Context: The Securities and Exchange Board of India (SEBI) is working to implement instantaneous settlements in secondary market trades, and is likely to complete the process next fiscal year.
What is a Settlement Process?
The settlement refers to the official transfer of shares from the seller's account to the buyer's account.
Recent Developments
Indian capital market regulator SEBI (Securities and Exchange Board of India) announced on Monday to move to T+1 settlement cycle for all scripts from 1st October 2023. This means effective from first October 2023, all trades will be settled one day after the date of trade instead of the current T+2 settlement cycle.
Earlier, India was following T+2 settlement and has now adopted T+1 settlement.
T+1 means that trade-related settlements must be done within one day of the transaction's completion.
Trades on Indian stock exchanges are currently settled in two working days after the transaction is completed (T+2). For example, if you buy shares on Wednesday, they will be credited to your Demat account by the next day, which is Thursday.
Now, with the adoption of (T+1) settlement, the trade gets settled within one day.
Significance
Most large stock markets, like in the US, Europe, Japan, still follow the T+2 settlement cycle of trade settlement. India has now become the second country after China to go for T+1 settlement.
The move is expected to increase volume in the cash segment as one would be able to move from one stock to another on the same date instead of waiting for settlement of one's trade after one day or two days.
Instant settlement would also mean that one won't be able to trade if they have no money available in their demat account. This is a positive development for the brokerages as their risk management to contain chances of fraud or default would go down after this move.
Context:Following the unveiling of the statue of 9th-century king Mihir Bhoja as 'Gurjar Pratihar Samrat Mihir Bhoja' by district party leaders, leaders in Haryana's Kaithal expressed their protest by offering to resign. The controversy surrounding Mihir Bhoja's lineage has arisen before in Bihar and Uttar Pradesh, with both Gurjaras and Rajputs laying claim to his belonging in their respective communities.
About Mihir Bhoja
Mihir Bhoja (836 to 885 CE), was a highly successful and ambitious ruler in ninth-century India. At that time, the Gurjara-Pratiharas held dominion over a vast empire, stretching from Kashmir to Gujarat.
Mihir Bhoj ascended to power after succeeding his father, Ramabhadra. He also expanded his influence by conquering regions in the Deccan and Malwa.
Tripartite Struggle:
During the ninth century, a major political struggle centered around gaining control of Kannauj, as it was believed that whoever ruled there would become the emperor of the country.
This led to a tripartite conflict among the powerful entities of the time—the Gurjara-Pratihara, the Rashtrakutas of Deccan, and the Palas of Bengal. Among them, Mihir Bhoj emerged as the most successful.
He secured territories of Gujarat and Malwa from the Gujarat-Rashtrakutas and further expanded his realm by conquering areas of Gorakhpur from the Palas of Bengal.
He was a devout follower of Vishnu and used the title of Adivaraha, which was inscribed on some of his coins.
His rule spanned a vast territory, from the foothills of the Himalayas to the Narmada River, which included the present district of Etawah in Uttar Pradesh. Kannauj, which served as his capital during his reign, was known as Panchala.
Mihir Bhoja was a staunch adversary of the Arab invaders and maintained a formidable army, particularly renowned for its skilled cavalry. Following his rule, his son Mahendrapala I succeeded him.
Lineage:
Originally, the Gurjars were a nomadic tribe in ancient India, initially spread across the regions of Rajasthan and Gujarat, and it is believed that Mihir Bhoja belonged to this tribe.
However, historical records also suggest that he asserted Kshatriya status for himself. It was a common practice in ancient India for kings to claim Kshatriya lineage, as it was considered that only a Kshatriya (warrior) could rightfully ascend to the throne.
The controversy surrounding the castes of ancient rulers in recent times is primarily a product of modern-day politics and does not have any direct bearing on historical accuracy.
It is essential to approach these historical accounts with a critical perspective, considering the societal context and the evolution of social identities over time.
Military Career
Mihira Bhoja first consolidated his territories by crushing the rebellious feudatories in Rajasthan, before turning his attention against the old enemies the Palas and Rastrakutas.
He invaded the Pala Empire of Bengal but was defeated by Devapala. He then launched a campaign to conquer the territories to the south of his empire and was successful, thus Malwa, Deccan, and Gujarat were conquered.
The Pratiharas were defeated in a large battle in Ujjain by Rastrakutas of Gujarat however, retribution followed on the part of the Pratiharas, and by the end of his reign, Bhoja had successfully destroyed the Gujarat Rashtrakuta dynasty.
Bhoja's feudatory, the Guhilas chief named Harsha of Chatsu, is described as defeating the northern rulers with the help of the mighty elephant force, and loyally presenting to Bhoja the special ‘Shrivamsha’ breed of horses, which could easily cross seas of sand.
Besides being a conqueror, Bhoja was a great diplomat. The Kingdoms which were conquered and acknowledged his suzerainty include Travani, Valla, Mada, Arya, Gujaratra, Lata Parvarta, and Chandelas of Bundelkhand.
Bhoja's Daulatpura-Dausa Inscription, confirms his rule in the Dausa region. Another inscription states that ‘Bhoja's territories extended to the east of the Sutlej River.’
Kalhana's Rajatarangini states that the territories of Bhoja extended to Kashmir in the north, and Bhoja conquered Punjab by defeating the ruling ‘Thakkiyaka’ dynasty.
Coins of Mihira Bhoja
Mihira Bhoja was commonly known by the epithet ‘Srimad-Adivaraha’, which refers to the fortunate primeval boar incarnation of Vishnu.
These coins feature a depiction of Adivaraha on the obverse side, where the God holds a solar wheel with spokes in his right hand, while in his left hand, there are other emblems such as a mace, lotus flower, and conch shell.
