Category: Strategy Sessions

  • [open SIP] Test 9- Geography Link + Discussion

    Link for the test: Click2Attempt  (Let us know your score in comments)

    We have started our Open SIP program in conjunction with our PAID program (Click2Know all details of the program)

    We will be running this special FREE initiative on daily basis providing students with revision questions for static subjects as well as current affairs starting from June 2017

    Test 9 as per schedule (Click2View) is Geography


    Liked the test? You can join our FLT program containing more such high-level questions. The module contains 11 FLTs (8 paper 1 TS + 3 CSAT)

    Know all details about the program and join here: Click2Join

    Want to do quick revision for Prelims? Join our SIP Comprehensive or SIP Mini modules giving you Static & Dynamic subjects coverage through video lectures

    SIP Comprehensive- Samanvaya + Lectures + Notes + FLTs + CA Tests: Click2Join

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  • [open SIP] Test 8- CA August’17 Link + Discussion

    Link for the test: Click2Attempt  (Let us know your score in comments)

    We have started our Open SIP program in conjunction with our PAID program (Click2Know all details of the program)

    We will be running this special FREE initiative on daily basis providing students with revision questions for static subjects as well as current affairs starting from June 2017

    Test 8 as per schedule (Click2View) is CA August’17


    Liked the test? You can join our FLT program containing more such high-level questions. The module contains 11 FLTs (8 paper 1 TS + 3 CSAT)

    Know all details about the program and join here: Click2Join

    Want to do quick revision for Prelims? Join our SIP Comprehensive or SIP Mini modules giving you Static & Dynamic subjects coverage through video lectures

    SIP Comprehensive- Samanvaya + Lectures + Notes + FLTs + CA Tests: Click2Join

    SIP Mini- Samanvaya + Lectures + Notes: Click2Join

  • [open SIP] Test 7- Geography Link + Discussion

    Link for the test: Click2Attempt  (Let us know your score in comments)

    We have started our Open SIP program in conjunction with our PAID program (Click2Know all details of the program)

    We will be running this special FREE initiative on daily basis providing students with revision questions for static subjects as well as current affairs starting from June 2017

    Test 7 as per schedule (Click2View) is Geography


    Liked the test? You can join our FLT program containing more such high-level questions. The module contains 11 FLTs (8 paper 1 TS + 3 CSAT)

    Know all details about the program and join here: Click2Join

    Want to do quick revision for Prelims? Join our SIP Comprehensive or SIP Mini modules giving you Static & Dynamic subjects coverage through video lectures

    SIP Comprehensive- Samanvaya + Lectures + Notes + FLTs + CA Tests: Click2Join

    SIP Mini- Samanvaya + Lectures + Notes: Click2Join

  • [open SIP] Test 6- CA JULY’17: Link + Discussion

    Link for the test: Click2Attempt  (Let us know your score in comments)

    We have started our Open SIP program in conjunction with our PAID program (Click2Know all details of the program)

    We will be running this special FREE initiative on daily basis providing students with revision questions for static subjects as well as current affairs starting from June 2017

    Test 6 as per schedule (Click2View) is CA JULY’17


    Liked the test? You can join our FLT program containing more such high-level questions. The module contains 11 FLTs (8 paper 1 TS + 3 CSAT)

    Know all details about the program and join here: Click2Join

    Want to do quick revision for Prelims? Join our SIP Comprehensive or SIP Mini modules giving you Static & Dynamic subjects coverage through video lectures

    SIP Comprehensive- Samanvaya + Lectures + Notes + FLTs + CA Tests: Click2Join

    SIP Mini- Samanvaya + Lectures + Notes: Click2Join

  • [open SIP] Test 5- History: Link + Discussion

    Link for the test: Click2Attempt  (Let us know your score in comments)

    We have started our Open SIP program in conjunction with our PAID program (Click2Know all details of the program)

    We will be running this special FREE initiative on daily basis providing students with revision questions for static subjects as well as current affairs starting from June 2017

    Test 5 as per schedule (Click2View) is History


    Liked the test? You can join our FLT program containing more such high-level questions. The module contains 11 FLTs (8 paper 1 TS + 3 CSAT)

    Know all details about the program and join here: Click2Join

    Want to do quick revision for Prelims? Join our SIP Comprehensive or SIP Mini modules giving you Static & Dynamic subjects coverage through video lectures

    SIP Comprehensive- Samanvaya + Lectures + Notes + FLTs + CA Tests: Click2Join

    SIP Mini- Samanvaya + Lectures + Notes: Click2Join

  • Government Bodies related to environment conservation in India

    Central Pollution Control Board

    Established: It was established in 1974 under the Water (Prevention and Control of Pollution) Act, 1974.

    Objective: To provide technical services to the Ministry of Environment and Forests under the provisions of the Environment (Protection) Act, 1986.

    Key Functions:

    • Advise the Central Government on any matter concerning prevention and control of water and air pollution and improvement of the quality of air.
    • Plan and cause to be executed a nation-wide programme for the prevention, control or abatement of water and air pollution
    • Coordinate the activities of the State Board and resolve disputes among them
    • Provide technical assistance and guidance to the State Boards, carry out and sponsor investigation and research relating to problems of water and air pollution, and for their prevention, control or abatement
    • Plan and organise training of persons engaged in the programme on the prevention, control or abatement of water and air pollution
    • Organise through mass media, a comprehensive mass awareness programme on the prevention, control or abatement of water and air pollution
    • Collect, compile and publish technical and statistical data relating to water and air pollution and the measures devised for their effective prevention, control or abatement;
    • Prepare manuals, codes and guidelines relating to treatment and disposal of sewage and trade effluents as well as for stack gas cleaning devices, stacks and ducts;
    • Disseminate information in respect of matters relating to water and air pollution and their prevention and control
    • Lay down, modify or annul, in consultation with the State Governments concerned, the standards for stream or well, and lay down standards for the quality of air.
    • Perform such other functions as may be prescribed by the Government of India.

     

    National Biodiversity Authority

    Established When: It is a statutory autonomous body under the Ministry of Environment and Forests, Government of India established in 2003, after India signed Convention on Biological Diversity (CBD) in 1992

    Headquarter: Chennai

    The objective of the body: Implementation of Biological Diversity Act, 2002

    Key Functions:

    It acts as a facilitating, regulating and advisory body to the Government of India “on issues of conservation, sustainable use of biological resources and fair and equitable sharing of benefits arising out of the use of biological resources.”

    Additionally, it advises State Governments in identifying the areas of biodiversity importance (biodiversity hotspots) as heritage sites.

     

    National Tiger conservation authority

    Established: It was established in December 2005 following a recommendation of the Tiger Task Force, constituted by the Prime Minister of India for reorganised management of Project Tiger and the many Tiger Reserves in India.

    Headquarter: Delhi

    Objective:

    • Providing statutory authority to Project Tiger so that compliance of its directives become legal.
    • Fostering accountability of Center-State in management of Tiger Reserves, by providing a basis for MoU with States within our federal structure.
    • Providing for oversight by Parliament.
    • Addressing livelihood interests of local people in areas surrounding Tiger Reserves.

    Key Functions:

    • to approve the tiger conservation plan prepared by the State Government under sub-section (3) of section 38V of this Act
    • evaluate and assess various aspects of sustainable ecology and disallow any ecologically unsustainable land use such as mining, industry and other projects within the tiger reserves;
    • provide for management focus and measures for addressing conflicts of  men and wild animal and to emphasize on co-existence in forest areas outside the National Parks, sanctuaries or tiger reserve, in the working plan code
    • provide information on protection measures including future conservation plan, estimation of population of tiger and its natural prey species, the status of habitats, disease surveillance, mortality survey, patrolling, reports on untoward happenings and such other management aspects as it may deem fit including future plan conservation
    • ensure critical support including scientific, information technology and legal support for better implementation of the tiger conservation plan
    • facilitate ongoing capacity building programme for skill development of officers and staff of tiger reserves.

     

    Animal Welfare Board of India

    Established When: It was established in 1962 under Section 4 of The Prevention of Cruelty to Animals Act,1960.

    Headquarter: Chennai

    Objective: To advise Government on Animal Welfare Laws and promotes animal welfare in the country.

    Key Functions:

    • Recognition of Animal Welfare Organisations: The Board oversees Animal Welfare Organisations (AWOs) by granting recognition to them if they meet its guidelines. The organisation must submit paperwork; agree to nominate a representative of the Animal Welfare Board of India on its Executive Committee, and to submit to regular inspections. After meeting the requirements and inspection, the organisation is considered for grant of recognition.
    • The AWBI also appoints key people to the positions of (Hon) Animal Welfare Officers, who serve as the key point of contact between the people, the government and law enforcement agencies.
    • Financial assistance: The Board provides financial assistance to recognised Animal Welfare Organisations (AWOs), who submit applications to the Board. Categories of grants include Regular Grant, Cattle Rescue Grant, Provision of Shelter House for looking after the Animals, Animal Birth Control (ABC) Programme, Provision of Ambulance for the animals in distress and Natural Calamity grant.
    • Animal welfare laws and Rules: The Board suggests changes to laws and rules about animal welfare issues. In 2011, a new draft Animal Welfare Act was published for comment. Guidance is also offered to organisations and officials such as the police to help them interpret and apply the laws.
    • Raising awareness: The Board issues publications to raise awareness of various animal welfare issues. The Board’s Education Team gives talks on animal welfare subjects, and trains members of the community to be Board Certified Animal Welfare Educators.

     

    Forest Survey of India

    Established When:  It is a government organization in India under the Union Ministry of Environment, Forest and Climate Change for conducting forest surveys and studies. The organization came into being in, 1981.

    Headquarter: Dehradun, Uttarakhand

    Objective

    The objective of the organization is monitoring periodically the changing situation of land and forest resources and present the data for national planning; conservation and management of environmental preservation and implementation of social forestry projects.

    Key Functions

    • The Functions of the Forest Survey of India are:
    • To prepare State of Forest Report biennially, providing an assessment of the latest forest cover in the country and monitoring changes in these.
    • To conduct an inventory in forest and non-forest areas and develop a database on forest tree resources.
    • To prepare thematic maps on 1:50,000 scale, using aerial photographs.
    • To function as a nodal agency for collection, compilation, storage and dissemination of spatial database on forest resources.
    • To conduct training of forestry personnel in the application of technologies related to resources survey, remote sensing, GIS, etc.
    • To strengthen research & development infrastructure in FSI and to conduct research on applied forest survey techniques.
    • To support State/UT Forest Departments (SFD) in forest resources survey, mapping and inventory.
    • To undertake forestry-related special studies/consultancies and custom made training courses for SFD’s and other organizations on a project basis.

    Forest Survey of India assesses forest cover of the country every 2 years by digital interpretation of remote sensing satellite data and publishes the results in a biennial report called ‘State of Forest Report'(SFR).

    Central Zoo Authority of India

    Established: It was established in 1992 and constituted under the Wild Life (Protection) Act.

    Headquarter: Delhi

    Objective 

    The main objective of the authority is to complement the national effort in the conservation of wildlife.

    Standards and norms for housing, upkeep, health care and overall management of animals in zoos have been laid down under the Recognition of Zoo Rules, 1992.   

    Key Functions

    • Since its inception in 1992, the Authority has evaluated 513 zoos, out of which 167 have been recognized and 346 refused recognition.
    • The Authority’s role is more of a facilitator than a regulator.  It, therefore, provides technical and financial assistance to such zoos which have the potential to attain the desired standard in animal management. Only such captive facilities which have neither the managerial skills nor the requisite resources are asked to close down.
    • Apart from the primary function of the grant of recognition and release of financial assistance, the Central Zoo Authority also regulates the exchange of animals of the endangered category listed under Schedule-I and II of the Wildlife (Protection Act) among zoos.  
    • Exchange of animals between Indian and foreign zoos is also approved by the Authority before the requisite clearances under EXIM Policy and the CITES permits are issued by the competent authority.  
    • The Authority also coordinates and implements programmes on capacity building of zoo personnel, planned conservation breeding programmes and ex-situ research including biotechnological intervention for the conservation of species for complementing in-situ conservation efforts in the country.

     

     

     

  • Capital and Current Account Convertibility in India

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    Convertibility in India

    “My hope is that we will get to full capital account convertibility in a short number of years,” said Raghuram. G. Rajan, ex-governor of the Reserve Bank of India (RBI) on 10 April 2015.

    The International movement of capital is not always free; countries restrict flows of capital as and when needed to safeguard their markets from erratic flows of capital. In India, for example, there are restrictions on the movement of foreign capital and the rupee is not fully convertible on capital account.

    What does Capital Account Convertibility mean?

    CAC means the freedom to convert rupee into any foreign currency (Euro, Dollar, Yen, Renminbi etc.) and foreign currency back into rupee for capital account transactions. In very simple terms it means, Indian’s having the freedom to convert their local financial assets into foreign ones at market determined exchange rate. CAC will lead to a free exchange of currency at a lower rate and an unrestricted movement of capital.

    How is Capital Account Convertibility different from Current Account Convertibility?

    Current Account Convertibility allows free inflows and outflows of foreign currency for all purpose including resident Indians buying foreign goods and services (imports), Indians selling foreign goods and services (exports), Indians receiving and sending remittances, accessing foreign currency for travel, study abroad, medical tourism purpose etc.

    On the other hand, Capital Account Convertibility is widely regarded as the hallmark of developed countries. It is also seen as the major comfort factor for foreign investors since it allows them to reconvert local currency back into their own currency and move out from India.

    To attract foreign investment, many developing countries went in for CAC in the 1980s, not realising that free mobility of capital leaves countries open to both sudden and huge inflows and outflows, both of which can be potentially destabilising. More important, unless you have the institutions, particularly financial institutions capable of dealing with such huge flows, countries may not be able to cope as was demonstrated by the East Asian crisis of the late 90s.

    Present Situation in India

    In India, the Tarapore committee had laid down a three-year road-map, ending 1999-2000, for CAC. It also cautioned that this time-frame could be speeded up, or delayed, depending on the success achieved in establishing the pre-conditions primarily fiscal consolidation, strengthening of the financial system and low rate of inflation. With the exception of the last, the other two preconditions have not been achieved. The Capital Account Convertibility in India will depend on how fast the country meets the preconditions put forward by Tarapore Committee such as fiscal consolidation, inflation control, low level of Non-Performing Assets, low Current account deficit and strengthen financial markets. Sound policies, robust regulatory framework promoting a strong and efficient financial sector, and effective systems and procedures for controlling capital flow greatly enhanced the chances of ensuring that such flows fostered sustainable growth and did not lead to disruption and crisis.

    • Current Account Convertibility: Current account is today fully convertible (operationalized on August 19, 1994). It means that the full amount of the foreign exchange required by someone for current purposes will be made available to him at the official exchange rate and there could be an unprohibited outflow of foreign exchange (earlier it was partially convertible). India was obliged to do so as per Article VIII of the IMF which prohibits any exchange restrictions on current international transactions (keep in mind that India was under pre-conditions of the IMF since 1991).
    • Capital Account Convertibility: After the recommendations of the S.S. Tarapore Committee (1997) on Capital Account Convertibility, India has been moving in the direction of allowing full convertibility in this account, but with required precautions. India is still a country of partial convertibility (40:60) in the capital account, but inside this overall policy, enough reforms have been made, and to certain levels of foreign exchange requirements, it is an economy allowing full capital account convertibility. Following steps have been taken in the direction of capital account convertibility.
    1. Indian corporate is allowed full convertibility in the automatic route up to $ 500 million overseas ventures (investment by Ltd. companies in foreign countries allowed).
    2. Indian corporate is allowed to prepay their external commercial borrowings (ECBs) via automatic route if the loan is above $ 500 million.
    3. Individuals are allowed to invest in foreign assets, shares, etc., up to the level of $ 2,50,000 per annum.
    4. Unlimited amount of gold is allowed to be imported (this is equal to allowing full convertibility in the capital account via current account route, but not feasible for everybody) which is not allowed now.

    The Second Committee on the Capital Account Convertibility (CAC)— again chaired by S.S. Tarapore— handed over its report in September 2006 on which the RBI/the government is having consultations.

    Pros and cons of Capital account Convertibility

    Advantages Disadvantages
    Availability of large funds by improved access to international financial markets. Market determined exchange rates being higher than officially fixed exchange rates can raise import prices and cause Cost-push inflation.
    Reduction in cost of capital. Improper management of CAC can lead to currency depreciation and affect trade and capital flows.
    The incentive for Indians to acquire and hold international securities and assets. The advantages have been found to be short lived as per studies, and also International financial institutions are skeptical about CAC post-2008 crisis.
    Greater financial competitiveness. Speculative activity can lead to capital flight from the country as in case of some South East Asian economies during 1997-98.
    Will help Indian corporate to use External commercial borrowing route without RBI or Govt approval. Imposing control would become difficult in a globalized environment once CAC is introduced.
    Indian residents can hold and transact foreign currency denominated deposits with Indian banks.  
    A Certain class of financial institutions and later NBFCs can access global financial market.  
    Banks and financial institutions can trade in Gold globally and issue loans.  

    By
    Himanshu Arora
    Doctoral Scholar in Economics & Senior Research Fellow, CDS, Jawaharlal Nehru University

  • Central Banking in India: Functions of RBI

    Central Banking in India

    Key Facts:

    • In the monetary system of all countries, the central bank occupies a most important place.
    • The Central Bank is an apex institution of the monetary system which regulates the functioning of the commercial banks of a country.
    • The Central Bank of India is ‘Reserve Bank of India’.
    • A Central Bank is primarily meant to promote the financial and economic stability of the country.
    • The Central Bank of a country promotes economic growth and stability and controls inflation

    Functions of the Central Banks/RBI

    Issue of Currency Notes

    • Under section 22 of RBI Act, the bank has the sole right to issue currency notes of all denominations except one-rupee coins and notes.
    • The one-rupee notes and coins and small coins are issued by Central Government, and their distribution is undertaken by RBI as the agent of the government.
    • The RBI has a separate issue department which is entrusted with the issue of currency notes.

    Banker to The Government

    • The RBI acts as a banker agent and adviser to the government. It has an obligation to transact the banking business of Central Government as well as State Governments.
    • Example, RBI receives and makes all payments on behalf of the government, remits its funds, buys and sells foreign currencies for it and gives it advice on all banking matters.
    • RBI helps the Government – both Central and state – to float new loans and manage public debt.
    • On behalf of the central government, it sells treasury bills and thereby provides short-term finance.

     Banker’s bank And Lender of Last Resort

    • RBI acts as a banker to other banks. It provides financial assistance to scheduled banks and state co-operative banks in the form of rediscounting of eligible bills and loans and advances against approved securities.
    • RBI acts as a lender of last resort. It provides funds to the bank when they fail to get it from any other source.
    • It also acts as a clearing house. Through RBI, banks make inter-banks payments.

     Controller of Credit

    • RBI has the power to control the volume of credit created by banks. The RBI through its various quantitative and qualitative measures regulates the money supply and bank credit in an economy.
    • RBI pumps in money during recessions and slowdowns and withdraws money supply during an inflationary period.

    Manages Exchange Rate and Is Custodian of the Foreign Exchange Reserve

    • RBI has the responsibility of removing fluctuations from the exchange rate market and maintaining a competitive and stable exchange rate.
    • RBI functions as custodian of nations foreign exchange reserves.
    • It has to maintain a fair external value of Rupee.
    • RBI achieves its objective through appropriate monetary and exchange rate policies.

    Collection and Publication of Data

    • The RBI collects and compiles statistical/data information on banking and financial operations, prices, FDIs, FPIs, BOP, Exchange Rate and industries etc., of the economy.
    • The Reserve Bank of India publishes a monthly Bulletin/publication for the same.
    • It not only provides information but also highlights important studies and investigations conducted by RBI.

      Regulator and Supervisor of Commercial Banks

    • The RBI has wide powers to supervise and regulate the commercial and co-operative banks in India.
    • RBI issues licenses regulate branch expansion, manages liquidity and Assets, management and methods of working of commercial banks and amalgamation, reconstruction and liquidation of the banks.

    Clearing House Functions

    • The RBI acts as a clearing house for all member banks. This avoids unnecessary transfer of funds between the various banks.

    Measures of Credit Control in India

    The management of the money supply and credit control is an important function of the Reserve Bank of India. The money supply has an important bearing on the functioning of the economy.

    By
    Himanshu Arora
    Doctoral Scholar in Economics & Senior Research Fellow, CDS, Jawaharlal Nehru University

  • Citizen’s Charter: Importance, Objective, Features, Problems faced in implementation, Guidelines

    In any nation, there is a need of good governance for sustainable development, both economic and social.

    The three major aspects highlighted in good governance are transparency, accountability and responsiveness of the administration.

    What is Citizen’s Charter?

    Citizens’ Charters initiative is a response to the mission for solving the problems which a citizen meets, day in and day out, while dealing with the organisations providing public services.

    The charter is the declaration of commitment to superiority in service to customers of the department. The citizen charter declares the standards for various services offered. It includes expectations of the Organisation from the Citizens for fulfilling its commitment. Citizen charter is available on India post website.

