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XI - Chapter 7 - Federalism
Outcomes
1. What is Federalism
2. The federal provisions in the Indian Constitution;
3. The issues involved in the relations between the centre and the States; and
4. The special provisions for certain States having a distinct composition and historical
features

IX - Chapter 5 - Working of Institutions

Laxmikanth 5 - Union and its Territory

(Articles 1-4)
Article 1

● "Union of states" preferred to  "Federation of states" - "An Indestructible union of destructible

states"
o States have no right to secede from the Union
o Federation is union as it is indestructible
o Country divided into states only for convenience of administration
● Parliament can redraw political map of India according to its will - Territorial
Integrity/Continued existence not guaranteed by constitution "
● Territory of India can be classified into three categories:
o Territories of states
o Union territories
o Territories that may be acquired by the Government of India at any time
● Notably, ‘Territory of India’ is a wider expression than ‘Union of India’ because the latter
includes only states while former includes not only states but also union territories and
territories that may be acquired by the Government of India at any future time
● States are members of federal system and share a distribution of powers with Centre
● Union territories and acquired territories, on the other hand, are directly administered by
Central government
● Being a sovereign state, India can acquire foreign territories according to modes recognized
by international law
o Cession (following treaty, purchase, gift, lease or plebiscite)
o Occupation (hitherto unoccupied by a recognized ruler)

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o Conquest or Subjugation

1st Schedule – Names and States of Union Territories and their territorial extent

Process for changing the name of a state can be initiated by the state itself. However, by virtue
of Article 3, parliament has the power to change the name of a state even if such proposal does
not come from concerned state. However, “changing of name of districts/villages involves only
the state legislature and not the Parliament

5th and 6th Schedule – Separate provisions with respect to administration of scheduled areas
and tribal areas

Article 2 grants two powers to parliament

● Power to admit into Union of India new states (new states refer to states which are already
in existence)
● Power to establish new states (new states refer to states which are not in existence before)

Article 3 authorizes parliament to

● Form a new state by separation of territory from any state or by uniting two or more states
or parts of states or by uniting any territory to a part of any state
● Increase/Diminish area of any state
● Alter boundaries/name of any state

Two conditions

● Bill to be introduced with Prior recommendation of President

● President refers same to state legislature to express its view within in specific period
(President not bound by state's view)
1. Not necessary to make fresh reference in case of Amendment
2. For Union Territory – No reference need to be made to concerned legislature

Constitution (Article 4) declares that Article 2 & 3 - (Formation, Alteration of states) - Not be
considered as constitutional amendments under Article 368 - Passed by simple majority and by
ordinary legislative process

SC - Power of parliament to diminish area of a state (Article 3) does not cover cession of Indian
Territory to a foreign country - It can be done only through constitutional amendment under
Article 368

**Settlement of a boundary dispute between India and another country does not require a
constitutional amendment - Done by executive action as it does not involve cession of Indian
territory to a foreign country

100th Constitutional Amendment Act – Acquiring certain territories and ceding certain territories
to Bangladesh

Evolution of States and Union Territories

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Dhar Commission and JVP Committee

● Reorganization of states on linguistic basis - Dhar commission recommended

reorganization based on administrative convenience rather than linguistic basis
● JVP - Rejected language as basis for reorganization of states

Fazl Ali Commission

● Broadly accepted language as basis of reorganization of states - Rejected theory of "One

language - One state"
● Unity of India to be viewed as primary consideration - 4 major factors to be considered
o Preservation and strengthening of Unity and Security of India
o Linguistic and Cultural homogeneity
o Financial, Economic and Administrative considerations
o Planning and Promotion of Welfare of People in each state
● Suggested abolition of 4-fold classification of states

New states and Union Territories created after 1956 - 14 states & 6 UT were created on Nov 1,
1956

● State of Bombay - Maharashtra and Gujarat (15th)

● Dadra and Nagar Haveli - UT
● Goa, Daman and Diu - UT - In 1987; Goa - State; Daman and Diu (UT)
● Puducherry - UT
● Nagaland (Naga hills and Tuensang Area out of Assam) - 16th state
● Haryana, Chandigarh and Himachal Pradesh - Punjab 
o Haryana - 17th
o Chandigarh - UT
o Himachal Pradesh - UT - 18th
● Manipur, Tripura and Meghalaya 
o Manipur - 19th
o Tripura - 20th
o Meghalaya - 21st
● Sikkim - 22nd
● Mizoram - 23rd
● Arunachal Pradesh - 24th 
● Goa - 25th
● Chattisgarh (Out of MP) - 26th 
● Uttarakhand (Out of UP) - 27th
● Jharkhand (Out of Bihar) - 28th & Telangana - 29th

Laxmikanth 12 - Parliamentary System

Parliamentary System

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● Article 74 & 75 - Parliamentary System at Center

● Article 163 & 164 - Parliamentary System at State

Modern democratic system classified into (based on the nature of relation between legislative
and executive)

● Parliamentary System - Executive responsible to Legislature

● Presidential System - Executive is Constitutionally Independent

Features of Parliamentary System

● Nominal and Real Executives (Nominal – President - Head of State; Real – Prime
Minister - Head of Government)
● Majority Party Rule - Collective responsibility to Parliament (Responsible to
Parliament in General and LS in particular; Collective responsibility implies LS can
remove council of ministers by passing a vote of no confidence)
● Political Homogeneity – Hence same political ideology
● Ministers - Members of Legislature and Executive - Double Membership
o Minister who is not a member of parliament for a period of 6 months ceases
to be a minister
● Secrecy – Ministers operate on the principle of secrecy of procedure
● Dissolution of Lower House - Executive enjoys the right to dissolve legislature(PM
can advise President to dissolve LS before its expiry)

Merits of Parliamentary System

● Harmony between Legislature and Executive (As executive is part of legislature)

● Responsible Government
● Prevents Despotism –Dispersal of authority checks dictatorial tendencies of
Executive (Authority vested in group of individuals and not individual)
● Ready Alternative Government - Without fresh elections
● Wider Representation - Representation of all sections and regions

Demerits of Parliamentary System

● Unstable government
● No Continuity of Policies – Not conducive for formulation and implementation of
long-term policies
● Dictatorship of Cabinet
● Cabinet heads Executive and Legislature - Against the theory of Separation of powers
● Government by Amateurs - Ministers not experts in their fields

Reasons for Adopting Parliamentary System

● Familiarity with system

● Stability vs. Responsibility - More preference to Responsibility
● Need to avoid Legislative - Executive conflicts

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● Nature of Indian Society - Heterogeneous and complex plural society - Need wide
representation

India vs British - Parliamentary System

1. India - Republican Head; British - Hereditary Head

2. British - Doctrine of sovereignty of parliament; India - Parliament is not supreme and
enjoys limited powers due to written constitution,federal system, judicial review and
fundamental rights
3. British - PM must be from lower house; India - Can be from any of the two houses
4. British - Legal responsibility of minister; India - No need to countersign the official acts
as the head of state
5. British - Shadow cabinet (Formed by opposition to balance ruling cabinet and prepare its
members for future office); India - No such provision

Laxmikanth 13 - Federal System

● States are given representation in Rajya Sabha based on their population - Proportional
Representation; Represents states of Indian federation
● Lok Sabha - Territorial Representation - Represents people as a whole

Rajya sabha is required to maintain the federal equilibrium by protecting the interests of the
states against the undue interference of the Centre

