Urban Naxalism
Urban Naxalism The term ‘Naxal’ derives its name from the village Naxalbari of district Darjeeling in West Bengal, where the movement originated in 1967 under the leadership of Charu Majumdar and Kanu Sanyal. It refers to the use of violence to destabilize the state through various communist guerrilla groups. The phrase of Urban Naxals is loosely attributed to the people with a Naxalite bent of mind residing in urban areas and working as activists, supporters and protectors of the ideology while the active Naxals battle it out in the jungles and vast swathes of Maoist-dominated areas. Origin of Naxalism in India: The Naxalism in India was an offshoot of the Communist Party of India (Marxist) wherein a small group of the party workers decided to break away to launch an armed struggle against big landowners and establishment. The objective of this small breakaway group was to capture additional lands of big zamindars and distribute the same among the tilling farmers and landless labourers. The leadership for the first Naxal movement was provided by Charu Majumdar, Kanu Sanyal and Jangal Santhal. How Naxalism spread? Naxalism spreads by assuring to uphold the interests of the suppressed ones against the prevailing injustices of the establishment, harassment by petty government functionaries, extortion by policemen, and callousness of officers in addressing their grievances. Naxalism is a sign of poor governance. It is not a coincidence that Naxalism is more dominant in the under-developed areas and has greater influence among those who have faced repercussions due to the faulty socio-economic and political policies of governments. The Red corridor from Tirupati in Andhra Pradesh to Pashupati in Nepal where Naxals have an overarching influence is one of the under-developed regions of the country. It would not be an exaggeration to say that Naxalism is also a sign of poor governance. Factors responsible for Urban Naxalism: India’s Land Reform Policy:- Post-independence, the land reform policy of India could not be successful in some parts of the nation, leading to the birth and growth of Naxal movement in India. Development Projects and Tribal Alienation: – The tribals are driven by grievances with the Indian Government over decades-long resource mismanagement and systematic marginalisation beginning with a series of development projects in the 1980s that removed tribals from their lands in the name of public good. The conflict between economic progress and aboriginal land rights continues to fuel the Naxalite’s activities. Forest Protection Act of 1980:- Although the legislation was an attempt to protect country’s natural resources from exploitation, the law essentially outlawed the existence of many tribal villages that had been in place for centuries. As areas were delineated as reserve forests, traditional occupations of even gathering twigs were forbidden. People who earned their livelihood through access to forest resources in a sustainable manner suddenly found themselves outside the law. Read Also India and Terrorism It was only in 2008 that amendment to forest rights act recognized the tribals’ rights over forest land and forest produce but animosity towards the government had already grown substantially exacerbated by the lack of basic development support to tribal villages. The governance deficit: Lack of education facilities and basic sustainable employment Lack of basic healthcare facilities Infrastructure deficit Issues related to law and order, grievance redressal Lack of routine administration and poorly motivated public personnel Mismanagement and corruption in government schemes like the Public Distribution System. Poor implementation of special laws High handedness of the local administration Solutions: There can be no place for violent armed struggle in Democracy. The government must adopt a twin strategy of dealing in iron hand with the agents of violence and talking to those who are heading a non-violent struggle against the gaps in governance. To tackle the armed struggle there must be capacity building of state police forces so that they can take on the challenge posed by the People’s Liberation Guerrilla Army with minimal assistance from the Central Armed Police Forces, improving intelligence and ensuring better inter-state and Centre-state coordination. Development and peace have to go hand in hand. The government must take steps to win the hearts of people in the affected regions. This together with increasing the trustworthiness of the government aids in breaking the forward and backward linkages of the Naxal movement. Government strategies to address Naxalism: Ban on CPI Maoist, along with all its formations and front organizations under the Unlawful Activities (Prevention) Act, 1967. Assistance to the LWE States: ‘Police’ and ‘Public Order’ being State subjects, action with respect to maintenance of law and order lies primarily in the domain of the concerned State Governments. However, the Central Government closely monitors the situation and coordinates and supplements their efforts in several ways to deal with the LWE problem. These include: Providing Central Armed Police Forces (CAPFs) and Commando Battalions for Resolute Action (CoBRA), Setting up of Counter Insurgency and Anti Terrorism (CIAT) schools; Modernization of the State Police and their Intelligence apparatus etc. Assistance is also provided by the central government under the following schemes: Security Related Expenditure Scheme (SRE) Special Infrastructure Scheme (SIS) Central Scheme for assistance to civilian victims/family of victims of terrorism, communal and Naxal violence Civic Action Programme (CAPs) Read Also LeftWing Extremism Strengthening the intelligence mechanism: This includes intelligence sharing through Multi-Agency Centre (MAC) at the central level and State Multi-Agency Centre (SMAC) at the subsidiary level on a 24×7 basis. Media plan: The media has proved to be a potent instrument in creating awareness among the target population about the socio-economic developmental schemes of the Government and their rights & entitlements. The media has also helped to highlight LWE activities to make people aware as to how LWE violence is preventing implementation of the welfare and development schemes, policies and initiatives of the Government. Roshani Scheme(Ministry of Rural Development): It is a placement linked skill development scheme for rural and tribal population, in worst-affected districts. It emphasizes on special efforts to proactively cover the particularly vulnerable tribal groups (PVTGs) on a priority basis. Way forward: Naxalism is not merely a law and order issue. To
Important Legislations, Notes by UPSC Topper Ravisankar Sarma IFos Rank 37
