Q. With reference to ‘Indian Polity’, consider the following pairs:
Parliamentary Grants Circumstances for approval of the grant
1.Excess Grant Meeting an unexpected demand upon the resources of India
2.Additional Grant Additional expenditure upon some new service
3.Vote of Credit To satisfy the debt obligations of the Indian government
How many of the above given pairs are correctly matched?
Exp) Option a is the correct answer.
In addition to the budget that contains the ordinary estimates of income and expenditure for one financial year, various other grants are made by the Parliament under extraordinary or special circumstances.
Pair 1 is incorrectly matched: Excess Grant is granted when money has been spent on any service during a financial year in excess of the amount granted for that service in the budget for that year. It is voted by the Lok Sabha after the financial year. Before the demands for excess grants are submitted to the Lok Sabha for voting, they must be approved by the Public Accounts Committee of Parliament.
Pair 2 is correctly matched: Additional Grant is granted when a need has arisen during the current financial year for additional expenditure upon some new service not contemplated in the budget for that year.
Pair 3 is incorrectly matched: Vote of Credit is granted for meeting an unexpected demand upon the resources of India, when on account of the magnitude or the indefinite character of the service, the demand cannot be stated with the details ordinarily given in a budget. Hence, it is like a blank cheque given to the Executive by the Lok Sabha.