Federal Features of Indian Constitution

● Dual Polity
● Written Constitution
● Division of Powers (7th Schedule – Union, State and Concurrent Lists)
● Supremacy of Constitution
● Rigid Constitution
● Independent Judiciary – Protect Supremacy of Constitution and Exercise power of
Judicial review
● Bicameralism

Unity Features of Constitution

● Strong Centre - Higher number of subjects in centre list than state list; More
important subjects in centre list; Residual subjects in centre list
● States Not Indestructible - States have no right to territorial integrity
● Single Constitution - Flexibility of Constitution
● No Equality of State Representation in RS – Representation in RS based on
population
● Emergency provisions – Federal structure is converted into unitary without formal
amendment

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● Single Citizenship
● Integrated Judiciary
● All India Services
● Integrated Audit Machinery - Comptroller and Auditor General of India - Appointment
and removal is done by president without consulting states - Restriction on financial
autonomy of state
● Parliament's Authority over State List – If RS passes a resolution to the effect in
National Interest (Extension of legislative power of parliament, even when there is no
emergency)
● Appointment of Governor (By President - Holds office during pleasure of president
and acts as agent of centre - Adopted from canadian system)
● Integrated Election Machinery
● Veto over State Bills – Government empowered to reserve certain bills for president
consideration (President enjoys Absolute veto (withholding assent for more than
once) not Suspensive veto)

Two factors responsible for unitary bias

● Dominance of Centre in Financial sphere and dependence of states upon central grants
● Emergence of Planning Commission to overlook development process in states

Critical evaluation of Federal System

● India’s federalism – Cooperative federalism by Granville Austin - A new kind to meet

India’s peculiar needs
● Both Union and State are created by Constitution and derive their power from it - Yet, the
Constitution avoids the tight mould of federalism and changes according to requirement
of time and circumstances
● Legislative and Executive authority is not partitioned by any law made by centre but
rather by Constitution - States are not dependent on centre for any legislative or
executive authority - Centre/Judiciary cannot by its own will alter the boundary of this
partition
● 1994 Bommai Case – SC laid down Federal Character as Basic Structure of
Constitution
o States - Independent constitutional existence, not agents of centre - Within
sphere allotted to them, states are supreme
● Federalism in Indian constitution is not a matter of administrative convenience - But
based on the ground realities in Indian context

Federalism in India represents a compromise between the following two considerations

● Normal division of powers under which states enjoy autonomy within their own spheres
● Need for National Integrity and a strong government under exceptional circumstances

Following trends in Indian political system reflect its federal spirit

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1. Territorial and water disputes between states

2. Emergence of regional parties and creation of new states to fulfil regional aspirations
3. Demand of more financial grants from centre
4. Assertion of autonomy by states and their resistance to central interference
5. SC imposition of several procedural limits on the use of Article 356 (President’s rule in
States)

Laxmikanth 14 - Centre State Relations

Can be studied under 3 heads

● Legislative Relations
● Administrative Relations
● Financial Relations

Integrated Judiciary System to enforce both Central as well as State laws

Legislative Relations - Articles (245 - 255) – Part XI

● Territorial extent of Central and State Legislations

o Parliament can make laws for whole of India - Laws are applicable to citizens and
their property all over world (Parliament alone can make extraterritorial
legislation)
o Exceptions (Not applicable in following areas)
▪ President can make regulations for 4 UTs (Andaman and Nicobar Islands,
Lakshadweep, Dadra and Nagar Haveli and Daman and Diu) – Regulation
same as an Act of Parliament
▪ Governor empowered to direct an act of parliament as not applicable to
scheduled area/tribal area - Or applicable with specified
modifications/exceptions - President enjoys same power w.r.t tribal areas
of Meghalaya, Tripura and Mizoram
o State legislature can make laws only for state
● Distribution of Legislative Subjects
o 3 Fold distribution of legislative subjects
▪ Centre List - Subjects of National importance and which needs uniformity
across country
▪ State List - Subjects of regional and local importance which permits
diversity of interest
▪ Concurrent List - Uniformity in legislation throughout country is desired
but not essential

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▪ Union List > Concurrent List >State List - Central law prevails over State
Law (Exception - If state law has been preserved for president
consideration and received his assent, then state law prevails over
central law)
Power to make laws with respect to residuary subjects is vested in Parliament

● Parliamentary Legislation in state field - Parliament is empowered to make laws on any

matter in state list on 5 extraordinary conditions
o When RS passes a resolution - Supported by 2/3rd of members present and
voting - Resolution remains in force one year - can be renewed any number of
times
▪ Doesn’t restrict state to make law on same matter, but in conflict -
Parliament law shall prevail
o During a National Emergency - Law becomes inoperative on expiration of 6
months after emergency has ceased to operate
▪ Doesn’t restrict state to make law on same matter, but in conflict -
Parliament law shall prevail
o When state makes a request - Resolution operates as abdication or surrender of
power of state legislature to parliament ; 2 or 3 states have to make a request;
not a single state – This law can be amended or repealed only by parliament
▪ Examples

▪ Prize Competition Act (1955)

▪ Wild Life (Protection) Act (1972)

▪ Water (Prevention and Control of Pollution) Act - 1974

▪ Urban Land (Ceiling and Regulation) Act, 1976

▪ Transplantation of Human Organs Act, 1994

o To implement International Agreements - Ex - United Nations Act, Geneva
Convention Act, TRIPS etc
o During President's Rule - Law made will be operative even after President's rule -
But, it can be repealed or altered or re-enacted by state legislature
● Centre's control over state legislation
o Governor can reserve certain type of bills for President's assent - President
enjoys absolute veto
o Bill on certain matters can be introduced only with prior permission of President
(Inter-state trade and commerce)
o During Financial Emergency - President can direct states to reserve money bills
for his consideration

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Sarkaria Commission noted on centre - state relations – “Rule of federal supremacy is

indispensable for successful functioning of federal system. It avoids absurdity, resolves conflict
and ensures harmony between Union and states”

Administrative Relations - Articles 256 - 263; Part XI 

● Distribution of Executive Powers - In Concurrent list, Executive power rests with state -
Except when there's a constitutional provision or parliamentary law - Any law on
concurrent subject, to be executed by state
● Obligation of states and centre - Executive power of state is to be exercised in such a
way 
o Ensure compliance with laws made by parliament 
o Not to impede or prejudice the exercise of executive power of centre at state
o Article 365 - President's rule (under Article 356)- President's rule can be imposed
when state can't be carried in accordance with provisions in constitution
● Centre's direction to State - In matters of
o Construction and maintenance of means of communication by state
o Measures for protection of railways
o Provision of adequate facilities for instruction in mother tongue at primary stage
of education - Linguistic minority groups in state
o Execution of schemes related to welfare of scheduled tribes
● Mutual Delegation of Functions
o Legislative powers - Distribution of legislative powers between Centre & State is
Rigid
▪ Center cannot delegate its legislative powers to state

▪ Single state cannot request parliament to make law on state subject

o Executive powers - Intergovernmental delegation of executive functions is
allowed to mitigate rigidity and avoid deadlock
▪ President, with consent of state government can entrust to that
government any executive functions of centre
▪ Governor, with consent of central government can entrust to that
government any executive functions of state
▪ Delegation of executive power to centre without state's consent
- Parliament not President

Mutual delegation of functions between centre and state can take place either under an
agreement or by legislation - Centre can use both methods, state can use only first method

