The Transaction of Business Rules (TBR) make it mandatory that the Lt Governor refer to the Centre every legislative proposal which may necessitate additional financial assistance.
Delhi government had questioned the constitutional validity of the rules and have said that they need to be changed else the Union Home Ministry and not the Delh assembly will be making laws for the national capital.
The legal arm of the central government is also learnt to have said that the Jan Lokpal Bill could overlap the provisions of the Lokpal and Lokayukta Act enacted recently and therefore the assent of the Delhi Lt Governor was necessary.
According to the TBR framed under Section 44 of the GNCTD Act, "the Lieutenant Governor shall refer to the central government every legislative proposal, which relates to any matter which may ultimately necessitate additional financial assistance from the central government through substantive expenditure from the Consolidated Fund of the Capital or abandonment of revenue or lowering of rate of any tax."
Sources said the Law Ministry examined whether the Jan Lokpal Bill is repugnant to the Lokpal and Lokayukta Act enacted recently under Article 329 AA of the Constitution.