Important Legislations/ Amendments Index Governance Prevention of Corruption Act Right to Information (Amendment) Whistle-Blowers Protection Act (Amendment) Aadhaar and Other Laws (Amendment Bill) Social Justice Sexual Harassment at Work Places: Refer I learn Key GS2 Test 2 Domestic Workers Act Maternity Benefit Act Triple Talaq Ordinance Child Labour (Amendment) Act Juvenile Justice Act, 2015 POCSO Act Transgenders Protection Bill Persons with Disabilities Rights Prevention of Torture Bill Forest Rights Act PESA National Medical Commission Bill Surrogacy (Regulation) Bill Trafficking of Persons (Protection) Bill Right to Disconnect Bill Land Acquisition, Rehabilitation and Resettlement Act, 2013 Economics FRDI Bill Fugitive Economic Offenders Bill FRBM Act Consumer Protection Rights Bill: I Learn GS3 Full Test 1 Labour Code Polity Citizenship Amendment Bill Prevention of Corruption Act (Amendment Bill) Provisions Criminalized Collusive Bribery: Giving bribe also an offence just like taking a bribe. A safeguard is provided for coercive bribery Prior approval for inquiries against serving and retired public officers by concerned authorities like the CVC Immunity from arrest for all public officers unless for on the spot charges Time-bound trial of the case in courts preceded by a special judge within 2 years Stringent Punishment: Under the Act, Punishment of 3 to 7 years is provided to convicts Definition of criminal misconduct altered to misappropriation of assets or property for individuals own benefit or allowing any other person to do so Immediate Forfeiture: Law Enforcement empowered for immediate attachment and confiscation of illegally obtained assets and property Analysis Criminal misconduct definition may have been narrowed to exclude non-material forms of corruption Prior approval provision can avoid harassment of honest officials, avoid frivolous litigation and enable fearless conduct for honest public servants. On the other hand, the prior approval clause introduces another red tape that can impede the investigation and lead to a lower conviction rate The POCA act entails a systemic shift to bribe givers rather than bribe-takers that may be unduly harsh on those coerced into corruption Right to Information (Amendment Bill): Issues Dependence of the Commission: The act makes the CIC subordinate to the government as he is accorded a salary and term as determined by the Union government. This threatens the independence of the commission and provides space for arbitrariness of the executive Constitutional Nature Diluted: The bill does not provide equal constitutional status to CIC in comparison to CEC Unitary Nature: The act mandates that the central government can decide on the salaries and allowances of both Central and State Information Commissions Whistle-Blowers Protection Amendment: A whistleblower is not merely any government official who comes across corruption in his official capacity, but any NGO or citizen who has provided the information with regard to the corrupt, arbitrary and criminal acts of any government official What does WBP offer? Anonymity: Concealment of the identity of the whistleblower Protection against victimization: Suspensions, transfers and threats of violence including police protection and penalising perpetrators of victimization Amendment to WBP and associated issues Persecution of Whistleblowers: The amendment takes away the immunity accorded to Whistle-Blowers from legal actions and makes them open to persecution under the draconian Official Secrets Act (OSA) Deterrence from Whistleblowing: OSA act has a jail term of 14 years and can deter honest officials from exposing corrupt and criminal activities. It defeats the purpose of the Whistle-Blowers Protection Act and seeks to weaken whistleblowers rather than empowering them The amendment also seeks to cut down on the information that can be exposed and prohibits any inquiry into issues which might be detrimental to national security, sovereignty, integrity and economic interests. The exemptions that apply to RTI hence apply for whistleblowing also Read Full GS Notes Aadhar and Other Laws (Amendment Bill) Offline Verification of Aadhar Number Holder: The Bill allows offline verification of aadhar through modes specified by UIDAI and with consent of individual, inform them of alternatives to sharing information and not collect or store biometric information/ Aadhar number Voluntary Use of Aadhar to verify identity: An individual can voluntarily use aadhar to verify his/ her identity either through authentication/ offline verification. Entities Using Aadhar and its authentication by way of Meeting privacy and security standards set by UIDAI Permitted by Law Seeking authentication for the purpose specified by the government Aadhar and Children: Enrolling child to obtain an Aadhar number, the guardian of a child shall be informed on Manner of Information use Sharing Recipients Right to Access the Information Disclosure of Information If a high court so specifies that abridges the confidentiality and security in exceptional circumstances Allows disclosure of information on the order of secretary or above UIDAI Fund: All fees and revenue collected by the UIDAI shall be credited to UIDAI Fund and not CFI. It shall be used to provide salaries of UIDAI staff and account for its expenses Grievance Redressal: The Bill allows individual to register complaints in cases of impersonation or disclosure of identity. UIDAI may initiate a complaint in cases of Failure to comply with its directions Furnish the information required by UIDAI Domestic Workers Regulation of Work and Social Security Bill, 2016 Regulation of Domestic Work: To monitor domestic workers by making mandatory registration of employer and worker Setting up Social Security Fund: Mandates collection of cess from the employer which would be utilised for social security fund of the worker Rights-Based Approach: The workers’ access would be mediated through an ID card which achieves the objectives of police verification sans criminalisation but empowering them through a rights-based approach Maternity Benefit Act 2017 Rationale Behind the Act: Women informal sector were forced to return to work after pregnancy without adequate rest and recovery. This deprives them of reproductive health, wages and discourages women from workforce participation. The maternity benefit act statutorily obliges companies in the formal sector to grant 26 weeks of paid leaves. This would enable women to rest and recover without the worry of salary Provisions of the Act 26 weeks compulsory maternity leave for women in the case of first 2 children 12 weeks of maternity leave available to commissioning mothers as well as adopting mothers Creche facilities for companies employing 50 women or more An employer may permit work from home Benefits of the Act Reproductive Health: Time off from work enables women to recover from the exertions of pregnancy. This is pivotal to both the emotional and physical health of the mother. Incentivize Women to join the workforce: Increased securities provided in jobs can dispel doubts of women on whether to take up employment or not Gender Equality in
Anti Defection Law in India
A legislator is deemed to have defected if he either voluntarily gives up the membership of his party or disobeys the directives of the party leadership on a vote. This implies that a legislator defying (abstaining or voting against) the party whip on any issue can lose his membership of the House. The law applies to both Parliament and state assemblies. Check All Prelims Mock Questions Enroll today with the best civils service academy and take your first step towards your Civils journey. Feel free to reach out to us for any inquiries, collaborations, or support. We’re here to help. join now
