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Daily News Simplified - DNS 12 12 19 Notes SL. NO. TOPICS THE HINDU PAGE NO. 1 Nod to ring fence successful IBC suitors 15 2 Nod to ring fence successful IBC suitors (Partial Credit Guarantee) 15 3 LS passes Bill to set up unified authority for financial services 12 4 50 th PSLV launch carries radar satellite 01 5 The “Delhi Dogma” fallacy of the right 10 6 Heavy metals contaminating India’s rovers 09 7 After a heated debate, RS clears citizenship Bill 01

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Page 1: Daily News Simplified - DNS€¦ · Highlights Context: The Lok Sabha has recently passed the International Financial Services Centres (IFSC) Authority bill, 2019 which provides for

Daily News Simplified - DNS 12 12 19

Notes

SL. NO. TOPICS

THE HINDU PAGE NO.

1 Nod to ring fence successful IBC suitors 15

2 Nod to ring fence successful IBC suitors (Partial Credit Guarantee) 15

3 LS passes Bill to set up unified authority for financial services 12

4 50th PSLV launch carries radar satellite 01

5 The “Delhi Dogma” fallacy of the right 10

6 Heavy metals contaminating India’s rovers 09

7 After a heated debate, RS clears citizenship Bill 01

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Dated: 12. Dec. 2019 DNS Notes - Revision Title Nod to ring fence successful IBC suitors (Page 15)

Syllabus Mains: GS Paper 3: Economy

Theme Insolvency and Bankruptcy Code

Highlights Context: The Union Cabinet has recently approved certain important amendments to the Insolvency and Bankruptcy Code. In this regard, let us understand some of the important amendments being made to the IBC 2019. Basic Details about Insolvency and Bankruptcy Code (IBC) Rationale: Earlier, there were multiple overlapping laws and adjudicating forums dealing with financial failure and insolvency of companies and individuals in India. This led to undue delays in the recovery of the NPAs by the Banks. Hence, the IBC Code was introduced to consolidate all the existing laws related to Insolvency and Bankruptcy in India and to simplify the process of insolvency resolution. Institutional Mechanism:

• Insolvency Professionals: A specialized cadre of licensed professionals would administer the resolution process, manage the assets of the debtor, and provide information for creditors to assist them in decision making.

• Insolvency Professional Agencies: These agencies conduct examinations to certify the insolvency professionals and enforce a code of conduct for their performance.

• Information Utilities: The creditors would report financial information of the debt owed to them by the debtor.

• Adjudicating authorities: The proceedings of the resolution process would be adjudicated by the National Companies Law Tribunal (NCLT), for companies; and the Debt Recovery Tribunal (DRT), for individuals. The duties of the authorities will include approval to initiate the resolution process, appoint the insolvency professional, and approve the final decision of creditors.

• Committee of Creditors (CoC) :During the insolvency resolution process, a committee consisting of lenders would be constituted for taking decisions (by voting) on the resolution process. The CoC may either decide to restructure the debtor’s debt by preparing a resolution plan or liquidate the debtor’s assets. However, such a decision has to be approved by at least 66% of the votes in the committee of creditors. (Earlier, the voting threshold for the approval was 75%, but it was reduced to 66% through the IBC amendment act, 2019)

• Insolvency and Bankruptcy Board: The Board would regulate insolvency professionals, insolvency professional agencies and information utilities set up under the Code. The Board would consist of representatives of Reserve Bank of India, and the Ministries of Finance, Corporate Affairs and Law.

• Procedure to resolve Insolvency and Bankruptcy: The Code proposes two independent stages: Insolvency Resolution Process, during which lenders assess whether the debtor's business is viable to continue and the options for its rescue and revival; and Liquidation (Sale of Assets), if the insolvency resolution process fails.

o Insolvency Resolution Process (IRP): When a default occurs, the resolution process may be initiated either by the debtor or creditor before the adjudicating authority. The NCLT appoints an insolvency professional to administer the IRP. The Resolution Professional identifies the financial creditors and constitutes a Committee of Creditors (CoC). The CoC would

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prepare the resolution plan for the restructuring the loans of the defaulted borrower which may be in the form of extending the maturity period of the loan, reducing the rate of interest on loans etc. However, such a resolution plan has to be approved by at least 66% of the votes in the committee of creditors.

o Liquidation (Sale of Assets): If the Committee of Creditors fail to come up with a resolution plan within the time limit of 330 days, then the proceeds from the sale of the debtor’s assets are distributed in the following order of precedence: i) insolvency resolution costs, including the remuneration to the insolvency professional, ii) secured creditors, whose loans are backed by collateral, dues to workers, other employees, iii) unsecured creditors, iv) dues to government, v) priority shareholders and vi) equity shareholders.

