Page 42 - Banking Finance May 2020
P. 42

ARTICLE

         1971 to 21 March 1977, which was originally proclaimed  (4)  Every Proclamation issued under this article shall be laid
         during the Indo-Pakistan war.                           before each House of Parliament and shall, except
                                                                 where it is a Proclamation revoking a previous
         It was later extended along with the third proclamation  Proclamation, cease to operate at the expiration of one
         between 25 June 1975 to 21 March 1977 under controversial
                                                                 month unless before the expiration of that period it has
         circumstances of political instability, when emergency was
                                                                 been approved by resolutions of both Houses of
         declared on the basis of "internal disturbance", but this term  Parliament: Provided that if any such Proclamation (not
         was too vague and had a wider connotation and hence 44th
                                                                 being a Proclamation revoking a previous Proclamation)
         amendment act 1978 substituted the words "internal
                                                                 is issued at a time when the House of the People has
         disturbance" for "armed rebellion" ". The phrase Emergency
                                                                 been dissolved, or the dissolution of the House of the
         period used loosely, when referring to the political history  People takes place during the period of one month
         of India, often refers to the third and the most controversial
                                                                 referred to in this clause, and if a resolution approving
         of the three occasions.
                                                                 the Proclamation has been passed by the Council of
                                                                 States, but no resolution with respect to such
         The President can declare three types of
                                                                 Proclamation has been passed by the House of the
         emergencies -                                           People before the expiration of that period, the
         1. National Emergency (Article 352)                     Proclamation shall cease to operate at the expiration

         2. State Emergency (Article 356)                        of thirty days from the date on which the House of the
         3. Financial Emergency (Article 360)                    People first sits after its reconstitution, unless before
                                                                 the expiration of the said period of thirty days a
         What is Article 352?                                    resolution approving the Proclamation has been also
                                                                 passed by the House of the People.
         (1) If the President is satisfied that a grave emergency
             exists whereby the security of India (exceptions  (5)  A Proclamation so approved shall, unless revoked, cease
             applicable) or of any part of the territory thereof is  to operate on the expiration of a period of six month
             threatened, whether by war or external aggression or  from the date of the passing of the second of the
             armed rebellion, he may, by Proclamation, make a    resolutions approving the Proclamation under clause
             declaration to that effect in respect of the whole of India  Provided that if and so often as a resolution approving
             or of such part of the territory thereof as may be  the continuance in force of such a Proclamation is passed
             specified in the Proclamation which can be explained  by both Houses of Parliament the Proclamation shall,
             as - A Proclamation of Emergency declaring that the  unless revoked, continue in force for a further period of
             security of India or any part of the territory thereof is  six months from the date on which it would otherwise
             threatened by war or by external aggression or by   have ceased to operate under this clause: Provided
             armed rebellion may be made before the actual       further that if the dissolution of the House of the People
             occurrence of war or of any such aggression or rebellion,  takes place during any such period of six months and a
             if the President is satisfied that there is imminent  resolution approving the continuance in force of such
             danger thereof.
         (2) A Proclamation issued under clause (1) may be varied
             or revoked by a subsequent Proclamation.
         (3) The President shall not issue a Proclamation under
             clause (1) or a Proclamation varying such Proclamation
             unless the decision of the Union Cabinet (that is to say,
             the Council consisting of the Prime Minister and other
             Ministers of Cabinet rank appointed under article 75)
             that such a Proclamation may be issued has been
             communicated to him in writing.


            42 | 2020 | MAY                                                                | BANKING FINANCE
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