    The concept of Citizens’ Charter protects the trust between the service provider and its users.

    Citizens’ Charter was first expressed and implemented in the United Kingdom by the Conservative Government of John Major in 1991 as a national programme with aim to constantly improve the quality of public services for the people of the country so that these services respond to the needs and wishes of the users.

    Importance of Citizen’s Charter in India

    1. To make administration accountable and citizen friendly.
    2. To ensure transparency.
    3. To take measures to improve customer service.
    4. To adopt a stakeholder approach.
    5. To save time of both Administration and the citizen.

    Objective of the Citizens’ Charter

    Fundamental objectives of Citizens’ Charter are as follows:

    Goal of Citizens’ Charter is to empower the citizen in relation to public service delivery.  

    Six principles of the Citizens’ Charter movement as originally framed were:

    1. Quality: Improving the quality of services
    2. Choice: Wherever possible
    3. Standards: Specify what to expect and how to act if standards are not met
    4. Value: For the taxpayers’ money
    5. Accountability: Individuals and Organisations
    6. Transparency: Rules/ Procedures/ Schemes/Grievances

    Later on, these were elaborated by the Labour Government as following nine principles of Service Delivery (1998):

    1. Set standards of service
    2. Be open and provide full information
    3. Consult and involve
    4. Encourage access and the promotion of choice
    5. Treat all fairly
    6. Put things right when they go wrong
    7. Use resources effectively
    8. Innovate and improve
    9. Work with other providers
    10. The Indian Scenario

    Since many years, in India, noteworthy progress has been made in the field of economic development. This, along with a considerable increase in the literacy rate, (from 51.63% to 65.38% in the last decade) has made Indian citizens increasingly aware of their rights.

    Citizens have become more articulate and expect the administration not merely to respond to their demands but also to anticipate them. It was in this climate that since 1996 a consensus had evolved in the Government on effective and responsive administration.

    Department of Administrative Reforms and Public Grievances in Government of India (DARPG) initiated the task of coordinating, formulating and operationalising Citizens’ Charters.

    Guidelines for formulating the Charters as well as a list of do’s and don’ts were communicated to various government departments/organisations to enable them to bring out focused and effective charters.

    For the formulation of the Charters, the government agencies at the Centre and State levels were advised to constitute a task force with representation from users, senior management and the cutting edge staff.

    Principally, an adaptation of the UK model, the Indian Citizens’ Charter has an additional constituent of ‘expectations from the clients’. Involvement of consumer organisations, citizen groups, and other stakeholders in the formulation of the Citizens’ Charter is highlighted to confirm that the Citizens’ Charter fulfills the needs of the users.

    Regular monitoring, review and evaluation of the Charters, both internally and through external agencies, are commanded.

    Till April, 2006, 111 Citizens’ Charters had been articulated by the Central Government Ministries/ Departments/ Organisations and 668 Charters by various agencies of State Governments & Administrations of Union Territories.

    Most of the national Charters are posted on the government’s websites and are open to public scrutiny. The organisations with Citizens’ Charters are advised to give publicity to their Charters through such means as print/ electronic media and awareness crusades.

    Salient Features of a Citizen’s Charter 

    The salient features of a Citizen’s Charter are:

    1. Agreed and published standards for service delivery;
    2. Openness and information about service delivery;
    3. ‘Choice’ and Consultation with users;
    4. Courtesy and helpfulness in service delivery; and
    5. Provision of redressal of grievances.

    Let us elaborate these points:

    Standards: The Charter should lay out explicit standards of service delivery so that users understand what they can reasonably expect from service providers. These standards should be time‐bound, relevant, accurate, measurable and specific. The actual performance vis‐à‐vis the standards adopted must be published and independently validated. The tendency among organizations to develop targets and standards based on their own convenience as opposed to the needs of the citizens must be avoided.

    Information and openness: A key attribute of good service is the availability of relevant and concise information to the users at the right time and at the right place. The Charters should contain, in plain language, full and accurate information about services available, levels and quality of service to be expected, available channels for grievance redressal etc. Handbooks, guides, posters, websites are some of the channels through which information can be provided to citizens.

    Choice and consultation: The Charter should provide choice of services to users wherever practicable. There should be regular and systematic consultation with the users of the service to fix service standards and to ascertain quality of service delivery.

    Courtesy and helpfulness: The Charter can help embed a culture of courteous and helpful service from public servants. In addition, small initiatives such as ‘name badges’, ‘May I help you’ counters etc. can go a long way in building customer confidence.

    Grievance redressal and complaints handling: There is a strong link between the provision of quality service and effective handling of complaints. Firstly, by facilitating and responding to complaints, the causes for complaint can be reduced. Secondly, by identifying ‘trends’ in complaints, the service provider can resolve systemic and recurring problems.

    Problems faced in implementing the Charters

    As indicated, the Citizens’ Charters initiative in India had started in 1997 and the Charters formulated are in embryonic stage of implementation. Introduction of a new thought is always difficult in any organisation. Introduction and implementation of the concept of Citizens’ Charter in the Government of India was much more complicated due to the old bureaucratic set up/procedures and the rigid attitudes of the work force.

    The major obstacles encountered in this initiative were:

    1. The general perception of organisations which formulated Citizens’ Charters was that the exercise was to be performed because there was a direction from the top. The consultation process was minimal or largely absent. It thus became one of the routine activities of the organisation and had no focus.
    2. For any Charter to thrive the personnel responsible for its implementation should have proper training and orientation, as commitments of the Charter cannot be expected to be delivered by a workforce that is unaware of the spirit and content of the Charter. However, in many cases, the concerned staff was not sufficiently trained and sensitised.
    3. Sometimes, transfers and reshuffles of concerned officers at the critical stages of formulation/implementation of a Citizens’ Charter in an organisation severely destabilised the strategic processes which were put in place and hampered the progress of the initiative.
    4. Awareness campaigns to teach clients about the Charter were not conducted systematically.
    5. In some cases, the standards/time norms of services mentioned in Citizens’ Charter were either too negligent or too tight and were impractical and created an unfavourable impression on the clients of the Charter.
    6. The notion behind the Citizens’ Charter was not accurately understood. Information brochures, publicity materials, pamphlets produced earlier by the organisations were mistaken for Citizens’ Charters.

    Deficiencies in the Existing Citizens’ Charters

    1. Lack of awareness and knowledge and inadequate publicity, hence loss of trust among service seekers
    2. No training to the operative and supervisory staff
    3. Lack of infrastructure and initiative
    4. Hierarchy gap between the Officers and the Operative Staff-Need of team effort
    5. Different mind-sets of officers and the Staff- Insensitiveness on the part of the Supervisors and the Staff because they are yet to be sensitized
    6. Staff is not prepared to shoulder the responsibility due to lack of motivation and accountability
    7. Non-revision, complicated and restrictive rules & procedures

    Guidelines for the Citizens’ Charters in India

    1. List all Offices according to type of services they provide to public – Indicate their location, areas they cover, type of services being rendered to public, and phone numbers.
    2. There should be a separate Citizens’ Charter (i.e., Local Citizens’ Charters) for each office covering the services they provide. For example, there should be a separate Charter of the Directorate, its subordinate offices, Hospitals, Schools, etc. according to the particular services they provide.
    3. Mention Service Standards – Step-by-step-Procedure based on ‘Where to go; how to proceed’, simple and easy to fill-in Forms, specimen of duly-filled in forms, documents, fees, etc. required, reasonable time schedule, Do’s & Don’ts, etc., names, addresses and Tele. Nos. of concerned Officials, his alternate for each service, etc.
    4. Minimum documentation, self-attestation and self-declaration.
    5. No duplication – In case desired information and document submitted earlier like proof of residence (if there is no change), birth certificate, etc., it should not be asked again.
    6. If promised services are not provided as per specified time schedule, an effective grievance redressal mechanism (including the provision of compensation to the concerned citizen in order to introduce accountability) should be introduced.
    7. Provision of TATKAL (Immediate) Services if somebody is in urgent need (as in the case of Passport, Railways, etc.) to avoid touts, bribery, etc.
    8. Simultaneous changes in the Performa and other requirements to be effected along with the changes made in the Citizens Charter.
    9. Database of frequently required information, like ownership of property, vehicle, etc., tax and dues paid or pending, etc.
    10. If possible, the services and their related information may be presented in a tabular form.
    11. Salient features of each service should be prominently displayed in simple and easy language at all places likely to be visited by the service seekers.

    Key lessons

    The following pitfalls need to be avoided:

    1. Since Citizen’s Charters are likely to raise the aspirations of the users of the service, the departments should guard against the tendency to promise more than they can deliver. A realistic assessment of the capabilities of the service provider must be taken into account in drafting the Charter.
    2. A critical review of the current systems and processes in the department should be undertaken to examine whether they are likely to have an adverse impact on the Charter.
    3. Implementing the Charters without the staff owning them will defeat the purpose of the Charter. Motivating the staff and involving them in the preparation of the Charter are extremely important.
    4. The Charters will remain merely a paper exercise of limited value if there is no consultation with the users. Departments should ensure user involvement at all stages of preparation and implementation of the Charter.
    5. Independent audit of results is important after a period of implementation of the Charter.
    6. Complex systems for lodging complaints or poor access to officers for redressal of grievances defeat the purpose and the spirit of the Charter.

    To summarize, A Citizens’ Charter denotes the promise of an organisation towards standard, quality and time frame of service delivery, grievance redressal mechanism, clearness and accountability.

    Based on the foreseen expectations and aspirations of public, Citizens’ Charters are to be drawn-up with care and concern for the concerned service users.

    They allow the service seekers to avail the services of the government departments with minimum inconvenience and maximum speed.

    FAQs

    Why is Citizen’s Charter relevant for the UPSC syllabus?

    It is crucial for topics like governance, public administration, and accountability, covered in GS papers and optional subjects.

    Can questions on Citizen’s Charter appear in the UPSC Prelims?

    Yes, questions may appear in the Polity section, focusing on its principles and role in service delivery.

  • Types of Inflation: Demand Pull, Cost Push, Stagflation, Structural Inflation, Deflation and Disinflation

    This is a key topic for UPSC aspirants, as understanding the types of inflation in India is essential for economics and current affairs sections.

    Types of Inflation In India

    In India, inflation can be classified into the following types:

    1. Demand-Pull Inflation: This happens when there’s excessive demand for goods and services, often due to increased consumer spending, economic expansion, or government spending, driving prices up as supply struggles to keep pace.

    2. Cost-Push Inflation: Rising production costs, such as higher wages or increased raw material prices, lead to cost-push inflation. Producers pass these costs onto consumers, resulting in higher prices across the economy.

    3. Stagflation: A rare phenomenon where inflation and unemployment rise simultaneously, stagflation is marked by slow economic growth, often making it challenging for policymakers to manage both inflation and stagnation.

    4. Structural Inflation: Caused by structural challenges in the economy, such as supply chain inefficiencies, market rigidities, or outdated infrastructure, structural inflation often requires long-term policy changes to address root causes.

    Each type requires targeted measures, making inflation management in India complex and multifaceted.

    Causes of Inflation

    Inflation is mainly caused either by demand Pull factors or Cost Push factors. Apart from demand and supply factors, Inflation sometimes is also caused by structural bottlenecks and policies of the government and the central banks. Therefore, the major causes of Inflation are:

    • Demand Pull Factors (when Aggregate Demand exceeds Aggregate Supply at Full employment level).
    • Cost Push Factors (when Aggregate supply increases due to increase in the cost of production while Aggregate demand remains the same).
    • Structural Bottlenecks (Agriculture Prices fluctuations, Weak Infrastructure etc.)
    • Monetary Policy Intervention by the Central Banks.
    • Expansionary Fiscal Policy by the Government.

    Demand and Supply factors can be further sub divided into the following:

     

    Demand Pull Inflation

    • Demand Pull Inflation is mainly due to increase in Aggregate demand. The increase in Aggregate demand mainly comes from either increase in Government Expenditure (Expansionary Fiscal Policy) or by an increase in expenditure from Households and Firms.
    • The root cause of demand pull inflations is- Aggregate demand > Aggregate Supply. This simply means that the firms in the economy are not capable of producing the goods and services demanded by the households in the present time period. The shortages of goods and services due to increase in demand fuels inflation.
    • Imagine what happened when there was an outbreak of swine flu in India. Due to the outbreak of swine flu epidemic in India, the government notified a warning that people should wear Breathing Masks to protect them from the infection. As a result, the demand for mask had risen to a very high level, but the supply being limited as the producers of the mask had no anticipation of the swine flu epidemic. Due to the high demand and limited supply of masks, the prices had risen manifold. The case above captures the mechanism of demand pull inflation.
    • The above example only captures the mechanism of Demand led inflation and that too for a particular product. What happens at Macro level? What fuels inflation in the entire economy? Before answering the question. Let’s understand some basic concept related to the economy:
    • Full Employment Level: Full employment is an economic situation in which all the available resources of the economy are fully utilised, and there exists no further scope of improvement in the economy. The Full employment level represents that economy is operating at its maximum potential. The level of unemployment is minimum, the prices in the economy are stable, resources are fully utilised, whatever firms are producing is getting sold, and there exist no shortages in the economy.

    Inflationary Gap

    The Inflationary gap is a situation which arises when Aggregate demand in an economy exceeds the Aggregate supply at the full employment level.

    Inflation in a Demand-Pull scenario is basically caused by a situation whereby the Aggregate demand for goods and services in the economy rises and exceeds the available supply of the goods and services. In such a situation, the excessive pressure on demand will fuel the inflation in the economy.

    Deflationary Gap

    Deflationary Gap is a situation which arises when Aggregate demand in the economy falls short of Aggregate Supply at the full employment level.

    Cost Push Inflation

    • There exists a situation in an economy where inflation is fuelled up, not because of increase in Aggregate Demand but mainly due to increase in the cost of producing goods and services.
    • The cost can be increased mainly due to three factors:

    Wage Push Inflation Profit Push Inflation Raw Material Push Inflation
    When the employees push for an increase in wages which are not justifiable either on the grounds of employee productivity or increase in the cost of living. In such scenarios, an unwarranted wage increase leads to increase in the cost of production and hence cost push inflation. The firms sometimes decide to increase their profit margins and starts charging higher prices for their product. This phenomenon pushes the price upward and results in Profit Push Inflation. The raw material push inflation also known as supply shock inflation is the main and the most important reason for cost push inflation.

    If for any reason the economy under goes a supply shock in the form of a rise in the price of essential raw materials like crude oil, it will fuel inflation due to rise in the cost of production.

    Wage Push Inflation generally happens during high growth periods. During which workers anticipate a hike in their wages due to rising cost of living. The employer responds to their demand by increasing wages in the hope that he will pass them on to the consumers in the form of higher prices. The Profit Push Inflation generally happens when there are few of single producer producing the goods for the entire market. For Example, during the 1970s, the OPEC countries decided to increase the price of crude oil, this acted as a supply shock for the entire World economy and price of petroleum products (an essential raw material) went up, fuelling inflation.

    Let’s understand Cost Push Inflation with an Example

    Suppose, Indian economy is operating at its maximum potential. Prices are stable, resources are fully utilised, everyone who is willing to work is getting the work (unemployment is at its minimum). In such a scenario people will form the expectation that the future of the economy is good and they planned their saving and investment decision accordingly.

    However, one day the USA decides to attack Iran in order to dismantle their nuclear weapons. As a repercussion of the attack, the crude oil prices around the world start moving up. India who imports 90 percent of its oil imports suddenly find itself in trouble. The rise in crude oil price puts a break on booming Indian economy and cost of essential products start rising (crude oil is a key input for many industries and is a lifeline of transport economy). As a result of increase in cost of production, the manufacturers decide to increase the price of their product. Hence fuelling first round of cost push inflation (Raw material).

    After a lag of sometime, the final consumer gets to know that the prices of the product have increased. The consumer expectations about the future movement of prices will change as he expects prices to rise further in future. To compensate himself against the future price rise, he starts demanding more wages from his/her employer. This will fuel the second round of cost push inflation (wage push).

    Cost Push Inflation/Supply Shock

    Stagflation

    The most important difference between the Demand Pull and Cost Push Inflation is that while in the case of Demand Pull Inflation the overall output in the economy does not fall. Whereas, in case of Cost Push Inflation, along with an increase in prices the output level of the economy also falls.

    The fall in output will cause employment to fall in the economy along with fall in growth. The falling growth along with rising prices makes cost push inflation more dangerous than the demand-pull inflation. The situation of rising prices along with falling growth and employment is called as stagflation.

    Hyperinflation

    Hyperinflation is a situation when inflation rises at an extremely faster rate. The rate of inflation can increase from 50 times to 300 times.

    The effects of hyperinflation can be devastating for the economy. The situation can lead to total collapse of the value of the currency of the economy along with economic crisis and rising external debt and fall in purchasing power of money.

    The major causes of the hyperinflation are; government issuing too much currency to finance its deficits; wars and political instabilities and unexpected increase in people’s anticipation of future inflation.

    When people anticipate that future inflation will rise at a very fast pace, they start consuming more goods and services due to the fear that higher inflation in the future will destroy the purchasing power of money. As a result of this, the demand for goods and services rises and fuels further inflation. The cycle continues and results in a hyperinflation scenario.

    Structural Inflation

    • Structural Inflation is another form of Inflation mostly prevalent in the Developing and Low-Income Countries.
    • The Structural school argues that inflation in the developing countries are mainly due to the weak structure of their economies.
    • They further argue that increase in money supply and government expenditure could explain the inflationary scenario only partially.
    • The Structuralist argues that the economies of developing countries like, Latin America and India are structurally underdeveloped as well as highly volatile due to the existence of weak institutions and imperfect working of markets.
    • As a result of these imperfections, some sectors of the economy like agriculture will witness shortages of supply, whereas some sectors like consumer goods will witness excessive demand. Such economies face the problem of both shortages of supply, under utilisation of resources as well as excessive demand in some sectors.
    • Example: In India, let’s assume that the farmer produces fruits and vegetables at 10000 per quintal. But the final consumer gets the same at 20000 per quintal. The huge disparity between what farmer receives and consumer pays is due to infrastructure and agriculture bottlenecks. The bottleneck arises mainly due to lack of roads, highways, cold chains and underdeveloped agriculture markets. All these increases the cost of transporting goods from farmers to consumers leading to inflation.
    • The major bottlenecks/road blocks of developing economies that fuels Structuralist form of inflation are:

    Deflation versus Disinflation

    Deflation: Deflation is when the overall price level in the economy falls for a period of time.

    Disinflation: Disinflation is a situation in which the rate of inflation falls over a period of time. Remember the difference; disinflation is when the inflation rate is falling from say 5% to 3%.

    Deflation is when, for instance, the price of a basket of goods has fallen from Rs 100 to Rs 80. It’s the reduction in overall prices of goods.

    Reaganomics

    Reaganomics is a popular term used to refer to the economic policies of Ronald Reagan, the 40th U.S. president (1981–1989), which called for widespread tax cuts, decreased social spending, increased military spending and the deregulation of domestic markets. These economic policies were introduced in response to a prolonged period of economic stagflation that began under President Gerald Ford in 1976.

    Back to Basics:

    Headline Inflation versus Core Inflation

    The headline inflation measure demonstrates overall inflation in the economy. Conversely, the core inflation measures exclude the prices of highly volatile food and fuel components from the inflation index.

    The inflation process in India is dominated to a great extent by supply shocks. The supply shocks (e.g., rainfall, oil price shocks, etc.) are temporary in nature and hence produce only temporary movements in relative prices. The headline CPI inflation in India tends to increase whenever there is a surge in food and fuel prices. Since monetary policy is a tool to manage aggregate demand pressures, the response of the policy to such temporary shocks is least warranted according to traditional wisdom.

    Core inflation excludes the highly volatile food and fuel components and therefore represents the underlying trend inflation. The trend inflation drives the future path of overall inflation. Hence, even when food and fuel inflation moderates over time, persistently high inflation in non-food, non-fuel components pose an upward risk to overall future inflation, creating challenges to monetary policy.

    How to Control Inflation

    Let’s understand some basic relationship before proceeding further.

    Money Supply and Interest Rate

    The Money supply in an economy is controlled by the Central Banks. Whenever there is a threat of Inflation, the central bank intervenes to control the money supply to control the inflation.

    The mechanism through which the central banks controls inflation depends on interest rate. Interest Rate and Money supply moves in opposite directions. As money supply is increased the interest has the tendency to fall and vice versa.

    But why does it happen?

    Suppose at any given point in time, the economy is suffering from low growth. The central bank intervenes by using its monetary policy tools (Bank Rate, Repo Rate, Statutory Liquidity Rate). The result of such loose monetary policy is increase in money supply in the economy.

    The increased money supply means at any given point in time, there will be excess money in the economy than what the people are willing to hold. What will happen to this excess money? People will not want the excess money to be kept idle in their wallets. So they will try to invest it in alternative financial instruments like Bonds.

    As a result of this, the demand for financial assets (Bonds) will increase which will lead to increase in the price of the bonds. An established relation in financial economics is, as bond price rises, Interest will fall.

    A Fall in interest rate>>> Increase in Investment>>> Increase in output/production>>> increase in employment and national income. Hence end of slowdown.

