05 July 2013
Supreme Court
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S.SUBRAMANIAM BALAJI Vs GOVT.OF T.NADU .

Bench: P. SATHASIVAM,RANJAN GOGOI
Case number: C.A. No.-005130-005130 / 2013
Diary number: 33409 / 2007
Advocates: Vs B. BALAJI


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REPORTABLE        

IN THE SUPREME COURT OF INDIA

CIVIL APPELLATE JURISDICTION

CIVIL APPEAL NO.  5130            OF 2013 (Arising out of SLP (C) No. 21455 of 2008)

S. Subramaniam Balaji           .... Appellant(s)

Versus

The Government of  Tamil Nadu & Ors.                       ....  Respondent(s)

WITH

TRANSFERRED CASE NO 112 OF 2011 S. Subramaniam Balaji                  .... Appellant(s)

Versus

The Government of  Tamil Nadu & Ors.                         ....  Respondent(s)

J U D G M E N T  

P. Sathasivam, J.

SLP (C) No. 21455 of 2008

1) Leave granted.

2) This appeal is directed against the final judgment and  

order dated 25.06.2007 passed by the Madurai Bench of  

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the Madras High Court in Writ Petition (C) Nos. 9013 of  

2006 and 1071 of 2007 whereby the High Court dismissed  

the petitions filed by the appellant herein.

3) Brief Facts:

(a) The case relates to distribution of free gifts by the  

political  parties  (popularly  known  as  ‘freebies’).  The  

Dravida  Munnetra  Kazhagam  (DMK)-  Respondent  No.  8  

herein,  while  releasing  the  election  manifesto  for  the  

Assembly  Elections  2006,  announced  a  Scheme  of  free  

distribution of Colour Television Sets (CTVs) to each and  

every household which did not possess the same, if the  

said party/its  alliance were elected to power.  The Party  

justified the decision of distribution of free CTVs for the  

purpose of providing recreation and general knowledge to  

the household women, more particularly,  those living in  

the  rural  areas.   In  pursuance  of  the  same,  follow  up  

actions by way of enlisting the households which did not  

have  a  CTV  set  and  door  to  door  identification  and  

distribution of application forms were initiated.   

(b) This Scheme was challenged by one S. Subramaniam  

Balaji-the appellant herein,  by way of filing writ  petition  

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before the High Court on the ground that the expenditure  

to  be  incurred  by  the  State  Government  for  its  

implementation  out  of  the  State  Exchequer  is  

unauthorized,  impermissible  and  ultra  vires the  

Constitutional  mandates.   The  appellant  herein  filed  a  

complaint dated 24.04.2006 to the Election Commission of  

India  seeking  initiation  of  action  in  respect  of  the  said  

promise  under  Section  123  of  the  Representation  of  

People Act,  1951 (in short ‘the RP Act’).   The appellant  

herein also forwarded the complaint to the Chief Election  

Officer, Tamil Nadu.   

(c) The DMK and its political allies emerged victorious in  

the  State  Assembly  Election held  in  the  month  of  May,  

2006.  In  pursuit  of  fulfilling  the  promise  made  in  the  

election  manifesto,  a  policy  decision  was  taken  by  the  

then government to  provide one 14” CTV to all  eligible  

families  in  the  State.  It  was  further  decided  by  the  

Government  to  implement  the  Scheme  in  a  phased  

manner and a provision of Rs. 750 crores was made in the  

budget  for  implementing  the  same.   A  Committee  was  

constituted, headed by the then Chief Minister and eight  

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other  legislative members of  various political  parties,  in  

order  to  ensure  transparency  in  the  matter  of  

implementation of the Scheme.   

(d) For implementing the first phase of the Scheme, the  

work  of  procurement  of  around  30,000  CTVs  was  

entrusted  to  Electronic  Corporation  of  Tamil  Nadu  Ltd.  

(ELCOT), a State owned Corporation.  The first phase of  

the Scheme was implemented on 15/17th September, 2006  

by  distributing  around  30,000  CTVs  to  the  identified  

families in all the districts of the State of Tamil Nadu.   

(e) Being  aggrieved  by  the  implementation  of  the  

Scheme, the appellant herein filed another complaint to  

the Chief Secretary and the Revenue Secretary pointing  

out  the  unconstitutionality  of  the  Scheme.   He  also  

preferred Writ Petition being Nos. 9013 of 2006 and 1071  

of 2007 before the Madurai  Bench of the High Court of  

Madras alleging the Scheme a corrupt practice to woo the  

gullible  electorates  with  an  eye  on  the  vote  bank.   By  

order  dated 25.06.2007,  the High  Court  dismissed both  

the writ petitions filed by the appellant herein holding that  

the  action  of  the  Government  in  distributing  free  CTVs  

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cannot  be  branded  as  a  waste  of  exchequer.     Being  

aggrieved, the appellant herein has preferred this appeal  

by way of special leave before this Court.       

Transferred Case (C) No. 112 of 2011

(f) In  the  month  of  February  2011,  pursuant  to  the  

elections  to  the  Tamil  Nadu  State  Assembly,  the  ruling  

party (DMK) announced its manifesto with a volley of free  

gifts.  In  the  same  manner,  the  opposite  party-All  India  

Anna  Dravida  Munnetra  Kazhagam  (AIADMK)  and  its  

alliance also announced its  election manifesto with free  

gifts to equalize the gifts offered by the DMK Party and  

promised to distribute free of cost the following items, viz.,  

grinders,  mixies,  electric fans,  laptop computers,  4 gms  

gold thalis, Rs. 50,000/- cash for women’s marriage, green  

houses,  20  kgs.  rice  to  all  ration  card  holders  even  to  

those above the poverty line and free cattle and sheep, if  

the said party/its  alliance were elected to power during  

the Tamil Nadu Assembly Elections 2011.    

(g) The very same Scheme was also challenged by  the  

appellant herein on the ground that such promises by the  

parties are unauthorized, impermissible and ultra vires the  

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Constitutional mandates.  The appellant herein also filed a  

complaint dated 29.03.2011 to the Election Commission of  

India  seeking  initiation  of  action  in  respect  of  the  said  

Scheme under Section 123 of the RP Act.   

(h) The  AIADMK  and  its  political  allies  won  the  State  

Assembly  Elections  held  in  2011.   In  order  to  fulfill  the  

promise made in the election manifesto, a policy decision  

was taken by the then government to distribute the gifts  

and, pursuant to the same, tenders were floated by the  

Civil Supplies Department for mixies, grinders, fans etc.,  

as well as by ELCOT for lap top computers.    

(i)  On 06.06.2011,  the appellant  herein  filed another  

complaint to the Comptroller and Auditor General of India  

and the Accountant General  of Tamil  Nadu (Respondent  

Nos.  3  and  4  therein  respectively)  pointing  out  the  

unconstitutionality  of  the  Scheme  and  transfer  of  

consolidated  funds  of  the  State  for  the  same.   In  the  

meanwhile, the appellant herein preferred a Writ Petition  

being No. 17122 of 2011 before the High Court of Madras  

alleging the Scheme a corrupt practice and to restrain the  

government  from  in  any  way  proceeding  with  the  

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procurement,  placement  of  tenders  or  making  free  

distributions under various Schemes introduced to woo the  

voters.  In view of the pendency of SLP (C) No. 21455 of  

2008  in  this  Court  relating  to  the  similar  issue,  the  

appellant preferred a Transfer Petition (C) No. 947 of 2011  

before this Court praying for the transfer of the said writ  

petition. By order dated 16.09.2011, this Court allowed the  

said petition and the same has been numbered as T.C No.  

112 of 2011 and tagged with the abovesaid appeal.

4) Heard Mr. Arvind P. Datar, learned senior counsel for  

the  appellant/petitioner,  Mr.  Shekhar  Naphade,  learned  

senior  counsel  for  the  State  of  Tamil  Nadu,  Mr.  P.P.  

Malhotra,  learned  Additional  Solicitor  General  for  the  

Union of India and Ms. Meenakshi Arora, learned counsel  

for the Election Commission of India.

5) Prayer/Relief Sought For:

(a)  When  DMK  started  distribution  of  CTVs,  the  

appellant/petitioner herein approached the High Court of  

Judicature at Madras, Bench at Madurai, by way of filing  

Writ Petition (C) No. 9013 of 2006 with a prayer to issue a  

writ of mandamus to forbear the respondents therein from  

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incurring any expenditure out of the public exchequer for  

the purchase and distribution of colour Televisions within  

the State of Tamil Nadu.   

(b) After  5  years,  when  AIADMK  elected  to  power,  

pursuant   to  their  election  manifesto,  they  started  

distributing various freebies, which was also challenged by  

the very same person – the appellant/petitioner herein by  

filing a writ petition being No. 17122 of 2011 before the  

High Court of Judicature at Madras praying for issuance of  

a  writ  to declare the free distribution of (i)  grinders (ii)  

mixies (iii)  electric fans (iv) laptop computers (v) 4 gm.  

gold thalis (vi) free green houses (vii) free  20 kgs. rice to  

all  ration card holders even to those above the poverty  

line  and  (viii)  free  cattle  and  sheep  ultra  vires  the  

provisions of Articles 14, 41, 162, 266(3) and 282 of the  

Constitution of India and Section 123(1) of the RP Act.   

Contentions by the Appellant:

6) Mr.  Datar,  learned senior  counsel  for  the appellant  

submitted  that  a  “gift”,  “offer”  or  “promise”  by  a  

candidate or his agent, to induce an elector to vote in his  

favour  would amount to “bribery” under Section 123 of  

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the  RP  Act.   He  further  pointed  out  that  to  couch  this  

offer/promise to give away a gift whose worth is estimable  

in money and that too from the consolidated fund of the  

State under the head “promise of publication” or “public  

policy” or “public good” is to defeat the purposes of the  

above Section viz.,  Section 123(1) of the RP Act.  While  

elaborating  his  submissions,  Mr.  Datar  raised  his  

objections under the following heads:

(I) Article 282 of the Constitution of India only permits  

defraying of funds from the Consolidated Fund of the State  

for “public purpose”;

(II) The  distributions  made  by  the  respondent-State  is  

violative  of  Article  14  since  there  is  no  reasonable  

classification;

(III) Promises  of  free  distribution  of  non-essential  

commodities in an election manifesto amounts to electoral  

bribe under Section 123 of the RP Act;

(IV) The Comptroller and Auditor General of India has a  

duty  to  examine  expenditures  even  before  they  are  

deployed; and   

(V) Safeguards must be built into schemes to ensure that  

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the distribution is made for a public purpose and is not  

misused.

(I)  Article  282  of  the  Constitution  of  India  only  permits  defraying of  funds from the Consolidated  Fund of the State for “public purpose”.

7) Regarding the first contention relating to Article 282  

of  the  Constitution  of  India  which  only  permits  use  of  

monies  out  of  the  Consolidated  Fund  of  the  State  for  

public purpose, it is useful to refer the said Article which  

reads as under:

“282.Expenditure  defrayable  by  the  Union  or  a  State out of its revenue – The Union or a State may  make  any  grants  for  any  public  purpose,  notwithstanding that the purpose is not one with respect  to which Parliament or the Legislature of the State, as  the case may be, may make laws.”

8) It  is  pointed  out  by  Mr.  Datar  that  under  Article  

266(3)  of  the  Constitution,  the  monies  out  of  the  

Consolidated Fund of India or the Consolidated Fund of the  

State can only be appropriated in accordance with law and  

for  the  purposes  and  in  the  manner  provided  by  the  

Constitution.   Under  Article  162,  the  extent  of  the  

executive power of the State is limited to the matters with  

respect  to  which  the  Legislature  of  the  State  has  the  

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power  to  make  laws.   Likewise,  under  Article  282,  the  

Union  or  the  States  may  make  grants  for  “any  public  

purpose”,  even  if  such  public  purpose  is  not  one  with  

respect to which the State or the Union may make laws.  

By  referring  these  Articles,  Mr.  Datar  submitted  that  

monies out of the Consolidated Fund of the State can only  

be appropriated for  the execution of  laws made by the  

State, or for any other “public purpose”.

9) It is further pointed out that the State raises funds  

through taxation which can be used by the State only to  

discharge  its  constitutional  functions.   Taxpayers’  

contribution cannot be used to fund State largesse.  While  

the  taxpayer  has  no  right  to  demand  a  quid  pro  quo  

benefit for the taxes paid, he has a right to expect that the  

taxes  paid  will  not  be  gifted  to  other  persons  without  

general public benefit.  The main intention of an act done  

for a public purpose must be the public, and that the act  

would remotely, or in a collateral manner, benefit the local  

public is not relevant at all.

10) According  to  Mr.  Datar,  the  most  important  

constitutional mandate is that a “public purpose” cannot  

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be the one that results in the creation of private assets.  

The  exceptions  that  can  be  made  to  this  overarching  

principle are the distributions that fulfill an essential need  

such as food, clothing, shelter, health or education.  Even  

if  certain  distributions,  such  as  the  distribution  of  

televisions might have some public benefit,  it would not  

amount to public purpose since the dominant purpose of  

such a distribution is only the creation of private assets.  

Where the purposes of the expenditure are partly public  

and partly private, the Courts in the US have held that the  

entire  act  must  fail.  (vide  Coates vs.  Campbell  and  

Others, 37 Minn. 498).

11) While  statutory  authorities  can  confer  social  or  

economic  benefits  on  particular  sections  of  the  

community,  their  power  is  limited  by  the  principle  that  

such benefits must not be excessive or unreasonable.  As  

Lord  Atkinson stated in  Roberts vs.  Hopwood & Ors.  

1925  AC  578,  the  State  cannot  act  in  furtherance  of  

“eccentric principles of socialistic philanthropy”.  In view  

of  the  above,  a  reference  was  also  made  to  Bromley  

London Borough Council, London vs. Greater Council  

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& Anr.  1982 (2) WLR 62 and  R vs.  Secretary of State  

for Foreign Affairs (1995) 1 All ER 611.

12) In this context, it is pointed out that Article 41 of the  

Constitution  of  India  states  that  the  State,  “within  its  

economic capacity and development” can make effective  

provision for securing “public assistance” in certain special  

cases.  Article 39(b) states that the State shall endeavour  

to ensure that the “material resources” of the community  

are  so  distributed  as  best  to  subserve  the  “common  

good”.   Both  these  articles  imply  that  the  goal  of  the  

Constitution, as evidenced by these Directive Principles, is  

to ensure that the State distributes its resources to secure  

“public  assistance”  and  “common good”,  and  must  not  

create private assets.

