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The Right to Information Act, 2005 was adopted by the Government of India and came into force on October 12, 2005. The Right to Information Act aims to provide citizens of India with access to Information under the control of public authorities to enhance transparency and accountability in these organizations. Certain kinds of Information are excluded from disclosure under Sections 8 and 9 of the Act. The Act also calls for a Chief Public Information Officer to handle information requests. About RBI: the Supreme Court has given the Reserve Bank of India one more chance to repeal a disclosure policy adopted in November 2016 and comply with the Right to Information Act.
About RBI
The Supreme Court has given the Reserve Bank of India one final chance to remove a November 2016 disclosure policy and comply with the Right to Information Act.
- RBI come into existence on April 1, 1935
- RBI is an operator bank
- Under the Reserve Bank of India Act of 1934, the Reserve Bank of India is the central banking institution in charge of regulating the monetary policy of the Indian rupee
- The Reserve Bank of India is not a commercial bank
- The RBI is the lender of last resort for banks; it monitors the exchange rate of Indian currencies and regulates commercial banks, among other things
What is RTI (Right to Information)?
According to the RTI Act of 2005, every citizen has the right to get a timely answer from the government for whatever Information they want regarding the operation of the government.
According to Article 19(1) of the Indian constitution, RTI is a basic right.
Every citizen has the right under the RTI to:
- Seek Information from the government and raise inquiries
- Obtain copies of government documents
- Examine government papers and work, for example
- Section 8 of the RTI Act addresses exemptions under the RTI Act
What is the Rbi’s Argument Against Not Abiding by the Rti Act?
The RBI invoked Section 8 of the RTI Act, which exempts public authorities from disclosing information in the public domain if doing so would jeopardize the state’s economic interests.
The RBI stated that disclosing sensitive Information about banks’ annual financial reports will undermine customer trust in the banking sector, which will hurt the health of the Indian economy.
Another reason advanced by the RBI was that because it receives sensitive Information from banks as part of its fiduciary relationship (i.e., mutual trust), disclosing such Information would breach the banks’ confidence. According to the RBI Act of 1934, banks’ sensitive Information is proprietary and must not be disclosed.
How Supreme Court Countered the Arguments of RBI?
The Supreme Court ruled that withholding Information is only permissible (under Section 8 of the RTI Act) if it promotes the greater public interest; the revelation of Information, on the other hand, will bring about discipline, which will serve the public interest more than suppressing the Information.
The Supreme Court further stated that the RBI obtains Information from banks because it is a regulator and not a fiduciary relationship.
According to the Supreme Court, disclosing Information in the public realm would usher in an era of openness and accountability, which are critical to the operation of any organization.
What exactly is the Central Information Commission (CIC)?
CIC Composition: According to the RTI Act, the CIC comprises the Chief Information Commissioner and no more than ten Central Information Commissioners.
Appointment-Section 12(3) of the RTI Act of 2005 states that:
- The PM chair’s the committee, also will serve as the committee’s chairperson
- A Union Cabinet Minister to be nominated by the Prime Minister.
Time in the Office
Section 13 of the RTI Act 2005 states that the Chief Information Commissioner will serve for five years from when he takes office and will not be eligible for reappointment. MPs, MLAs, and other elected officials are not eligible for the position of CIC.
CIC’s Influence
When dealing with cases about the Code of Civil Procedure, the CIC has the authority of a civil court (such as summons, etc.), and its rulings are final and binding on the parties.
Conclusion
The Supreme Court has given the Reserve Bank of India one final chance to remove a November 2016 disclosure policy and comply with the RTI Act. The RBI stated that disclosing sensitive Information about banks’ annual financial reports will undermine customer trust in the banking sector, which will hurt the health of the Indian economy.
The Central Information Commission (CIC) was set up under the RTI Act of 2005. The CIC comprises the Chief Information Commissioner and no more than ten Central Information Commissioners. A Union Cabinet Minister to be nominated by the Prime Minister serves as the committee’s chairperson.