New Amendments proposed in the IBC

• Protection offered to Successful bidders: Previously, some of the successful bidders of the stressed firms faced problems in taking over the stressed firm due to offences committed by the previous management/promoters of the stressed firms. For instance, JSW Steel had successfully bid for taking over Bhushan Power and Steel. However, the Enforcement Directorate filed a case against Bhushan Power and Steel's former promoter Mr. Sanjay Singhal in connection with the money laundering case. Subsequently, the ED attached assets worth Rs 4,000 crores of the Bhushan Power and steel (BPSL). Such an attachment of the assets went against the interests of the successful bidder JSW Steel.

In this regard, the new amendment to the IBC seeks to protect the successful bidders from the criminal proceedings against the offences committed by the previous promoters of the stressed firms. Going forward, the assets of the stressed firms bought by a successful bidder under the IBC would not be attached and hence would offer higher protection to the successful bidders. Insolvency Proceedings against Real Estate Developers: Initially, when the IBC was passed by the Indian Parliament, it did not include Home-buyers as the creditors. This made it difficult for the home buyers to initiate cases against the real estate developers for the delay in the completion of the Housing projects. Subsequently, this flaw was addressed by including the home-buyers as financial creditors under the amendment made to the IBC. As per the amended provision, even a single home buyer having a claim of more than Rs 1 lakh can drag a real estate developer to the National Company law tribunal. However, the real estate developers have raised concerns that the some of the home-buyers are misusing such a provision and a large number of cases have been filed against them. This has in turn led to undue delay in the completion of the pending housing projects. The new amendment approved by the cabinet is aimed to address this misuse by the home buyers. As per the amendment proposed, a single home-buyer would not be able to invoke insolvency against the real estate developer.

Personal Notes

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Dated: 12. Dec. 2019 DNS Notes - Revision Title Nod to ring fence successful IBC suitors (Page 15)

Syllabus General Studies III- Economy Theme Partial Credit Guarantee Scheme

Highlights Context: The Union Cabinet has recently approved the Partial Credit Guarantee Scheme for the benefit of the banks and NBFCs. Such a move by the Government is expected to inject more liquidity into the economy so as to counter the present economic slowdown. Background: Over a period of time, the NBFC sector in India has emerged as major source of loans. However, the sector been facing liquidity crunch due to Asset-Liability Mismatch. The poor financial condition of the NBFCs has in turn adversely affected the credit creation in the Indian Economy. In this regard, the Union Budget 2019 had announced Partial Credit Guarantee Scheme. Now, the Union cabinet has decided to adopt certain modifications in the existing scheme. How the Partial Credit Guarantee Scheme works?

• Under the Partial Credit Guarantee Scheme, the Public Sector Banks would purchase highly rated assets of the NBFCs and HFCs in order to address the temporary liquidity crunch. Under this Scheme, the Government has agreed to provide 10% first loss guarantee to assets, amounting to total of ₹ 1 lakh crore.

• Here it is important to note that the limit of ₹ 1 lakh crore refers to the total amount of assets against which guarantee will be extended and not the total amount of guarantee. The maximum exposure that the Government will take under the Scheme is ₹ 10,000 crores (10% of ₹ 1 lakh crore).

Modifications in the Scheme

• Based upon suggestions received from various stakeholders and discussions held with them, the Union Cabinet has now decided to adopt the following modifications:

Inclusion of NBFCs in the SMA-0 Category • Earlier, the Scheme did not cover the NBFCs/ HFCs that had slipped into Special

Mention account (SMA) category. Now, the Union Cabinet has decided to even include those NBFCs/HFCs that have slipped into SMA-0 Category.