    1. Government Spending and Interest Rate.

    Fiscal policy affects equilibrium income and the interest rate. An increase in government spending (expansionary fiscal policy) to boost economic activity will lead to increase in interest rate. This happens because, at any given point in time, the economy will have limited saving capacity. When the government increase its spending, it competes with the private sector for these limited saving. In the process, this tend to put upward pressure on the interest rate.

    Monetary Policy and Inflation

    Fiscal Policy and Inflation

     The Relationship Between Inflation and Interest Rate.

    In order to understand the relationship between Inflation and Interest Rate, it is necessary to understand the distinction between Real interest rate and nominal Interest rate.

    Back to Basics: Example, if you decide to deposit all your money (Rs 1 Lakh) in a Bank as Fixed Deposit, Banks will pay you Interest rate @ say 10%. The rate of interest that banks pay you is Nominal Interest Rate. Going by this logic, you will be expected to earn Rs 10,000 as interest on your Fixed deposit in a year. In the second year, you will be having Rs 1,10,000 in your bank account.

    But what about the value or purchasing power of your deposit? Is the money worth Rs 1,10,000 is sufficient for you to buy the same basket of goods that you were purchasing last year? Will Rs 1,10,000 will buy you the same amount of goods, less amount of goods or more amount of goods will all depend on the rate of inflation in the economy.

    Let’s say, the inflation rate in the economy during the period is 20%. What will be the value of your deposit at 20% inflation rate?

    The real value in terms of goods that can be purchased from Rs 1,10,000 is actually much less than what it used to be a year ago. The basket of goods that had cost Rs 10,0000 in the previous year is now costing Rs 1,20,000. But the bank has paid you only Rs 1,10,000 in return. The interest rate of the bank has failed to beat the inflation in the economy. Therefore, the real interest adjusted after inflation that the banks have paid you on your deposit is actually negative 10%.

    Real Interest Rate= Nominal Interest Rate – Inflation Rate.

    -10 = 10 – 20

    FAQs

     

    By
    Himanshu Arora
    Doctoral Scholar in Economics & Senior Research Fellow, CDS, Jawaharlal Nehru University

  • Lok Adalats: Origin, Evolution, Jurisdiction, Powers

    What is Lok Adalat?

    The concept of Lok Adalat (People’s Court) is an innovative Indian contribution to the world jurisprudence. The introduction of Lok Adalats added a new chapter to the justice dispensation system of this country and succeeded in providing a supplementary forum to the victims for a satisfactory settlement of their disputes. This system is based on Gandhian principles.

    It is one of the components of ADR (Alternative Dispute Resolution) systems. In ancient times, the disputes were referred to “Panchayats”, which were established at the village level. Panchayats resolved the disputes through arbitration. It has proved to be a very effective alternative to litigation.

    This concept of the settlement of disputes through mediation, negotiation or arbitration is conceptualized and institutionalized in the philosophy of Lok Adalat. It involves people who are directly or indirectly affected by dispute resolution.

    Origin of Lok Adalats

    The concept of Lok Adalats was pushed back into oblivion in last few centuries before independence and particularly during the British regime. Now, this concept has, once again, been rejuvenated. It has become very popular and familiar amongst litigants.

    This is the system, which has deep roots in Indian legal history and its close allegiance to the culture and perception of justice in Indian ethos. Experience has shown that it is one of the very efficient and important ADR mechanisms and most suited to the Indian environment, culture and societal interests.

    Camps of Lok Adalats were started initially in Gujarat in March 1982 and now it has been extended throughout the Country.

    The evolution of this movement was a part of the strategy to relieve heavy burden on the Courts with pending cases and to give relief to the litigants. The first Lok Adalat in India was held on March 14, 1982 at Junagarh in Gujarat. Maharashtra commenced the Lok Nyayalaya in 1984.

    The advent of Legal Services Authorities Act, 1987 gave a statutory status to Lok Adalats, pursuant to the constitutional mandate in Article 39-A of the Constitution of India. It contains various provisions for settlement of disputes through Lok Adalat.

    This Act mandates constitution of legal services authorities to provide free and competent legal services to the weaker sections of the society and to ensure that opportunities for securing justice are not denied to any citizen by reason of economic or other disabilities.

    It also mandates organization of Lok Adalats to secure that the operation of the legal system promotes justice on the basis of equal opportunity. When statutory recognition had been given to Lok Adalat, it was specifically provided that the award passed by the Lok Adalat formulating the terms of compromise will have the force of decree of a court, which can be executed as a civil court decree.

    The evolution of movement called Lok Adalat was a part of the strategy to relieve heavy burden on the Courts with pending cases and to give relief to the litigants who were in a queue to get justice. It contains various provisions for settlement of disputes through Lok Adalat.

    The parties are not allowed to be represented by the lawyers and encouraged to interact with judge who helps in arriving at amicable settlement. No fee is paid by the parties. Strict rule of Civil Procedural Court and evidence is not applied. Decision is by informal sitting and binding on the parties and no appeal lies against the order of the Lok Adalat.

    Permanent Lok Adalats

    In 2002, the Parliament brought about certain amendments to the Legal Services Authorities Act, 1987 to institutionalize the Lok Adalats by making them a permanent body to settle the disputes related to public utility services. The Central or State Authorities may, by notification, establish Permanent Lok Adalats at any Permanent Lok Adalats, for determining issues in connection to Public Utility Services.

    Public Services include:

    1. Transport service
    2. Postal, telegraph or telephone services
    3. Supply of power, light and water to public
    4. System of public conservancy or sanitation
    5. Insurance services and such other services as notified by the Central or State Governments

    Permanent Lok Adalats have the same powers that are vested in the Lok Adalats.

    Jurisdiction of Lok Adalats

    A Lok Adalat shall have jurisdiction to determine and to arrive at a compromise or settlement between the parties to a dispute in respect of:

      1. any case pending before; or
      2. any matter which is falling within the jurisdiction of, and is not brought before, any court for which the Lok Adalat is organized.

    The Lok Adalat can compromise and settle even criminal cases, which are compoundable under the relevant laws.

    Lok Adalats have the competence to deal with a number of cases like:

    1. Compoundable civil, revenue and criminal cases
    2. Motor accident compensation claims cases
    3. Partition Claims
    4. Damages Cases
    5. Matrimonial and family disputes
    6. Mutation of lands case
    7. Land Pattas cases
    8. Bonded Labor cases
    9. Land acquisition disputes
    10. Bank’s unpaid loan cases
    11. Arrears of retirement benefits cases
    12. Family Court cases
    13. Cases, which are not subjudice

    Powers of Lok Adalats

    1. The Lok Adalat shall have the powers of a civil court under the Code of Civil Procedure
    2. 1908, while trying a suit, in respect of the following matters:
    3. Power to summon and enforce the attendance of any witness and to examine him/her on oath.
    4. Power to enforce the discovery and production of any document.
    5. Power to receive evidence on affidavits,
    6. Power for requisitioning of any public record or document or copy thereof or from any court.
    7. Such other matters as may be prescribed
    • Every Lok Adalat shall have the power to specify its own procedure for the determination of any dispute coming before it.
    • All proceedings before a Lok Adalat shall be deemed to be judicial proceedings within the meaning of Sections 193, 219 and 228 of IPC.
    • Every Lok Adalat shall be deemed to be a Civil Court for the purpose of Sec 195 and Chapter XXVI of Cr.P.C.

    Advantages of Lok Adalats

    1. Speedy Justice
    2. Economical
    3. Unburdening of Courts and thus reducing the backlog of cases
    4. Maintenance of Cordial Relations (since the main thrust is on compromise and not punishment)

    Types of Lok Adalats

    1. National Lok Adalat
    Organized across the country on specific dates, National Lok Adalats handle cases en masse at various levels. They address cases pending in different courts, aiming for faster resolutions through compromise.

    2. Permanent Lok Adalat
    Permanent Lok Adalats operate as continuous forums and mainly deal with pre-litigation cases, especially in public utility sectors like transportation, postal services, and healthcare. They work to resolve disputes before they escalate to court cases.

    3. Mobile Lok Adalat
    Mobile Lok Adalats travel to different locations to reach people in remote or underserved areas. They improve access to justice and address cases locally, helping ease the burden on formal court systems.

    4. Special Lok Adalat
    Special Lok Adalats focus on specific types of cases, such as matrimonial or consumer disputes. They cater to cases that require focused attention, often involving sensitive matters, to ensure quicker and more customized resolutions.

    Each type of Lok Adalat plays a key role in expediting justice, reducing court backlogs, and promoting legal awareness through amicable settlements.

    FAQs

    Why is the topic Lok Adalat beneficial for UPSC aspirants?

    Lok Adalat is an essential topic for UPSC aspirants as it highlights the role of alternative dispute resolution in reducing judicial burdens, enhancing access to justice, and promoting legal awareness, which aligns with the Indian legal and administrative systems.

    What is the composition of a Lok Adalat?

    A Lok Adalat is typically composed of a judicial officer, such as a current or retired judge, and two other members who are often lawyers or social workers experienced in legal or societal matters.

  • Banking in India: Definition, Functions and Types of Banks

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    Definition of a Bank

    A bank is a financial institution which performs the deposit and lending function. A bank allows a person with excess money (Saver) to deposit his money in the bank and earns an interest rate. Similarly, the bank lends to a person who needs money (investor/borrower) at an interest rate. Thus, the banks act as an intermediary between the saver and the borrower.

    The bank usually takes a deposit from the public at a much lower rate called deposit rate and lends the money to the borrower at a higher interest rate called lending rate.

    The difference between the deposit and lending rate is called ‘net interest spread’, and the interest spread constitutes the banks income.

    Essential Features/functions of the Bank

    Financial Intermediation

    The process of taking funds from the depositor and then lending them out to a borrower is known as Financial Intermediation. Through the process of Financial Intermediation, banks transform assets into liabilities. Thus, promoting economic growth by channelling funds from those who have surplus money to those who do not have desired money to carry out productive investment.

    The bank also acts as a risk mitigator by allowing savers to deposit their money safely (reducing the risk of theft, robbery) and also earns interest on the same deposit. Bank provides services like saving account deposits and demand deposits which allow savers to withdraw money on an immediate basis thus, providing liquidity (which is as good as holding cash) with security.

    How Banks promote economic growth?

    Types/Structure of Banks in India

    Scheduled Commercial Banks

    • All the commercial banks in India- Scheduled and Non-Scheduled is regulated under Banking Regulation Act 1949.
    • By definition, any bank which is listed in the 2nd schedule of the Reserve Bank of India Act, 1934 is considered a scheduled bank. The list includes the State Bank of India and its subsidiaries (like State Bank of Travancore), all nationalised banks (Bank of Baroda, Bank of India etc), Private sector banks, Foreign banks, regional rural banks (RRBs), foreign banks (HSBC Holdings Plc, Citibank NA) and some co-operative banks.
    • Till 2017, Scheduled commercial banks in India comprised 26 Public sector banks including SBI and its associates, and 19 Nationalised Bank and IDBI. The creation of Bhartiya Mahaila Bank has increased the total no of Public sector SCB’s to 27, but the recent merger of the Mahaila Bank with SBI had reduced the list back to 26.
    • The scheduled private sector bank includes old private sector banks and new private sector banks. There are 13 old private sector banks and 9 new private sector banks including the newly formed IDFC and Bandhan Bank.
    • There are also 43 Foreign National Banks operating in India.
    • The Regional Rural Banks were started in India back in the 1970s due to the inability of the commercial banks to lend to farmers/rural sectors/agriculture. The governance structure/shareholding of RRBs is as follows:
    • Central Government: 50%, State Government: 15% and Sponsor Bank: 35%.
    • RBI has kept CRR (Cash Reserve Requirements) of RRBs at 3% and SLR (Statutory Liquidity Requirement) at 25% of their total net liabilities.

    Important Facts Relating to Scheduled Commercial Banks

    • In terms of Business, Public sector banks dominate the Indian Banking.
    • PSB accounts for close to 50% of total assets, 70% of deposits and close to 70% of the advances.
    • Amongst the Public-Sector Banks, SBI and its Associates has the highest number of Branches.
    • The committee on Regional Rural Bank headed by M Narasimhan recommended the setting up of RRBs for the purpose of providing rural credit.
    • An RRB is sponsored by a Public-Sector Bank which also provides a part of its share capital. Example: Maharashtra Gramin Bank (sponsored by the Bank of Maharashtra) and the Himachal Gramin Bank (Sponsored by Punjab National Bank). RRBs were set up to eliminate other unorganized financial institutions like money lenders and supplement the efforts of co-operative banks.
    • The Private Commercial banks account for close to 1/4th of the assets of the total banking assets.

    Why RRBs Failed to Achieve ITs Objective

    The RRB Amendment Bill, 2014

    • The Regional Rural Banks (Amendment) Bill, 2014 was introduced by the Minister of Finance, Mr Arun Jaitley, in Lok Sabha on December 18, 2014.  The Bill seeks to amend the Regional Rural Banks Act, 1976. It was passed by parliament in April 2015.
    • The Regional Rural Banks Act, 1976 mainly provides for the incorporation, regulation and winding up of Regional Rural Banks (RRBs).
    • Sponsor banks:  The Act provides for RRBs to be sponsored by banks.  These sponsor banks are required to (i) subscribe to the share capital of RRBs, (ii) train their personnel, and (iii) provide managerial and financial assistance for the first five years.  The Bill removes the five-year limit, thus allowing such assistance to continue beyond this duration.
    • Authorized capital:  The Act provides for the authorized capital of each RRB to be Rs five crore.  It does not permit the authorized capital to be reduced below Rs 25 lakh.  The Bill seeks to raise the amount of authorized capital to Rs 2,000 crore and states that it cannot be reduced below Rs one crore.
    • Issued capital:  The Act allows the central government to specify the capital issued by an RRB, between Rs 25 lakh and Rs one crore.  The Bill requires that the capital issued should be at least Rs one crore.
    • Shareholding:  The Act mandates that of the capital issued by an RRB, 50% shall be held by the central government, 15% by the concerned state government and 35% by the sponsor bank.  The Bill allows RRBs to raise their capital from sources other than the central and state governments, and sponsor banks.  In such a case, the combined shareholding of the central government and the sponsor bank cannot be less than 51%.  Additionally, if the shareholding of the state government in the RRB is reduced below 15%, the central government would have to consult the concerned state government.
    • The Bill states that the central government may by notification raise or reduce the limit of the shareholding of the central government, state government or the sponsor bank in the RRB. In doing so, the central government may consult the state government and the sponsor bank.  The central government is required to consult the concerned state government when reducing the limit of the shareholding of the state government in the RRB.
    • Board of directors:  The Act specifies the composition of the Board of Directors of the RRB to include a Chairman and directors to be appointed by the central government, NABARD, sponsor bank, Reserve Bank of India, etc.  The Bill states that any person who is a director of an RRB is not eligible to be on the Board of Directors of another RRB.
    • The Bill also adds a provision for directors to be elected by shareholders based on the total amount of equity share capital issued to such shareholders.  If the equity share capital issued to shareholders is 10% or less, one director shall be elected by such shareholders.  Two directors shall be elected by shareholders where the equity share capital issued to them is from 10% to 25%.  Three directors shall be elected in case of equity share capital issued being 25% or above.  If required, the central government can also appoint an officer to the board of directors to ensure the effective functioning of the RRB.
    • The Act specifies the term of office of a director (excluding the Chairman) to be not more than two years.  The Bill raises this tenure to three years.  The Bill also states that no director can hold office for a total period exceeding six years.
    • Closure and balancing of books:  As per the Act, the books of an RRB should be closed and balanced as on December 31 every year.  The Bill changes this date to March 31 to bring the Act in uniformity with the financial year.

    Non-scheduled Banks

    • Non-scheduled banks by definition are those which are not listed in the 2nd schedule of the RBI Act, 1934.
    • Banks with a reserve capital of less than 5 lakh rupees qualify as non-scheduled banks.
    • Unlike scheduled banks, they are not entitled to borrow from the RBI for normal banking purposes, except, in emergency or “abnormal circumstances.”
    • Jammu & Kashmir Bank is an example of a non-scheduled commercial bank.

    Cooperative Banks

    • Co-operative banks operate in both urban and non-urban areas. All banks registered under the Cooperative Societies Act, 1912 are considered co-operative banks.
    • In the urban centres, they mainly finance entrepreneurs, small businesses, industries, self-employment and cater to home buying and educational loans.
    • Likewise, co-operative banks in the rural areas primarily cater to agricultural-based activities, which include farming, livestock’s, diaries and hatcheries etc.
    • They also extend loans to small scale units, cottage industries, and self-employment activities like artisanship.
    • Unlike commercial banks, who are driven by profit, cooperative banks work on a “no profit, no loss” basis.
    • Co-operative Banks are regulated by the Reserve Bank of India under the Banking Regulation Act, 1949 and Banking Laws (Application to Co-operative Societies) Act, 1965.

    By
    Himanshu Arora
    Doctoral Scholar in Economics & Senior Research Fellow, CDS, Jawaharlal Nehru University

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  • Taxation in India: Classification, Types, Direct tax, Indirect tax

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    Taxation in India

    The India Constitution is quasi-federal in nature, and the country has three tier government structure.

    To avoid any disputes between the centre and state the Constitution envisage following provisions regarding taxation:

    • Division of powers to levy taxes between centre and state is clearly defined.
    • There are certain taxes which are levied by the centre, but their proceeds are distributed between both centre and the state. Example- Union Excise Duty.
    • There are certain taxes which are levied by the centre, but their proceeds are transferred to the states. Example-Estate duty on property other than agriculture income.
    • There are certain taxes which are levied by the central government, but the responsibility to collect them is vested with the states. Example- Stamp Duty other than included in the Union List.
    • There are certain taxes which are levied by the states, and their proceeds are also kept by states. Example: Erstwhile VAT

    Classification of Taxes in India

    What is a Tax?

    Taxes are generally an involuntary fee levied on individuals and corporations by the government in order to finance government activities. Taxes are essentially of quid pro quo in nature. It means a favour or advantage granted in return for something.

    Key Differences between Direct Tax and Indirect Tax

    Basis Direct Tax Indirect Tax
    Meaning The tax that is levied by the government directly on the individuals or corporations are called Direct Taxes. The tax that is levied by the government on one entity (Manufacturer of goods), but is passed on to the final consumer by the manufacturer.
    Incidence The incidence and impact of the direct tax fall on the same person. The incidence and impact of the tax fall on different persons.
    Examples Income Tax, Corporation Tax and Wealth Tax. VAT, Service tax, GST, Excise duty, entertainment tax and Customs Duty.
    Nature They are progressive in nature. They are regressive in nature.
    Objective Both Social and Economical. Social objective of direct tax is the distribution of income. A person earning more should contribute more in the provision of public service by paying more tax. This provision is also known as progressive taxation. Only Economical. When an indirect tax is levied on a product, both rich and poor must pay at the same rate. A person earning 10 lakh a month pays the same tax on the Wheat purchase as the person earning 3000 Re a month. This principle is called regressive taxation.
    Impact Not at all Inflationary. Is inflationary.

    Understanding Regressive Nature of Indirect Taxes.

    Government Levies a tax of 5 percent on a pack of 5KG Rice worth Re1000.

    Tax Burden on the Pack: 5/100*1000= 50 Re

    • Rich Individual Case (Monthly Earning 1 Lakh)

    He buys the rice pack and pays a tax of 50 Re.

    The proportion of his income that went on paying tax on Rice is 0.05 Percent (50/100000) of his total earning.

    • Poor Individual Case (Monthly income 1000 Re)

    He buys Rice pack and pays a tax of Re 50.

    The proportion of his income that went on paying tax on rice is 5 percent (50/1000) of his total earning.

    As you can clearly see, a poor individual is paying a higher proportion of his income as indirect tax as compared to the richer individual.

    Key Differences between Ad valorem and Specific Tax

    Ad Valorem Tax Specific Tax
    Ad valorem tax is based on the assessed value of the product. In Fact, ‘Ad Valorem’ is a Latin word meaning ‘According to Value’. Specific tax is a fixed amount tax based on the quantity of unit sold.
    Most Ad valorem taxes are levied based on the value of the item purchased. Specific tax is levied based on the volume of the item purchased.
    The tax is usually expressed in percentage. Example GST in India has 5 tax rate slabs- 0, 5. 12, 18 and 28 percent. The tax is usually expressed in specific sums. Example: Excise Duty on Petrol.
    Example: GST, Property tax, sales tax. Example: Excise duty on petrol and liquor products.
    They are progressive in nature. They are regressive in nature.

    Types of Taxes in India

    In India, Taxes are levied on income and wealth. Taxes are broadly classified into two main categories: Direct Tax and Indirect tax. Direct taxes are levied directly on individuals and entities, with income tax and corporate tax being prime examples. These taxes are based on the taxpayer’s ability to pay. Indirect taxes, on the other hand, are imposed on goods and services, such as Goods and Services Tax (GST) and excise duty. Each type of tax plays a crucial role in government revenue and economic regulation, contributing to national development.