● Cooperation between the Centre and States - Provisions to secure cooperation

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o Inter-state river dispute tribunal - Parliament can provide for the adjudication of
disputes between states with respect to use, distribution and control of water
o Inter-state council (Article 263) - Established by President to investigate subjects
of common interest between centre and state
o Full faith and credit throughout country to public acts, records and judicial
proceedings of the Centre and every state
o Parliament can appoint an authority to carry out purpose of constitutional
provisions relating to interstate freedom of trade, commerce and intercourse
● All India Services - IAS, IPS and IFoS
o Article 312 - Empowers RS to create All India service 
o Though, All India Services violate principles of Federalism - They help in 
▪ High standard and uniformity in administrative system

▪ Facilitate liaison, cooperation, coordination and joint action on issues of

common interest between centre and states
● Public Service Commissions
o Chairman of state public service commission - Appointed by governor, can be
removed only by President
o Provision to set up Joint state public service commission - by President
o UPSC can serve the needs of state on request of state governor and with
approval of president
● Integrated Judicial System
o To eliminate diversity in remedial procedures
● Relations during Emergencies
o Article 352 - National Emergency - Centre is entitled to give directions to state on
any matter – State government under complete control of centre, though not
suspended
o Article 356 - President's rule  - President to assume himself functions of state
government and governor
o Article 360 - Financial Emergency - Centre & President can direct state for
necessary action
● Other Provisions for centre to exercise control over state administration
o Article 355
▪ Centre to protect state against external aggression and internal
disturbance
▪ Ensure that state is carried on in accordance with provisions of
constitution
o Governor appointed by President - Holds office during pleasure of president -
Governor agent of centre at state
o State election commissioner, appointed by state can be removed only by
President

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● Extra Constitutional devices - Promote coordination and cooperation between centre and
states (Example - NITI Aayog)

Financial Relations - Articles 268 - 293 - Part XII

● Allocation of taxing powers

o Parliament - Exclusive power on Union List
o State Legislature - Exclusive power on State list
o Concurrent list - Both Parliament and State Legislature
o Residuary power - Vested with Parliament - Example : Gift tax, Wealth tax and
Expenditure tax
● Constitution draws a distinction between the power to levy and collect a tax and the
power to appropriate the proceeds of the tax so levied and collected
o Restrictions on taxing power of state
▪ State legislature can impose taxes on sale and purchase of goods (other
than newspaper) - Subject to following restrictions
▪ No tax to be imposed on sale outside the states, on import-export,
on inter-state trade and commerce
▪ Goods declared by parliament to be special importance - tax
imposed is subject to restrictions and conditions specified by
parliament
▪ No tax on electricity consumed by centre and railways

▪ Tax on water/electricity w.r.t interstate river valley - reserved for

president's consideration
● Distribution of Tax revenues
o Alternative Scheme of Devolution –(10th Finance Commission) - Out of total
income obtained from certain central taxes, 29% should go to state
▪ Brought several central taxes and duties like Corporation tax and Custom
duties at par with Income Tax - As far as their constitutionally mandated
sharing with the states is concerned
o Article 268 - Taxes levied by centre but collected and appropriated by states -
stamp duties on bills of exchanges, cheques, promissory notes, policies of
insurance, transfer of shares, Excise duties on medicinal and toilet preparations
(containing alcohol) - Doesn't form part of CFI, Assigned to State
o Article 268 A - Taxes on services (Service tax) levied by centre - But collected and
appropriated by centre and states - Principle of appropriation and collection
formulated by parliament
o Article 269 - Taxes levied and collected by centre but appropriated to states -
Interstate trade and commerce - Doesn't form part of CFI

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o Article 270 - Taxes levied and collected by centre and distributed between centre
and states - All union list except list mentioned in 268, 268A and 269, Surcharge
on taxes and duties (271) - Manner of distribution of net proceeds of these taxes
and duties is prescribed by President on recommendation of Finance
Commission
o Surcharge on certain taxes and duties for purpose of centre (Article 271) -
Parliament can at any time levy surcharges on taxes and duties referred in
articles 269 and 270 - States have no share and proceeds go to centre exclusively
o Taxes levied, collected and retained by states - Enumerated in state list

● Distribution of Non-tax revenues (Revenues which are not generated by taxing the public)
o Centre - Posts and Telegraphs; Railways; Banking; Broadcasting; Coinage and
Currency; Central public sector enterprises, escheat and lapse
o State - Irrigation; Forests; Fisheries; State public sector enterprise, escheat and
lapse

● Grant in Aid to states

Two types of Grant in Aids - Statutory grants and Discretionary grants
o Statutory Grants (Article 275) - Financial assistance to states; Not to every state,
different amount for different states ; Charged on CFI; On Recommendation of
Finance Commission
o Discretionary Grants (Article 282) - Empowers state as well as centre to make
any grant for public purpose; On recommendation of Planning Commission - But,
NITI Aayog doesn't grant any finances to states in new framework
o Discretionary grants form larger part of grants from centre to state - Hence
planning commission assumed more importance than finance commission in
centre-state financial relations
o Finance commission also has all provisions to grant discretionary grants - But
with previous framework, planning commission was granting the same

Protection of state's interest - To protect the interest of state in financial matters, constitution
lays down that following bills introduced only on recommendation of president

● Bills which impose taxes or duties in which states are interested

● Bills which varies the meaning of expression “agricultural income” - as defined for
purpose of enactments of Indian income tax
● Bills which affect the principles on which money may or may not be distributable to
states
● Bills which impose any surcharge on any specified tax or duty for the purpose of centre

Net proceeds - Proceeds of a tax or duty minus cost of collection. Ascertained and certified by
Comptroller and Auditor General of India.

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Borrowing by Centre and States

● Central Govt. can borrow within India or Outside India upon security of CFI, within limits
fixed by Parliament (No such law has been enacted till now)
● State Govt. can borrow within India(Not aboard) upon CF of state, within limits fixed by
State legislature
● Central Govt. can make loans to any state – Charged on CFI
● State cannot raise loan without consent of centre

Intergovernmental tax immunities

Indian Constitution - Contains the rule of “immunity from mutual taxation”

● Exemption of Central property from state taxation - Corporations or companies created

by central govt. not immune (Reason - As they are separate legal entities) - But
Parliament is empowered to remove this ban
● Exemption of state property or income from central taxation- Immunities granted to
state does not extend to duties of customs or excise - Centre can tax commercial
functions of states if parliament provides so

Supreme court (Advisory Opinion) - Immunity granted to states in respect of central taxation
does not extend to duties of custom or duties of excise. Centre can impose custom duty on
goods imported or exported by state or an excise duty on goods produced or manufactured by
state

Effects of Emergencies

● National Emergency (Article 352) – President can either reduce or cancel the transfer of
finances (both tax sharing and grants in aid) from Centre to States (Continues till end of
financial year in which emergency ceases to operate)
● Financial Emergency (Article 360) – Centre empowered to give directions to state –
Reduction of salaries and reserving bills for president’s consideration

Sarkaria Commission

Examine and review working of existing arrangements between Centre and State. It didn't favor
any structural changes - regarded existing arrangement is good

Observed - Federalism is more of a functional arrangement for co-operative action than a static
institutional concept. Recommended Strong Centre - Essential to safeguard national unity and
integrity

However, it did not equate strong centre with centralization

Important Recommendations

● Set up of permanent interstate council –Article 263

● Article 356 - President's rule - Should be used sparingly

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● All India services - Further strengthened

