By Irshad Ahmad Dar
Srinagar, April 18: The rapid outbreak of COVID 19 has thrown a massive destruction throughout the world and also for serious physical, psychological, economic and social harm. Almost, all the countries of the world including India has imposed lockdown and restrictions were imposed on the peoples moment to stop the spread of COVID 19. The industries are being shut down schools, colleges and universities are being closed.
In this situation, the economic crisis in India getting worse day by day due to the COVID 19. The central Government and the State Government’s are doing their best to protect/ stable the economic conditions in the country. The members of the parliament’s, the President of India, Vice- president of India, Governor’s of all the states have donated 30% salaries to the consolidated fund of India to fight against the COVID 19 and to stabilize the country’s economic conditions. However, the finance Minister Nirmala Sitaram while addressing the media she has been clarified that the government is not taken any move to declare financial emergency in the country in view of the COVID 19.
Article 360 of the constitution of India empowers the president to proclaim a financial emergency. If he is satisfied that a situation has arisen due to which financial stability or credit of India or any part of its territory is threatened. But, before the president exercising his power to proclaim a financial emergency, financial emergency shall be approved by the both houses of the parliament within two months from the date of its issue. Once proclamation of financial emergency is approved by both the houses of parliament. The financial emergency shall remain to continue inoperation until and unless it is revoked by president in subsequent proclamation .Such proclamation does not require parliamentary approval.
However, the proclamation of financial emergency can be challenged before the Supreme Court by way of the ” Judicial Review “.
Consequences of the proclamation of a financial emergency are as follows:
1. During the operation of financial emergency, the Executive authority of the union shall extend giving necessary directions to any states for maintaining financial stability.
2. The president may direct for reduction of salaries and allowances all or any class of persons serving in a state, including the judges of the Supreme Court and High Courts.
3. All money or financial bills are passed by the legislature of the state shall be reserved for the consideration of the president of India.
During the financial emergency, the central Government gets full control over the state’s in the financial matters. Although, earlier we have seen more financial crisis in India.No financial emergency has been declared so far .Though there was a financial crisis in 1991. Therefore, we hope the Government will take good decisions to deal with this situation. The whole country stands with the government to fight against the COVID 19.
Author Irshad Ahmad Dar.