12 June 2019: UPSC Exam PIB Summary & Analysis

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June 12th 2019 PIB:-Download PDF Here

Cabinet approvals for MOUs & LOI

Cabinet approves the Special Economic Zones (Amendment) Bill, 2019

About Amendment

• After the amendment of sub-section (v) of section 2 of the Special Economic Zones Act, 2005, a trust or any entity notified by the Central Government will be eligible to be considered for grant of permission to set up a unit in Special Economic Zones.

Ratification of the Multilateral Convention to Implement Tax Treaty

Context

• The Union Cabinet, has approved the ratification of the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI).

Impact

• The Convention will modify India’s treaties in order to curb revenue loss through treaty abuse and base erosion and profit shifting strategies.
• Ensuring that profits are taxed where substantive economic activities generating the profits are carried out and where value is created.

About Convention

• The Convention is one of the outcomes of the OECD/G20 project, of which India is a member, to tackle base erosion and profit shifting.
• The Convention enables countries to implement the tax treaty related changes to achieve anti-abuse BEPS outcomes through the multilateral route without the need to bilaterally re-negotiate each such agreement which is burdensome and time consuming.
• It ensures consistency and certainty in the implementation of the BEPS Project in a multilateral context.
• Ratification of the Multilateral Convention will enable application of BEPS outcomes through modification of existing tax treaties of India in a swift manner.

Extension to the Committee for OBCs Sub-categorization

Context

Cabinet has accorded ex-post facto approval for the extension of the term of the Commission to examine the issue of Sub-categorization of Other Backward Classes, by two more months

Impact:

• The extension of the tenure of the commission would enable it to evaluate the issue of Sub-categorization of OBC’s in the Central list based on wider consultations with various stakeholders.
• It will enable the commission to submit a comprehensive report on the issue.

Background

• The Commission was constituted under article 340 of the Constitution with the approval of President
• The Commission has come to the view that it would be appropriate to have a detailed consultation with the States/UTs in the light of the response received with respect to for the Consultation Papers issued by the “Commission” earlier.
• This is essential to ensure that no community is put in a grossly undeserving position and this process is likely to take a couple of months.

Making Aadhaar people friendly

Context

Cabinet, has approved “The Aadhaar and Other Laws (Amendment) Bill, 2019” to replace the Aadhaar and Other Laws (Amendment) Ordinance, 2019.

Impact:

• The decision would enable UIDAI to have a more robust mechanism to serve the public interest and restrain the misuse of Aadhar.
• Subsequent to this amendment, no individual shall be compelled to provide proof of possession of Aadhaar number or undergo authentication for the purpose of establishing his identity unless it is so provided by a law made by Parliament.
• For the convenience of general public in opening of bank accounts, the proposed amendments would allow the use of Aadhaar number for authentication on voluntary basis as acceptable KYC document.

Details:

The salient features of the amendments are as follows—

• Provides for voluntary use of Aadhaar number in physical or electronic form by authentication or offline verification with the consent of Aadhaar number holder;
• Provides for use of twelve-digit Aadhaar number and its alternative virtual identity to conceal the actual Aadhaar number of an individual;
• Gives an option to children who are Aadhaar number holders to cancel their Aadhaar number on attaining the age of eighteen years;
• Permits the entities to perform authentication only when they are compliant with the standards of privacy and security specified by the Authority; and the authentication is permitted under any law made by Parliament or is prescribed to be in the interest of State by the Central Government;
• Allows the use of Aadhaar number for authentication on voluntary basis as acceptable KYC document under the Telegraph Act, 1885 and the Prevention of Money-laundering Act, 2002;
• Proposes deletion of section 57 of the Aadhaar Act relating to use of Aadhaar by private entities;
• Prevents denial of services for refusing to, or being unable to, undergo authentication;
• Provides for establishment of Unique Identification Authority of India Fund;
• Provides for civil penalties, its adjudication, appeal thereof in regard to violations of Aadhaar Act and provisions by entities in the Aadhaar ecosystem.

