Balance required between economy losing money due to freebies and welfare measures: SC

The top court also junked a plea for de-registration of political parties for making promises to give freebies

The Supreme Court Thursday said a balance has to be struck between the economy losing money due to freebies and welfare measures undertaken by the governments as both are two different things.

The top court also ruled out the possibility of considering a plea for de-registration of political parties for making promises to give freebies.

"Economy losing money and the welfare of people, both have to be balanced," the apex court said.

Seeking suggestions from the stakeholders on this aspect before August 17, a bench of Chief Justice N V Ramana and Justice Krishna Murari said the idea to de-recognise political parties for making promises to give irrational freebies during the polls was “undemocratic”.

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“I do not want to enter the area of de-registering a political party etc. as it is an undemocratic idea...We are a democracy after all,” the CJI, speaking for the bench, said.

The court was hearing a batch of PILs by BJP leader and advocate Ashwini Kumar Upadhyay and others for regulating the freebies announced during the elections.

The CJI said the issue of promise to grant irrational freebies during the poll process is a “serious issue” but he will not encroach into the legislative domain even if there was a statutory vacuum on the issue.

During the hearing, the Centre asked the court to lay down the guidelines to regulate the freebies announced by the political parties to win over the voters, till the legislative measures are taken in.

"We are proposing a committee, comprising Secretary, central government, Secretary of each state government, representative of each political party, representative of Niti Aayog, RBI, Finance Commission, National Taxpayers Association and others. Till the legislature steps in, the court may lay down something," Solicitor General Tushar Mehta said.