GS PAPER: II

Sub-categorisation within SC, ST

Why in the news?

• Recently a seven-judge Constitution Bench headed by Chief Justice of India D Y Chandrachud reserved judgment in the sub-classification among Scheduled Castes (SCs) case.

States Concern

• Some states have argued that despite reservation, some castes are grossly underrepresented in comparison with the so-called dominant Scheduled Castes.
• They want to create a separate quota for such castes within the SC quota of 15%, to ensure that the benefits are adequately distributed.

E.V. Chinnaiah v State of Andhra Pradesh case 2004

• In 2004, a five-judge Constitution Bench in ‘E.V. Chinnaiah v State of Andhra Pradesh’ held that only the President could notify which communities could receive reservation benefits as per Article 341 of the Constitution, and that states did not have the power to tamper with this.
• A number of states have now returned to the Supreme Court to argue against the Chinnaiah decision, claiming that states do have the power to make sure reservation benefits are distributed to communities that need them the most.
• The respondents on the other hand, defended the Chinnaiah judgment and argued that all Scheduled Castes must be treated equally.

How it begins?

• In 1975, the Punjab government issued a notification dividing its 25% SC reservation at that time into two categories. In the first category, seats were reserved solely for the Balmiki and Mazhabi Sikh communities, which were and continue to be considered two of the most economically and educationally backward communities in the state.
• Under the policy, they were to be given first preference for reservation in education and public employment. The second category consisted of the rest of the SC communities.
• While the notification remained in force for nearly 30 years, it ran into legal hurdles when in 2004, a five-judge Constitution Bench struck down a similar law introduced by Andhra Pradesh in 2000.
• In ‘E.V. Chinnaiah v State of Andhra Pradesh’, the Supreme Court struck down the Andhra Pradesh Scheduled Castes (Rationalisation of Reservations) Act, 2000 for being violative of the right to equality.
• The law contained an expansive list of Scheduled Caste communities in the state and the quota of reservation benefits provided to each of them.
• The court held that the sub-classification would violate the right to equality by treating communities within the category differently, and said that the SC list must be treated as a single, homogenous group.
• The rationale was that since the Constitution classifies certain castes in a Schedule as they historically faced discrimination due to untouchability, they cannot be treated differently from one another.
• The court also drew attention to Article 341 of the Constitution, which gives the President the power to create a list of SC communities for the purposes of reservation.
• The five-judge Bench held that this meant states did not have the power to “interfere” or “disturb” this list, including through sub-classification.
• Two years after the apex court ruling, the Punjab & Haryana High Court in ‘Dr. Kishan Pal v. State of Punjab’ struck down the 1975 notification.

The appeal

• In October 2006, four months after the Punjab & Haryana High Court struck down the notification, the Punjab government attempted to bring back the law by passing the Punjab Scheduled Caste and Backward Classes (Reservation in Services) Act, 2006. This Act reintroduced the first preference in reservations for the Balmiki and Mazhabi Sikh communities.
• In 2010, the High Court once again struck down this provision. The Punjab government then moved the Supreme Court.

Davinder Singh v State of Punjab 2014

• In 2014, the Supreme Court in ‘Davinder Singh v State of Punjab’, referred the appeal to a five-judge Constitution Bench to determine if the 2004 E V Chinnaiah decision required reconsideration, since it needed an inquiry into the interplay of several constitutional provisions. Interpretation of the Constitution requires a Bench of at least five judges of the Supreme Court.

Reconsidering the E V Chinnaiah ruling

• In 2020, the Constitution Bench headed by Justice Arun Mishra held that the court’s 2004 decision required reconsideration. The ruling noted that the court and the state “cannot be a silent spectator and shut its eyes to stark realities.
• The ruling disagreed with the premise that Scheduled Castes are a homogeneous group and said there are “unequals within the list of Scheduled Castes, Scheduled Tribes, and socially and educationally backward classes.
• Crucially, since the E V Chinnaiah decision, the concept of a “creamy layer” has also trickled down to SC reservations.

