Ten relevant news updates from across the world, useful for examinations
SHARE:
Headlines - 30 - 07 - 2021
- Constitution and Law - Parliamentary privileges - The Supreme Court held that lawmakers cannot indulge in criminal acts on the Parliament or Assembly floors and then take cover behind the right to free speech. The court refused the Kerala government’s plea to withdraw prosecution of top Left Democratic Front (LDF) leaders accused of vandalism and wanton destruction of public property on the Assembly floor during a Budget speech in 2015. The SC observed that Parliamentary privileges and immunities are not “gateways” for legislators to claim exemption from the law of the land, especially criminal law. What are "Parliamentary privileges"? They refer to rights, immunities and exemptions enjoyed by Parliament as an institution and MPs in their individual capacity, without which they cannot discharge their functions as entrusted upon them by the Constitution. When any of these rights and immunities are disregarded, the offence is called a breach of privilege and is punishable under law of Parliament. A notice is moved in the form of a motion by any member of either House against those being held guilty of breach of privilege.
- Education - Academic Credit Bank - On the first anniversary of the National Education Policy (NEP), the Central government shall officially roll out some initiatives promised in the policy, such as a credit transfer system that will allow multiple entry and exit options in higher education, as well as engineering programmes in regional languages. Other reforms such as the Higher Education Commission of India (HECI), the four-year undergraduate degree, and the common university entrance test, have been delayed. The "Academic Bank of Credit" will be rolled out for students in over 290 top institutions from the current academic year 2021-22 onwards. All institutions in the top 100 of the National Institutional Ranking Framework as well as those who have achieved an A grade under the NAAC will be allowed to participate in the credit transfer system, which will also allow multiple entry and exit options for students. Multidisciplinarity will be issued with guidelines to allow the merger of institutes to give students the choice of taking subjects such as social sciences, music and sports while pursuing engineering, or to get a minor degree in emerging areas while majoring in a different subject. Engineering degrees in regional languages in about 14 smaller institutions. Establishment of the National Digital Education Architecture and National Education Technology Forum. Vidya Pravesh, a three-month play-based school preparation module for Class 1 students which gains greater importance now since pre-schools, nurseries and anganwadis are closed due to COVID-19 pandemic. A competency-based assessment framework for Classes 3, 5 and 8 will also be announced for students of the CBSE.
- Constitution and Law - Factoring Regulation (Amendment) Bill 2020 - The Bill was passed by the Lok Sabha, and seeks to widen the scope of entities that can engage in factoring business. "Factoring" is a transaction where an entity (like MSMEs) ‘sells’ its receivables (dues from a customer) to a third party (a ‘factor’ like a bank or NBFC) for immediate funds (partial or full). Currently, seven non-bank finance companies called NBFC factors do the majority of the factoring through the principal business condition The Bill has done away with the threshold for NBFCs to get into the factoring business. It widens the scope of financiers and to permit other non-banking finance companies also to undertake factoring business and participate on the Trade Receivables Discounting System platform for discounting the invoices of micro, small and medium enterprises. It reduces the time period for registration of invoice and satisfaction of charge upon it, in order to avoid possibility of dual financing. It empowers the Reserve Bank of India to make regulations with respect to factoring business. Allowing non-NBFC factors and other entities to undertake factoring is expected to increase the supply of funds available to small businesses, bringing down the cost of funds and enable greater access to the credit-starved small businesses, ensuring timely payments against their receivables.
- Defence and Military - Srijan portal - Launched in 2020, this indigenization portal was developed by the Department of Defence Production. It provides information regarding the defence equipment and items which are being imported currently or to be imported by the Defence PSUs in the country. It is a one stop shop online portal that provides access to the vendors to take up items that can be indigenized. Then the government will take proper measures regarding making these products indigenized. The Indian industry has shown interest for indigenization of 2880 displayed items on this portal so far.
- Social Issues - OBCs finally get reservation in Medical education - The Ministry of Health and Family Welfare has taken a decision for providing 27% reservation for OBCs and 10% reservation for Economically Weaker Section (EWS) in the All India Quota (AIQ) Scheme for undergraduate and postgraduate medical / dental courses (MBBS / MD / MS / Diploma / BDS / MDS) from the current academic year 2021-22. The All India Quota (AIQ) Scheme was introduced in 1986 under the directions of the Supreme Court to provide for domicile-free merit based opportunities to students from any State to aspire to study in a good medical college located in another State. The "All India Quota" consists of 15% of total available UG seats and 50% of total available PG seats in government medical colleges. Initially, there was no reservation in AIQ Scheme up to 2007. In 2007, the Supreme Court introduced reservation of 15% for SCs and 7.5% for STs in the AIQ Scheme. When the Central Educational Institutions (Reservation in Admission) Act became effective in 2007 providing for uniform 27% reservation to OBCs, the same was implemented in all the Central Educational Institutions viz. Safdarjung Hospital, Lady Harding Medical College, Aligarh Muslim University and Banaras Hindu University etc. However, this was not extended to the AIQ seats of State medical and dental colleges.
