Section 25 in AADHAAR (AUTHENTICATION AND OFFLINE VERIFICATION) REGULATIONS, 2021
25. Liability and action in case of default. —
(1)Where any requesting entity or an ASA appointed under the Act,(a)fails to comply with any of the processes, procedures, standards, specifications or directions issuedby the Authority, from time to time;(b)is in breach of its obligations under the Act and these regulations;(c)uses the Aadhaar authentication facilities for any purpose other than those specified in theapplication for appointment as requesting entity or ASA,(d)fails to furnish any information required by the Authority for the purpose of these regulations; or(e)fails to cooperate in any inspection or investigation or enquiry or audit conducted by the Authority,the Authority may, without prejudice to any other action which may be taken under the Act, take such stepsto impose disincentives on the requesting entity or an ASA for contravention of the provisions of the Act,rules and regulations thereunder, including suspension of activities of such entity or agency, or other stepsas may be more specifically provided for in the agreement entered into by such entities with the Authority:Provided that the entity or agency shall be given the opportunity of being heard before thetermination of appointment and discontinuance of its operations relating to Aadhaar authentication.(1A).Where any Offline Verification seeking entity,(a)fails to comply with any of the processes, procedures, standards, specifications or directions issuedby the Authority, from time to time; is in breach of its obligations under the Act and theseregulations;(b)uses the Aadhaar Offline Verification facilities for purposes other than those specified;(c)fails to furnish any information required by the Authority for the purpose of these regulations; or(d)fails to cooperate in any inspection or investigation or enquiry or audit conducted by the Authority, 36. THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC.4] the Authority may, without prejudice to any other action which may be taken under the Act, including suchcriminal action as it may deem fit, take such steps to impose disincentives on the Offline Verificationseeking entity for contravention of the provisions of the Act, rules and regulations thereunder.Provided that the entity or agency shall be given the opportunity of being heard before any action istaken.(2)Any such action referred to in sub-regulation (1) may also be taken against any entity or Sub-AUA or sub-KUA.(3)Upon termination of appointment by the Authority, the requesting entity or the ASA shall, forthwith, cease touse the Aadhaar name and logo for any purposes, and in any form, whatsoever, and may be required tosatisfy the Authority of necessary aspects of closure, including those enumerated in regulation 23(2).