    Direct Taxes in India

    Direct taxes in India are levied directly on individuals and corporations based on their income or profit. Key types include Income Tax, imposed on individual earnings; Corporate Tax, charged on company profits; and Wealth Tax (though currently abolished), which taxed an individual’s wealth. These taxes ensure equitable distribution of wealth and provide significant revenue for the government.

    Income Tax

    • Income tax is levied on the income of individuals, Hindu undivided families, unregistered firms and other association of people.
    • In India, the nature of income tax is progressive.
    • For taxation purpose income from all sources is added and taxed as per the income tax slabs of the individual.
    • The budget of 2017-18 proposed the following slab structure:
    Income Slab (less than 60 years) Tax Rate
    Up to 2,50,000 No Tax
    Up to 2,50,000 to 5,00,000 5%
    Up to 5,00,000 to 10,00,000 20%
    Excess of 10,00,000 30%
       

    Surcharge of 10% of income tax where the total income exceeds Rs 50 lakh up to Rs 1 Crore.

    Surcharge of 15% of income tax, where the total income exceeds Rs 1 Crore.

    Corporation Tax

    • Corporation tax levied on the income of corporate firms and corporations.
    • For taxation purpose, a company is treated as a separate entity and thus must pay a separate tax different from personal income tax of its owner.
    • Companies both public and private which are registered in India under the companies act 1956 are liable to pay corporate tax.
    • The Budget 2017-18 proposed following tax structure for domestic corporate firms:
    • For the Assessment Year 2017-18 and 2018-19, a domestic company is taxable at 30%.
    • For Assessment Year 2017-18, the tax rate would be 29% where turnover or gross receipt of the company does not exceed Rs. 5 crores in the previous year 2014-15.
    • However, for Assessment year 2018-19, the tax rate would be 25% where turnover or gross receipt of the company does not exceed Rs. 50 crores in the previous year 2015-16.

    Wealth Tax or Capital Tax

    Estate Duty: First introduced in 1953. It was levied on the total property passing on the death of a person. The whole property of the deceased person constituted his wealth and is liable for the tax. The tax now stands abolish w.e.f 1985.

    Wealth Tax: First introduced in 1957. It was levied on the excess of net wealth (over 30,00,00,0 @ 1 percent) of individuals, joint Hindu families and companies. Wealth tax has been a minor source of revenue. The tax now stands abolish wef 2015.

    Gift Tax: First introduced in 1958. The gift tax was levied on all donations except the one given by the charitable institution’s government companies and private companies. The tax now stands abolished wef 1998.

    Capital Gain Tax: Ay profit or gain that arises from the sale of the capital asset is a capital gain. The profit from the sale of capital is taxed. Capital Asset includes land, building, house, jewellery, patents, copyrights etc.

    • Short-term capital asset – An asset which is held for not more than 36 months or less is a short-term capital asset.
    • Long-term capital asset – An asset that is held for more than 36 months is a long-term capital asset.
      From FY 2017-18 onwards – The criteria of 36 months has been reduced to 24 months in the case of immovable property being land, building, and house property.
    • For instance, if you sell house property after holding it for a period of 24 months, any income arising will be treated as long-term capital gain provided that property is sold after 31st March 2017.

    But this change is not applicable to movable property such as jewellery, debt oriented mutual funds etc. They will be classified as a long-term capital asset if held for more than 36 months as earlier.

    • Tax on long-term capital gain: the Long-term capital gain is taxable at 20% + surcharge and education cess.
    • Tax on the short-term capital gain when securities transaction tax is not applicable: If securities transaction tax is not applicable, the short-term capital gain is added to your income tax return, and the taxpayer is taxed according to his income tax slab.
    • Tax on the short-term capital gain if securities transaction tax is applicable: If securities transaction tax is applicable, the short-term capital gain is taxable at the rate of 15% +surcharge and education cess.

    Indirect Taxes in India

    Indirect taxes in India are levied on goods and services rather than on income or profits. Key examples include the Goods and Services Tax (GST), excise duty, and customs duty, which impact consumer prices and government revenue.

    Custom Duty

    • It is a duty levied on exports and imports of goods.
    • Import duty is not only a source of revenue from the government but also have also been employed to regulate trade.
    • Import duties in India is levied on ad valorem basis.
    • Example: if an Indian plan to buy a Mercedes from abroad. He must pay the customs duty levied on it.
    • The purpose of the customs duty is to ensure that all the goods entering the country are taxed and paid for.
    • Just as customs duty ensures that goods for other countries are taxed, octroi is meant to ensure that goods crossing state borders within India are taxed appropriately.
    • It is levied by the state government and functions in much the same way as customs duty does.

    Excise Duty

    • An excise duty is in the true sense is a commodity tax because it is levied on production of goods in India and not on the sale of the product.
    • Excise duty is explicitly levied by the central government except for alcoholic liquor and narcotics.
    • It is different from customs duty because it is applicable only to things produced in India and is also known as the Central Value Added Tax or CENVAT.

    Service Tax

    • Service tax is levied on the services provided in India.
    • Service tax was first introduced in 1994-95 on three services telephone services, general insurance and share broking.
    • Since then, every year the service net has been widened by including more and more services. We now have an exclusion criterion based on ‘negative list’, where some services are excluded out of tax net.
    • The current rate of service tax in India was 15% before being replaced by Goods and Service tax.

    Value Added Tax

    • The India’s indirect tax structure is weak and produces cascading effects.
    • The structure was by, and large uncertain and complex and its administration was difficult.
    • As a result, various committees on taxation recommended ‘Value Added Tax’. The Indirect Taxation enquiry committee argued for VAT.
    • The VAT has a self-monitoring mechanism which makes tax administration easier.
    • The VAT is properly structured removes distortions.
    • Accordingly, VAT has been introduced in India by all states and UTs (except UTs of Andaman Nicobar and Lakshadweep).
    • The State VAT being implemented till 1 July 2017, had replaced erstwhile Sales Tax of States.
    • The tax is levied on various goods sold in the state, and the amount of the tax is decided by the state itself.

    Goods and Services Tax(GST)

    GST is a comprehensive indirect tax introduced in India on July 1, 2017. It aims to simplify the taxation process by unifying multiple indirect taxes into a single tax structure. GST is applied to the supply of goods and services, with rates varying based on the category of the product or service. The main features of GST include a dual tax structure (Central GST and State GST), seamless input tax credit, and a focus on transparency and efficiency in tax administration. GST has streamlined the tax system, promoting ease of doing business and boosting economic growth in India.

    Indirect Taxes in a nutshell

    Tax Who Levies Revenue goes to Nature Incidence Levied on
    Custom Duty Central Government Centre Govt Progressive Shifts to Final Consumer Export and Import
    Excise Duty/CENVAT Central Government Both Centre and State progressive Shifts to Final Consumer Domestically Manufactured Goods
    Service Tax Central Government Centre Govt Regressive Shifts to Final Consumer All Services
    VAT State Government State Govt Regressive Shifts to Final Consumer Sale of Goods in the States

    Conclusion

    For UPSC aspirants, understanding the intricacies of taxation in India, including its classifications, impacts on the economy, and recent reforms, is essential for comprehensive preparation. This knowledge not only aids in tackling examination questions but also provides insights into India’s fiscal policies and their implications on development.

    FAQs

    Why is understanding direct and indirect taxes important for UPSC?

    Understanding direct and indirect taxes is essential for UPSC aspirants as it provides insights into India’s tax system, economic policies, and fiscal responsibilities. This knowledge is vital for answering questions related to taxation in the UPSC exams.

    Why is understanding taxation in India crucial for UPSC aspirants?

    Understanding taxation in India is crucial for UPSC aspirants because it directly influences the economy and public governance. Knowledge of direct and indirect taxes helps candidates analyze fiscal policies, which are often included in the exam syllabus. This understanding is essential for effective exam preparation and for informed decision-making as future civil servants.

     

    By
    Himanshu Arora
    Doctoral Scholar in Economics & Senior Research Fellow, CDS, Jawaharlal Nehru University

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  • Urban Local Government: Composition, Functions, Problems

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    Urban Local government implies the governance of an urban area by the people through their elected representatives. 74th Constitutional Amendment Act, 1992 provided constitutional status to local urban bodies.

    74th Constitutional Amendment

    This act added a new part IX-A to the Constitution entitled as ‘The Municipalities’ and a new Twelfth Schedule containing 18 functional items for municipalities. The main provisions of this Act can be grouped under two categories–compulsory and voluntary. Some of the compulsory provisions which are binding on all States are:

    1. Constitution of Nagar panchayats, municipal councils and municipal corporations in transitional areas (areas in transition from a rural area to urban area), smaller urban areas and larger urban areas respectively;
    2. Reservation of seats in urban local bodies for Scheduled Castes / Scheduled Tribes roughly in proportion to their population;
    3. Reservation of seats for women up to one-third seats;
    4. The State Election Commission, constituted in order to conduct elections in the panchayati raj bodies (see 73rd Amendment) will also conduct elections to the urban local self- governing bodies;
    5. The State Finance Commission, constituted to deal with financial affairs of the Panchayati Raj bodies will also look into the financial affairs of the local urban self governing bodies;
    6. Tenure of urban local self-governing bodies is fixed at five years and in case of earlier dissolution fresh elections are to be held within six months;

    Some of the voluntary provisions which are not binding, but are expected to be observed by the States are:

    1. Giving representation to members of the Union and State Legislatures in these bodies;
    2. Providing reservation for backward classes;
    3. Giving financial powers in relation to taxes, duties, tolls and fees etc;
    4. Making the municipal bodies autonomous and devolution of powers to these bodies to perform some or all of the functions enumerated in the Twelfth Schedule added to the Constitution through this Act and/or to prepare plans for economic development.

    In accordance with the 74th Amendment, municipal corporations and municipalities (municipal boards or municipal committees) are now regulated in a fairly uniform manner in all the States. However, one must remember that local self-government continues to be a subject in the State List.

    Thus, the 73rd and 74th amendments provide a framework for the States in respect of local government. Thus, each State has its own Election Commission which conducts elections to all local bodies after regular intervals of five years.

    Each State has its Finance Commission to regulate finances of the local bodies. Seats are reserved in the corporations and municipalities for Scheduled Castes and Tribes. One-third seats are reserved for women in all local bodies – urban and rural.

    Composition

    The Municipal bodies are constituted of persons chosen by direct election from the territorial constituencies (known as wards) in the municipal area.

    However, the Legislature of a State may, by law, provide for the representation in a municipal body of persons having special knowledge or experience of municipal administration, the members of Rajya Sabha, Lok Sabha and the members of Legislative Council and Legislative Assembly of the State, representing constituencies, which comprise wholly or partly the Municipal Area.The state legislature may also provide the manner of the election of the Chairpersons of a municipality.

    The state legislature may also provide the manner of the election of the Chairpersons of a municipality.

    Empowerment of weaker sections of society and women by reserving seats for such groups is one of the important constitutional provisions of the Constitutional Amendment.

    The offices of chairperson are also reserved for SC/ST and women. Thus, at least one year, out of five year duration of Municipal Corporation of Delhi, the office of Mayor is reserved for a woman, and for one year is reserved for a Councillor of Scheduled Caste. It gives a term of five years to the municipalities and if any of them is to be dissolved, it must be given an opportunity of being heard.

    Functions of Urban Local Bodies

    It is a common practice to divide the organisation of a corporation or a municipality into two parts:

    (a) deliberative and (b) executive part

    The corporation, council or municipal board or council consisting of the elected representatives of the people constitutes the deliberative part. It acts like a legislature.

    It discusses and debates on general municipal policies and performance, passes the budget of the urban local body, frames broad policies relating to taxation, resources raising, pricing of services and other aspects of municipal administration.

    It keeps an eye on municipal administration and holds the executive accountable for what is done or not done. For instance, if water supply is not being properly managed, or there is an outbreak of an epidemic, the deliberative wing criticises the role of the administration and suggests measures for improvement.

    The executive part of municipal administration is looked after by the municipal officers and other permanent employees. In the corporations, the Municipal Commissioner is the executive head, and all other departmental officers like engineers, finance officers, health officers etc. function under his/her control and supervision.

    In a large corporation, such as Delhi or Mumbai Municipal Corporation, the Commissioner is usually a senior IAS officer. In municipalities, the executive officer holds a similar position and looks after the overall administration of a municipality.

    Municipal functions are generally classified into obligatory and discretionary types.

    The obligatory (compulsory) functions are those that the municipal body must perform. In this category fall such functions as water supply; construction and maintenance of roads, streets, bridges, subways and other public works, street lighting; drainage and sewerage; garbage collection and disposal; prevention and control of epidemics.

    Some other obligatory functions are public vaccination and inoculation; maintenance of hospitals and dispensaries including maternity and child welfare centres; checking food adulteration; removal of slums; supply of electricity; maintenance of cremation and burial grounds; and town planning. In some States some of these functions may be taken over by State Government.

    The discretionary functions are those that a municipal body may take up if funds permit. These are given less priority. Some of the discretionary functions are construction and maintenance of rescue homes and orphanages, housing for low income groups, organising public receptions, provision of treatment facilities, etc.

    Type of urban governments

    There are eight types of urban governments in India.

    1. Municipal Corporation: Municipal corporations are created for the administration of big cities like Delhi, Mumbai, Hyderabad and others. A Municipal Corporation has three authorities namely, the council (legislative wing of the corporation), the standing committee (to facilitate the working of the council) and the commissioner (chief executive authority of the corporation).The council consist of councillors directly elected by people and is headed by a Mayor while the Commissioner is appointed by state government and is generally an IAS officer.
    2. Municipality: The municipalities are established for the administration of towns and smaller cities. They are known by various other names like municipal council, municipal committee, municipal board, borough municipality, city municipality and others. In composition they are quite similar to municipal corporations except that head of council is called President /chairman and in place of commissioner they have a chief executive officer/chief municipal officer.
    3. Notified Area Committee: A notified area committee is created for the administration of two types of areas- a fast developing town due to industrialisation, and a town which does not yet fulfill all the conditions necessary for the constitution of a municipality, but which otherwise is considered important by the state government. It is called so because it is created by a notification and unlike the municipality it is an entirely nominated body, i.e. all members, including the Chairman, are nominated by the state government. Thus, it is neither a statutory body (created by law) nor an elected body.
    4. Town Area Committee: It is set up by a separate act of state legislature for the administration of a small town. It is a semi-municipal authority entrusted with limited number of civic functions. It may be wholly elected or wholly nominated or partly elected and partly nominated as provided by state government.
    5. Cantonment Board: It is established for municipal administration for civilian population in the cantonment areas (area where military forces and troops are permanently stationed). It is set up under the provisions of the Cantonment Act, 2006 by central government and works under Defence ministry of central government. It is partly elected and partly nominated body having the Military officer commanding the station as its ex-officio President. Vice president is elected amongst by the elected members of board. The executive officer of the cantonment board is appointed by the President of India.,
    6. Township: It is established by large public enterprises to provide civic amenities to its staff and workers, who live in the housing colonies built near the plant. It is not an elected body and all members, including the town administrator, is appointed by the enterprise itself.
    7. Port Trust: The port trusts are established in the port areas like Mumbai, Kolkata, Chennai and so on for two purposes: (a) to manage and protect the ports; (b) to provide civic amenities. It is created by an Act of Parliament and it consists of both elected and nominated members.
    8. Special Purpose Agency: The states have set up certain agencies to undertake designated activities or specific functions that legitimately belong to the domain of municipal corporations, municipalities or other local urban governments. In other words, these are function based, not area based. They are known as ‘single purpose’, ‘uni-purpose’ or ‘special purpose’ or ‘functional local bodies’ like town improvement trust, housing boards, pollution control boars etc. They are established as statutory bodies by an act of state legislature or as departments by an executive resolution. They function as an autonomous body and are not subordinate agencies to local municipal bodies.

    Problem areas of Municipal Bodies

    1. Disqualifications of members of Municipal Bodies follow in principle the practice followed in state legislature disqualifications. But since it is governed by the state legislature who can make laws regarding the same,it is not consistent in all states and that leads to a lot of disparity and non – security among members.
    2. Election expenses and code of conduct to be better regulated and more powers should be given to the State election commission to do the same.
    3. The Municipal Councils/ Municipalities have restricted local autonomy as compared to the Municipal Corporations; with more pervasive state control that often climax in dissolution of the former.
    4. Lack of Finance due to reluctance of the state and central legislators not wanting to divest further taxation and grants powers to them more than what they already have for fear of loss of power. And the municipal bodies fear increasing tax or asking for new tax collection options for loss of popularity among people.
    5. Local bodies are created by state governments and therefore can be dissolved by them as well if not dancing as per their tunes.
    6. In addition to the above is the drawing of rural people and other city people to a place where there is rapid urbanization through industrialization. Law and order becomes difficult to maintain, slums develop etc. leading to additional problems for these already stressed out urban local governance bodies.
    7. In spite of many central and state committees sitting and recommending better financial and administrative autonomy for the Municipal bodies, there has been no concrete effort from the legislator’s side to implement the same.
    8. The power now seems to have shifted from the state governments to the financial institutions, international donors and credit rating agencies. Finally, the capacity of the government to generate employment directly through anti-poverty programs would remain limited. Thus anti-poverty programs should primarily be focused on provision of basic amenities.
    9. Lack of consistent and coherent urban development policy, faulty and improper urban planning coupled with poor implementation and regulation are big challenges for municipalities.
    10. Lack of proper monitoring system in place results in inefficient and improper functioning of Local Urban Bodies.
  • Panchayati Raj Institution: Evolution, Features, Composition, Powers, Functions

    Panchayati Raj is a system of rural local self-government in India.

    It has been established in all the states of India by the acts of the state legislature to build democracy at the grass root level. It is entrusted with rural development and was constitutionalized through the 73rd Constitutional Amendment Act of 1992.

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    Evolution of Panchayati Raj in India

    Panchayati Raj was not a new concept to India. Indian villages had Panchayats (council of five persons) from very ancient time, which were having both executive and judicial powers and used to handle various issues (land distribution, tax collection etc.) or disputes arising in the village area.

    Gandhiji also held the opinion of empowerment of Panchayats for the development of rural areas. Thus, recognizing their importance our Constitution makers included a provision for Panchayats in part IV of our constitution (directive principles of state policy).

    Art. 40 confers the responsibility upon State to take steps to organise Village Panchayats and endow them with such powers and authority as may be necessary to enable them to function as units of self-government. But it does not give guidelines for organising village panchayats.

    Thus, its formal organisation and structure was firstly recommended by Balwant Rai committee,1957 (Committee to examine the Community Development Programme,1952).

    The Committee, in its report in November 1957, recommended the establishment of the scheme of ‘democratic decentralisation’, which ultimately came to be known as Panchayati Raj. It recommended for a three tier system at village, block and district level and it also recommended for direct election of village level panchayat. Rajasthan was the first state to establish Panchayati Raj at it started from Nagaur district on October 2, 1959.

    After this, Ashok Mehta Committee on Panchayati Raj was appointed in December 1977 and in August 1978 submitted its report with various recommendations to revive and strengthen the declining Panchayati Raj system in the country.

    Its major recommendation were two tier system of panchayat, regular social audit, representation of political parties at all level of panchayat elections, provisions for regular election, reservation to SCs/STs in panchayats and a minister for panchayati raj in state council of ministers.

    Further, G V K Rao Committee appointed in 1985 again recommended some measures to strengthen Panchayati Raj institutions.

    LM Singhvi Committee appointed in 1986 first time recommended for the constitutional status of Panchayati Raj institutions and it also suggested for constitutional provisions to ensure regular, free and fair elections to the Panchayati Raj Bodies.

    In response to the recommendations of LM Singhvi committee, a bill was introduced in the Lok Sabha by Rajiv Gandhi’s government in July 1989 to constitutionalize Panchayati Raj Institutions, but the bill was not passed in Rajya Sabha.

    The V P Singh government also brought a bill, but fall of the government resulted in lapse of the bill. After this P V Narashima Rao’s government introduced a bill for this purpose in Lok Sabha in September, 1991 and the bill finally emerged as the 73rd Constitutional Amendment Act, 1992 and came into force on 24th April, 1993.

    Features of 73rd Amendment Act 1992

    The 73rd Amendment to the Constitution enacted in 1992 added a new part-IX to the Constitution. It also added a new XI schedule containing list of 29 functional items for Panchyats and made statutory provisions for the establishment, empowerment and functioning of Panchayati Raj institutions. Some provisions of this amendment are binding on the States, while others have been left to be decided by respective State Legislatures at their discretion. The salient features of this amendment are as follows:

    1. Organization of Gram Sabhas;
    2. Creation of a three-tier Panchayati Raj Structure at the District (Zila), Block and Village levels;
    3. Almost all posts, at all levels to be filled by direct elections;
    4. Minimum age for contesting elections to the Panchayati Raj institutions be twenty one years;
    5. The post of Chairman at the District and Block levels should be filled by indirect election;
    6. There should be reservation of seats for Scheduled Castes/ Scheduled Tribes in Panchayats, in proportion to their population, and for women in Panchayats up to one-third seats;
    7. State Election Commission to be set up in each State to conduct elections to Panchayati Raj institutions;
    8. The tenure of Panchayati Raj institutions is five years, if dissolved earlier, fresh elections to be held within six months; and
    9. a State Finance Commission is to be set up in each State every five years.

