Congress walks out after Karnataka Assembly passes Land Reforms Amendment Act

Politics

Congress leaders called the move anti-farmer and shouted slogans against the BJP government.

Theja Ram

PTI/Representation Photo

Amidst a heated debate, the Karnataka Legislative Assembly passed the Land Reforms (Amendment) Bill 2020 on Saturday, even as Congress leaders staged a walkout. The Leader of Opposition and senior Congress member Siddaramaiah tore up a copy of the bill and called it "anti-farmer". Congress leaders shouted, "Down, down, BJP government!", "Down, down, anti-farmer government" and walked out of the Assembly. The Land Reforms Act became a point of contention due to several amendments that were brought to the Land Reforms Act of 1967 outlined below. Waiving of section 79(a) and 79(b), which restricted the purchase of agricultural land to only those who had paani i.e. land titles or were agriculturalists with an annual income of less than Rs 25 lakh. Farmers have been opposed to this amendment as they believe that large corporations would be able to buy agricultural land. Farmers fear that they will be coerced and threatened to give up their land. Waiving of section 79(c), which upheld the prosecution of those found guilty of buying agriculture by violating the restrictions. Farmers believe that repealing section 79(c), would mean that those who illegally purchased agricultural land, will not be prosecuted.  Adding section 109, the amendment now permits persons to own 52 acres of irrigated agricultural land, 80 acres of partly irrigated land, 120 acres of dry land and 216 of barren land simultaneously, which could lead to land hoarding. This amendment will now permit all companies or organizations, who have purchased agricultural lands to convert it for industrial use, and to sell such land to any other organization.  Opposition's arguments against amendment The Congress leaders claimed that according to a survey conducted in Karnataka, about 60% of farmers say that the changes to land reforms is not acceptable. Leader of Opposition Siddaramaiah, said that farmer groups, dalit groups and worker groups are also in agreement. "This is a death knell for the farmers. According to me, the Land Reforms Amendment Bill seeks to remove the soul of the Land Reforms Act. Why? Where was the necessity? Where is the urgency to bring the ordinance? Usually, ordinances are brought when necessary, there should be some use to society," Siddaramaiah said.  Former Chief Minister HD Kumaraswamy too opposed the amendment and said that it would be detrimental to the rights of farmers. "We should have a public discussion regarding this. Let everyone's opinions be heard and then we can put it to vote," Kumaraswamy said.  Siddaramaiah further claimed that there were no discussions with farmer groups or experts and that no public consultations were held. "Has this been in public domain before the amendment was brought? No! Why did they bring this? What is their intention? Who is behind this bill? There should be a discussion over this. There are over 13,000 land dispute cases in the court. This will render farmers landless. When 1.7 crores people are landless, how does it help anyone to increase the land ceiling to 216 acres per family? There is no demand from farmers or any section of the society," Siddaramaiah added.  The leaders soon began shouting slogans against the government. They tore up copies of the bill and walked out of the Assembly in protest. BJP counter's Congress' claims Lashing out against the Congress party, Revenue Minister R Ashoka said that the initiative to reform the Land Reforms Act was taken by the Congress government in 2014. "We did not bring in this amendment or propose it. It was not our initiative alone and that is the truth. On January 3, 2014, the then Revenue Minister had appointed a sub-committee to amend the Land Reforms Act. The recommendations were that the 1967 Act was not viable for current times and that it is losing its purpose. The existing legislation has made room for corruption and the committee made several recommendations," R Ashoka said.  The committee recommended that sections 79(a) and 79(b), be repealed as these sections were making way for corruption. "They are saying that this amendment was the BJP's idea alone and they are trying to make us the scapegoats. The cabinet sub-committee had submitted a report and all people in it were Congress people," R Ashoka added.  He said that the issue of amending the Act is not a new one and in 1974, RV Deshpande, a senior Congress leader had said that sections 79(a) and 79(b) were problematic. "The then Congress leader H Bannikod had said that the two sections violated Article 19(g), which allows freedom to practise any profession. Congress party had also called for repealing it," he added.   