• It is to be noted that Special Mention Category has been introduced by the RBI in order to identify the incipient stress in the assets of the banks and NBFCs. These are the accounts that have not-yet turned NPAs (default on the loan for more than 90 days), but rather these accounts can potentially become NPAs in future if no suitable action is action. The SMA has the various sub-categories as shown below:

• SMA-0: Principal or interest payment not overdue for more than 30 days but account showing signs of incipient stress

• SMA-1: Principal or interest payment overdue between 31-60 days • SMA-2: Principal or interest payment overdue between 61-90 days

Note: If the Principal or interest payment is overdue for more than 90 days, then the loan is categorised as NPA. N Now, the partial Credit Guarantee Scheme would cover only those assets which are categorised as SMA-0 and it does not cover the assets which are categorised as SMA-1 and SMA-2. Ratings of the Underlying Assets: Earlier, the Public Sector Banks were allowed to buy only those assets which were rated "AA" and above. However, as per the new modification, the

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Public Sector Banks are now allowed to buy those assets which are rated "BBB+" and above. Such an increase in the ambit of assets would enable the Public Sector Banks to buy more assets from the NBFCs and HFCs. Benefits of the Scheme

• Provide Liquidity Support to the NBFCs and HFCs • Improve the Credit Creation in the Economy. • Protect the financial system from any adverse contagion effect that may arise due to

failure of NBFCs and HFCs.

Personal Notes

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Dated: 12. Dec. 2019 DNS Notes - Revision Title LS passes Bill to set up unified authority for financial services (Page 12)

Syllabus GS II-Dispute resolution mechanisms

Theme International Financial Services Centres

Highlights Context: The Lok Sabha has recently passed the International Financial Services Centres (IFSC) Authority bill, 2019 which provides for the establishment of an authority to develop and regulate the financial services market. In this regard, let us understand the need for the bill and its provisions Need for the Bill

• The Section 18 of the Special Economic Zones Act, 2005 provides that the Central Government may approve the setting up of an International Financial Services Centre in a Special Economic Zone and may prescribe the requirements for setting up and operation of such Centre. The first International Financial Services Centre in India has been set up at GIFT City in Gandhinagar, Gujarat.

• An International Financial Services Centre enables bringing back the financial services and transactions that are currently carried out in offshore financial centres by Indian corporate entities and overseas branches of financial institutions to India by offering world class business and regulatory environment. It would enable Indian corporates easier access to global financial markets.

• Currently, the banking, capital markets and insurance sectors in International Financial Services Centres are regulated by multiple regulators such as the Reserve Bank of India, the Securities and Exchange Board of India and the Insurance Regulatory and Development Authority of India. These regulators have issued various regulations and guidelines under respective Acts for regulation of banking, capital markets and insurance business in International Financial Services Centres.

• The development of financial products and services in International Financial Services Centres require focused and dedicated regulatory interventions and require a high level inter-regulatory coordination. Thus, there is a need to establish a unified financial regulator to provide world class regulatory environment to such financial market participants and promote ease of doing business.

Provisions of the Bill:

• Coverage: The Bill will apply to all International Financial Services Centres (IFSCs) set up under the Special Economic Zones Act, 2005.

• International Financial Services Centres Authority: The Bill sets up the International Financial Services Centres Authority. It will consist of nine members, appointed by the central government. Members of the Authority will include: (i) the Chairperson, (ii) one member each to be nominated from the Reserve Bank of India (RBI), the Securities and Exchange Board of India (SEBI), the Insurance Regulatory and Development Authority of India (IRDAI), and the Pension Fund Regulatory and Development Authority (PFRDA), (iii) two members from among officials of the Ministry of Finance, and (iv) two members to be appointed on the recommendation of a Search Committee. Members will have a term of three years.

• Functions of the Authority: The Authority will regulate financial products, financial services, and financial institutions which have been previously approved by any appropriate regulator (such as RBI or SEBI), in an IFSC. Other functions of the Authority include: (i) regulating any other financial products, financial services, or financial institutions in an IFSC, which may be notified by the central government, and (ii) recommending any other financial products, financial services, or financial

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institutions to the central government, which may be permitted in an IFSC. • International Financial Services Centres Authority Fund: The Bill sets up the

International Financial Services Centres Authority Fund. The following items will be credited to the Fund: (i) all grants, fees and charges received by the Authority, and (ii) all sums received by the Authority from various sources. The Fund will be used for: (i) salaries, allowances and other remuneration of members and employees of the Authority, and (ii) expenses incurred by the Authority. Further, the central government may provide grants to the Authority for the regulation of IFSCs.

