North Eastern Region

Govt’s Budgetary Proposals and Implementation [all Figs. in Rs./Crores]

Particulars		Budget Year
		2004 – 05	2005 – 06	2006 – 07	2007 – 08	2008 – 09
North East Region
	Budget Allocations *	5,823.00	9,308.00	12,041.00	14,365.00	16,447.00
	Non Lapsable Central Pool	650.00
	DONER			1,350.00	1,380.00	1,455.00
	Highway Development Fee		450.00
	Special Fund * *					500.00
* Budget allocation include provision for Non Lapsable Central Pool DONER Highway Development Fee * * Special fund is allocated additionally to study special problems of North Eastern Areas.

“The Government is committed to the speedy development of the North-Eastern States and Sikkim.” – an assertion made by the Finance Minister of India in the Finance Bill of 2004. The whole Nation welcomed this because it was expected to pacify to a large extent the agitating minds of the so-far under privileged people of the said region.. The Government is continually working for development of projects and schemes to fulfill the promises nade.

In the Budget 2004-2005

To pursue its commitment for development of ‘North Eastern Region’ (NER), the total allocations for the region’s development stood at Rs.5,823 crores in 2004-05. Unspent amount out of these allocations, which stood at Rs.650 crores in this year was put into a non-lapsable central pool of resources for specific projects and schemes development in the NER. This amount was up from Rs.550 crores put into central pool in the budget year 2003-04. By January 2005 Rs.492.44 crores was already allocated out of the central pool of resources of Rs.650 crore.

In the Budget 2005-2006

The allocation amount was increased to Rs.9,308 crore in 2005-06.. The emphasis was laid on the development of two railway lines, one on Kumarghat-Agartala and the other on Lumding-Silchar-Jiribam-Imphal sectors as projects of national importance. For this, additional funds were to be allocated over and above what was provided in Railway budget. Another 450 crores was allocated for development of highway in the region. Revenue year 2005-06 saw the allocations for the region to be a little more than 18%, which was about 10% more than what was allocated in the budget year. Railway line development in Kumarghat – Agartala and Lumding – Silchar – Jiribam – Imphal sectors got an allocation of Rs.165 crores. Project approval for Phase A of developing 1310 km of the highway was granted. Rs.4,618 crore was approved for this Phase of highway development. Detailed project report preparation for the development of another 5122 km highway in phase B was set underway.

In the Budget 2006-2007

The allocations amount increased to Rs.12,041 crores including Rs.4,870 crores for development of flagship programmes and Rs.1,350 crore that was provided to Ministry of Development of North Eastern Region (DONER).

In the Budget 2007-2008

2007-08 budget included Rs.14,365 crore allocated for NER. Out of total allocations DONER was allocated 1,380 crores for the projects. The emphasis was on coming up with a new Industrial Investment Policy before the commencement of budget year for the NER. The North East Industrial and Investment Promotion Policy (NEIIPP), 2007 was approved and notified with effect from April 1, 2007.

In the Budget 2008-09

DONER allocations increased to Rs.1,455 crore this year with total allocations mounting to Rs.16,447 crore for NER. Government was concerned about the special problems faced by Arunachal Pradesh and other border areas and proposed a special mechanism to address these problems. An allocation of Rs.500 crore was proposed to jumpstart the process.

EXPECTATION:

Based on the consistent approach shown by the Govt. in power towards allocation of adequate funds to the NER, the Nation would anxiously looking to know in the coming years as to what extent the people in NER reap the benefits of these projects and grow prosperous and feel that they are no longer neglected. LIFE IS ALWAYS MEANT TO BE BUILT ON HOPES and that cannot be different for our NER as well.

Taxes Systems In India

In my earlier write-up on BASIC PRINCIPLES OF NATURAL JUSTICE it was concluded that when Natural Justice is denied then the Justice itself is denied in every manner. Now let us understand from a specific judgement of the Supreme Court of India as to what would be the outcome of violation of Natural Justice by a Statutory authority.

The Apex Court emphasised that the Statutory authorities under the Act exercise Quasi-Judicial function. This is well known to everyone whether it is the adjudicating or appellate authority or an assessee. It is so because there are thousands of judgements of Tribunals, High Courts and even the Supreme Court passed by in the past several decades. In spite of it, in the case of a dispute matter between KOTHARI FILAMENTS vs COMMISSIONER OF CUSTOMS [PORT] KOLKATA, a Civil Appeal No.7307 OF 2008 came up before the Apex Court. In delivering the judgement, the Apex Court observed that there was no doubt whatsoever that the principles of Natural Justice was violated in the said case. Before arriving at such a categorical conclusion, the Apex Court remarked that the Commissioner of Customs was conscious of the fact that the result of the enquiry was not conclusive one way or the other. It is one thing to say that denial to supply the documents collected in the said enquiry has a statutory backing but it is another thing to say that use thereof was to be made without supplying the copies thereof. The Statutory authorities under the Act exercise Quasi-Judicial function. In the event a finding as regards violation of the provisions of the Act is arrived at, several steps resulting in civil or evil consequences may be taken. The principles of Natural Justice, therefore, were required to be complied with. The Act does not prohibit application of Natural Justice. A person charged with misdeclaration is entitled to know the ground on the basis whereof he would be penalised. He may have an answer to the charges or may not have. But there cannot be any doubt whatsoever that in law he is entitled to a proper hearing which would include supply of the documents. Only on knowing the contents of the documents, he could furnish an effective reply.

The Supreme Court made a reference to its earlier judgements in re: RAJESH KUMAR & ors. vs DEPUTY COMMISSIONER OF INCOME TAX & ors. [2007--2--SCC--181] and in re: S.L. KAPOOR vs JAGMOHAN & ors. [1980--4--SCC--379] and concluded in this case that in view of the aforementioned settled legal principles, there cannot be any doubt whatsoever that the principles of Natural Justice have been violated.

The MORAL of this story is that the Statutory authorities, when they are required under the Act to function as a Quasi-judicial authority, continue to ignore the need for extending the principles of Natural Justice to the parties and pass orders which, when taken up by the Tribunals, High Courts and even the Supreme Court in some cases, are straightaway set aside and the matter gets remitted back to the said authorities for consideration of the dispute matter afresh, with further directions that the said authority should supply the relevant copies of the documents relied upon to decide the case or at least allow the appellant to inspect the same.

What follows next is that in future if any statutory authority continues to violate the principles of Natural Justice in the course of his adjudicating a matter involving points of Law, then, they should be awarded NEGATIVE RATIING in their Annual Character Confidential Reports and such NEGATIVE RATINGS should be duly taken into account while crediting them for their performances to earn their career progression. Of course, the admnistrative authorities, who would be taking such steps, should also extend the Principles of Natural Justice to such authorities so that they can either get convinced or get the opportunity to contest such negative ratings. If the principles of Natural Justice are apllied at every stage, then, the day may come soon when we would be enjoying a RAM RAJ or DHARM RAJ and the Tribunals or High Courts or the Supreme Court would not be compelled to repeat their observations about of denial of Natural Justice.[by VENKATRAMAN RAGGHUPATHY, ex. GENERAL MANAGER [EXCISE & CUSTOMS] INDIAN OIL CORPN. LTD.

Taxes Systems In India