By Akanksha Sharma
Introduction
Parliament is the main focus of a democracy. It is the supreme legislative body of India. The Constitution of India came into force on 26 January 1950, is bicameral.
Parliament consists of the President and the two Houses – Rajya Sabha (Council of States) and Lok Sabha (House of People).
As it is 21st century hence Democracy is the most prevalent form of government in the world today and it is expanding to more and more countries. Hence democracy is a government in which:
- Rulers that are elected by the people take all the major decisions.
- Elections offer a fair opportunity to the people that they can change the current rulers.
- The choice and opportunity is available to all the people on an equal basis.
- By exercising the basic rules of the constitution and citizens’ rights leads to a government.
Chapter III of Part VI of the Constitution gives us knowledge of State Legislature. It comprises the state legislature and executives. Articles 168 to 212 in Part VI of the Constitution deals with the composition, duration, officers, procedures, privileges, powers etc of the state legislature.
How is a Bill passed in Indian Parliament?
Four types of bills are there in the Indian Parliament:
| Name of Bill | Significance |
| Ordinary Bill (Article 107, 108) | All Bills are called ordinary Bills. |
| Money Bill (Article 110) | Money Bill is concerned with financial matters like taxation, public expenditure and so on |
| Financial Bill (Article 117(1), 117(3)) | Financial Bill deals with the financial matters (but they are different from money bills) |
| Constitutional Amendment Bill (Article 368) | The amendment of the provisions of the Constitution is taken up in these types of bills. |
Ordinary Bill
An Ordinary Bill is introduced in either house of the Parliament. It must be passed by both the Houses by a simple majority of voting. There are five stages through which a bill has to go through before it finally becomes an act:
First Reading – A minister or a member introduces the bill in either house of the Parliament. The title and objective of the bill is read by the minister.
- After the introduction, the bill is published in the Gazette of India
- In this stage there is no discussion on the bill
Second Reading– This is the Stage of General Discussion. Four actions can be taken on the bill:
- It may take the bill into consideration immediately or on some other fixed date
- It may proceed the bill to a select committee of the House
- It may proceed the bill to a joint committee of the two Houses
- It may spread the bill to elicit public opinion
Third Reading –Here one of the two actions take place:
- Acceptance of the Bill (If the majority of members accept the bill, the bill is regarded as passed by the House)
- Rejection of the Bill
Bill in the Second House – The first three stages are again repeated here i.e.:
- First Reading
- Second Reading
- Third Reading
The second house can take one of the following actions:
- It may pass the bill by the first house without any changes.
- It may pass the bill after making amendments and return it back to the first House for reconsideration.
- It may reject the bill altogether.
- It may not take any action and therefore keep the bill pending as it is.
Assent of the President – President can take one of the three actions :
- May give his assent to the bill where the bill becomes an act and is placed on statute book.
- May withhold his assent to the bill where the bill ends and does not become an act.
- May return the bill for reconsideration where the houses can/cannot make amendments and send it back to the President after which he has to give assent.
Money Bills
A Bill is said to be a Money Bill if it contains particular Acts related to taxes, borrowing of money by the government, expenditure from or receipt to the Consolidated Fund of India. A Money Bill is only introduced in Lok Sabha, on the recommendation of the President.
- Money Bills passed by Lok Sabha are sent to the Rajya Sabha. The Rajya Sabha do not have power to amend money.
- A money bill should be returned to the Lok Sabha by the Rajya Sabha within 14 days of commencement of procedure , or else the bill is regarded to have passed both houses as it was originally passed by the Lok Sabha.
- It is then presented to the President, who gives his assent and it then becomes a law.
Financial Bills
Financial Bill is a bill that contains provisions related to taxation and expenditure, and in addition contains laws related to any other matter is called a Financial Bill.
This Bill merely involves expenditure by government. This Bill must be passed by both the Houses of Parliament i.e. Rajya Sabha and Lok Sabha.
- A Financial bill does not require the recommendation of the President for its introduction.
- It cannot be passed by either house unless the President has recommended to that house the consideration.
- But not being the Money Bill, Rajya Sabha has full power to reject or amend such a Bill as in the case of ordinary bills.
Constitutional Amendment Bill
These are Bills which seek to amend the Constitution. The Constitution Amendment Bills are passed in each house of Parliament by a large number of the present total members of that house i.e. known as majority of that house.
This is how bills become acts and Indian Parliament works. Similarly, the State Legislature of India has to legislate acts for the state government to introduce bills. The Procedure of passing a bill through the state legislature is almost the same as that of passing a bill in Indian Parliament.
