- Statement 1: Disbursements from Public Accounts of India are subject to the Vote of Parliament. This is incorrect. Money deposited in the Public Account (like provident funds, judicial deposits, etc.) does not belong to the government but is held on behalf of others. Disbursals from the Public Account are made as per legal requirements and do not require parliamentary appropriation or vote. This is required only for withdrawals from the Consolidated Fund of India. - Statement 2: The Indian Constitution provides for the establishment of a Consolidated Fund, a Public Account and a Contingency Fund for each State. This is correct. Article 266 (1) establishes Consolidated Funds and Public Accounts for both the Union and each State. Article 267 (2) allows the Legislature of a State to establish a Contingency Fund for the State. - Statement 3: Appropriations and disbursements under the Railway Budget are subject to the same form of parliamentary control as other appropriations and disbursements. This is correct. Even when the Railway Budget was presented separately, it was subject to parliamentary control, including voting on demands for grants. Since 2017, the Railway Budget has been merged with the Union Budget, and railway expenditure is now part of the overall Union Budget appropriation process, fully subject to parliamentary control.
With reference to Indian Public Finance, consider the following statements: Disbursements from Public Accounts of India are subject to the Vote of Parliament. The Indian Constitution provides for the establishment of a Consolidated Fund, a Public Account and a Contingency Fund for each State. Appropriations and disbursements under the Railway Budget are subject to the same form of parliamentary control as other appropriations and disbursements. Which of the statements given above are correct?
Asked in UPPCS Prelims 2004 · Topic: The Parliament (Budget in Parliament: Financial Procedures and Funds)
More Indian Polity and Governance questions
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