Additionally, under the feet of God, there is likely a two-headed serpent. According to Alexander Cunningham, these types of coins are found in both silver and copper.
It is believed that copper coins were originally coated with silver to circulate as silver coins. The presence of Adivaraha coins was noted by Thakkar Pheru in the 13th-century text ‘Dravya-Pariksha,’ who served as a mint master under Alauddin Khilji.
Gurjara-Pratihara Empire
The Gurjara-Pratiharas, also known simply as the Pratiharas, ruled over western and northern India from the 8th century CE to the 11th century CE.
This dynasty witnessed a significant rise in its fortunes under the rule of Nagabhata I (730–760 CE), who successfully repelled Arab invaders.
The Pratiharas were particularly known for their generous patronage of art, sculpture, and temple construction.
Context: Recently several regions of India including J&K have been marred by cascading effect of natural disasters. This makes it important to understand the relevance of Early Warning System.
Early warning systems (EWS) can improve resilience against climate-related hazards by providing information for early action. However, to be effective, EWS must incorporate aspects of resilient systems. Components:
Disaster risk knowledge based on the systematic collection of data and disaster risk assessments.
Detection, monitoring, analysis and forecasting of the hazards and possible consequences.
Dissemination and communication, by an official source, of authoritative, timely, accurate and actionable warnings and associated information on likelihood and impact.
Preparedness at all levels to respond to the warnings received.
Multi Hazard Early Warning System
Multi-hazard early warning systems address several hazards and/or impacts of similar or different type in contexts where hazardous events may occur alone, simultaneously, cascadingly or cumulatively over time, and taking into account the potential interrelated effects. A multi-hazard early warning system with the ability to warn of one or more hazards increases the efficiency and consistency of warnings through coordinated and compatible mechanisms and capacities, involving multiple disciplines for updated and accurate hazards identification and monitoring for multiple hazards.
The United Nations Office for Disaster Risk Reduction (UNISDR) and the World Meteorological Organization (WMO) Secretariat, along with other international and national agencies, established the International Network for Multi-Hazard Early Warning Systems (IN-MHEWS).
This multi-stakeholder partnership will facilitate the sharing of expertise and good practice on strengthening multi-hazard early warning systems as an integral component of national strategies for disaster risk reduction, climate change adaptation, and building resilience. In doing so, it will support the implementation of the Sendai Framework for Disaster Risk Reduction 2015-2030, especially the achievement of its global target G on multi-hazard early warning systems, and the United Nations Plan of Action on Disaster Risk Reduction for Resilience.
The Sendai Framework for Disaster Risk Reduction 2015–2030 – the successor instrument to the Hyogo Framework for Action 2005–2015: Building the Resilience of Nations and Communities to Disasters – recognizes the benefits of multi-hazard early warnings systems and enshrines them in one of its seven global targets:
Context: The Supreme Court sought a response from the Enforcement Directorate (ED) to a plea by T.N. Minister Senthilbalaji challenging a Madras High Court order upholding his arrest by ED in a money-laundering case.
Senthilbalaji Case
In this case, according to ED, Senthilbalaji and his close aides fraudulently manipulated the candidates' marks and approved their appointment orders in exchange for money from candidates. Most candidates who had paid the money neither got appointment orders nor their money back.
(Source: The Hindu)
Enforcement Directorate (ED)
The Directorate of Enforcement or the ED is a multi-disciplinary organization mandated with investigation of economic crimes and violations of foreign exchange laws.
History of ED
The origin of this Directorate goes back to 1st May, 1956, when an ‘Enforcement Unit’ was formed in the Department of Economic Affairs.
Under the Foreign Exchange Regulation Act, 1947 (FERA ’47) the unit was created to deal with the violation of exchange control laws.
This unit, which had Delhi as its base of operations, was led by a Legal Service Officer serving as Director of Enforcement, with assistance from three Special Police Establishment Inspectors and an Officer on deputation from the Reserve Bank of India (RBI).
Initially it had two branches at Bombay and Calcutta.
1957
Enforcement Unit was renamed as ‘Enforcement Directorate’A new branch was opened in Madras.
1960
The administrative control of the Directorate was transferred from the Department of Economic Affairs to the Department of Revenue.
FERA, 1973, which was a regulatory law, was repealed and in its place, a new law viz. the Foreign Exchange Management Act, 1999 (FEMA) came into operation w.e.f. 1st June 2000.
2002
To comply with the International Anti Money Laundering regime, the Prevention of Money Laundering Act, 2002 (PMLA) was enacted and ED was entrusted with its enforcement w.e.f. 1st July 2005.
2018
Due to the rising number of cases relating to economic offenders taking shelter in foreign countries, the Government passed the Fugitive Economic Offenders Act, 2018 (FEOA) and ED is entrusted with its enforcement with effect from 21st April, 2018.
Mandate of ED
The Prevention of Money Laundering Act, 2002 (PMLA):
It is a criminal law to prevent money laundering and to provide for confiscation of property involved in money laundering.
The Foreign Exchange Management Act, 1999 (FEMA):
It is a civil law dealing with foreign exchange market in India. "ED has been given the responsibility to conduct investigation into suspected contraventions of foreign exchange laws and regulations, to adjudicate and impose penalties on those adjudged to have contravened the law," as per its website.
The Fugitive Economic Offenders Act, 2018 (FEOA):
This law deals with Indian offenders who leave India to escape laws. This allows ED to attach properties of fugitive offenders who have escaped India.
Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 (COFEPOSA)
The ED is the sponsoring agency under COFEPOSA. Under this law, the ED is empowered to sponsor cases of preventive detention with regard to contraventions of FEMA, according to its website.
