In news

The Indian government has changed its foreign trade policy to allow for the settlement of international trade in rupees for export development projects.

• • With the amendment to FTP, invoicing, and settlement of exports/imports etc. can now take place in Indian rupee.

Beyond News:

• Before this, incentives to exporters in form of duty drawbacks, etc. were available only if payments came in freely convertible currencies viz., US dollar, British pound, euro and Japanese yen.
• This measure will give a further push to the internationalization of the rupee.
• Internationalization means the use of the currency for invoicing and settlement of cross-border transactions, freedom for non-residents to hold financial assets in that currency etc.

Reason for Amendment

• The decision to allow trade settlement in rupees was made as pressure on the Indian rupee increased following Russia's invasion of Ukraine.
• Changes in policy have been made in response to the growing interest in the internationalization of the Indian rupee in order to make it easier to conduct international trade in the Indian rupee.
• For export realizations made in Indian rupees, new rules have been implemented for giving export benefits and incentives as well as the Fulfillment of Export Obligation standards for importers.
• With an emphasis on shipments from India and in favour of the interests of the international trading community in Indian currency, the action was intended to increase global trade.

Process:

• Banks in India would open Vostro accounts of correspondent bank/s of the partner country for trading.
• A Vostro account is an account that a correspondent bank holds on behalf of another bank, e.g. an HSBC Vostro account is held by SBI in India.
• Indian importers can pay for their imports in INR into these accounts.

Steps taken for the Internationalisation of the Rupee:

• In July 2022the RBI introduced a mechanism to facilitate international trade in rupees.  
• Enabling External Commercial Borrowings in Rupees (especially Masala Bonds).
• The Asian Clearing Union is also exploring a scheme of using domestic currencies for settlement. An arrangement, bilateral or among trading blocs, which offers importers of each country the choice to pay in domestic currency is likely to be favoured by all countries, and therefore, is worth exploring.

Benefits of Internationalisation of the Rupee:

• Reduced Foreign Exchange Reserves requirement.
• Reduced Vulnerability to External Shocks.
• Lower transaction Costs; Facilitate trade with countries under global sanctions etc.

Challenges:

• Complicates Domestic Monetary Policy by limiting its effectiveness.
• Heightened Exchange Rate Volatility.

Content Source Link:

• https://wap.business-standard.com/article-amp/economy-policy/centre-allows-trade-settlement-for-export-promotion-schemes-in-indian-rupee-122110901351_1.html
• https://indianexpress.com/article/business/economy/govt-allows-trade-settlements-in-re-for-export-promotion-schemes-8259568/

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In News:

• Ministry of Finance has recently approved India’s First Sovereign Green Bonds Framework in an attempt to bring in much-needed capital for its green transition.

Beyond News:

• Green bonds are debt securities issued by organizations to finance environmental and climate-related projects.
• The framework is in consonance with India’s commitments under COP26 at Glasgow besides the fulfilment of the announcement in the Union Budget FY 2022-23.

Major highlights:

• Project classification: A ‘green project’ classification will be based on the principles including- encouraging energy efficiency in resource utilization, reducing carbon emissions and greenhouse gases, promoting climate resilience and/or adaptation etc.
• Limitation: The proceeds from green bonds will not be used to fund hydropower plants larger than 25 MW, nuclear projects and any biomass-based power generation with biomass originating from protected areas.
• Formation of the working committee: Ministry of Finance has constituted a “Green Finance Working Committee” (GFWC) with representation from relevant line ministries and chaired by the Chief Economic Adviser, Government of India.
• Management of Proceeds: The proceeds will be deposited to the Consolidated Fund of India (CFI) in line with the regular treasury policy, and then funds from the CFI will be made available for eligible green projects.
• Maintenance of funds: For ensuring transparent, clear and beyond doubt, a separate account will be created and maintained by the Ministry of Finance and Public Debt Management Cell (PDMC) will keep a track of proceeds and monitor the allocation of funds towards eligible green expenditures.
• Carry forward: Unallocated proceeds, if any, will be carried forward to successive years for investment in eligible green projects.
• Periodic reporting: Government will provide investors with transparent reporting on the allocation of proceeds of Sovereign Green Bonds as well as on the environmental impact of projects funded by the proceeds.
• Provision for external Review: The new framework has provision of second review by CICERO for timely and transparent information about the reporting of the allocation of funds as per ICMA Green Bond Principles.
• CICERO: It is an independent and globally renowned Norway-based Second Party Opinion (SPO) provider which was appointed to evaluate India’s green bonds framework and certify alignment of the framework with ICMA’s Green Bond Principles and international best practices.
• Rating: After due deliberation and consideration, CICERO has rated India’s Green Bonds Framework as ‘Medium Green’ with a “Good” governance score.

