14th February 2025-Current Affairs

1. Immigration and Foreigners Bill, 2025 – Polity

Why in News?

The Union Home Minister, Amit Shah, is expected to introduce the Immigration and Foreigners Bill, 2025 during the current Budget Session of Parliament. The bill aims to replace outdated immigration laws and establish a modern framework for managing the entry, stay, and exit of foreigners in India.

Legislative Context: Replacing Pre-Constitution Era Laws

The bill proposes to repeal the following four laws, which were enacted during extraordinary historical contexts like World War I and II:

1. Passport (Entry into India) Act, 1920 – Controlled entry during British rule.
2. Registration of Foreigners Act, 1939 – Mandated foreigner registration during wartime.
3. Foreigners Act, 1946 – Defined foreigners’ status and powers of the government.
4. Immigration (Carriers’ Liability) Act, 2000 – Penalized carriers for transporting unauthorized individuals.

Significance:

• These laws were outdated and did not address modern immigration challenges like international student mobility, medical tourism, and technological advancements in air travel.

Key Provisions of the Bill

1. Registration Obligations

• Educational Institutions: Must report the admission of foreign students to the registration officer.
• Purpose: Track student immigration more efficiently amid rising international enrollments in Indian universities.

2. Healthcare Responsibilities

• Hospitals and Medical Institutions: Required to notify authorities about foreign patients receiving indoor treatment and their attendants.
• Relevance: India’s growing reputation as a medical tourism hub necessitates better tracking mechanisms.

3. Residential Reporting

• Property owners or managers must inform authorities if foreigners stay in their facilities.
• This applies to hotels, homestays, and rented accommodations to enhance surveillance and security.

4. Carriers’ Duties

• Airlines and Shipping Companies must:
  • Provide advance passenger and crew data to immigration authorities.
  • Remove passengers denied entry by immigration officials.

Why It Matters:

• Helps prevent illegal entry and ensures real-time tracking of inbound foreign nationals.

5. Penalties and Compliance

• Carriers violating regulations could face fines up to ₹5 lakh.
• Non-compliance with reporting obligations by educational institutions, hospitals, or property owners will also attract penalties.

Significance and Implications

🔹 Modernizing Immigration Framework:
Replaces outdated laws with a comprehensive and technology-driven system.

🔹 Enhanced National Security:
Better tracking of foreign nationals aids in preventing illegal immigration and potential security threats.

🔹 Streamlined Administrative Process:
Simplifies immigration procedures for international students, medical tourists, and expatriates.

🔹 Support for Medical Tourism and Education:
India’s growing medical tourism sector and rising number of foreign students will benefit from improved monitoring and regulation.

🔹 International Compliance:
Aligns India’s immigration framework with global best practices in border management and traveler documentation.

Potential Exam Relevance

• Polity & Governance: Immigration policies and administrative reforms.
• Security Issues: Internal security implications of foreigner registration.
• Economy & Development: Impact on education and medical tourism sectors.
• International Relations: Implications on bilateral agreements and visa policies.

Possible Questions:

1. Explain the significance of the Immigration and Foreigners Bill, 2025 in the context of national security.
2. Discuss how the bill aligns with India’s growing role as a global education and medical tourism hub.
3. What are the key changes introduced by the bill compared to the Foreigners Act, 1946?

2. Public Accounts Committee (PAC) – Polity

Why in News?

The Public Accounts Committee (PAC) has recently urged the government to reassess regulations on toll taxes for National Highways. This development underscores the PAC’s crucial role in ensuring transparency and accountability in the government’s financial activities, particularly regarding the utilization of public funds.

Understanding the PAC

Purpose and Mandate

The PAC is a parliamentary committee responsible for auditing government revenue and expenditure. It ensures that:

• Public funds are utilized according to Parliament’s decisions.
• Government spending aligns with financial propriety.
• Audit reports by the Comptroller and Auditor General (C&AG) are thoroughly reviewed and debated in Parliament.