Personal Notes

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Dated: 12. Dec. 2019 DNS Notes - Revision Title 50th PSLV launch carries radar satellite (Page 1)

Syllabus GS III- Science and Technology

Theme PSLV and RISAT

Highlights Context

• ISRO has launched India's defence satellite RISAT-2BR1 and nine commercial satellites through the PSLV-C48 from the Satish Dhawan Space Centre at Sriharikota. The launch assumes significance as PSLV-C48, the 50th mission of PSLV, will be carrying the spy satellite of India to space. • It is expected to enhance India's weather and agricultural capabilities, in addition to providing the much needed surveillance capabilities to find out terrorist movements and prevent incidents like the 2008 Mumbai attacks. • RISAT-2BR1, a radar imaging earth observation satellite weighing about 628 kg, will be placed into a low-earth orbit at 576 km, at an inclination of 37 degree. The PSLV-C48 will also carry nine customer satellites of Israel, Italy, Japan and the USA. The international customer satellites are being launched under a commercial arrangement with NewSpace India Limited (NSIL). • RISAT-2BR1 comes with the advantage of the Synthetic Aperture Radar (SAR) that will help increase its surveillance capabilities. • The primary payload is the RISAT-2BR1, which will give India all-weather surveillance capabilities. The RISAT-2BR1 uses SAR that can penetrate clouds and observe images on the ground with a ground sampling distance of barely 35 cms. • It is also carrying 9 other smaller commercial payloads, including an Israeli student satellite. • SAR is data rich and can complement data from other sources. SAR satellite is an emerging source of data that can complement data from other bands and other sensors with applications in military and civilian areas. • Given that SAR satellites are much more power hungry and have almost just 10 per cent duty cycle on orbit, it would be also interesting for India to develop a fleet of smaller SAR systems that will complement the larger ones like RISAT. • Ultimately, the power lies in the ability to make data available to the end users and we should hope that India follows suit of countries like Japan who have made SAR data from modern satellites such as ALOS freely to end users. • Interestingly PSLV-C48 is the 2nd flight of PSLV in 'QL' configuration (with four strap-on motors). This will be the 75th launch vehicle mission from SDSC SHAR, Sriharikota and 37th launch from the first launch pad.

What is SAR?

• Environmental monitoring, earth-resource mapping, and military systems require broad-area imaging at high resolutions. • Often, this imagery must be acquired at night or during inclement weather. Synthetic Aperture Radar (SAR) provides such a capability. • Synthetic Aperture Radar (SAR) systems take advantage of the long-range propagation characteristics of radar signals and the complex information processing capability of modern digital electronics to provide high resolution imagery. • Synthetic Aperture Radar (SAR) complements photographic and other optical imaging capabilities because it is not limited by the time of day or atmospheric

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conditions and because of the unique responses of terrain and cultural targets to radar frequencies. • Synthetic Aperture Radar (SAR) technology has provided terrain structural information to geologists for mineral exploration, oil spill boundaries on water to environmentalists, sea state and ice hazard maps to navigators, and reconnaissance and targeting information to military operations. • There are many other applications for this technology. Some of these, particularly civilian, have not yet been adequately explored because lower cost electronics are just beginning to make Synthetic Aperture Radar (SAR) technology economical for smaller scale uses.

Personal Notes

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Dated: 12. Dec. 2019 DNS Notes - Revision Title The “Delhi Dogma” fallacy of the right (Page number 10)

Syllabus General studies II: Foreign Policy

Theme Mr S Jaishankars analysis of India’s foreign Policy

Highlight The ‘Delhi dogma’ fallacy of the right Context

• In November this year the External Affairs Minister drew upon the broad contours of Indian Foreign Policy today on the occasion of the 4th Ramnath Goenka Lecture.

• Broadly the EAM outlined India’s Foreign Policy in two parts including 1. Evolution of Foreign Policy in 6 phases 2. 5 baskets that guide India’s foreign policy today

• Besides taking note of the rapid changes in the geopolitics and the need for constant change in outlook in India’s foreign policy the EAM admits that the real obstacle to the rise of India on the global stage is not so much the barriers of the world but the ‘dogmas of delhi’.

Evolution of foreign policy: 6 broad phases 1. 1946-62 an era of optimistic non-alignment Background: bipolar world, cold war era India’s goals: national integrity and economic development. India’s approach

• non-alignment resisting the constraining of its choices and dilution of its sovereignty • As the leader of the decolonized nations, India’s quest for a more equitable world

order. 2. 1962-71 limited cooperation Background

• The 1962 war with China • domestic challenges were acute, ranging from political turbulence to economic

distress. India’s approach

• India made pragmatic choices on security and political challenges despite a paucity of resources.