● Residuary power of taxation - To remain with parliament and placed in concurrent list
● The President should communicate reasons to the state govt. - For withholding assent to
a state bill
● Zonal councils to be reconstituted – Promote spirit of federalism
● Centre should have powers to deploy armed forces without state's consent - But consent
is suggested
● Centers should consult state before making a law in concurrent list
● Chief minister must be consulted for the appointment of governor - Provision to be made
in constitution
● Governor cannot dismiss council of ministers as long as it enjoys majority
● Governor's term of 5 years should not be disturbed unless for compelling reasons
● No commission of enquiry should be set up against a state minister unless a demand is
made by parliament
● The surcharge on income tax should not be levied by centre except for a specific
purpose and for strictly limited period
● Implementation of 3 language formula 
● No autonomy for radio and television but decentralization in their operations
● Commissioner for linguistic minorities should be activated

Punchhi Commission

It noted - “Cooperative Federalism” – Key for sustaining India’s unity, integrity and social,
economic development - Should act as a practical guide for Indian polity and governance

Subjects which commission had particular regard to - Role, responsibility and jurisdiction of
centre vs state

1. Major conflicts - communal violence, social conflict

2. Inter-linking of rivers
3. Promoting effective devolution of powers and autonomy to Panchayati Raj Institutions
and local bodies - 6th Schedule of Constitution
4. Promoting the concept and practice of independent planning and budgeting at district
level
5. Central assistance of various kinds with the performance of states
6. Adopting approaches and policies based on positive discrimination in favor of backward
states
7. Recommendations of finance commission and their their impact on states
8. Need and relevance of separate taxes on production and sale of goods and services
subsequent to introduction of value added tax regime
9. Need for freeing inter-state trade in order to establish unified and integrated domestic
market
10. Need for setting up a central law enforcement agency empowered to take up suo moto
investigation of crimes having inter-state/ international/national security implications

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11. Feasibility of supporting legislation under Article 355 - Purpose of suo moto deployment
of central forces in states

Laxmikanth 15 - Inter State Relations

Successful functioning of Indian federal system depends on harmonious relationship between
states as well as between centre and states - Provisions with regard to inter-state comity

● Adjudication of inter-state disputes

● Coordination through inter-state councils
● Mutual recognition of public acts, records and judicial proceedings
● Freedom of inter-state trade, commerce and inter-course
● Establishment of Zonal councils - Promote interstate coordination and cooperation

Inter-state water disputes - Article 262

1. Parliament may provide for adjudication of any river water (sharing and distribution)
dispute
2. Parliament may provide neither SC nor other court to exercise jurisdiction is such dispute

Under this provision (2) Parliament enacted 2 laws –

1. River Boards Act, 1956 – Establishment of river board (established on request of

concerned state governments) for regulation and development of inter-state rivers and
valleys
2. Interstate Water Disputes Act, 1956 – Empowers central government to set up an ad-hoc
tribunal for adjudication of disputes. Decision is final and binding, SC has no jurisdiction

Article 263 - Inter-state Council (Recommended by Sarkaria Commission)

● Effective coordination between Centre and States - President to establish it

o Enquire and advise upon disputes 
o Investigate and discuss subjects - Common to centre and states
o Make recommendations for better policy coordination
● Council’s function is complementary to SC jurisdiction (Article 131) to decide a legal
controversy between governments - Council function is advisory, while SC is of binding
● Following were set up by President under Article 263 – Better coordination of policy and
action
o Central Council of Health
o Central Council of Local Government and Urban Development
o 4 Regional Councils for Sales tax - Northern, Eastern, Western and Southern
Zones

Establishment of Inter-state council (As recommended by Sarkaria Commission)

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● Members
○ PM ; CM of all states ; Administrators of all UT not having legislative assemblies
○ Governor’s of states under president’s rule
○ Six Cabinet ministers, including Home minister nominated by PM
○ Five Ministers of Cabinet rank / Minister of State (independent charge)
nominated by the Chairman of the Council (i.e., Prime Minister) are permanent
invitees to the Council
● Recommendatory body on issues -
○ Subjects - States and Centre have common interest
○ Recommendation for better coordination of policy and action

Meetings held thrice a year

Standing Committee of Council - Continuous consultation and processing of matters for the
consideration of the Council

Members - Union Home Minister as Chairman; Five Union Cabinet Ministers; Nine Chief
Ministers

Public Acts, Records and Judicial Proceedings

Acts and records of one state may not be recognised in another state. To remove any such
difficulty, the Constitution contains the “Full Faith and Credit” clause which lays down the
following:

● Full faith and credit is to be given throughout territory of India to public acts (includes
both legislative and executive acts of govt), records and judicial proceedings of Centre
and every State - Conditions for their effect to be determined by laws of parliament
● Final Judgments and order of Civil courts in any part of India are capable of execution
anywhere in India (Applicable only for civil judgments, not criminal judgments) - Without
need of fresh suit upon judgement - In other words, it does not require the courts of a
state to enforce the penal laws of another state

Inter-State Trade and Commerce (Article 301 - 307 - Part XIII)

● Article 301 - Trade, commerce and intercourse throughout territory of India shall be free
- Extends to inter-state as well as Intra-state (To encourage free flow of trade, commerce
and inter-course in country)
● Exceptions - Article 302 - 305 
o Parliament can impose restrictions in public interest - Can't give preferences to
one state over other (except in the case of scarcity of goods)
o Legislature of state can impose reasonable restrictions in interest of public -
Such a bill should be introduced only with previous sanction of President - State
cannot give preference to one state over other
o Imposition of discriminatory taxes by state - Goods imported from other state
should be subjected to same taxes which are prevalent in that state

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o Freedom under article 301 - Subject to Nationalisation Laws (Laws providing for

monopolies in favor of centre or state)

Zonal Councils (Statutory, Not Constitutional)

●Established by State-Reorganization Act

●Only deliberative and advisory bodies
● Promote cooperation and coordination between States, UT and Centre
o Achieve emotional integration – Arrest growth of acute state consciousness,
regionalism, linguism – Help in removing the after effects of separation - Speedy
execution of developmental projects – Political equilibrium between different
regions - Exchange ideas and experience to formulate uniform policies
5 Zones - Northern, Central, Eastern, Western and Southern
● Zonal Council Composition
o Home minister of Central Government (Common chairman to all councils)
o CM of all states in Zone (Each CM acts as Vice Chairman - Holding office for one
year)
o 2 other ministers from each state in Zone
o Administrator of each UT in Zone
o Advisors (Without right to vote in meetings)
▪ Person nominated from Planning Commission

▪ Chief secretary of government of each state in Zone

▪ Development commissioner of each state in Zone

● Northern Zonal Council - J&K, Himachal Pradesh,Haryana,Punjab,Rajasthan,Delhi and
Chandigarh
● Central Zonal Council - UP, Uttarakhand, Chhattisgarh and MP
● Eastern Zonal Council - Bihar, Jharkhand, West Bengal and Orissa
● Western Zonal Council - Gujarat, Maharashtra, Goa, Dadra, Nagar Haveli and Daman,Diu
● Southern Zonal Council - AP, Karnataka, TN, TG,, Kerala and Puducherry
● North Eastern Council - Assam, Manipur, Mizoram, Arunachal Pradesh, Nagaland,
Meghalaya, Tripura and Sikkim (Coordinated regional planning)

Laxmikanth 42 - Election Commission

Election Commission
● Permanent, Independent - Established by Constitution - Article 324
● Elections to Parliament ; State Legislatures ;Office of President ;Office of Vice-President
● Not concerned with elections of Panchayats and Municipalities - Handled by State
Election Commission