Key Focus:

• Preventing misuse of funds.
• Ensuring efficient resource allocation.
• Promoting transparency in public finances.

Historical Background

• Established: 1921 (during British rule).
• Initially, the Finance Member of the Viceroy’s Council chaired the committee.
• After 1950, the committee became a Parliamentary Committee under the control of the Speaker of the Lok Sabha.

Significance:

• One of the oldest financial watchdogs in India’s parliamentary system.
• Plays a pivotal role in India’s post-independence financial governance.

Composition and Membership

• Total Members:22 members
  • 15 from Lok Sabha (Lower House)
  • 7 from Rajya Sabha (Upper House)
• Election Method:
  • Members are elected annually via proportional representation with a single transferable vote.
  • This ensures party-wise representation based on strength in Parliament.
• Chairperson:
  • Always a Member of Parliament (MP) from the Opposition—this fosters unbiased financial scrutiny.

Exam Relevance:
Understanding the election process, composition, and impartiality of PAC is essential for polity-related questions.

Key Functions of the PAC

1. Examining C&AG Reports:
   • Scrutinizes reports presented in Parliament by the C&AG.
   • Ensures public funds are used efficiently.
2. Appropriation of Funds:
   • Verifies if money allocated by Parliament under the Appropriation Act is utilized correctly.
3. Evaluation of Financial Irregularities:
   • Investigates cases of wastage, corruption, or financial mismanagement.
4. Reviewing Annual Finance Accounts:
   • Analyzes government’s expenditure and revenue records.
5. Policy and Infrastructure Oversight:
   • Recommends reforms like revisiting toll tax regulations to ensure fair and transparent revenue collection.

Recent Example:

• PAC’s suggestion to review highway toll policies aligns with its duty to protect public interest by curbing potential revenue leakages.

PAC vs Other Parliamentary Committees

Why It Matters:
Understanding the difference between PAC and other committees is crucial for comparative analysis in HAS polity questions.

Significance and Impact

• Financial Accountability: Monitors whether taxpayer money is spent as authorized.
• Parliamentary Oversight: Acts as Parliament’s watchdog over government finances.
• Prevents Mismanagement: Detects irregularities and wasteful expenditures.
• Policy Recommendations: Offers recommendations for policy reform, like the recent toll tax review.

Practical Example:

• PAC investigations have revealed irregularities in defense spending and prompted reforms in PSU operations.

Potential Exam Relevance

1. Explain the composition and functions of the Public Accounts Committee (PAC). How does it contribute to financial accountability in India?
2. Discuss the significance of the PAC’s recent recommendation to review toll tax regulations on National Highways.
3. Differentiate between the Public Accounts Committee, Estimates Committee, and Public Undertakings Committee.

3. Doctrine of Pith and Substance – Polity

Why in News?

The Supreme Court of India recently ruled that the Centre cannot impose a service tax on lottery distributors, reaffirming that lotteries are a form of gambling, not a service. Consequently, the power to tax lotteries lies exclusively with state legislatures under Entry 62 of List II (State List).

The ruling upheld a 2012 Sikkim High Court decision, emphasizing that the buyer-seller relationship between lottery distributors and states falls outside the scope of service taxation.

What is the Doctrine of Pith and Substance?

The Doctrine of Pith and Substance is a constitutional principle used to determine whether a particular law falls within the legislative competence of the Centre or the States.

Key Idea:

When there is a legislative overlap, the dominant purpose (pith) and the true nature (substance) of the law are analyzed to identify which legislative body has the authority to enact it.

In Simple Terms:

• “Pith” = Essence or core of the law.
• “Substance” = The law’s actual purpose or objective.

Constitutional Framework: Centre-State Relations

• Article 246 of the Indian Constitution divides powers into three lists:
  • List I (Union List) – Central Government’s exclusive domain.
  • List II (State List) – State Governments’ exclusive domain.
  • List III (Concurrent List) – Both Centre and States can legislate, but Central law prevails if there’s a conflict.