13) It  is  also  pointed  out  that  the  Constitutions  of  17  

States of the US explicitly prohibit the making of private  

gifts  by  the  Government,  and  it  is  recognized  even  

elsewhere in the US that the public funds cannot be used  

to make gifts to private persons.

14) It  is  further  stated  that  the  spending  on  free  

distribution must be weighed against the public benefits  

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that ensue from it and only if the public benefits outweigh  

the same, can the spending be classified as being for a  

public purpose.  Mr. Datar asserted that when the literacy  

rate in the State of Tamil Nadu is around 73% and there  

are 234 habitations across the State with no school access  

whatsoever,  distribution  of  free  consumer  goods  to  the  

people having ration cards cannot be justified as “public  

purpose”.

15) In addition to CTVs by the previous Government, the  

following  free  distributions  have  been  promised  by  the  

Government of Tamil Nadu in the Budget Speech for the  

year 2011-2012:

“1. 60,000  green  houses,  at  a  cost  of  Rs.1.8  lakhs  per  house,  totally  amounting  to  Rs.1080  crores.  The  green  houses  are  being  supplied  to  persons below the poverty line residing  in rural areas.  However,  they  are  being  supplied  to  persons  who  already own 300 sq. ft. of land.  

Comment by the appellant:  

The  State  is  creating  private  assets  through  this  distribution, when it can, instead build houses owned by  the State which can be occupied by eligible persons.

2. 4 gms of gold for poor girls  for thali,  plus  Rs.50000  cash  for  wedding  purposes,  totally  amounting to Rs.514 crores.   

Comment by the appellant:  

The  State  can  achieve  the  same  end  of  subsidizing  marriages  by  providing  institutions  such  as  mandaps  

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and temples that can be used for marriage.  There are  no safeguards in any scheme proposed by the State to  ensure  that  Rs.50,000  given  in  cash  to  the  eligible  beneficiaries  will  be  used  for  the  marriage,  and  not  diverted for other purposes.

3. Free mixies,  grinders  and fans  for  25 lakh  families, totally amounting to Rs.1250 crores.   

Comment by the appellant:  

The reasons given by the State, of alleviating women of  “domestic drudgery” are frivolous and do not amount to  a  “public  purpose”.   Mixies,  grinders  and  fans  are  luxuries  and  cannot  be  freely  distributed  by  the  Government.  The distribution is being made to a large  section  of  persons  without  even ascertaining  whether  the persons already own these goods and whether they  require state assistance to acquire these goods.

4. 9.12 lakh laptops to all class XII students in  Tamil Nadu amounting to Rs. 912 crores.   

Comment by the appellant:  

No “public purpose” is served by such distribution. The  State is duty bound to create computer labs in schools  and colleges and not distribute such expensive articles  as  gifts.   Classification  of  students  eligible  for  the  laptops  suffers  from  overclassification,  violative  of  Article 14 of the Constitution.  The classification is also  violative of Article 14 as it omitted certain categories of  students.    

5. Free cattle to poor families in certain rural  areas,  Rs.56  crores.  Distribution  of  milch  cows  is  being done, according to the State’s Government Order,  to “boost the productivity of milk in the State.”   

Comment by the appellant:  

It  is  stated  that  the  State  does  run  a  diary,  and  the  constitutionally valid method to boost milk production is  to spend on these institutions and not to create private  assets under these Government Orders.

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6. Free  rice  to  1.83  crore  families  under  the  PDS system, amounting to Rs.4500 crores.   

Comment by the appellant:  

Rice is already being distributed in the State at Rs.2 per  kilo.  Under this scheme, rice is being distributed free of  cost,  as a pure populist  measure.  As per the State’s  own  submissions,  rice  is  priced  at  Rs.2  under  the  Anthyodaya  Anna  Yojana,  which  is  being  followed  throughout the country.

16) Mr.  Datar,  learned senior  counsel  for  the appellant  

pointed out that the Constitution of India does not permit  

free  distribution  of  goods  such  as  colour  televisions,  

mixies, grinders, laptops since these are consumer goods  

and only benefit the persons to whom they are distributed  

and  not  the  public  at  large.   Public  spending  on  these  

goods to  the  tune of  Rs.9000 crores  far  outweighs any  

public  benefit  that  might  arise  from  such  distributions.  

When the same ends can be efficiently achieved without  

the  creation  of  private  assets,  such  as  the  creation  of  

Community  Computer  Centers  instead  of  distributing  

laptops,  or  setting  up  of  Community  Televisions  at  the  

Panchayat  level  resorting  to  make  large  scale  free  

distribution, it clearly violate Articles 162, 266(3) and 282  

of the Constitution.  It is further pointed out that the fact  

that  CTVs  and  other  schemes  of  previous  Government  

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were  cancelled  by  the  present  Government  shows  that  

these were not for “public purpose” but only to serve the  

political objectives of a particular party.

II. The distributions made by the respondent fall  foul  of  Article  14  since  there  is  no  reasonable  classification

17) The  right  to  equality  under  Article  14  of  the  

Constitution  requires  that  the  State  must  make  a  

reasonable classification based on intelligible differentia,  

and such classification must have a nexus with the object  

of  the  law.   In  making  free  distributions,  the  State,  

therefore,  must  show that  it  has  identified  the  class  of  

persons to whom such distributions are sought to be made  

using intelligible differentia, and that such differentia has  

a rational  nexus with the object of  the distribution.   As  

held  in  Union  of  India  &  Anr. vs.  International  

Trading Co. & Anr. 2003 (5) SCC 437, Article 14 applies  

to matters of government policy and such policy or action  

would be unconstitutional if it  fails to satisfy the test of  

reasonableness.

18) This Court, in K.T. Moopil Nair vs.State of Kerala  

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AIR 1961 SC 552, held that a statute can offend Article 14  

if it groups together persons who are dissimilar.  In that  

case,  a  flat  tax  of  Rs.  2  per  acre  was  levied  on  land  

without ascertaining the income earning potential of such  

land, which was struck down as unconstitutional.

19) In the case on hand,  the colour  televisions,  mixies  

and grinders were being distributed to all persons having  

ration  card.   While  the  distribution  of  these  goods  is  

supposedly being made to help people who cannot afford  

these items, the State has not made any attempt to find  

out  if  such  persons  already  own  a  colour  television,  a  

mixie or a grinder.  Further, the differentia of a ration card  

has no rational nexus with the object of free distribution of  

the items since a ration card does not indicate the income  

of the family or whether they already own these goods.

20) Similarly, in another Scheme, the State has promised  

to distribute free laptops to all  the students studying in  

the State Board.  Again, this classification is arbitrary since  

there are numerous similarly  placed students in  Central  

Board schools who were being excluded by this Scheme.  

The Scheme also  excludes  commerce,  law and medical  

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college students and violates Article 14 by not providing  

intelligible  differentia  having  a  nexus  with  such  

distribution.

III.  Promises  of  free  distribution  of  non-essential  commodities  in  election manifesto amounts to an  electoral bribe under Section 123 of the RP Act.

21) Under Section 123(1)(A) of the RP Act, any “gift, offer  

or promise” by a candidate or his agent or by any other  

person, with the object of inducing a person to vote at an  

election  amounts  to  “bribery”,  which  is  a  “corrupt  

practice” under the said section.  The key element in this  

section is that the voter must be influenced to vote in a  

particular  manner.  It  has  been  held  in  Richardson-

Garnder vs. Ekykn, (1869) 19 LT 613 that the making of  

charitable  gifts  on an extensive  scale  would  lead to  an  

inference that this was made to influence voters.

22) Mr. Datar pointed out that the plea that promises in  

the  manifesto  do  not  amount  to  bribery  is  completely  

baseless and finds no support in the plain words of the  

statute or in decided case laws.  The statute very clearly  

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includes  a  “promise”  within  its  ambit,  and  an  

unconstitutional promise clearly falls foul of the language  

of Section 123 of the RP Act.  Such ‘freebies’ are in form  

part of an election manifesto but in substance is a bribe or  

inducement  under  section  123.   If  such  practices  are  

permitted,  then  the  manifesto  does  indirectly  what  a  

candidate cannot do directly.   

23) It  is  further  pointed  out  that  the  promise  of  

distribution  was  made at  the  time of  elections  and not  

after, and instead of focusing on basic necessities, it was  

on free distributions which indicates that the promise of  

free colour televisions, grinders, mixies, laptops, gold etc.,  

was only made as an electoral bribe to induce voters.

24) Mr.  Datar  further  pointed  out  that  the  intent  of  

Section 123 of the RP Act is to ensure that no candidate  

violates  the  level  playing  field  between the  candidates.  

Therefore,  whether  such  promises  are  made  by  the  

political  party  or  by the candidate himself  is  irrelevant.  

The  manifesto,  where  such  illegal  promises  are  made,  

implore the voters to vote for that particular party.

IV.  The  Comptroller  and  Auditor  General  of  India  has  a  duty  to  examine  expenditures  even  before  

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they are deployed.

25) The  Comptroller  and  Auditor  General  of  India  is  a  

constitutional functionary appointed under Article 148 of  

the Constitution.  His main role is to audit the income and  

expenditure of the Government, Government bodies and  

state-run corporations.  The extent of his duties is listed  

out  in  the  Comptroller  and  Auditor  General’s  (Duties,  

Powers etc.) Act, 1971. Section 13 of this Act states that  

the  CAG  shall  audit  all  the  expenditure  from  the  

Consolidated  Fund  of  India,  and  of  each  State,  and  

ascertain  whether  the  moneys  so  spent  were  “legally  

available for and applicable to the service of purpose to  

which they have been applied or charged.”

26) Section 15 of the Act states that where grants and  

loans  have been given  for  any  specific  purpose  to  any  

authority  or  body  other  than  a  foreign  state  or  an  

international  organization,  the  CAG  has  the  duty  to  

scrutinize the procedure by which the loan or grant has  

been made.

27) The language of the provision suggests that the role  

of CAG is limited to review.  However, this would rob the  

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CAG of the power to ensure that large-scale unauthorized  

spending of public funds, such as these free distributions,  

does not take place.  The Section must be given purposive  

interpretation that would further its intent to ensure that  

the government’s spending is only on purposes that are  

legally  allowable.   The  Chancery  Division  has  held  in  

Kingston Cotton Mills Co. Re [1896] 2 Ch 279 that an  

auditor  is  a  “watchdog”.   To  perform  his  role  as  a  

watchdog, the CAG must be vigilant, watch for any large-

scale  illegal  expenditures,  and  act  upon  them  

immediately.  

V. Safeguards  must  be  built  into  schemes  to  ensure  that  the  distribution  is  made for  a  public  purpose, and is not misused.

28) The Members of Parliament Local Area Development  

Scheme  (MPLADS)  was  challenged  before  this  Court  in  

Bhim Singh vs. Union of India and Ors., (2010) 5 SCC  

538 wherein the Constitution Bench of this Court upheld  

the scheme on the grounds that there were three levels of  

safeguards built into the scheme to ensure that the funds  

given to the Members of Parliament would not be misused.  

This Court held as under:

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“8) The court can strike down a law or scheme only on  the basis of its vires or unconstitutionality but not on the  basis of its viability.  When a regime of accountability is  available  within  the  Scheme,  it  is  not  proper  for  the  Court  to  strike  it  down,  unless  it  violates  any  constitutional principle.  9) In the present Scheme, an accountability regime  has been provided.  Efforts must be made to make the  regime more robust, but in its current form, cannot be  struck down as unconstitutional.”  

29) The MPLAD Scheme clearly had prohibitions against  

spending on the creation of private assets and to make  

loans.   It  is  pointed  out  that  there  is  no  scheme  of  

accountability in the above mentioned promises for free  

distributions,  hence,  learned  senior  counsel  prayed  for  

necessary guidelines for proper utilization of public funds.  

Contentions by the Respondents:

Contentions of the State of Tamil Nadu:  

30) On  the  other  hand,  Mr.  Shekhar  Naphade,  learned  

senior counsel for the State of Tamil Nadu while disputing  

the above claim submitted that the freebies, as promised  

in the election manifesto, would not come under the head  

“corrupt  practices”  and “electoral  offences”  in  terms of  

the  RP  Act.   He  further  submitted  that  in  view  of  the  

mandates  in  the  Directives  Principles  of  State  Policy  in  

Part IV of the Constitution, it is incumbent on the State  

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Government to  promote the welfare of the people,  who  

are below the poverty line or unable to come up without  

their support.  In any event, according to learned senior  

counsel,  for  every  promise  formulated  in  the  form  of  

election manifesto, after coming to power, the same were  

being  implemented  by  framing  various  

schemes/guidelines/eligibility criteria etc. as well as with  

the approval of legislature. Thus, it cannot be construed as  

a waste of public money or prohibited by any Statute or  

Scheme.

31) While  elaborating  his  submissions,  Mr.  Shekhar  

Naphade  replied  for  the  contentions  made  by  the  

appellant under the following heads:

(I) Political Parties are not State, therefore, not amenable  

to writ jurisdiction of the High Court under Article 226 or  

writ jurisdiction of the Supreme Court under Article 32 of  

the  Constitution  of  India  or  any  other  provisions  of  the  

Constitution. For corrupt practices, the remedy is Election  

Petition.

(II) Non-application of Vishaka principle and the difficulties  

in implementing the directions, if any, that may be issued  

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by this Court.

(III) Promises of political parties do not constitute a corrupt  

practice.  

(IV)  The  Schemes  under  challenge  operate  within  the  

parameters  of  public  purpose  and  Article  14  of  the  

Constitution has no role to play.

(I)  Political  Parties  are  not  State,  therefore,  not  amenable to the writ jurisdiction of the High Court  under  Article  226  or  the  writ  jurisdiction  of  the  Hon’ble  Supreme  Court  under  Article  32  of  the  Constitution of India or any other provisions of the  Constitution.  For corrupt practices,  the remedy is  an Election Petition.

32) Learned  senior  counsel  submitted  that  a  political  

party is not a statutory Corporation.  Similarly, a political  

party  is  also  not  a  Government.   It  is  also  not  an  

instrumentality  or  agency  of  the  State.   None  of  the  

parameters laid down by several judgments of this court  

for identifying an agency or instrumentality of the State  

apply to a political party and, therefore, no political party  

can  be  considered  as  a  State  or  any  agency  or  

instrumentality of the State, hence, no writ can lie against  

a  political  party.  [vide  Federal  Bank  Ltd. vs.  Sagar  

Thomas and Others, (2003) 10 SCC 733.

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33) Further, learned senior counsel put forth that it is the  

claim of the appellant that the promises like giving colour  

TVs,  mixer-grinders,  laptops  etc.  constitute  a  corrupt  

practice and,  therefore,  must vitiate an election.   If  the  

promise of the above nature is a corrupt practice, then the  

only remedy for the appellant is to file an Election Petition  

under Section 80, 80A read with other provisions of the RP  

Act.  Under Section 81, such an Election Petition must be  

filed within 45 days from the date of the election.  In the  

petition, the appellant must set out clearly and specifically  

the corrupt practice that he complains of and also set out  

as  to  how  the  returned  candidate  or  his  agent  has  

committed the same or has connived at the same.  An  

election Petition is to be tried on evidence and therefore,  

the writ petition is not a remedy.

(II)  Non-application  of  Vishaka  principle  and  the  difficulties in  implementing the directions,  if  any,  that may be issued by this Court.   34) It was submitted that Entry 72 of List-I of the VIIth  

Schedule to the Constitution of India deals with election to  

Parliament and State Legislative Assemblies.  In exercise  

of this power, the Parliament has enacted the RP Act.  The  

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Act,  as originally enacted, did not contain any provision  

relating to corrupt practice as contained in Section 123.  

Section 123 defines and enumerates “corrupt practices”  

exhaustively.  Section  123  came  as  a  result  of  

recommendations  of  the  Select  Committee  of  the  

Parliament  on  the  basis  of  which  the  said  Act  was  

amended by substituting Chapter 1 in Part VII of the Act  

by Act No. 27 of 1956.  The Legislature has dealt with the  

subject  of  corrupt  practice  and  it  is  not  a  case  of  

legislative  vacuum.   The  field  of  corrupt  practice  is  

covered  by  the  provisions  of  the  said  Act.  Once  the  

Legislature  has  dealt  with  a  particular  topic,  then  the  

Vishakha  principle (Vishaka and Others vs  State of  

Rajasthan  and  Others (1997)  6  SCC  241)  has  no  

applicability.  This Court, in Vishaka (supra) and Aruna  

Ramachandra  Shanbaug vs.  Union  of  India  and  

Others,  (2011)  4  SCC 454 and other  cases has clearly  

held that if on a given topic there is no law enacted by a  

competent legislature, then this Court has power to issue  

directions under its inherent powers under Article 142 and  

141  of  the  Constitution  and  the  said  directions  would  

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operate  and  bind  all  concerned  till  the  competent  

Legislature  enacts  a  law  on  the  concerned  subject.  

Whether  the  present  provisions  of  the  said  Act  are  

adequate or not is  a matter for  the Parliament and the  

Parliament  alone  to  decide.   This  Court,  in  exercise  of  

powers  under  Article  141  and  142  or  under  any  other  

provision of law, cannot issue a direction to include any  

practice not specified as corrupt practice under the Act as  

Corrupt Practice.   

35) Further,  learned senior  counsel  emphasized on the  

difficulties to implement the guidelines, if any, framed by  

this Court by referring to previous cases, viz.,  Union of  

India  vs.  Association  for  Democratic  Reforms  and  

Another (2002) 5 SCC 294 and People’s Union for Civil   

Liberties (PUCL) and Anr. vs. Union of India and Anr.  

(2003) 4 SCC 399.  

(III) Promises of political parties do not constitute a  corrupt practice.  

36) Learned senior counsel submitted that inasmuch as  

the words mentioned in Section 123 of the Act are clear  

and unambiguous, the same should be interpreted in the  

same manner as stated therein.  Section 123 of the RP Act  

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is a penal statute and ought to be strictly construed.  It is  

settled  principle  of  law  that  an  allegation  of  “corrupt  

practice” must be strictly proved as a criminal charge and  

the principle of preponderance of probabilities would not  

apply  to  corrupt  practices.  In  M.J.  Jacob vs.  A.  

Narayanan and Others, (2009) 14 SCC 318, it has been  

held by this Court in paras 13 and 15 as under:

“13. It is well settled that in an election petition for proving  an allegation of corrupt practice the standard of proof is  like that in a criminal case. In other words, the allegation  must be proved beyond reasonable doubt, and if two views  are  possible  then the  benefit  of  doubt  should  go  to  the  elected candidate vide  Manmohan Kalia v.  Yash, vide SCC  p. 502, para 7 in which it is stated:

“7. … It is now well settled by several authorities of this  Court  that  an  allegation  of  corrupt  practice  must  be  proved as strictly as a criminal charge and the principle  of  preponderance  of  probabilities  would  not  apply  to  corrupt practices envisaged by the Act because if this  test  is  not  applied  a  very  serious  prejudice  would  be  caused  to  the  elected  candidate  who  may  be  disqualified for a period of six years from fighting any  election,  which  will  adversely  affect  the  electoral  process.”

15. In  Surinder Singh v.  Hardial  Singh,  vide SCC p.  104,  para 23 it was observed:

“23. … It is thus clear beyond any doubt that for over 20  years  the  position  has  been  uniformly  accepted  that  charges  of  corrupt  practice  are  to  be  equated  with  criminal  charges  and  proof  thereof  would  be  not  preponderance  of  probabilities  as  in  civil  action  but  proof beyond reasonable doubt as in criminal trials.”

37) In  Baldev Singh Mann vs.  Surjit Singh Dhiman,  

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(2009) 1 SCC 633, this Court observed as under:

“19. …. ….. The law is now well settled that the charge  of  a corrupt practice in an election petition should be  proved almost like the criminal charge. The standard of  proof is high and the burden of proof is on the election  petitioner.  Mere  preponderance  of  probabilities  is  not  enough,  as  may  be  the  case  in  a  civil  dispute.  Allegations  of  corrupt  practices  should  be  clear  and  precise and the charge should be proved to the hilt as in  a criminal trial by clear, cogent and credible evidence.

21. The Court in a number of cases has held that the  charge of corrupt practice is quasi-criminal in character  and it has to be proved as a criminal charge and proved  in  the  court.  In  Jeet  Mohinder  Singh  case the  Court  observed as under:  

“(ii)  Charge  of  corrupt  practice  is  quasi-criminal  in  character.  If  substantiated  it  leads  not  only  to  the  setting aside of the election of the successful candidate,  but also of his being disqualified to contest an election  for  a  certain  period.  It  may  entail  extinction  of  a  person’s  public  life  and  political  career.  A  trial  of  an  election petition though within the realm of civil law is  akin  to  trial  on  a  criminal  charge.  Two consequences  follow. Firstly, the allegations relating to commission of  a corrupt practice should be sufficiently clear and stated  precisely  so  as  to  afford  the  person  charged  a  full  opportunity of meeting the same. Secondly, the charges  when put to issue should be proved by clear, cogent and  credible evidence. To prove charge of corrupt practice a  mere  preponderance  of  probabilities  would  not  be  enough.  There  would  be  a  presumption  of  innocence  available to the person charged. The charge shall have  to be proved to the hilt, the standard of proof being the  same as in a criminal trial.”

38) It  is  further  submitted  that  the  manifesto  of  the  

political  party  in  question  promises  to  achieve  a  social  

order  removing  economic  inequalities,  attain  a  social  

plane and attempts to reduce the degradations existing in  

our  society  where  only  a  certain  class  of  people  are  

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elevated  and  entitled  to  economic  upliftment.   The  

mandate for social and economic transformation requires  

that material resources or their ownership and control be  

so distributed as to subserve the common good.  

39) In Samatha vs. State of A.P. and Others, (1997) 8  

SCC 191, in paras 76 and 79, it has been held as under:

“76. Social and economic democracy is the foundation  on which political democracy would be a way of life in  the Indian polity. Law as a social engineering is to create  just  social  order  removing  inequalities  in  social  and  economic  life,  socio-economic  disabilities  with  which  poor  people  are  languishing  by  providing  positive  opportunities and facilities to individuals and groups of  people. Dr B.R. Ambedkar, in his closing speech in the  Constituent  Assembly  on  25-11-1949,  had  lucidly  elucidated thus:

“… What does social democracy mean? It means a way  of life which recognises liberty, equality and fraternity as  the principles of life. These principles of liberty, equality  and fraternity are not to be treated as separate items in  a trinity. They form a union of trinity in the sense that to  divorce one from the other is to defeat the very purpose  of democracy. Liberty cannot be divorced from equality,  equality cannot be divorced from liberty. Nor can liberty  and  equality  be  divorced  from  fraternity.  Without  equality,  liberty  would  produce  the  supremacy of  the  few over the many. Equality  without  liberty  would kill  individual  initiative.  Without  fraternity,  liberty  and  equality could not become a natural course of things. It  would  require  a  constable  to  enforce  them.  We must  begin by acknowledging the fact that there is complete  absence of two things in Indian society. One of these is  equality. On the social plane, we have in India a society  based on the principle of graded inequality which means  elevation for some and degradation for others. On the  economic plane, we have a society in which there are  some who have immense wealth as against many who  live in abject poverty. On the 26th January, 1950, we are  going to enter into a life of contradictions. In politics we  will have equality and in social and economic life we will  

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have inequality.  In  politics  we will  be  recognizing  the  principle of one man one vote and one vote one value.  In our social and economic life, we shall, by reason of  our social and economic structure, continue to deny the  principle  of  one  man  one  value.  How  long  shall  we  continue to live this life of contradictions? How long shall  we continue to deny equality in our social and economic  life? If we continue to deny it for long, we will do so only  by  putting  our  political  democracy  in  peril.  We  must  remove  this  contradiction  at  the  earliest  possible  moment  or  else  those who suffer  from inequality  will  blow up the structure of political democracy which this  Assembly has so laboriously built up.” (Vide B. Shiva Rao’s The Framing of India’s Constitution:  Select Documents, Vol. IV, pp. 944-45.)

79. It  is  necessary  to  consider  at  this  juncture  the  meaning  of  the  word  “socialism”  envisaged  in  the  Preamble  of  the  Constitution.  Establishment  of  the  egalitarian social order through rule of law is the basic  structure  of  the Constitution.  The Fundamental  Rights  and  the  Directive  Principles  are  the  means,  as  two  wheels  of  the chariot,  to achieve the above object  of  democratic socialism. The word “socialist” used in the  Preamble must be read from the goals Articles 14, 15,  16, 17, 21, 23, 38, 39, 46 and all other cognate articles  seek to establish, i.e., to reduce inequalities in income  and status and to provide equality of opportunity  and  facilities. Social justice enjoins the Court to uphold the  Government’s  endeavour  to  remove  economic  inequalities, to provide decent standard of living to the  poor and to protect the interests of the weaker sections  of the society so as to assimilate all the sections of the  society  in  a  secular  integrated  socialist  Bharat  with  dignity of person and equality of status to all.”

40) In Bhim Singh (supra), a Constitution Bench of this  

Court observed as under:

“58. The above analysis shows that Article 282 can be  the source of power for emergent transfer of funds, like  the MPLAD Scheme. Even otherwise, the MPLAD Scheme  is voted upon and sanctioned by Parliament every year  as  a  scheme  for  community  development.  We  have  already held that the scheme of the Constitution of India  is that the power of the Union or State Legislature is not  limited  to  the  legislative  powers  to  incur  expenditure  

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only in respect of powers conferred upon it under the  Seventh Schedule, but it can incur expenditure on any  purpose  not  included  within  its  legislative  powers.  However,  the said purpose must  be “public  purpose”.  Judicial  interference is  permissible  when the action  of  the Government is unconstitutional and not when such  action is not wise or that the extent of expenditure is  not for the good of the State. We are of the view that all  such  questions  must  be  debated  and  decided  in  the  legislature and not in court.

95. This argument is liable to be rejected as it  is  not  based on any scientific analysis or empirical data. We  also  find  this  argument  a  half-hearted  attempt  to  contest  the  constitutionality  of  the  Scheme.  MPLADS  makes  funds  available  to  the  sitting  MPs  for  developmental  work.  If  the  MP  utilises  the  funds  properly,  it  would  result  in  his  better  performance.  If  that leads to people voting for the incumbent candidate,  it certainly does not violate any principle of free and fair  elections.

96. As  we have already noted,  MPs are  permitted to  recommend specific kinds of works for the welfare of the  people i.e. which relate to development and building of  durable community assets (as provided by Clause 1.3 of  the Guidelines). These works are to be conducted after  approval of relevant authorities. In such circumstances,  it  cannot  be  claimed that  these  works  amount  to  an  unfair  advantage  or  corrupt  practices  within  the  meaning of the Representation of the People Act, 1951.  Of course such spending is subject to the above Act and  the regulations of the Election Commission.”

(IV) The Schemes under challenge operate within  the parameters of public purpose and Article 14 of  the Constitution has no role to play.

41) The argument of the appellant that giving of colour  

TVs,  laptops,  mixer-grinders  etc.  on  the  basis  of  the  

manifesto of the party that forms the Government is not  

an expense for a public purpose.  This argument is devoid  

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of any merit according to learned senior counsel for the  

State of Tamil Nadu. It was submitted that the concept of  

State Largesse is essentially linked to Directive Principles  

of  State  Policy.   Whether  the  State  should  frame  a  

scheme, which directly gives benefits to improve the living  

standards  or  indirectly  by  increasing  the  means  of  

livelihood, is for the State to decide.  The preamble to the  

Constitution recognizes Socialism as one of the pillars of  

Indian Democracy.  The preamble has been held to be a  

part  of  the  Constitution  by  a  catena  of  judgments  

including  Keshavanand  Bharati  vs.  State  of  Kerala  

(1973) 4 SCC 1461.  The State largesse is directly linked to  

the principle of Socialism and, therefore, it is too late in  

the  day  for  anybody  to  contend  that  the  Government  

giving colour TVs, laptops, mixer-grinders, etc. that too to  

the eligible persons as prescribed by way of Government  

Order is not a public purpose.  For the same reasons, it  

must be held that it is a part of Government function to  

take measures in connection with Government largesse.  

42) It is further submitted that the political parties in their  

election manifesto promised to raise the standard of living  

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of the people and to formulate a scheme/policy for  the  

upliftment  of  the  poor.   The  distribution  of  basic  

necessities  in  today’s  time  like  TVs,  mixers,  fans  and  

laptops to eligible persons fixing parameters,  can by no  

stretch of  imagination  be said  to  be  State  largesse.   A  

three-Judge  Bench  of  this  Court  in  Deepak  Theatre,  

Dhuri vs.  State of Punjab and Others, 1992 Supp (1)  

SCC 684, held as under:

“5. Witnessing  a  motion  picture  has  become  an  amusement to every person; a reliever to the weary and  fatigued; a reveller to the pleasure seeker; an imparter  of education and enlightenment enlivening to news and  current  events;  disseminator  of  scientific  knowledge;  perpetuator  of  cultural  and  spiritual  heritage,  to  the  teeming illiterate majority of population. Thus, cinemas  have become tools to promote welfare of the people to  secure and protect as effectively as it may a social order  as  per  directives  of  the  State  policy  enjoined  under  Article  38  of  the  Constitution.  Mass  media,  through  motion picture has thus become the vehicle of coverage  to  disseminate  cultural  heritage,  knowledge,  etc.  The  passage of time made manifest this growing imperative  and the consequential need to provide easy access to all  sections of the society to seek admission into theatre as  per his paying capacity.”  

43) The  grievance  of  the  appellant  is  that  the  public  

resources  are  being  used for  the  benefit  of  individuals.  

According to learned senior  counsel  for  the respondent,  

this  argument  is  completely  misconceived.   It  was  

submitted that in catena of cases, this Court has held that  

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while judging the constitutional validity of any law or any  

State action,  the Directive Principles of  the State Policy  

can be taken into account.  Article 38 contemplates that  

the State shall strive to promote the welfare of the people.  

Article 39 contemplates that the State shall take actions to  

provide adequate means of livelihood and for distribution  

of material resources of the community on an egalitarian  

principle.   Article  41  contemplates  that  the  State  shall  

render assistance to citizens in certain circumstances and  

also in cases of undeserved want.  Article 43 directs that  

the State shall  “endeavour to  secure to all  workers,  by  

suitable legislation or economic organisation or any other  

way to ensure decent standard of life and full enjoyment  

of  leisure  and  social  and  cultural  opportunities  to  the  

workers”.  Similarly, Article 45 contemplates that the State  

shall  endeavour  to  provide  early  childhood  care  and  

education to  all  children below the age of  6  years  and  

Article 46 says that the State shall  promote educational  

and  economic  interests  of  the  weaker  sections  of  the  

people.  Article 47 contemplates that the State shall take  

steps to raise the level of nutrition and the standard of  

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living.  The concept of livelihood and standard of living are  

bound to change in their content from time to time.  This  

Court has dealt with the concept of minimum wage, the  

fair wage and the living wage while dealing with industrial  

disputes and has noted that these concepts are bound to  

change from time to time.  What was once considered to  

be  a  luxury  can  become  a  necessity.   The  concept  of  

livelihood is no longer confined to a bare physical survival  

in terms of food, clothing and shelter, but also now must  

necessarily  include  some  provision  for  medicine,  

transport,  education,  recreation etc.   How to implement  

the directive principles of State Policy is a matter within  

the  domain  of  the  Government,  hence,  the  State  

distributing largesse in the form of distribution of colour  

TVs, laptops, mixer-grinders etc. to eligible and deserving  

persons is directly related to the directive principles of the  

State Policy.  

44) The other facet of the argument is that this largesse  

is  distributed  irrespective  of  the  income  level  and,  

therefore, violative of Article 14 as unequals are treated  

equally.   Learned  senior  counsel  submitted  that  this  

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principle  of  not  to  treat  unequals  as  equals  has  no  

applicability as far as State largesse is concerned.  This  

principle applies only where the law or the State action  

imposes  some burden  on  the  citizen  either  financial  or  

otherwise.   

45) Article  14  essentially  contemplates  equality  in  its  

absolute sense and classification can be taken recourse to  

if  the  State  is  unable  or  the  State  policy  does  not  

contemplate the same benefit or treatment to people who  

are not  similarly  situated.   It  is  the  philosophical  sense  

decoded by this Court in the first part of Article 14 which is  

equal treatment for all without any distinction.  This is the  

concept  of  formal  equality  which  is  not  necessarily  an  

antithesis to Article 14.  The concept of equality based on  

classification is proportional equality.  The formal equality  

applies when the State is in a position to frame a scheme  

or  law which gives  the same benefit  to  all  without  any  

distinction and the proportional equality applies when the  

State frames a law or a Scheme which gives benefit only  

to people who form a distinct class.  It is in the case of  

proportional  equality  that  the  principles  of  intelligible  

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differentia  having  reasonable  nexus  to  the  object  of  

legislation  gets  attracted.   Article  14  does  not  prohibit  

formal equality.   The Directive Principles of State Policy  

save proportional equality from falling in foul with formal  

equality contemplated by Article 14.  

Contentions of the Union of India, CAG and Election  Commission:

46) Mr.  P.P.  Malhotra,  learned  ASG  also  reiterated  the  

stand taken by learned senior counsel for the State.  It is  

the  stand  of  the  CAG  that  they  have  no  role  at  this  

juncture, particularly, with reference to the prayer sought  

for.  Ms. Meenakshi Arora, learned counsel for the Election  

Commission  of  India  submitted  that  with  the  existing  

provisions  in  the  RP  Act,  Election  Commission  is  

performing its duties,  however,  if  this Court frames any  

further guidelines, they are ready to implement the same.

47) We have carefully considered the rival contentions,  

perused  the  relevant  provisions,  various  Government  

orders,  guidelines  and  details  furnished  in  the  counter  

affidavit. The following points arise for consideration:

Points for Consideration:

(i) Whether the promises made by the political parties in  

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the election manifesto would amount to ‘corrupt practices’  

as per Section 123 of the RP Act?   

(ii) Whether the schemes under challenge are within the  

ambit of public purpose and if yes, is it violative of Article  

14?   

(iii) Whether  this  Court  has  inherent  power  to  issue  

guidelines by application of Vishaka principle?   

(iv) Whether the Comptroller and Auditor General of India  

has a duty to examine expenditures even before they are  

deployed?

(v) Whether the writ jurisdiction will lie against a political  

party?

Discussion:

Issue No. 1

Whether the promises made by the political parties  in  their  election  manifestos  would  amount  to  ‘corrupt  practices’  as  per  Section  123  of  the  Representation of the People Act, 1951?

48) Before going into the acceptability or merits of the  

claim of the appellant and the stand of the respondents, it  

is desirable to reproduce certain provisions of the RP Act.  

Part VII of the RP Act deals with “corrupt practices” and  

“electoral  offences”  which  was  brought  into  force  with  

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effect from 28.08.1956.  Chapter I of Part VII deals with  

“corrupt  practices”.   Section  123  is  the  only  Section  

relevant for our purpose which reads thus:-

“123. Corrupt  practices.- The  following  shall  be  deemed to be corrupt practices for the purposes of this  Act:  

(1) "Bribery", that is to say-  (A) any gift, offer or promise by a candidate or his agent  or by any other person with the consent of a candidate  or his election agent of any gratification, to any person  whomsoever,  with  the  object,  directly  or  indirectly  of  inducing-  (a) a person to stand or not to stand as, or [to withdraw  or  not  to  withdraw]  from  being  a  candidate  at  an  election, or  (b) an  elector  to  vote  or  refrain  from  voting  at  an  election, or as a reward to-  (i) a  person  for  having  so  stood  or  not  stood,  or  for  [having  withdrawn  or  not  having  withdrawn]  his  candidature; or  (ii) an elector for having voted or refrained from voting;  

(B) the  receipt  of,  or  agreement  to  receive,  any  gratification, whether as a motive or a reward-  (a) by a person for standing or not standing as, or for  [withdrawing  or  not  withdrawing]  from  being,  a  candidate; or  (b) by any person whomsoever for himself or any other  person for voting or refraining from voting, or inducing  or attempting to induce any elector to vote or refrain  from voting,  or  any candidate  [to  withdraw or  not  to  withdraw] his candidature.  

Explanation.- For the purposes of this clause the term"  gratification" is not restricted to pecuniary gratifications  or gratifications estimable in money and it includes all  forms of entertainment and all forms of employment for  reward  but  it  does  not  include  the  payment  of  any  expenses bona fide incurred at, or for the purpose of,  any  elec-  tion  and  duly  entered  in  the  account  of  election expenses referred to in Section 78.

(2) Undue influence, that is to say, any direct or indirect  interference or attempt to interfere on the part of the  

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candidate or his agent, or of any other person [with the  consent of the candidate or his election agent], with the  free exercise of any electoral right: Provided that-  (a) without prejudice to the generality of the provisions  of this clause any such person as is referred to therein  who-  (i) threatens any candidate or any elector, or any person  in  whom a candidate or  an elector  is  interested, with  injury  of  any  kind  including  social  ostracism  and  ex-  communication  or  expulsion  from  any  caste  or  community; or  (ii) induces  or  attempts  to  induce  a  candidate  or  an  elector to believe that he, or any person in whom he is  interested, will become or will be rendered an object of  divine displeasure or spiritual censure,  shall  be deemed to interfere with the free exercise of  the electoral  right  of  such candidate or  elector  within  the meaning of this clause;  (b) a declaration of public policy, or a promise of public  action,  or  the  mere  exercise  of  a  legal  right  without  intent to interfere with an electoral right,  shall  not be  deemed to be interference within the meaning of this  clause.  

(3) The appeal by a candidate or his agent or by any  other  person  with  the  consent  of  a  candidate  or  his  election  agent  to  vote  or  refrain  from voting  for  any  person  on  the  ground  of  his  religion,  race,  caste,  community  or  language  or  the  use  of,  or  appeal  to  religious symbols or the use of,  or appeal to, national  symbols,  such  as  the  national  flag  or  the  national  emblem,  for  the  furtherance  of  the  prospects  of  the  election of  that candidate or for prejudicially  affecting  the election of any candidate:  

Provided  that  no  symbol  allotted  under  this  Act  to  a  candidate shall be deemed to be a religious symbol or a  national symbol for the purposes of this clause.

(3A) The promotion of, or attempt to promote, feelings  of  enmity  or  hatred  between  different  classes  of  the  citizens  of  India  on  grounds  of  religion,  race,  caste,  community, or language, by a candidate or his agent or  any other person with the consent of a candidate or his  election agent for  the furtherance of  the prospects of  the  election  of  that  candidate  or  for  prejudicially  affecting the election of any candidate.

(3B) The propagation of the practice or the commission  

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of sati or its glorification by a candidate or his agent or  any other person with the consent of the candidate or  his election agent for the furtherance of the prospects of  the  election  of  that  candidate  or  for  prejudicially  affecting the election of any candidate.  Explanation.- For the purposes of this clause," sati" and"  glorification" in relation to sati shall have the meanings  respectively assigned to them in the Commission of Sati  (Prevention) Act, 1987 .  

(4) The publication by a candidate or his agent or by any  other  Person,  [with  the consent  of  a candidate or  his  election agent], of any statement of fact which is false,  and which  he either  believes to  be  false  or  does  not  believe to be true, in relation to the personal character  or  conduct  of  any  candidate,  or  in  relation  to  the  candidature,  or  withdrawal [of  any candidate,  being a  statement  reasonably  calculated  to  prejudice  the  prospects of that candidate' s election.  

(5) The  hiring  or  procuring,  whether  on  payment  or  otherwise, of any vehicle or vessel by a candidate or his  agent  or  by  any  other  person  with  the  consent  of  a  candidate  or  his  election  agent],  [or  the  use  of  such  vehicles  or  vessel  for  the  free  conveyance]  of  any  elector (other than the candidate himself, the members  of his family or his agent) to or from any polling station  provided under Section 25 or a place fixed under sub-  section (1) of Section 29 for the poll:  

Provided  that  the  hiring  of  a  vehicle  or  vessel  by  an  elector or by several electors at their joint costs for the  purpose of conveying him or them to and from any such  polling  station  or  place fixed for  the poll  shall  not  be  deemed to be a corrupt practice under this clause if the  vehicle  or  vessel  so  hired  is  a  vehicle  or  vessel  not  propelled by mechanical power:  

Provided  further  that  the  use  of  any  public  transport  vehicle or vessel or any tramcar or railway carriage by  any elector at his own cost for the purpose of going to or  coming from any such polling station or place fixed for  the poll shall not be deemed to be a corrupt, practice  under this clause.  

Explanation.-  In  this  clause,  the  expression"  vehicle"  means any vehicle used or capable of being used for the  purpose  of  road  transport,  whether  propelled  by  mechanical  power  or  otherwise  and whether  used for  

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drawing other vehicles or otherwise.  

(6) The  incurring  or  authorizing  of  expenditure  in  contravention of Section 77.  

(7) The obtaining or procuring or abetting or attempting  to obtain or procure by a candidate or his agent or, by  any other person [with the consent of a candidate or his  election agent], any assistance (other than the giving of  vote)  for  the  furtherance  of  the  prospects  of  that  candidate's election, from any person in the service of  the Government and belonging to any of the following  classes, namely:-  (a) gazetted officers;  (b) stipendiary judges and magistrates;  (c) members of the armed forces of the Union;  (d) members of the police forces;  (e) excise officers;  (f) revenue officers other than village revenue officers  known as lambardars, malguzars, patels, deshmukhs or  by  any  other  name,  whose  duty  is  to  collect  land  revenue  and  who  are  remunerated  by  a  share  of,  or  commission on, the amount of land revenue collected by  them but  who do  not  discharge  any police  functions;  and]  (g) such  other  class  of  persons  in  the  service  of  the  Government as may be prescribed:  

Provided that where any person, in the service of the  Government  and  belonging  to  any  of  the  classes  aforesaid, in the discharge or purported discharge of his  official duty, makes any arrangements or provides any,  facilities  or  does  any  other  act  or  thing  for  to  or  in  relation  to  any  candidate  or  his  agent  or  any  other  person acting with the consent of the candidate or his  election agent, (whether by reason of the office held by  the  candidate  or  for  any  other  reason),  such  arrangements,  facilities  or  act  or  thing  shall  not  be  deemed  to  be  assistance  for  the  furtherance  of  the  prospects of that candidate' s election.

(h) class of persons in the service of a local authority,  university,  government  company  or  institution  or  concern  or  undertaking  appointed  or  deputed  by  the  Election Commission in connection with the conduct of  elections.

(8) Booth Capturing by a candidate or his agent or other  person.  

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Explanation.- (1) In this Section the expression" agent"  includes  an  election  agent,  a  polling  agent  and  any  person  who  is  held  to  have  acted  as  an  agent  in  connection  with  the  election  with  the  consent  of  the  candidate.  (2)  For  the  purposes  of  clause (7),  a  person shall  be  deemed to assist in the furtherance of the prospects of a  candidate' s election if he acts as an election agent of  that candidate.  (3) For  the  purposes  of  clause  (7),  notwithstanding  anything contained in any other law, the publication in  the  Official  Gazette  of  the  appointment,  resignation,  termination of service, dismissal or removal from service  of  a person in  the service of  the Central  Government  (including  a  person  serving  in  connection  with  the  administration  of  a  Union  territory)  or  of  a  State  Government shall be conclusive proof-  (i) of  such  appointment,  resignation,  termination  of  service, dismissal or removal from service, as the case  may be, and  (ii) where the date of taking effect of such appointment,  resignation, termination of service, dismissal or removal  from  service,  as  the  case  may  be,  is  stated  in  such  publication,  also  of  the  fact  that  such  person  was  appointed with effect from the said date, or in the case  of  resignation,  termination  of  service,  dismissal  or  removal from service, such person ceased to be in such  service with effect from the said date.]  (4) For  the  purposes  of  clause  (8),"  booth  capturing"  shall have the same meaning as in Section 135A.”

          

49) Keeping the parameters fixed in the above Section,  

we  have  to  analyze  the  claim  of  both  the  parties  

hereunder.  A perusal of sub-sections 1-8 of Section 123  

makes it clear that it speaks only about a  candidate or  

his agent or any other person.  There is no word about  

political parties.  Taking note of the conditions mandated  

in those sub-sections, let us test the respective stand of  

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both the parties.  

50)  For deciding the issue whether the contents of the  

political  manifesto  would  constitute  a  corrupt  practice  

under Section 123 of RP Act, it is imperative to refer to the  

intention  of  the  legislature  behind  incorporating  the  

respective section. The purpose of incorporating Section  

123 of the RP Act is to ensure that elections are held in a  

free and fair manner.

51) The object of provisions relating to corrupt practices  

was elucidated by this  Court  in  Patangrao Kadam vs.  

Prithviraj  Sayajirao  Yadav  Deshmukh  and  Ors.  

(2001) 3 SCC 594 as follows:-

14.  “….Fair  and  free  elections  are  essential  requisites  to  maintain the purity of election and to sustain the faith of the  people in election itself in a democratic set up. Clean, efficient  and  benevolent  administration  are  the  essential  features  of  good  governance  which  in  turn  depends  upon  persons  of  competency  and  good  character.  Hence  those  indulging  in  corrupt practices at an election cannot be spared and allowed  to pollute the election process and this purpose is sought to be  achieved by these provisions contained in the RP Act.”

52) With this background, let us analyze the contention  

of the appellant. The gist of appellant’s argument is that  

promises of freebies such as colour TVs, mixer-grinders,  

laptops, etc., are in form part of an election manifesto of a  

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political party but in substance is a bribe or inducement  

under Section 123. Thus, it is the stand of the appellant  

that the promise of this nature indeed induces the voters  

thereby  affecting  the  level  playing  field  between  the  

candidates, which in turn disrupts free and fair election.  

Therefore,  the  appellants  suggested  for  construing  the  

promises  made  in  the  election  manifesto  as  a  corrupt  

practice under Section 123 of RP Act. He mainly relied on  

the principle that one cannot do indirectly what it cannot  

do directly.

53) As  appealing  this  argument  may  sound  good,  the  

implementation  of  this  suggestion  becomes  difficult  on  

more  than one count.  Firstly,  if  we are  to  declare  that  

every kind of promises made in the election manifesto is a  

corrupt  practice,  this  will  be  flawed.  Since  all  promises  

made  in  the  election  manifesto  are  not  necessarily  

promising  freebies  per  se, for  instance,  the  election  

manifesto  of  a  political  party  promising  to  develop  a  

particular  locality if  they come into power,  or promising  

cent percent employment for all young graduates, or such  

other acts. Therefore, it will be misleading to construe that  

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all  promises in  the election manifesto  would amount  to  

corrupt practice. Likewise, it is not within the domain of  

this Court to legislate what kind of promises can or cannot  

be made in the election manifesto.

54) Secondly,  the  manifesto  of  a  political  party  is  a  

statement of its policy.  The question of implementing the  

manifesto  arises  only  if  the  political  party  forms  a  

Government.  It is the promise of a future Government.  It  

is not a promise of an individual candidate.  Section 123  

and  other  relevant  provisions,  upon  their  true  

construction,  contemplate  corrupt  practice  by  individual  

candidate or his agent.  Moreover, such corrupt practice is  

directly  linked  to  his  own  election  irrespective  of  the  

question whether his party forms a Government or not.  

The  provisions  of  the  RP  Act  clearly  draw a  distinction  

between an individual candidate put up by a political party  

and the political party as such.  The provisions of the said  

Act  prohibit  an  individual  candidate  from  resorting  to  

promises,  which constitute a corrupt practice within the  

meaning of Section 123 of the RP Act.  The provisions of  

the said Act place no fetter on the power of the political  

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parties to make promises in the election manifesto.   

55) Thirdly, the provisions relating to corrupt practice are  

penal  in  nature  and,  therefore,  the  rule  of  strict  

interpretation  must  apply  and  hence,  promises  by  a  

political party cannot constitute a corrupt practice on the  

part of the political party as the political party is not within  

the sweep of the provisions relating to corrupt practices.  

As  the  rule  of  strict  interpretation  applies,  there  is  no  

scope for applying provisions relating to corrupt practice  

contained in the said Act to the manifesto of a political  

party.  

56) Lastly, it is settled law that the courts cannot issue a  

direction for the purpose of laying down a new norm for  

characterizing  any  practice  as  corrupt  practice.   Such  

directions  would  amount  to  amending  provisions  of  the  

said Act.  The power to make law exclusively vests in the  

Union Parliament and as long as the field is covered by  

parliamentary enactments, no directions can be issued as  

sought  by  the  appellant.  As  an  outcome,  we  are  not  

inclined to hold the promises made by the political parties  

in  their  election  manifesto  as  corrupt  practice  under  

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Section 123 of the RP Act.

Issue No. 2  

Whether  the  schemes under  challenge are  within  the ambit of public purpose and if yes, is it violative  of Article 14?   

57) The concept of State largesse is essentially linked to  

Directive  Principles  of  State  Policy.  Whether  the  State  

should frame a scheme, which directly gives benefits to  

improve the  living  standards  or  indirectly  by  increasing  

the means of livelihood, is for the State to decide and the  

role of the court is very limited in this regard.  

58) It  is  not in dispute that television is  a widely used  

tele-communication medium for receiving moving images.  

Today,  television  has  a  lot  of  positive  effects  and  

influences on  our  society  and culture.   Television  gives  

helpful information and it is not an equipment aimed for  

entertainment  alone.   The  State  Government  has  also  

asserted that the purpose of distributing colour television  

sets  is  not  restricted  for  providing  recreation  but  to  

provide  general  knowledge  to  the  people,  more  

particularly, to the household women.  

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59) On  behalf  of  the  State  of  Tamil  Nadu,  it  was  

explained  that  in  order  to  promote  the  welfare  of  the  

people  by  securing  and  protecting,  as  effectively  as  it  

may, a social order in which social and economic justice  

can  be  achieved,  the  Government  of  Tamil  Nadu  has  

announced  certain  welfare  schemes  for  raising  the  

standard of living of the people by providing assistance to  

the  deserving  ones  as  envisaged  under  the  Directive  

Principles  of  the  Indian  Constitution.   In  order  to  

implement those schemes effectively, the Government of  

Tamil Nadu had exclusively formed a Special Programme  

Implementation Department.  Guidelines for each Scheme  

were  framed  to  identify  the  beneficiaries  and  mode  of  

distribution.

60) It  is pointed out by the State that the Government  

has issued necessary orders for the following schemes:  

(i) Marriage Assistance Scheme;

(ii) Distribution of Milch Animals and Goats;

(iii) Solar Powered Green House Scheme;

(iv) Laptop Computer to students;

(v) Free Rice Scheme; and

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(vi) Free distribution of Electric Fans, Mixies and Grinders  

to women.

The Schemes are as under:

“Marriage Assistance Scheme

1) The  economic  status  of  a  family  plays  a  vital  role  in  enabling the poor parents who have daughters to fulfill the  social obligation of marriage.  Various Marriage Assistance  Schemes being implemented by the Government of Tamil  Nadu are in vogue to benefit the poor and the downtrodden  for  whom  the  marriage  ceremony  of  their  daughters  impose a heavy burden.  There are at present 5 marriage  assistance schemes and they are as follows:

(i) Moovalur Ramamirtham Ammaiyar Ninaivu Marriage Assistance  Scheme for poor girls

(ii) Dr.  Dharmambal  Ammaiyar  Ninaivu  Widow  Re-marriage  Assistance  Scheme  to  encourage  the  remarriage  of  young  widows

(iii) E.V.R. Maniammaiyar Ninaivu Marriage Assistance Scheme for  daughters of poor widows

(iv) Annai Theresa Ninaivu Marriage Marriage Assistance Scheme  for Orphan Girls.

(v) Dr.  Muthulakshmi  Reddy  Minaivu  Inter-caste  Marriage  Assistance Scheme

2) With the extraordinary rise in the price of gold, poor families  and the abovementioned vulnerable categories find it difficult to  buy  even  a  small  quantity  of  gold  for  the  traditional  ‘Thirumangalyam’ (Mangal Sutra).  To mitigate the hardship of  the poor families and vulnerable sections, the State Government  has ordered the provision of 4 gms (1/2 sovereign) 22 ct. gold  coin for making the ‘Thirumangalyam’ in addition to the already  existing financial assistance of Rs.25,000/-.  Moreover, with the  aim of encouraging higher education among women, the present  Government  has  also  introduced  a  new  scheme  of  providing  financial assistance of Rs.50,000/- for graduates/diploma holders  along  with  the  four  grams 22  carat  gold  coin  for  making  the  ‘Thirumangalayam’.

3) The guidelines  for  sanction  of  assistance under the various  Marriage Assistance Scheme include that the annual income  of the family should not exceed Rs.24,000/- and the minimum  age  limit  for  the  girls  should  be  18  years.   The  detailed  guidelines have been issued in G.O.(Ms.) No. 49, SW & NMP  

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Dept.  dated  26.07.2011.   The  details  pertaining  to  each  scheme are as follows:

(A)  Moovalur  Ramamiratham  Ammaiyar  Ninaiyu  Marriage Assistance Scheme

1. Objectives of the Scheme To  help  the  poor  parents  financially  in  getting  their  daughter’s  married  and  to  promote  the  educational  status of poor girls.

2. Assistance  provided  and  Educational Qualification

Rs.25,000/-  along  with  4  gms.  gold  coin  (for  those  who have studies up to 10th  std.,  Vth Std,  for  Scheduled  Tribes)

3. To whom the benefit is due Girls  belonging  to  poor  families

4. When the benefit is due Before marriage 5. Eligibility Criteria

a)  Age Limit Bride should have completed  18 years of age

b)  Income Limit Not  exceeding  Rs.24,000/-  per annum

c)  Other criteria Only one girl from a family is  eligible

(B) Dr. Dharmambal Ammaiyar Ninaivu Widow Re- marriage Assistance Scheme      

1. Objectives of the Scheme To  encourage  widow  remarriage  and  rehabilitate  widows

2. Assistance  provided  and  Educational Qualification

Rs.25,000/-  along  with  4  gms.  gold  coin  (for  those  who have studies up to 10th  std.,  Vth Std,  for  Scheduled  Tribes) Rs.  50,000/-  along  with  4  gms. gold coin (for Graduate  and diploma holders)

3. To whom the benefit is due To the couple 4. When the benefit is due Within  6  months  from  the  

date of marriage 5. Eligibility Criteria

a)  Age Limit Minimum age of 20 years for  the bride and below 40 years  for the bridegroom.

b)  Income Limit No income ceiling.

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(C) E.V.R. Maniammaiyar Ninaivu Marriage Scheme  for daughters of poor widows   

  1. Objectives of the Scheme To help the poor widows by  

providing  financial  assistance  for  the  marriage  of their daughters  

2. Assistance  provided  and  Educational Qualification

Rs.25,000/-  along  with  4  gms.  gold  coin  (for  those  who have studies up to 10th  std.,  Vth Std,  for  Scheduled  Tribes) Rs.  50,000/-  along  with  4  gms. gold coin (for Graduate  and diploma holders)

3. To whom the benefit is due Daughter of poor widow 4. When the benefit is due Before marriage 5. Eligibility Criteria

a)  Age Limit 18 years

b)  Income Limit Not  exceeding  Rs.24,000/-  per annum

c)  Other Criteria Only one daughter of a poor  widow is eligible

(D)   Annai  Theresa  Ninaivu  Marriage  Assistance  Scheme for Orphan Girls  

  1. Objectives of the Scheme To  help  the  orphan  girls  

financially for their marriage  2. Assistance  provided  and  

Educational Qualification Rs.25,000/-  along  with  4  gms.  gold  coin  (for  those  who have studies up to 10th  std.,  Vth Std,  for  Scheduled  Tribes) Rs.  50,000/-  along  with  4  gms. gold coin (for Graduate  and diploma holders)

3. To whom the benefit is due Orphan girls 4. When the benefit is due Before marriage 5. Eligibility Criteria

a)  Age Limit 18 years

b)  Income Limit Not  exceeding  Rs.24,000/-  per annum

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(E)   Dr.  Muthulakshmi  Reddy  Ninaivu  Inter-Caste  Marriage Assistance Scheme  

  1. Objectives of the Scheme To  abolish  caste  and  

community  feelings  based  on  birth  and  wipe  out  the  evils  of  untouchabiity  by  encouraging  inter-caste  marriage  

2. Assistance  provided  and  Educational Qualification

Rs.25,000/-  (Rs.15,000/-  DD/Cheque, Rs.10,000/- NSC  Certificate)  along  with   4  gms.  gold  coin  (for  those  who have studies up to 10th  std.,  Vth  Std,  for  Scheduled  Tribes) Rs.  50,000/-  (Rs.30,000/-  DD/cheque,  Rs.20,000/-  NSC  Certificate)  along  with  4  gms. gold coin (for Graduate  and diploma holders)

3. To whom the benefit is due Inter-caste married couple 4. When the benefit is due Considering  the  special  

constraints  in  such  marriages the facility will be  extended up to two years.

5. Eligibility Criteria a)  Age Limit

Minimum 18 years

b)  Income Limit No Income limit

II.  Distribution of Milch Animal and Goats

(i) It is highlighted by the State that with the growing  population  and  shrinking  land  resources,  the  nutritional requirement of the State cannot be met by  increasing  the  agricultural  production  alone.  Moreover vagaries of monsoon, availability of water  have  added  to  the  pressure  on  increasing  the  agricultural  production.   To  compensate  this,  it  is  necessary to improve the animal production.

(ii) As per the Indian Council for Agriculture Research (ICAR)  norms, the per capita requirement of milk and meat per  individual per day is 260 gms per day and 15gms. per  day respectively.  At present, the per capita availability  of  milk  and  meat  in  Tamil  Nadu  is  below  the  

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recommended requirement.  Hence, it is the need of the  hour to increase the milk and meat production in the  State  to  the  State’s  human  population  requirements.  Moreover, still a large population in the State live below  the poverty line.

(iii) Hence, it has been proposed to improve the standard of  living by providing the needy poor with a Milch cow (to  60000 families) and sheep/goats to about poorest of the  poor (7 lakh families) spread across the State.  The main  aim  of  the  above  Schemes  will  be  to  improve  the  standard of living of the poorest of the poor.

(iv) Under the Scheme of free distribution of Milch Cows, it  has been envisaged to distribute Milch Cows to the poor  people selected by the Grama Sabha based on norms in  such  villages/districts  which  do  not  have  adequate  availability  of  milk.  Likewise, the poorest of  the poor  living in the rural areas will be identified democratically  by the Grama Sabha and will be given 4 sheep/goats in  order  to  sustain  their  livelihood  by  rearing  these  sheep/goats.

A.  The scheme for distribution of 60,000 lactating  cows free of cost in rural village panchayats

(i) The Government of Tamil Nadu have planned to launch  a Scheme to distribute 60,000 free Milch Cows to the  poor beneficiaries in the rural areas in the next 5 years  in  order  to  give  boost  to the milk  productivity  of  the  State.  This scheme will  be called  “Scheme for free  distribution of Milch Cows”.

2.  Selection of Villages for the Scheme (i) The Commissioner of Animal Husbandry and Veterinary  

Services (CA&VS) will  select the Village Panchayats to  be taken for implementation during each of the 5 years  in  such  a  way  that  in  a  year,  approximately  12,000  beneficiaries are distributed free Milch Cows in order to  complete  the  distribution  of  60,000  Milch  Cows  in  5  years.

(ii) The  free  Milch  Cows  will  be  distributed  to  the  poor  beneficiaries  on  a  priority  basis  in  such Districts  that  have lesser number of Co-operative Societies than the  total number of revenue villages.  In such Districts, the  distribution  will  be  undertaken  in  those  Village  Panchayats where there are no Primary Milk Cooperative  

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Societies at present.  Consequent upon the distribution  of  the  cows,  action  will  be  taken  to  form  Primary  Cooperative  Societies  of  the  beneficiaries  in  these  villages  and  render  the  beneficiaries  necessary  hand- holding  assistance  by  the  Dairy  Development  Department.   The  Co-operative  network  has  the  following advantages for the beneficiaries: (a) Availability  of  immediate  opportunity  of  sale  of  milk  

through the Milk Cooperative Society at good prices. (b) Availability  of  Breeding services  as well  as Veterinary  

care at the door steps through the Society as well  as  Milk Union.

(c) Opportunity to tap the benefits of various Central/State  funded Schemes meant for the co-operative sector.

(iii) Out  of  the villages to  be selected within  the Districts  concerned,  the  smaller  village  Panchayats  will  be  prioritized by the Commissioner of Animal Husbandary &  Veterinary  Services  for  the  implementation  of  the  Scheme since it will be easier to form the Primary Milk  Societies  of  smaller  and  cohesive  units.   Further,  the  Village  Panchayats  to  be  taken  up  each  year  will  be  grouped  in  appropriate  geographical  Clusters  as  to  facilitate the economical collection of milk.

3.  Breed of Milch Cows to be procured (i) The breeding policy of the State envisages rearing of the  

Cross  Bred  Jersey Cows in  the  plains  and Cross  Bred  Holstein-Friesian cows in the hilly areas of the State and  the Cross Bred Cows yield, on an average, 2.5 times the  milk yield of indigenous cows.  It is, hence, proposed to  supply Cross bred cows as per the Breeding Policy of the  State.   Further,  in  most  of  the  cases,  farmers  prefer  rearing of cows as compared to buffaloes.  Hence, it is  proposed  to  distribute  only  cows  in  this  Scheme.  Amongst  the  Cross  Bred  cows  too,  it  is  proposed  to  supply  lactating  cows  that  are  in  their  first/second  lactation  so  as  to  ensure  a  continuous  production  for  next five lactations.  The age of the animal should not  be more than 5 years.

4.  Identification of Beneficiaries (i) The free Milch Cows will be distributed at the rate of one  

Cow per eligible household.   In order to empower the  women, it has been decided that the actual beneficiary  will be the Woman of the household.  In case there are  any transgender residing in the Village Panchayat, who  are otherwise eligible  as per the criteria  given below,  they  will  also  be  considered  to  be  eligible  for  the  

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Scheme. (ii) Criteria for eligibility  The beneficiaries should satisfy  

the following criteria: • Women  Headed  households  are  to  be  given  priority,  

(Widows,  Destitutes  and  the  Disabled  women  to  be  given priority within this group).

• Are below 60 years of age. • Do not own land over 1 acre in their own name or family  

members’  name  (However,  owning  some  land  is  preferable,  since  it  will  enable  production  of  green  fodder in own land).

• Do not own any cows/buffaloes at present. • Are not employees of Central/State Government or any  

Organisation/cooperative or member of any Local Body  (nor  should  their  spouse  or  father/mother/parents-in- law/son/daughter/son-in-law/daughter-in-law be so).

• Have not benefited from the free Goats/Sheep Scheme  of the Government.

• Should be permanent resident of the Village Panchayat. • At least 30% beneficiaries  from the Village Panchayat  

should necessarily belong to SC/ST (SC 29% and ST 1%)  Communities.

(iii) In  order  to  form  a  viable  and  successful  procurement  of  milk  by  the  Primary  Milk  Cooperative  Societies,  it  is  preferable  that  at  least  50  members  within a village Panchayat should pour the milk to the  Milk Cooperative Society.  Hence, ordinarily around 50  beneficiaries should be provided with cows in each of  the selected Village Panchayats.

(iv) In the District, the District Collector will be overall in- charge of the process of identification of beneficiaries.  The Regional Joint director (Animal Husbandry) (RJAD),  Project Officer (Mahalir Thittam) and Assistant Director  (Panchayats) will assist him in this regard.  The District  Collector will form a village Level Committee consisting  of (i) Village Panchayat President, (ii) Vice-President, (iii)  the  senior  most  Ward  member  (by  age)  representing  SC/ST Community, (iv)  the Panchayat Level Federation  (PLF) Coordinator, (v) an active SHG representative (vi)  the Veterinary Assistant Surgeon (VAS) of the area and  (vii)  the  Deputy,  Block  Development  Officer  (ADW) to  identify  and  shortlist  the  list  of  beneficiaries  per  the  norms  specified.   The  District  Collector  should  also  ensure  that  necessary  support  is  rendered  to  the  Committee  by  the  Village  Panchayat  Assistant  concerned.   The  purpose  of  adding  the  Veterinary  Assistant  Surgeon  and  Deputy  Block  Development  

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Officer is to ensure that the short listed beneficiaries are  conforming to the prescribed norms.

(v) After constituting the Village Level Committee for  the selected Village Panchayats concerned, the District  Collector should arrange to convene a meeting of all the  members concerned and in that meeting, the details of  the  Scheme  and  the  eligibility  conditions  are  to  be  explained  in  detail.   Since,  the  number  of  Village  Panchayats per District will be ordinarily only about 10  per  District  per  year,  the  District  Collector  should  himself convene this meeting and convey the details.

(vi) The  District  Collector  should,  thereafter,  fix  a  Special  Meeting  of  the  Grama  Sabha  in  the  Village  Panchayat  concerned  to  inform  the  details  of  the  Scheme  to  the  villagers.   The  Veterinary  Assistant  Surgeon and Deputy Block Development Officer (ADW)  will explain the salient features of the Scheme and the  eligibility  details  of  the  beneficiaries  in  the  meeting.  Applications for the free Milch Cows will be sought for in  this  Special  Gram Sabha  Meeting  from the interested  beneficiaries.

(vii) A period of one week will also be given for further  receipt of Applications.  The Applications can be given to  any of the village Level Committee members or directly  to  the  Village  Panchayat.   Thereafter,  the  Veterinary  Assistant  Surgeon  and  Deputy  Block  Development  Officer (ADW) will arrange a meeting of the village level  Committee  in  the  office  of  the  Village  Panchayat  to  scrutinize  and  list  out  the  names  of  all  the  eligible  beneficiaries for the Scheme.

(viii) The list  prepared should  also be got  verified  by  the  Veterinary  Assistant  Surgeon  and  Deputy  Block  Development  Officer  (ADW)  with  the  Village  Administrative officer concerned, with regard to the land  ownership  details  and  the  community  details.   (No  certificate  is  however  to  be  insisted  upon  and  the  scrutiny  of  the  Village  Level  committee  and  subsequently the Gram Sabha will be considered to be  final).  Only after ensuring the eligibility of the proposed  beneficiaries,  the  list  will  be  approved  by  the  village  Level Committee.

(ix) The  finalized  list  should  be  placed  before  the  Gram  Sabha  for  approval.   The  Gram  Sabha  should  again  ensure that  30% of  the beneficiaries  belong to  SC/ST  

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communities.

(x) The District  Collector  should also arrange to send the  Veterinary  Assistant  Surgeon/Deputy  Block  Development  Officer  or  another  official  of  the rank of  Deputy Block Development Officer (in case the Deputy  Block  Development  Officer  is  unable  to  attend)  to  participate in the Gram Sabha meeting and facilitate the  discussion and finalization of the beneficiaries list.

(xi) The list finalized by Gram Sabha will be displayed in the  Village  Panchayat,  Notice  Board  and  other  prominent  places in the Village Panchayat.

B.  Scheme for free distribution of goats/sheep to  the poorest of the poor

The Government of Tamil Nadu have proposed to launch  a “Scheme for free distribution of Goats/Sheep” for the  poorest of poor in the rural areas in order to enhance  their standard of living.

2.  Implementation of the Scheme (i) The Goats/Sheep can be procured within the State and  

also from outside the State.  However, the procurement  of Goats/Sheep in larger numbers from the other States  is  not  preferable  since  this  category  of  animals  (also  called ‘small ruminants’ in veterinary terminology) are  fragile or prone to diseases when transported enmasse  from long distances and different climatic zones.  Hence,  unlike the Scheme for procurement of free Milch Cows  wherein cows only from other States are proposed to be  procured, it has been decided to procure Goats/Sheep  predominantly from the local market shandies available  within the State in the proximity of the beneficiaries.  If  good quality animals are brought and supplied by the  breeders in the village itself, the supply of Goats/Sheep  through such breeders will be permitted.

(ii) It is presumed that about 6-7 lakh Goats/Sheep can be  procured from the shandies within the State or from the  neighbouring State shandies  without  causing shortage  of  availability  of  Goats/Sheep  for  meat  purpose  and  without causing impact on the price of Goats/Sheep in  the area.

(iii) In view of the availability of about 6-7 lakh Goats/Sheep  in a year, the number of families to be assisted in each  year  will  be  1.5  lakh  and  in  the  current  year,  

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approximately one lakh families can be assisted since  the first quarter of the year is already over.  The Gram  Sabha will be utilized to identify the poorest of the poor  beneficiaries within each village.

3.  Eligibility Norms

The beneficiaries will be the poorest of the poor families  living  in  Village  Panchayats  (rural  areas)  who  are  identified  by  the  village  Level  Committee  as  per  the  norms and whose name is approved by the Gram Sabha  as the poorest of the poor in the village.

The free Goats/Sheep will be distributed at the rate of 4  Goats/Sheep per household.  In order to empower the  women, it has been decided that the actual beneficiary  will be the Woman of the household.  In case there are  any transgender residing in the Village Panchayat, who  are otherwise eligible  as per the criteria  given below,  they  will  also  be  considered  to  be  eligible  for  the  Scheme.

The  beneficiaries  under  this  Scheme  should  satisfy  the  following eligibility criteria

• Must be the landless Agricultural labourers. • Should  be  a  permanent  resident  of  the  Village  

Panchayat. • The  beneficiary  household  should  have  at  least  one  

member between the age of 18 and 60 to effectively  rear the Goats/Sheep.

• Should not own any Cow/Goat/Sheep at present. • Should  not  be  an  employee  of  Central/State  

Government  or  any  Organisation/Cooperative  or  member of any local body (nor should their spouse or  father/mother/parents-in-law/son/daughter/son-in- law/daughter-in-law be so).

• Should  not  have benefited  from the free  Milch  Cows  Distribution Scheme of the Government.

2) Atleast  30% beneficiaries from the Village Panchayat  should  necessarily  belong  to  SC/ST  (SC  29% and  ST  1%)  community.   

(i) The target number of beneficiaries for each District  will  be  decided  by  the  Commissioner  of  Animal  Husbandry and Veterinary Services (CAH&VS) based  on the strength of the rural population of the District.  The  Village  Panchayat  as  well  as  the  Block  target  

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within  the  District  will  also  be  based  on  the  proportionate rural population.