Source: https://pib.gov.in/PressReleasePage.aspx?PRID=1874788

Original report: https://dea.gov.in/sites/default/files/Framework%20for%20Sovereign%20Green%20Bonds.pdf

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In news

The Union Minister of Jal Shakti, has released the Dynamic Ground Water Resource Assessment Report 2022, which was carried out jointly by Central Ground Water Board (CGWB)and States/UTs for the country.

Beyond News:

Key highlights:

• India is the largest user of GW with a fourth of total global withdrawal.
• Recharge: Total annual GW recharge has increased (437.6 bcm) and rainfall contributes to nearly 61 % of this.
• Extraction: The stage of GW extraction (percentage of utilisation of groundwater against recharge) saw a decline reaching at 60%.

• • 87% of the GW was extracted for irrigation.
  • GW extraction is very high (100%) in Haryana, Punjab, Rajasthan, Dadra & Nagar Haveli and Daman & Diu.
• Categories: 67% of GW units are safe and there was a decline in the number of over-exploited units. 14 % of assessment units are ‘Overexploited’ and 4% are ‘Critical’.
• Regions with the most blocks with critical groundwater levels are in Punjab, Haryana, Delhi and western Uttar Pradesh, where, despite replenishable systems, indiscriminate groundwater withdrawal has depressed the water table.
• Other endangered blocks are in Rajasthan and Gujarat, where due to the arid climate, groundwater recharge itself is limited.
• Further, in parts of Karnataka, Tamil Nadu, Telangana and Andhra Pradesh, where due to inherent characteristics of crystalline water-storing aquifers, groundwater availability is low.

Source:

• UNION MINISTER OF JAL SHAKTI RELEASES REPORT OF DYNAMIC GROUND WATER RESOURCE ASSESSMENT FOR THE COUNTRY FOR THE YEAR 2022

Image source:

• https://static.pib.gov.in/WriteReadData/userfiles/file/GWRA2022(1)HIDO.pdf
• https://wri-india.org/sites/default/files/Groundwater_Graphic_21.3.22.jpg

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About Groundwater

• Groundwater is the water found underground in the cracks and spaces in soil, sand and rock.
• It is stored in and moves slowly through geologic formations of soil, sand and rocks called aquifers.
• Aquifers are typically made up of gravel, sand, sandstone, or fractured rock, like limestone and water, moves through these materials because they have large connected spaces that make them permeable.
• Groundwater represents about 30% of the world’s fresh water.
• Importance
  • Significant role in the economy, as it is the main source of water for irrigation.
  • Environmentally, it is essential to keep up the water level and ensure flow into rivers, lakes and wetlands.
  • During dry conditions, groundwater gets discharged to rivers, thereby supporting the ecology of the region.

Issues associated with Groundwater in India

• Unregulated extraction
  • Groundwater, regarded as a “common pool resource” has been driven by unregulated extraction, due to rising population, urbanisation and expansion of irrigation activities.
  • Green Revolution, followed by subsidised electricity to farmer, have also been contributing factors.
• Groundwater pollution
  • Aside from its diminishing quantity, the quality has become a significant concern, as groundwater in as many as 154 districts across 21 states has arsenic contamination (CGWB Report 2021).
  • The risk gets riskier with falling water tables as water becomes more concentrated with pollutants.
• Climate change
  • This deepens the Groundwater distress, as disturbances in the hydrological cycle causing long spells of floods and droughts adversely affect the quality and quantity of groundwater.
  • For example, flood events risk increased runoff of chemicals and biotic contaminants into groundwater.