Functions of ED
To collect, develop and disseminate intelligence relating to violations of FEMA, 1999.
To investigate suspected violations of the provisions of the FEMA, 1999 relating to activities such as “hawala” foreign exchange racketeering, non-realization of export proceeds, non-repatriation of foreign exchange etc.
To adjudicate cases of violations of the erstwhile FERA, 1973 and FEMA, 1999.
To realize penalties imposed on conclusion of adjudication proceedings.
To handle adjudication, appeals and prosecution cases under the erstwhile FERA, 1973
To process and recommend cases for preventive detention under the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act (COFEPOSA)
To undertake survey, search, seizure, arrest, prosecution action etc. against offender of PMLA offence.
To provide and seek mutual legal assistance to/from contracting states in respect of attachment/confiscation of proceeds of crime as well as in respect of transfer of accused persons under PMLA.
Investigation by ED
Whenever any offence is registered by a local police station, which has generated proceeds of crime over and above ₹1 crore, the investigating police officer forwards the details to the ED.
If the offence comes under the knowledge of the Central agency, they can then call for the First Information Report (FIR) or the chargesheet if it has been filed directly by police officials. This will be done to find out if any laundering has taken place.
Difference between Police investigation and ED investigations
ED
Police
Under PMLA which ED deals with, a statement recorded before an investigation officer (IO) is admissible in court as evidence.
Statements to police are otherwise not admissible in court. Only statements recorded before a magistrate are admissible.
All offences under PMLA which ED deals are non-bailable.
The Police deal with both bailable and non-bailable offences.
The burden of proof is on the accused.
In regular criminal law the principle of innocent until proven guilty is followed and the burden of proof is on the prosecutor.
Power of ED
The ED carries out search and seizure after it has decided that the money has been laundered, under Section 16 (power of survey) and Section 17 (search and seizure) of the PMLA.
On the basis of that the authorities will decide if arrest is needed as per Section 19 (power of arrest).
For ED it is not necessary to summon the person first and then start with the search and seizure.
Under Section 50 (powers of authorities regarding summons, production of documents and to give evidence etc.), the ED can also directly carry out search and seizure without calling the person for questioning.
If the person is arrested, the ED gets 60 days to file the prosecution complaint (chargesheet).
If no one is arrested and only the property is attached, then the prosecution complaint along with attachment order is to be submitted before the adjudicating authority within 60 days.
(Source: The Hindu)
Court cases related to ED
Vijay Madanlal Choudhary v. Union of India
The court opined that all the provisions under PMLA have a reasonable nexus with the objects sought to be achieved by the Act to prevent money-laundering effectively.
Section 19 of the PMLA postulates the manner of arrest of a person involved in money laundering. The court ruled that the provision has been structured with inbuilt safeguards that prevent the possibility of abuse of power by ED officials.
While upholding Section 50 of the PMLA, the court said that the process envisaged by it is of inquiry nature against the proceeds of crime and is not an ‘investigation’ in the strict sense of the term for initiating prosecution, and therefore ED officials under the PMLA are not police officers.
The Supreme Court laid down the law that no police custody can be allowed beyond the first 15 days from the date of arrest; any further remand during investigation can only be in judicial custody.
Dr. Manik Bhattacharya v. Ramesh Malik
In this case the court observed that interim protection granted against CBI action cannot operate against the ED even if the underlying allegations are similar.
P. Chidambaram v. Directorate of Enforcement (2019)
In this case the Supreme Court rejected a prayer for anticipatory bail with respect to an offence of money laundering and proceeded to grant custody to the ED.
The court reasoned that in a case of money laundering which involves many stages of placement and layering of funds, a ‘systematic and analysed’ investigation is required which would be frustrating if pre-arrest bail is granted.
Challenges faced by enforcement directorate
The Complexity of financial crimes, such as money laundering, hawala transactions, and fraud, have become increasingly sophisticated and challenging to investigate.
Technology advancement like Cryptocurrencies, Dark web etc. also aggravated this challenge.
Challenge of Lack of international cooperation in certain cases are leading to the incomplete investigation and disposal.
As the cases of financial crimes are increasing day-by-day there is challenge of lack of Capacity and resources for effective investigation.
In certain high-profile cases involving influential individual ED faces political pressure.
ED faces the challenge of lack of technology to address movement of funds across multiple jurisdictions and recording of many accounts on real time basis.
Lack of organisational capacity due to lack of skilled manpower, fund, infrastructure etc.
Challenge of overlapping jurisdiction with other agencies like Centre Bureau of investigations (CBI) etc.
Suggestions
Strengthening investigation capabilities using the advance technology may make identification, investigation and disposal of the cases more effective.
Collaboration and information sharing with domestic agencies and international agencies with threat identification markers for speedy identification of cases can be used.
Special Fast track courts can be established for the economic frauds for faster disposal of the cases.
Risk based approach can be adopted for the earlier disposal of cases with high severity and high potential to harm the economy of India.
Providing protection to whistle-blower in case of providing insider information may increase the identification and reporting of the cases.
Context: In Manipur, "Zero First Information Reports" have been made about alleged rape, murder, kidnapping, and sexual harassment.
Zero FIR (ZFR)
When a police station receives a complaint regarding an alleged offence that has been committed in the jurisdiction of another police station, it registers an FIR and then transfers it to the relevant police station for further investigation. This is called a Zero FIR.
No regular FIR number is given.
After receiving the Zero FIR, the revenant police station registers a fresh FIR and starts the investigation.
This puts a legal obligation on the police to begin investigation and take quick action without the excuse of absence of jurisdiction.
History of ZFR
The provision of Zero FIR came up after the recommendation in the report of the Justice Verma Committee.
The committee was constituted to suggest amendments to the Criminal Law in a bid to provide for faster trial and enhanced punishment for criminals accused of committing sexual assault against women.
Objective of ZFR
The objective of a Zero FIR is to ensure the victims that are unable to get a police complaint registered in one area can do it in another.
The provision is meant to provide speedy redressal to the victim so that timely action can be taken after the filing of the FIR.
First Information Report (FIR)
The term first information report (FIR) is not defined in the Indian Penal Code (IPC), Code of Criminal Procedure (CrPC), 1973, or in any other law, but in police regulations or rules, information recorded under Section 154 of CrPC is known as First Information Report (FIR).
Section 154 (“Information in cognizable cases”) says:
“every information relating to the commission of a cognizable offence, if given orally to an officer in charge of a police station, shall be reduced to writing by him or under his direction, and be read over to the informant; and every such information, whether given in writing or reduced to writing as aforesaid, shall be signed by the person giving it, and the substance thereof shall be entered in a book to be kept by such officer in such form as the State Government may prescribe”.
Three important elements of an FIR:
The information must relate to the commission of a cognizable offence.
It should be given in writing or orally to the head of the police station.
It must be written down and signed by the informant, and its key points should be recorded in a daily diary.
Filing of a FIR
FIR can be filed by any person.
He need not necessarily be the victim or the injured or an eye-witness.
FIR may be merely hearsay and need not necessarily be given by the person who has firsthand knowledge of the facts.
Cases related to FIR
Lalita Kumari v. Government of U.P.Supreme court observed that it is mandatory to register a FIR under Section 154 if the complaint is related to a cognizable offence.
Context: Bedaquiline has now become the cornerstone to cure drug-resistant tuberculosis (DR-TB). Last week, a major barrier for drug-resistant TB care ended, when Johnson & Johnson’s patent on bedaquiline expired in July.
Bedaquiline is an antibiotic drug used in the treatment of tuberculosis (TB), particularly in cases of multidrug-resistant tuberculosis (MDR-TB) and extensively drug-resistant tuberculosis (XDR-TB).
About Patent
It is an exclusive right granted by the Government to the inventor to exclude others to use, make and selling an invention for 20 years.
It is granted for:
new invention
involves an inventive step that did not exist before
such a thing has not existed before and has industrial applications.
When a patent is granted on a particular invention, it means that no other person can either produce or sell those inventions in the market for commercial purposes without the approval of the creator of such invention.
India grants legal protection to various inventions through the Patents Act, 1970.
The main aim to enact patent law is to encourage inventors to contribute more in their field by awarding them exclusive rights for their inventions.
An invention is considered new if, on the date of filing the application, any such invention is not known to the public in any form, i.e. oral, writing, or any other form.
It is a territorial right, so it can only be applied in the country where it has been granted.
Any legal action against infringement or infringement of patent rights can only be taken in that country. To obtain patent protection in different countries, each country must apply for a patent.
The Patent Cooperation Treaty (PCT) provides a way to file an international patent application in which a patent can be filed through a single patent application in a large number of countries.
A patent owner has the right to grant a license for use or even sell the ownership of a patent.
The Patents Act, 1970 was amended by the Patents (Amendment) Act, 2005 regarding extending product patents in all areas of technology including food, medicine, chemicals and microorganisms.
Working of Pharmaceutical Patent System
The drug patent system was created to reward pharma companies for innovation, ensure returns on investment, and ultimately promote innovations that make human life better and easier. This monopoly right was given only for a certain number of years to the inventor of the patent, which, after the expiration of this duration, is taken away from them and the technology or the product becomes easily accessible to any other person and he may not earn any more profit from his own creation.
Ever-green patenting
Ever-greening of patents is a process whereby the time of the rights in the patent is extended without any enhancement in the therapeutic efficacy of the Drug.
This is done by making minor changes to the original drug, such as a new formulation or a slight modification in dosage, and then filing for a new patent.
This allows the company to maintain its exclusive right to manufacture and sell the drug, even if it is essentially the same as the original.
This can limit competition from generic manufacturers and keep drug prices high, making access to essential medicines difficult for those who cannot afford them.
Indian law about the evergreening of patents in India
Section 3(d) of the Indian Patents Act states that the mere discovery of a new form of a known substance that does not result in the enhancement of the efficacy of that substance, or the mere discovery of any new property or new use for a known substance, or the mere use of a known process, the machine, or apparatus unless such known process results in a new product or employs at least one new reactant, is not considered to be an invention.
Section 3(e) of the Indian Patents Act states that a substance obtained by a mere admixture resulting only in the aggregation of the properties of the components thereof or a process for producing such substance is not patentable.
Context: The Defence Acquisition Council, the apex decision-making body for the acquisition of military equipment, cleared proposals to buy three additional Scorpene.
Scorpene Submarines
The Scorpene submarines are conventional attack submarines, meaning that they are designed to target and sink adversary naval vessels.
Capable of launching a large array of torpedoes and missiles.
Equipped with a range of surveillance and intelligence-gathering mechanisms.
They have a state-of-the-art SONAR suite and sensor suite permitting outstanding operational capabilities.
They have a length of 220 feet and height of approximately 40 feet.
They can reach the top speeds of 11 knots (20 km/h) when surfaced and 20 knots (37 km/h) when submerged.
Scorpene class submarines use diesel electric propulsion systems.
This propulsion system alternates between using diesel (for functioning on the surface) and electric (for functioning underwater).
They can operate independently without refuelling for approximately 50 days, after that they need to come on surface to recharge batteries.
Scorpene Vs Nuclear Submarine
Scorpene Submarine
Nuclear Submarine
conventional submarines are restricted in submerged endurance as per their battery capacity which powers them, they need to resurface to recharge.
Nuclear submarines theoretically have unlimited endurance. A nuclear reactor on a submarine has an operational life of up to 30 years.
As refueling is required they come to surface more often.
These submarines only need to come to the surface for replenishing supplies for the crew.
Diesel electric technology has improved the range of conventional submarines as well as their stealth. But they are slower than the nuclear submarine.
They are able to move much faster than conventional submarines.
Cost of building and operating of conventional submarine is almost half in comparison to Nuclear Submarine.
Nuclear submarines are expensive and require a significant amount of specialised experience to operate.
These submarines are almost silent, with the only noise coming from the shaft bearings, propeller, and flow around the hull.
They are comparatively noisy, the reactor is always running, creating steam noise, which can be heard on sonar.
Project 75(I)
Project-75 (India), also known as P-75(I), is a military acquisition initiative by the Ministry of Defence (MoD). The initiative aims to procure diesel-electric attack submarines with fuel cells and Air-Independent Propulsion System (AIP) for the Indian Navy to build India's naval strength and develop indigenous submarine-building capabilities.
Conventional diesel-electric submarines such as the Scorpene etc. are under this project.
Under this program six conventional submarines are to be built with air-independent propulsion (AIP) systems that will allow them to stay underwater for longer.
Context:Rajasthan government tabled Minimum Guaranteed Income Bill, 2023 to cover the entire adult population of the state with guaranteed wages or pension.
Major Provisions of the Bill:
Minimum guaranteed income: It will ensure that each adult person in the state receives a minimum income for 125 days annually. State government announced an enhancement to the existing urban employment scheme (Indira Gandhi Shahri Rozgar yojana), increasing the employment guarantee from 100 to 125 days per family. Additionally, the state will complement MGNREGA's 100 days by offering employment opportunities for an extra 25 days in rural regions.
Guaranteed employment: The state will appoint a designated program officer, who will hold the position of at least a Block Development Officer in rural areas and an Executive Officer of the local body in urban areas to implement the act. If government fails to provide employment within 15 days, then there is a provision of unemployment allowance.
Guaranteed Social Security Pension: It ensures that individuals falling into categories such as old age, differently abled, widow, and single woman with prescribed eligibility will receive a pension. The pension amount will also see an incremental increase of 15% per annum.
Analysis of the Bill:
Benefits:
State has taken the rights-based approach of providing employment towards building social security net.
It will provide financial stability to the individuals who are often forced to do menial jobs for sustenance.
It will help in reducing poverty by ensuring minimum guarantee income to every adult individual in the State.
Empowerment of marginalized sections of society such as aged, widows, differently abled, with the provision of pension.
#Best Practice: Netherlands – Minimum Income Scheme(resulted into improvements in health and education indicators of targeted sections).
Issues associated with Minimum Guarantee Income:
In urban areas, the demand for work is relatively stable throughout the year, unlike in rural areas where demand is often seasonal and addressed through schemes like MGNREGA. This stability can present challenges while designing a Minimum Guarantee Income.
The availability and suitability of public works projects in urban settings, as well as the capacity limitations of urban local bodies, raise important questions about the implementation of this legislation in urban regions.
It will increase fiscal burden on State government, as Rajasthan announced freebies worth 8.6% of its own tax revenue in 2022-23 (RBI estimates).
Such schemes/legislations reflect the inability of the economy to create productive forms of employment at the scale required to alleviate social pressures.
Roadmap for future
Consensus among stakeholders: Building consensus among policymakers, academics, economists, and other stakeholders is essential for successful implementation. Constructive dialogue and informed debate can help address concerns and refine the Minimum guaranteed income proposal.
Mechanism for funding: Determining sustainable funding mechanisms is crucial. Options could include redirecting existing welfare program budgets or exploring alternative sources of revenue generation.
Job creation: The focus should be on creating employment opportunities for people with lower skill levels.
Context:The Indus Waters Treaty (1960), or IWT, that regulates the Indus water courses between the two riparian states of India and Pakistan, is cited by many as an example of cooperation between two unfriendly neighbours for many reasons.
Recent Development:
In the recent times exercising judicial recourse to settle the competing claims and objections arising out of the construction and design elements of the run-of-river hydroelectric projects that India is permitted under the IWT to construct on the tributaries of the Indus, Jhelum and Chenab before these rivers flow into Pakistan, has increased.
Pakistan initiated arbitration at the Hague-based Permanent Court of Arbitration to address the interpretation and application of the IWT to certain design elements of two run-of-river hydroelectric projects — on the Kishanganga (a tributary of the Jhelum) and Ratle, a hydro-electric project on the Chenab.
India raised objections as it views that the Court of Arbitration is not competent to consider the questions put to it by Pakistan and that such questions should instead be decided through the neutral expert process.
The court unanimously passed a decision (which is binding on both parties without appeal) rejecting each of India’s objections. The court determined that it is competent to consider and determine the disputes set forth in Pakistan’s request for arbitration.
Issues in Indus Water Treaty
Prevents Storage: It prevents storage projects by India that was even highlighted by Parliamentary committee.
Technical: The treaty is highly technical in nature which leads to different interpretations among the countries.
Political Mistrust: There is high-level of political mistrust between India and Pakistan which has historical underpinnings.
Underutilization: The parliamentary committee has also opined that India has underutilized water of western rivers for irrigation purpose though being legally permissible under the treaty
Data Sharing: There is absence of data sharing mechanism within the treaty.
