within the country.
Kadam highlighted the unregulated business of cryptocurrency in the country which, he claimed, affects the rights of the investors as there is no mechanism in law to redress their grievances.
Advocate D P Singh, appearing for the Centre, told the court that the Cryptocurrency and Regulation of Official Digital Currency Bill has been introduced and would be discussed in the winter session of Parliament.
Kadam, however, argued that a similar statement was made by the Union government in 2018 and 2019, but no action was taken thereafter.
The court said it would keep the petition for further hearing on January 17.
“Let’s see if they (government) enact the law. With the introduction of the bill, the allegations raised in the petition that the government has not taken any steps would be incorrect,” the bench said.
“We cannot direct the parliamentary legislation to enact a law,” Chief Justice Datta said.
“The Union government shall apprise us on the next date if the bill was introduced and what further action has been taken,” the court said.
The bill proposes to create a facilitative framework for creation of the official digital currency to be issued by the Reserve Bank of India.
It also seeks to prohibit all private cryptocurrencies in India. However, it allows for certain exceptions to promote the underlying technology of cryptocurrency and its uses.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor