TIOL-DDT 2129 · Tuesday, 18 June 2013 · story 1 of 7

'Finance Minister' includes any Minister - 'Government of India (Allocation of Business) Rules' not to apply to Parliament

IN a recent Writ Petition before the Karnataka High Court, the amendments made to the Special Economic Zones (SEZ) Act, by the Finance Act 2011 was challenged on the ground that as per the Government of India (Allocation of Business) Rules, all matters relating to development, operation and maintenance of special economic zones and units exclusively falls within the domain of Ministry of Commerce, Government of India and the amendments in the Schedule-II to the SEZ Act was beyond its legislative competency.

The High Court was of course not impressed and observed, “Firstly, the Government of India (Allocation of Business) Rules relied on by the petitioners are not applicable to the proceedings and the business of parliament. These Rules are only applicable to the Government of India and not to the Parliament. The proceedings and the business of the parliament is governed by “Rules of Procedure and Conduct of Business in the Lok Sabha ”(for short “Rules of Lok Sabha”). Chapter-I, Rule 2(1) of Rules of Lok Sabha defines “Finance Minister” includes any Minister. Further “Member incharge of the Bill” means the Member who has introduced the Bill and every Minister in the case of Government Bill. “Minister” means a member of the Council of Ministers and includes a member of the Cabinet, a Minister of State, a Deputy Minister or a Parliamentary Secretary. Further the Rules of Lok Sabha provides for Government bill and private members bill. A perusal of the Rules of Lok Sabha do not bar the Finance Minister from moving a bill for amendment to SEZ Act. On the other hand, a reading of the Rules specifies that Finance Minister includes any minister and as such he is competent to move a bill seeking amendment of SEZ Act which comes under the domain of Ministry of Commerce.

The High Court held, “Therefore, the impugned amendment to the SEZ Act passed by the parliament on the Finance Bill introduced by the Finance Minister is well within the legislative competency since the same relates to a charge in the Income Tax Act.

We will bring you the judgement tomorrow.