Groundwater Regulation in India

Measures to enhance Groundwater in India

• Integrate Demand and Supply-side solutions
  • Measures such as surface water harvesting through farm ponds and check-dams, the installation of water-efficient irrigation systems (e.g. more efficient drips and sprinklers) and growing less water-intensive crops, need to be integrated on the demand side for improved management and reduced depletion.
• Regulatory actions
  • Local-level regulatory action in all threatened blocks before they reach the “overexploited” stage is vital to avert depletion.
• Restructuring Power subsidies
  • This requires better coordination of policy, market and regulatory measures as well as repurposing current distortive public support to more climate-smart solutions.
• Atal Bhujal Yojana: Improve GW management through community participation.
• Master Plan for Artificial Recharge to Groundwater 2020: Envisages construction of rainwater harvesting and artificial recharge structures.

Aquifer Mapping and Management Programme.

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In news

The report titled “Future of Workforce: Decoding Gig Workforce 2.0”, by NASSCOM has been released, which aims to understand the prevalence of the gig workforce landscape in the Indian technology sector.

Beyond News:

• The report underscores that nearly two-thirds of the organisations employed gig workers as of 2022, up from 57% two years ago.

• Focus on requirements for specialised skills, employee demand and cost optimization enabled organisations to use the gig model for technology roles traditionally restricted to HR and support functions.
• The top three segments for gig employment were - Software development, UI/UX design, and data analytics.
• However, the proportion of gig workers remains less than 5% of the total workforce of organisations having more than 2,000 full-time employees.

NASSCOM report on Indian Gig Workforce

• The gig workforce has emerged as an important talent management strategy for organisations and can play a key role in closing the tech talent demand-supply gap.
  • India has the lowest tech talent gap among top tech locations, because of the Gig Economy.
• The proportion of gig workers in the past two years has increased by more than 30%, proving the efficacy of the model.
• The hiring period for Gig workers has increased post-pandemic, thus indicating the potential of Gig Economy to meet growing demand and the effective use of talent to meet short-term talent needs.
• While the pandemic-induced remote work aided in recognizing the efficiency and specialised skills of gig workers, this shift also enabled increased efficiency in the completion of tasks/projects/processes.

Gig Economy: India

• According to the NITI Aayog report, 'India’s Booming Gig and Platform Economy’, the Indian gig workforce is expected to expand to 23.5 million workers by 2029-30, forming 4.1% of the total workforce in India.

Significance:

• Low-entry barriers and hence holds enormous potential for job creation in India.
• Platforms offer flexibility and choice of labour to women and Persons with Disabilities in particular.
• Minimizes costs and expenses as businesses are able to hire off-site workers which reduce the need to maintain expensive workspaces.
• Allows individuals to earn extra income thus enhancing the per capita income.

• Issues/challenges
  • Lack of job security, irregular wages, and uncertain employment status.
  • Rising stress due to uncertainty associated with regularity in available work and income.
  • Limited access to the internet and digital technology, discourage certain sections from participating in Gig Economy.
  • The contractual relationship between the platform owner and gig worker denying the latter access to many workplace entitlements.
  • Stress due to pressure from algorithmic management practices and performance evaluation on the basis of ratings.

Source:

• Decoding Gig Workforce 2.0: NASSCOM report
• Niti Aayog’s report on India’s gig economy: what has the think-tank recommended?

Image source:

• https://cdn.dnaindia.com/sites/default/files/2018/11/04/751007-gig.jpg
• https://www.businesstoday.in/latest/economy/story/gig-workforce-expected-to-expand-to-2-35-cr-by-2029-30-niti-aayog-report-339332-2022-06-27

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Context: Aadhaar rules amended; supporting doc may be updated at least once in 10 years

• The government has amended Aadhaar regulations
  • supporting documents may be updated “at least once” by Aadhaar holders on completion of 10 years from the enrolment date.

• • The new feature permits Aadhaar number holders to revalidate details by updating the Proof of Identity (POI) (containing name and photo) and Proof of Address (POA) (containing name and address) documents.
  • This feature can be accessed online through the myAadhaar portal, myAadhaar app or any Aadhaar enrolment centre to avail of the facility.
  • The amendment relates to the updation of demographic information and does not involve biometric updates.
• The changes have been made by tweaking the Aadhaar (Enrolment and Update) Regulations.
• Under section 3 of the Aadhaar Act, 2016, only a resident is entitled to get Aadhaar.

