April 05, 2002
‘7’
LAW MINISTER ASSURES DEVOLUTION OF FINANCIAL POWERS TO PANCHAYATS
The Union Minister of Law, Justice and Company Affairs, Shri Arun Jaitley has said that Article 243 (g) read with Schedule XI of the Constitution of India would be suitably amended to devolve adequate financial powers to the Panchayati Raj Institutions. Addressing the All India Panchayat Adhyakshas Sammelan on Devolution of Powers to Panchayati Raj Institutions, here today, Shri Jaitley assured the Panchayat Adhyakshas from all over the country that his counterpart Union Minister for Rural Development Shri Venkaih Naidu would convene a meeting of Chief Ministers of States followed a meeting of all political parties under the Chairmanship of the Prime Minister, Shri Atal Behari Vajpayee, to evolve necessary consensus to enable the Government to amend the Constitution in order to strengthen further the Panchayati Raj System at the grassroots of Indian democracy.
Talking of the advantages accruing from the Constitution (73rd Amendment) Act, Shri Jaitley said that this provided a framework of duties to be discharged by the Panchayati Raj Institutions. He said that out of 29 subjects listed in the 11th Schedule, it was for the State Governments to ensure how much devolution of powers including financial autonomy for the Panchayati Raj systems could be granted. As for the Government of India, the Law Minister assured the delegates that it was very clear and resolute in its stand to ensure adequate devolution of powers to the Panchayati Raj system, so that devolution of power from Lok Sabha to the Gram Sabha was given a meaningful effect.
The Constitution (73rd Amendment) Act, provides for three-tier Panchayats at village, block and district levels, constitution of State Election Commission, Elections to Panchayats every five years, reservation of seats for Scheduled Castes and Scheduled Tribes, reservation of not less than 1/3rd seats for women, constitution of State Finance Commission to recommend measures for improving finances of Panchayats, devolution of 29 subjects listed in the 11th Schedule of the Constitution for the Panchayats and Gram Sabhas at the Gram Panchayat level to meet four times a year.