In a circular, Sebi said mutual funds can "perform verification of the client with UIDAI through One Time password received on client's mobile number or on e-mail address registered with UIDAI provided."
It said that the amount invested by the client should not exceed Rs 50,000 per financial year per mutual fund.
The payment should be made through electronic transfer from the client's bank account registered with that fund house.
For accessing the details enabling client identification and authentication from UIDAI based on client authorisation, on voluntary basis, intermediaries that utilise the services of KYC Service Agencies would have to be registered as KYC User Agencies (KUA) with UIDAI.
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For entering into account based relationship, the client would have to provide information such as name, Aadhaar number and Permanent Account Number (PAN) to the intermediary.
These information can be provided by the client electronically including through any web enabled device.
After due validation of Aadhaar number provided by the client, the intermediary (acting as KUA) would receive the KYC information about the client from UIDAI through KYC Service Agencies.
"The information downloaded from UIDAI shall be considered as sufficient information for the purpose of KYC verification. The intermediary shall upload this KYC information on the KRA system in terms of KRA Regulations," Sebi noted.
The records of KYC information would be maintained by the intermediary.