Emerging issues: The treaty was signed in 1960 and is limited to river management and usage and thus does not incorporate contemporary issues like climate change, global warming and Environmental Impact assessment under its ambit.
Limited role of World bank: World Bank though a guarantor relies on the reports that are submitted by respective countries and thus has no independent way to ensure what actually is the issue.
Way Forward:
Internationalizing India’s position: India has only utilized 93% of the storage capacity under the treaty and 25% of water generation capacity which highlights India’s credential as generous upper riparian state.
Renegotiation of Treaty: To accommodate for climate challenges and other emerging issues.
Seeking Cooperation: The provisions of the treaty provides scope for joint studies and joint research and this can be utilized to ensure cooperation between countries.
Relationality over rationality: The focus should be on relationality i.e. benefit sharing rather than just restricting the goals to water sharing as it will give due importance to minor issues like soil erosion, water quality etc.
Changing approach: There is a need to change approach from and focus on sub-basin level, which will not only make use of existing hydrology mechanism but also the socio-economic impact of the same.
Contemporary laws: Both India and Pakistan can make active use of contemporary laws like “Helsinki Rule”, which provides for the International guideline asserting rights for all bordering nations to have equitable share in water resource.
Reconciling this divergent approach: Which can be sought with the help of two cardinal principles of international water courses law accompanying binding obligations, i.e., equitable and reasonable utilisation (ERU) and the principle not to cause significant harm or no harm rule (NHR). In order to ensure rapid development, the state’s (India and Pakistan) needs prioritise the ERU over the NHR.
Context: On June 21, India became the 27th signatory to the Artemis Accords, a set of non-binding guidelines that underpin the Artemis programme, a U.S.-led project to return humans to the moon permanently.
About the Artemis Accords
It was announced by NASA (National Aeronautics and Space Administration), the U.S. civil space agency, in 2020.
It is a set of guidelines surrounding the Artemis Program for crewed exploration of the Moon. This agreement is for lunar exploration and beyond, with participation of both international partners and commercial players.
The accords describe a shared vision for principles, grounded in the Outer Space Treaty of 1967 to create a safe and transparent environment. The Outer Space Treaty 1967 laid down the foundational principles for human space exploration which facilitates exploration, science, and commercial activities for all of humanity to enjoy. India ratified the treaty in 1982.
Signatories: 27 countries including India
Non-Signatories: Major space players like Russia, China, The European Space Agency (ESA) as an organisation have not signed on to the accords either, but a number of ESA member states have.
Key Principles
The Accords are a single document, signed by each country that commits to the Accords' principles. Bilateral agreements between space agencies for specific operations on the Moon and beyond are expected to reference the Accords and implement them in particular projects.
The provisions:
Cooperative activities under these Accords should be exclusively for peaceful purposes and in accordance with relevant international law.
Commitment to transparency and to share scientific information, consistent with Article XI of the Outer Space Treaty.
Utilising current interoperability standards for space-based infrastructure, and to establish standards when they do not exist or are inadequate.
Take all reasonable efforts to render necessary assistance to personnel in outer space who are in distress.
Specify responsibility for the registration of objects in space.
Publicly share information on their activities and to the open sharing of scientific data.
Preserve outer space heritage, which comprise historically significant human or robotic landing sites, artefacts and spacecraft.
Extraction and utilisation of space resources should be conducted in a manner that is safe and sustainable.
Commit to respect the principle of free access to all areas of celestial bodies by others.
Mitigate space debris and to limit the generation of new, harmful space debris in the normal operations, break-up in operational or post-mission phases, and accidents.
Benefits for India
Enhanced space cooperation among Quad countries: The US, Japan and Australia are already signatories of the accords. Thus, accords could be considered as a natural extension of the Quad’s Critical and Emerging Technologies Working Group. India’s addition to the accords would provide a framework for space cooperation among these Quad countries. India is also collaborating with Japan on a future lunar mission, called LUPEX, to the Moon’s surface.
Attracting more investments: By being a part of the accords, India’s space companies could become part of a global supply chain. This would also help attract investment capital towards Indian space startups.
Opportunities to learn about interplanetary missions and human spaceflight: In the 1960s and 1970s, India took help from western countries such as the US and the UK to better understand sounding-rocket and satellite technologies. The Artemis Accords provide a similar opportunity to learn about interplanetary missions and human spaceflight.
Harbinger of change in space governance: The accords are bilateral agreements and not binding instruments of international law. But, by establishing practice in the area, they could have a significant influence on any subsequent governance framework for human settlements on Mars and beyond.
Challenges that India faces in signing the Artemis Accords
Reinforcing US Hegemony: The US promotion of the accords outside of the “normal” channels of international space law is a cause of consternation for some Countries.
Diplomatic challenges: India has had a traditional partnership with Russia, which recently partnered with China in its International Lunar Research Station (ILRS) initiative. Russia might invite India to join, but on the other hand, growing assertiveness of China is likely to prevent any meaningful association of India with ILRS.
Focus on indigenous programmes may be compromised
Way Ahead
India’s decision to sign the Artemis accords, or for that matter any other bilateral space agreements, should completely be based on the merits of the proposal i.e. whether proposals meet India’s expectations or not. All such decisions could be complemented with following initiatives
Confidence building with the US: Working together on the Chandrayaan-1 and NASA-ISRO Synthetic Aperture Radar (NISAR) missions have helped to build confidence in each other. These could be the stepping stones for India to sign the accords themselves.
Strategic balance with Russia: India’s signing up for the accords must not be equated to severing ties with Russia. India has maintained a balanced relationship with the US as well as Russia in other strategic areas and the same could apply for space after India signs the accords as well.