    Some of the provisions, which are not binding on the States, but are only guidelines:

    1. Giving representation to the members of the Central and State legislatures in these bodies;
    2. Providing reservation for backward classes; and
    3. The Panchayati Raj institutions should be given financial powers in relation to taxes, levy fees etc. and efforts shall be made to make Panchayats autonomous bodies.

    Composition of Panchayats

    The Panchayati Raj system, as established in accordance with the 73rd Amendment, is a three- tier structure based on direct elections at all the three tiers: village, intermediate and district.Exemption from the intermediate tier is given to the small States having less than 20

    Exemption from the intermediate tier is given to the small States having less than 20 lakhs population. It means that they have freedom not to have the middle level of panchayat.

    All members in a panchayat are directly elected. However, if a State so decides, members of the State Legislature and Parliament may also be represented in a district and middle-level panchayats.

    The middle-level panchayats are generally known as Panchayat Samitis. Provisions have been made for the inclusion of the chairpersons of the village panchayats in the block and district level panchayats.

    The provision regarding reservation of seats for Scheduled Castes/Scheduled Tribes has already been mentioned earlier. However it should also be noted here that one-third of total seats are reserved for women, and one-third for women out of the Quota fixed for Scheduled Castes/Tribes.

    Reservation is also provided for offices of Chairpersons. The reserved seats are allotted by rotation to different constituencies in a panchayat area. State Legislatures can provide for further reservation for other backward classes (OBC) in panchayats.

    Term of a Panchayat

    The Amendment provides for the continuous existence of Panchayats. The normal term of a Panchayat is five years. If a Panchayat is dissolved earlier, elections are held within six months. There is a provision for State Election Commission, for superintendence, direction, and control of the preparation of electoral rolls and conduct of elections to Panchayats.

    Powers and Responsibilities of Panchayats

    State Legislatures may endow Panchayats with such powers and authority as may be necessary to enable the Panchayats to become institutions of self-government at the grassroots level.

    Responsibility may be given to them to prepare plans for economic development and social justice. Schemes of economic development and social justice with regard to 29 important matters mentioned in XI schedule such as agriculture, primary and secondary education, health and sanitation, drinking water, rural housing, the welfare of weaker sections, social forestry and so forth may be made by them.

    Three-tier Structure of Panchayati Raj

    Panchayat Samiti

    The second or middle tier of the Panchayati Raj is Panchayat Samiti, which provides a link between Gram Panchayat and a Zila Parishad.

    The strength of a Panchayat Samiti also depends on the population in a Samiti area. In Panchayat Samiti, some members are directly elected.Sarpanchs of Gram Panchayats

    Sarpanchs of Gram Panchayats are ex-officio members of Panchayat Samitis. However, all the Sarpanchs of Gram Panchayats are not members of Panchayat Samitis at the same time.

    The number varies from State to State and is rotated annually. It means that only chairpersons of some Gram Panchayats in a Samiti area are members of Panchayat Samiti at a time.

    In some panchayats, members of Legislative Assemblies and Legislative Councils, as well as members of Parliament who belong to the Samiti area, are co-opted as its members. Chairpersons of Panchayat Samitis are, elected indirectly- by and from amongst the elected members thereof.

    Zila Parishad

    Zila Parishad or district Panchayat is the uppermost tier of the Panchayati Raj system.

    This institution has some directly elected members whose number differs from State to State as it is also based on population. Chairpersons of Panchayat Samitis are ex-officio members of Zila Parishads.

    Members of Parliament, Legislative Assemblies and Councils belonging to the districts are also nominated members of Zila Parishads.

    The chairperson of a Zila Parishad, called Adhyaksha or President is elected indirectly- by and from amongst the elected members thereof. The vice-chairperson is also elected similarly.Zila Parishad meetings are conducted once a month. Special meetings can also be convened to discuss special matters. Subject committees are also formed.

    Zila Parishad meetings are conducted once a month. Special meetings can also be convened to discuss special matters. Subject committees are also formed.

    Functions of Panchayat

    All Panchayati Raj Institutions perform such functions as are specified in state laws relating to panchayati raj. Some States distinguish between obligatory (compulsory) and optional functions of Gram Panchayats while other States do not make this distinction.

    • The civic functions relating to sanitation, cleaning of public roads, minor irrigation, public toilets and lavatories, primary health care, vaccination, the supply of drinking water, constructing public wells, rural electrification, social health and primary and adult education, etc. are obligatory functions of village panchayats.
    • The optional functions depend on the resources of the panchayats. They may or may not perform such functions as tree plantation on roadsides, setting up of breeding centers for cattle, organizing child and maternity welfare, promotion of agriculture, etc.
    • After the 73rd Amendment, the scope of functions of Gram Panchayat was widened. Such important functions like preparation of annual development plan of panchayat area, annual budget, relief in natural calamities, removal of encroachment on public lands and implementation and monitoring of poverty alleviation programmes are now expected to be performed by panchayats.
    • Selection of beneficiaries through Gram Sabhas, public distribution system, non-conventional energy source, improved Chullahs, biogas plants have also been given to Gram Panchayats in some states.

    Functions of Panchayat Samiti

    • Panchayat Samitis are at the hub of developmental activities.
    • They are headed by Block Development Officers (B.D.Os).
    • Some functions are entrusted to them like agriculture, land improvement, watershed development, social and farm forestry, technical and vocational education, etc.
    • The second type of functions relates to the implementation of some specific plans, schemes or programmes to which funds are earmarked. It means that a Panchayat Samiti has to spend money only on that specific project. The choice of location or beneficiaries is, however, available to the Panchayat Samiti.

    Functions of Zila Parishad

    • Zila Parishad links Panchayat Samitis within the district.
    • It coordinates their activities and supervises their functioning.
    • It prepares district plans and integrates Samiti plans into district plans for submission to the State Government.
    • Zila Parishad looks after development works in the entire district.
    • It undertakes schemes to improve agricultural production, exploit ground water resources, extend rural electrification and distribution and initiate employment generating activities, construct roads and other public works.
    • It also performs welfare functions like relief during natural calamities and scarcity, the establishment of orphanages and poor homes, night shelters, the welfare of women and children, etc.
    • In addition, Zila Parishads perform functions entrusted to them under the Central and State Government sponsored programmes. For example, Jawahar Rozgar Yojna is a big centrally sponsored scheme for which money is directly given to the districts to undertake employment-generating activities.
  • Constitution of USA: Features, Comparison with Indian + other constitutions

    Salient Features of American Constitution

    While American Constitution is the shortest (of any major government in the world) and the first written constitution, India’s Constitution is the lengthiest written constitution in the World. American Constitution is a very rigid constitution consisting of only Seven Articles and twenty-seven amendments, so far.

    Originally, the India Constitution consisted of 395 Articles in 22 Parts, with 8 Schedules. Now, it consists of 448 Articles in 22 Parts, with 12 Schedules.

    The American Constitution was finalized in a convention held on September 17, 1787, which required its ratification by a minimum of nine States, for it to be enforced.

    By the end of July 1788, eleven States had ratified it and the Constitution was put into operation on 13th September 1788. The Indian Constitution, on the other hand, was adopted by her Constituent Assembly on 26th November 1949, and came into effect on 26th January 1950.

    America has adopted the doctrine of dual ship in respect of its Constitution and citizenship. It has two Constitutions, one, for America as whole and another for each State. American people have two citizenships, one of USA and another of their respective State.

    On the other hand, India has one constitution and concept of single citizenship for every citizen of the country.

    • Nature of the Constitution

    The American Constitution is described as a truly Federal Constitution. It was ratified by 50 Independent States. Further, the Federal Government and States have their own Constitutions and do not interfere in each other’s functions. On the other hand, India has only one Constitution, wherein the Central government interferes with functions of State governments in the form of, inter alia:

    1. Appointment of Governors.
    2. Governor having the power of reserving the States’ bills for consent of the President.
    3. Central government’s power to impose President’s rule in the States.
    • Nature of Federalism

    While USA is a Dual Federation, India is a Cooperative Federation.

    Dual Federation (USA) – both the Centre and state are completely independent. They are complete governments Cooperative Federation (India) – Interdependence of Centre and state govt. Neither of them is independent of the other. Centre usually has the role of big brother.
    Centrifugal federalism Centripetal federalism
    Symmetrical federalism: All states are given equal representation in Senate Asymmetrical federalism:

    1. States have been given representation in Rajya Sabha on the basis of their population.

    2. Articles 370, 371 provide special provisions to few states.

    USA is a Legislative federation. This means that States have dominance in law making. India is an Executive federation. This means that states are important at the executive level only.
    USA is an indestructible union of indestructible states India is an indestructible union of destructible states
    USA constitution provides a role to states in ratifying the international treaties through the Senate. There is no such provision for states in the Indian Constitution.

     

    Difference between Indian Constitution and American Constitution

    The Indian Constitution and the American Constitution differ in several key areas. The American Constitution, adopted in 1787, is much shorter and establishes a presidential system with a clear separation of powers among the executive, legislature, and judiciary. Additionally, the Indian Constitution can be amended more easily, while the American Constitution requires a more complex process for amendments.

    Aspect Indian Constitution American Constitution
    Length Long and detailed (448 articles) Short (7 articles)
    System of Government Parliamentary system Presidential system
    Adopted in 1950 1787
    Amendment Process Easier to amend More complex amendment process
    Federal Structure Federal with unitary elements Purely federal
    Rights & Duties Includes fundamental rights and duties Primarily focused on fundamental rights

    Form of Government (India vs USA)

    USA

    1. America has adopted a Presidential form of government, in which the people directly elect the executive President.
    2. The President is powerful and not accountable to the House of Congress.
    3. The term of the American President is 4 years (fixed term).
    4. One can hold the office of the President for only two terms.
    5. The President can appoint his own staff, which may be neither from the House of Representative or Senate, in assisting in the administration of the government. The staff is not accountable to the Houses of Congress.

    This means that the President is independent in the administration of the government and rather directly responsible to the people of USA.

    India

    1. India has adopted a Parliamentary form of government.
    2. The President of India is the executive head of the Indian government. He is indirectly elected by the legislators of Centre and states, and is not accountable to the Parliament.
    3. The President runs the government with the aid and advice of the Prime Minster and the Council of Ministers.
    4. Unlike USA, the Indian President holds the office for five years.
    5. He can be elected any number of times.

    The impeachment of the President by the legislature is the only similarity in both the Constitutions.

    • President

    The position of the American President combines both the Head of State and the Head of Government into one.

    • Qualification

    Only a natural born citizen of USA can become the President, and not a person who has acquired the citizenship. Also, he must have attained the age of 35 years and must have stayed in USA for at least 14 years. On the other hand, the Indian President should be a citizen of India, wherein citizenship might be either natural or acquired.

    • Election of the President

    Presidential election is indirect, through Electoral College.

    Electoral College

    1. Strength of Electoral College = Total members in House of Representatives + Senate + 3 members from Washington D.C. = 435 + 100 + 3 = 538
    2. Winning Candidate requires an absolute majority (50% + 1) of the total members of the Electoral College, i.e. 270.

    In the House of Representatives, members from different states are not fixed, while in Senate members from different states are equal and fixed.

    Election of Electors

    1. The voters vote for the members of the Electoral College
    2. System of election is the List System
    3. Each state has a responsibility to conduct these elections
    4. The party that wins the majority of the votes represents the state in entirety
    5. Electors meet in their respective capital and vote for the Presidential candidate
    • Functions of the President of USA

    Executive Functions

    1. Appointments
    2. Representing the country
    3. Preparation of the Budget

    Legislative Functions

    1. No presence in legislature
    2. The President doesn’t address the legislature
    3. He cannot dissolve the legislature
    4. He can send messages to the legislature (the system of sending messages exists in USA because there is Separation of Power. So this is the way that the President can interact. The system of sending messages is found in India also, but the logic of the provision is not clear because the President has no discretionary power and he has to act on the advice of the P.M.)

    Veto Power

    Under the Constitution, the President may respond to a bill passed by the Congress in one of the three ways. He may sign it, veto the bill by returning it to Congress, or do nothing. If he does nothing, the bill becomes a law after the passage of ten days, excluding Sundays. However, if the Congress adjourns sooner than ten days, the bill dies, under the “pocket veto” provision. If the President vetoes a bill, the Congress can still enact it into a law bypassing the measure again with two-thirds majority in both the houses.

    • Legislative Proposals

    The Constitution also authorizes the President to “recommend to Congress’ consideration such measures as he shall judge necessary and expedient.” Unlike the veto, which is a limited and somewhat negative instrument for stopping legislation, the duty to recommend legislation has over time become the primary mechanism, by which the nation’s political agenda is influenced.

    • Indian President
    1. In India, the President has the power to send back a bill to the Parliament for reconsideration. But, when the Parliament has reconsidered the bill and then passes it with the required majority, the President has no option but to sign the bill.
    2. Practically, the Prime Minster and his Cabinet almost always enjoy a simple majority, except in a coalition government. So, it does not pose a major hurdle for the Prime Minster and his cabinet to get the consent of the President for the bill.

    However, a significant departure from the US Presidential Scheme of things is that unlike the US, the Indian Constitution does not prescribe any time limit for signing the bill by President.

    Therefore, he can keep the bill without signing it for an indefinite period under the disguise of consideration, which can frustrate the Prime Minster and his cabinet. Obviously, this leads us to the question whether the Indian President’s pocket veto is more powerful than the US President’s pocket veto.

    • Date of Retirement and Oath

    US

    1. A unique feature of the US Constitution is that it has prescribed the date and timing of retirement of the outgoing President as well as members of the Congress.
    2. The terms of President and Vice President shall end at noon on the 20th day of January.
    3. It means that the new President and Vice President shall take oath of the office on 20th January (or 21stJanuary, if 20th is a Sunday) at noon of their first year of office.
    4. The election of the President and Vice president are held in the month of November and in the same month results are announced.

    Thus, Americans are informed much earlier about their new President. Naturally, the question is how this time schedule is maintained. In case of President’s death, resignation, or impeachment, the Vice President shall become the President for the remaining period. In this way, duration of the President is kept intact and the next elected President takes oath on the scheduled date.

    India

    1. In India, if the President dies or is impeached, or submits resignation, the Vice President becomes the President till fresh elections are held. The newly elected President holds the office for a full term of five years.
    2. Hence, unlike the American system the time schedule cannot be maintained, in the case of India.
    • Primaries
    1. Primaries are elections to select the candidate
    2. They are conducted by Political Parties
    • Impeachment of the President of USA
    1. Reasons: Treason, Bribery, High Crimes of Misdemeanor. No system of impeachment for violation of the Constitution, unlike the Indian Constitution
    2. Process: 
    • Charges will be leveled against the President in the House of Representatives
    • It has to be passed by 2/3rd majority
    • Senate will be the investigating house
    • In this process, the Chief Justice of the Supreme Court of USA will be the presiding officer
    • If convicted, he can be removed only when 2/3rd members of the Senate pass a resolution in this context

    Important terms of the American Constitution

    1. Filibustering: It’s a privilege of Senators that they can exercise his right to speak for an unlimited period. It’s an ultimate device to stop the passage of a bill. However, now a rule has emerged, by which 2/3rd of the members can bring a motion, which will deny this privilege to the Senators.
    2. Senatorial Courtesy:A convention has developed by which the President, before formally sending the names for appointments in higher posts, informs the Senate about the probable candidates to be appointed. The idea in such situations should not arrive, where the Senate does not ratify the President’s proposal.
    3. Gerrymandering:It is the process of demarcating the electoral districts that give advantage to the party in power in the state. They create electoral districts in a manner that the supporters of the party get concentrated and the supporters of the opposition party get dispersed, with the objective of electoral gains.
    4. Log Rolling:The members of a party may support a bill or viewpoint of the other party. Strict party discipline is not only existing, but also not required.
    5. Pork Barrel:It represents the politics in the House o Representatives where local interest dominates and the representatives want to take maximum benefits for their constituencies.

    Vice President

     Election of Vice President

    The qualification for the President and the Vice President is the same. Since the elections take place simultaneously, the process of elections is also the same.

    Earlier Method: The candidate coming first used to be declared as the President and second as the Vice President.

    Present Method: Separate elections, but at the same time and in the same manner.

    Tenure of a Vice President as a President

    A Vice President may become a President because of vacancy in the office of the President. There are two situations:

    1. If the Vice President has come to the office when the President has already served the office for more than two years. Then the Vice President can be President for the remaining term and in addition for two more terms he can serve as a President
    2. If the Vice President came to the office when the remaining term of the outgoing President was more than two years, then he will be eligible for only one more term

    Functions of the Vice President of USA

    • Ex-officio chairperson of Senate and has casting vote
    • The office of the Indian Vice President is modeled on the US office, with some differences
    • The office of Vice President is called as His Superfluous Highness

    US Legislature/US Congress

    It consists of two houses: House of Representatives and the Senate.

    1. House of Representatives
    • One of the weakest lower house in the world
    • It consists of 435 members
    • System of direct elections
    • Representation of people may differ in number from different states

          2. Senate

    1. Permanent body
    2. Strongest upper house in the world
    3. It has equal powers in ordinary bills, amendment bills and money bills.
    4. Term of a Senator is six years. 1/3rd of the members/Senators retire every two years.
    • Committee System in USA

    USA has the strongest committee system in the world. It is said that the US Congress works in the Committees.

    • Difference from British and Indian System
    1. In Britain and India, a bill is introduced in the House and the first reading takes place and then it is referred to the Committee
    2. In USA, a bill is introduced and then directly referred to the Committee, before even the first reading

    Pigeon Hole: A bill in USA may get killed at the Committee stage itself. This is known as Pigeon Holing the bill.

    Duration of Representative bodies at the Centre

    US

    1. America’s House of Representative and Senate are permanent bodies.
    2. The terms of the members of the Representative and Senate come to an end on 3rd

    India

    1. In India, during an emergency, the duration of Lok Sabha can be extended by one year, or can be shortened by holding pre-matured elections.
    2. The ruling party forms opinion based on their party’s prospects in the next election. It may recommend for the dissolution of Lok Sabha and suggest the President to hold the election at an appropriate time, which may be based on political expediency.

    Doctrine of Separation of Power and the System of Checks and Balances

    The theory of Separation of Powers started with John Locke and became popular with Montesquieu (18th century philosophers).

    Why Separation of Powers/Functions?

    1. According to Montesquieu – liberty is not protected, unless there is Separation of Power.
    2. Separation of Power with judiciary is a universal feature in all democracies.
    3. The Presidential system provides Separation of Power w.r.t. all three organs of the government, whereas in the Parliamentary system there is a fusion of legislative and executive powers.

    US

    1. The US Constitution strictly adheres to the doctrine of Separation of Power proposed by Locke and Montesquieu. Separation of Power is complete in US.
    2. All the three branches of the government have separate functions.
    3. The term of Legislature and Executive are fixed and do not depend on each other.
    4. None of the member of the Legislature can be a member of the Executive.
    5. The Houses of Congress enact the law; the President executes the law; and the Supreme Court interprets the law.
    6. The American President has no privilege of law making power. Moreover, he is neither a member of the House of Representative nor that of Senate.
    7. By confirming veto power but equally not confirming the law-making power to the President, the Congress controls the Presidents and vice versa. In this way, ‘Checks and Balance’ are maintained.

    India

    1. Theoretically, we may say that the doctrine of Separation of Power is adopted in our Constitution, but it is only between the Executive and Judiciary.
    2. The President is a part of the Union Executive. Yet, it is the Prime Minster and the Council Ministers who are the real executive because the President has to act on the aid and advice of the Council of Ministers.
    3. They have dual capacity:
    4. One, in capacity of executive; and
    5. Two, in the capacity of lawmaker.

    The Prime Minster, in his capacity as the leader of the ruling party can enact a law, which his administration executes. Thus, the Prime Minster and his Council Ministers enact the law and the administration executes the same, which is per se, contradictory to the doctrine of Separation of Power.

    • Checks and Balances

    No organ of the government can be given complete liberty. Hence there have to be checks and balances.

    1. How are checks and balances achieved in the US Constitution?

    Judiciary checks on other branches of the government, by judicial review of the executive as well as legislative acts.

    1. How Congress checks the President or powers of the President?
    2. It is necessary to ratify the international agreements and higher appointments
    3. Principle of no taxation without representation
    • Impeachment of the President
    1. How President checks the Congress?
    2. By the use of veto powers (Congress can pass a bill against Presidential veto with 2/3rd majority. So the President doesn’t have an absolute veto.
    3. Pocket Veto: Two situations arise –

    Congress in session for ten days: Bill can be passed even without the assent of the President

    Congress in session for less than ten days: Bill will lapse.

    1. President and Congress applying checks on Judiciary
    2. Appointment of Judges: appointed by the President and ratified by the Senate
    3. Removal of Judges: removed through impeachment by the Congress and approved by the President
    • Salaries and emoluments controlled by the President
    • Fundamental Rights

    While US has incorporated the “Bill of Rights”, India has incorporated “Fundamental Rights” in its Constitution. However, the American Constitution has provided additional human rights, which are not to be explicitly found in the Indian Constitution.

