Why is it in the News?

Recently, eminent jurist and senior advocate of the Supreme Court Fali S Nariman died at the age of 95.

Who was Fali S Nariman?

• Fali S Nariman was born on January 10, 1929, in Rangoon, then part of British India.
• He began his legal career by enrolling as an advocate of the Bombay High Court in November 1950.
• His stature grew, and he was designated as a senior advocate in 1961.
• In 1972, he moved to New Delhi to practise in the Supreme Court of India.
• In May 1972, Nariman assumed the role of additional solicitor-general of India; however, he resigned a day after the Emergency was imposed on June 26, 1975.
• He also served as the president of the International Council for Commercial Arbitration and chaired the Executive Committee of the International Commission of Jurists, Geneva, from 1995 to 1997.
• His son, Justice Rohinton F Nariman, formerly served as a judge on the Supreme Court.
• Nariman received the Padma Bhushan in January 1991 and in 2007 he was awarded the Padma Vibhushan.

What Were Some of Nariman's Landmark Cases?

• The Golak Nath case: In the historic judgement, the Supreme Court held that the Parliament cannot make a law which is capable of infringing the fundamental rights of citizens.
  • It came up after two brothers in Punjab challenged the Constitution (17) Amendment Act, 1964, which came into effect by amending Article 31A of the Constitution. (This article deals with the acquisition of estates).
  • Nariman, not only supported the petitioners but also appeared to argue on the issue representing the intervenors in the case.
  • They argued that Parliament’s power to amend the Constitution under Article 368 did not include articles contained in Part III of the Constitution dealing with fundamental rights.
  • Following the hearing of the case submitted in 1967, an eleven-judge bench agreed with the petitioner’s submissions pointing out that Article 13(2) states that Parliament cannot make a law which infringes fundamental rights.
• The Kesavananda Bharati case: The Kesavananda Bharati case is known for setting a benchmark in the Indian judiciary and had Nariman’s prompt representation in the SC.
  • He assisted noted Advocate Nanabhoy Palkhivala in the famous case that led to the path-breaking judgement laying down the basic structure doctrine of the Constitution, clipping Parliament’s power to amend the Constitution.
  • The 1973 verdict simultaneously gave the judiciary the authority to review any constitutional amendment on grounds of violation of the basic structure of the Constitution.
• The Bhopal Gas Tragedy case: In 1984, the Bhopal gas tragedy where 42 tons of toxic chemicals leaked from a pesticide plant owned by Union Carbide India Limited, resulting in thousands of deaths and environmental damage in the following years.
  • The Supreme Court began hearing the case for compensation to the victims in 1988.
  • Senior Advocate Nariman appeared, representing Union Carbide, and offered to pay a sum of 426 million dollars as compensation to the victims of the tragedy.
  • In 1989, Union Carbide settled with the central government and agreed to pay 470 million dollars as compensation.
• The Cauvery Water Dispute case: Nariman represented Karnataka for over 30 years in the water-sharing dispute with Tamil Nadu.
  • In 2016, the Supreme Court ordered the Karnataka government to release 6,000 cusecs (cubic feet per second) of water from September 21 to September 27.
  • The Karnataka legislative assembly, however, passed a resolution stating that they did not have water to spare and chose to defy the court’s orders.
  • Due to this non-compliance, Nariman refused to argue the case on behalf of the Karnataka government any further.
  • On February 16, 2018, the court in its final judgement took note of Nariman’s stance on the issue and necessarily mentioned that Nariman had courageously lived up to the highest tradition of the Bar.
  • The court then proceeded to reduce Karnataka’s annual water releases to 177.25 thousand million cubic feet (TMC) from 192 TMC.
• Disproportionate assets case against former Tamil Nadu Chief Minister J Jayalalithaa: AIADMK leader and former- Tamil Nadu CM Jayalalitha had been accused of misappropriating funds during her tenure between 1991 and 1995.
  • A Sessions Court in Bangalore in September 2014 found that she had acquired property disproportionate to her known income and imposed a Rs 100 crore fine on her.
  • This sentence was upheld by the Karnataka High Court a month later leading to an appeal at the Supreme Court.
  • Nariman appeared on behalf of Jayalalitha in October 2014 and convinced the court to grant bail against executing the fine and suspend the sentence passed by the Sessions judge in Bangalore.
• The 1981 Second Judges case: The Supreme Court held that the primacy of the Chief Justice of India’s recommendation in judicial appointment and transfer can be turned down on cogent grounds by the government.
  • However, the judicial discussions finally led to the creation of the collegium system of appointment of judges to constitutional courts in 1993, when the top court came out with its judgement in the second judge’s case.
  • Nariman had stated that the advice given through consultation with the CJI must be seen as binding to protect the independence of the judiciary, as judges would be in a better position to determine the suitability and competence of candidates.
  • In 1993, the nine-judge bench agreed with Nariman’s arguments and established the Supreme Court Collegium.
• The COVID-19 case: Nariman represented the Parsi community in its dispute over the protocol and standard operating procedure for handling of dead bodies of Parsi Zoroastrian COVID-19 victims under which metallic nets were to be installed above ‘Tower of Silence’ so that birds did not feed on the corpses and carry the killer virus elsewhere

Why is it in the News?