Relief for the persons in J&K

Context

Cabinet, has cleared the decks for approval of “The Jammu and Kashmir Reservation (Amendment) Bill, 2019”.

Benefits:

• The move will go a long way in providing relief to the persons in Jammu and Kashmir living in areas adjoining international border.
• They can now avail reservation in direct recruitment, promotion and admission in different professional courses.
• Persons residing in the areas adjoining International Border within the ambit of reservation at par with persons living in areas adjoining Actual Line of Control (ALoC).

Protecting the rights of married Muslim women

Context

• Cabinet has approved the Muslim Women (Protection of Rights on Marriage) Bill, 2019.

Impact:

• The Bill would ensure gender equality and gender justice to Muslim women.
• The Bill would also help in protecting the rights of married Muslim women and prevent divorce by practice of ‘talaq-e-biddat’ by their husbands.

Implications:

• The Bill propose to declare the practice of triple talaq as void and illegal.
• It also makes an offence punishable with imprisonment up to three years and fine.
• It also provides for payment of subsistence allowance to married Muslim women and dependent children.
• The Bill also proposes to make the offence cognizable, if information relating to the commission of an offence is given to an officer in charge of a police station by the married Muslim woman upon whom talaq is pronounced or by any person related to her by blood or marriage.
• The offence is made compoundable with the permission of the Magistrate at the instance of the married Muslim woman upon whom talaq is pronounced.
• The Bill further provides for hearing the married Muslim woman upon whom talaq is pronounced, before the accused is released on bail by the Magistrate.

Japan to invest Rs 13,000 cr in Northeast

Context

The Government of Japan has decided to invest an amount of 205.784 billion Yen, equivalent to approximately Rs.13,000 crore, in several ongoing as well as new projects in different states of India’s North- Eastern region.

Projects

• Guwahati Water Supply Project and Guwahati Sewage Project in Assam
• Northeast Road Network Connectivity Improvement Project spread over Assam and Meghalaya
• Northeast Network Connectivity Improvement Project in Meghalaya
• Bio-diversity Conservation and Forest Management Project in Sikkim
• Sustainable Forest Management Project in Tripura
• Technical Cooperation Project for Sustainable Agriculture & Irrigation in Mizoram
• Forest Management Project in Nagaland, etc.

Making India as the Hub of International Arbitration

Context

Government is setting up of an independent an autonomous regime for institutionalized domestic and international arbitration are a step in this direction.

Impact:

• The benefits of institutionalized arbitration will be manifold for the Government and its agency and to the parties to a dispute.
• This will result in quality experts being available in India and also an advantage in terms of cost incurred.
• It will facilitate India becoming a hub for institutional arbitration.

NDIAC

• The New Delhi International Arbitration Centre (NDIAC) will be headed by a Chairperson, who has been a Judge of the Supreme Court or a Judge of a High Court or an eminent person.
• Appointed by the Central Government in consultation with the Chief Justice of India
• Besides, it will also have two Full-time or Part-time Members from amongst eminent persons having substantial knowledge and experience in institutional arbitration in both domestic and international.
• In addition, one representative of a recognized body of commerce and industry shall be nominated on rotational basis as a Part-time Member.

Aims and objectives of NDIAC :-

• bring targeted reforms to develop itself as a flagship institution for conducting international and domestic arbitration
• provide facilities and administrative assistance for conciliation, mediation and arbitral proceedings;
• maintain panels of accredited arbitrators, conciliators and mediators both at national and international level or specialists such as surveyors and investigators;
• facilitate conducting of international and domestic arbitrations and conciliation in the most professional manner;
• provide cost effective and timely services for the conduct of arbitrations and conciliations at Domestic and International level;
• promote studies in the field of alternative dispute resolution and related matters, and to promote reforms in the system of settlement of disputes; and
• co-operate with other societies, institutions and organisations, national or international for promoting alternative dispute resolution.

Also Read:

Read previous ‘Best of PIB’ here.