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Showing posts from April, 2024

Role of MSME sector in Indian Economy

Role of MSME sector in Indian Economy. The MSME sector playing a very pivotal role in Indian Economy by increasing manufacturing, creating jobs and enhancing country's export. The MSME sector has been proved very crucial for enhancing the Indian economy. It is providing jobs to unemployed people, developing the backward and rural areas and decreasing the income inequality by distributing the national income to rural and semi urban areas. Let's, first understand the MSME new definition. MSME stands for micro, small and medium enterprises. The classification is based on investment in plants and machinery or equipments and annual turnover.  So micro enterprises are those enterprises having investment in plants and machinery or equipments is not more than 1 crore and annual turnover is not more than 5 crores. The small enterprises are those enterprises having investment in plants and machinery or equipments is not more than 10 crores and annual turnover is not more than 50 crores. ...

How Panchayati Raj System manages its Finances

How Panchayati Raj System in India manages its Finances. Only giving constitutional status is not enough for Panchayati Raj System but need to ensure finance for its autonomous and democratic operation. Every administration has its cost , so the Panchayati Raj System also need smooth inflow of fund for its independent and democratic way of functioning. Here we will discuss the sources of revenue for Panchayati Raj Institutions.The autonomy and efficiency of these Panchayati Raj Institutions depends upon their financial position. 1) Grants from the Union Government on recommendations of the Central Finance Commission( art 280). 2) As per art 243-I of the Indian Constitution the devolution from the State Government on recommendations of the State Finance Commission. 3) Programme/Scheme specific allocation under centrally sponsored schemes. 4) Loans and grants from the State Government. 5) From its own resources - tax and non- tax. In tax it includes house tax, professional tax, fair and ...

What is the difference in State, Union Territory and Union Territory like Delhi

How States, Union Territories and Union Territory like Delhi differ administratively. Every day we hear the confliction in the administration of Delhi, let's understand the difference in administration of a state, a Union Territory and a union territory with special status like Delhi. The seventh schedule of the Indian Constitution contain three lists - Union list, State list and Concurrent list. This is how the constitution divide power between centre and State. Centre can make laws on all the subjects in Union list, Concurrent list, and states can make laws on all the subjects in state list and Concurrent list. So centre and State both can make laws on subjects in Concurrent list, but in case of conflict, the central law will prevail. The residuary subjects ( subjects which are not mentioned in any of the three lists) are given to the centre. Governor is the head of a state and not an agent of President. But an administrator of a union territory is an agent of the president and n...

Committees on Panchayati Raj through the prism of history

All Important Committees over the time on The Panchayati Raj System in India. Let's understand the role of different committees over the time in structuring the Panchayati Raj System in India. 1) Balwant Rai Mehta Committee :- The central Government appointed a committee in Jan 1957 to examine the working of the community development programme. The chairman was Balwant Rai Mehta. It recommended :- The scheme democratic decentralisation which latter known as Panchayati Raj. It recommended three tier Panchayati Raj System - gram panchayat at village level, Panchyat Samiti at Block level and Zila Parishad at district level. 2) Ashok Mehta Committee :- In 1977, It recommended two tier Panchayati Raj System - Zila Parishad and Mandal Panchayat. Constitutional recognition, Reservation for SC, ST, compulsory power of taxation, Nyaya Panchayat, A panchayati Raj minister in state council of ministers. 3) G.V.K. Rao Committee : - Established in 1985 on rural development and poverty alleviati...

How and Why the 38th and 39th Constitutional Amendment Acts,1975 were corrected?

In 1960s and 1970s the Indira Gandhi Government made many constitutional changes. It tried to make the legislative organ of the government more stronger than judiciary. In 1975, the then Indira Gandhi Government bring 38th Constitutional Amendment Act. The three important changes it made were - declaration of emergency by President was made Non- Judiciable, means Judiciary could not look into its rightedness. The second important change the 38th CAA made - Promulgation of ordinance was also made Non- Judiciable and the third important change made was that different proclamation of National Emergency on different grounds. The first one was deleted by 44th constitutional amendment act 1978. On national emergency in Minerva Mill case 1980, The supreme court said that it can be checked on grounds of malafide, or based on extraneous and irrelevant fact or is absurd or perverse. On President rule - In Bommai case 1994, The SC said it also can be challenged on grounds of malafide, extraneous,...

Can a sitting CM be arrested?

What are legal and constitutional provisions regarding arrest of a sitting CM ? The arrest of Delhi CM has raised the point of loopholes in Indian legal and constitutional system. Let's understand what Indian Constitution say about arrest of a sitting CM and what if a arrested CM wants to run the Government from jail. The arrest of Delhi CM Arvind Kejriwal has raised a constitutional debate. The such kind of arrest is not first in India. Earlier also the then sitting CM like Jayalalithaa (T.N), Lalu Prasad Yadav ( Bihar) and Jharkhand CM Hemant Soren has been arrested.  The constitution provides immunity from arrest for act done while performing the duties to sitting President and Governor under article 361. But in case of sitting PM and CM there is no such or any other shielding provided by the constitution. PM and CM are treated equal to other citizens and here the constitution follows the equality before law and equal protection of law concept under article 14. Therefore, a sitt...