• looked beyond non-alignment in the interest of national security, concluding a defence agreement with the U.S. in 1964.

• External pressures on Kashmir mounted in this period of vulnerability • it now saw the emergence of limited cooperation between the US and USSR. • South Asia happened to be a particular area of convergence and Indian diplomacy had

to face the superpowers together, as it did in Tashkent in 1965. 3. 1971 to 1991 greater regional assertion.

• It started with the creation of Bangladesh, but ended with the IPKF misadventure in Sri Lanka.

Background • Sino-US rapprochement of 1971 upending the strategic landscape • It was a particularly complex phase as the US-China-Pakistan axis which came into

being at this time seriously threatened India’s prospects. India’s approach

• The Indo-Soviet Treaty and the adoption of more pro-Soviet positions on international issues were India’s response to this challenge.

• It was a particularly complex phase as the US-China-Pakistan axis which came into being at this time seriously threatened India’s prospects.

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Outcomes • The collapse of USSR, its close ally, and the not unconnected economic crisis in 1991

compelled us to look again at the first principles of both domestic and foreign policy. 4. 1991-2000: Strategic autonomy Background

• The dissolution of the USSR and the emergence of a "unipolar” world India’s approach

• Shifted focus to safeguarding strategic autonomy. India opened up economically more to the world.

• The Look East policy summarized the changed Indian approach to world affairs. • India reached out to engage the US more intensively. • This quest for strategic autonomy was particularly focused on securing its nuclear

weapon option, but also visible in trade negotiations. • After 1998, it was now a declared nuclear weapon power, had fended off Pakistan’s

military adventurism again in Kargil in 1999, generated enough economic growth to be of global interest.

5th phase: India as a balancing power • India-US nuclear deal • At the same time, India could also make common cause with China on climate change

and trade. • consolidate further ties with Russia • helping to fashion BRICS into a major forum

6th phase 2014 onwards Change in global geopolitical landscape

• Weakening multi-lateralism, American nationalism, the rise of China, the saga of Brexit and the rebalancing of the global economy

• climate change is a factor, contributing to geopolitics • The Middle East is in ferment • Centrality of ASEAN to Asia is not what it is used to be. • Demographic and economic trends in Africa are giving that continent a greater

salience. • Technology, connectivity and trade are at the heart of new contestations

Change in India’s engagement

• Relevance of the US or China is far more than anytime earlier. • Steady relationship with Russia. • Japan has become an important factor in our calculations • France now a critical strategic partner • ASEAN has grown closer • Australia’s relevance is more apparent. • Africa is the focus of development assistance and opening of new Embassies. • Unprecedented investment in the neighborhood

India’s approach today • multi-polarity was now seriously upon us • we were now entering a world of convergences and issue-based arrangements. • Break with its past like we did in the 1971 Bangladesh war, the 1992 economic and

political repositioning, the 1998 nuclear tests or the 2005 India-US nuclear deal. • 1962 defeat against China. • Not opening up the economy till 1991 • 2 decades of nuclear indecision ended dramatically with the tests of 1998. • Lack of response to 26/11

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Backdrop • U.S. resource limitation and risk aversion in the aftermath of the Iraq war. • Declaring an Afghan withdrawal • Growing tepidity in the Asia-Pacific • Europe too turned increasingly inwards. • Japan’s efforts to acquire a greater say continued to unfold but only gradually. • we have emerged among the major economies of the world is one factor. • The relevance of our talent to global technology is another. • Our ability to shoulder greater responsibilities at a time when the world is more

reticent is also evident. • willingness to shape key global negotiations, such as in Paris on climate change. The

investment of greater resources in development partnerships with countries of the South was also noteworthy.

• India’s diplomatic agenda has broadened considerably. • a multi-polar world should have a multi-polar Asia at its core

A critique of India’s foreign policy Positives The 1971 Bangladesh war or the 1998 nuclear tests stand out in the positive category. Negatives Limitation

• During the 1st phase more emphasis was given to diplomacy which led to harsher realities of hard security

• India was under-prepared for security situations that was seen in discomfort with hard power reflected during the 1962 conflict.

• Failure of Shimla agreement to secure borders with Pakistan and taking over of PoK which is continuing till date.

