Front Page / NATIONAL [The Hindu]
[1]Right to access Internet cannot be curtailed, says SC
[2]Why no paper trail in EVMs, SC asks Centre
[3]India plans to buy three more Scorpenes
[4]Loyalty benefit for EPFO members
Editorial/OPINION [The Hindu]
[1]On a glide path?
[2]Banking on Teesta
Economy [The Hindu]
[1] Allow anchor investors in SME IPOs
[2]RBI tightens norms on bank performance
Indian Express
—
Live Mint
[1]Hack that EVM, the republic demands it
[2]Executive decisions are not for judges
Front Page / NATIONAL
[1]Right to access Internet cannot be curtailed, says SC
Context
Bench against general ban on online content about pre-natal sex determination
Supreme Court observed
Citizens have the right to access the Internet to gain information, wisdom and knowledge and their right cannot be curtailed unless it encroaches into the boundary of illegality
A general prohibition on all online content about pre-natal sex determination will curtail the fundamental right to know of a genuine information-seeker
Section 22
- A three-judge Bench held that the prohibition should kick in only if the content found online is violative of Section 22 (prohibition of advertisement relating to pre-natal determination of sex) under the Pre-conception and Pre-natal Diagnostic Techniques (Prohibition of Sex Selection) (PCPNDT) Act of 1994.
- Backdrop: The Bench was hearing a petition filed by Sabu Mathew George for strict adherence by search engines to Section 22
Assurance to SC
By Companies
- The three Internet search engines — Microsoft, Google India and Yahoo! India — gave their assurances to the Supreme Court that they would neither advertise nor sponsor advertisements violative of the PNPCDT Act.
- The trio said they had already appointed ‘in-house’ experts to spot illegal content and pull them down
By Government
- Nodal officers had been appointed at State levels to keep tabs on the Net for offensive material contravening Section 22 of the Act
- In case the nodal officers detect illegal online content, they would communicate with the search engine’s experts, which would take it off within the next 36 hours of receiving the information
- These experts would then follow it up by providing the nodal officers concerned with an action taken report
[2]Why no paper trail in EVMs, SC asks Centre
Context
EVMs highly vulnerable
What has happened?
The Supreme Court on Thursday asked the Centre and the Election Commission to comply with a 2013 court directive to introduce paper trail in Electronic Voting Machines (EVMs).
Concerns
- EVMs can be hacked as any technology can be.
- Votes not verified in the EVMs
What can be done
if the EVM was fixed to a vote-verifiable paper audit trail (VVPAT) machine, the voter could see whether the symbol the voter had pressed was the symbol the EVM had registered in the system
Verification a must
- Verification of the vote was an indispensable part of voting
- Only a paper trail can restore the confidence of the people
[3]India plans to buy three more Scorpenes
Context
Will push for several upgrades in the new vessels
What has happened?
India and France will step up negotiations to expand the Scorpene submarine contract after the presidential elections in France in May. India will push for incorporating several upgrades in the proposed three new submarines.
Backdrop
- Mazgaon Docks Ltd. (MDL), Mumbai, is manufacturing six Scorpene conventional submarines with technology transfer from DCNS under a $3.75-billion deal signed in October 2005
- After a series of delays, the first submarine Kalvari is now in advanced stages of sea trials and expected to be commissioned in a few months. The second submarine Khanderi was launched in January
Why the Upgrades?
Will help address concerns of any compromise in the submarine’s capability following the leak of its technical specifications in Australia last year
[4]Loyalty benefit for EPFO members
Context
For contribution of 20 years or more
What has happened?
- Employees’ Provident Fund Organisation subscribers for 20 years or more will get a loyalty-cum-life benefit of up to Rs. 50,000 at the time of retirement
- The Central Board of Trustees (CBT) of the organisation has recommended a minimum sum assured of Rs. 2.5 lakh in the event of the death of a subscriber
- The suggested benefits will be available to members after government approval. Initially, these will be provided for two years on a pilot basis and will be reviewed thereafter
- The benefit will also be provided in case of permanent disability
- In these cases, the members who have contributed to the EDLI scheme for less than 20 years will be eligible
- Those members whose average basic wages are up to Rs. 5,000 will get a loyalty-cum-life benefit of Rs. 30,000
- The members with wages of Rs. 5,001-10,000 will be eligible for a Rs. 40,000 benefit
- All those members getting more than Rs. 10,000 monthly wage will be eligible for Rs. 50,000 loyalty-cum-life benefit under the proposed scheme
- The board has recommended such benefits in view of the EDLI corpus of Rs. 18,119 crore
Interest rate
Provident fund deposits for 2016-17 would get an 8.65 per cent interest as decided by the CBT
Editorial/OPINION
[1]On a glide path?
