This note is a suggestion that the The right to fair compensation and transparency in land acquisition Bill, 2015 (hereinafter called "Land Compensation Bill") passed by the Lok Sabha should be declared a Money Bill with the approval of the President and the Speaker of Lok Sabha.
The suggestion is to end the ongoing confrontation between two wings of Parliament should END as soon as possible so as not to derail the process of Swarajyam won in May 2014.
This will eliminate the logjam and needless confrontation between Lok Sabha and Rajya Sabha which are supreme bodies to whom the people of India, that is Bharat, have given the powers to legislate and enforce the Rule of Law
Recently, after Swarajyam achieved in May 2014 which resulted in the installation of NaMo Government at the Centre with absolute majority, Rajya Sabha has been stalling the passing of the "Land Compensation Bill" to ratify the Ordinance which is titled: The right to fair compensation and transparency in land acquisition, rehabilitation and resettlement (Amendment) Ordinance, 2015 No. 4 of 2015 promulgated by the President in the Sixth-sixth Year of the Republic of India.(Ref. http://www.prsindia.org/uploads/media/Land%20and%20R%20and%20R/larr%202nd%20ordinance.pdf) The Ordinance seeks to amend the identically worded Act, 2013 which was promulgated on 31 December 2014.
It is clear that the "Land Compensation Bill" for which NaMo government seeks the approval of Parliament is a Money Bill.
That the related Ordinance is also in the nature of a Money Bill will be explained further in this note.
The enactment of this Ordinance into the statue books, through an Act is being stalled in the Rajya Sabha by parties opposed to the proposal which has received overwhelming approval by the majority of members of Lok Sabha.
The looming Lok Sabha - Rajya Sabha confrontation is related to the power of the purse.
This process of derailment of Lok Sabha approval of the Land Compensation Bill is sought to be done through exercise of what may be called "the power of the purse". This power of the purse is to manipulate and control the actions of executive, by withholding funding, or putting stipulations on the use of funds.
This power of the purse has been invoked by the members in Rajya Sabha opposed to the new NDA Government of NaMo whose party BJP has absolute majority in the Lok Sabha.
This constitutes mis-application of the power of the purse by disgruntled defeated forces of the erstwhile UPA governance which continues to have majority representation in Rajya Sabha.
The opposing groups in Rajya Sabha do not have direct executive power, but seek to exercise control over what is essentially a Money Bill and has the detrimental effect of stalling development which was the mandate on which NDA Government led by NaMo assumed power through Swarjyam 2014.
Money Bills. The definition of Money Bills is NOT restricted to only bills which provide for imposition or abolition of taxes. The term 'Money Bill' also extends to bills for appropriation of moneys out of the Consolidated Fund. Since land as a resource is a major monetary component of any project which involves expenditure out of the Consolidated Fund, any Bill which deals with the payment of 'FAIR COMPENSATION' for land acquisition should be treated as a Money Bill.
Money Bills can be introduced only in Lok Sabha. Rajya Sabha cannot make amendments in a Money Bill passed by Lok Sabha and transmitted to it. It can, however, recommend amendments in a Money Bill, but must return all Money Bills to Lok Sabha within fourteen days from the date of their receipt. It is open to Lok Sabha to accept or reject any or all of the recommendations of Rajya Sabha with regard to a Money Bill.
If Lok Sabha accepts any of the recommendations of Rajya Sabha, the Money Bill is deemed to have been passed by both Houses with amendments recommended by Rajya Sabha and accepted by Lok Sabha and if Lok Sabha does not accept any of the recommendations of Rajya Sabha, Money Bill is deemed to have been passed by both Houses in the form in which it was passed by Lok Sabha without any of the amendments recommended by Rajya Sabha.
If a Money Bill passed by Lok Sabha and transmitted to Rajya Sabha for its recommendations is not returned to Lok Sabha within the said period of fourteen days, it is deemed to have been passed by both Houses at the expiration of the said period in the form in which it was passed by Lok Sabha.
http://www.parliamentofindia.nic.in/ls/intro/p5.htm
The proposal made in this note is consistent with practices of the Westminster system, where a money bill or supply bill is a bill that concerns taxation and also government spending as opposed to changes in public law.
In the United Kingdom, section 1(1) of the Parliament Act 1911 Section 1(2) of the Act states:
The definition of "Money Bill" is given in the Article 110 of the Constitution of India. A financial bill is not a Money Bill unless it fulfills the requirements of the Article 110. The Speaker of the Lok Sabha certifies if a Finance bill is a Money Bill or not.
