New Delhi, Aug. 25 -- Exactly how deep can a private company dig while running a background check? The Supreme Court has directed the government to investigate claims that these entities are commercially exploiting the sensitive income tax and provident fund records of millions of Indians. If proven true, it exposes a massive vulnerability in how government-held financial data is safeguarded.

While hearing a Public Interest Litigation (PIL) regarding a "commercial technological ecosystem" built around EPFO/UAN and PAN-linked data, the apex court mandated a formal government review, according to an India Today report.

The Supreme Court advised the government to collaborate with domain experts to devise an "antidote" to the problem and re...