(ii) Within each District,  the Village Panchayats will  be  selected in such a manner that approximately one- fifth of the beneficiaries will be covered in each Block  in a year and the beneficiaries of a particular Village  Panchyat will be fully covered within the year itself.  The  Commissioner  of  Animal  Husbandry  and  Veterinary Services will work out the detailed Action  Plan  in  this  regard  and  convey  to  the  District  Collectors for implementation.  In case of difficulties  in  implementation  of  the  Scheme  in  some  of  the  Village Panchayats having urbanized characters, the  District  Collector  will,  in  consultation  with  the  Commissioner  of  Animal  Husbandry  and  Veterinary  Services,  re-allocate  the  surplus  target  to  other  deserving Village Panchayats.

(iii) In the District, the District Collector will be the overall  in-charge  of  the  process  of  identification  of  beneficiaries.   The  Regional  Joint  Director  (Animal  Husbandry) (RJAD), Project Officer (Mahalir Thittam)  and Assistant Director (Panchayats) will assist him in  this regard.  The District Collector will form a Village  Level Committee consisting of (i)  Village Panchayat  President,  (ii)  Vice-President,  (iii)  the  senior  most  Ward  member  (by  age)  representing  SC/ST  Community, (iv) the Panchayat Level Federation (PLF)  coordinator (v) an active SHG representative (vi) the  Veterinary Assistant Surgeon (VAS) of the area and  (vi) the Deputy Block Development Officer (ADW) to  identify and shortlist the list of beneficiaries as per  the  norms  specified.   The  District  Collector  should  also ensure that necessary support is rendered to the  Committee  by  the  Village  Panchayat  Assistant  concerned.   The  purpose   of  adding  the  VAS  and  Deputy BDO(ADW) is  to ensure that the shortlisted  beneficiaries are conforming to the prescribed norms.

(iv) After constituting the Village Level Committee for the  selected Village  Panchayats  concerned,  the  District  Collector should arrange to convene a meeting of all  the  members  concerned  and  in  that  meeting,  the  details  of  the Scheme and the eligibility  conditions  are to be explained in detail.  The District Collector  should himself convene this meeting in one or more  sessions  in  order  to  convey  the  details  and  the  seriousness of the selection process.

(v) The District Collector should, thereafter, fix a Special  Meeting of the Gram Sabha in the Village Panchayat  concerned to inform the details of the Scheme to the  

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villagers.   The  Veterinary  Assistant  Surgeon  and  Deputy Block Development Officer (ADW) will explain  the salient features of the Scheme and the eligibility  details  of  the  beneficiaries  in  the  meeting.  Applications for the free Goats/Sheep will be sought  for  in  this  Special  Gram  Sabha  Meeting  from  the  interested beneficiaries.

(vi) A period of one week will  also be given for further  receipt of applications.  The applications can be given  to any of the Village Level Committee members or  directly  to  the  Village  Panchyat.   Thereafter,  the  Veterinary  Assistant  Surgeon  and  Deputy  Block  Development Officer (ADW) will arrange a meeting of  the  Village  Level  Committee  in  the  office  of  the  Village Panchayat to scrutinize and list out the names  of all the eligible beneficiaries for the Scheme.

(vii) The list prepared should also be got verified by the  Veterinary  Assistant  Surgeon  and  Deputy  Block  Development  Officer  (ADW)  with  the  village  Administrative  Officer  concerned,  to  confirm  the  ‘landless’  status  of  the  proposed  beneficiaries  and  the community details.  (No certificate is however to  be insisted upon and the scrutiny of the Village Level  Committee and subsequently the Gram Sabha will be  considered  to  be  final).   Only  after  ensuring  the  eligibility of the proposed beneficiaries, the list will be  approved by the Village Level Committee.

(viii) The finalized list should be placed before the Gram  Sabha for approval.  The Gram Sabha should again  ensure that 30% of the beneficiaries belong to SC/ST  (SC 29% and ST 1%) communities.

(ix) The District Collector should also arrange to send the  Veterinary  Assistant  Surgeon/Deputy  Block  Development Officer (ADW) or another official of the  rank of  Deputy Block Development Officer  (in case  the  Deputy  Block  Development  Officer  (ADW)  is  unable to attend) to participate in the Gram Sabha  meeting and facilitate the discussion and finalization  of the beneficiaries list.

III. Solar Powered Green House Scheme

1. The Government proposed to construct “Solar Powered  Green House Scheme” for the benefit of the poor in the  rural areas and measuring about 300 square feet with  unit cost of Rs.1.80 lakhs by meeting the entire cost by  Government.   The  scheme  aims  at  providing  Solar  Powered Green House for the poor living below poverty  line  in  rural   areas.   Accordingly,  it  is  proposed  to  

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construct 60,000 Solar Powered Green House of 300 sq.  ft.  each year  for  the  next  five  years  from 2011-2012  totalling 3 lakh house.

2. Eligibility Criteria : 1. The  beneficiary  under  Solar  Powered  Green  House  

Scheme should reside within the Village Panchayat and  find a place in the below poverty line list.

2. He/she should own a site of 300 sq. ft. with clear title  and patta.

3. Should  not  own  any  pacca  concrete  house  and  not  benefited by any other housing scheme.

4. Rs.1.50  lakhs  will  be  earmarked  for  construction  of  house and Rs.30,000/- for installing solar Powered Home  Lighting System.

5. The  scheme  will  be  implemented  by  the  District  Collector so as to ensure that the construction of houses  are completed in time.

IV. Laptop Computers to students

The State of Tamil Nadu have emerged as a favoured  destination both for the domestic and multinational  IT  companies.   This  has  opened  new  vistas  of  job  opportunities  for  youth  in  Tamil  Nadu.   Further  the  students  from  lower  rungs  of  the  socio-economic  pyramid also need to be equipped to participate in the  emerging  market.   To  provide  level  playing  field  by  bridging the digital  divide,  develop skills  and improve  human  resources  in  consonance  with  the  millennium  development goals, the Government of Tamil Nadu have  decided to provide Laptop computers at free of cost to  all  students  studying in  Government  and Government  aided  Higher  Secondary  Schools,  Arts  &  Science  colleges, Engineering Colleges and polytechnic colleges.

Accordingly the Government have issued order in G.O. (Ms)  No.1,  Special  Programme  Implementation  Department dated 03.06.2011 for distribution of Laptop  Computer at free of cost.

Under  this  scheme,  the  students  studying  in  Government  and Government  aided schools,  Arts  and  Science Colleges, Engineering Colleges and Polytechnics  will  be  eligible.   These  students  will  be  covered  as  follows:

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Year Schools Arts/Science  College  

Engineering  Colleges

Polytechnics

2011-12 Plus Two (12th std.)

1st &  3rd  years  students

2nd &  4th  year  students

1st & 3rd year  students

2012-13 Plus Two (12th std.)

3rd year  students

2nd &  4th  Year  students

1st & 3rd year  students

2013-14 Plus Two (12th std.)

 - - 1st year  student

During  the  year  2011-12,  laptop  computers  will  be  distributed  to  9.12  lakh  students  studying  in  12th  standard, 1st and 3rd year of Arts and Science Colleges,  2nd and 4th year of Engineering Colleges and 1st and 3rd  year of Polytechnic colleges.  The concerned Heads of  Institutions  will  ensure  that  the  dropouts/discontinued/transferred  students  are  not  included in the list of eligible students.

V.  Free Rice Scheme  

Note  on  the  Scheme  of  Distribution  of  free  rice  under Universal Public Distribution System in Tamil  Nadu

In  Tamil  Nadu  Universal  Public  Distribution  System is  being followed and there is no differentiation as APL/BPL  categories  based  on  income  criteria  for  supply  of  essential  commodities  to  family  cardholders  under  Public  Distribution  System.   Hence,  there  is  no  differentiation  like  BPL/APL  family  cards  in  this  State.  Instead family cards have been issued on the basis of  option exercised by the card holders under self-selection  process to receive either rice with all commodities or to  receive  additional  sugar  in  lieu  of  rice  with  other  commodities  after  verifying  the  genuiness  of  the  residence in this State.

Features  of  Universal  Public  Distribution  System  in  Tamil  Nadu

(1) Universal Public Distribution System is the heart and  soul of State Food Policy.  It is built on the principles  of  non-exclusion,  easy access to Public  Distribution  System shops and adequate availability of food gain  

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at an affordable price. (2) Though  Government  of  India  advocates  Targeted  

Public  Distribution  system(TPDS),  Government  of  Tamil Nadu is not in favour of rigid targeting, as it  may lead to  exclusion  of  large  number  of  genuine  Below  Poverty  Line  (BPL)  families  and  vulnerable  Above Poverty Line (APL) families due to enumeration  errors and improper bench marking.

(3) Poverty is a dynamic and relative concept and hence,  it  is  difficult  to  design  acceptable  criteria  and  methodology to measure poverty.  Thus any method  used for identifying BPL families is bound to result in  some  amount  of  exclusion  of  deserving  families.  Further,  due  to  unforeseen  natural  calamities  like  droughts, floods and disaster etc., a large number of  vulnerable APL families may be forced into poverty  trap again.

(4) Rigid government system will not be able to respond  quickly  to  such  situation.   Thus  targeted  public  distribution system approach will always have some  families outside the Public Distribution system at any  point of time in defeating the objective of total food  security and elimination of hunger.

(5) On  the  other  hand  Universal  Public  Distribution  System is based on principle of self selection.  Only  those who need subsidized food articles will go to the  Public Distribution System shops and not the entire  population.

(6) Based  on  these  principles  and  out  of  years  of  experiences, Government of Tamil Nadu is convinced  that  Universal  Public  Distribution  System  assures  better food security to the people and therefore has  decided to continue with it.

Process for issue of family cards On  application  for  issue  of  family  cards  in  the  form  prescribed (available in the website of the Department  of  Civil  Supplies and Consumer Protection and can be  downloaded and used – No cost for application), the Civil  Supplies  authorities  verify  the  genuiness  of  the  application and recommend for issue for family card or  for rejection of cards as the case may be.

No income details are collected from the individual and  this information is not entered in the family card also.  As income, except in the case of persons employed in  the organized sector, is a dynamic variable susceptible  to undergo charges in sync with any unexpected events  in the employment market, these details are not being  

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collected for the purpose of the existing Universal Public  Distribution System.

On the other hand, option is given to the applicant to  choose whether he would like to draw rice or not.  If he  selects  not  to  draw  rice,  he  is  given  the  benefit  of  drawing 3kgs. extra sugar in lieu of rice in addition to  the normal entitlement of ½ kg. per person per month  subject to the maximum of 2kg per month per card.

VI.  Free Distribution of Electric Fans, Mixies & Grinders to  Women

This  scheme  is  introduced  as  a  welfare  measure  for  women  and  intends  universal  coverage  of  women  beneficiaries belonging to families holding family cards  which  are eligible  for  drawing rice.   To  make women  more  effective  participants  in  the  economy,  it  is  imperative to relieve them from the domestic drudgery.  Therefore, the Government have decided to distribute a  package  of  electric  Fan,  Mixie  and  Grinder  to  all  the  women from the families holding family cards which are  eligible  to  draw  rice.   This  scheme  is  expected  to  improve the standard of living of the poor women apart  from providing equal opportunities.

In  pursuance  to  above,  the  Government  have  issued  Orders in G.O. Ms. 2 Special Programme Implementation  Department,  Dated 03.06.2011 for  free  distribution  of  25 lakh packages of  electric  fans,  mixies  and grinder  during  2011-12.   In  total  about  1.83  crore  women  beneficiaries will be covered in a phased manner.

2. Eligibility Criteria  All households having a family card which is eligible for  drawing  rice  are  eligible  for  electric  fans,  mixies  and  grinders,  at  free  of  cost,  under  this  Scheme.   The  benefits will be distributed only to a woman member of  these households.

In case, a household having family card which is eligible  for drawing rice, does not have any woman member it  will be given to the head of the family.

The family cards as on 30.06.2011 will be considered for  distribution of the items during the current year (2011- 12).

The benefits will be distributed to an eligible family only once.

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While distributing the benefits, priority should be given  to rural areas within the Assembly Constituency followed  by Town Panchayats, then Municipalities and Municipal  Corporations, if any.”

61) The concepts of livelihood and standard of living are  

bound to change in their content from time to time. It is  

factual that what was once considered to be a luxury has  

become a necessity in the present day. It is well settled  

that the concept of livelihood is no longer confined to bare  

physical survival in terms of food, clothing and shelter but  

also now necessarily includes basic medicines, preliminary  

education,  transport,  etc.  Hence,  the  State  distrusting  

largesse in the form of distribution of colour TVs, laptops,  

etc. to eligible and deserving persons is directly related to  

the directive principles of the State policy.

62) As a  result,  we are not  inclined to  agree with  the  

argument  of  the  appellant  that  giving  of  colour  TVs,  

laptops,  mixer-grinders  etc.  by  the  Government  after  

adhering  to  due  process  is  not  an  expense  for  public  

purpose.  Judicial  interference  is  permissible  when  the  

action of the government is unconstitutional and not when  

such action is not wise or that the extent of expenditure is  

not for the good of the State. We are of the view that all  

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such  questions  must  be  debated  and  decided  in  the  

legislature and not in court.

63) More  so,  the  functioning  of  the  Government  is  

controlled by the Constitution, the laws of the land, the  

legislature  and  the  Comptroller  and  Auditor  General  of  

India.  As per Article 73 of the Constitution, the executive  

power  of  the  Union  of  India  is  co-extensive  with  its  

legislative power.  Similarly,  the executive power of the  

State is co-extensive with its legislative power   (Article  

162).  In  Bhim Singh (supra),  this Court has held that  

the Government  can frame a scheme in  exercise of  its  

executive  powers  but  if  such  a  scheme  entails  any  

expenditure,  then  it  is  required  to  be  backed  by  law.  

Article 266 of the Constitution lays down that all monies  

received  by  the  Central  Government  or  by  the  State  

Government  by  way  of  taxes  or  otherwise  must  be  

credited to the Consolidated Fund of  India.   Article 267  

also constitutes Contingency Fund of India.  If any money  

(except which is charged on the Consolidated Fund) is to  

be withdrawn for any governmental purpose, then there  

has to be an Appropriation Act under Article 266(3) read  

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with Article 114 of the Constitution.  Every department of  

the  Government  presents  its  demand to  the  legislature  

concerned  and  the  legislature  votes  on  the  same,  and  

thereafter,  the  Appropriation  Act  is  passed  which  

authorizes the Government to withdraw the money from  

the  Consolidated  Fund.   There  are  similar  provisions  

relating  to  the  State.   The  Contingency  Fund  can  be  

established only by enacting a law in that behalf and not  

by an executive fiat.   The law creating the Contingency  

Fund authorizes the purposes for which the amount in it  

can be spent.  This is how the money is being spent by the  

Government  on  its  schemes  under  the  control  of  the  

Legislature.   