Recently, the Union Cabinet approved the continuation of “Flood Management and Border Areas Programme (FMBAP)” with a total outlay of Rs. 4,100 crore for a period of 5 years from 2021-22 to 2025-26.

About the Flood Management and Border Areas Programme (FMBAP):

• The FMBAP Scheme is being implemented throughout the country for effective flood management, erosion control and anti-sea erosion and to help in maintaining peace along the border.
• The scheme benefits towns, villages, industrial establishments, communication links, agricultural fields, infrastructure etc. from floods and erosion in the country.
  • The catchment area treatment works will help in the reduction of sediment load into rivers.
• The Scheme aims at the completion of the ongoing projects already approved under FMP. 

The Scheme has two components:

• Under the Flood Management Programme (FMP) component of FMBAP with an outlay of Rs. 2940 crore, central assistance will be provided to State Governments for taking up critical works related to flood control, anti-erosion, drainage development and anti-sea erosion, etc.
  • The pattern of funding to be followed is 90% (Centre): 10% (State) for Special Category States (8 North-Eastern States and Hilly States of Himachal Pradesh, Uttarakhand and UT of Jammu & Kashmir) and 60% (Centre):40% (State) for General/ Non-Special Category States.
• Under the River Management and Border Areas (RMBA) component of FMBAP with an outlay of Rs. 1160 crore, flood control and anti-erosion work on common border rivers with neighbouring countries including hydrological observations and flood forecasting, and investigation & pre-construction activities of joint water resources projects (with neighbouring countries) on common border rivers will be taken up with 100% central assistance.
• The Scheme has the provision of incentivizing the States which implement flood plain zoning, recognized as an effective non-structural measure for flood management.

Importance:

• While the primary duty of flood management lies with the State Governments, the Union Government actively promotes and advocates for the adoption of modern technology and innovative approaches.
• Additionally, projects executed under the RMBA component serve to safeguard critical installations of security agencies and border outposts situated along border rivers from the perils of floods and erosion.
• Furthermore, the scheme includes provisions for incentivizing states that implement flood plain zoning, a recognized and effective non-structural measure for flood management.

Why is it in the News?

INTACH is striving to obtain UNESCO recognition for the yearly 'Paruveta' festival, emphasising its cultural significance.

About the Paruveta Festival:

• Paruveta Festival, also known as the 'mock hunting festival', is a celebrated tradition at the Sri Narasimha Swamy temple in Ahobilam, Andhra Pradesh.
• It stands out as a symbol of communal harmony, where devotees from various religious backgrounds, including Muslims, come together to offer prayers.

Origin and Significance:

• According to folklore, the festival commemorates Lord Vishnu's incarnation as Narasimha, who married Chenchulakshmi, a tribal girl, symbolising unity across different communities.
• The festival's rituals, typically observed during Vijayadashami or Sankranti, extend for a 'mandala' period of forty days in Ahobilam.

Activities and Customs:

• During the festival, the temple deity is carried to the 32 Chenchu tribal villages surrounding Ahobilam for forty days.
• The journey begins with a symbolic act where tribals shoot arrows at the deity's palanquin, signifying protection and reverence.
• Chenchus participated by undertaking 'Narasimha Deeksha', wearing yellow robes and Tulasi Mala, while observing celibacy.
• The temple staff reside in these villages throughout the festival, showcasing the tradition of a casteless society with no traces of untouchability.

Key Points about Chenchu Tribes:

• Geographic Distribution: Chenchu tribes primarily inhabit the hills of southern India, particularly in Andhra Pradesh.
  • Additionally, Chenchu communities can be found in Tamil Nadu, Karnataka, and Orissa.
• Language and Communication: Their native language, known as Chenchu, belongs to the Dravidian language family.
  • While many Chenchu individuals speak Telugu, their traditional language holds cultural significance.
• Livelihood and Occupation: Historically, Chenchu people pursued a nomadic lifestyle, relying on food gathering.
  • However, due to factors such as agricultural expansion, many have transitioned to working as farmers or forest labourers.
• Housing and Settlements: Chenchu dwellings are typically hive-shaped structures constructed from wattle thatch, composed of interwoven poles, twigs, reeds, or branches.
  • These houses reflect their traditional architectural style and are adapted to their environment.
• Social Structure: Chenchu society is organised into clans, which are extended family units, as well as local groups and individual families.
  • They adhere to exogamous marriage practices, prohibiting unions within the same clan.
  • Additionally, Chenchu kinship is patrilineal, tracing descent through male lineage.

