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    Legislature - The Parliament of India is headed by thePresident and constitutes the two Houses, known as RajyaSabha or Upper House (Council of States) and Lok Sabha orLower House (House of the People).

    Executive - Consists of the President heading the Republicof India, Vice-President and Council of Ministers led by thePrime Minister.

    Judiciary - The Apex Judiciary body in the country is theSupreme Court followed by the High Courts of the state. TheJudiciary is independent of the executive.

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    The executive power of the union shall be vested in thepresident and shall be exercised by him.

    The President is the supreme commander of all the 3 wings ofthe defense forces.

    However the real executive powers rest with the PrimeMinister.

    The Cabinet is a group of senior ministers who form thenucleus of the administration.

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    This is the law making body of the Union government.

    The legislature oversees the working of the administration.

    The legislature passes the Annual Financial Statement for the

    country.

    It has the power to approve or remove members of thecouncil of ministers.

    It has the power of delimitation of state and union territoryboundaries.

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    Making laws in the state and concurrent list.

    Pass state budget, money bill(Legislative Assembly)

    Participation in election of president and representation ofstates in the parliament.

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    Governor is the symbolic head of the state government.

    Exercises legislative, executive, financial and judicial powers.

    CM is the real executive head.

    Link between the Governor and the council of ministers.

    Chairman of the cabinet.

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    Relevance

    Article 256 & Article 246

    Concurrent list

    Powers exercised by the Union over the State

    Dual government.

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    Directives by the union to the state governments: Theexecutive power of the union is under Article 256. The unioncan invoke Article 356 in case of non-comliance of thedirectives.

    Delegation of union functions to the states: Under Article 254the President with the consent of the state governmententrust either conditionally or unconditionally to thegovernment, functions relating to any matter falling within

    the ambit of union executive power.

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    All India Services: The can suspend the officials of All IndiaServices. Appointment and taking disciplinary action againstthem vests only with the President of India.

    Deployment of Military and Para-military Forces: These canbe deployed even against the wishes of the state government.

    Constitution of Joint Public Service Commission for Two ormore States: When two or more states through a resolution tothat effect, the Parliament may by law, provide for a jointcommission.

    Judicial System: The Chief Justice of the High Court isappointed by the President in consultation with the ChiefJustice of India and the Governor of the State.

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    Inter-State Council: The Constitution provides inter-

    governmental co-operation, effective consultations between

    the centre and states so that national policies are arrived atthrough dialogue, discussion and consensus.

    Three such councils have been set up

    (i) Central Council of Health;

    (ii) Central Council of Local Self-Government;

    (iii) Transport Development Council.

    eg. Sarkaria Commission's recommendations- A permanentInter-State Council has been created on I April 1990.

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    So we can say that the relation between Union and States isthe foundation of the Indian Federal system.

    The centre has been given some administrative powers overthe states for effective co-ordination. It is the responsibilityof the States to ensure compliance of Union laws within theirterritory.

    The power to settle disputes between states relating todistribution of waters of inter-state rivers lies with the Union.

    So we can say that the Union and states have independent

    executive staffs fully controlled by respected governmentsand executive power of the states and the Centre areextended on issues they are empowered to legislate.

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    Derived from the Government of India Act, 1935. The areas oftaxation have been clearly demarcated between the centreand states.

    Division of financial powers and functions among different

    levels of the federal polity are asymmetrical, with a bias forrevenue taxing powers at the Union level.

    'The seventh schedule of the Constitution provides forspecific entries reserved for the union and the states for

    imposing taxes.

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    Four-fold classification of tax revenues between union andstates. These are:

    a) Levied by union but collected and appropriated by state(Article 270).

    b) Levied and collected by centre, but assigned to states(Article 269).

    c) Levied and collected by union and distributed betweenthe union and states (Article 270).

    d) Levied and collected by union but may be shared withstates.

    Grants-in-aid and LoansCentre provides grants-in-aid to states.

    Borrowing PowersThe Constitution provides for the borrowing of money by

    union and state under certain provisions.

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    Article 280 provides for the constitution of the FinanceCommission.

    The Finance Commission is entrusted to recommend to thePresident about:-

    (1) distribution of the proceeds of tax.(2) principles that govern the grants-in-aid out of the

    Consolidated Fund of India.

    (3) measures needed to augment the consolidated Fund of astate.

    (4Matter referred to by the President in the interest ofsound finance.

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    Undergo changes during proclamation of emergency. UnderArticle 360, it shall be competent for the union to:

    I) give directions to the state on specific subjects.

    ii) instruct state governments to reduce the salaries andallowances of all public servants.

    iii) reserve all money bills and financial bills

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    INSTITUTIONAL FRAMEWORK

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    Set up to formulate an integrated national five year planfor economic and social development and to advise the uniongovernment.

    The Planning Commission has over the years extendedits activities over the entire sphere of administration hence acriticism that the Planning Commission which is an extra-

    constitutional body, has encroached upon the autonomy ofthe states-in a has aroused.

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    The National Development Council (NDC):Consisting of all the ministers of the Union Cabinet, theChief Ministers of the States and the administrators ofthe Union Territories review the working of the five-yearplan.

    The National Integration Council (NIC):Deals with welfare measures for the minorities on an all-India basis. It comprises of Union Ministers and the ChiefMinisters of States and the representatives of national

    and regional political parties, labour, and women.

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    Five Zonal Councils for Northern, Southern, Eastern,Western and Central were created in 1956.

    Each Council has the Chief Minister and twoother ministers of each state in the zone and theadministrator in case of a Union Territory. TheUnion Home Minister is the Chairman of all the

    zonal councils.

    It advises on matters of common concern relating toeconomic and administrative matters, social

    planning, inter-state transport matters arising outof reorganisation of State.

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    The report was submitted in 1988 and it made 247recommendations in this regard, suggesting 12 amendmentsto the Constitution and 20 new legislations.

    Some of them are.

    The Governor of a state to be a non-political person appointed with the

    concurrence of the Chief Minister.

    The representative state to be consulted before deployment of union

    armed and other forces in that State.

    Sharing of the corporate taxes between the centre and state to be made mandatory.

    The transfer of High Court judges should not be against their will.

    The state should have more control over the matters in the concurrent list

    and the Centre's hold over the union list should be loosened.

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    January 27, 2000The Commission made as many as 248 recommendations touching

    on these ten areas of intensive inquiry. Out of these, only 58 involveamendment of the Constitution, 86 pertain to legislative measuresand the rest require executive action.

    Unfortunately, this Commission Report proved to be a damp squib.

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    Our Constitution makes provisions for proclamation ofemergencies to enable the union government to acquire thestrength of a unitary system in times of 'emergencies'.

    The emergency provisions are so drastic that when theproclamation of either of the emergencies is in operation, thegovernment is carried practically on a unitary basis andduring the crisis the state governments are, in effect merelysubordinate governments and function as a part of a union

    structure.

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    The failure of constitutional machinery in a state

    The second kind of emergency is the 'national emergency

    The financial emergency