MSME: Role, Challenges and Way forward
MSME: Role, Challenges and Way forward MSME sector currently contributes nearly 29% to the manufacturing segment and 40% to the exports. It has the potential to generate additional employment of 5 crores in the next five years. Union Government has set the target to increase the contribution of MSMEs in the manufacturing sector to 50% in the next five years. The MSMED Act, 2006 defines the Micro, Small and Medium Enterprises based on The investment in plant and machinery for those engaged in manufacturing or production, processing or preservation of goods and, The investment in equipment for enterprises engaged in providing or rendering of services. As per the Act, enterprises can be defined as: A microenterprise if the investment in plant & machinery is under Rs.25 lakhs A small enterprise if the machinery and plant investment is between Rs.25 lakhs and Rs. 5 crores A medium enterprise if the said investment is between Rs.5 crores and Rs.10 crores. Though MSMEs are small investment enterprises, their contribution to the Indian economy is very significant. Read Also Government of India Act of 1919 Role of MSMEs To generate large scale employment: In India, capital is scarce and labour abundant. MSMEs are thought to have lower capital-output and capital-labour ratios than large-scale industries, and therefore, better serve growth and employment objectives. Not only do MSMEs generate the highest employment per capita investment, but they also go a long way in checking rural-urban migration by providing people living in isolated areas with a sustainable source of employment. To sustain economic growth and increase exports: Non-traditional products account for more than 95% of the MSME exports. Since such products are mostly handcrafted and hence eco-friendly there exists a great potential to expand the quantum of MSME led exports. Also, MSMEs act as ancillary industries for Large Scale Industries providing them with raw materials, vital components and backward linkages. Inclusive growth MSMEs promote inclusive growth by providing employment opportunities in rural areas especially to people belonging to weaker sections of the society. For example, Khadi and Village industries require low per capita investment and employ a large number of women in rural areas. MSMEs will reduce the gap between rich and poor as they are agents of inclusive growth. Micro, Small and Medium Enterprises will help in reducing Green House Gas emissions as they are generally closer to markets leading to reduced carbon footprints. Issues faced by MSMEs: Access to credit: 90% of MSMEs are dependent on informal sources for funding due to lack of sufficient collateral and high capital needs. Access to markets: Low outreach and non-availability of new markets. Lack of skilled manpower and ineffective marketing strategy. Difficult for MSMEs to sell products to government agencies. Competition from MNCs and other big industries. Technology access: MSMEs, particularly in the unorganized sector, show lower adaptability of technology and innovation. Quality and export: Low-quality products impact export competitiveness. Also, inadequate access to quality raw materials and the use of traditional machines causes low productivity. Ease of doing business: Heavy government procedures and rules for establishing new units. Due to the bureaucratic delays in getting clearances and the poor litigation system, business becomes a slower process. Solutions: Access to credit: Launch of the 59-minute loan portal to enable easy access to credit for MSMEs. The loans up to Rs. 1 crore can be granted in-principle approval through this portal, in just 59 minutes. A 2% interest subvention for all GST registered MSMEs, on fresh or incremental loans. All companies with a turnover of more than Rs. 500 crore, must now compulsorily be brought on the Trade Receivables e-Discounting System (TReDS). Joining this portal will enable entrepreneurs to access credit from banks, based on their upcoming receivables. Access to markets: Public sector companies have now been asked to compulsorily procure 25%, instead of 20% of their total purchases, from MSMEs. Out of the 25% procurement mandated from MSMEs, 3% must now be reserved for women entrepreneurs. All public sector undertakings of the Union Government must now compulsorily be a part of government e-Marketplace (GeM). They should also get all their vendors registered on GeM. Technology up-gradation: 20 hubs and 100 spokes in the form of tool rooms will be established across the country to facilitate product design. A tool room is a room where tools are stored or, in a factory, space where tools are made and repaired for use throughout the rest of the factory. Ease of doing business: In order to simplify the government procedures, the return under 8 labour laws and 10 Union regulations must now be filed only once a year. The establishments to be visited by an Inspector will be decided through a computerised random allotment. Environmental Clearance under air pollution and water pollution laws have been merged into one. Also, the return will be accepted through self-certification. For minor violations under the Companies Act, the entrepreneur will no longer have to approach the Courts but can correct them through simple procedures. Read Also RTI act and Judiciary Schemes under MSMEs The major schemes related to MSMEs come under the heads of, • Prime Minister Employment Generation Programme and Other Credit Support Schemes • Prime minister Employment Generation Programme (PMEGP).The scheme is implemented by Khadi and Village Industries Commission (KVIC) functioning as the nodal agency at the national level. • Development of Khadi, Village and Coir Industries – The Market Promotion and Development Assistance Scheme (MPDA) has been launched as a unified scheme by merging different schemes implemented by the Khadi sector including publicity, marketing, market promotion and marketing development assistance. – Coir Vikas Yojana (CVY) · Technology Upgradation and Quality Certification. – A Scheme for Promoting Innovation, Rural Industry & Entrepreneurship (ASPIRE) – The main objectives of the scheme are to: (i) Create new jobs and reduce unemployment (ii) Promote entrepreneurship culture in India (iii) Boost Grassroots economic development at district level (iv) Facilitate innovative business solution for un-met social needs. (v) Promote innovation to further strengthen the competitiveness of the MSME sector. · Marketing Promotion Schemes · Entrepreneurship and skill Development Programme · Infrastructure Development Programme Read Also Lokpal and Lokayukta Enroll today with
National Register of Citizens