Why is it in the News?

Fresh measures to curb unauthorised online lending apps’ operations could be on the anvil, following deliberations on the issue at the Financial Stability and Development Council (FSDC) chaired by Finance Minister Nirmala Sitharaman recently.

About the Financial Stability and Development Council (FSDC):

• The Financial Stability and Development Council (FSDC) is a high-level body established by the Government of India in 2010 to address macroeconomic and financial stability issues.
• Although not a statutory body, it operates under the Financial Stability Division of the Department of Economic Affairs within the Ministry of Finance.

Background:

• In response to the global financial crisis of 2008, recommendations were made by the Raghuram Rajan Committee for the creation of a centralised regulatory body to oversee India's financial system.
• The establishment of FSDC reflects India's proactive approach to enhance preparedness for future financial challenges.

Composition:

• Chaired by the Union Finance Minister, the council comprises key stakeholders including the Governor of the Reserve Bank of India (RBI), finance and economic affairs officials, regulatory body chairpersons, and other relevant authorities.
• The Secretary of the Department of Economic Affairs serves as the council's secretary.

Responsibilities:

• FSDC is entrusted with the task of promoting financial stability, coordinating policy responses to systemic risks, and fostering the development of India's financial sector.

Concerns and Future Directions:

• Concerns have been raised about potential encroachment on the autonomy of sectoral regulators due to FSDC's leadership by the Union Finance Minister.
• To address this, it's crucial to safeguard the independence of regulatory bodies and establish clear guidelines to ensure effective coordination without undermining regulatory authority.

What is Digital Lending?

• Digital lending refers to the process of accessing credit online, facilitated through web platforms or mobile applications.
• This approach leverages technology across various stages of the lending process, including customer acquisition, credit assessment, approval, fund disbursement, recovery, and customer service.

Key Features:

• Utilises technology for end-to-end lending operations, enhancing efficiency and accessibility.
• Offers flexibility in credit options and facilitates swift transactions, appealing to modern borrowers.
• Prominent examples include Buy Now, Pay Later (BNPL) schemes, which provide short-term financing for purchases, allowing consumers to defer immediate payments.

Drivers of Growth:

• Increased adoption is driven by widespread smartphone usage and the convenience of online transactions.
• Flexibility in credit offerings and simplified application processes contribute to the popularity of digital lending platforms.
• BNPL services, in particular, cater to consumers seeking deferred payment options for purchases and services.

Why is it in the News?

The Cabinet Committee on Economic Affairs recently approved ?340/quintal as the Fair and Remunerative Price (FRP) of sugarcane for the sugar season 2024-25 at a sugar recovery rate of 10.25%.

What is the Fair and Remunerative Price (FRP)?

• FRP was introduced by the government in 2009 by an amendment to the Sugarcane (Control) Order, 1966.
• It replaced the Statutory Minimum Price (SMP) on the Commission for Agricultural Costs and Prices (CACP) consultation.
• The FRP system assured timely payment to farmers, irrespective of the profit and loss to sugar mills.
  • Further, the new system made it mandatory for sugar mills to pay the farmers within 14 days of delivery of sugarcane.
• Additionally, the FRP system introduced grading on the basis of sugar recovery rate from sugarcane wherein a premium was paid to the farmer on higher recovery and a reduction in rates on lower recovery.
• The FRP is based on the Rangarajan Committee report on reorganising the sugarcane industry.

Factors Considered for Announcing FRP:

• • Cost of production of sugarcane
  • Return to the growers from alternative crops and the general trend of prices of agricultural commodities
  • Availability of sugar to consumers at a fair price
  • The price at which sugar produced from sugarcane is sold by sugar producers
  • Recovery of sugar from sugarcane
  • The realisation made from the sale of by-products viz. molasses, bagasse and press mud or their imputed value
  • Reasonable margins for the growers of sugarcane on account of risk and profits

Effect of the New FRP:

• Sugar production in India was hit hard in the October-December 2023 quarter as production fell by 11.21 million metric tonnes;
  • It was 12 million in the same quarter the previous year.
  • The increase in FRP is going to increase the cost for producers.
• The increased FRP will benefit over five crore sugarcane farmers in the country, however, the increase in production cost could affect end-consumers as well.
• Factors such as FRP hikes, akin to MSP, make it attractive to farmers but also increase prices in the local market as mills pass on that cost to consumers