Sources:

• https://www.hindustantimes.com/india-news/aadhaar-rules-amended-supporting-doc-may-be-updated-at-least-once-in-10-years-101668106877668.html

Image source:

• https://mobile.twitter.com/UIDAI/status/1443780208314634240

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Context: DigiLocker users can now link health records with Ayushman Bharat.

• DigiLocker is an initiative of the Ministry of Electronics & IT (MeitY) under the Digital India programme.
• DigiLocker aims at ‘Digital Empowerment of citizens by providing access to authentic digital documents to citizen’s digital document wallet and the docs are deemed to be at par with original physical documents as per Rule 9A of the Information Technology (Preservation and Retention of Information by Intermediaries providing Digital Locker facilities) Rules, 2016.
• DigiLocker has completed its integration with Ayushman Bharat Digital Mission (ABDM).
• Level 1 integration with ABDM wherein the platform had added ABHA or Ayushman Bharat Health Account creation facility for its users.
• The latest integration, Level 2, will now enable users to utilize DigiLocker as a Personal Health Records (PHR) app and can be used as a health locker for storing and accessing health records such as vaccination records, doctor prescriptions, lab reports, hospital discharge summaries etc.
• ABHA holders can also link their health records from different ABDM-registered health facilities, and access them through DigiLocker.

Sources:

•  
• https://www.livemint.com/news/india/digilocker-users-can-now-store-health-records-link-them-with-ayushman-bharat-account-11668063954068.html
•  
• https://www.businesstoday.in/latest/trends/story/digilocker-users-can-now-link-health-records-with-ayushman-bharat-352448-2022-11-10

Image source:

• https://economictimes.indiatimes.com/magazines/panache/with-digilocker-app-spare-yourself-the-horror-of-carrying-licences-vehicle-papers-on-the-go/articleshow/54168368.cms

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• Context: Recently Global Carbon Budget 2022 Report was released which can be linked to UN Climate Summit.
• This report provides world leaders access to data on atmospheric carbon concentrations, emissions and trends for the 2022 United Nations Climate Summit – or COP27 – in Egypt.
• Published by: The Global Carbon Project published the Global Carbon Budget 2022.

Key Findings

1. CO2 emissions highly likely to rise, the largest emitters, China (32%), the U.S. (14%), the EU (8%), and India (8%), together accounting for 62% of the global fossil fuel emissions.
2. Land and ocean sinks continue to take up just half the total emissions and rest remains concentrated in the atmosphere.
3. Emissions from deforestation remained low in comparison, with Indonesia, Brazil and the Democratic Republic of the Congo contributing 58% of global land-use emissions.
4. If the current emission level persists, there is a 50% chance that global warming of 5 degrees Celsius will be exceeded in nine years.

Source: https://news.illinois.edu/view/6367/1234876866

Image source: https://essd.copernicus.org/articles/14/4811/2022/

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• Context: Recently Stop TB Partnership Executive Director appreciated the efforts under Pradhan Mantri TB Mukt Bharat Abhiyaan.
• The Pradhan Mantri TB Mukt Bharat Abhiyaan has been envisioned to bring together all community stakeholders to support those on TB treatment and accelerate the country’s progress towards TB elimination by 2025, ahead of global target (2030).
• Nodal Ministry: It is an initiative of Ministery of Health and Family Welfare (MOHFW).
• Objectives:

1. Provide additional patient support to improve treatment outcomes of TB patients
2. Augment community involvement in meeting India’s commitment to end TB by 2025
3. Leverage Corporate Social Responsibility (CSR) activities

 Source:

1. https://vikaspedia.in/health/health-campaigns/pradhan-mantri-tb-mukt-bharat-abhiyaan

2. https://theprint.in/india/stop-tb-partnership-executive-director-lauds-pradhan-mantri-tb-mukt-bharat-abhiyaan/1210042/

Image source:

• https://www.tribuneindia.com/news/health/9-5-lakh-tb-patients-adopted-under-pradhan-mantri-tb-mukt-bharat-abhiyan-432722

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Exam View: Reservation, Scheduled Castes, Scheduled Tribes, Other Backward Classes, affirmative action, Basic Structure Doctrine.

