{"id":37586,"date":"2023-10-07T09:59:51","date_gmt":"2023-10-07T04:29:51","guid":{"rendered":"https:\/\/vajiramandravi.com\/current-affairs\/?p=37586"},"modified":"2025-10-11T11:11:12","modified_gmt":"2025-10-11T05:41:12","slug":"when-can-a-bill-be-designated-as-a-money-bill","status":"publish","type":"post","link":"https:\/\/vajiramandravi.com\/current-affairs\/when-can-a-bill-be-designated-as-a-money-bill\/","title":{"rendered":"When can a bill be designated as a Money Bill?"},"content":{"rendered":"<h2>What\u2019s in today\u2019s article?<\/h2>\n<ul>\n<li>Why in news?<\/li>\n<li>What is Finance Bill?<\/li>\n<li>What is Money Bill?<\/li>\n<li>What is the difference between money Bills and financial Bills?<\/li>\n<li>Background of the present case<\/li>\n<\/ul>\n<h2>Why in News?<\/h2>\n<ul>\n<li>Chief Justice of India said that a seven-judge bench will soon be set up to hear a batch of pleas challenging the Centre\u2019s use of the money bill route to pass certain key legislations.<\/li>\n<li>CJI\u2019s observation about setting up a seven-judge bench came during the hearing challenging set of amendments to the <a href=\"https:\/\/vajiramandravi.com\/current-affairs\/prevention-of-money-laundering-act-pmla\/\" target=\"_blank\">Prevention of Money Laundering Act (PMLA)<\/a>.<\/li>\n<\/ul>\n<h2>Background of the Present Case<\/h2>\n<p><strong>Question regarding the validity of PMLA:<\/strong><\/p>\n<ul>\n<li>In July 2022, a three-judge bench had upheld the PMLA and the vast powers of the ED.\u00a0<\/li>\n<li>However, the bench had left the validity of amendments to the PMLA through the Money Bill route open for a larger Constitution bench to hear.<\/li>\n<li>The Finance Acts passed in 2015, 2016, 2018 and 2019 brought in crucial amendments to the PMLA.\u00a0<\/li>\n<li>Finance Bills passed during the budget are introduced as money bills under Article 110 of the Constitution.<\/li>\n<\/ul>\n<p><strong>Aadhaar as money bill:<\/strong><\/p>\n<ul>\n<li>The first major challenge on whether a bill qualified to be a money bill under the Constitution was in the Aadhaar case.\u00a0<\/li>\n<li>In a 4:1 majority, the Supreme Court in 2018, had ruled in favour of the government and had cleared the Aadhaar Act as a valid money bill under Article 110 of the Constitution.\n<ul>\n<li>Incidentally, Justice Chandrachud had been the lone dissenter in the Aadhaar ruling of 2018.<\/li>\n<li>He had called it a \u201cfraud on the Constitution\u201d and \u201csubterfuge\u201d.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p><strong>Tribunal reform:<\/strong><\/p>\n<ul>\n<li>In November 2019, in <i><strong>Roger Matthew vs Union of India<\/strong><\/i>, the SC heard the challenge against tweaks in the service conditions of tribunal members which was also introduced as a money bill in the Finance Act, 2017.<\/li>\n<li>While a five judge bench of the court struck down the law as unconstitutional for interfering with judicial independence, it referred the money bill aspect to a larger constitution bench.<\/li>\n<li>In doing so, the court also expressed doubts over the correctness of a five-judge Constitution Bench\u2019s 2018 verdict upholding the Aadhaar Act which had been passed as a money Bill.<\/li>\n<\/ul>\n<p>Read More about the <a href=\"https:\/\/vajiramandravi.com\/current-affairs\/money-bills-vs-financial-bills-what-are-the-differences-what-the-court-has-ruled\/\" target=\"_blank\">difference between Money Bill and Finance Bill<\/a> here.<\/p>\n<hr \/>\n<h3>Q1) What is Money Laundering?<\/h3>\n<p>Money laundering is the process of hiding the source of money obtained from illegal sources and converting it to a clean source, thereby avoiding prosecution, conviction, and confiscation of the criminal funds. It is an illegal exercise that converts black money into white money.<\/p>\n<h3>Q2) What is Aadhar?<\/h3>\n<p>Aadhaar is a 12-digit unique identification number issued by the Unique Identification Authority of India (UIDAI). It serves as proof of identity and address anywhere in India.<\/p>\n<hr \/>\n<p><strong>Source:<\/strong><\/p>\n<ul>\n<li><a href=\"https:\/\/indianexpress.com\/article\/explained\/everyday-explainers\/sc-challenge-centre-money-bill-key-legislation-8970978\/\" target=\"_blank\" rel=\"nofollow noopener\">When can a bill be designated as a \u2018money bill\u2019: SC to hear challenge<\/a><\/li>\n<li><a href=\"https:\/\/prsindia.org\/theprsblog\/money-bills-vs-other-bills#:~:text=Financial%20Bills%5Biv%5D%3A%20A,is%20called%20a%20Financial%20Bill.\" target=\"_blank\" rel=\"nofollow noopener\">PRS<\/a><\/li>\n<li><a href=\"https:\/\/www.legalserviceindia.com\/legal\/article-9532-finance-bill-article-117-of-the-indian-constitution.html\" target=\"_blank\" rel=\"nofollow noopener\">Legal Service India<\/a><\/li>\n<li><a href=\"https:\/\/economictimes.indiatimes.com\/definition\/finance-bill\" target=\"_blank\" rel=\"nofollow noopener\">Economic Times<\/a><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>A Money Bill is also a specific type of Finance Bill, that must deal only with matters specified in Article 110.<\/p>\n","protected":false},"author":5,"featured_media":37587,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[18],"tags":[],"class_list":{"0":"post-37586","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-upsc-mains-current-affairs","8":"no-featured-image-padding"},"acf":[],"_links":{"self":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/37586","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/comments?post=37586"}],"version-history":[{"count":0,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/37586\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media\/37587"}],"wp:attachment":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media?parent=37586"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/categories?post=37586"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/tags?post=37586"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}