Taking note of the submission, Justice Sanjeev Sachdeva granted three weeks time to the Centre for the purpose and asked it to file a status report while listing the matter for further hearing on April 19.
Central government standing counsel Kirtiman Singh said they are in the process of gathering more clarity on the issue and are seeking clarifications from the instant messaging platform.
He said the matter is being examined at the highest level and sought three weeks time to file the status report.
The high court had earlier observed that WhatsApp was a private app and it was optional whether to download it or not.
The Centre had said the government was already looking into the issue and has sent a communication to WhatsApp seeking certain information.
WhatsApp's counsel had told the court that the communication has been received from the Centre and will be responded to.
Under the new policy, users can either accept it or exit the app, but they cannot opt not to share their data with other Facebook-owned or third party apps, it said.