Relevance Here:
The Supreme Court’s decision applies Entry 62 of List II, which grants states exclusive authority to tax:

• Betting and gambling
• Lotteries

Thus, the Centre cannot impose service tax on lottery distribution.

Key Supreme Court Judgments Applying the Doctrine

1. State of Bombay v. F.N. Balsara (1951)

• Issue: Whether a state law prohibiting alcohol sales infringed upon the Centre’s powers.
• Ruling: The pith and substance of the law was prohibition, not regulation of trade.
• Significance: Minor overlaps with Centre’s power were considered permissible.

2. Prafulla Kumar Mukherjee v. Bank of Commerce (1947)

• Issue: Legislative overlap between Provincial and Federal powers during British rule.
• Ruling: A minor overlap into another list is allowed if the primary purpose of the law aligns with the enacting authority’s jurisdiction.
• Significance: Established the flexibility of the doctrine when interpreting legislative lists.

3. K.C. Gajapati Narayan Deo v. State of Orissa (1954)

• Issue: Validity of a state law imposing taxes on estates.
• Ruling: The dominant objective was economic reform, so the law was valid even with incidental overlap.
• Significance: Reinforced that incidental encroachments are acceptable if the core objective aligns with state powers.

Application in the Current Case

• The Centre’s attempt to impose service tax on lottery distributors was analyzed.
• Lotteries were classified as gambling activities, not services.
• The pith and substance of the transaction: Gambling (State List).
• Conclusion:
  • States have exclusive taxing power under Entry 62, List II.
  • The Centre’s action was deemed unconstitutional.

Significance and Implications

1. Clarity in Taxation Powers:
   • Reinforces the constitutional division of taxation powers.
   • Protects state revenue streams from central encroachment.
2. Preserves Federal Balance:
   • Ensures cooperative federalism by upholding state autonomy.
3. Impacts Revenue Collection:
   • Lotteries contribute significant state revenue (e.g., Sikkim and Kerala).
   • The ruling prevents revenue losses due to central taxation.
4. Guides Future Tax Reforms:
   • Clarifies how GST laws or service taxes should be interpreted when dealing with state-specific activities.

Previous Year Question (PYQ – HAS) – 2016

Question:
The Parliament of India acquires the power to legislate on any item in the State List in the national interest if a resolution to that effect is passed by the:

(a) Lok Sabha by a simple majority of its total membership
(b) Lok Sabha by a majority of not less than two-thirds of its total membership
(c) Rajya Sabha by a simple majority of its total membership
(d) Rajya Sabha by a majority of not less than two-thirds of its members present and voting ✅

Explanation:

• As per Article 249, if the Rajya Sabha passes a resolution with a two-thirds majority of members present and voting, Parliament can legislate on State List subjects in the national interest.

Potential Exam Relevance

1. Explain the Doctrine of Pith and Substance with the help of relevant case laws.
2. Discuss the constitutional significance of the Supreme Court’s ruling on service tax for lottery distributors.
3. How does the Doctrine of Pith and Substance help maintain the federal structure of India?

4. Nuclear Energy — Dangerous Concessions on Liability – Science and Technology

Why in News?

The Union Budget recently proposed amendments to the Civil Liability for Nuclear Damage (CLND) Act, 2010, sparking concerns about nuclear safety and public accountability. These amendments aim to:

• Align India’s nuclear liability framework with international standards.
• Attract foreign investments in India’s nuclear energy sector.

However, critics argue that these changes could:

• Compromise public safety.
• Shift accountability away from suppliers to operators.

Nuclear Energy in India: A Quick Overview

Significance of Nuclear Energy:

• Clean, low-carbon energy source crucial for India’s energy transition.
• Supports energy security amid growing demand and climate commitments.

Key Institutions:

• Nuclear Power Corporation of India Limited (NPCIL) – Operates nuclear plants.
• Atomic Energy Regulatory Board (AERB) – Regulates safety standards.
• Department of Atomic Energy (DAE) – Oversees policy formulation and implementation.