National Register of Citizens The National Register of Citizens (NRC) is a list of Indian citizens of Assam. The NRC was introduced to identify illegal immigrants from Bangladesh and recognise the Indian citizens in Assam. It was prepared in 1951, following the census of 1951. Assam has become the first state to get the first draft of its own updated NRC. For a person’s name to be included in the updated NRC list of 2018, he/ she will have to furnish: Existence of name in the legacy data: The legacy data is the collective list of the NRC data of 1951 and the electoral rolls up to midnight of 24 March 1971. In case of the applicants born after 1971, by Proving linkage with the person whose name appears in the legacy data. Objective The NRC is now being updated to detect Bangladeshi migrants who may have illegally entered Assam after the midnight of March 24, 1971. Role The process of updating has undertaken as per provisions of the Citizenship Act, 1955 & the Citizenship (Registration of citizens and Issues of National identity) Rules 2003. The updating process started in May 2015 and ended on 31 August 2015. A total of 3.29 crore people applied through 68.31 lakh applications. The process of verification involved house-to-house field verification, determination of authenticity of documents, family tree investigations in order to rule out bogus claims of parenthood and linkages and separate hearings for married women. Read Also Electoral reforms in India Concerns There is a renewed conviction that the exercise of counting Assam’s citizens is a political one, and the new register will be a document of exclusion, not inclusion. There are important humanitarian concerns, concerns that go beyond identification and numbers. Nearly five decades have elapsed since the cut-off date of March 25, 1971, and individuals who have sneaked in illegally have children and grandchildren by now. Discrimination against Muslims and Bengalis. In at least 10 districts the records are incomplete or unavailable. A number of people may be deprived of citizenship through this process. Forged documents. Delay in process. The security situation in the entire neighbouring states would be affected. Communal violence and potential to sow seeds of violence in the state Housing the ones who are declared illegal immigrants is a concern as the existing detention centres have poor infrastructure. Proposed citizenship amendment that grants citizenship to illegal immigrants of Hindu, Sikh, Buddhist, Jain, Christian faiths is severely opposed in Assam. Challenges Flawed Process – People who found themselves on the first list that was released on January 1, 2018, didn’t find their names in the second. Even the family of a former President of India did not mention on the list. The parallel processes of NRC, the voters’ list of the Election Commission, and the Foreigners’ Tribunals with the help of the Assam Border Police have led to utter chaos, as none of these agencies is sharing information with each other. Though the draft provides a window for re-verification, due to a large number of people being excluded from the list, it will be very difficult to physically verify all of them. Since such ‘non-citizens’ can resort to judicial relief to substantiate their citizenship claim, it can lead to overburdening of the judiciary which already reels under a large number of pending cases. There is uncertainty about the future of those left out from the list. Expelling them to Bangladesh is not an option since Dhaka has never accepted that they are its citizens or that there is a problem of illegal immigration. In the absence of a formal agreement, India cannot forcibly push the illegal migrants back into Bangladesh. Moreover, raising this issue can also jeopardise relations with Dhaka. Such an attempt would not only damage bilateral relations but also sully the country’s image internationally. Apart from deportation, the other option is large scale detention camps – which is an unlikely option for a civilised democracy like India. Another option is instituting work permits, which would give them limited legal rights to work but ensure they have no political voice. However, it is not clear what will be the fate of children of such individuals. With no end to uncertainty, NRC seems to be a process without an end. Read Also Anti Defection Law in India Way Forward India, as a country, should not be hasty in taking decisions that can disenfranchise her citizens – contradicting its centuries-followed values. A person’s citizenship is a basic human right. Declaring people foreigners in haste without judicially verifying their credentials can leave many human beings stateless. The need of the hour is that Union Government should clearly chart out the course of action regarding the fate of excluded people from final NRC data and political parties should refrain from colouring the entire NRC process through electoral prospects that may snowball in to communal violence. There is a need for a robust mechanism of legal support for the four million who have to prove their citizenship to India with their limited means. Enroll today with the best civils service academy and take your first step towards your Civils journey. Feel free to reach out to us for any inquiries, collaborations, or support. We’re here to help. join now
Agricultural credit in India
Agricultural credit in India What is IBC? Insolvency and Bankruptcy Code, 2016 is considered as one of the biggest insolvency reforms in the economic history of India. This was enacted for reorganization and insolvency resolution of corporate persons, partnership firms and individuals in a time-bound manner for maximization of the value of assets of such persons. Background The era before IBC had various scattered laws relating to insolvency and bankruptcy which caused inadequate and ineffective results with undue delays. For example, Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act SARFAESI –for security enforcement. The Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (RDDBFI) for debt recovery by banks and financial institutions, Companies Act for liquidation and winding up of the company, Ineffective implementation, conflict in one of these laws and the time-consuming procedure in the aforementioned laws, made the Bankruptcy Law Reform Committee draft and introduce Insolvency and Bankruptcy Law bill. Objectives of IBC Consolidate and amend all existing insolvency laws in India. To simplify and expedite the Insolvency and Bankruptcy Proceedings in India. To protect the interest of creditors including stakeholders in a company. To revive the company in a time-bound manner. To promote entrepreneurship. To get the necessary relief to the creditors and consequently increase the credit supply in the economy. To work out a new and timely recovery procedure to be adopted by the banks, financial institutions or individuals. To set up an Insolvency and Bankruptcy Board of India. Maximization of the value of assets of corporate persons. Read Also Strategic disinvestment Highlights of the Code The Code creates time-bound processes for insolvency resolution of companies and individuals. These processes will be completed within 180 days. If insolvency cannot be resolved, the assets of the borrowers may be sold to repay creditors. The resolution processes will be conducted by licensed insolvency professionals (IPs). These IPs will are members of insolvency professional agencies (IPAs). IPAs also furnish performance bonds equal to the assets of a company under insolvency resolution. Information utilities (IUs) are established to collect, collate and disseminate financial information to facilitate insolvency resolution. The National Company Law Tribunal (NCLT) adjudicate insolvency resolution for companies. The Debt Recovery Tribunal (DRT) adjudicate insolvency resolution for individuals. The Insolvency and Bankruptcy Board of India regulate functioning of IPs, IPAs and IUs. Key Issues and Analysis Time-bound insolvency resolution requires the establishment of several new entities. Also, given the pendency and disposal rate of DRTs, their current capacity may be inadequate to take up the additional role. IPAs, regulated by the Board, will be created for regulating the functioning of IPs. This approach of having regulated entities further regulate professionals may be contrary to the current practice of regulating licensed professionals. Further, requiring a high value of performance bond may deter the formation of IPAs. The Code provides an order of priority to distribute assets during liquidation. It is unclear why: (I) secured creditors will receive their entire outstanding amount, rather than up to their collateral value, (ii) unsecured creditors have priority over trade creditors, and (iii) government dues will be repaid after unsecured creditors. The Code provides for the creation of multiple IUs. However, it does not specify that full information about a company will be accessible through a single query from any IU. This may lead to financial information being scattered across these IUs. The Code creates an Insolvency and Bankruptcy Fund. However, it does not specify the manner in which the Fund will be used. Read Also National Crimes Record Bureau (NCRB) IBC Amendment Bill, 2019 The Bill amends the Insolvency and Bankruptcy Code, 2016. The Code provides a time-bound process for resolving insolvency in companies and among individuals. Insolvency is a situation where individuals or companies are unable to repay their outstanding debt. Under the Code, a financial creditor may file an application before the National Company Law Tribunal (NCLT) for initiating the insolvency resolution process. The NCLT must find the existence of default within 14 days. Thereafter, a Committee of Creditors (CoC) consisting of financial creditors will be constituted for taking decisions regarding insolvency resolution. The CoC may either decide to restructure the debtor’s debt by preparing a resolution plan or liquidate the debtor’s assets. The CoC will appoint a resolution professional who will present a resolution plan to the CoC. The CoC must approve a resolution plan, and the resolution process must be completed within 180 days. This may be extended by a period of up to 90 days if the extension is approved by NCLT. If the resolution plan is rejected by the CoC, the debtor will go into liquidation. The Code provides an order of priority for the distribution of assets in case of liquidation of the debtor. This order places financial creditors ahead of operational creditors (e.g., suppliers). In a 2018 Amendment, home-buyers who paid advances to a developer were to be considered as financial creditors. They would be represented by an insolvency professional appointed by NCLT. The Bill addresses three issues. First, it strengthens provisions related to time-limits. Second, it specifies the minimum pay-outs to operational creditors in any resolution plan. Third, it specifies the manner in which the representative of a group of financial creditors (such as home-buyers) should vote. Resolution plan: The Code provides that the resolution plan must ensure that the operational creditors receive an amount which should not be lesser than the amount they would receive in case of liquidation. The Bill amends this to provide that the amounts to be paid to the operational creditor should be the higher of: (i) amounts receivable under liquidation, and (ii) the amount receivable under a resolution plan, if such amounts were distributed under the same order of priority (as for liquidation). For example, if the default were for Rs 1,000 crore and the resolution professional recovered Rs 800 crore, the operational creditor must at least get an amount which they would have received if Rs 800 crore have been obtained through liquidation proceeds. Further, the Bill
Insolvency and Bankruptcy code
Insolvency and Bankruptcy code What is IBC? Insolvency and Bankruptcy Code, 2016 is considered as one of the biggest insolvency reforms in the economic history of India. This was enacted for reorganization and insolvency resolution of corporate persons, partnership firms and individuals in a time-bound manner for maximization of the value of assets of such persons. Background The era before IBC had various scattered laws relating to insolvency and bankruptcy which caused inadequate and ineffective results with undue delays. For example, Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act SARFAESI –for security enforcement. The Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (RDDBFI) for debt recovery by banks and financial institutions, Companies Act for liquidation and winding up of the company, Ineffective implementation, conflict in one of these laws and the time-consuming procedure in the aforementioned laws, made the Bankruptcy Law Reform Committee draft and introduce Insolvency and Bankruptcy Law bill. Objectives of IBC Consolidate and amend all existing insolvency laws in India. To simplify and expedite the Insolvency and Bankruptcy Proceedings in India. To protect the interest of creditors including stakeholders in a company. To revive the company in a time-bound manner. To promote entrepreneurship. To get the necessary relief to the creditors and consequently increase the credit supply in the economy. To work out a new and timely recovery procedure to be adopted by the banks, financial institutions or individuals. To set up an Insolvency and Bankruptcy Board of India. Maximization of the value of assets of corporate persons. Read Also Strategic disinvestment Highlights of the Code The Code creates time-bound processes for insolvency resolution of companies and individuals. These processes will be completed within 180 days. If insolvency cannot be resolved, the assets of the borrowers may be sold to repay creditors. The resolution processes will be conducted by licensed insolvency professionals (IPs). These IPs will are members of insolvency professional agencies (IPAs). IPAs also furnish performance bonds equal to the assets of a company under insolvency resolution. Information utilities (IUs) are established to collect, collate and disseminate financial information to facilitate insolvency resolution. The National Company Law Tribunal (NCLT) adjudicate insolvency resolution for companies. The Debt Recovery Tribunal (DRT) adjudicate insolvency resolution for individuals. The Insolvency and Bankruptcy Board of India regulate functioning of IPs, IPAs and IUs. Key Issues and Analysis Time-bound insolvency resolution requires the establishment of several new entities. Also, given the pendency and disposal rate of DRTs, their current capacity may be inadequate to take up the additional role. IPAs, regulated by the Board, will be created for regulating the functioning of IPs. This approach of having regulated entities further regulate professionals may be contrary to the current practice of regulating licensed professionals. Further, requiring a high value of performance bond may deter the formation of IPAs. The Code provides an order of priority to distribute assets during liquidation. It is unclear why: (I) secured creditors will receive their entire outstanding amount, rather than up to their collateral value, (ii) unsecured creditors have priority over trade creditors, and (iii) government dues will be repaid after unsecured creditors. The Code provides for the creation of multiple IUs. However, it does not specify that full information about a company will be accessible through a single query from any IU. This may lead to financial information being scattered across these IUs. The Code creates an Insolvency and Bankruptcy Fund. However, it does not specify the manner in which the Fund will be used. Read Also National Crimes Record Bureau (NCRB) IBC Amendment Bill, 2019 The Bill amends the Insolvency and Bankruptcy Code, 2016. The Code provides a time-bound process for resolving insolvency in companies and among individuals. Insolvency is a situation where individuals or companies are unable to repay their outstanding debt. Under the Code, a financial creditor may file an application before the National Company Law Tribunal (NCLT) for initiating the insolvency resolution process. The NCLT must find the existence of default within 14 days. Thereafter, a Committee of Creditors (CoC) consisting of financial creditors will be constituted for taking decisions regarding insolvency resolution. The CoC may either decide to restructure the debtor’s debt by preparing a resolution plan or liquidate the debtor’s assets. The CoC will appoint a resolution professional who will present a resolution plan to the CoC. The CoC must approve a resolution plan, and the resolution process must be completed within 180 days. This may be extended by a period of up to 90 days if the extension is approved by NCLT. If the resolution plan is rejected by the CoC, the debtor will go into liquidation. The Code provides an order of priority for the distribution of assets in case of liquidation of the debtor. This order places financial creditors ahead of operational creditors (e.g., suppliers). In a 2018 Amendment, home-buyers who paid advances to a developer were to be considered as financial creditors. They would be represented by an insolvency professional appointed by NCLT. The Bill addresses three issues. First, it strengthens provisions related to time-limits. Second, it specifies the minimum pay-outs to operational creditors in any resolution plan. Third, it specifies the manner in which the representative of a group of financial creditors (such as home-buyers) should vote. Resolution plan: The Code provides that the resolution plan must ensure that the operational creditors receive an amount which should not be lesser than the amount they would receive in case of liquidation. The Bill amends this to provide that the amounts to be paid to the operational creditor should be the higher of: (i) amounts receivable under liquidation, and (ii) the amount receivable under a resolution plan, if such amounts were distributed under the same order of priority (as for liquidation). For example, if the default were for Rs 1,000 crore and the resolution professional recovered Rs 800 crore, the operational creditor must at least get an amount which they would have received if Rs 800 crore have been obtained through liquidation proceeds. Further, the Bill
Industrial relations code bill 2019
Industrial relations code bill 2019 Why in news? The Union Cabinet chaired by the Prime Minister has given its approval for introduction of the Industrial Relations Code, 2019 in the Parliament. Benefits? Setting up of two-member tribunal (in place of one member) introducing a concept that some of the important cases will be adjudicated jointly and the rest by a single member resulting speedier disposal of cases. To impart flexibility to the exit provisions (relating to retrenchment etc.), for which, the threshold for prior approval of appropriate Government has been kept unchanged at 100 employees, but added a provision for changing ‘such number of employees’ through notification. The re-skilling fund is to be utilised for crediting to workers in the manner to be prescribed. Definition of Fixed Term Employment and that it would not lead to any notice period and payment of compensation on retrenchment excluded. Vesting of powers with the government officers for adjudication of disputes involving penalty as fines thereby lessening the burden on the tribunal. Background: The draft code on Industrial Relations has been prepared after amalgamating, simplifying and rationalizing the relevant provisions of following three Central Labour Acts: The Trade Unions Act, 1926 The Industrial Employment (Standing Orders) Act, 1946 The Industrial Disputes Act, 1947 Significance: Codification of labour laws will remove the multiplicity of definitions and authorities, leading to ease of compliance without compromising wage security and social security to workers. Uniformity of coverage:- The new Code on Wages will ensure minimum wages to all and timely payment to employees irrespective of the sector without any wage ceiling. It is expected to treat contract labour on par with a regular employee to have a dignified life. It is expected to provide for an appellate authority between the claimed authority and the judicial forum which will lead to speedy, cheaper and efficient redressal of grievances and settlement of claims as that of earlier. Reduction of unemployment:- For instance, “Seattle’s Minimum Wage Experience 2015-16”, a 2017 study by researchers at the University of California Berkeley, found that since the city raised its minimum wage in 2015, unemployment dropped from 4.3% to 3.3% The bill is expected to benefit over 50 crores employees across the country. The bill is expected to go for digital mode/cheques as the mode of payment of wages. This would promote digitization and extend wage and social security to the worker. It also provides for rationalisation of penalties for different types of violations Will ensure decent Minimum wage for all which will result into increase in disposable incomes in turn help in eradicating Poverty, hunger to achieve SDGs. The multiplicity of definitions will be removed through this change. The wage conditions of unskilled workers will improve. It will ensure humane working conditions through minimum working hours, overtime etc. and prevent exploitation of labour. Can lead to the formalisation of the economy. The Code prohibits gender discrimination on wage-related matters. Also, help in reduce regionalism by reducing wage disparity across different regions. Read Also Anti Defection Law in India Key Issues and Analysis: The central government may set a national minimum wage. Further, it may set separate national minimum wages for different states or regions. In this context, two questions arise: (i) the rationale for a national minimum wage, and (ii) whether the central government should set one or multiple national minimum wages. States have to ensure that minimum wages set by them are not lower than the national minimum wage. If existing minimum wages set by states are higher than the national minimum wage, they cannot reduce the minimum wages. This may affect the ability of states to reduce their minimum wages if the national minimum wage is lowered. The time period for revising minimum wages will be set at five years. Currently, state governments have flexibility in revising minimum wages, as long as it is not more than five years. It is unclear why this flexibility has been removed, and five years has been set for revision. The Equal Remuneration Act, 1976, prohibits employers from discriminating in wage payments as well as recruitment of employees based on gender. While the Code prohibits gender discrimination on wage-related matters, it does not include provisions regarding discrimination during recruitment. Conclusion If some of the issues like what would the states which already provide higher minimum wage than the proposed national minimum wage do, Time period for revising minimum wage is fixed at 5 years so there is no flexibility. If these are resolved the code would change the face of Indian economy. Read Also Fiscal Federalism in India Enroll today with the best civils service academy and take your first step towards your Civils journey. Feel free to reach out to us for any inquiries, collaborations, or support. We’re here to help. join now
ISRO & Indian Space Technology
ISRO and Indian Space Technology India decided to go to space when the Indian National Committee for Space Research (INCOSPAR) was set up by the Government of India in 1962. With the visionary Dr Vikram Sarabhai at its helm, INCOSPAR set up the Thumba Equatorial Rocket Launching Station (TERLS) in Thiruvananthapuram for upper atmospheric research. Vikram Sarabhai, having identified the role and importance of space technology in a Nation’s development, provided ISRO the necessary direction to function as an agent of development. ISRO then embarked on its mission to provide the Nation space-based services and to develop the technologies to achieve the same independently. The INCOSPAR was initiated under the leadership of Dr. Sarabhai and Dr. Ramanathan. In the process, it has become one of the six largest space agencies in the world. ISRO maintains one of the largest fleet of communication satellites (INSAT) and remote sensing (IRS) satellites, that cater to the ever-growing demand for fast and reliable communication and earth observation respectively. Indian Space Technology – Importance ISRO develops and delivers application-specific satellite products and tools to the Nation: broadcasts, communications, weather forecasts, disaster management tools, Geographic Information Systems, cartography, navigation, telemedicine, dedicated distance education satellites being some of them. To achieve complete self-reliance in terms of these applications, it was essential to develop cost efficient and reliable launch systems, which took shape in the form of the Polar Satellite Launch Vehicle (PSLV). The famed PSLV went on to become a favoured carrier for satellites of various countries due to its reliability and cost-efficiency, promoting unprecedented international collaboration. The Geosynchronous Satellite Launch Vehicle (GSLV) was developed keeping in mind the heavier and more demanding Geosynchronous communication satellites. Various dedicated research centres and autonomous institutions for remote sensing, astronomy and astrophysics, atmospheric sciences and space sciences in general function under the aegis of the Department of Space. ISRO’s own Lunar and interplanetary missions along with other scientific projects encourage and promote science education, apart from providing valuable data to the scientific community which in turn enriches science. ISRO is moving forward with the development of heavy-lift launchers, human spaceflight projects, reusable launch vehicles, semi-cryogenic engines, single and two-stage to orbit (SSTO and TSTO) vehicles, development and use of composite materials for space applications etc. Applications Earth Observation Applications: Earth Observation Satellites of ISRO has been successfully able to establish many operational applications in the country. Both at Central and State level, there is a large number of users who utilise space-based inputs for various purposes. Some of the important missions of ISRO, in terms of IRS series of satellites, that has enabled unique applications of space-based imaging are, Cartosat-1 & 2, Resources at-1 & 2, Oceans-1 & 2, Risat-1, Megha-Tropiques, SARAL, Scatsat, INSAT series, and host of other satellites. ISRO is in the verge of realising next generation of these satellites, as part of a continuity of missions, to ensure that the user community is continuously benefitted from space inputs for sustainable development and good governance. Disaster management support: In order to better understand the risks due to disasters like floods, landslides, cyclones, forest fires, earthquakes, drought etc, it is necessary to integrate satellite and field-based observations and to work towards risk reduction principles. Disaster Management Support (DMS) Programme, comprehensively addresses various aspects of natural disasters in the country, using space-based inputs. ISRO disseminates relevant information in the interactive geospatial domain through various geo portals like Bhuvan, National Database for Emergency Management and MOSDAC for the administrators to better understand the impact and for improved decision support. ISRO provides the satellite-based near real-time information support to Central Ministries / Departments and State Ministries / Departments, prior during and after major natural disasters. In addition, ISRO also provides capacity building in the use of Space technology inputs in Disaster Management Support. ISRO is actively involved with various other countries with regard to disaster management, through international frameworks, such as International Charter ‘Space & Major Disasters’, Sentinel Asia, UNESCAP and so on. Satellite Communication: It has become widespread and ubiquitous throughout the country for such diverse applications like Television, DTH Broadcasting, DSNG and VSAT to exploit the unique capabilities in terms of coverage and outreach. The technology has matured substantially over past three decades and is being used on a commercial basis for a large number of applications. Important initiatives pursued by ISRO towards societal development include Tele-education, Tele-medicine, Village Resource Centre (VRC) and Disaster Management System (DMS) Programmes. The potential of space technology for applications of national development is enormous. Role of ISRO in Indian space technology India is still is a developing country with vast developmental and security concerns. In this context, it is very difficult to justify the allocations for space missions that do not have a direct bearing on development. Successfully launched of MOM and a planned rover onto the moon surely boosted the Indian space program. But India’s reliance on satellites has created military vulnerabilities. India holds the view that reliance on the integration of outer space and cyber capabilities will only increase in future conflicts. But now beyond the maritime domain, India has been relying on foreign partners for many other satellite-based communications and data services. For instance, it continues to rely on NASA for deep space communications. Read Also The Vedic Culture Involvement of the private sector with ISRO Advantages This attempts to increase the number of satellite launches and also explore more research-related opportunity areas in order to overcome manpower and budgetary constraints. The private sector would be responsible for the AIT (Assembly, Integration and Testing ) of satellites at ISRO facilities. The private sector already supplies the majority of the sub-systems in satellite manufacturing. This will let the private industry build their own facilities after gaining enough expertise. ISRO ‘s in-house capacity is limited so they can offload 30-40% of the work to the private sector. The collaboration with private players is vital for capacity building, cost reduction and getting an extra mile cutting-edge advantage. iSRO has 42 operational satellites for multiple purposes,
Anti-microbial resistance in India
Anti-microbial resistance in India Antimicrobial resistance is an important concern for the public health authorities at a global level. However, in developing countries like India, recent hospital and some community-based data showed an increase in the burden of antimicrobial resistance. What is AMR? Antimicrobial resistance (AMR) is the ability of a microorganism (like bacteria, viruses, and some parasites) to stop an antimicrobial (such as antibiotics, antivirals and antimalarial) from working against it. As a result, standard treatments become ineffective, infections persist and may spread to others. When an organism is resistant to more than one drug, it is said to be multidrug-resistant. Two main contributing factors are, Excessive use of antimicrobials and, Inadequate infection control policies facilitating the spread of resistant microorganisms. Challenges Strengthening of Surveillance Data Standard Operating Guidelines Improvement in antibiotic prescription practices Over the counter sale of antibiotics Poor sanitation, endemic infections, malnutrition Limited public awareness and government commitment Lack of coordination and fragmentation of effort Perverse incentives. The journey so far: AMR is one among 10 global health threats list published by WHO, which demand immediate attention. Understanding the gravity of the problem, the World Health Assembly has adopted the Global Action Plan on AMR in the year 2015 as a part of the tripartite collaboration with World Health Organization, Food and Agricultural Organization, and World Organization for Animal Health. India’s National Action Plan (NAP) for AMR was released in April 2017 by the Union Ministry of Health and Family Welfare. The objectives of the NAP include improving awareness, enhancing surveillance measures, strengthening infection prevention and control, research and development, promoting investments, and collaborative activities to control AMR. On the basis of the NAP, various states have begun the process of initiating their State Action Plans. A National Policy for containment of Antimicrobial Resistance (AMR) in the country was formulated in the year 2011 and has been widely disseminated. The said policy envisages enforcement and enhancement of regulatory provisions for the use of antibiotics for humans as also for veterinary use. The Drugs and Cosmetic Rule, 1945 were amended in 2013 to incorporate a new Schedule H1 under the said rules containing 46 drugs which include third and fourth generation antibiotics, anti TB drugs and certain habit forming drugs for having strict control over the sale of these drugs. The Drugs falling under Schedule H1 are required to be sold in the country with conditions A National Programme for Containment of AMR has also been initiated in 12th Five Year Plan The Government of India has signed Memorandum of Understanding/Agreement for cooperation in health with several countries. AMR has been identified as one of the area of cooperation in agreements with some of these countries including Sweden, Netherland and U.K. Indian Council of Medical Research (ICMR) has signed a Memorandum of Understanding (MoU) with the Research Council of Norway (RCN), and also initiated collaboration with National Institute of Health, USA (NIH) and Centers for Disease Control, Atlanta, USA (CDC) regarding antimicrobial resistance. Read Also Biomining Way forward Establish a national alliance against antimicrobial resistance with all key stakeholders as its members. There should be an integrated approach between provider and consumer sides to effectively prevent the antimicrobial resistance Implement appropriate surveillance mechanisms in the health and veterinary sectors to generate reliable epidemiological information, baseline data, trends on antimicrobial resistance, utilization of antimicrobial agents and impact on the economy and health through designated national and regional reference centres. Private pharmaceutical industries must take it upon themselves to distribute drugs in a responsible manner. Philanthropic charities must fund the development of new antibiotics, while citizen activists must drive awareness. These stakeholders must appreciate that the only way to postpone resistance is through improved hygiene and vaccinations. Discourage non-therapeutic use of antimicrobial agents Develop national standard treatment and infection control guidelines Conduct of operational research for better understanding of the technical and behavioural aspects of prevention and control of antimicrobial resistance. Strengthen the communicable diseases control program to reduce disease burden and accord priority to the discipline of infectious diseases in medical education and health services. Read Also Insolvency and Bankruptcy Code Conclusion There exist lacunae in the structure and functioning of the public health care delivery system with regard to quantification of the problem and various determining factors related to antimicrobial resistance. There is an urgent need to develop and strengthen antimicrobial policy, standard treatment guidelines and a national plan for containment of AMR in India. There should be more focus on research related to public health aspects of AMR at community and hospital level. Information Education Communication activities with monitoring and evaluation of the existing health care delivery system for both health care providers and consumers to improve drug use, should be undertaken simultaneously. Enroll today with the best civils service academy and take your first step towards your Civils journey. Feel free to reach out to us for any inquiries, collaborations, or support. We’re here to help. join now
