TIOL-DDT 312 · the untouched capture
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<p><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> <b><font color="#663399" size="3">TIOL-DDT
312</font><br>
28 02 2006<br>
Tuesday</b></font></p>
<p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>CBEC
and CBDT – Rules notified for selection of Chairmen and members</b></font></p>
<p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Can you believe
it, there are no rules for the appointment of the Chairman and Members of
the CBEC and CBDT? In Sunil Kumar Chaudhury v Union of India, the Central
Administrative Tribunal asked the governmental counsel as what were the rules
for appointment of the Chairman and Members of CBEC. He really had no answer
and filed an affidavit regarding the procedure which was as follows:<br>
<br>
++ The posts of Member in C.B.E.C. are ex-cadre posts. Appointment to these
posts is made with the approval of the Appointment Committee of the Cabinet.
Recommendation in this regard is made by the Cabinet Secretary after considering
all the eligible officers.<br>
<br>
++ In this process, he is assisted by a Special Committee of Secretaries,
which takes into account the service records of all the eligible officers
including their ACRs, vigilance positions and other relevant material, before
making a recommendation,<br>
<br>
++ It may be reiterated that the recommendations of the Special Committee
of Secretaries are ‘Secret’ in nature and the information obtained
by the petitioner through a website cannot be relied upon. (<font color="#663399"><b>The
web site referred to was taxindiaonline</b></font>)<br>
<br>
++ The appointment to the post of Member, C.B.E.C. is approved by ACC after
considering the recommendations of the Special Committee of Secretaries. The
committee takes into account various factors relevant at the time of making
their recommendations.<br>
<br>
The CAT observed, “We do not find anything in said paras which could
be said to be guidelines or procedure for filling up the posts in question”
and added, “due to absence of rule or guidelines, this Tribunal is faced
with the difficulty for testing the legality and validity of panel on the
basis that the State being governed by rule of law, every administrative action
has to be tested so that principles giving effect to rule of law are not violated
while exercising administrative power. It would have been better if some rule
or guidelines were given in respect of zone of consideration, so far present
case, is concerned” <br>
<br>
Five years after this CAT judgement, the President has made the Rules for
the appointment of the members and Chairmen of CBDT and CBEC. Salient features
of the new rules are:-<br>
<br>
<b>1. Classification:</b> The Chairman and members are classified
under the General Central Service, Group ‘A’, Gazetted, Non-Ministerial.
They were earlier ex cadre. Has the situation changed?<br>
<br>
<b>2. Selection:</b> Earlier the selection was by seniority cum fitness
and an overlooked senior could always go to the CAT. Now it is only selection.
Seniority is not at all a consideration.<br>
<br>
<b>3. Method of recruitment:</b> Now the method of appointment is by
Deputation/Absorption.<br>
<br>
<b>4. Who are eligible?</b> Strangely eligibility is not restricted to
IRS officers. No there is no attempt to bring in IAS officers. Experience
of at least 15 years in the filed of taxes is mandatory.<br>
<br>
<b>5. Qualifications:</b> 1. Having high professional merit and excellence;
and 2. Having impeccable reputation of integrity.<br>
<br>
While there is a restriction of at least one year of service left for member,
there is no such restriction for the Chairman.<br>
<br>
It is really unfortunate that these Boards were in existence so long with
no rules for recruitment of their members and chairmen. But has the rules
made any difference? Why it is not specifically mentioned that the Chairmen
will be selected from among the members and the members from among the Chief
Commissioners? Is it with a future plan to bring in officers from other departments?<br>
<br>
Then how do you rate high professional merit and excellence? And impeccable
reputation of integrity? Who will decide these? They will be decided on the
confidential reports. No corrupt officer will report that his subordinate
is corrupt. So almost every one gets through the CRs. Where are you going
to get officers of impeccable integrity with high professional merit and excellence?<br>
<br>
Perhaps the whole system needs a major overhaul. At every stage of promotion
there should be a tough test and only those who qualify should go to the next
stage. By this elimination process we can filter a lot of useless stuff floating
to the top. And may be there should be only one point of entry, say all the
officers have to join the department as inspectors and after elimination at
every stage, the best should reach the top.<br>
<br>
Another suggestion is to make the Board thoroughly professional and decide
once for all, what the Board is supposed to do. If the Board’s job is
to issue notifications and circulars, experience has shown that they have
failed. In any case they are prepared by junior officers like under secretaries.
Most of the officers don’t read the law or keep track of the procedures
once they get promoted as Joint Commissioners and so by the time an officer
reaches the level of Board member he is as away from the field and the subject
as the IAS Revenue Secretary. In a seminar organised by TIOL a few years back
the Revenue Secretary was able to answer questions from the audience with
far more authority than the Chairman, who seemed to be totally unaware of
the budget provisions. Is the Board for policy? That somehow is decided by
the Ministry and the Board does not seem to have much of a role there. Is
the Board for transfers? Less said the better. <br>
<br>
Is the Board for management? Then why not appoint professional managers? Why
not recruit a few IIM graduates? Or why can’t the Board be like the
Board of Directors of a company? Appoint a few experts from the field of economics,
management etc, one or two members from the staff and a few representatives
from the trade.<br>
<br>
<b> Anyway seniority is no more a major criterion for selection and this
is likely to cause several problems.</b><br>
<br>
</font><font size="-1" face="Verdana, Arial, Helvetica, sans-serif"><b>(See
Recruitment Rules for <a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=70&filename=pitara/cbecmemrrs.htm">CBEC</a>
+ <a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=70&filename=pitara/cbdtmemrr.htm">CBDT</a>
for Chairman & Members )</b></font><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><br>
<br>
</font></p>
<P align=center><B><IMG height=62 src="http://www.taxindiaonline.com/RC2/image/ddt/gnl_txt.jpg" width=375></B></P>
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<TD><IMG height=67 hspace=5 src="http://www.taxindiaonline.com/RC2/image/ddt/gnl_word.jpg" width=67 align=absMiddle vspace=5><B><I> Budget
???????? </I></B></TD>
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<p><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><br>
In the next few days we will try to explain the Greek and Latin in the budget.<br>
<br>
<font color="#663399"><b>Better a diamond with a flaw than a pebble without</b></font>
- <b><i>Confucius</i></b><br>
<br>
<font color="#FF6666"><b>Until tomorrow with more DDT and the budget<br>
<br>
Have a nice day.<br>
<br>
Mail your comments to</b></font> <a href="vijaywrite@taxindiaonline.com">vijaywrite@taxindiaonline.com
</a></font> </p>
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