Pursuing Indigenous programmes: India should encourage the involvement of the private sector in communications and Earth-observation satellites construction and launch and should also outline its priorities for interplanetary and human spaceflight missions and actively pursue them.
Context: A case of reservation in promotion for Persons with a disability is pending in the Supreme Court of India for many years which is equated with denial of justice.
Persons With Disabilities (Equal Opportunities Protection of Rights and Full Participation) Act, 1995, or the PwD Act and Reservation
The Persons With Disabilities (Equal Opportunities Protection of Rights and Full Participation) Act, 1995, or the PwD Act, first recognised the right of the disabled person to be employed and promoted in government jobs on an equal basis with others.
To ensure this, it introduced a 3% reservation for the disabled in employment.
The reservation of seats for the disabled existed in Groups C and D before the introduction of the PwD Act.
Now, the Act extended reservation for the disabled in Groups A and B — a progressive step towards ensuring the dignity of and equality for the disabled at all levels including career advancement in government jobs.
In addition to this, it also fixed the percentage of reservation of seats at 3%, which opened the gates of recruitment to disabled people in different sectors of the government.
An integral part of the reservation
Reservation for the disabled in promotion in all groups was first interpreted as an integral part of reservation by the Department of Personnel and Training, order of 1998.
It happened after Parliament enacted the provision of reservation of promotion for Scheduled Castes (SC) and Scheduled Tribes (ST), reversing the Supreme Court of India verdict in Indra Sawhney Etc. vs Union Of India And Others, Etc., where reservation in promotion for SCs and STs was withdrawn.
The Department of Personnel and Training interpreted the Parliament enactment to apply to persons with disabilities also as they are from the marginalised sections of society as well, and hence enjoy similar protection from the state of law.
Withdrawal of reservation promotion
Unfortunately, another Department of Personnel and Training order of 2005 withdrew the reservation of the disabled in promotion in Groups A and B.
The department’s reversal of its order was not only shocking but also reflected the apathetic and hostile attitudes of the administration and government towards the needs and aspirations of the disabled.
The department’s order of 1998 opened the doors of opportunity for the disabled to progress in their organisations in keeping with the spirit of the PwD Act.
But the department’s order of 2005 may be understood by the ruling dispensation as an expression of denial of equal space and place to the disabled at the higher level in organisations.
In reaction to this order, a case was filed in the Supreme Court in 2008, by Rajeev Gupta against the Union of India.
Court’s observation on a reservation in promotion
After deliberations and hearings for around eight years, it was adjudicated to grant reservation in promotion for the disabled in Groups A and B, which, regrettably, had been taken back by the Department of Personnel and Training order of 2005.
The final judgment was made in 2016, granting reservation in promotion in Groups A and B.
But the Government of India did not make any effort or give any direction to implement the judgment.
Mr Gupta then filed a case of contempt in the Supreme Court in 2017; the hearing continues.
The government counsel filed an affidavit arguing for the stopping of the proceedings in the contempt petition by Mr. Gupta citing the presence of another case, i.e., Siddaraju vs State of Karnataka & Ors. in the Supreme Court, in 2017.
This affidavit by the Government of India is an attempt to cause hindrance to the result of the contempt petition.
As a result, the contempt petition is still in the process of hearing. The Civil Appeal in Siddaraju vs State of Karnataka & Ors., in its several hearings, also upheld the reservation in promotion for the disabled and made null and void the Department of Personnel and Training order of 2005.
It is important to note that in both cases, the Court challenged the decision in the Indra Sawhney judgment by noting that Article 16(4) does not disable the Indian state from providing preferential treatment such as reservation to the backward classes of citizens under Article 16(1).
However, such differential/preferential treatment should not be on the grounds of caste, or religion among other things.
The Court also noted that the basis of providing reservation to the disabled is a physical disability which is not forbidden under Article 16(1) which guarantees equality of opportunity in state employment or office.
Therefore, the right of getting a reservation in promotion for persons with disabilities could be ensured under Article 16(1) of the Constitution.
Government’s response
A miscellaneous application, Siddaraju vs State of Karnataka & Ors., was filed by the government, in this case for clarification on the ways and means to implement reservation in promotion for the disabled. But the miscellaneous application was an attempt to delay the process of implementation of reservation in promotion for the disabled.
The application was subsequently dismissed in 2021.
The government came up with another order through the Department of Personnel and Training on May 17, 2022.
Though the order made important clarifications on the reservation of seats for the disabled in recruitment, it failed to make any mention of reservation for the disabled in promotion since 1996, which should be the case as in the PwD Act, 1995 and the department’s order of 1998 which quite clearly provided for reservation for the disabled in promotion in Groups A and B since then.
This denial by the government was another attempt to delay the process of justice for the disabled, ultimately leading to the denial of justice.
The judiciary has played a significant role in granting justice and equality to the disabled, especially after the enactment of the PwD Act, of 1995.
Rudragiri hillock located in the Guntur district of Andhra Pradesh, boasts a celebrated historical past and remarkable archaeological monuments. This site unveils a fascinating combination of prehistoric rock paintings from the Mesolithic period and exquisite artwork from the Kakatiya dynasty.
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At the foothills of Rudragiri, five naturally formed rock shelters have been uncovered.
These shelters served as dwellings for people during the Mesolithic age approximately around 5000 B.C. They contain striking rock paintings from that era, which provide a fascinating glimpse into the past.
Two of these natural caves display remarkable murals dating back to the renowned Kakatiya dynasty. Despite being affected by the forces of nature over time, fragments of these paintings offer valuable insights into their creation during the 13th century A.D.
The paintings are adorned with a variety of colors derived from white kaolin and various pigments. They vividly depict captivating scenes from the epic Ramayana.