• BoP crisis and economic stagnation in 1991. • Should India, for example, have brought the boundary issue to head in 1950 itself? • Could the border conflict of 1962 have been avoided by a compromise in 1960 when

Zhou Enlai came to India? Lessons for the future in 5 baskets 1st basket: Security

• Need for greater realism • We are now engaging more with the military that can be seen in the creation of the

post of Chief of Defence Staff. • Besides unlike 26/11, we have now reacted to Uri and Balakot kind of strikes. • We have now formed smaller battlefield battalions like IBGs with limited objectives • Maritime Domain Awareness • Defence preparedness

2nd basket: Economics • A common feature of all the success stories whether it is China or the Asian Tigers

likes Singapore, Taiwan is that they leveraged the global environment. • For this India needs to leverage its FTAs by structural reforms in the domestic supply

chain. • We should move away from old dogmas of self reliance and import substitution. But

at the same time, embracing the new dogma of globalization without a cost-benefit analysis

3rd basket: Multiple strategic engagement in the multi polar world 4th basket Risk-taking is an inherent aspect of diplomacy 5th basket: Realistic assessment of the geopolitics

• Today, an appreciation of world politics must include a proper understanding of Sino-

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US contradictions, of growing multi-polarity, of weaker multilateralism, of larger economic and political rebalancing, of greater space for regional powers, and of the world of convergences.

Conclusion • Today we need to move away from independent mindset that drove non-alignment

and then protected our strategic equities can today be better expressed in multiple partnerships.

• Summary of article In this article the author describes the Jaishankar’s assessment of India’s foreign policy as ideologically biased.

• Besides the advantage of having the benefit of hindsight is promoted as pragmatism.

• For instance, that taking the Kashmir issue to the UN was a mistake assumes that India could have forcibly liberated the princely state of Jammu and Kashmir (J&K) from the Pakistani invasion during 1947-48. At a point of time when the Indian (and Pakistani) Army was still commanded by British officers, it might not have been possible for India to forcibly get back the rest of J&K. The next best option at the time was indeed to go to the United Nations, which it did.

• Non-alignment was the need of the time • The solution is given in broad terms and not pin pointed to questions like How to deal

with China, easily? • Does the government have a China policy “today”? • Is avoiding the tactical pressure from China (which can have electoral implications) via

informal summits and slow peddling the Quad helpful in addressing the long-term China challenge?

• What are the outcomes of ‘Howdy Modi’, ‘Chennai Connect’ and ‘JAI’ (Japan-America-India)?

• Kashmir and Pakistan • The biggest disappointment is that the concerns of critics’ about the

internationalisation of Kashmir and hyphenation with Pakistan “is thinking from the past.

Personal Notes

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Dated: 12. Dec. 2019 DNS Notes - Revision Title Heavy metals contaminating India’s rovers (page 9) Syllabus GS III: Pollution Theme Heavy Metals Contaminating India’s rivers

Highlights Heavy Metals Contaminating India’s rivers Although there is no specific definition of heavy metal, literature has defined it as a naturally occurring element having a high atomic weight and high density which is five times greater than that of water. According to study conducted by Central Water Commission, 65% of samples of water taken from various water quality stations in the country reported heavy metal pollution.

- Iron emerged as the most common contaminant - None of the sites registered arsenic levels above the safe limit. - Lead, cadmium, nickel, chromium and copper contamination were more common in

non-monsoon periods while iron, lead, chromium and copper exceeded tolerance limits in monsoon periods.

Concerns: The presence of metals in drinking water is to some extent unavoidable and certain metals, in trace amounts is required for good health. However, when present above safe limits, they are associated with a range of disorders.

1) Long term exposure of heavy metals may lead to may result in slowing progressing physical, muscular and neurological degenerative processes that mimic Alzheimer’s disease, Parkinson’s disease, muscular dystrophy and multiple sclerosis.

2) Majority of Indians still use water directly from rivers for their domestic use, with an increase in population, the pressure on these rivers will only increase.

3) Concentration of such toxic metals has increased rapidly over the past few decades. Consequently, concentrations of toxic metals in grains and vegetables grown in contaminated soils have increased at alarming rates.

4) Serious threat to humans and the environment because of its toxicity, non-bio-degradibilityand bioaccumulation.

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Arsenic pollution:

- Leads to arsenical skin lesions - Arsenicosis is a chronic illness resulting from drinking water with high As level

over a long periodof time. - Highconcentrations of arsenic in drinking water also result in an increase in

stillbirths andspontaneous abortions

Cadmium pollution: - Itai-Itai disease (Severe pain in body and joints) - One of the most widely known toxic effects manifested by Cdpoisoning is

nephro-toxicity. Adverse renal effects are more commonly seen with exposure tolow levels of Cd.

