CII Calls for Clarity in Lokpal Act

Definition
of ‘Public Servant’ of Concern
The
Confederation of Indian Industry (CII) has called for urgent
clarifications on the Lokpal & Lokayukta Act, 2013, regarding
definitions of terms such as ‘public servant’ and financing by
government. 
According
to President of CII, Dr. Naushad Forbes, “Industry has welcomed the
Lokpal & Lokayukta Act, 2013, which aims to curtail corruption
among public servants. However, the application of the Act to a wide
number of charitable organizations and their functionaries can
seriously impede social and philanthropic activities by genuine
participants.”
On
behalf of CII Dr. Forbes has requested the government to extend the
deadline for disclosure and also to revisit definition of terms such
as ‘public servant’ and government funding.
CII
has submitted a representation to the Government to:
  1. Extend
    the timelines for compliance under Section 44 of the Act by three
    months to enable deeper study;
  2. Review
    applicability of the Act to non-profit organizations, trusts,
    societies and other organizations and
  3. Revisit
    definition of ‘public servant’, among others.
“Unnecessary
intervention will adversely create a lot of disruption in the working
of trusts, societies, association of persons, charitable and
non-profit organizations and we would request the Government to
urgently re-examine this legislation,” added Dr Forbes.
In
its representation to the government, CII has noted that a large
number of trusts, societies, charitable and non-charitable
organizations, including hospitals and educational institutions, are
served by philanthropists and professionals in different capacities.
These organizations are dedicated to social and community service and
undertake a range of activities for the good and welfare of society.
The provisions of the Act are also applicable to not-for-profit
organizations and trade bodies which provide services for the
competitiveness of industry.
CII
has stated that the provision of intimating asset details will
discourage senior philanthropists and social workers from
participating in social development services. It will also deter
professionals from working in such organizations. The disclosure
requirements under the Act, applicable to private citizens and their
spouse and dependent children, are said to be more onerous than the
Conduct Rules for government servants, which are limited to the
government official only. Implementation of this measure as currently
notified could precipitate immediate resignations from several public
and social institutes.
CII
also stated that the Act is ambiguous in the definition of ‘wholly
or partly financed’ or ‘controlled’ by government. There is no
clarity if this extends to loans, financial aid or grants, tax
exemptions, etc., provided by the Central Government. The provisions
are incompatible with the Prevention of Corruption Act, 1988, in
several respects.

 
Tags:

Leave a Reply

Your email address will not be published. Required fields are marked *

Newsletter Signup
Get latest updates, news and surveys
Archives