Composition

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● Appointed by President ; Term 6 years of 65 years, whichever is earlier

● State Election Commissioner - Appointed by Governor; Removed by President
- Established under 73rd constitutional amendment & conducts election for Rural local
Self-governing bodies

Independence is secured

● Security of tenure (Like Judge of SC, to be passed by both houses with special majority)
● Service conditions cannot be varied to his disadvantage post appointment
● Other EC or REC can't be removed except on recommendation of CEC

Flaws 

● No Qualification mentioned
● Term of service not mentioned
● Not barred from further appointments

Powers and Functions

● Administrative
o Preparation of electoral rolls
o Notify dates and schedules of elections and to scrutinise nomination papers
o
o Grant recognition to parties
o Free and Fair Elections
● Advisory
o Determine code of conduct
o Advice president on matters - Disqualification of members of parliament
● Quasi-Judicial
o Act as a court for settling election related disputes

Delimitation Commission Act - To determine territorial area of constituency

Laxmikanth 43 - Union Public Service Commission

Union Public Service Commission
● Independent Constitutional Body - Articles 315 - 323 in Part XIV
● Chairman - Appointed by President 
● Removal - President to refer to SC; SC advice binding on President
● Term - Term 6 years of 65 years, whichever is earlier
● Functions can be extended by Parliament

Independence

● Security of tenure (removal as mentioned in constitution)

● Conditions not be varied after appointment

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● Expenses charged from CFI - Not put to Vote

● Chairman not eligible for further appointment (Member of UPSC eligible for Chairman of
UPSC or SPSC)

Function

● Conducts examinations for appointments

● Assist states in framing and operating schemes of joint recruitment
● Serve needs of state with the approval of president
● Consulted on matters related to personnel management - Promotion, Transfer,
Disciplinary Matters
● Govt. decision without consulting UPSC - Valid
● UPSC - Advisory - Not Binding on Government - Only safeguard is "Answer-ability of govt
to parliament for departing from commission's recommendations"
● Considered "Watch-Dog of merit system in India" - Jurisdiction can be extended by an act
of parliament
● UPSC presents annually to president - a report on its performance - President to place it
before parliament explaining the cases where commission advice not accepted - All
such cases must be accepted by Appointments Committee of Union Cabinet - An
individual ministry/department can't reject advice of UPSC

UPSC - Central Recruiting Agency

Department of Personnel and Training - Central Personnel Agency

UPSC vs CVC (In taking disciplinary action against civil servant) - UPSC has an edge as it is an
Independent Constitutional body

Classification of Services & Training - Not Concerns of UPSC

Laxmikanth 44 - State Public Service Commission

State Public Service Commission
Same Functions, Limitations and Role as UPSC

Chairman - Appointed by Governor; removed by president (On Consultation with SC - SC advice

in binding)

Role - Advisory not binding on Govt; SPSC has an edge over SVC 

SPSC presents annually to governor - a report on its performance - Governor to place it before
parliament explaining cases where commission advice not accepted - All such cases must be
accepted by Appointments Committee of state Cabinet - An individual ministry/department can't
reject advice of SPSC

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State legislative council has broadly equal powers as state assembly in matter of enlargement
of jurisdiction of state public service commission

The chairman of a SPSC (on ceasing to hold office) is eligible for appointment as chairman or a
member of UPSC or as chairman of any other SPSC, but not for any other employment under the
Government of India or a state

UPSC and SPSC - Created by Constitution

JPSC - Created by an Act of Parliament on request of two or more states (Statutory not
Constitutional)

Laxmikanth 45 - Finance Commission

● Article 280 - Quasi Judicial Body ; Constituted by President every 5th year
● Constitution envisages FC - Balancing Wheel of Fiscal Federalism 

Composition

● Constitution authorizes parliament to determine qualifications of members - Eligible for

reappointment
● Chairman - Person having experience in public affair
● Members
o A Judge of HC
o Person having specialized knowledge in finance and accounts of government
o Person having wide experience in financial matters and administration
o A person having special knowledge of economics

Recommendations only advisory - Not binding

Functions - Make recommendation to President in matters of 

● Distribution of net proceeds of taxes to be shared between center and state

● Principles governing grant-in aid (discretionary) to states by centre
● Measures to augment CFI and supplement resources of Panchayats and Municipalities  -
Based on recommendation of State Finance Commission
● Submits report to president who lays it down before Houses of Parliament 
● Any other matter referred to in interest of sound finance

Advisory role - Recommendations are not binding

Impact of Planning Commission

● Overlapping functions and responsibility - FC role undermined

● In general

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o Principles governing distribution of plan grants will be set out by Finance

Commission - Application of these principles will be left to Planning Commission
● Main function of Finance Commission in determining revenue gap of each state and
providing for filling up gap by a scheme of devolution - partly by distribution of taxes and
duties and partly by grant in aids

Laxmikanth 46 - GST Council

Laxmikanth 47 - National Commission for SCs

● Article 338 - Other National Commissions for Women, Minorities, Backward Classes ,
National Human Rights Commission and National Commission for protection of child
rights are Statutory
● Chairman, Vice-Chairman and 3 members - Appointed by President - Service conditions
determined by him

Functions of Commission

● Investigate and monitor all matters regarding to constitutional and legal safeguards of
SCs
● Inquire into specific complaints with respect to deprivation of rights and safeguards of
SCs
● Participate and advise on socio-economic planning of SCs
● Present a report to President on working of safeguards and make recommendations 

Powers of Commission

● Vested with power to regulate its own procedure - Powers of a civil court
● Discharge similar functions with regard to OBCs and Anglo Indian Communities
● Central government and state governments are required to consult Commission on all
major policy matters affecting SCs

Laxmikanth 48 - National Commission for STs

● Article 338A
● Reasons for separate commission
o Geographically and Culturally SCs are different from STs - Different problems
o Administrative feasibility (Problems handled by Ministry of Tribal Affairs but not
with Ministry of Social Justice and Empowerment)

Functions of Commission

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● Same as Commission for SCs

● Additional functions - Measures
o To confer ownership of rights in respect to minor forest produce
o To safeguard tribal communities rights over mineral resources
o Relief and rehabilitation measures for tribal groups displaced by developmental
projects
o Seek tribal cooperation for afforestation programmes
o Prevent alienation and effectively rehabilitate if already alienated
o Full implementation of Provisions of Panchayats Act, 1996
o To reduce and ultimately eliminate practice of shifting cultivation by tribals 

Powers of Commission

● Vested with power to regulate its own procedure - Powers of a civil court

Laxmikanth 49 - National Commission for BCs

Laxmikanth 50 - Special Officer for Linguistic

Minorities
● Article 350B - Part XVII of Constitution (Recommended by State reorganization
commission - Ministry of minority affairs - Submits reports to president though ministry
● Special officer for Linguistic minorities - Appointed by President of India - Constitution
does not specify qualifications, tenure,  salaries and allowances, service conditions and
procedure for removal

A linguistic minority is a group of people whose mother tongue is different from that of majority
in the state or part of a state. Thus, the linguistic minorities are determined on a state-wise
basis

● Investigate matters related to constitutional safeguards provided for linguistic minorities

● Strengthen and streamline implementation machinery for effective implementation of
constitutional safeguards - provide equal opportunities to linguistic minorities for
inclusive development and national integration
● Ensure protection of rights of speakers of minority languages - Inclusive and integrated
development
● Spread awareness among linguistic minorities regarding safeguards available to them

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Laxmikanth 51 - CAG
● Article 148 - 151 - CAG - Head of Indian Audit and Accounts Department - Guardian of
public purse and controls entire financial system at both the centre and state
● One of the bulwarks of democratic system of India; others being SC, EC, UPSC
● Appointed by President (Not Collegium)- Office for 6 years or 65 years; whichever is
earlier - Removed on same ground similar to Judge of SC (Special majority in both
houses)
● Duty - Uphold Constitution of India and laws of Parliament in the field of financial
administration

Independence

● Security of tenure - Not eligible for further office - Fixed service conditions - Expenses
charged upon CFI (not put to vote)

● No minister can represent CAG in Parliament (both Houses) and no minister can be
called upon to take any responsibility for any actions done by him.