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Viren Khanna’s father claims his son is innocent in Sandalowood drug case

Crime

Viren's father said that his son is a law-abiding citizen who never used or distributed drugs at his parties.

TNM Staff

As Bengaluru police continue to probe the Sandalwood drug case, one of the arrested persons, Viren Khanna, a party organiser, has been in the Central Crime Branch’s custody. The CCB has alleged that Viren Khanna procured drugs from a Senegalese drug peddler Loum Pepper Simon and distributed it to those who attended his parties. Viren Khanna’s organisation, VKP, collaborated with hotels, restaurants, bars and nightclubs, to help promote parties organised at these establishments. However, his father, Professor Sri Ram Khanna, says that his son Viren is innocent and that he neither used nor distributed drugs. “My son is a law-abiding event organizer who has envisioned a drug-free party culture for Bangalore. We deny all accusations as they are baseless,” he said.  According to the CCB, Viren Khanna allegedly organised parties at farmhouses and private residences, where drugs were allegedly procured and consumed. His father, however, said that Viren Khanna did not organise any parties outside registered hotels, pubs and restaurants. “Also, establishments provided security with standing instructions to evict any person suspicious of possession or consumption of drugs. None of these events were hosted at farmhouses or unlicensed or private premises,” he added.  The CCB also alleges that Viren Khanna paid Loum Pepper Simon in bitcoins to procure contraband. The Enforcement Directorate, which is probing alleged money laundering in the Sandalwood drug case, told the First Additional Chief Metropolitan Magistrate on Friday that the agency suspects that the money procured from the alleged drug trade was laundered.  “VKP offered its service for a fee to promote these establishments in the hospitality industry to audiences who were interested in music, food, drink, and dancing. The fees received by VKP were subject to GST payments for which regular GST returns were filed,” Viren’s father said, denying allegations of money laundering.  He alleged that his son was “being framed” in the drug case due to pressure from vested interests. “There were many of his rivals, who did not want him to continue. He had to talk to management of establishments almost every week, to ensure they retained his services as his rivals would tell establishments to let Viren go. We believe that the rivalry could be presumably why he is being targeted. We don’t have proof of this,” he added.  Rolling tobacco was found during the search and seizure operations at Viren’s Bengaluru residence, which he shared with French and Arab nationals. “The rolling tobacco was found in the French woman’s room. Not Viren’s,” his father said.  Viren’s father also claimed that his son never met BK Ravi Shankar, Ragini Dwivedi’s associate, who allegedly told the police of Viren Khanna’s involvement in the case. “My son is innocent and he does not consume drugs. When parties happen, he was only promoting it. What happened inside these establishments were under the purview of the restaurants and pubs,” he added.

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Kannada anchor Anushree questioned by police over drug use allegations

Anushree, in a Facebook post, has asked the media to not judge her as guilty for being questioned.

TNM Staff

Anushree / Photograph via Facebook

Popular television anchor, actor and radio jockey Anushree appeared before police officials on Saturday for questioning in connection with allegations of drug use. She was summoned for questioning on her reported links to Kishore Aman Shetty, dancer-choreographer, who is in judicial custody on charges of consumption and peddling of drugs. Anushree arrived at the ACP office in Panambur police station in Mangaluru at 9 am on Saturday. Police officials from the Central Crime Branch (CCB) and the Narcotics Control Bureau (NCB) questioned her.  Tarun, a close friend of Kishore, who has been arrested on the charge of drug consumption, had told the police that Anushree had also attended Kishore Aman Shetty's party, after which she was summoned to record her statement. In a Facebook post, Anushree stated that she had travelled to Mangaluru to appear before the CCB for questioning. "Even though the CCB has only called me for questioning, the media has taken a picture from one film I acted in and there are attempts to brand me as guilty. I request the media to understand that I have no role in the investigation and being questioned does not make me guilty. I will cooperate fully with the investigation. I request that the media does not take a stand on this," Anushree said. The state CCB police is investigating drug abuse among bigwigs, including those in the film industry, after the Narcotics Control Bureau arrested three people from Bengaluru in a drug haul. They were allegedly supplying drugs to Kannada film actors and singers. Other actors arrested in the investigation of drug busts are actors Ragini Dwivedi, Sanjjana Galrani, party planner Viren Khanna, Sanjjana's friend and real estate businessman Rahul Tonse, and Ragini's associate BK Ravi Shankar.