    1. Freedom of press is explicitly provided under the 1st amendment of the US Constitution, while in India it is implicitly read under the Article 19[1][a], freedom of speech and expression. Petition to the Supreme Court is a fundamental right in India, where as in US it is the government that is petitioned (In case of US, the word “government” has a wider connotation and encompasses not only the executive, but also the higher judiciary).
    2. The Americans have a right to keep arms and guns for the protection of their life and property. This was provided under the 2ndamendment.  Therefore, guns and arms are sold like any other commodity in US without legal hassles, whereas in India it is a total contrast, because apart from not being a fundamental right, it is a highly regulated legal right.

    5th amendment to the US Constitution guarantees that an accused will be tried for criminal offence with a system of “Grand Jury”. Grand Jury means that common people are selected by the government randomly, representing the community. They play a part in deciding the guilt of the accused persons. The number of persons selected to be in the grand jury varies from 6 to 12, or even more, if the case is controversial.

    On the other hand, in India criminal trials are adjudicated by the Judges only.

    Further, in US, no person’s life and liberty shall be deprived without “due process” of law.

    1. Due process means that the content and procedure of law must be just, fair, and equitable, which will be decided by the judiciary.
    2. Legislative power of depriving a person’s liberty is restricted and scrutinized and evaluated by the judiciary.

    In India, a person’s life and liberty shall be deprived according to the “procedure established by law”.

    1. The world “procedure established by law” gives wide discretionary power to the legislature to restrict the liberty.
    2. Nevertheless, the Supreme Court in Maneka Gandhi case (even though the court did not use the word due process) held that the procedure established by law must be fair, just and equitable.

    The Indian Parliament deleted the Right to Property from the list of Fundamental Rights in 1978. Whereas, in US, the right to property is still a fundamental right and no property shall be acquired without just compensation.

    A person accused of crime enjoys certain explicit rights under the 6th Amendment to the US Constitution: speedy and public trial, notice of accusation, compulsory process of obtaining witness in his favor and assistance of legal counsel of his choice.

    All these rights in India are not expressly mentioned in the Constitution. Nonetheless, these rights are provided by the Supreme Court by broadly interpreting the Right to Life and Liberty under Article 21.

    Further, the 8th amendment to the US Constitution says that bail shall not be denied to an accused, the imposed fine should not be excessive and inflicted punishment shall not be cruel. These rights are also made available to Indian people because of well-established precedents pronounced by the Supreme Court under Article 21.

    9th Amendment to the US Constitution is quite important because it says that mere enumeration of certain rights in the Constitution shall not be interpreted to deny the other rights retained by the American people.

    In spite of the statutory rights in the Constitution people enjoy other rights, which are given by nature. The American Constitution is highly influenced by Locke’s philosophy of inalienable natural rights of human being.

    The Indian Constitution, on the other hand, does not contain any such notable Article. Therefore, Indians enjoy only those rights recognized by the Constitution, which are based on the philosophy of Austin and Bentham’s theory of law.

    • Distribution of Legislative Power

    India

    Seventh Schedule of the Indian Constitution distributes the legislative power between the Central and State governments. The Central and State governments have exclusive power to make laws on 97 and 66 subjects, listed in the Union and State list respectively. On the 47 matters of Concurrent list both the Centre and State can make laws. In case of conflicting laws, law of the Centre would prevail.

    97th subject in the Union list says that any subject, which does not belong to any other list would automatically confer power to the Parliament to make a law regarding that subject. Thus, our constitution makers have created stronger Central and weaker State governments, which depend on the Central government for the financial assistance.

    US

    It is quite contrary in the case of US, where no elaborative mechanism is provided. Few expressly mentioned subjects are with the federal and rest of the matters with State governments.

    Emergency and Suspension of Writs

    In India, an emergency can be declared on the ground of War and Armed Rebellion. During such emergency all fundamental rights except the right to life can be suspended. The American Constitution does not use the phrase of emergency but says that in case of Rebellion and Invasion of Public Safety, the writ of Habeas Corpus can be suspended.

    Judiciary

    There is no qualification mentioned for the appointment of judges of the Supreme Court. In America, the President has the final say in the appointment of Supreme Court Judges. He suggests the names of judges to the Senate and on the advice and consent of the Senate, judges are appointed by the President.

    The Judicial Committee of Senate plays a very significant role in evaluating the credentials of the proposed judges of the Supreme Court. They make the investigation of the background of judges, they hold a face-to-face interaction with the judges, the judges are queered and grilled and questions are put.

    The whole process happens in public and in a transparent manner. If a citizen of the US has any information about judges’ integrity, he can send that information, with evidence, to the Senate Judicial Committee, which further investigates to ensure that no unworthy candidate is appointed as a Judge to the Supreme Court.

    In the appointment of Judges, the people of US also participate and the judiciary of US has no role to play in the appointment of judges. The entire process of appointment of judges is crystal clear.

    There is no fixed tenure of the judges. However, if they are retiring at the age of 70 years, they will get salary and perks as a working judge.

    In India, on the other hand, the entire process of appointment of judges happens in a darkroom, between the judiciary and executive. The people of India come to know of the judges only after their appointment. Neither the people are informed in advance, nor does the executive make an open inquiry about judges.

    The President appoints Judges to the Supreme Court based on a process, in which the Chief justice and four senior judges of the SC play a very dominant and decisive role. The entire process of appointment of judges happens in the backyard and under the carpet without the involvement of the people, which is cited by many as a serious flaw of the Indian legal system. The judges hold the office up to the age of 65 years.

    Amendment of the Constitution

    There are two ways to amend the US Constitution:

    1. Proposed by the Congress and ratified by the States

    -Amendment to be passed by 2/3rd majority in both the Houses

    -To be ratified by the State Legislatures of at least 3/4th of the States

     2. Proposed by States and ratified by the States

    -2/3rd of the States should pass a resolution to this effect

    -They will communicate to the Congress. The Congress will call the convention.

    -In the convention, it has to be ratified by 3/4th of the States

    In case of India, the amendment process is easy and flexible as compared to the US.

    In India, it is only the Parliament that can propose an amendment to the Constitution and States do not have any role to play in this matter. While some of the Articles can be amended by a simple majority,

    While some of the Articles can be amended by a simple majority, a special majority is required for others, and in some limited Articles, ratification by more than half of the States is also required. The majority here means the majority of the Members of the Parliament present on the date of the amendment and is not related to the total strength of the Parliament.

    The fact that the US Constitution got amended only 27 times in the last 225 years, shows how rigid it is to amend the US Constitution, in contrast to the Indian Constitution.

  • British Constitution: Features, Comparison with Indian Constitution

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    Salient Features

    • Unwritten

    One of the most important features of the British constitution is its unwritten character. There is no such thing as a written, precise and compact document, which may be called as the British constitution. The main reason for this is that it is based on conventions and political traditions, which have not been laid down in any document, unlike a written constitution, which is usually a product of a constituent assembly.

    Indian Constitution, in comparison, is the lengthiest written constitution in the world.

    • Evolutionary

    The British constitution is a specimen of evolutionary development. It was never framed by any constituent assembly. It has an unbroken continuity of development over a period of more than a thousand years. It is said that the British Constitution is a product of wisdom and chance.

    The Indian Constitution has certain similarities as well as differences on this particular aspect. It differs from the British Constitution to the extent that it is a written document and has well defined provisions. However, it too is open to evolution, given that the provision of

    However, it too is open to evolution, given that the provision of an amendment is kept such, so as to allow for the Constitution to evolve according to the needs and sensibilities of the time.

    • Flexibility

    The British constitution is a classic example of a flexible constitution. It can be passed, amended and repealed by a Simple Majority (50% of the members present and voting) of the Parliament, since no distinction is made between a constitutional law and an ordinary law. Both are treated alike. The element of flexibility has provided the virtue of adaptability and adjustability to the British constitution. This quality has enabled it to grow with needs of the time.

    Indian Constitution, in contrast, is both flexible as well as rigid. This compliments the basic ideology of the Indian Constitution quite well, wherein certain features like Sovereignty, Secularism, and Republic et al have been held sacrosanct, but otherwise the Constitution is amendable.

    • Unitary vs. Federal Features

    The British constitution has a unitary character as opposed to a federal one. All powers of the government are vested in the British Parliament, which is a sovereign body. Executive organs of the state are subordinate to the Parliament, exercise delegated powers and are answerable to it. There is only one legislature. England, Scotland, Wales etc. are administrative units and not politically autonomous units. The Indian Constitution, on the other hand, is federal.

    Unitary Federal Confederation
    Units come together and form the state. All power lies with the Centre Powers for Provincial Government comes from the Constitution.
        Centre delegates power to the provincial government.
    Example: India Real power with the units. Example: Britain Opposite to Unitary Example: EU, USA
    • Parliamentary Executive

    This is one important similarity between the British and the Indian Constitution. (In addition to the Sovereignty of Parliament)

    Britain has a Parliamentary form of government. The King, who is sovereign, has been deprived of all his powers and authority. The real functionaries are Ministers, who belong to the majority party in the Parliament and remain in office as long as they retain its confidence.

    The Prime Minister and his Ministers are responsible to the legislature for their acts and policies. In this system, the executive and legislature are not separated, as in the Presidential form of government

    • Sovereignty of Parliament

    The term Sovereignty means Supreme Power. A very important feature of the British Constitution is sovereignty of the British Parliament (a written constitution being absent).

    The British Parliament is the only legislative body in the country with unfettered power of legislation. It can make, amend or repeal any law. Though in India’s case, we have legislature at state level too, yet the law making power of the Indian Parliament roughly corresponds to that of the British Parliament.

    The courts have no power to question the validity of the laws passed by the British Parliament. The British Parliament may amend the constitution on its own authority, like an ordinary law of the land. It can make illegal what is legal and legalize what is illegal.

    Here, there is a marked difference, vis-à-vis the power of Indian Judiciary to keep a tab on the legality of the law framed. Also, the ‘Basic Structure’ doctrine, lends the Indian Judiciary further power to question the legality of the law, in light of the fact that the Supreme Court of India is the highest interpreter of the Constitution of India.

    • Role of Conventions

    Conventions are known as unwritten maxims (rules) of the Constitution. They provide flexibility and avoid amendments.

    Most constitutions of the world have conventions. A necessary corollary to the unwritten character of the British Constitution is that conventions play a very vital role in the British political system. For example, while the Queen has the prerogative to refuse assent to a measure passed by the British Parliament, but by convention, she doesn’t do so and the same has become a principle of the constitution itself.

    However, the legal status of conventions is subordinate to the written law.

    • Rule of Law

    Another important feature of the British constitution is the Rule of Law. Constitutionalism or limited government is the essence of Rule of Law. This checks the arbitrary action on part of the Executive. According to Dicey, there are three principles of Rule of Law, found in Britain:

    1. Protection from arbitrary arrest and the opportunity to defend oneself.
    2. Equality before Law:All persons are equal before law, irrespective of their position or rank. Equality before Law is different from the concept of Administrative Law, which gives immunity of various types to public servants. In the absence of Constitution and Fundamental Rights in Britain, the judiciary protects this law. So this system is called as the Principle of Common Laws (in USA – Principle of Natural Law; in India – Maneka Gandhi case).
    3. The rights of people in Britain are guaranteed by the judiciary. The Judiciary gives recognition to the common laws. Thus, the people in Britain enjoy rights, even in the absence of a Bill of Rights or Fundamental Rights.

    However it has been seen that Rule of Law isn’t practiced in its real sense.

    Several reasons are attributed for it:

    1. Growth of Administrative Law
    2. Growth of Delegated Legislation
    3. Internal and External Emergencies

    These developments have been termed as ‘New Despotism’.

    • Independence of Judiciary

    The Rule of Law in Britain is safeguarded by the provision that judges can only be removed from office for serious misbehavior and according to a procedure requiring the consent of both the Houses of Parliament. So, the judges are able to give their judgments without any fear or favor.

    The same has been adopted in India, where independence of Judiciary is hailed as an unmistakable part of the Constitution (one of the features of the ‘Basic Structure’ doctrine).

    Organs of the State

    Executive

    The Executive in Britain is called as Crown. Earlier, the Crown symbolized King. Now, the King is part of the Crown.

    The Crown, as an institution, consists of the following:

    1. King
    2. Prime Minister
    3. Council of Ministers (CoM)
    4. Permanent Executive, the Civil Servants
    5. Privy Council
    1. Crown: King is dead. Long live the King. In Britain, initially all power lied with the King. Later on, power shifted out of the institution of the King to the institution of CoM headed by the P.M., Permanent Executive and the Privy Council etc. Today, the Crown comprises of all these institutions. Hence, the first part of the statement describes the King as a person, while the second part describes the King or Crown as an institution.
    1. Nature of Monarchy: Britain has a constitutional monarchy and a constitutional monarchy is not incompatible with democracy. This is because essentially the powers of the monarch as head of the state – currently Queen Elizabeth II – are ceremonial. The most important practical power is the choice of the Member of Parliament to form a government, but invariably the monarch follows the convention that this opportunity is granted to the leader of the political party or coalition, which has majority in the House of Commons.

    Despite its lack of real power, the monarchy still has several important roles to play in contemporary Britain. These include:

    • Representing UK at home and abroad
    • Settings standards of citizenship and family life
    • Uniting people despite differences
    • Allegiance of the armed forces
    • Maintaining continuity of British traditions
    • Preserving a Christian morality

    In addition, consider the following:

    Parliamentary system requires two heads:

    • First head, as head of the state. He represents the nation and provides continuity to the administration.
    • Second head is the head of the government. He has real powers because the house has confidence in the Prime Minister. The P.M. is the leader of the House. He represents the majority of the House.

    The institution of kingship is a source of psychological satisfaction. It is said that, “with the King in the Buckingham Palace, the Englishmen sleep peacefully in their houses”. The King is of great help in critical times. He usually has a very long experience and can give valuable advice in the interest of the country.

    According to Bagehot, the King has three rights:

    • Right to warn
    • Right to encourage
    • Right to be informed

    Abolishing the kingship will require an elected head. An elected head, with no real powers, will have its own set of problems. In contrast, no provision of Monarchy exists in case of Indian Constitution. Indeed, holding of titles like King etc. are forbidden as per Article 18, a Fundamental Right, thus emphasizing Equality of all Indian citizens.

    1. British Prime Minister and the Council of Ministers: Britain has a Cabinet form of government. A cabinet is a plural or collegiate form of government. The power doesn’t lie in one person, but the entire Council of Ministers. The principle is, “all Ministers sink and swim together”. It is based on collective responsibility towards the Lower House. The Cabinet has its origins in the Privy Council set up to advise the King. The roles of cabinet include the following:
    • Approving policy (major policy making body)
    • Resolving disputes
    • Constraining the Prime Minister
    • Unifying government
    • Unifying the parliamentary party

    Moreover, the Cabinet is the ultimate body of law making in the Parliamentary system. It is formed out of the party/group, which enjoys majority in the House. The cabinet meetings are held in private.

    1. British Prime Minister
    • Position of the Prime Minister
    1. M. is the captain of the ship of the state.
    2. M. is the head of the Cabinet.
    3. The party of the P.M. enjoys majority in the House.
    4. He is the connecting link between the King and the Cabinet as well as the King and the Parliament.
    5. The life of the House depends on the P.M. He may advice the dissolution of the House.
    6. The other Ministers are appointed on the advice of the P.M.
    7. The term of the other Ministers also depends on the P.M.

    The P.M. as first among equals

    This is also called as Primus Inter Pares or Inter Stella Luna Minores.

    This explains the P.M.’s position w.r.t. other ministers. In the cabinet system, there is a principle of collective responsibility; hence other ministers are also important.

    The relative position of the P.M. and other ministers in a Parliamentary system can be compared to the relative position of the President and his secretaries in the Presidential system. In the Presidential system, members of the Cabinet are chosen by the President. In USA, spoils system exists.

    The Secretaries are not members of the Congress. In the Parliamentary system, ministers are also the members of either House. The P.M. cannot treat them as his subordinates.

    Theoretically, the P.M. should consider himself as only first among equals, must give due respect to other members of the Cabinet and should take decisions in consultation with them. However, the P.M. is first because:

    • He is the one who is appointed first, since he is the leader of the House of Commons.
    • Other ministers are appointed on his advice.
    • Other ministers can be removed on his advice.

    P.M. as moon among stars

    This statement gives a more realistic view of the position of P.M. In practice, the P.M. gains prominence and he is not simply the first among equals. Both formal and informal factors are responsible for this.

    • Formal Factors:He is the link between the Parliament and the King, and ministers are appointed/removed on his advice etc.
    • Informal Factors:Personality factors, position of his party, external/internal emergency like situation

    Difference between the British and Indian PM

    Constitutional position of the Indian P.M. is modeled on the British P.M., with one difference. In India, the PM can be a member of either House of Parliament, i.e. Lok Sabha or Rajya Sabha. However, this is not so in Britain. It is a convention in Britain that the P.M. will always be a member of the Lower House (House of Commons) only.

    Privy Council

    It has been one of the advisory bodies to the King. It has lost relevance because of the emergence of the Cabinet. Cabinet decisions are the decisions of the Privy Council. It has some supervisory role w.r.t. University of Oxford, Cambridge etc. It also has some role in resolution of disputes related to the Church as well as a Court of Appeal in some admiralty cases.

    Permanent Civil Servants/British Bureaucrats

    Indian bureaucracy is modeled on the British bureaucracy.

    Some features:

    • Bureaucracy in Britain is generalist
    • They are expected to be politically neutral
    • Recruited through competitive exams
    • Enjoy a lot of immunities
    • It is said that the British bureaucracy is not representative. It is still elitist
    • Bureaucrats are known as New Despots
    • It is said that the Bureaucracy thrives behind the cloak of ministerial responsibility
    • It has also been compared with Frankenstein’s monster (overpowering the Ministers)

    Legislature

    Essential differences between the two systems

    There is a natural tendency to compare the Parliament of India with the British Parliament.

    But our Parliament and Parliamentary Institutions and procedures are not a copy of the Westminster system. There are fundamental differences between their system and ours.

    British Parliament has grown through some three hundred years of history. In Britain, the Parliament can said to be the only institution, which exercises sovereign powers and on which there are no limits because there is no written constitution.

    India, on the other hand, has a written constitution. Powers and authorities of every organ of the Government and every functionary are only as defined and delimited by the constitutional document.

    The power of Parliament itself is also clearly defined and delimited by the Constitution. However, within its own sphere, the Parliament is supreme. Also, Parliament is a representative institution of the people.

    But it is not sovereign in the sense in which the British Parliament is sovereign and can do or undo anything. The point is that in the sense of constitutional sovereignty, their powers are not limited by a constitutional document.

    Moreover, our constitutional document provides for fundamental rights of the individual, which are justiciable in courts of law. And any law passed by the Parliament, which abridges any of the fundamental rights can be declared ultra vires by the courts.

    The courts adjudicate the disputes and while doing so, they can interpret the constitution and the laws. Also, Parliament has the constituent powers and within certain limitations it can suitably amend the constitution.

    The British Parliament is bicameral, that is there are two houses or chambers – The House of Lords (strength not fixed) and The House of Commons (strength fixed at 650 members). The House of Lords has hereditary members. Moreover, it has the largest number of Life Peers, Church/Religious peers (Ecclesiastical Peers) and Law Lords.

    The House of Lords

    The House of Lords is the second chamber, or upper house, of the United Kingdom’s bi-cameral (two chamber) Parliament. Together with the House of Commons and the Crown, the House of Lords form the UK Parliament. There are four types of members of the house:

    1. Life peers:These make up the majority of the membership. The power to appoint belongs formally to the Crown, but members are essentially created by the Queen on the advice of the Prime Minister. Life peers’ titles cease on death.
    2. Law lords:Up to 12 Lords of Appeal in Ordinary are specially appointed to hear appeals from the lower courts. They are salaried and can continue to hear appeals until they are 70 years of age.
    3. Bishops:The Anglican Archbishops of Canterbury and York, the Bishops of Durham, London and Winchester and the 21 senior Diocesan Bishops from other dioceses of the Church of England hold seats in the House. This is because the Church of England is the ‘established’ Church of the State. When they retire the bishops stop being members of the House.
    4. Elected Hereditary peers:The House of Lords Act, 1999 ended the right of hereditary peers to sit and vote in the House of Lords. Until then there had been about 700 hereditary members. While the Bill was being considered, an amendment was passed (known as the Weatherill amendment after Lord Weatherill who proposed it), which enabled 92 of the existing hereditary peers to remain as members.

    The House of Lords can propose and make changes, known as amendments. However its powers are limited; if it doesn’t approve of a piece of legislation, it can only delay its passage into law for up to a year. After that, there are rules to ensure that the wishes of the House of Commons and the Government of the day prevail.

    In fact, the House of Lords could be labeled as one of the weakest upper house in the world. Since the passage of the Act of 1919 and 1949, the House of Lords has lost all real legislative powers. It is simply a delaying chamber now. It can delay an ordinary bill for a maximum period of one year and money bill for a maximum period of one month.