Chromium Pollution: - Hexavalent Chromium is a danger to human health, mainly for people who work

in the steel and textileindustry. People who smoke tobacco also have a higher chance of exposure to chromium. Chromium (VI) is known to cause various health effects. When it is a compound in leather products, it can cause allergic reactions, such as skin rash. After breathing in, chromium (VI) cancause nose irritations and nosebleeds.

Copper Pollution: - It is seen that though copper isessential of life and health, its deficiency or

excesses both cause adverse effects. - Industrial exposure to copper fumes,dusts, or mists may result in metal fume

fever with atrophic changes in nasal mucousmembranes. Chronic copper poisoning results in Wilson’s Disease, characterized by a hepaticcirrhosis, brain damage, demyelination, renal disease, and copper deposition in the

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cornea.

Iron Pollution: - Iron is an essential element in human nutrition. - Thepresence of higher concentration of iron in drinking water makes its taste

unpleasant; however,living organism can tolerate higher concentration of iron without any serious damage to theirsystem.

- Causes aesthetic problems such as discoloured water, precipitation, scaling, staining and metallic water taste.

Mains sources of Heavy Metal Pollution are:

1) Mining 2) Milling 3) Plating and surface finishing industries 4) Domestic water effluents 5) Storm water runoff from urbanised areas 6) Industrial waste 7) Sanitary landfill 8) Agricultural runoff 9) Fossil fuel combustion

Other Reasons: 1) Lack of monitoring 2) Slack enforcement of

Recommendations: 1) Quality of water should be monitored at least four times a year. 2) All the toxic metallic elements like chromium and its other associated heavy metals

coming from the tanneries, mining and other industries should be treated chemically and biologically before such wastes find their way to River.

3) Promotion of effective and efficient implementation of water pollution control laws and regulations.

4) There are variouswastewater treatment technologies available for treating heavy metals contaminated waterprior to ultimate discharge in natural water bodies, for example chemical precipitation, evaporative recovery, oxidation/ reduction, filtration, ion exchange, membrane technologies and electrochemical treatment technologies are commonly used for practical applications.

Personal Notes

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Dated: 12. Dec. 2019 DNS Notes - Revision Title After a heated debate, RS clears citizenship Bill (Page 1) Syllabus GS II: Polity Theme Citizenship amendment Bill 2019

Highlights About the Citizenship (Amendment) Bill 2019 • The Citizenship (Amendment) Bill 2019 extends citizenship to illegal migrants of the

minority communities of Afghanistan, Bangladesh and Pakistan. • The migrants belonging to minority communities including Hindus, Sikhs, Buddhists,

Jains, Parsis and Christians who entered India on or before December 31 2014 are eligible for citizenship by naturalization.

• Besides the act also provides for fast-track Indian citizenship in six years which was 12 years of residence for citizenship by naturalisation.

• The Bill also proposes to incorporate (a sub-section (d) to Section 7) providing for cancellation of Overseas Citizen of India (OCI) registration where the OCI card-holder has violated any provision of the Citizenship Act or any other law in force.

Part II of the Constitution including Articles 5 to 11 and Indian Citizenship Act 1955 deals exhaustively with provisions relating to citizenship in India. Indian Citizenship Act 1955 provides for following ways in which one can become a citizen of India.

• Citizenship by Birth • Citizenship by Descent • Citizenship by Registration • Citizenship by Naturalisation

Exceptions • The bill excludes the areas under the Sixth Schedule and the North Eastern parts

covered by the Inner Line Permit regime- which includes the whole of Arunachal Pradesh, Mizoram, most of Nagaland, Meghalaya and Tripura, and certain pockets of Assam.

• The Sixth Schedule, on the other hand, provides for autonomous decentralised self-governance in certain tribal areas of Assam, Meghalaya, Mizoram and Tripura.

• The state of Manipur has also been excluded in view of the people’s objections to the proposed bill.

Need for the bill • Centre says these minority groups have come escaping persecution in Muslim-

majority nations. • Delhi Pact/ Liaquat Nehru Pact was signed in the backdrop of large-scale migration of

people belonging to minority communities between the two countries in the wake of attacks by the majority communities in their respective territories.