In the first cave, there is a narrative mural portraying the intense battle between the Vanara brothers - Vali and Sugriva.
The middle cave features a grand sketch of Hanuman, accompanied by sacred symbols such as the conch (Sankha) and the fire altar (Yagna Vedi).
Additionally, the third cave houses prehistoric rock paintings dating back to the Mesolithic era, providing a glimpse of the ancient artistic expressions from that time.
Early Rock Paintings in India
India boasts some of the earliest rock paintings dating back to the Upper Palaeolithic times.
The first discovery of rock paintings in India was made by archaeologist Archibold Carlleyle.
Remnants of these ancient paintings have been found on cave walls in several districts of Madhya Pradesh, Uttar Pradesh, Andhra Pradesh, Karnataka, Bihar, and even the Kumaon hills in Uttarakhand, particularly at Lakhudiyar, where the rock shelters along the River Suyal preserve these prehistoric artworks.
The Spectacular Rock Shelters of Bhimbetka
One of the most remarkable sites of rock paintings in India is Bhimbetka, located in the Vindhya hills of Madhya Pradesh.
Discovered by archaeologist V.S. Wakankar.
The paintings at Bhimbetka depict a diverse range of themes, including daily life events, sacred and royal images, hunting scenes, dancing, music, horse and elephant riders, animal fights, honey collection, body decoration, and household scenes.
Classification of Bhimbetka Rock Art
The rock art at Bhimbetka has been categorized into various groups based on style, technique, and superimposition.
The drawings and paintings are classified into three historical periods: Period I (Upper Palaeolithic), Period II (Mesolithic), and Period III (Chalcolithic).
Mesolithic Paintings
During the Mesolithic period (Period II), the rock paintings at Bhimbetka feature a variety of themes, with hunting scenes being predominant.
The paintings depict groups of primitive men hunting animals with barbed spears, pointed sticks, arrows, and bows.
Some paintings show the hunters using traps and snares to catch animals. The hunters are depicted wearing simple clothes and ornaments, occasionally adorned with elaborate headdresses or masks.
The Mesolithic artists showed a mix of fear and tenderness for animals in their artwork.
Daily Life Depictions
The rock paintings at Bhimbetka also depict various aspects of daily life during the Mesolithic era.
Scenes of community dances, people gathering fruits or honey from trees, and women grinding and preparing food are common themes.
The artists painted men, women, and children engaged in various activities, giving a glimpse of what life was like for these ancient people.
Techniques and Colours
The artists at Bhimbetka used a wide range of colors, including white, yellow, orange, red ochre, purple, brown, green, and black.
White and red were particularly favored colors.
The paints were made by grinding various rocks and minerals, such as haematite for red and chalcedony for green.
The artists used plant fiber brushes for their artwork.
Surprisingly, these colors have survived thousands of years due to the presence of oxide on the rock surface, which helped preserve the paintings despite adverse weather conditions.
Location and Purpose of Paintings
The paintings were made on the walls and ceilings of rock shelters, with some found in places where people lived and others in areas with potential religious significance.
The elevated locations of some paintings suggest they were meant to be visible from a distance.
The paintings display pictorial quality and provide insights into the lives and beliefs of early human beings, showing a passion for storytelling and a portrayal of humans and animals engaged in the struggle for survival.
A Glimpse into Prehistoric Life
These prehistoric paintings offer valuable information about early human beings, their lifestyle, food habits, and daily activities.
They provide a glimpse into the minds of these ancient artists, reflecting their thoughts and perceptions.
The remains from the prehistoric period, including rock weapons, tools, ceramics, and bones, serve as witnesses to the evolution of human civilization, with the rock paintings being among the most significant legacies left behind by the primitive humans of that time.
About Kakatiya Dynasty
Early Kakatiya Dynasty rulers
The Kakatiya dynasty, known for ruling the eastern Deccan region from the 12th to the 14th centuries, had its roots traced back to Venna, who reigned from 800 to 815 AD.
Venna was believed to be a descendant of Durjaya, a legendary chieftain of the Andhra kingdom.
The Kakatiya lineage continued with Gunda I and Gunda II, about whom little information is available except for their rule from 815 to 865 AD.
During the early days, the Kakatiyas served as vassals to the powerful Rashtrakuta, which held significant influence over much of India during the 6th to 10th centuries AD.
Rise to Power and Independence
After the collapse of the Rashtrakuta kingdom, Gunda IV saw an opportunity to establish his family's independent rule.
He declared Kuravi as an independent principality, leading the Kakatiya dynasty towards self-governance.
Consolidation and Expansion
Ganapati, who ruled from around 1199 to 1262, focused on consolidating the kingdom and expanding its territories.
He led successful campaigns, bringing Telugu-speaking lowland deltas around the Godavari and Krishna rivers under his control.
The capital of Kakatiyas was Orugallu, now known as Warangal.
Rudrama Devi: A Remarkable Female Ruler
Rudrama Devi, succeeding Ganapati, was one of the few female rulers in Indian history.
She continued her predecessor's fortification efforts and repelled an attempted invasion by the Seuna dynasty (Yadava Dynasty).
She married an Eastern Chalukyan prince, Virabhadra, and later handed over the throne to her grandson, Prataparudra II.
Decline of the Kakatiya Dynasty
Prataparudra II faced challenges from the Delhi Sultanate under Alauddin Khalji, who saw the wealth and potential of the Kakatiya lands.
Prataparudra II initially submitted to Alauddin but later asserted his kingdom's independence.
The subsequent conflicts with the Delhi Sultanate led to the fall of the Kakatiya dynasty.