    In comparison to Rajya Sabha, the House of Lords is a weak house. Rajya Sabha has equal powers with Lok Sabha, as far as an ordinary bill is concerned (though, there is provision of a joint session, but it is an extraordinary device).

    Rajya Sabha has equal power with Lok Sabha as far as the amendment of the Constitution is concerned. Rajya Sabha is also a delaying chamber, like the House of Lords, as far as a Money Bill is concerned. Rajya Sabha can delay the bill for a maximum of fourteen days. Rajya Sabha does have some special powers, which are not available to Lok Sabha; for example: Articles 249 and 312.

    Comparison between the House of Lords and Senate of USA

    • Senate is called as the strongest Upper House. It enjoys equal power with the House of Representative in the context of an Ordinary Bill, a Constitutional Bill and even in passage of a Money Bill. It is customary to introduce Money Bill in the Lower House.
    • The Senate also enjoys some special powers not available to the House of Representatives. For example, ratification of international treaties, ratification of higher appointments. The House of Lords did enjoy a privilege that it used to be the highest Court of Appeal in Britain. But this has now ceased to exist, as the Supreme Court has been created by the Constitutional Reform Act, 2005 (SC established in 2009).

    The House of Commons

    This is the lower chamber, but the one with most authority. It is chaired by the Speaker.

    Unlike the Speaker in the US House of Representatives, the post is non-political and indeed, by convention, the political parties do not contest the Parliamentary constituency held by the Speaker. The number of members varies slightly from time to time to reflect population change.

    In modern practice, the Prime Minister is the head of the Government and is always a member of the majority party or coalition in the House of Commons.

    The Cabinet comprises primarily leading House of Commons Members of the majority, although Members of the House of Lords have served as Cabinet ministers. In fact, designating someone outside Parliament as a “life peer” has been one recent means of bringing someone essentially from private life into the Government.

    The Prime Minister, although head of the Government and an MP, is now not usually the Leader of the House of Commons.

    The Leader of the House of Commons, a member of the Government, is the chief spokesman for the majority party on matters of the internal operation of the House of Commons.

    The Office of the Leader issues announcements of the impending House of Commons schedule, and a routine inquiry from the Opposition’s counterpart serves as an occasion for the Leader to announce the business for the next two weeks of session.

    In the House of Commons, party organizations (akin to the Republican Conference or Democratic Caucus) meet regularly to discuss policy, and to provide an opportunity for backbench party members to voice their views to ministers or shadow cabinet members in a private forum.

    The Position of Speaker of the House of Commons and its Comparison with the Indian and American Speaker

    Features of British Speaker

    The position of the Speaker is a position of great prestige and dignity. In UK, there is a convention that once a Speaker, always a Speaker. It means that a Speaker’s constituency is unchallenged. Once a person is appointed as a Speaker he gives formal resignation from his political parties. He has a casting vote and ultimate disciplinary powers with respect to the conduct of the House and MPs.

    US Speaker (Speaker of House of Representatives)

    He is expected to be a party man, not expected to be neutral; instead he favours his party. He does not have final disciplinary powers, which lie with the House itself. In USA, the Speaker can vote in the beginning.

    Speaker of Lok Sabha

    Though our position is midway between the British and the US model, it is theoretically closer to the British model. But similar conventions do not exist. For instance:

    • It is not necessary for the Speaker to resign from his party
    • If he decides to resign, he will not be disqualified under the Anti-defection law.
    • No convention in India that he will be elected uncontested.

    Judiciary

    Under the doctrine of Parliamentary sovereignty, the judiciary lacks the intrinsic power to strike down an Act of Parliament. However, the subordination of common law to statute law does not mean the subordination of the Judiciary to the executive. Courts in Britain retain certain powers:

    • Of interpreting the precise meaning of a statute.
    • Of reviewing the actions of ministers and other public officials by applying the doctrine of ultra vires (beyond powers).
    • Of applying the concept of natural justice to the actions of ministers and others.

    Because Parliament is sovereign, the government can seek to overturn the decisions of the courts by passing amendment legislation. The power of judicial review provides the judiciary with a potentially significant role in the policy process.

    In recent decades, there has been an upsurge in judicial activism for several reasons:

    • Judges have been more willing to review and quash ministerial action
    • British membership of the EU
    • The incorporation of the ECHR (European Convention on Human Rights) into domestic law
    • Devolution of powers to elected assemblies in Scotland, Wales and Northern Ireland
    • The creation of a Supreme Court in 2009.

    Comparison between the Indian and British Judiciary

    • Differences
    1. In case of British system, the lack of concept of ‘Basic Structure’ makes amending power of the Parliament supersede any judicial pronouncement. Whereas, in case of the Indian Judiciary system, the concept of ‘Basic Structure’ has provided a potent tool to Judiciary by which it can scuttle down any Executive or Legislative action, which it deems as against the basic spirit of the Constitution.
    2. British legal system is completely based on ‘Common Law System’. Common Law System implies that law is developed by the judges through their decisions, orders, or judgments (also referred to as precedents). However, unlike the British system, which is entirely based on the Common Law System, where it had originated from, the Indian system incorporates the Common Law System along with the statutory and regulatory laws.
    • Similarities
    1. The actions of Executive can be declared ultra vires in both the systems
    2. The judiciary is considered the highest interpreter of the Constitution
    3. Off late, there has been a splurge in judicial activism in Britain and judiciary is becoming more and more active. A similar evolution of judiciary has been noticeable in the Indian case too

    Note: By Constitutional Reform Act, 2005 the Supreme Court has come into existence as the highest Court of Appeal. A National Judicial Appointment Commission has also been introduced.

    Brief Synopsis of comparison drawn above

    British Constitution

    1. Product of history and the result of evolution
    2. There is a difference between theory and practice
    3. Flexible and unitary constitution
    4. Parliamentary government
    5. Rule of law and civil liberties applicable

    Indian Constitution

    British Constitution

    Written

    Unwritten
    Federal

    Unitary

    Power is divided between Centre and states

    Power is the with the Centre

    No Monarchy/Republic

    Has King/Queen

    Comparison between British Monarch and Indian President

    British Monarch

    Indian President

    Position of the King is hereditary

    Elected

    King enjoys absolute immunity; it’s said that King can do no wrong

    In India the President can be impeached for violation of the Constitution

    King has no discretionary powers. He is known as ‘Golden Zero’

    In India there was a lack of clarity w.r.t. the Indian President. There was confusion whether he has any discretionary power or is merely a rubber stamp.

     

    • 24th Amendment clarifies that he doesn’t have any discretionary powers. Real power lies with the PM, while the President is merely a ‘rubber stamp’.

    • 44th Amendment Act again changed the stand, providing some scope for Presidential discretion. He could now send the request back to the CoM, though only once.

    Comparison between British Monarch and the US President

    British Monarch US President
    King as titular head US President is both – a real as well as titular head
    Hereditary Elected and can be impeached No discretionary powers Real executive powers, subject to checks and balances
  • Union Public Service Commission (UPSC): Powers, Functions and Responsibilities

    The UPSC is a central agency that has great responsibility for conducting examinations pertaining to Civil Services, Engineering Services, Defence Services, and Medical Services. It also conducts Economic Service, Statistical Service, and Police Forces examination.

    The Union Public Service Commission of India was formed by the British Government during the British rule. In 1924, Lee Commission had suggested in its report for the establishment of an independent and impartial Public Service Commission for India and on the basis of such recommendation, the Union Public Service Commission was established in 1926.

    Consequently by the government of India Act 1935, Public Service Commission was established separately for both the central and the state government services. After independence, arrangements were made to establish an independent and neutral Union Public Service Commission for the said purpose following the pattern adopted in the Government of India Act 1935.

    Constitutional Provisions

    1. Article 315 to 323 of Indian Constitution has a provision for such an agency.
    2. According to Act 315 of the constitution of India, there shall be a permanent Union Public Service Commission for appointment to the various posts of the central government services.
    3. Similarly, as Act 318 of the constitution of India also stated that the Union Public Service Commission will be constituted with a chairman and a fixed number of members; the number of such members and the terms and conditions of their service is to be determined by the President of India. The President, as such, appoints the Chairman and other members of the commission for a period of six years.

    Appointment and Tenure

    1. The Commission consists of a Chairman and ten other members. They are appreciative to follow the rules mentioned in Union Public Service Commission (Members) Regulations, 1969.
    2. All the members of the commission are appointed by the President of India with at least half of the members being the Civil Servants (working or retired) with no less than ten years of experience in Central or State service.
    3. The Constitution of India has also espoused certain measures to guarantee the neutrality and fairness of the U.P.S.C.
    4. The Chairman of the Union Public Service Commission has not been authorized to take any office of profit under the central or any of the state governments after his retirement from service as chairman.
    5. Furthermore, before the expiry of their term of service, the executive cannot remove the Chairman or any of the members of the commission from their service. They can be removed only through the means stipulated in the constitution. Apart from this, once these members are appointed the terms and conditions of their services cannot be changed.
    6. Art. 322 announces that the remuneration and allowances of these members including the chairman will be considered as expenditure charged upon the Consolidated Fund of India, which means that their salaries and allowances are not subjected to the approval of the Parliament.
    7. The Secretariat of UPSC is led by a Secretary, two additional secretaries, joint secretaries, and deputy secretaries.
    8. Every member can hold office for six years or till the time he attains the age of 65 years, whichever is earlier.
    9. A member can submit his resignation at any time to the President of India.
    10. On the other side, the President can eliminate him on the basis of misbehaviour.
    11. The UPSC submits a report of its work to the President annually. The report is then tabled in both houses of Parliament for discussion. The President places a memorandum in relation to the cases where the commission’s recommendations were not accepted. The memorandum elucidates the reasons for non-acceptance.

    Functions of Union Public Service Commission

    The duty of the Union Public Service Commission will be to conduct examinations for appointment to the services of the Union. Art. 320 of the constitution of India have categorically itemized the functions of the Union Public Service Commission (Tummala, 1994).

      1. Foremost function of Union Public Service Commission is to advocate for appointment in administrative services the meritorious and potential young men and women after selecting them through All India competitive examinations.
      2. Another function of U.P.S.C. is to assists them in framing and operating schemes of joint recruitment for any service for which candidates possessing special qualification.
      3. Union Public Service Commission advises the President on “all matters relating to methods of recruitment to civil services and for civil posts.
      4. Principles to be followed in making appointments to civil services and posts and in making promotions and transfers from the service to another and on the suitability of candidates for such appointments promotions or transfer.
      5. Next function is to look at all disciplinary matters affecting a person serving under the Government of India or the Government of a State in a civil capacity, including memorials or petitions relating to such matter.

    Other functions of Union Public Service Commission are as under:

    1. To conduct examinations for appointment to the services of the Union and conduct interviews for direct recruitment.
    2. To advise on any matter referred to them and on any matter which the president may refer to the appropriate commission.
    3. To exercise such additional functions as may be provided for by an Act of Parliament regarding the services of the Union and also with respect to the services of any local authority constituted by law.
    4. It shall be the duty of the Union Public Service Commission if requested by any two or more states, to assist those States in framing and operating schemes of joint recruitment for any service.
    5. It is generally compulsory for the Government of India to consult the Union Public Service Commission in respect of all the above matters. Nevertheless, the President has the power to make rules, specifying the matters in which, either generally or in particular circumstances the commission may not be consulted. Under the Union Public Service Commission (exemption from consultation) regulations framed by the President in 1958, it is not obligatory for the President to consult the U.P.S.C. in the following cases.
    6. Posts in respect of which the authority of appointment, has specifically been conferred by the constitution in the President, Chairman of members of any Board, Tribunal Commission, Committee or any other similar authority, created under a statute or under the authority of a resolution of either Houses of the Parliament or by a resolution of the government of India for conducting an enquiry into any matter or advising the government of specified matters.
    7. Posts concerned with the administration of North-East Frontier Agency and any service or post in respect of which the commission has agreed that it is not necessary for it to be consulted. The temporary and officiating appointments can also be made without consulting the U.P.S.C. provided the incumbent is not likely to hold the post for more than a year. But intimation has to be sent to the commission regarding such appointment as soon as the posts are filled. Similarly there is no need to make any reference to the commission regarding the reservation of posts in favour of backward classes, Scheduled Castes, Schedule Tribes.

    Independence of UPSC

    The Constitution has made the following provisions to safeguard and ensure the independent and impartial functioning of the UPSC:

      1. The chairman or a member of the UPSC can be removed from office by the President only in the manner and on the grounds mentioned in the Constitution. Thus, they enjoy security of tenure.
      2. The conditions of service of the chairman or a member, though determined by the President, cannot be varied to his disadvantage after his appointment.
      3. The entire expenses including the salaries, allowances, and pensions of the Chairman and members of the UPSC are charged on the Consolidated Fund of India and are not subject to the vote of Parliament.
      4. The chairman of the UPSC on ceasing to hold office is not eligible for further employment in the Government of India or any state.
      5. A member of the UPSC is eligible for appointment as the Chairman of UPSC or a State Public Service Commission but not for any other employment in the Government of India or any state
      6. The chairman or a member of UPSC is not eligible for reappointment to that office for a second term.

    UPSC and Central Vigilance Commission

    Since the emergence of CVC, the role of UPSC in disciplinary matters has been affected. Both are consulted by the government while taking disciplinary action against a civil servant. Here, UPSC being an independent body has an edge over CVC which got statutory status in 2003. Recently, in order to ensure speedy

    Here, UPSC being an independent body has an edge over CVC which got statutory status in 2003. Recently, in order to ensure speedy finalisation of disciplinary matters and to avoid possibilities of the difference of opinion between UPSC and CVC, it has been decided as a policy to prescribe only one consultation- either with CVC or UPSC. However, in disciplinary cases wherein UPSC is not required to be consulted, the consultation with CVC would continue to be made.

    However, in disciplinary cases wherein UPSC is not required to be consulted, the consultation with CVC would continue to be made.

    Exemptions

    In order to exempt some posts which for reasons of National Security or some other reasons may not be required to be referred to the Commission for their advice, the Union Public Service Commission (Exemption from Consultations) Regulations were issued on September 1, 1958, under Article 320(3)(a) and (b) of the Constitution. These Regulations are amended or revised as and when the need arises. The following matters are kept outside the purview of UPSC:

    1. While making reservations of appointments or posts in favour of any backward class of citizens
    2. While taking into consideration the claims of scheduled castes and scheduled tribes in making appointments to services and posts
    3. With regard to the selections for chairmanship or membership of commissions or tribunals, posts of the highest diplomatic nature and a bulk of group C and group D services
    4. With regard to the selection for temporary appointments for not more than a year

    The President can exclude posts, services and matters from the purview of the UPSC. The President can also, in respect to the all-India services and Central services and posts may make regulations specifying the matters in which it shall not be necessary for UPSC to be consulted. All such regulations shall be laid before the Parliament which can amend or repeal them.

    Mechanisation – Project Sampera

    The Commission has recently undertaken a project called “SAMPERA” (Screening and Mechanised Processing of Examination and Recruitment Applications). A simplified single sheet common application form for all the examinations has been devised which will be scanned by using OMR/ICR technology.

    The implementation of this project will mainly help in high speed scanning of data from forms eliminating manual entry. Other benefits will be accurate and faster generation of Admit Cards, Attendance lists with photo replica and signature facsimile of each candidate, and Error-free list of doubtful cases.

    The main aim of this project is to cope with the increasing volume of applications through innovations and mechanised handling so as to reduce the processing time and send communications faster to minimized errors. The cases of impersonation/malpractices will also be eliminated and wasteful expenditure will be reduced.

    Suggestions for rejuvenating UPSC

      1. To serve as a think-tank on personnel issues: It should go beyond the recruitment role to answer evolving issues relating to civil services and their role in a rapidly changing society.
      2. Association of Research Institutes and Universities in the functioning of UPSC: Services are often out of touch with new developments in technology and knowledge. UPSC should liaison with such institutions to conduct regular specially designed courses for administration
      3. Need of Decentralisation on the pattern of US: The increase in work of the commission has been manifold, it currently handles more than 14 lakh applications and scrutinises and advises in regard to 650 Recruitment Rules of different services/posts. There is a need of decentralization to effectively align with this increase in workload
      4. Keep in sync with changing times: UPSC so far has worked with remarkable competence, impartiality and integrity.

    However a new world based on openness, accountability and delivery has emerged. UPSC needs to be in sync with these changes.

    Powers of Union Public Service Commission (U.P.S.C)

    Main power of Union Public Service Commission is its advisory power. It can give advises to the President and the governors of any State of the following affairs:

    1. On all matters related with the appointment of the civil services of the governments.
    2. The evaluation of the standard and efficiencies of the candidates for appointment, promotion or transfer in all civil posts.
    3. On all matters regarding the discipline and punctuality of the employees of All India Services.
    4. Affairs associated with the demands and benefits of employees working under the All India Civil Services and injured while on duty.
    5. Whether the payment or expenditure for any work of an employee of All India Civil Services will be borne by the consolidated fund of India.
    6. Regarding discipline and promptness in government functions of paying compensation to a government employee if he suffers any problem or financial loss due to the negligence on the part of the government, matters related with the punishment measures of those employees who have violated discipline or of all matters related with the interest of the government employees working under the central government.

    The Constitution of India has made the Public Service Commission a simple advisory institution which is required to give advises to the subject sent to it by the President of India or by the Governors of the States. But to accept or refuse advises is the absolute discretion of the respective governments.

    This is because India has adopted a responsible self-governing government where in the council of ministers cannot delegate its responsibilities to their employees to any other organization. Though at the same time, it should not neglect advises made by a commission consisting of experienced and expert persons.

    In brief, The UPSC is the central recruitment agency in India. It is a sovereign constitutional body being directly created by the Constitution of India.

  • Election Commission of India: Powers, Functions and Responsibilities

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    The Election Commission of India, abbreviated as ECI is a constitutional body responsible for administering elections in India according to the rules and regulations mentioned in the Constitution of India.

    It was established on January 25, 1950. The major aim of election commission of India is to define and control the process for elections conducted at various levels, Parliament, State Legislatures, and the offices of the President and Vice President of India. It can be said that the Election Commission of India ensures smooth and successful operation of the democracy.

    According to Article 324 of Indian Constitution, the Election Commission of India has superintendence, direction, and control of the entire process for conduct of elections to Parliament and Legislature (state legislative assembly & state legislative council) of every State and to the offices of President and Vice-President of India.

    Initially, the commission had only a Chief Election Commissioner. Presently, it consists of a Chief Election Commissioner and two Election Commissioners. For the first time, two additional Commissioners were appointed on 16th October 1989 but they had a very short term till 1st January 1990. Afterwards, on 1st October 1993 two additional Election Commissioners were appointed. The concept of multi-member Commission has been in operation since then, with decision-making power by majority vote.

    Appointment & Tenure of Commissioners

    1. The President has the power to select Chief Election Commissioner and Election Commissioners.
    2. They have tenure of six years, or up to the age of 65 years, whichever is earlier.
    3. They have the same status and receive pay and perks as available to Judges of the Supreme Court of India.
    4. The Chief Election Commissioner can be removed from office only through accusation by Parliament.
    5. Election commissioner or a regional commissioner shall not be removed from office except on the recommendation of the Chief Election Commissioner.

    Advisory Jurisdiction & Quasi-Judicial Functions

    1. Under the Constitution, the Commission also has advisory jurisdiction in the matter of post-election ineligibility of sitting members of Parliament and State Legislatures.
    2. Additionally, the cases of persons found guilty of dishonest practices at elections which come before the Supreme Court and High Courts are also referred to the Commission for its opinion on the question as to whether such person shall be disqualified and, if so, for what period. The judgment of the Commission in all such matters is binding on the President or, as the case may be, the Governor to whom such opinion is tendered.
    3. The Commission has the power to prohibit a candidate who has failed to lodge an account of his election expenses within the time and in the manner set by law.
    4. The Commission has also the power to remove or reduce the period of such disqualification as also other disqualification under the law.

    Administrative Powers

    1. To decide the territorial areas of the electoral constituencies throughout the country on the basis of the Delimitation Commission Act of Parliament.
    2. To organize and periodically amend electoral rolls and to register all qualified voters.
    3. To inform the dates & schedules of election and to scrutinize the nomination papers.
    4. To grant recognition to political parties & allot election symbols to them.
    5. To act as a court for settling disputes related to granting of recognition to political parties and allotment of election symbol to them.
    6. ECI appoints the following-
      1. Chief Electoral Officer– ECI in consultation with State Government/Union Territory Administration nominates or designates an Officer of the said State/UT as the Chief Electoral Officer to supervise the election work in the State/UT
      2. District Election Officer– ECI in consultation with the State Government/ Union Territory Administration designates an officer of the said State/UT as the District Election Officer to supervise the election work of a district
      3. Returning Officer– ECI in consultation with State Government/Union Territory Administration nominates or designates an officer of the Government or a local authority as the Returning Officer for each assembly and parliamentary constituency. Returning Officer is responsible for the conduct of elections in the parliamentary or assembly constituency and may be assisted by one or more Assistant Returning Officers (again appointed by ECI) in the performance of his functions
      4. Electoral Registration Officer– ECI appoints the officer of State or local government as Electoral Registration Officer for the preparation of Electoral rolls for a parliamentary/ assembly constituency

    Role of Election Commission of India

    Election commission plays a vital role in organizing elections. The most critical challenge before the Election Commission of India is to implement norms and the Model Code of Conduct to ensure free and fair elections in the country. Its existence and independence are necessitated by history, which has revealed that self-governing elections are not free from disruption. Towards this end, it has been empowered to supervise political parties and candidates and take appropriate action in case of violations.

