Business Standard

GoM mulls bringing non-govt agencies under corruption law

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Surajeet Das Gupta New Delhi

A Group of Ministers (GoM) set up to tackle corruption has discussed substantial changes in the current rules. Key changes include bringing private sector providers of utility services and non-government agencies under the Prevention of Corruption Act, a separate mechanism for the allocation of the scarce natural resource of land for educational purposes, a regulatory body for the housing sector and the creation of a single platform (for trading) for coal transactions.

In its eighth meeting held a few weeks ago, the GoM, however, rejected a proposal by an expert committee to extend the protection a government servant enjoys in a government department under the Code of Criminal Procedure when he joins a public sector undertaking on deputation, saying it would be discriminatory against regular PSU employees.

 

The GoM, now headed by Defence Minister A K Anthony, includes Finance Minister P Chidambaram, Corporate Affairs Minister Veerappa Moily, Home Minister Sushilkumar Shinde, Communications Minister Kapil Sibal and others.

The legislative department in the ministry of law and justice also suggested substantial changes in rules for the funding of political parties for elections to prevent the use of black money. The department has suggested an increase in the limit, as prescribed under the Companies Act, by allowing companies to make political donations not exceeding five per cent of their average net profit of the previous three years to 7.5 per cent.

It has also suggested an enhancement in the ceiling on expenditure by candidates in elections by at least 50 per cent. It has said the accounts of political parties should be audited by the CAG or RBI-empanelled auditors. Also, the accounting of all donations from the public must be made by using the unique ID of every person and all donations accepted only by cheque and received in a single separate bank account, it has said. Apart from partial funding of elections by the government, it has opined women candidates should be fully funded.

After discussions, the GoM decided the issues on funding had to be examined in consultation with the Election Commission. The law ministry has been asked to discuss the matter with the election commissioners. The GoM also discussed a proposal to fast-track corruption cases against public servants pending for over 10 years by setting up a committee under a retired judge of the Supreme Court.

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First Published: Aug 16 2012 | 12:34 AM IST

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