A money bill can only be introduced in parliament with prior permission by the president of India.
That the definition of Money Bill given in Article 110 of the Constitution of India is in line with Section 1(2) of the UK Act may be seen from the Article which reads as follows:
Article 110 in The Constitution Of India
110. Definition of Money Bill
(1) For the purposes of this Chapter, a Bill shall be deemed to be a Money Bill if it contains only provisions dealing with all or any of the following matters, namely
(a) the imposition, abolition, remission, alteration or regulation of any tax;
(b) the regulation of the borrowing of money or the giving of any guarantee by the Government of India, or the amendment of the law with respect to any financial obligations undertaken or to be undertaken by the Government of India;
(c) the custody of the consolidated Fund or the Contingency Fund of India, the payment of moneys into or the withdrawal of moneys from any such Fund;
(d) the appropriation of moneys out of the consolidated Fund of India;
(e) the declaring of any expenditure to be expenditure charged on the Consolidated Fund of India or the increasing of the amount of any such expenditure;
(f) the receipt of money on account of the Consolidated Fund of India or the public account of India or the custody or issue of such money or the audit of the accounts of the Union or of a State; or
(g) any matter incidental to any of the matters specified in sub clause (a) to (f)
(2) A Bill shall not be deemed to be a Money Bill by reason only that it provides for the imposition of fines or other pecuniary penalties, or for the demand or payment of fees for licences or fees for services rendered, or by reason that it provides for the imposition, abolition, remission, alteration or regulation of any tax by any local authority or body for local purposes
(3) If any question arises whether a Bill is a Money Bill or not, the decision of the Speaker of the House of the People thereon shall be final
(4) There shall be endorsed on every Money Bill when it is transmitted to the Council of States under Article 109, and when it is presented to the President for assent under Article 111, the certificate of the Speaker of the House of the People signed by him that it is a Money Bill.
S. Kalyanaraman
Sarasvati Research Centre
May 17, 2015
The suggestion is to end the ongoing confrontation between two wings of Parliament should END as soon as possible so as not to derail the process of Swarajyam won in May 2014.
This will eliminate the logjam and needless confrontation between Lok Sabha and Rajya Sabha which are supreme bodies to whom the people of India, that is Bharat, have given the powers to legislate and enforce the Rule of Law
Recently, after Swarajyam achieved in May 2014 which resulted in the installation of NaMo Government at the Centre with absolute majority, Rajya Sabha has been stalling the passing of the "Land Compensation Bill" to ratify the Ordinance which is titled: The right to fair compensation and transparency in land acquisition, rehabilitation and resettlement (Amendment) Ordinance, 2015 No. 4 of 2015 promulgated by the President in the Sixth-sixth Year of the Republic of India.(Ref. http://www.prsindia.org/uploads/media/Land%20and%20R%20and%20R/larr%202nd%20ordinance.pdf) The Ordinance seeks to amend the identically worded Act, 2013 which was promulgated on 31 December 2014.
It is clear that the "Land Compensation Bill" for which NaMo government seeks the approval of Parliament is a Money Bill.
That the related Ordinance is also in the nature of a Money Bill will be explained further in this note.
The enactment of this Ordinance into the statue books, through an Act is being stalled in the Rajya Sabha by parties opposed to the proposal which has received overwhelming approval by the majority of members of Lok Sabha.
The looming Lok Sabha - Rajya Sabha confrontation is related to the power of the purse.
This process of derailment of Lok Sabha approval of the Land Compensation Bill is sought to be done through exercise of what may be called "the power of the purse". This power of the purse is to manipulate and control the actions of executive, by withholding funding, or putting stipulations on the use of funds.
This power of the purse has been invoked by the members in Rajya Sabha opposed to the new NDA Government of NaMo whose party BJP has absolute majority in the Lok Sabha.
This constitutes mis-application of the power of the purse by disgruntled defeated forces of the erstwhile UPA governance which continues to have majority representation in Rajya Sabha.
The opposing groups in Rajya Sabha do not have direct executive power, but seek to exercise control over what is essentially a Money Bill and has the detrimental effect of stalling development which was the mandate on which NDA Government led by NaMo assumed power through Swarjyam 2014.