Jarnail Singh v Lachhmi Narain Gupta case 2008

• In the landmark 2018 ruling in ‘Jarnail Singh v Lachhmi Narain Gupta’, the Supreme Court upheld the concept of “creamy layer” within SCs too. The ‘Creamy layer’ concept puts an income ceiling on those eligible for reservations. While this concept applies to Other Backward Castes (OBC), it was applied to promotions of SCs for the first time in 2018.
• States have argued that the sub-classification is essentially an application of the creamy layer formula, where instead of excluding the better-off castes from the Scheduled Caste list; the state is merely giving preferential treatment to the most disadvantageous castes.
• Since the Davinder Singh Bench was also of five-judges (same as E V Chinnaiah), a larger seven-judge Bench is now hearing the issue — only a larger Bench’s judgement can prevail over the decision of a smaller Bench.
• Apart from Balmikis and Mazhabi Sikhs in Punjab and Madiga in Andhra Pradesh, Paswans in Bihar, the Jatavs in UP, and Arundhatiyars in Tamil Nadu will also be impacted by the sub-classification strategy.

Arguments in favour

• The Advocate General of Punjab, Gurminder Singh, argued that E.V. Chinnaiah was mistaken when it held that states could not tamper with the classes that comprised the Presidential list under Article 341.
• Highlighting the language used in Article 16(4) of the Constitution, he pointed out that the Article allows the State to provide reservations for backward classes who are not “adequately represented” in State services.
• As the phrase used is “adequately” and not “equally”, Singh argued, there is no obligation to provide the same opportunities to every community in the Presidential list.
• Additional Advocate General of Punjab Shadan Farasat pointed out that the recently introduced Article 342A on the Constitution made it clear that the Chinnaiah decision could no longer apply.
  • • This provision specifically empowers States and Union Territories to maintain a list of Socially and Economically Backward Classes which may be different from the Presidential list.
• Former Attorney General KK Venugopal also made a rare return to court to argue in favour of sub-classification.
  • • Recalling his experience arguing in the Chinnaiah case, he stated that without sub-classification, the weakest sections of society will be left behind, defeating the very purpose of reservations.
• Senior Advocate Sanjay Hegde, appearing for the respondents, argued that all the communities included in the Presidential list suffered from the “taint of untouchability”, and the Constituent Assembly made a choice not to enter into comparisons of who suffered the most.
• He then claimed that if a community named in the Presidential list did not receive reservation benefits, they would only be left with the stigma of being a Scheduled Caste. Another intervenor similarly argued that states did not have the discretion to ignore some Scheduled Castes in favor of others.

GS PAPER – III

RBI kept the repo rate unchanged

Why in the news?

• The Monetary Policy Committee (MPC) of the Reserve Bank of India (RBI) kept the main policy instrument, the repo rate, unchanged at 6.5%.
• Interest rates on home, vehicle, personal, and other loans will remain unchanged for now.
• The central bank also retained the stance of the monetary policy as “withdrawal of accommodation”. While stating that domestic economic activity is strengthening, the policy panel has projected a lower GDP growth of 7% for FY 2025, down from the 7.3% projected by the National Statistical Office for the current year FY24.
• Significantly, the government has projected a higher nominal GDP growth (which includes the pace of inflation) of 10.5% in the Interim Budget presented on February 1, as against 8.9% in 2023-24.
• The central bank has retained the headline inflation forecast at 5.4% for the current fiscal as uncertainty persists on the food prices front.

What will happen to lending and deposit rates?

• Interest rates on loans and deposits are largely likely to stay the same. Certain segments of the retail loans are expected to cost more, as the RBI recently hiked the risk weights on retail loans, and many banks raised the Marginal Cost of the Fund-based Lending Rate (MCLR).
• External benchmark lending rates that are linked to the repo rate will not rise. This will provide some relief to borrowers as their equated monthly instalments (EMIs) will not increase.
• However, since banks are under pressure on the deposit growth front due to the competition from mutual funds (MFs) for funds, deposit rates are likely to rise in certain buckets.

Why has the RBI kept the repo rate unchanged?

• A major reason for the continued pause in the repo rate is that retail inflation continues to remain above the 4% target of the RBI.
• Retail inflation (CPI) rose to 5.55% in November from 4.87% in October and 5.02% in September but increased to 5.69% in December. Even in FY25, the RBI has forecast 4.5% retail inflation.
• Going forward, the inflation trajectory would be shaped by the evolving food inflation outlook. Rabi sowing has surpassed last year’s level. The usual seasonal correction in vegetable prices is continuing, though unevenly. Yet considerable uncertainty prevails on the food price outlook from the possibility of adverse weather events.
• This is the sixth monetary policy on the trot when the MPC has kept the repo rate unchanged at 6.5%. The last time the repo rate was raised (from 6.25% to 6.5%) was in February 2023. Between May 2022 and February 2023, the policy rate was raised by 250 bps. One basis point is one-hundredth of a percentage point.