Duties and Power - Article 149

● Audits accounts related to all expenditure from CFI, CF of State and UT

● Audits all expenditure from Contingency Fund of India, Public account of India (States as
well)
● Audits all accounts and transactions of Central and State Governments
o All bodies and authorities substantially financed from Central or state revenues;
o Government companies & corporations and bodies, when so required by related
law
● Audits receipts and expenditure of the Centre and each state to satisfy himself that the
rules and procedures in that behalf are designed to secure an effective check on the
assessment, collection and proper allocation of revenue.
● Article 150 - Advices President with regard to Prescription of form in which accounts of
state and centre to be kept
● Article 151 - Submits report to President, who places it before house
● Article 279 - Ascertains and certifies net proceeds of any tax or duty
● Acts as a guide, friend and philosopher of Public Accounts Committee of Parliament
● Submits 3 reports
o Audit report on appropriation accounts (Appropriation accounts compare actual
expenditure vs. sanctioned expenditure)
o Audit report on finance accounts (Shows annual receipts and disbursement of
Union govt)
o Audit report on Public undertakings

The President lays these reports before both Houses of Parliament. After this, the Public
Accounts Committee examines them and reports its findings to Parliament

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Role

● Secure accountability of the executive to parliament in financial administration

● Agent of Parliament - Conduct audit of expenditure on behalf of parliament - Responsible
only to parliament
● Ascertain whether money shown in accounts as having been disbursed was legally
available and applicable for purposes to which they have been applied or charged 
● In addition to legal and regulatory audit, CAG can also conduct propriety audit but it is
discretionary not obligatory (Look into ‘wisdom, faithfulness and economy’ of
government expenditure and comment on the wastefulness and extravagance of such
expenditure)

Criticism
● Secret service expenditure - Limited auditing role of CAG
● Constitution visualizes it to be Comptroller as well as Auditor General - But if performs
only auditing role - Parliament need not get authorization from CAG to withdraw money
● CAG and Corporations
o Audited directly and totally - ONGC , Indian Air lines
o Audited by private - Appointed by CAG - Industrial finance corporation etc
o Total Private Audit - Direct report to Parliament - SB, RBI, LIC
● Audit Board - Outside specialists and Technical experts to handle audit of specialized
enterprises

Laxmikanth 52 - Attorney General of India

● Article 76 - Highest law officer - Appointed by President - Should be qualified to be appointed
as Judge of SC
● Office - Not fixed ; No procedure for removal - Pleasure of President
● AG is not a member of the Central cabinet. There is a separate law minister in Central
cabinet to look after legal matters at government
● Qualification

o Qualified to be a Judge of SC - Citizen of India

o Should have been Judge of HC for 5 years (or) Advocate of HC for 10
years (or) Eminent Jurist in eyes of President
o Not a member of either house of parliament
● Duties

o Give advice to government on legal matters referred to by President

● President assigned following duties

o Appear on behalf of government in SC

o Represent GOI in any reference made by president to SC under 143
● Rights and Limitations

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o Right of audience in all courts of India

o Right to take part in proceedings of parliament - Not vote (Enjoys all privileges
and immunities available to members of parliament)
o Limitations
▪ Not advise against GOI

▪ Need permission to defend 3rd party

▪ Employment outside - Need permission of GOI

o Not a full-time counsel - Not debarred from private legal practice

Other law officers

● Solicitor general of India and Assistant SG - They assist AG

Laxmikanth 53 - Advocate General of State

● Article 165 - Highest law officer of state
● Appointed by governor - Should be qualified to be a Judge of HC
● Term - Not fixed; Office - Pleasure of governor
● Performs same function of AG to state govt

Laxmikanth 54 - NITI Aayog

Created by an executive resolution (Neither constitutional nor statutory) - Premier think tank of
government, provides directional and policy inputs

Planning commission - Top down approach - Centre to state one way flow of policy; In the spirit
of federalism, NITI’s own policy thinking too is shaped by a ‘bottom-up’ approach rather than a
‘top down’ model.

Rationale

1. An empowered role of States as equal partners in national development; operationalising

principle of Cooperative Federalism.
2. A knowledge hub of internal as well as external resources; serving as a repository of
good governance best practices, and a Think Tank offering domain knowledge as well as
strategic expertise to all levels of government.
3. A collaborative platform facilitating implementation; by monitoring progress, plugging
gaps and bringing together the various ministries at the Centre and in States, in the joint
pursuit of developmental goals

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Composition

● Chairperson - PM
● Governing Council - CM of all states and UT; Lt. gov of UTs
● Regional Councils - Address specific issues concerning a region - Formed for specific
tenure - Chaired by chairperson or his nominee
● Special Invites - Experts, specialists and practitioners with relevant domain knowledge
as special invitees nominated by PM
● Full-time Organisational Framework: It comprises, in addition to Prime Minister as
Chairperson:
○ Vice-Chairperson: Appointed by Prime Minister - Rank of Cabinet Minister
○ Members: Full-time - Rank of Minister of State
○ Part-time Members: Maximum of 2, from leading universities, research
organisations and other relevant institutions in an ex-officio capacity. Part-time
members would be on a rotation.
○ Ex-Officio Members: Maximum of 4 members of Union Council of Ministers to be
nominated by Prime Minister.
○ Chief Executive Officer: He is appointed by Prime Minister for a fixed tenure, in
rank of Secretary to Government of India.
○ Secretariat: As deemed necessary.

NITI aayog houses a number of specialized wings - Research wing, Consultancy wing and Team
India wing. NITI Aayog functions in close cooperation, consultation and coordination with
Ministries of Central Government, and State Governments

Objectives

1. Shared vision of national development priorities, sectors and strategies - Active

involvement of states in line with national objectives
2. Foster cooperative federalism - Structured support initiatives
3. Formulate credible village plans and aggregate to higher levels
4. To ensure interests of national security incorporated in economic strategy and policy
5. Special attention to section not receiving adequate economic progress
6. Design long term and strategic program initiatives with feedback mechanism
7. Provide and encourage partnership between key stakeholders - Knowledge, innovation
and entrepreneurial support system through collaboration
8. Offer platform for resolution - Intersectoral and interdepartmental issues - Accelerate
implementation of agenda
9. Maintain state of art resource centre - Repository of knowledge on good governance and
sustainable development
10. Technology upgrade and capacity building for implementation

Need to accomplish

1. Paradigm shift in administration - Government is an enabler than provider of last resort -

Engage economically vibrant middle class indians
2. Progress from food security to focus on agricultural production
3. Active participation of India in international arena - Leverage strength of NRI

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4. Leverage India’s pool of entrepreneurial, scientific and intellectual human capital