Legal Framework Governing Nuclear Energy

1. Atomic Energy Act, 1962 🇮🇳

• Governs the development and utilization of nuclear energy for peaceful purposes.
• Grants the Union Government exclusive authority over:
  • Nuclear materials
  • Power project establishment
  • Nuclear safety and regulation

Significance:
Ensures national security and public safety while promoting nuclear power development.

2. Civil Liability for Nuclear Damage (CLND) Act, 2010 ⚖️

Objective:

• Establishes a financial liability framework in case of a nuclear accident.
• Ensures compensation for victims while maintaining accountability.

Key Provisions:

1. Operator Liability:

• Primary liability rests with the operator (e.g., NPCIL).
• Suppliers have limited responsibility compared to global practices.

2. Right of Recourse (Section 17 of CLND Act):

• Allows operators to seek compensation from suppliers if:
  • Defective equipment or services cause an accident.
  • Supplier accountability remains a unique Indian provision.

Global Context:
Most countries, like the U.S. and France, indemnify suppliers entirely, placing full responsibility on operators.

3. Liability Cap:

• Operator’s liability capped at ₹1,500 crore (~$180 million).
• If damages exceed this amount:
  • The Indian Government covers the shortfall.

Concerns:

• ₹1,500 crore is insufficient compared to potential catastrophic losses.
• Fukushima disaster (Japan, 2011) resulted in damages exceeding $200 billion.

4. Exclusion from Global Liability Regimes:

• India has not signed the Convention on Supplementary Compensation (CSC).
• Maintains domestic control over compensation mechanisms.

Significance:

• Foreign suppliers demand legal predictability, which India’s supplier liability clause hinders.

Safety Concerns and Risks

1. Supplier Accountability Dilution:
   • Amendments might reduce supplier liability, risking lower equipment standards.
2. Public Safety Risks:
   • Accidents like Chernobyl (1986) & Fukushima (2011) illustrate the long-term societal, health, and environmental impacts.
3. Inadequate Liability Cap:
   • ₹1,500 crore cap is minuscule for potential catastrophic damage.
   • Increases the financial burden on taxpayers.
4. Foreign Investment vs Public Interest:
   • While investment-friendly changes may attract foreign partners (e.g., from the U.S., France, and Russia), public safety concerns persist.

Global Comparison: Nuclear Liability Frameworks

Conclusion:
India’s framework prioritizes domestic control and accountability, but it also deters foreign suppliers due to the right of recourse.

Exam Relevance: Key Concepts & Themes

• Energy Security & Policy Reforms
• Federalism & Regulatory Frameworks
• Global Standards vs Domestic Policies
• Disaster Management & Public Safety

Potential Exam Questions

1. Explain the significance of the Civil Liability for Nuclear Damage (CLND) Act, 2010. How does it differ from international nuclear liability standards?
2. Discuss the proposed amendments to the CLND Act in the context of India’s energy security and public safety.
3. Evaluate the role of the Atomic Energy Act, 1962, in regulating nuclear power in India.

5. Should Convicted Persons Be Allowed to Contest Elections? – Polity

Why in News?

The Supreme Court of India is currently reviewing petitions advocating for a lifetime ban on individuals convicted of criminal offenses from contesting elections.

• The petitions, led by Ashwin Upadhyay, argue that criminalization of politics threatens the integrity of Indian democracy.
• The case raises a fundamental question: Should democratic rights override ethical standards in politics?

Legal Framework: Representation of the People Act (RPA), 1951

The RPA, 1951 provides the rules for candidate eligibility in elections:

Key Provisions

1. Section 8(1) & 8(2):
   • Immediate disqualification for convictions related to serious offenses like terrorism, corruption, or electoral malpractices.
2. Section 8(3):
   • Disqualifies individuals sentenced to imprisonment of two years or more.
   • Disqualification lasts for 6 years after their release.