Case Laws
- Padmanabhan. V. Menon Vs The Inspector General of Registration[1]
A bill pending in the Legislature of a State shall not lapse by reason of the propagation of the House
Article 196 seemed to be only provision that states that the Money Bill or a Finance Bill cannot be introduced in the Legislative Council but in the Legislative Assembly. Article 196(5) provides for the lapsing of the Bill. A Bill without there being any difference drawn in that behalf, pending in the Legislative Assembly of a State or having been passed by the
If the Legislative Assembly is pending the Council shall lapse on the dissolution of the assembly. It may be noted that a Bill pending in the Legislature of the State shall not lapse by the reason of the propagation of the House or House thereof. (Article 196(3)).
- Karri Lakshmi Vs The State of Andhra Pradesh[2]
High Court issued Writ in violation of Articles 196(2) and 197 of the Constitution of India
Article 226 of the Constitution of India stated in the affidavit that was filed therewith, the High court issued writ or direction more particularly and in one of Writ of Mandamus declare that:
The Andhra Pradesh Decentralization and Inclusive Development of all Regions Act 2020 by Municipal Administration and Urban Development (CRDA II) Department, of Government of Andhra Pradesh, constituting of Amravati Metropolitan Region Development (AMRDA) arbitrary, unreasonable and colourable exercise of power, unconstitutional in utter derogation of Article 196 (2), 197 of the Constitution of India.
- K.P. Kochanujan Thirumulpad Vs State of Kerala[3]
A Bill must become a Law during the lifetime of the Assembly
Under Article 196(5) the dissolution affects the bills pending in the Assembly and cannot extend to those awaiting assent. Indeed, though the Governor and the Assembly together constitute the Legislative authority yet the petitioner’s learned advocate has not shown us any6 provision in the Constitution, directing that the assets must be given during the lifetime of the Assembly that passed the Bills.
- Commissioner of Income Tax Vs Deccan Sugar & Abkhari Co. Ltd.[4]
Indemnity in Favour of All Officers of the Company
The Company has paid sum to the auditors in way of reimbursement as per Article 196 of the articles of association of the company which provides for indemnity in favour of all officers of the company including all the auditors who are defending any proceedings whether civil or criminal in which judgment is given in their favour.
It is not necessary in this case to go into the question as to whether the payment to the auditors is authorised by the said association or not.
It is claimed by the assessee that under Article 196 the officers of the company including the auditors have to be indemnified in respect of expenditure incurred by any such officer in defending any proceedings directly arising from or incidental to the discharge of his duties to the company.
- Rural Litigation and Entitlement Kendra Rlek Vs State of Uttrakhand And Others[5]
Money Bill Should be Introduced as per Article 196
An Appropriation Bill is a Money Bill which should be introduced as per Article 196 and dealt with Article 198. The demands are voted in the Legislative Assembly for grants which has the plenary power either to assent, or to refuse to assent, to any demand or to subject the amounts specified therein.
The Legislative Assembly exercises final control over expenditure. After the grant has been voted and accepted by the Legislative Assembly, in terms of Article 203(2), a bill is introduced in terms of Article 204 to provide for appropriation of payments from out of the Consolidated Fund of the State.
Such Bills are called Appropriation Bills, and is a Money Bill in terms of Article 199(1)(c), which should be introduced as per Article 196, and dealt with under Article 198.
Conclusion
A Bill is just a draft, before it becomes an Act of the Parliament. For it to become an act, the bill must follow various procedures that have been listed above.
The job of the Parliament does not end at passing laws only. It also has a role to play in reviewing the rules that initiate these legislations on the basic ground. Both houses of Parliament have a committee each to examine rules made by the government under different laws.
These general committees neither have the bandwidth nor the technical expertise to examine different rules and regulations that are made by the government itself.
The only thing that can help is that Political Parties will have to introspect about their roles in our parliamentary system. The institution of Parliament will have to rethink its legislation process. In the absence of these process Parliament will become a mere rubber stamp for government to make laws.
Reference
- Padmanabhan. V. Menon Vs The Inspector General of Registration on 27 March, 2009(WP(C). No. 12258 of 2008 (H)) ↑
- Karri Lakshmi Vs The State of Andhra Pradesh on 6 October, 2020 (WRIT PETITION No. 933 Of 2020) ↑
- K.P.Kochanujan Thirumulpad Vs State of Kerala on 7 October, 1960 (AIR 1961 Ker 324) ↑
- Commissioner of Income – Tax Vs Deccan Sugar & Abkhari Co. Ltd. On 20 November, 1975 (1976 104 ITR 458 Mad) ↑
- Rural Litigation And Entitlement Kendra Rlek Vs State of Uttrakhand And Others on 3 May, 2019 (Writ Petition No. 90 of 2010 (PIL)) ↑