5. Urbanization - Secure and sustainable habitat through modern technology
6. Effective use of technology - Transparent governance

Helps to tackle following complex challenges

1. Leverage India’s demographic dividend

2. Elimination of poverty
3. Redressal of inequalities - Gender, Economic and Caste
4. Integrated Development in Villages - Financial Inclusion
5. Entrepreneurial support system - Employment generation
6. Sustainable development - Safeguard environment and ecology

Guiding Principles

1. Antyodaya - Prioritize and uplift marginalized and downtrodden

2. Inclusion - Eliminate inequality
3. Integrate villages into development
4. Leverage demographic dividend
5. Increase people’s participation - good governance
6. Transparent and accountable governance
7. Sustainability

7 Pillars of Effective Governance - NITI Aayog

1. Pro-people agenda
2. Proactive in responding to citizens need
3. Participative governance
4. Empower women
5. Inclusion of SC, ST and OBC
6. Equal opportunity for youth
7. Transparency through use of technology

Criticism

1. Corporate might play a major role

2. Mere change of name and nomenclature

NITI Aayog Subordinate Office - National Institute of Labour Economics Research and
Development

Laxmikanth 55 - National Human Rights

Commission
● Statutory and not Constitutional - Protection of Human Rights Act

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● Watchdog of Human rights - Rights relating to life, liberty, equality and dignity of
individual
● Objectives
o Address Human Rights Issues - Strengthen institutional arrangement
o Look into allegation of excesses - Independently of government
● Composition
o Chairman & 4 members - Not eligible for further employment under centre or
state
o Chairman - Retired Chief Justice of India - 5 years of Office or 70 years of age
o Members - Serving of Retired Judges of SC; Serving or Retired Chief Justice of
HC; 2 people with practical knowledge with respect to Human rights
o Ex-Officio members - Chairman of National Commission for Minorities; SCs; STs
and Women
o Appointed by President on Recommendation of 6-member committee - PM
(Head); Speaker of LS; Chairman of RS; Leaders of Opposition in both houses of
parliament and Central Home Minister - Further, a sitting Judge of SC or sitting
Chief Justice of court can be appointed only after consultation with CJI
o Chairman can be removed by president - President to refer to SC
o Service conditions fixed - Aimed at securing Autonomy, Independence and
Impartiality
● Functions of Commission
o To inquire into violation of Human rights - Either Suo-Motu or petition
o To intervene in any proceeding involving allegation of violation of human rights
pending before a court
o Review constitutional safeguards for protection of HR - Recommend measures
for effective implementation
o Study treaties and International instruments on HR
o Undertake and promote research in field of HR - Spread HR literacy and promote
awareness about safe-guards available
● Working of Commission
o Power to regulate its own procedure - Own nucleus of investigation staff to
investigate into complaints of HR violation
o It has all powers of a civil court and Proceedings have judicial character -
Empowered to utilize service of center or state
o Not empowered to enquire into matter after expiry of 1 year
o Commission can
▪ Recommend concerned authority to pay monetary compensation and
initiate action
▪ Grant interim relief to victim

▪ Can approach SC or HC for necessary orders or writs

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● Role of Commission
o Recommendatory - Not Binding; But it should be informed about action taken on
Recommendation within 1 month
o Limited role - Power and Jurisdiction with respect to violation of HR by members
of armed forces - Seek a report from Central Government
o Submission of annual report to Central government - Laid before both
legislatures
● Human Rights Act, 2006
o Strengthened investigative machinery - Empowered to recommend award of
compensation during inquiry
o Strengthening procedure for recording of evidence of witnesses
o Clarifying chairpersons of NHRC and SHRC are distinct from members of
commission
o Transfer of complaints to SHRC by NHRC
o Chairperson of National Commission for SC and Chairperson of National
Commission for ST - Shall be deemed to be members of NHRC

Functions of commission are mainly recommendatory in nature - No power to punish the

violators of human rights nor to award any relief including monetary relief to victim. Notably, its
recommendations are not binding on concerned government or authority. But, it should be
informed about action taken on its recommendations within one month

Laxmikanth 56 - State Human Rights Commission

● Protection of Human Rights Act, 1993 - provided for establishment of NHRC and SHRC
● SHRC inquiries into violation of HR only in respect of subjects mentioned in State list and
Concurrent list 
● Composition
o Chairperson (Retired CJ of HC) + 2 Members (Serving or Retired Judge with a HC
or District Judge & Person having experience with respect to HR)
o Appointed by governor , but removed by President (On same grounds of NHRC) -
On recommendation of committee consisting of CM, Speaker of Legislative
Assembly and Chairman of Council, State HM, Leader of Opposition
o A sitting judge of HC or District can be appointed after consultation with Chief
Justice of HC of concerned state
o 5 years or 70 years of age - Not eligible for further employment - Service
Conditions fixed
● Functions and Working - Same as NHRC
o Recommendatory - No Power to punish nor to award monetary relief
● Human Rights Court - Establishment of Court in every district for speedy trial of violation
of HR - Set up state government only with concurrence of CJ of HC

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Laxmikanth 57 - Central Information Commission

● Established under provision of Right to Information Act - Not Constitutional - Ministry of
Personnel
● High powered Independent body - Eminent people in different public spheres - Hears
complaints and decides appeals
● Not a member of Parliament, State Legislature or UT

Composition
o Chief Information Commissioner and not more than 10 Information
Commissioners
o Appointed by President - On Recommendation of Committee (PM, Leader of
Opposition in LS and Union Cabinet Minister nominated by PM)
● Tenure and Service Conditions
o 5 years or 65 years of age - No reappointment
o Can be removed by President by referring to SC
o Fixed service conditions - Similar to Chief Election Commissioner
● Powers and Functions
o Duty of commission to receive and inquire into complaint regarding obtaining
related information
o While Inquiry - Powers of a civil court (summon and enforce attendance)
o Access to all public records
o Submits an annual report - Laid before parliament
o Power to secure compliance of its decisions from public authority regarding
▪ Appointment of public information officer

▪ Publishing, Management, Maintenance and Destruction of Records

▪ Enhancing training provision - Right to Information

▪ Seek an annual report from authority - Implementation of Act

▪ Compensate for any loss to applicant and impose penalties

▪ Reject Application

Laxmikanth 58 - State Information Commission

● Right to Information Act, 2005
● Composition - Appointed by governor on recommendation of a committee (CM as
chairperson, Leader of Opposition of Legislative Assembly and State Cabinet appointed
by CM)
● Same as National Information Commission

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Laxmikanth 59 - Central Vigilance Commission

● Agency to prevent corruption in Central Government - Statutory
● Established by Executive Resolution of Central Government - Santhanam Committee
● Apex Vigilance Institution - Free from control of Executive authority
● Power to regulate its own procedure - Powers of Civil Court - Proceedings have Judicial
Character
● Annual Report to be submitted to President - Laid before both houses
● All ministries of Union Govt has Chief Vigilance Officer - Link between Ministry and CVC,
CBI
● Composition
o 3 (Chairman + 2) - Appointed by President by warrant under his hand and seal on
recommendation of Committee (PM, Home Minister and Leader of Opposition)
o Office - 4 years or 65 years of Age - No Further employment
o Removal - President to refer to SC, if SC upholds, President can remove him
o Service Conditions - Similar to UPSC members
● Organization
o Secretariat, Chief technical examiner's wing (CTE - Technical wing of CVC) &
Wing of Commissioners for Departmental Inquiries (CDIs)
Functions
● Inquire into cases referred by Central Govt - Under Prevention of Corruption Act, 1988
● Exercise superintendence over functions of Delhi Special Police Establishment and
 Vigilance authorities in ministries
● Undertake or cause an inquiry into complaints received under Public Interest Disclosure
and Protection of Informers Resolution 
● Central govt to consult CVC in making rules and regulations governing vigilance and
disciplinary matters
● Recommends appointment of Director of Delhi Special Police Establishment, Director of
Enforcement and Director of CBI