Why has there been no change in the policy stance?

• The RBI has retained the policy stance as ‘withdrawal of accommodation’ despite the deficit in the liquidity in recent weeks.
• Our stance of withdrawal of accommodation should be seen in the context of incomplete transmission and inflation ruling above the target of 4% and our efforts to bring it back to the target on a durable basis.
• However, analysts said there is a strong case for the RBI to change its stance from ‘withdrawal of accommodation’ to ‘neutral’.
• The financial condition has tightened over the last few quarters, and real rates are reasonably high and likely to increase further as inflation is trending down. The liquidity condition has also tightened, they argue.

GS PAPER – III

RBI targets inflation at 4%

Why in news?

• Recently Reserve Bank Governor Shaktikanta Das emphasised on achieving the four-per cent inflation target as stable and low inflation at four per cent for providing the necessary bedrock for sustainable growth.

Headline inflation

• Headline inflation moderated to an average of 5.5 per cent during April-December 2023 from 6.7 per cent during 2022-23.
• Food price inflation, however, continued to impart considerable volatility to the inflation trajectory,” he said while unveiling the monetary policy review.
• In contrast, the deflation in consumer price index (CPI) fuel deepened and core inflation (CPI inflation excluding food and fuel) moderated to a four-year low of 3.8 per cent in December.
• The decline in core inflation continued to be broad-based with inflation remaining steady or softening across its constituent groups and sub-groups.
• The medium-term target for CPI inflation is 4 per cent within a band of plus or minus 2 per cent.
• Retail inflation surged to a four-month high of 5.69 per cent in December driven by higher prices of food items such as pulses, spices, fruits and vegetables.
• Headline inflation has remained high and has seen considerable volatility, moving in a range of 4.3 per cent to 7.4 per cent during the current financial year.
• Recurring food price shocks could interrupt the ongoing disinflation process, with risks that it could lead to de-anchoring of inflation expectations and generalisation of price pressures.
• Adding to these are the renewed flash points on the geo-political front, including supply chain disruptions. Importantly, the CPI inflation target of 4.0 per cent is yet to be reached.

Positive sides

• The progress in rabi sowing has been satisfactory and augurs well for the season. Prices of key vegetables, especially onions and tomatoes, are registering seasonal price correction.
• Taking into account these factors, the RBI has projected retail inflation at 5.4 per cent for the current year (2023-24) with Q4 at 5.0 per cent.  The policy panel has projected retail inflation for 2024- 25 at 4.5 per cent with Q1 at 5.0 per cent, Q2 at 4.0 per cent, Q3 at 4.6 per cent and Q4 at 4.7 per cent.
• Taking into account this growth-inflation dynamics and the fact that transmission of the cumulative 250 bps policy rate hike is still underway, the MPC decided to keep the policy repo rate unchanged at 6.50 per cent.
• The MPC will carefully monitor any signs of generalisation of food price pressures which can fritter away the gains in easing of core inflation.

GS PAPER – II

Make cinema halls accessible to disables

Why in news?

• Recently The Delhi High Court directed the producers of the upcoming movie ‘Pathaan’ (Yash Raj Films), to make the movie accessible for hearing and visually-impaired persons.
• The producers of the film were directed to include audio description, close captioning and subtitles for the movie’s over-the-top (OTT) release.
• Last month, the Ministry of Information & Broadcasting came out with Accessibility Standards in the Public Exhibition of Feature Films in Cinema Theatres for Persons with Hearing and Visual Impairment, and invited stakeholder comments on the draft till February 15.

What this guideline issued?

• As per the Census 2011, 2.21% of the total population in India has been marked as ‘disabled’, of which 19 percent are with disability in seeing, and another 19 percent are with disability in hearing.
• These guidelines are applicable for those feature films that are certified by the Central Board of Film Certification (CBFC) for public exhibition in cinema halls/movie theatres for commercial purposes.
• The focus of these guidelines is not only on the content, but also on the information and assistive devices needed by persons with disabilities to enjoy films in cinema theatres.
• The proposal quotes Sections 29 and 42 of the Rights of Persons with Disabilities Act, 2016, which mandate the government to take measures to promote universal access in the information and communication sector, including access to films for persons with hearing and visual disabilities.

