New Delhi: The Supreme Court on Friday said that it cannot stop the government from bringing a law in Parliament regarding cryptocurrencies. A bench of Justices DY Chandrachud and Hima Kohli dismissed the petition filed by a private company as “misguided”. The petition challenged the decision to form an inter-ministerial committee to suggest cryptocurrencies.
During the hearing of the matter, the bench said, “There is no reason for the petition filed under Article 32 of the Constitution. The court cannot stop the government from bringing a legislative proposal before the Parliament.”
The bench said, “What kind of application is this? The government has formed an inter-ministerial committee, so you have filed a petition under Article 32 of the Constitution. You want to challenge the proposed law.”
Advocate Prabhat Kumar, appearing for the petitioner company, said that the Finance Minister in his budget speech did not consider cryptocurrencies as legal currency but now the government is talking of bringing a law for it.
A cryptocurrency is a digital currency in which encryption technology is used to create its units. It transfers funds beyond the oversight of the central bank.
The court said that the government’s readiness to bring legislation regarding cryptocurrencies is a constitutional matter and the circular issued by the Reserve Bank of India in this regard is not binding.