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Karnataka Assembly passes amendments to increase over time hours for labourers

Politics

The amendment was passed without much opposition with only one MLA calling it "anti-labour".

TNM Staff

The Karnataka government on Friday passed the Industrial Disputes and Certain Other Laws (Karnataka Amendment) Bill 2020, which trade unions have vehemently opposed. The Bill was passed without much opposition except for Chittapur MLA Priyank Kharge, who called it "anti-labour".   There were three major amendments to the existing act. Firstly, establishments employing more than 300 people will have to seek the government's permission to lay off employees. This has been raised from 100 employees. Secondly, overtime working hours have been increased from 75 to 125 hours per quarter. Thirdly, the threshold for employees has been increased from 10 employees to 20 in factories which use power, and 20 employees to 40 in factories that do not use power. The amendments were made to Acts such as the Industrial Disputes Act, the Factories Act and the Contract Labour (Regulation and Abolition) Act. The Bill was tabled by Labour Minister Shivaram Hebbar, who said that it would ensure ease of doing business and "provide opportunities for those who want to work overtime".  When Shivaram Hebbar proposed increasing overtime working hours of employees, former IT and BT Minister Priyank Kharge said, "This is anti-labour. This will make working conditions horrible for employees in the name of ease of doing business." Shivaram Hebbar countered Kharge's statement and said that employees are willing to work longer shifts.  "We are living amidst COVID-19 and we cannot shut factories down. It is inevitable that they run and there are people willing to work longer hours and we are only allowing it to happen," Shivaram Hebbar said. This amendment was brought in after the Karnataka government promulgated an ordinance in July this year with the same provisions. In addition to this amendment, the Karnataka government passed 16 other bills in the Assembly on Friday. 2/2 The applicability of these laws, that give workers a right to drinking water, toilets; yhat impose some mandates on with principal employer even if he contracts out, & that protect workers in larger estt from arbitrary closure &termination is changed to exclude many workers — AICCTU Karnataka (@aicctukar) September 26, 2020 Labour unions strongly opposed the ordinance in July, stating that the government was taking away workers' consent to overtime working hours. Prior to the amendment, factories needed to take the government's approval for overtime working hours of employees. The new amendment states that instead of prior approval, the companies can provide "periodical overtime reports".  The All India Central Council of Trade Unions on Saturday condemned the Karnataka government’s move, stating that it would push a large number of workers into the unorganised sector.  “In a step that amounts to pushing a large section of the workforce into the unorganised sector, the assembly has passed an amendment to the Industrial Disputes Act, the Factories Act and the CLRAA. The applicability of these laws, that give workers a right to drinking water, toilets; that impose some mandates on with principal employer even if he contracts out; and that protect workers in larger establishments from arbitrary closure and termination is changed to exclude many workers,” the AICCTU said in a tweet. In August, the Karnataka government rolled out the Industrial Policy, with the primary focus to drive investment into manufacturing. This policy, which is industry-friendly, was sold on labour reforms.   In May, the Karnataka government was criticised for a controversial notification that extended the maximum working hours from 8 to 10 per day and from 48 to 60 per week for factory workers in the state. As per a submission made to the Karnataka High Court, the notification was withdrawn on June 12. 