Money Bills. The definition of Money Bills is NOT restricted to only bills which provide for imposition or abolition of taxes. The term 'Money Bill' also extends to bills for appropriation of moneys out of the Consolidated Fund. Since land as a resource is a major monetary component of any project which involves expenditure out of the Consolidated Fund, any Bill which deals with the payment of 'FAIR COMPENSATION' for land acquisition should be treated as a Money Bill.
Money Bills can be introduced only in Lok Sabha. Rajya Sabha cannot make amendments in a Money Bill passed by Lok Sabha and transmitted to it. It can, however, recommend amendments in a Money Bill, but must return all Money Bills to Lok Sabha within fourteen days from the date of their receipt. It is open to Lok Sabha to accept or reject any or all of the recommendations of Rajya Sabha with regard to a Money Bill.
If Lok Sabha accepts any of the recommendations of Rajya Sabha, the Money Bill is deemed to have been passed by both Houses with amendments recommended by Rajya Sabha and accepted by Lok Sabha and if Lok Sabha does not accept any of the recommendations of Rajya Sabha, Money Bill is deemed to have been passed by both Houses in the form in which it was passed by Lok Sabha without any of the amendments recommended by Rajya Sabha.
If a Money Bill passed by Lok Sabha and transmitted to Rajya Sabha for its recommendations is not returned to Lok Sabha within the said period of fourteen days, it is deemed to have been passed by both Houses at the expiration of the said period in the form in which it was passed by Lok Sabha.
http://www.parliamentofindia.nic.in/ls/intro/p5.htm
The proposal made in this note is consistent with practices of the Westminster system, where a money bill or supply bill is a bill that concerns taxation and also government spending as opposed to changes in public law.
In the United Kingdom, section 1(1) of the Parliament Act 1911 Section 1(2) of the Act states:
A Money Bill means a Public Bill which in the opinion of the Speaker of the House of Commons contains only provisions dealing with all or any of the following subjects, namely, the imposition, repeal, remission, alteration, or regulation of taxation; the imposition for the payment of debt or other financial purposes of charges on the Consolidated Fund, the National Loans Fund or on money provided by Parliament, or the variation or repeal of any such charges; supply; the appropriation, receipt, custody, issue or audit of accounts of public money; the raising or guarantee of any loan or the repayment thereof; or subordinate matters incidental to those subjects or any of them. In this subsection the expressions "taxation,""public money," and "loan" respectively do not include any taxation, money, or loan raised by local authorities or bodies for local purposes.
The definition of "Money Bill" is given in the Article 110 of the Constitution of India. A financial bill is not a Money Bill unless it fulfills the requirements of the Article 110. The Speaker of the Lok Sabha certifies if a Finance bill is a Money Bill or not.
A money bill can only be introduced in parliament with prior permission by the president of India.
That the definition of Money Bill given in Article 110 of the Constitution of India is in line with Section 1(2) of the UK Act may be seen from the Article which reads as follows:
Article 110 in The Constitution Of India
110. Definition of Money Bill
(1) For the purposes of this Chapter, a Bill shall be deemed to be a Money Bill if it contains only provisions dealing with all or any of the following matters, namely
(a) the imposition, abolition, remission, alteration or regulation of any tax;
(b) the regulation of the borrowing of money or the giving of any guarantee by the Government of India, or the amendment of the law with respect to any financial obligations undertaken or to be undertaken by the Government of India;
(c) the custody of the consolidated Fund or the Contingency Fund of India, the payment of moneys into or the withdrawal of moneys from any such Fund;
(d) the appropriation of moneys out of the consolidated Fund of India;
(e) the declaring of any expenditure to be expenditure charged on the Consolidated Fund of India or the increasing of the amount of any such expenditure;
(f) the receipt of money on account of the Consolidated Fund of India or the public account of India or the custody or issue of such money or the audit of the accounts of the Union or of a State; or
(g) any matter incidental to any of the matters specified in sub clause (a) to (f)
(2) A Bill shall not be deemed to be a Money Bill by reason only that it provides for the imposition of fines or other pecuniary penalties, or for the demand or payment of fees for licences or fees for services rendered, or by reason that it provides for the imposition, abolition, remission, alteration or regulation of any tax by any local authority or body for local purposes
(3) If any question arises whether a Bill is a Money Bill or not, the decision of the Speaker of the House of the People thereon shall be final
(4) There shall be endorsed on every Money Bill when it is transmitted to the Council of States under Article 109, and when it is presented to the President for assent under Article 111, the certificate of the Speaker of the House of the People signed by him that it is a Money Bill.
S. Kalyanaraman
Sarasvati Research Centre
May 17, 2015