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CS Professional · CSR and Social Governance · Local Self Governance

A State Finance Commission submits its report with recommendations on grants-in-aid to Gram Panchayats. The State Finance Minister says the report can be kept confidential and need not go to the Legislature. Which statement is correct?

The Governor must lay the State Finance Commission's report, along with an explanatory memorandum on the action taken, before the State Legislature. The government cannot keep it confidential, and Parliament is not the forum for this report.

  1. AThe Governor must lay the report with an explanatory memorandum of action taken before the State LegislatureCorrect
  2. BThe report goes to the Union Finance Commission, not the Legislature
  3. CThe report remains an internal government document unless the Panchayats ask for it
  4. DThe report is tabled only in Parliament

Explanation

The Constitution requires the Governor to lay every recommendation made by the State Finance Commission, together with an explanatory memorandum on the action taken, before the Legislature of the State. Confidentiality is therefore not permitted. Parliament is not involved in this report.

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