Context
Adjusting fuel prices daily at petrol stations is a long overdue reform
Backdrop
Pricing mechanism reform: Starting next month, in select cities fuel prices at the pump point will be reset daily in tandem with global oil price movements
Case for the reform
Old Way Illogical: It is illogical for an economy integrated with the global financial and commodity markets to keep fuel prices unchanged for as much as a fortnight
Lessen the impact: Aligning prices daily and spreading out the degree of change will lessen the impact on consumers, on both the upside and the downside
No Effect on Consumer Confidence:Marginal changes in the daily price of fuel will not make or break consumer confidence or fuel inflationary expectations because of oil costs
Gradual Shift makes more Sense:A more gradual ascent or descent in fuel prices, rather than abrupt shifts over randomly selected intervals, makes good sense, given how closely our fiscal outlook is tied to oil price movements
No Politics:A transparently formulated and dynamic pricing regime would hopefully prevent such coincidences as announcing price cuts near to elections
Boost Competition:It would also allow private companies to compete with the PSU oil marketers, which today control 95% of fuel outlets
[2]Banking on Teesta
Context
Teesta Water Issue
What has happened?
The wheels within wheels(used to indicate that a situation is complicated and affected by secret or indirect influences)in Delhi, Dhaka and Kolkata on the water-sharing issue
Teesta
The Teesta River is a 309 km long river flowing through the Indian states of West Bengal and Sikkim, before going to Bay of Bengal through Bangladesh
Backdrop
The below mentioned statement by the Indian Prime Minister (Narendra Modi) during recent visit of Bangladesh prime minister (Sheikh Hasina) to India on Teesta Water Issue, in the presence of Chief Minister of West Bengal (MamataBannerjee)
“Only my government and your government… can and will find an early solution to Teesta water-sharing issue”
The View
- What does this mean?
It was interpreted as being a step to bypass CM of West Bengal who has consistently opposed the changes Dhaka seeks in the sharing of Teesta waters
- Can that be done?
Water is a State subject and requires her (CM of Bengal) assent
- Amend the Constitution then?
Can amend the Constitution then to transfer the subject of water from the State List to the Concurrent List, as was also indicated by Water Resources Minister
- But No Majority yet
The amendment would require approval by a two-thirds majority in both Houses of Parliament — the BJP doesn’t have the numbers yet in the Upper House
The Political Game
Lose Votes: Ruling parties have never touched Teesta for fear of losing the northern base
Strengthen the Opposition:The Left Front’s successive Irrigation Ministers insisted that if the waters of the Teesta were shared, it would only “strengthen the opposition (then Mamata Banerjee)
View of the CM of West Bengal
No political benefits:She could lose parts of north Bengal, while losing her only bargaining chip, the Teesta, to the Central government
Bypassing can be beneficial: To avoid any onus on her, might not be against an accord where she, with a majority, is bypassed; it would be doubly beneficial for her
Gains:
- To get rid of her anti-Bangladesh image by protecting the Teesta barrage at Jalpaiguri
- On the other hand, she would be able to put the BJP on the defensive in north Bengal
BJP’s View
- BJP will not strengthen the Chief Minister of a State where it is on the rise
- Handing over a larger share of Teesta waters to Bangladesh is handing over north Bengal to Ms. Banerjee before the 2018 panchayat poll
It’s all internal
Bangladesh’s former Foreign Secretary blames, India’s “internal politics” for the deadlock
New bargaining chip
For Bangladesh, Teesta has emerged as a new bargaining chip vis-a-vis India
Bangladesh’s Growing Closeness with China
Dhaka’s growing friendship, as indicated through an astronomical investment, with Beijing has disturbed New Delhi, and finding an “early solution” is way more difficult now
Less Hope in India
Bangladesh’s diplomatic missions here do not live in hope
Pessimism reached Dhaka
The Awami League cancelled the customary public reception of the Prime Minister on arrival, citing traffic issues.
