POLITICAL AND LEGAL

ENVIRONMENT
–
BUSINESS & CONSTITUTION
Prof. Dhaval Bhatt
 Introduction
■ A constitution is an aggregate of fundamental principles or established precedents that constitute the legal
basis of a polity, organisation or other type of entity, and commonly determine how that entity is to be
governed.
■ Constitution of India states that: India is a Sovereign Socialist Secular Democratic Republic with a
parliamentary system of government. The Republic is governed in terms of the Constitution of India which
was adopted by the Constituent Assembly on 26th November, 1949 and came into force on 26th January,
1950. The Constitution provides for a Parliamentary form of government which is federal in structure with
certain unitary features.
■ The constitutional head of the Executive of the Union is the President. As per Article 79 of the Constitution of
India, the council of the Parliament of the Union consists of the President and two Houses known as the
Council of States (Rajya Sabha) and the House of the People (Lok Sabha). Article 74(1) of the Constitution
provides that there shall be a Council of Ministers with the Prime Minister as its head to aid and advise the
President, who shall exercise his/her functions in accordance to the advice. The real executive power is thus
vested in the Council of Ministers with the Prime Minister as its head.
■ The main objective of any economic legislation is to:
– Support economic policies of the government
– Control and regulate economic activities
– Protect consumer interest and rights
– Restrict negative aspect of development i.e. protecting environment.
 PREAMBLE - INDIA
“WE, THE PEOPLE OF INDIA, having solemnly resolved to constitute India into a SOVEREIGN
SOCIALIST SECULAR DEMOCRATIC REPUBLIC and to secure to all its citizens:
– JUSTICE, social, economic and political;
– LIBERTY of thought, expression, belief, faith and worship;
– EQUALITY of status and of opportunity;
– and to promote among them all
– FRATERNITY assuring the dignity of the individual and the unity and integrity of the Nation;
IN OUR CONSTITUENT ASSEMBLY this twenty-sixth day of November, 1949, do HEREBY ADOPT,
ENACT AND GIVE TO OURSELVES THIS CONSTITUTION.”
Components of Preamble
1. It is indicated by the Preamble that the source of authority of the Constitution lies with the people of
India.
2. Preamble declares India to be a sovereign, socialist, secular and democratic republic.
3. The objectives stated by the Preamble are to secure justice, liberty, equality to all citizens and promote
fraternity to maintain unity and integrity of the nation.
4. The date is mentioned in the preamble when it was adopted i.e. November 26, 1949.
 FUNDAMENTAL RIGHTS
■ Right to Equality (Article 14 & 15)
– Right to Equality ensures equal rights for all the citizens. The Right to Equality prohibits
inequality on the basis of caste, religion, place of birth, race, or gender. It also ensures
equality of opportunity in matters of public employment and prevents the State from
discriminating against anyone in matters of employment on the grounds only of religion,
race, caste, sex, descent, place of birth, place of residence or any of them.
■ Right to Freedom (Article 19)
– Right to freedom provides us with various rights. These rights are freedom of speech,
freedom of expression, freedom of assembly without arms, freedom of movement
throughout the territory of our country, freedom of association, freedom to practice any
profession, freedom to reside in any part of the country. However, these rights have their
own restrictions.
■ Right against Exploitation (Article 24)
– Right against Exploitation condemns human trafficking, child labor, forced labor making
it an offense punishable by law, and also prohibit any act of compelling a person to work
without wages where he was legally entitled not to work or to receive remuneration for
it. Unless it is for the public purpose, like community services or NGO work.
 FUNDAMENTAL RIGHTS
■ Right to Freedom of Religion (Article 25 to 28)
– Right to Freedom of Religion guarantees religious freedom and ensures secular states in
India. The Constitutions says that the States should treat all religions equally and
impartially and that no state has an official religion. It also guarantees all people the
freedom of conscience and the right to preach, practice and propagate any religion of
their choice. 
■ Cultural and Educational Rights (Article 19 & 30)
– Cultural and Educational Rights protects the rights of cultural, religious and linguistic
minorities by enabling them to conserve their heritage and protecting them against
discrimination. Educational rights ensure education for everyone irrespective of their
caste, gender, religion, etc. 
■ Right to Constitutional Remedies (Article 32)
– Right to Constitutional Remedies ensures citizens to go to the supreme court of India to
ask for enforcement or protection against violation of their fundamental rights. The
Supreme Court has the jurisdiction to enforce the Fundamental Rights even against
private bodies, and in case of any violation, award compensation as well to the affected
individual.
POLITICAL INSTITUTIONS IN INDIA
■ India is a Union of Sates. It has adopted Federal structure of Government.

Government

Legislative Executive Judicial

Organ Organ Organ