Features of guideline:

• The producer would be required to deliver two sets of the films for certification to CBFC: the original one for the public view, and the second one with accessibility features — audio description, open/closed captioning and Indian Sign Language Interpretation.
• Cinemas have to ensure that feature films being delivered for theatrical releases mandatorily have both the versions being certified by CBFC.
• There are two options for the cinema halls to implement this. Either to have dedicated days and timings of screenings with accessible services, or using certain equipment in theatres during the normal show, this facilitates the impaired segment.
• Theatres have to offer accessibility features in a regular show by making available at least two equipment per 200 seats. This equipment could be in the form of:
• Smart glasses for displaying captions;
• Installing closed caption stands near their seats;
• A separate small screen below the big screen to display captions/subtitles;
• Headphones/ earphones for audio description attached to seats for visually impaired, and
• Using mobile apps during the normal show and other technologies
• Movies that are dubbed in more than one language will need to provide at least one accessibility feature for the hearing impaired and visually impaired within six months from the implementation of the guidelines.
• Movie submissions for the National Film Awards, the Indian Panorama Section of the International Film Festival of India, Goa, and the Mumbai International Film Festival must include closed captioning and audio descriptions from January 1, 2025.

Implementation of guidelines

• The implementation schedule will be monitored by the CBFC, the appropriate government under the Rights of Persons with Disabilities Act, 2016, film producers, and movie theatre licensees, as applicable.
• The MIB will also set up a committee, half of whose members will be people with hearing/visual impairment and representatives from the film industry, to monitor the implementation of the accessibility standards.
• Annually, the CBFC must collect and publish information about the different accessible services provided in the certified feature films, and the quality of standards for different accessibility measures.
• The appropriate government must also annually collect and publish information about the steps taken by the film industry and theatres to create awareness about accessibility of movies, consultation done by the film industry and theatre licensees with organisations of people with disabilities.

Penalties if guidelines are not followed:

• If accessibility features are unavailable in a theatre, a person may file a complaint with the theatre licensee and can escalate it to the licensing authority after 45 days.
• These guidelines will only apply to feature films certified by the CBFC for public exhibition in movie theatres for commercial purposes.
• The Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021, mandate streaming platforms like Netflix to provide “appropriate access services” which include closed captioning, subtitles and audio descriptions for people with disabilities.
• The proposed Broadcasting Bill, which will regulate all content on TV and streaming platforms, empowers the MIB to issue accessibility guidelines.
• If these guidelines are not met, the MIB could impose a financial penalty, amongst other measures, of up to Rs.50 lakh for the first contravention and Rs.2.5 crore for a subsequent contravention within three years.

GS PAPER – II

Free movement regime

Why in news?

• The Ministry of Home Affairs (MHA) has recommended the immediate suspension of the Free Movement Regime (FMR) between India and Myanmar.
• The free movement regime allows people from both countries to travel visa-free across borders for a few kilometres.

Why this decision has been taken?

• Ministry of Home Affairs (MHA) has decided that the Free Movement Regime (FMR) between India and Myanmar be scrapped to ensure the internal security of the country and to maintain the demographic structure of India’s North Eastern States bordering Myanmar.
• Since the Ministry of External Affairs is currently in the process of scrapping it, MHA has recommended the immediate suspension of the FMR.”
• Home Minister Amit Shah emphasized the importance of securing India’s borders and maintaining the demographic structure of the Northeastern states in a post.
• The decision comes against the backdrop of escalating tensions in Myanmar following a military coup in 2021.
• The influx of hundreds of civilians and troops into India’s Northeastern states, where communities across the border share ethnic and familial ties, has raised concerns about the potential impact on India’s demographic balance and internal stability.
• Last week, Myanmar’s military rulers extended a state of emergency in response to a pro-democracy rebellion, highlighting the ongoing challenges faced by the junta in governing the country.

What is free movement regime?

• The border between India and Myanmar runs along four states – Mizoram, Manipur, Nagaland and Arunachal Pradesh.
• The FMR is a mutually agreed arrangement between the two countries that allows tribes living along the border to travel up to 16 km inside the other country without a visa.
• Under the FMR, every member of the hill tribes, who is either a citizen of India or a citizen of Myanmar and who is a resident of any area within 16 km on either side of the border, can cross over on production of a border pass with one-year validity and can stay up to two weeks.
• The FMR was implemented in 2018 as part of the Modi government’s Act East policy at a time when diplomatic relations between India and Myanmar were on the upswing.
• In fact, the FMR was to be put in place in 2017 itself but was deferred due to the Rohingya refugee crisis that erupted that August.