"This (direct cash transfer) is only an implementation of an announcement that has already been made," Telecom Minister Kapil Sibal told reporters here.
He said the government believed that it has neither directly or indirectly violated the election code because the policy announcement was made way back in the budget speech by the then Finance Minister.
Sibal said the government would file a detailed reply on the questions raised by the Election Commission on the issue.
The Commission's notice was among the issues discussed by the Group of Ministers on media today.
The Commission had yesterday conveyed its unhappiness to the government over announcement of its direct cash transfer scheme when the Model Code was in force in poll-bound Gujarat.
In a strongly-worded letter to Cabinet Secretary Ajit Seth, the poll authority had said the announcement could have been avoided in view of the Gujarat Assembly elections later this month.
Last week, Finance Minister P Chidamabaram and Rural Development Minister Jairam Ramesh had launched the Aadhar- based direct cash transfer scheme at the Congress headquarters here and dubbed it as a "game changer".