Apex Court noted that there is strong need to balance welfare measures & economy’s health regarding freebies

During Thursday’s hearing within the Supreme Court on poll freebies, senior advocate Kapil Sibal said the court has initiated a very important national debate.

The CJI said, “The economy losing money or getting ruined is one issue and, at the identical time, welfare measures for the poor... both need to be considered. Both must be balanced. that's the explanation why we initiated the controversy. we would like an expert panel to place its collective thinking and wisdom into the difficulty and provides a report which might be the idea for the court to require some measures.” 

Solicitor general Tushar Mehta handed over the Centre’s suggestion on the composition of the expert committee, which the apex court intends to line up to look at the impact of freebies on the final public, taxpayers and therefore the economy. The court wants the panel to also differentiate between freebies and welfare schemes, which it sees as essential for sections and categories needing a assistance.

“So far as welfare schemes are concerned, every government does (implement them) and will do so. Now this freebie culture, distribution of something free, has been elevated to tier of art and sometimes elections are fought by some political parties only on freebies. If it's the understanding of any political section of our country that distributing freebies is that the only way of doing welfare for the people, it's a dangerous situation. We are leading the country to disaster,” the SG said. 

Indirectly hitting out at the “free electricity” poll promise, the SG said, “Please examine certain stressed sectors. Many electricity generating companies and distribution companies, most of which are government companies, are severely stressed financially... Till the legislature steps in, the SC should lay down guidelines. Till the court has the help from the considered view of the committee (to be set up), it's going to consider issuing certain directions or lay down do’s and don’ts for political parties within the larger national interest. Welfare scheme every responsible government must understand, but distributing everything free and taking it to the amount of an art, isn't welfare.”

Appearing for petitioner Ashwini Upadhyay, senior advocate Vikas Singh said every party or candidate announcing freebies must be asked to also explain their attempt to mitigate the state’s debt, resources from which the debt is to be addressed and revenue generation sources which might enable them to distribute the freebies. “Otherwise these parties should be deregistered,” he said. 

When CJI Ramana said that unless a candidate or a celebration is elected and forms government, they'd not know the financial status of the country and therefore the budgeting measures to be taken, senior advocate Vijay Hansaria provided the debt burden statistics for every state.

Justice Ramana said, “Ultimately, in an exceedingly country of over a billion people, the effect and impact of freebies on economy and folks needs to be studied and debated. A direction for deregistration of parties can't be given similar to that during a democratic country like ours. within the anxiety of doing something, we must not commit an error.” The SC posted the matter for further hearing on August 17, with the CJI saying, “Let me see whether something I could contribute before my retirement.” 

Election Commission’s counsel Maninder Singh said the SC, in its 2013 judgment, had said that promises to distribute things free were a part of the Directive Principles which the court couldn't interfere in it. The CJI said, “Please check up on the provisions of the Constitution and Representation of the People Act to create us understand for what purpose the committee is there?”