SC suggests expert bodies like Niti Aayog, FC, RBI deliberate on freebies

SC's suggestion came as the Centre led by SG Tushar Mehta submitted that freebies promised by political parties before polls spells an 'economic disaster'

The Supreme Court on Wednesday suggested that expert bodies like Niti Ayog, Finance Commission, RBI, and political parties and other stakeholders, should examine the pros and cons of freebies announced during polls, while maintaining that such promises havs a significant bearing on the economy.

A bench presided over by Chief Justice N V Ramana said that these are all serious issues related to policy and everyone should participate in the debate.

“We will say the Finance Commission, political parties, opposition parties, all of them can be members of this group. Let them have a debate and let them interact. Let them give their suggestions and submit their report," the bench said.

The court's suggestion came as the Centre led by Solicitor General Tushar Mehta submitted that freebies promised by political parties before polls spell “economic disaster”.

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Mehta said populist announcements distorted the informed decision making of the voter.

“(If) This is the way, we are heading towards economic disaster,” he asserted, maintaining that the Election Commission should apply its mind on the matter, and they can have a relook.

The EC's counsel, however, said that the matter should be decided by the Union government and its hands were tied by a judgment of the apex court on freebies.

A counsel suggested there should be a model manifesto and the political parties should declare the debt of the state.

Observing that these are all empty formalities, the bench, also comprising Justices Krishna Murari and Hima Kohli, said this is a serious issue and the ECI and the central government cannot say that they cannot do anything in the matter.

Senior Lawyer Kapil Sibal, for his part, suggested that ECI should be kept out of the matter, as it is a political and economic issue, and there should be debate in the Parliament on it.

The bench, however, said no political party would like to do away with freebies.

The court asked the Centre, EC, Sibal and PIL petitioner advocate Ashwini Kumar Upadhyay to give suggestions within a week on the composition of an expert body that will examine how to regulate freebies and give report to Centre, ECI and to the court.

The bench fixed the PIL by Upadhyay and others for consideration next week.