- Indian Economy - PRIP solution for insolvency - The Insolvency and Bankruptcy Code (Amendment) Bill, 2021, passed by Lok Sabha has proposed ‘pre-packs’ or Pre-packaged Insolvency Resolution Process (PIRP) as an insolvency resolution mechanism for Micro, Small and Medium Enterprises (MSMEs). A pre-pack envisages the resolution of the debt of a distressed company through a direct agreement between secured creditors and the existing owners or outside investors, instead of a public bidding process. nder the pre-pack system, financial creditors will agree to terms with the promoters or a potential investor, and seek approval of the resolution plan from the National Company Law Tribunal (NCLT). The approval of at least 66 per cent of financial creditors that are unrelated to the corporate debtor would be required before a resolution plan is submitted to the NCLT. The NCLTs will be required to either accept or reject an application for a pre-pack insolvency proceeding before considering a petition for a Corporate Insolvency Resolution Process (CIRP).
- Indian Economy - DICGC Amendment Bill, 2021 - The Union Cabinet approved the Deposit Insurance and Credit Guarantee Corporation (Amendment) Bill, 2021 and has been introduced in Parliament’s monsoon session. Deposit Insurance Credit Guarantee Corporation (DICGC) is a wholly-owned subsidiary of the Reserve Bank of India (RBI). It provides deposit insurance that works as a protection cover for bank deposit holders when the bank fails to pay its depositors. It protects depositors’ money kept in all commercial and foreign banks located in India; central, state, and urban co-operative banks; regional rural banks; and local banks, provided that the bank has opted for DICGC cover. The agency’s operations are performed as per the Deposit Insurance and Credit Guarantee Corporation Act, 1961 and The Deposit Insurance and Credit Guarantee Corporation General Regulations, 1961.
- Governance and Institutions - Suspension of FCRA Certificate - The Commonwealth Human Rights Initiative (CHRI) has challenged the suspension of its Foreign Contribution Regulation Act (FCRA) certificate for 180 days. The Ministry of Home Affairs (MHA) suspended CHRI’s certificate in violation of various provisions of the FCRA Act. The "Foreign Contribution (Regulation) Act (FCRA), 2010" regulates foreign funding of persons in India, and is implemented by the Ministry of Home Affairs. Individuals are permitted to accept foreign contributions without permission of MHA. However, the monetary limit for acceptance of such foreign contributions shall be less than Rs. 25,000. The Act ensures that the recipients of foreign contributions adhere to the stated purpose for which such contribution has been obtained. Under the Act, organisations are required to register themselves every five years.
- Indian Economy - Tackling the Menace of Black Money - The Union Minister of State for Finance has stated in Lok Sabha that the government's black money law has helped detect several instances where Indians have been found stashing undisclosed income overseas. There is no official definition of black money in economic theory, with several different terms such as parallel economy, black money, black incomes, unaccounted economy, illegal economy and irregular economy all being used more or less synonymously. The simplest definition of black money could possibly be money that is hidden from tax authorities. It can come from two broad categories: (a) Illegal Activity: Money that is earned through illegal activity is obviously not reported to the tax authorities, and so is black; and (b) Legal but Unreported Activity: The second category comprises income from legal activity that is not reported to the tax authorities.
- World Politics - Various updates - (a) Joe Biden urged America’s states to kick-start the country’s stalled vaccination drive by offering $100 each to the unjabbed—to get with the programme. He also said that all federal employees must show proof of inoculation, or face mandatory tests. Israel, which vaccinated much earlier and more thoroughly, said it would begin offering a third dose of the Pfizer vaccine as a booster for its over-60s, in an attempt to contain the Delta strain. (b) China’s biggest covid-19 outbreak in months, centred around Nanjing, surpassed 200 cases. Authorities cut off transport links with the eastern city and ordered testing for its 9m residents. Meanwhile Australian troops were deployed to the streets of Sydney to enforce a lockdown induced by the Delta strain. The country’s initial success at containing the virus is being undone by one of the rich world’s lowest vaccination rates. (c) Tong Ying-kit, the first person to be convicted under Hong Kong’s repressive national-security law, was sentenced to nine years’ imprisonment. Mr Tong, whose trial was conducted not before a jury, but in front of government-selected judges, was found guilty of terrorism and inciting seccession. He had ridden his motorbike into policemen while carrying a flag reading “Liberate Hong Kong. Revolution of our times”.
COMMENTS