In News: Recently, the Supreme Court upheld the constitutional validity of the law granting 10% reservation to Economically Weaker Sections (EWS).

The 10% EWS quota was introduced under the 103rd Constitution (Amendment) Act, 2019 for economic reservation in jobs and admissions in educational institutes for Economically Weaker Sections (EWS). It inserted Article 15 (6) and Article 16 (6) in the Indian constitution.

It was enacted to promote the welfare of the poor not covered by the 50% reservation policy for Scheduled Castes (SCs), Scheduled Tribes (STs) and Socially and Educationally Backward Classes (SEBC).

It introduced a form of economic criteria for the first time. It enables both the Centre and the States to provide reservations to the EWS of society.

Constitutional measures:

• Article 15: Enabling the state to take special measures (not limited to reservations) in favour of EWS generally with an explicit sub-article on admissions to educational institutions with maximum 10% reservations.
• Article 16: It allows 10% reservations (and not special measures) for EWS in public employment.

Significance:

• Promote economic welfare: There are many people or classes other than backward classes who are living under hunger and poverty-stricken conditions. It gives constitutional recognition to the poor from the upper castes. Thus, it enables economic welfare of the society.
• Address inequality: The 10% quota is progressive and could address the issues of educational and income inequality in India since the economically weaker sections of citizens have remained excluded from attending higher educational institutions and public employment due to their financial incapacity.
• Reduction of Caste-Based Discrimination: Moreover, it will gradually remove the stigma associated with reservation because reservation has historically been related to caste and most often the upper caste looks down upon those who come through the reservation.
• Not for certain sects: The reservation mooted is for all economically weaker individuals. Thus, idea of religion and caste is not used in reservation which had been the case till now as the new law of 10% quota in government jobs and education for economically weaker sections is irrespective of religion and caste.

The Court conceded that caste may be a prominent factor for ‘easy determination of backwardness’, but its judgment discouraged “the identification of a group as backward solely on the basis of caste” and called for “new practices, methods and yardsticks” to be evolved.  With the EWS decision, the shadow of Pandora now hovers over the Supreme Court, but her notorious box may already have been opened by this dramatic, and judgment of 2015.

Although 103rd amendment act has many advantages it poses a difficult judicial examination than usual. No doubt it envisions to uplift economically weaker sections of the society, but its constitutional validity needs to be examined. Instead of giving reservation based on different criteria, the government should focus on quality of education and other effective social upliftment measures. It should create a spirit of entrepreneurship and make them job-givers instead of a job seeker.

https://www.thehindu.com/opinion/lead/the-ews-judgment-and-the-shadow-of-pandora/article66116346.ece

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Why in news? Recently, the UK’s Home Department approved the extradition of Nirav Modi.

About:

• India-UK Extradition Treaty was signed in 1992.
• Indian Supreme Court defined extradition as delivery on part of one state to another of those whom it is desired to deal with for crimes of which they have been accused or convicted and are justifiable in courts of another state.
• Extradition requests can be initiated in case of under-investigation, under-trial and convicted criminals.
• The Ministry of External Affairs is the central authority that handles all extradition requests.
• In India, the extradition of a fugitive criminal is governed under the Indian Extradition Act, of 1962.

https://m.economictimes.com/news/india/big-win-for-india-uk-high-court-clears-nirav-modis-extradition/amp_articleshow/95403077.cms

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Why in news? The Self-Reliant India fund committed Rs 5,000 crore to fund Micro, Small and Medium Enterprises (MSMEs).

About:

• SRI Fund is a SEBI-registered Category II Alternative Investment Fund (AIF), launched in 2020 by the government to provide growth capital to MSMEs.
• It operates via the mother-fund and daughter-fund (Fund of Funds) structure.
• As a mother fund, it invests up to 20% of the overall corpus of the daughter fund, and the latter raises the balance of 80% capital from outside sources.
• The scheme is being implemented by a special-purpose vehicle called NSIC Venture Capital Fund Limited (NVCFL).
• NVCFL is a 100% subsidiary of National Small Industries Corporation Limited (NSIC), a Mini-Ratna Corporation of the Government of India under the Ministry of Micro, Small and Medium Enterprises (MSME), Government of India.

https://www.financialexpress.com/industry/sme/msme-fin-self-reliant-india-fund-commits-rs-5000-crore-to-fund-msmes/2780286/

https://indianexpress.com/article/cities/ahmedabad/self-reliant-india-fund-provided-rs-1600-cr-support-to-88-msmes-official-8129385/lite/

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Why in news? Recently, Atal Innovation Mission (AIM), NITI Aayog launched Woman centric challenges under phase II of the 2nd edition of the Atal New India Challenge (ANIC).

