LG makes changes in Business Transaction Procedure

AC to approve project proposals above Rs 20 cr

Mohinder Verma

JAMMU, Feb 9: Lieutenant Governor Manoj Sinha has carried out changes in the procedure relating to implementation of Transaction of Business of the Government of Union Territory of Jammu and Kashmir Rules, 2019. These amendments pertain to administrative approval of projects above Rs 20 crore, signing of Memorandum of Understandings (MoUs) and raising of loans.
In exercise of the powers conferred by Section 55 of the Jammu and Kashmir Reorganization Act, 2019 read with Proclamation dated October 31, 2019 issued under Section 73 of the Act, the President of India had in the month of August last year framed Transaction of Business of the Government of Union Territory of Jammu and Kashmir Rules, 2019 and the same were notified by the Union Ministry of Home Affairs.
Third proviso to Rule 7 of these Rules states that in case of Proclamation under Section 73 of the J&K Reorganization Act, 2019 is in force, the Lieutenant Governor shall determine the manner in which proposals are to be disposed off.
Now, in exercise of powers conferred by this proviso read with Entry 12 of the Second Schedule of the Transaction of Business of the Government of UT of J&K Rules, the Lieutenant Governor has directed that proposals for administrative approval of all projects above Rs 20 crore, after concurrence by Finance Department, shall be placed for the consideration and approval of the Administrative Council constituted vide Government Order No.808-JK9GAD dated September 1, 2020.
All the Financial Commissioners, Principal Secretaries, Divisional Commissioners and Heads of the Departments have been explicitly told to ensure strict compliance to this direction of the Lieutenant Governor.
Moreover, the Lieutenant Governor, while exercising powers conferred under Third proviso to Rule 7 with Rule 43 of the Transaction of Business of the Government of UT of Jammu and Kashmir Rules, 2019, has substituted one Entry and made addition of another in the procedure for implementation of Rules.
The Rule 43 states: “The Lieutenant Governor may by standing orders in writing, regulate the transaction and disposal of the business relating to his executive functions. Provided that the standing orders shall be in consistent with the instructions issued by the Central Government from time to time”.
A new Entry has been incorporated vis-a-vis the cases which shall be submitted to the Lieutenant Governor through the Chief Secretary in coordination. “Memorandum of Understandings (MoUs) to be entered into between the Government of Jammu and Kashmir and any other entity including other State Government or Central Government shall be submitted to Lieutenant Governor through the Chief Secretary in coordination”, read the new Entry.
In Entry 31 of the procedure earlier it was mentioned that proposals for the imposition of a new tax or any change in the method of assessment or the pitch of any existing tax or land revenue or irrigation rates or for raising of loans on the security of the revenue of the Union Territory of Jammu and Kashmir or for giving of a guarantee by the Government of J&K shall be submitted to the Lieutenant Governor through the Chief Secretary in coordination.
However, this Entry has been submitted and now it read: “Proposals pertaining to irrigation rates or for the raising of loans on the security of the revenue of the UT of J&K or for giving of guarantee by the Government of UT of J&K shall be submitted to Lieutenant Governor through Chief Secretary in coordination”.
With this, proposals for imposition of new tax or any change in the method of assessment or the pitch of any existing tax will be dealt by the Administrative Council.
In the procedure for implementation of Transaction of Business of the Government of UT of J&K Rules, 2019, 15 different types of cases have been mentioned which are required to be brought before the Administrative Council and 43 cases of different nature are to be submitted to the Lieutenant Governor through the Chief Secretary in coordination.