64) In  Bhim  Singh  (supra),  Article  282  of  the  

Constitution in the context of Government expenditure on  

various  projects  was  considered.   In  that  case,  the  

Government  in  question  had  framed  the  scheme  

empowering  the  Members  of  Parliament  to  recommend  

works and projects in their respective constituencies.  The  

said Scheme was challenged on the ground that the same  

has  been  formulated  without  enacting  any  law  in  that  

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behalf.   This  challenge  was  negatived  by  this  Court  

principally on the ground that any expenditure which the  

Government incurs on the said Scheme is authorized by  

the Appropriation Act and the Appropriation Act is a law as  

contemplated by Article 282.  This Court also negatived  

the challenge on the ground that the same is not for public  

purpose.  

65) In  addition  to  the  legislative  control  by  way  of  

Appropriation  Acts,  the  rules  framed  by  the  Parliament  

under  Article  118  and  by  the  State  Legislatures  under  

Article  208  of  the  Constitution  of  India,  also  create  a  

mechanism to keep a check on the expenditure incurred  

by the Government.  

66) As  far  as  State  of  Tamil  Nadu  is  concerned,  the  

Legislature  has  framed  rules  under  Article  208  of  the  

Constitution and these rules are known as The Tamil Nadu  

Legislative Assembly Rules.  Under Chapter XX of the said  

Rules, a Public Accounts Committee is set up and usually  

such Public Accounts Committee is headed by a Member  

of  the  Opposite  Party.   The Public  Accounts  Committee  

scrutinizes  the  Government  accounts  and  submits  its  

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report to the Legislature for its consideration.  So, apart  

from the Appropriation Act, there is also effective control  

over the Government accounts and expenses through the  

Public Accounts Committee.  

67) In  addition  to  the  Legislative  control,  the  founding  

fathers of the Constitution have also thought it fit to keep  

a check on Government accounts and expenses through  

an agency outside the Legislature also.  Article 148 has  

created  a  constitutional  functionary  in  the  form  of  the  

Comptroller  and  Auditor  General  of  India  (CAG).   CAG  

examines  the  propriety,  legality  and  validity  of  all  

expenses incurred by the Government.  The office of CAG  

exercises effective control over the Government accounts.  

68) If  we analyze the abovementioned articles and the  

rules of procedure, it is established that there are various  

checks  and  balances  within  the  mandate  of  the  

Constitution  before  a  scheme  can  be  implemented.  As  

long  as  the  schemes  come  within  the  realm  of  public  

purpose and monies for  the schemes is  withdrawn with  

appropriate Appropriation bill, the court has limited power  

to interfere in such schemes.  

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69) Further,  the  appellant  contended  by  referring  to  

various foreign cases to highlight the principle that public  

money cannot  be  used to  create  private  assets.  In  our  

opinion,  there  is  no  merit  in  this  contention  also.  The  

purpose  of  the  schemes  is  to  enforce  the  directive  

principles of state policy. In what way the state chooses to  

implement  the  directive  principles  of  state  policy  is  a  

policy decision of the State and this Court cannot interfere  

with such decisions. Ordinarily, this Court cannot interfere  

with policy decisions of the government unless they are  

clearly  in  violation  of  some  statutory  or  Constitutional  

provision  or  is  shockingly  arbitrary  in  nature.  In  Ekta  

Shakti Foundation vs.  Government of NCT of Delhi  

(2006) 10 SCC 337, it was held:-

10  “While  exercising  the  power  of  judicial  review  of  administrative action,  the Court  is  not  the appellate authority  and  the  Constitution  does  not  permit  the  Court  to  direct  or  advise the executive in  matter  of  policy  or  to  sermonize  any  matter which under the Constitution lies within the sphere of the  Legislature or the executive, provided these authorities do not  transgress  their  constitutional  limits  or  statutory  power.  The  scope of judicial enquiry is confined to the question whether the  decision  taken  by  the  Government  is  against  any  statutory  provisions or is violative of the fundamental rights of the citizens  or  is  opposed to the provisions  of  the Constitution.  Thus,  the  position is that even if the decision taken by the Government  does not appear to be agreeable to the Court it cannot interfere.  The correctness of the reasons which prompted the Government  in  decision  making,  taking  one  course  of  action  instead  of  another is  not  a matter of  concern in  judicial  review and the  Court is not the appropriate forum for such investigation.

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In the light of settled principle and observing that in the  

given case no such circumstances prevail as envisaged for  

judicial enquiry; we are not persuaded to interfere with the  

policy decision.  

70) With  regard  to  the  contention  that  distribution  of  

State largesse in the form of colour TVs, laptops, mixer-

grinders,  etc.,  violates  Article  14  of  Constitution  as  the  

unequals are treated equally. Before we venture to answer  

this question, we must recall that these measures relate  

to implementation of Directive Principles of State Policy.  

Therefore, the principle of not to treat unequals as equal  

has no applicability as far as State largesse is concerned.  

This  principle  applies  only  where  the  law  or  the  State  

action imposes some burden on the citizen either financial  

or  otherwise.  Besides,  while  implementing  the  directive  

principles, it is for the Government concerned to take into  

account its financial resources and the need of the people.  

There  cannot  be  a  straight  jacket  formula.   If  certain  

benefits  are  restricted  to  a  particular  class  that  can  

obviously be on account of the limited resources of the  

State.  All  welfare measures cannot at one go be made  

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available  to  all  the  citizens.   The  State  can  gradually  

extend the benefit and this principle has been recognized  

by this Court in several judgments.  

Issue No. 3  

Whether  this  Court  has  inherent  power  to  issue  guidelines by application of Vishaka principle?

71) It is the stand of the appellant that there is legislative  

vacuum  in  the  given  case.  Hence,  the  judiciary  is  

warranted  to  legislate  in  this  regard  to  fill  the  gap  by  

application  of  Vishaka principle.  However,  learned  

counsel  for  the  respondent  made a  distinction  between  

the  Vishaka  (supra) and  the  given  case.  While  

highlighting  that  in  Vishaka (supra),  there  was  no  

legislation to punish the act of sexual harassment at work  

place,  therefore,  the  judiciary  noting  the  legislative  

vacuum framed temporary guidelines until the legislatures  

passed a bill in that regard. However, in the case at hand,  

there is a special legislation, namely, the Representation  

of  People  Act  wherein  Section  123  enumerates  

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exhaustively  a  series  of  acts  as  “corrupt  practice”.  

Therefore, this is not a case of legislative vacuum where  

the  judiciary  can  apply  its  inherent  power  to  frame  

guidelines.  

Issue No. 4:

Whether  Comptroller and Auditor General of India  has  a  duty  to  examine  expenditures  even  before  they are deployed?

72) As  reiterated  earlier,  the  Comptroller  and  Auditor  

General of India is a constitutional functionary appointed  

under Article 148 of the Constitution.  His main role is to  

audit  the  income and expenditure  of  the  Governments,  

Government  bodies  and  state-run  corporations.   The  

extent of his duties is listed out in the Comptroller and  

Auditor  General’s  (Duties,  Powers  etc.)  Act,  1971.   The  

functioning  of  the  Government  is  controlled  by  the  

Constitution, the laws of the land, the legislature and the  

Comptroller and Auditor General of India.  CAG examines  

the propriety, legality and validity of all expenses incurred  

by the Government.  The office of CAG exercises effective  

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control  over  the  government  accounts  and  expenditure  

incurred on these schemes only after implementation of  

the same.  As a result, the duty of the CAG will arise only  

after the expenditure has incurred.  

Issue No. 5  

Whether  the  writ  jurisdiction  will  lie  against  a  political party?

73) Learned senior counsel  for the respondent (State of  

Tamil  Nadu)  raised the issue of  jurisdiction stating that  

political parties are not State within the meaning of Article  

12 of the Constitution of India and therefore, no writ  of  

any nature can be issued against them either under Article  

226 or Article 32 of the Constitution of India or any other  

provision of the Constitution or any other law. The correct  

forum is the Election Tribunal and not writ jurisdiction.

74)  Admittedly,  the  respondents  never  raised  any  

objection relating to the jurisdiction in the High Court or  

even in the pleadings before this Court. It is only in the  

oral submissions that this issue has been raised.

75) In the matters relating to pecuniary jurisdiction and  

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territorial jurisdiction, the objection as to jurisdiction has  

to be taken at the earliest possible opportunity. But, this  

case relates  to  the jurisdiction over  the subject  matter.  

This is totally distinct and stands on a different footing. As  

such,  the question of  subject  matter  jurisdiction can be  

raised even in the appeal stage. However, as this petition  

is  fit  for  dismissal  de  hors the  jurisdiction  issue,  the  

jurisdiction issue is left open.

76) Summary:

(i) After examining and considering the parameters laid in  

Section 123 of RP Act, we arrived at a conclusion that the  

promises  in  the  election manifesto  cannot  be  read into  

Section 123 for declaring it to be a corrupt practice. Thus,  

promises in the election manifesto do not constitute as a  

corrupt practice under the prevailing law. A reference to a  

decision  of  this  Court  will  be  timely.  In  Prof.  

Ramchandra  G.  Kapse  vs.  Haribansh  Ramakbal  

Singh (1996) 1 SCC 206 this Court held that “..Ex facie  

contents  of  a  manifesto,  by  itself,  cannot  be  a  corrupt  

practice committed by a candidate of that party.”

(ii)  Further,  it  has  been  decided  that  the  schemes  

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challenged in  this  writ  petition falls  within  the realm of  

fulfilling  the  Directive  Principles  of  State  Policy  thereby  

falling within the scope of public purpose.  

(iii)  The  mandate  of  the  Constitution  provides  various  

checks  and  balances  before  a  Scheme  can  be  

implemented.  Therefore,  as  long  as  the  schemes  come  

within the realm of public purpose and monies withdrawn  

for  the  implementation  of  schemes  by  passing  suitable  

Appropriation  Bill,  the  court  has  limited  jurisdiction  to  

interfere in such schemes.  

(iv)  We  have  also  emphasized  on  the  fact  that  judicial  

interference  is  permissible  only  when  the  action  of  the  

government is unconstitutional or contrary to a statutory  

provision and not when such action is not wise or that the  

extent of expenditure is not for the good of the State.  

(v) It is also asserted that the schemes challenged under  

this  petition  are  in  consonance  with  Article  14  of  the  

Constitution.

(vi)  As  there  is  no  legislative  vacuum in  the  case  on  

hand, the scope for application of Vishaka principle does  

not arise.  

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(vii) The  duty  of  the  CAG  will  arise  only  after  the  

expenditure has incurred.

(viii)  Since  this  petition  is  fit  for  dismissal  dehors the  

jurisdiction issue, the issue of jurisdiction is left open.

Directions:

77) Although, the law is obvious that the promises in the  

election  manifesto  cannot  be  construed  as  ‘corrupt  

practice’ under Section 123 of RP Act, the reality cannot  

be  ruled  out  that  distribution  of  freebies  of  any  kind,  

undoubtedly,  influences all  people.  It  shakes the root of  

free and fair  elections  to  a  large degree.   The Election  

Commission through its counsel also conveyed the same  

feeling both in the affidavit and in the argument that the  

promise of such freebies at government cost disturbs the  

level playing field and vitiates the electoral process and  

thereby expressed willingness to implement any directions  

or decision of this Court in this regard.

78) As observed in the earlier part of the judgment, this  

Court  has  limited  power  to  issue  directions  to  the  

legislature to legislate on a particular issue. However, the  

Election Commission, in order to ensure level playing field  

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between  the  contesting  parties  and  candidates  in  

elections and also in order to see that the purity of the  

election  process  does  not  get  vitiated,  as  in  past  been  

issuing instructions under the Model Code of Conduct. The  

fountainhead of the powers under which the commission  

issues  these  orders  is  Article  324  of  the  Constitution,  

which  mandates  the  commission  to  hold  free  and  fair  

elections. It is equally imperative to acknowledge that the  

Election  Commission  cannot  issue  such  orders  if  the  

subject matter of the order of commission is covered by a  

legislative measure.

79) Therefore, considering that there is no enactment that  

directly governs the contents of the election manifesto, we  

hereby direct the Election Commission to frame guidelines  

for  the  same  in  consultation  with  all  the  recognized  

political  parties  as  when  it  had  acted  while  framing  

guidelines  for  general  conduct  of  the  candidates,  

meetings, processions, polling day, party in power etc. In  

the similar way, a separate head for guidelines for election  

manifesto  released  by  a  political  party  can  also  be  

included in the Model Code of Conduct for the Guidance of  

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Political Parties & Candidates.   We are mindful of the fact  

that  generally  political  parties  release  their  election  

manifesto before the announcement of election date,  in  

that scenario, strictly speaking, the Election Commission  

will  not have the authority to regulate any act which is  

done before the announcement of the date.  Nevertheless,  

an exception can be made in this regard as the purpose of  

election manifesto is directly associated with the election  

process.   

80) We hereby direct the Election Commission to take up  

this  task  as  early  as  possible  owing  to  its  utmost  

importance.  We  also  record  the  need  for  a  separate  

legislation to be passed by the legislature in this regard  

for  governing  the  political  parties  in  our  democratic  

society.  

81) In the light of the above discussion, taking note of  

statutory  provisions  of  the  RP  Act,  which  controls  only  

candidate  or  his  agent,  mandates  provided  under  the  

directive  principles,  various  guidelines  such  as  income  

limit,  preference to  women,  agricultural  labourer  etc  as  

detailed in the counter affidavit by the State, we find no  

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merit  in  the  appeal  as  well  as  in  the  transferred  case.  

With  the  above observation as  mentioned in  paragraph  

Nos.  77-80,  the  appeal  and  the  transferred  case  are  

dismissed.    No order as to costs.

   

...…………….………………………J.              (P. SATHASIVAM)                                  

 .…....…………………………………J.     (RANJAN GOGOI)                     

NEW DELHI; JULY 05, 2013.  

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