    Functions and Powers

    Key functions of the Election Commission of India are as under:

      1. The Election Commission of India is considered the guardian of free and reasonable elections.
      2. It issues the Model Code of Conduct in every election for political parties and candidates so that the decorum of democracy is maintained.
      3. It regulates political parties and registers them for being eligible to contest elections.
      4. It publishes the allowed limits of campaign expenditure per candidate to all the political parties, and also monitors the same.
      5. The political parties must submit their annual reports to the ECI for getting tax benefit on contributions.
      6. It guarantees that all the political parties regularly submit their audited financial reports.

    Other powers handled by the Election Commission of India are as follows:

      1. The Commission can repress the results of opinion polls if it deems such an action fit for the cause of democracy.
      2. The Commission can recommend for disqualification of members after the elections if it thinks they have violated certain guidelines.
      3. In case, a candidate is found guilty of dishonest practices during the elections, the Supreme Court and High Courts consult the Commission.
      4. The Commission can postpone candidates who fail to submit their election expense accounts timely.

    The main duties of the Election Commission are:

    1. To supervise, direct, control and conduct all elections to Parliament and State Legislatures as also to the office of the President and Vice- President of India.
    2. To set down general rules for election.
    3. To determine constituencies and to prepare electoral rolls.
    4. To give credit to political parties.
    5. To allot election symbols to different political parties and individual contestants.
    6. To appoint tribunals for the decision of doubts and disputes arising out of or in connection with election to parliament and State Legislatures.

    Constitutional Provisions

    1. Art. 324: broadly speaks of the functions of EC and its composition.
    2. Art. 325: there shall be one general electoral roll for every territorial constituency for election to either Houses of Parliament and State legislature. It establishes equality among citizens by affirming that no person shall be ineligible for inclusion in the electoral roll on the grounds of religion, race, caste or sex.
    3. Art. 326: lays down adult suffrage as the basis of elections to the Lok Sabha and to the Legislative Assemblies of States.
    4. Art. 327: confers on Parliament the power to make provisions with respect to elections to federal and State Legislatures
    5. Art. 328: confers on State Legislature the power to make laws with respect to elections to such legislature
    6. Art. 329: bars interference by courts in electoral matters. Notwithstanding anything said in the constitution i.e. validity of any law relating to the delimitation of constituencies or the allotment of seats to such constituencies shall not be called in question in any court

    No election to either House of Parliament or either House of the Legislature of a State shall be called in question except by an election petition. Any elector or candidate can file an election petition on grounds of malpractice during the election. In respect of elections to the Parliament and State Legislatures, they can only be filed before the High Court and in respect of elections for the offices of President and Vice President, such petitions can only be filed before the Supreme Court.

    Are the commissioners and the CEC equal?

    1. In S.S. Dhanoa vs Union of India (1991), the SC held: “The chief election commissioner does not appear to be primus inter pares, i.e. first among equals, but he is intended to be placed in a distinctly higher position”
    2. In T.N. Seshan vs Union of India (1995), the SC held that the CEC and ECs are equal. CEC is given the power of recommending the removal of ECs with the intention of shielding them and not to use it against them. CEC cannot use its suo moto as he is an equal to them.

    The Chief Election Commissioner and Other Election Commissioners (Conditions of Service) Act, 1991, as amended, provides that in case of difference of opinion on any matter, such matter shall be decided by the opinion of the majority. Thus the CEC cannot over-ride any decision of the commission by himself. As Chairman of the Election Commission he presides over the meetings, conducts the business of the day and ensures smooth transaction of business of the commission.

    Independence of the Election Commission

    Article 324 of the Constitution has made the following provisions to safeguard and ensure the independent and impartial functioning of the election commission:

    1. The CEC is provided with the security of tenure. He holds office for a term of 6 years from the date he assumes office or till he attains the age of 65 years, whichever is earlier
    2. Art. 324(5) says that the CEC cannot be removed from his office except in like manner and on like grounds as a Judge of the Supreme Court i.e. he can be removed by the president on the basis of a resolution passed to that effect by both the Houses of Parliament with special majority, either on the ground of proved misbehaviour or incapacity
    3. Any other election commissioner or a regional commissioner cannot be removed from office except on the recommendation of the CEC
    4. The service conditions of the CEC cannot be varied to his disadvantage after his appointment
    5.  

    Some flaws:

      1. The Constitution has not prescribed the qualifications (legal, educational, administrative or judicial) of the members of the Election Commission.
      2. The Constitution has not debarred the retiring election commissioners from any further appointment by the government.
      3. The administrative expenses of the EC or the salaries, allowances, and pensions of the CEC and ECs are not charged on the Consolidated Fund of India.

    Electoral Reforms

    • Model Code of Conduct

    EC first issued a Model Code of Conduct for political parties at the time of the fifth general elections, held in 1971. Since then, the Code has been revised from time to time and lays down guidelines as to how political parties and candidates should conduct themselves during elections.

    A provision was made under the Code that from the time the elections are announced by the Commission, Ministers and other authorities cannot announce any financial grant, make promises of construction of roads, carry out any appointments in government and public undertakings which may have the effect of influencing the voters in favour of the ruling party.

    Despite the acceptance of the Code of Conduct by political parties, cases of its violation have been on the rise. It is a general complaint that the party in power at the time of elections misuses the official machinery to further the electoral prospects of its candidates.

    The misuse of official machinery takes different forms, such as issue of advertisements at the cost of public exchequer, misuse of official mass media during election period for partisan coverage of political news and publicity regarding their achievements, misuse of government transport including aircraft/helicopter, vehicles.

    • Disclosure of Antecedents by Candidates

    In June 2002, the EC on the direction of the Supreme Court, issued an order under Article 324 that each candidate must submit an affidavit regarding the information of his/her criminal antecedents; assets (both movable and immovable) of self and those of spouses and dependents as well; and qualifications at the time of filing his/her nomination papers for election to the Lok Sabha, the Rajya Sabha and the State Legislative Assemblies.

    But political parties believed that the EC and the judiciary were overstepping their powers. At the all-party meeting, held on July 8, 2002, representatives of 21 political parties decided that the EC’s order should not be allowed to be implemented. The Supreme Court again came out as a guardian of the citizen’s right to information.

    The Supreme Court made it clear that failing to furnish the relevant affidavit shall be considered as a violation of the Supreme Court’s order and as such the nomination papers shall be liable to be rejected by the Returning Officer.

    Furnishing of wrong or incomplete information shall result in the rejection of nomination papers, apart from inviting penal consequences under the Indian Penal Code. The 2004 General Elections were conducted under these rules.

    The above order is an effective step to make democracy healthy and unpolluted. Citizens have every right to know about the persons whom they prefer as their representatives.

    The EC has directed all Returning Officers to display the copies of nomination papers and affidavits filed by candidates to the general public and representatives of print and electronic media, free of cost.

    • Registration of Political Parties

    The party system is an essential feature of parliamentary democracy. However, there is no direct reference to political parties in the Constitution of India. The statutory law relating to registration of political parties was enacted in 1989 which was quite liberal.

    As a result, a large number of non-serious parties mushroomed and got registered with the Commission. Many of them did not contest elections at all after their registration. It led to confusion among electors as to whom to vote. To eliminate the mushrooming of parties, the EC had to take some rigorous steps:

    1. The Commission now registers a party which has at least 100 registered electors as its members and is also charging a nominal processing fee of Rs 10,000 to cover the administrative expenses which it will have to incur on correspondence with the parties after their registration.
    2. In order to ensure that the registered political parties practice democracy in their internal functioning, the Commission requires them to hold their organizational elections regularly in accordance with their constitutions.

    The measures taken by the EC to streamline the registration of political parties have shown effective results.

    • Checking Criminalisation of Politics

    The EC has expressed its serious concern over the entry of anti-social and criminal persons into the electoral arena. It has set down norms and made recommendations to the government to curb the menace of criminalization of politics.

    1. The Commission has urged all political parties to reach a consensus that no person with a criminal background will be given the party ticket.
    2. The candidates to an election are also obliged to submit an affidavit in a prescribed form declaring their criminal records, including convictions, charges pending and cases initiated against them. The information so furnished by the candidates is disseminated to the public, and to the print and electronic media.
    • Limits on Poll Expenses

    To get rid of the growing influence and vulgar show of money during elections, the EC has fixed legal limits on the amount of money which a candidate can spend during the election campaign. These limits are revised from time to time. The EC, by appointing expenditure observers keeps an eye on the individual accounts of election expenditure made by a candidate during election campaign. The contestants are also required to give details of expenditure within 30 days of the declaration of the election results.

    Apart from this, the EC is also in favor of holding the Lok Sabha and the Assembly elections simultaneously, and to reduce the campaign period from 21 to 14 days. This, they feel, will lead to trim down the election expenditure.

    Use of Scientific and Technological Advancements

    • EVMs:

    EC has been trying to bring improvements in election procedures by taking advantage of scientific and technological advancements. The introduction of ‘electronic voting machines’ (EVMs) is one of the steps in that direction by reducing malpractices and also improving the efficiency of the voting process.

    On an experimental basis, the EVMs were first tried in the State of Kerala during the 1982 Legislative Assembly Elections. In June 1999 Assembly elections, Goa became the first State to successfully use EVMs in all its Assembly constituencies.

    In the 2004 Lok Sabha elections, the machines were used all over the country. It is a major initiative taken by the EC to make the electoral process simple, quick and trouble-free. It has saved money, solved several logistical issues and also contributed to the conservation of the environment through saving of paper. Another major advantage of these machines is that the counting of votes becomes more fast and accurate.

    • IT

    EC has not lagged behind in making use of Information Technology for efficient electoral management and administration. It launched a website of its own in 1998.

    This is now a good source to have accurate information about elections, election laws, manuals and handbooks published by the Commission.

    • Computerization of Electoral Rolls

    With a view to prevent impersonation of electors at the time of voting and to eliminate bogus and fictitious entries into electoral rolls, EC took a bold step in 1998 to take a nationwide program for the ‘computerisation’ of electoral rolls.

    The printed electoral rolls, as well as CDs containing these rolls, are available to the general public for sale national and State parties are provided these free of cost after every revision of electoral rolls.

    The entire country’s electoral rolls are available on its website. Karnataka became the first State to prepare electoral rolls with the photographs of voters in the 2008 elections.

    • EPICs:

    In an attempt to improve the accuracy of the electoral rolls and prevent electoral fraud, the Election Commission in August 1993 ordered the issuance of electors’ photo identity cards (EPICs) for all voters.

    During the 2004 Assembly elections, it was mandatory for people possessing EPICs to furnish it at the time of voting. The distribution of EPICs, on the part of Election Commission, was a major step to reduce electoral malpractices. Only genuine voters were listed in the rolls with the issuance of voter identity cards.

    • De-criminalization of politics

    For preventing persons with criminal background from becoming legislators, the Commission has made a proposal for disqualifying (from contesting election) a person against whom charges have been framed by a Court for an offence punishable by imprisonment of 5 years or more. There is a provision of disqualification once a person is convicted and sentenced to imprisonment of two years or more. The Commission’s proposal is for disqualification even prior to conviction, provided the court has framed charges. As a precaution against foisting false cases on the eve of election, it has been suggested that only those cases in which charges are framed six months prior to an election should be taken into account for that election.

    • Political parties reforms

    The political parties should be legally required to get their accounts audited annually. The audited accounts should be put in public domain. There should be transparency in the fund raising and expenditure of political parties. Income tax exemption for donations should be given only for those political parties which contest election and win seats in the Parliament/State Legislature.

    • Misuse of religion for electoral gain

    The Commission has proposed that the provision in that Bill should be considered for avoiding misuse of religion by political parties.

    • Amendment of law to make `paid news’ an electoral offence

    The Commission has been proposed amendment in the Representation of People Act (RoPA) , 1951, to provide therein that publishing and abetting the publishing of `paid news’ for furthering the prospect of election of any candidate or for prejudicially affecting the prospect of election of any candidate be made an electoral offence with punishment of a minimum of two years imprisonment.

    • Negative/neutral voting

    In the ballot paper and on the ballot unit, after the particulars relating to the last candidate, there should be provisions for a column `none of the above’ to enable a voter to reject all candidates if he so desires.

    • Ban on transfer of election officers on the eve of election

    In the case of general election, there should be a ban against transferring any election related officer without the concurrence of the Commission for a period of six months prior to the expiry of the term of the House.

    • Punishment for false affidavit by candidates

    RoPA, 1951 provides that furnishing false information in the affidavit filed by the candidate is an offence punishable by imprisonment up to six months or with fine. There is no clear provision for follow-up action in the event of candidates filing false affidavits. EC has recommended that RoPA, 1951 should be amended to provide that any complaint regarding false statement in the affidavit filed by the candidates in connection with the nomination paper shall be filed before the Returning Officer (RO) concerned within a period of 30 days from the date of declaration of the election and that it shall be the responsibility of the RO to take proper follow-up action. Alternatively, complaint can lie directly to the Magistrate Court.

  • Part 3 | Important Cash Crops and Plantation Crops in India

    A) Important Cash Crops

    Under cash crops, those commercial crops are included which are produced by farmers mainly to earn money. The cash crop is often not consumed by the farmer himself. Some important cash crops have been discussedbelow in detail:

    1. Sugarcane

    • Geographical Conditions of Growth:
      • It is a tropical as well as sub-tropical crop.
        • Sugarcane in North India is of the sub-tropical variety and has low sugar content. Also sugar factories have to remain shut in winter seasons in North India. Also, sugarcane juice begins to dry up because of the long dry season in north India.
        • Sugarcane in South India is of the tropical variety and high sugar content and high yield.
      • It grows well in hot and humid climate with a temperature of 21°C to 27°C and an annual rainfall of 75-100cm.
      • Medium and heavy soils where irrigation facilities are available are ideal for its cultivation.
      • It can be grown on a variety of soils and needs manual labour from the time of sowing to harvesting.
      • It is a long maturing crop planted between February and April. Harvesting begins in October and November.
      • It is a soil-exhausting crop and thus needs regular application of manure or fertilisers.
    • Important Producing Areas:
      • India is considered the original homeland of sugarcane and has the largest area under sugarcane in the world.
      • India is the second largest producer of sugarcane only after Brazil.
      • The major sugarcane producing states are Uttar Pradesh, Maharashtra, Karnataka, Tamil Nadu, Andhra Pradesh, Bihar, Punjab and Haryana.

    2. Cotton

    • India is believed to be the original home of the cotton plant.
    • It is also one of the most important industrial crops of India.
    • Geographical Conditions of Growth:
      • Cotton grows well in the drier parts of the black cotton soil of the Deccan plateau. It can also be grown on alluvial and red soils.
      • It requires high temperature (20-35°C), light rainfall (50 to 80cm) or irrigation, 210 frost free days and bright sunshine for its growth. Clear sky during the picking season is ideal.
      • It is a Kharif crop and requires 6-8 months to mature.
    • Important Producing Areas:
      • India is the fourth largest producer of cotton in the world. China, USA and Pakistan grow more cotton than India.
      • Cotton is cultivated in about 45% of the total sown area in the country.
      • The major cotton producing states are Maharashtra, Gujarat, Madhya Pradesh, Karnataka, Andhra Pradesh, Tamil Nadu, Punjab, Haryana and Uttar Pradesh.
    • Important Varieties: India produces both short staple (Indian) cotton and long staple (American) cotton. American Cotton is called ‘Narma’ in the north-western part of the country.

    3. Jute

    • It is also known as the golden fibre and is India’s major cash crop.
    • Jute fibre is obtained from the inner bark of the jute plant.
    • It is used in making gunny bags, mats, ropes, yarn, carpets and other artefacts. Jute cultivation in India has recently suffered due to reduced demand as a result of increasing competition with artificial fibre and packaging material.
    • Geographical Conditions of Growth:
      • It is a soil-exhausting crop like sugarcane and lowers soil fertility rapidly. It thus grows well on the well drained fertile soils in the flood plains where the soils are renewed every year.
      • High temperatures (24°C to 35°C), heavy rain (125 – 200cm) and low plain land are favourable conditions for the cultivation of jute.
    • Important Producing Areas:
      • West Bengal (largest producer in India), Bihar, Assam, Orissa and Meghalaya.
      • India is the largest producer of jute in the world.
    • Important Varieties: Mesta

    4. Tobacco

    • Tobacco was brought to India by the Portuguese.
    • Uses: Its leaves are used in making cigarettes, cigar, beedi etc. Its stem is used as potash fertilizer and its powder as an insecticide.
    • Geographical Conditions of Growth:
      • It requires temperatures of 15°C to 40°C and rainfall of about 50cm or irrigation facilities. More than 100cm of annual rainfall and frost is harmful for the crop.
      • Fertile soils with good drainage are ideal as it is an exhaustive crop
    • Important Producing Areas:
      • Gujarat, Andhra Pradesh, Karnataka, Tamil Nadu and Bihar.
      • More than 1/3rd tobacco of the country is produced by Andhra Pradesh alone.
    • Important Varieties: Nicotina Tabacum and Nicotina Rustics. Virginia tobacco used for making cigarettes and Dale Crest varieties are grown in Andhra Pradesh.

    5. Oilseeds

    • Main oilseeds produced in India include groundnut, mustard, coconut, sesasmum (til), soyabean, castor seeds, linseed, and sunflower.
    • Uses – Most of these are edible and used as cooking mediums. Some of these are also used as a raw material in the production of soaps, ointments and cosmetics.
    • Geographical Conditions of Growth:
      • Most oilseeds are grown as dry crops or in association with other crops e.g. mustard is grown with wheat.
    • Important Producing Areas:
      • India is the largest producer of oilseeds in the world. About 20% of the world’s oilseed producing area is in India.
      • Different oilseeds are grown covering approximately 14% of the total cropped area of the country.
      • Major oilseed producing areas are the plateau of Malwa, Marathwara, Gujarat, dry areas of Rajasthan, Telangana and Rayalseema regions of Andhra Pradesh.
      • Madhya Pradesh ranks first (31%) in the total oilseeds production and is followed by Rajasthan and Gujarat.
      • The smaller oilseeds are grown mainly in the north (Gujarat, MP, Rajasthan, Punjab and Haryana) and the larger seeds in the south mainly Kerala, Tamil Nadu, Andhra Pradesh and Karnataka. A list of particular oilseeds and their producing states:
        • Coconuts – The southern coastal region in the states of Kerala, Tamil Nadu and Andhra Pradesh.
        • Castor seed – Gujarat
        • Linseed – Chhattisgarh
        • Soya beans – Madhya Pradesh
        • Mustard and rapeseeds – Rajasthan
        • Sunflower – Karnataka, Maharashtra and Andhra Pradesh

    B. Important Plantation Crops

    1. Tea

    • It is an important beverage crop introduced in India initially by the British.
    • Geographical Conditions of Growth and Production:
      • The tea plant grows well in tropical humid and subtropical humid climates endowed with deep and fertile well-drained soils, rich in humus and organic matter.
      • 150cm summer rain and 21°C to 27°C daily temperature are needed for its cultivation.
      • Tea bushes require warm and frost-free climate all through the year.
      • Frequent showers evenly distributed over the year ensure continuous growth of the tender leaves.
      • Tea is often cultivated on the hill slopes so that there is no waterlogging in its roots.
      • Its leaves are to be plucked several times in a year, so availability of abundant and cheap labour is essential for its cultivation.
    • Important Producing Areas:
      • Assam, hills of Darjeeling and Jalpaiguri districts, West Bengal, Tamil Nadu and Kerala. Apart from these, Himachal Pradesh, Uttaranchal, Meghalaya, Andhra Pradesh and Tripura are also tea producing states in the country.
      • India is the leading producer as well as exporter of tea in the world. 28% tea of the world is produced here.

    2. Coffee

    • Geographical Conditions of Growth:
      • Coffee is a tropical plantation crop.
      • 16° – 28°C temperature, 150-250cm rainfall and well-drained slopes are essential for its growth.
      • It grows on hilly slopes at the height of 900-1800m.
      • Low temperature, frost, dry weather for a long time and harsh sunshine are harmful for its plants.
      • Coffee plants grow better in the laterite soils of Karnataka in India.
    • Important Producing Areas:
      • India contributes about 4% of the world’s total coffee production. It ranks 6th in the world in coffee production.
      • The coffee plant was grown for the first time on the Baba Budan Hills (Karnataka) in India.
      • At present, more than half of the total coffee production in India is produced by Karnataka alone, followed by Kerala and Tamil Nadu.
    • Important Varieties: The Arabica variety initially brought from Yemen is produced in the country.