Conclusion
The river that received “greatest attention” has thus lost sight of the shore in the summer of 2017
Economy
[1] Allow anchor investors in SME IPOs
Context
Investment bankers urge SEBI to change norms to attract larger investors
What has happened?
- Investment bankers want the Securities and Exchange Board of India (SEBI) to allow anchor investors in public issues of small and medium enterprises (SMEs) while also enhancing the upper limit for paid-up capital of such companies to allow relatively larger firms to enter the capital market while ensuring institutional investor participation in the dedicated segment
- The segment for SMEs, unveiled separately by BSE and the National Stock Exchange (NSE) in 2012, has more than 200 companies currently listed on the platform
- While BSE has more than 170 companies listed on its SME segment, NSE has close to 50 entities on board
Regulatory push
- Merchant bankers said that if the segment receives a regulatory push then entities like banks, mutual funds, foreign institutional investors (FIIs) and financial institutions would subscribe to SME IPOs quite frequently.
- Merchant bankers want the regulator to evaluate the option of allowing anchor investors in SME IPOs — as is the case with public issues on the main board
- Anchor investors are institutional investors that can bid for shares ahead of the IPO and have a lock-in of 30 days.
What Now?
A group of investment bankers are to meet the new SEBI chairman next week and these proposals are expected to be part of the larger suggestions that the banking community presents to the regulator.
[2]RBI tightens norms on bank performance
Context
Sets three thresholds, breach of which could lead to mergers or even closure
What has happened?
The Reserve Bank of India (RBI) has come out with a revised prompt corrective action (PCA) framework for banks, spelling out certain thresholds, the breach of which could invite resolutions such as a merger with another bank or even shutting down of the bank
Provisions
Thresholds: The revised norms have set out three thresholds. The thresholds are based on capital, net non-performing assets, profitability and leverage ratio
Breach:The breach of the third one on capital would identify a bank as a likely candidate for resolution through tools like amalgamation, reconstruction, winding up etc
To be Effective from:The provisions of the revised PCA framework will be effective from April 1, 2017 based on the financials of the banks for the year ended March 31, 2017
Review Timeframe: The framework would be reviewed after three years
Indian Express
—
Live Mint
[1]Hack that EVM, the republic demands it
Context
Indeed the Indian election is not flawless but it is no doubt the least compromised, and least compromising, of all its institutions.
Backdrop
- The Election Commission (EC) announced an “open challenge”
- In the first week of May, for a period of 10 days, the EC will let political parties, experts and any other interested party see if they can hack or in any way tamper with an electronic voting machine (EVM)
Universal adult suffrage
Rallying Cry:Adult suffrage (the right to vote in political elections)had been one of the rallying cries of the freedom movement for around three decades preceding the drafting of the Constitution
Problems Appear:
Two problems appear to have bothered members of the constituent assembly the most
- Firstly, should the vote be restricted to literate electors? They worried about this aloud and then let it rest
- And secondly, what would this sudden expansion of democratic opportunity mean in terms of enthusiasm, participation and logistics?
Questions Raised:
What would happen when millions upon millions of adults suddenly found they had a vote? Would they exercise it properly? Would they just give it away to the highest bidder or loudest demagogue?
Despite all these misgivings, universal adult suffrage was written into the Constitution
First Election
First Lok Sabha election in 1951-52 held successfully
The Sacred Pillar of Democracy
- Power Source:The Indian republic is, doctrinally, founded upon its Constitution but it draws all its practical strength from the one great institution of the Indian democracy i.e. the election
- Least Compromising:Indeed the Indian election is not flawless but it is no doubt the least compromised, and least compromising, of all its institutions
- Trust of the Citizen:The average citizen has more trust in his vote then he does in the courts, the police, the bureaucracy and even the legislatures arising out of his votes
Must be protected
- Controversy around EVM hacking must not be allowed to fester
- It will be tempting to laugh off the allegations and counter-allegations but trust is a volatile currency
EC should not be undermined: To undermine trust in the Election Commission is to hit the republic where it can hurt most
Conclusion
Thus, when the EC throws open EVMs to hacking next month, stepping up to the challenge is vital. The future of the republic depends on it
[2]Executive decisions are not for judges
Context
The Supreme Court ban on the sale of liquor is an example of judicial overreach. Such policies are unambiguously in the domain of the executive
Backdrop
The Supreme Court, ruling on a public interest petition about road safety, has banned the sale of liquor at retail outlets, as also in hotels, restaurants and bars, that are within 500m of any national or state highway
The Damage: for governments, tourism and livelihoods
- For State Govt.