About:

• It addresses the major issues faced by women from all spheres of life.
• It aims to seek, select, support and nurture technology-based innovations that solve sectoral challenges of national importance and societal relevance.
• It provides funds up to ₹1 crore through a grant-based mechanism and open for:
  • Any Indian Company incorporated under Companies Act,
  • Any company registered as a Start-up, recognized by Department for Promotion of Industry and Internal Trade.

https://pib.gov.in/PressReleasePage.aspx?PRID=1874745

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Why in news?  Ministry of Health and Family Welfare has deputed a high-level team to Mumbai to manage Measles cases.

About:

• It is a highly contagious viral disease.
• It causes a total-body skin rash and flu-like symptoms.
• It is caused by a virus in the paramyxovirus family.
• It is a human disease and is not known to occur in animals.
• There is no specific medical treatment for the disease, but the vaccine is provided in the form of measles-rubella (MR), measles-mumps-rubella (MMR), or measles-mumps-rubella-varicella (MMRV) combination.

https://theprint.in/india/centre-deputes-high-level-team-to-mumbai-to-manage-measles-outbreak/1207577/?amp

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Why in news? Ministry of  Housing and Urban Affairs launched the Transport 4 All Challenge Stage-2.

About:

• It aims at enhancing the mobility experience of citizens and focuses on digital innovation to improve the mobility needs of all citizens.
• It is organised in partnership with the Institute for Transportation and Development Policy and Word Bank, Start-up India and City Innovation Exchange, and the Association of State Road Transport Undertaking (ASRTU).
• Stage 1 of the Challenge was launched in 2021.

https://theprint.in/india/urban-affairs-ministry-launches-transport-4-all-challenge-stage-2-citizen-perception-survey-2022/1207791/?amp

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Why in news? Recently, Citizen Perception Survey was launched under the Ease of Living Index-2022 for 264 cities by MoHUA to capture citizens' feedback about their city.

About:

• The CPS was conducted for the first time in 2020.
• The purpose of the CPS is to directly capture the perception of citizens regarding the quality of life in their cities.
• It is being administered both in offline and online modes.
• The Ease of Living Index aims to evaluate cities across India based on the Quality of Life, Economic Ability, and Sustainability.
• The National Institute of Urban Affairs (NIUA) and the Quality Council of India (QCI) undertake this exercise.

https://www.mygov.in/mygov-survey/citizen-perception-survey-ease-living-2022

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Background

The Supreme Court recently ordered the premature release of all remaining convicts, who were serving life sentences in the Rajiv Gandhi assassination case.

About Supreme Court's order

• The Supreme Court earlier in May this year, had invoked its extraordinary power under Article 142 of the Constitution, to release a convict.
• The present bench, which has ordered the release of six convicts, said that the May 2022 judgement of the top court was applicable to the others who were accused as well.
• Article 142 of the Constitution deals with the Supreme Court's power to exercise its jurisdiction and pass order for doing complete justice in any cause or matter pending before it.
  • It provides the apex court with a special and extraordinary power and is meant to provide justice to litigants who have suffered traversed illegality or injustice in course of legal proceedings.
• Babri Masjid Case and Bhopal Gas Tragedy are other significant instances where Article 142 has been invoked by the Supreme Court.
• Criticism against Article 142
  • The article itself does not have any inherent "safety valve" that can ensure its correct and just usage
  • It is intended to be used only in cases that cannot or have not been tackled efficiently with existing legal and policy provisions of the nation.
  • But, the judiciary has relied heavily on the provision as a tool for judicial activism and judicial innovation.

Source:

• What Is Article 142 SC Invoked To Free Rajiv Gandhi Assassination Convict? Has It Been Used Before?
• Supreme Court releases all 6 convicts in Rajiv Gandhi assassination case

Image source:

• https://legislative.gov.in/sites/default/files/COI_English.pdf

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