Policy paralysis is a definite problem in India taken any sector. I understand with Aadhaar government tried to solve bunch of problems, it invited data theft and privacy issues.
Last time I donated blood at a campaign, they took a lot of medical information from me to do a pre-medical checkup. But I definitely could say all of Information they stored in their database will not be secure. So, in India it is very common. In fact, see this quora question, there seems to be no policy at all.
In the end Kiran Jonnalagadda, I agree any ecosystem will thrive only on feedback and constructive criticism. The only visible solution is to go away from the digital society which is not possible.