• The immediate concern was the exodus of Hindus from East Pakistan (now Bangladesh) and Muslims from West Bengal.

• The exodus of minorities Hindus, Sikhs, Jains and Buddhists in Pakistan, and Muslims in India led to serious refugee crisis.

• The bill is aimed at extending citizenship to non-Muslims in the Pakistan, Bangladesh and Afghanistan those who have suffered immense persecution based on religion.

Issues with the Bill Assam: Re-emergence of Outsider V/s Insider debate

• Assam represents Ethnicity-based imbalances in a plural but fragmented society hinging on issues like exploitation of resources from outsiders, unemployment and lack of development making it a hot-bed of regionalism and sub-regionalism in India.

• Assam, consists of Bramhaputra valley dominated by Assamese speaking populace and Cachar region dominated by Bengali-speaking people.

• Two distinct phases of regionalism can be delineated in Assam. One, over language issue when in 1962, Assamese was declared the official language of the state against

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Dated: 12. Dec. 2019 DNS Notes - Revision

the wishes of Bengali-speaking populace. • Secondly, regionalism took a ‘Son of soil’ colour when, as a result of educational and

economic backwardness of Assamese people, Bengali-speaking populace occupied high positions in administration, business, law etc.

• Thus post-1972, regionalism has targeted mostly migrant population from Nepal and Bangladesh.

• The fears in Assam now is that since the CAB does not apply to adjoining tribal areas, there will be large scale migration of Bengali migrants to Assam thus affecting its demography.

Discrimination based on country of origin First, the Bill classifies migrants based on their country of origin to include only Afghanistan, Pakistan and Bangladesh. Further, it is not clear why migrants from these countries are differentiated from migrants from other neighbouring countries such as Sri Lanka (Buddhist state religion) and Myanmar (primacy to Buddhism)[8]. Sri Lanka has had a history of persecution of a linguistic minority in the country, the Tamil Eelams.[9] Similarly, India shares a border with Myanmar, which has had a history of persecution of a religious minority, the Rohingya Muslims.[10] Over the years, there have been reports of both Tamil Eelams and Rohingya Muslims fleeing persecution from their respective countries and seeking refuge in India. Given that the objective of the Bill is to provide citizenship to migrants escaping from religious persecution, it is not clear why illegal migrants belonging to religious minorities from these countries have been excluded from the Bill. Exclusion of some minorities It is argued that there are religious minorities in these countries, who face religious persecution and may have illegally migrated to India. For example, over the years, there have been reports of persecution of Ahmadiyya Muslims in Pakistan (who are considered non-Muslims in that country), and the murder of atheists in Bangladesh. It is unclear why illegal migrants from only six specified religious minorities have been included in the Bill. Exemptions Fourth, the Bill also excludes illegal migrants residing in areas covered by the Sixth Schedule, that is, notified tribal areas in Assam, Meghalaya, Mizoram and Tripura. The purpose behind the enactment of the Sixth Schedule of the Constitution was to aid in the development of tribal areas through autonomous councils, while protecting the indigenous population in these areas from exploitation and preserving their distinct social customs. The Bill also excludes the Inner Line Permit areas. Inner Line regulates the entry of persons, including Indian citizens, into Arunachal Pradesh, Mizoram and Nagaland. Once an illegal migrant residing in these areas acquires citizenship, he would be subject to the same restrictions in these areas, as are applicable to other Indian citizens. Therefore, it is unclear why the Bill excludes illegal migrants residing in these areas. Wide discretion to government to cancel OCI registration The 1955 Act provides that the central government may cancel the registration of OCIs on various grounds. The Bill adds one more ground for cancelling registration, that is, if the OCI has violated any law notified by the central government. It further states that orders for cancellation of OCI should not be passed till the cardholder is given an opportunity to be heard. It may be argued that giving the central government the power to prescribe the list of laws whose violation result in cancellation of OCI registration, may amount to an excessive delegation of powers by the legislature. The Supreme Court has held that while delegating powers to an executive authority, the legislature must prescribe a policy, standard, or rule for their guidance, which will set limits on the authority’s powers and not give them arbitrary discretion to decide how to frame the rules. The Bill does not provide any guidance on the nature of laws which the central government may notify. Therefore, in the absence of

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standards, criteria or principles on the types of laws which may be notified by the government, it may be argued that the powers given to the executive may go beyond the permissible limits of valid delegation.

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