Whistle Blowers Act (2011)

● Need of Act - Establish a mechanism to receive complaints relating to disclosure on any

allegation of corruption or wilful misuse of power of discretion against any public
servant and to inquire or cause an inquiry into such disclosures and to provide adequate
safeguards against victimization of the persons making such complaint,
● Features
○ Mechanism to protect identity of whistleblower
○ encourage people to disclose information about corruption or wilful misuse of
power by public servants, including ministers.
○ As per Act, a person can make a public interest disclosure on corruption before a
competent authority – which is at present Central Vigilance Commission (CVC).
○ Information related to national security has been kept out of purview of Act

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○ Not applicable to - Jammu and Kashmir, armed forces and Special Protection
Group mandated to provide security to Prime Minister and former prime
ministers

Laxmikanth 60 - Central Bureau of Investigation

● Establishment recommended by Santhanam Committee on Prevention of Corruption
- Not a statutory body - Derives its power from Delhi Special Police Establishment Act
● Investigation Agency of Central Govt. - Assistance to CVC

Organization of CBI

● Anti-Corruption Division
● Economic Offences Division
● Special Crimes Division
● Policy and International Police Cooperation Division
● Administrative Division
● Directorate of Prosecution
● Central Forensic Science Laboratory

Composition of CBI

● CVC Act - Director of CBI provided with security of two year tenure
● Director of CBI - Appointed by Central Govt on recommendation of a committee ( PM,
Leader of Oppostion and CJI)

Functions of CBI

● Investigate - Corruption; Infringement of Fiscal & Economic Laws; Serious Crimes; 

● Coordinate activities of anti-corruption agencies and various state police forces
● Maintaining Crime Statistics and disseminating Criminal Information
● Act as "National Central Bureau" of Interpol in India

CBI vs. State Police

● Role of Special Police Establishment (Division of CBI) supplementary to that of State

Police Forces; To avoid duplication - Administrative arrangements are made
● CBI Academy at Ghaziabad and Regional centres @ Kolkata, Mumbai & Chennai

Laxmikanth 61 - Lokpal and Lokayuktas

● Modern democratic states - Government's bigger role in socio-economic development -
Resulted in expansion of bureaucracy - Might result in abuse of civil power

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SFG Day 2

● Success of democracy and realisation of socio-economic development depends on

extent to which citizens’ grievances are redressed
● Institutional devices in different parts of world - Redressal of these grievances
o The Ombudsman System -An ombudsman or public advocate is an official,
usually appointed by government or by parliament, but with a significant degree
of independence, who is charged with representing interests of public by
investigating and addressing complaints of maladministration or a violation of
rights
o The Administrative Courts System - An administrative court is a type
of court specializing in administrative law, particularly disputes concerning
exercise of public power. Their role is to ascertain that official acts are consistent
with law. Such courts are considered separate from general courts.
o The Procurator System - Officer of State - Investigation and Prosecution of Crime
● These institutions - "Bulwark of democratic government against  tyranny of officialdom" -
"Institutionalized Public Conscience"

Position in India - Existing legal and institutional framework to check corruption and redress
citizen's grievances consists of the following

o Public Servants (Enquiries) Act ; Indian Penal Code ; Special Police Establishment
- Delhi Police Establishment Act ; Prevention of Corruption Act ; Commissions of
Inquiry Act
o All India Services Rules - Central Civil Services Rules - Railway Services Rules
(CONDUCT)
o Vigilance organization in ministries/departments attached and subordinate offices
and public undertakings
o Central Bureau of Investigation ; Central Vigilance Commission ; State Vigilance
Commission ; Anti Corruption Bureaus in States ; Lokayukta in States ; Divisional
Vigilance Board ; District Vigilance Officer ; National Consumer Disputes Redressal
Commission
o National Commission for SCs - National Commission for STs ; Supreme Court and
High Court in States ; Administrative Tribunals (Quasi-Judicial Bodies) ; Directorate of
Public Grievances in the Cabinet Secretariat ; Parliament and its committees
o File to Field  - Kerela - (in this innovative scheme, administrator goes to village/area
and hears public grievances and takes immediate action wherever possible)

Lokpal

o ARC recommended setting up of "Lokpal" and "Lokayukta" for redressal of citizens

grievances
o Lokpal would deal with complaints against ministers and secretaries at Central and state
levels, and lokayukta (one at Centre and one in every state) would deal with complaints
against other specified higher officials

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SFG Day 2

o According to ARC, Lokpal would be appointed by president after consultation with CJI,
Speaker of LS and Chairman of RS
o ARC Recommendations
o Independent and Impartial Institutions
o Private investigation - Non Political Appointment
o Status - Comparable with highest judicial authorities in country
o No Judicial intervention - Maximum latitude to obtain relevant information
o Should not look forward to any benefit or pecuniary advantage from executive
government

Lokpal and Lokayuktas Act, 2013

● Establish institution of Lokpal at Centre and Lokayukta at State - Uniform vigilance and
anti-corruption road map for nation - Jurisdiction of Lokpal includes PM, Ministers,
Members of Parliament and Groups A, B, C and D officers and officials of the Central
Government
● Composition - Chairman (Selection based on a committee by PM, Speaker of LS, Leader
of Opposition in LS, CJI and Eminent Jurist) + Max 8 members (50% from Judicial
members); 50% shall come from SC, ST, OBC and Women
● Lokpal will have power of superintendence and direction over any investigating agency
● It incorporates provisions for attachment and confiscation of property of public servants
acquired by corrupt means, even while the prosecution is pending - It lays down clear
timelines - Enhanced maximum punishment
● Institutions which are financed fully or partly by Government are under jurisdiction of
Lokpal, but institutions aided by Government are excluded.
● Adequate protection for honest and upright public servants
● Entities receiving donations from foreign source - Foreign Contribution Regulation Act
(FCRA) in excess of Rs.10 lakhs per year are brought under jurisdiction of Lokpal

Drawbacks

1. Lokpal cannot suo motu proceed against any public servant.

2. Emphasis on form of complaint rather than substance.
3. Heavy punishment for false and frivolous complaints against public servants may deter
complaints being filed to Lokpal.
4. Anonymous complaints not allowed – Can’t just make a complaint on plain paper and
drop it in a box with supporting documents
5. Legal assistance to public servant against whom complaint is filed.
6. Limitation period of 7 years to file complaints.
7. Very non-transparent procedure for dealing with complaints against the PM

Lokayuktas

Even much before enactment of the Lokpal and Lokayuktas Act (2013) itself, many states had
already set up the institution of Lokayuktas

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● Structural Variation - No uniformity in Jurisdiction - According to states

● Appointment - By Governor (after consulting Chief Justice of HC, Leader of Opposition in
State Legislative Assembly)
● Qualifications - According to State ; Tenure - 5 years of 65 years of age ; Not eligible for
Reappointment
● Jurisdiction, Scope of cases covered and Investigation - No uniformity among states

Laxmikanth 62 - National Investigation Agency

Laxmikanth 63 - National Disaster Management

Authority

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