- Auction fees: Raised from licences to sell liquor will contract sharply
- Tax Revenue: Revenue from taxes on alcohol will also diminish
- The problem is accentuated by the fact that at least one-half, possibly two-thirds, of retail outlets, bars, restaurants and hotels are located within a range of 500m of national or state highways
- Rough estimates suggest that state governments could lose as much as Rs50,000 crore per annum in revenue
- Tourism
- Star-downgrade:Existing regulations stipulate that hotels in the four-star and five-star categories, or above, must have a licensed bar; many of them will now lose their premier status with a star-downgrade
- Alternative Destinations: Foreign tourists might opt for alternative destinations in countries that do not have such restrictions
- Domestic tourism: Ttoo, could be affected and diverted
- Livelihoods& Employment
- Reduction in Jobs: The inevitable downturn in business for hotels, restaurants and bars will directly reduce the jobs they provide and indirectly reduce jobs in enterprises that form part of their supply chains
- Tourism affected: The services sector is the primary source of job creation, and one million people could lose their jobs
Measures taken now
- State governments: Issuing notifications that many roads in and around their cities are no longer state highways
- The government of India: Considering a presidential reference to the Supreme Court under Article 143 of the Constitution
Not a long term Solution
- Data compiled by the National Crime Records Bureau show that of the total road accidents in 2014:
- Over-speeding accounted for 48%
- Reckless driving for 42%
- Poor weather conditions for 5%
- Mechanical defects for 2.5%
- Drunk-driving for 2.5%
- Fatalities at par:More than 40% of the drunk driving victims died, but the fatality proportion was not much lower, at around 33%, among victims of overspeeding and reckless-driving
- Easily Circumvented: Because of circumvention or corruption anyone can drive 500m to buy liquor and then return to the highway
What could be the Solution?
Strict enforcement and punishment: Will act as an effective deterrent
Strengthening the law: For this purpose, the law can be strengthened further
MV Act Amendments: The Union cabinet has recently approved amendments to the Motor Vehicles Act, which raise the fine for drunken driving to Rs10,000, and if such driving results in death, it would be treated as culpable homicide under Section 299 of the Indian Penal Code, punishable with imprisonment of up to 10 years
Not sufficient:These fines can be escalated and driving licences can be suspended for longer durations, particularly in repeat offences
Issues Raised
The judiciary has the right to check the overreach of the executive and the legislature, but there is no such check on the judiciary
So, is this a matter for the Supreme Court to decide?
Author’s View: NO
Why?
Administrative Matter:It is an administrative matter where the decision rests with state governments
No Authority:It is not just about the appropriate authority for such decisions
Binding Nature:The problem with Supreme Court decisions is their binding nature, much like law, which cannot be changed unless the concerned bench reviews its decision or a constitutional bench sits and decides
Outside Domain:Such policies are unambiguously in the domain of the executive
Fiscal burden on States:The decision imposes a fiscal burden on state governments, in the form of revenue foregone, which is at the expense of some priority expenditure
Affects the Citizens:The adverse economic consequences for governments, tourism and employment are also cause for serious concern as they will affect the well-being of citizens
Already Gone Far Beyond:Three Supreme Court judgements have, in effect, rewritten Article 124 and the appointment of the Supreme Court judges by collegium process has come under scanner
Grown over time:Judicial overreach has grownparticularly in terms of policymaking and judicial legislation which is worrisome
No Checks: The judiciary has the constitutional right to check the overreach of the executive and the legislature, but there is no such check on the judiciary or its accountability
Under reach also:The judiciary does not always check the underperformance of the executivefor example, it has failed to check government inaction against vigilante groups taking the law into their hands—which can be described as judicial under-reach
Conclusion
An independent judiciary is of critical importance in a political democracy, for it provides checks and balances vis-à-vis the executive and the legislature. But there must be some institutional mechanisms that check judicial overreach or judicial under-reach to make the judiciary accountable, particularly to citizens
The Answer
The answer might lie partly in self-regulation. Almost four centuries ago, Francis Bacon put it perfectly in his Essays Of Judicature (1625): “Judges ought to remember that their office is jus dicere and not jus dare—to interpret law, and not make law or give law.”
Leave a Reply