Supreme Court to Hear Plea Challenging Validity of Money Bills

New Delhi, July 15 2024 :  The Supreme Court of India has agreed to consider a plea challenging the validity of laws passed as money bills, a move alleged to bypass the Rajya Sabha. A three-judge bench, led by Chief Justice of India DY Chandrachud, will examine the request for a constitutional bench to hear the petitions.

Key Points:

• Context: Senior advocate Kapil Sibal, also the president of the Supreme Court Bar Association (SCBA), raised concerns about the government’s practice of passing laws like the Aadhaar Act as money bills to circumvent the Rajya Sabha.
• Supreme Court’s Response: CJI Chandrachud, along with Justices JB Pardiwala and Manoj Misra, acknowledged the importance of the issue and agreed to consider forming a constitutional bench to address it.
• Definition: A money bill can only be introduced in the Lok Sabha and cannot be amended or rejected by the Rajya Sabha, which can only make recommendations.
• Advocates’ Input: Senior advocates Abhishek Manu Singhvi and Indira Jai Singh also emphasized the need for judicial scrutiny, noting that all pleadings in the case are complete.
• Previous Announcement: CJI Chandrachud had earlier indicated the formation of a seven-judge constitutional bench to address the controversy surrounding the government’s use of money bills.
• Legislative Concerns: The government has faced criticism for introducing significant legislation, including the Aadhaar Act and amendments to the Prevention of Money Laundering Act (PMLA), as money bills to avoid the Rajya Sabha, where it lacked a majority at the time.

This decision by the Supreme Court aims to resolve the ongoing controversy and clarify the constitutional validity of passing laws as money bills.