S Subramaniam Balaji case, Govt of Tamil Nadu, freebie schemes, Supreme Court judgment
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S. Subramaniam Balaji Vs. The Government of Tamil Nadu & Ors.

  Supreme Court Of India Civil Appeal /5130/2013
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Case Background

This appeal is directed against the final judgment and order dated 25.06.2007 passed by the Madurai Bench of the Madras High Court in Writ Petition (C) Nos. 9013 of 2006 ...

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Page 1 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

1

Page 2 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

2

Page 3 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

3

Page 4 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 15/17

th

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

4

Page 5 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

5

Page 6 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

6

Page 7 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

7

Page 8 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

8

Page 9 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

9

Page 10 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

1

Page 11 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

1

Page 12 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

1

Page 13 & 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

1

Page 14 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

1

Page 15 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.

1

Page 16 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

1

Page 17 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

1

Page 18 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

1

Page 19 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

1

Page 20 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

2

Page 21 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

2

Page 22 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:

2

Page 23 “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

2

Page 24 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

2

Page 25 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.

2

Page 26 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

2

Page 27 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

2

Page 28 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

2

Page 29 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 ,

2

Page 30 (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

3

Page 31 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

3

Page 32 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

3

Page 33 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

3

Page 34 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

3

Page 35 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

3

Page 36 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

3

Page 37 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

3

Page 38 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

3

Page 39 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

3

Page 40 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

4

Page 41 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

4

Page 42 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

4

Page 43 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

4

Page 44 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.

4

Page 45 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

4

Page 46 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

4

Page 47 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

4

Page 48 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

4

Page 49 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

4

Page 50 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.

5

Page 51 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

5

Page 52 (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

5

Page 53 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 10

th

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 10

th

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.

5

Page 54 (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 10

th

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 10

th

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

5

Page 55 (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 10

th

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

5

Page 56 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

5

Page 57 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

5

Page 58 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

5

Page 59 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

5

Page 60 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,

6

Page 61 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

6

Page 62 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

6

Page 63 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

6

Page 64 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:

6

Page 65 Year Schools Arts/Science

College

Engineering

Colleges

Polytechnics

2011-12 Plus Two

(12

th

std.)

1

st

& 3

rd

years

students

2

nd

& 4

th

year

students

1

st

& 3

rd

year

students

2012-13 Plus Two

(12

th

std.)

3

rd

year

students

2

nd

& 4

th

Year

students

1

st

& 3

rd

year

students

2013-14 Plus Two

(12

th

std.)

- - 1

st

year

student

During the year 2011-12, laptop computers will be

distributed to 9.12 lakh students studying in 12

th

standard, 1

st

and 3

rd

year of Arts and Science Colleges,

2

nd

and 4

th

year of Engineering Colleges and 1

st

and 3

rd

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

6

Page 66 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

6

Page 67 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.

6

Page 68 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

6

Page 69 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

6

Page 70 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

7

Page 71 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

7

Page 72 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.

7

Page 73 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.

7

Page 74 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

7

Page 75 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

7

Page 76 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

7

Page 77 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

7

Page 78 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

7

Page 79 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.

7

Page 80 (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

8

Page 81 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

8

Page 82 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

8

Page 83 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.

8

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