Landmark Supreme Court Judgments

1. Lily Thomas v. Union of India (2013) ⚖️

• Verdict: Immediate disqualification of convicted legislators.
• Impact:
  • Overturned Section 8(4), which had allowed sitting MPs/MLAs to continue until their appeal was resolved.

2. Public Interest Foundation v. Union of India (2018) ⚖️

• Verdict: Directed candidates to disclose criminal records.
• Significance:
  • Stressed the need for Parliament to act on the criminalization of politics.
  • Court stopped short of imposing lifetime bans and left it to legislators.

Election Commission’s Recommendations

• Suggested barring candidates with serious criminal charges from contesting elections.
• Advocated for mandatory public disclosure of pending criminal cases.

Challenge:

• The lack of legislative action despite multiple recommendations.

Arguments in Favour of Allowing Convicted Persons to Contest Elections

1. Presumption of Innocence:

• Fundamental principle: “Innocent until proven guilty.”
• Conviction appeals can take years; disqualification might be premature.

2. Political Vendetta:

• Misuse of legal processes for political gains is a concern.
• Frivolous cases can be filed to prevent popular candidates from contesting.

3. Right to Representation:

• Restricting candidacy may limit voter choice.
• In some regions, popular leaders with past convictions enjoy mass public support.

4. Judicial Delays:

• Slow court processes can unfairly penalize candidates awaiting acquittal.
• Fast-track courts for political cases are essential to address delays.

Example:

• Many political leaders face charges that remain pending for decades due to judicial backlog.

Arguments Against Allowing Convicted Persons to Contest Elections

1. Moral and Ethical Standards:

• Elected representatives are expected to uphold high moral standards.
• Allowing convicted criminals to contest can undermine democratic integrity.

2. Decriminalization of Politics:

• India’s politics face rising criminal influence.
• According to ADR (Association for Democratic Reforms):
  • 43% of MPs elected in 2019 had criminal cases.

3. Erosion of Public Trust:

• Voter confidence weakens when individuals with criminal backgrounds hold public office.

4. Global Democratic Norms:

• Many democratic countries (e.g., UK and USA) enforce strict eligibility standards.

Example:

• In the UK, individuals serving prison sentences are disqualified from contesting elections.

Challenges in Implementation

1. Misuse of Laws:

• Political opponents might weaponize false accusations.
• Legal harassment could block capable candidates.

2. Delay in Electoral Reforms:

• Parliament has delayed acting on judicial recommendations.
• The Election Commission’s proposals remain unimplemented.

3. Judicial Delays:

• Pending criminal cases in political circles delay convictions.
• Fast-track courts are essential for timely justice.

Global Comparisons: Eligibility of Convicted Politicians

Way Forward: Reform Recommendations

1. Fast-Track Courts:
   • Set up special courts to expedite trials involving politicians.
2. Enhanced Transparency:
   • Mandatory disclosure of criminal records on nomination papers.
3. Stricter Legislative Measures:
   • Parliament should consider imposing a lifetime ban for heinous offenses.
4. Public Awareness:
   • Voter education to discourage criminal candidates.

Conclusion:

The debate over convicted individuals contesting elections reflects India’s democratic dilemma: protecting individual rights while safeguarding political integrity.

• The Supreme Court’s intervention has prompted discussions on ethical governance.
• However, Parliament must lead reforms to balance political inclusivity with public trust.

Exam Relevance: Core Themes

• Polity & Governance: Electoral reforms, RPA provisions, judicial interventions.
• Ethics in Governance: Integrity in public office, ethical political leadership.
• Judiciary & Legislature Dynamics: Role of Supreme Court vs Parliamentary action.

Potential Exam Questions

1. Discuss the legal and ethical dimensions of allowing convicted persons to contest elections in India.
2. Evaluate the effectiveness of the Representation of the People Act, 1951, in preventing criminalization of politics.
3. What measures can be implemented to balance democratic rights with the need to decriminalize politics in India?