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Amid walkout, Karnataka Assembly passes Bill to raise fiscal deficit ceiling

Politics

The fiscal deficit ceiling for the 2020-21 fiscal was increased to 5%.

Theja Ram

PTI/Representation Photo

The Karnataka government passed an amendment to the Karnataka Fiscal Responsibilities Act (KFRA) for the 2020-21 fiscal to increase the fiscal deficit limit to 5%, amidst a heated debate where opposition leaders walked out of the Assembly. The Bill was proposed in the Assembly on Thursday by Law and Parliamentary Affairs Minister JC Madhuswamy.  In essence, the fiscal deficit is the difference between the government’s income and expenditure. If the fiscal deficit is high, the government is spending more than what it receives.  The amendments to the KFRA includes the following:  It increased the maximum fiscal deficit rate to 5% It calculates the percentage of borrowings based on revenue estimates than actual GSDP and  It increases revenue expenditure to over 60% of the total budget. In addition, the amendment passed also says that the debt ceiling can be increased as and when required if an extraordinary circumstance arises. JC Madhuswamy had said that the pandemic and its fallout regarding the state's financial situation were "extraordinary circumstances".  What it means The fiscal deficit was kept below 3% to ensure that the state’s financial health remains intact. When the government borrows more than it can afford to pay back, the opposition says that it will be hard to recover financially.  Borrowing based on budget estimates rather than actual figures could be detrimental to the state as the state has had negative growth. It could result in the government borrowing more than it could afford to.  Revenue expenditure is what the spending on salaries of government employees, interest on loans taken, pensions etc, which forms fixed expenditure. By increasing this, there would be very little flexibility for developmental projects. The opposition says that the high government expenditure will have a negative impact on savings and will impact the growth of the state. This can also lead to a spiralling effect, where private investment could drop due to bad ratings and also put upward pressure on interest rates. The opposition claims it could take years to recover and the delay in adjusting the fiscal deficit does not speak well of a government’s economic management. What the Finance Commission recommendations say Raising the limit to 5% goes against the recommendations of the Medium Term Fiscal Plan recommended by the 11th Finance Commission. The commission's recommendations, which were enacted in September 2002, says the fiscal deficit cannot exceed 3% of the Gross State Domestic Product (GSDP).  The 11th Finance Commission proposed keeping the fiscal deficit lower than 3% in order to maintain the financial health of the state and to also enhance the scope of developmental activities.  In September 2002, the state government enacted the KFRA, which gave legislative and statutory backing to the 11th Finance Commission's Medium Term Fiscal Plan. This Act was amended in 2014 to include borrowings by Public Sector Undertakings and SVPs, where the principal and interest were to be paid out of the state's budget.  The Opposition argued in the Assembly that amending the KFRA would be detrimental to the state's financial condition, and it would take years before the state government recovered from the blow.  Karnataka has consistently maintained its fiscal deficit below 3% except for 2009, when the then Yediyurappa-led BJP government requested the Manmohan Singh government at the Centre to allow raising the ceiling to 3.5% due to drought. Over the last five years, Karnataka has complied with the KFRA, and in FY 2019-20, the state's fiscal deficit stood at 2.55%. Opposition response in Assembly Former Law and Parliamentary Affairs Minister Krishna Byre Gowda, who was also a member of the Goods and Services Tax (GST) Council, vehemently opposed the amendments, maintaining that the state’s financial condition has been good and it manages its fiscal responsibilities well. "Such a situation is changing. You (ruling party) are about to change the financial situation so drastically that we would have to face terrible times for the next 10 years," he said.   As per the 11th Finance Commission's recommendations, borrowings cannot exceed 25% of the GSDP. Krishna Byre Gowda said that the state government was not being cautious about the seriousness of the issue and the economy would "blow up in smithereens".  "In 2020-21, the state's debt was Rs 33,820 crore. In addition, revenue expenditure including salaries, pensions, interest, amounts to Rs 87,718 crore. Together it is close to Rs 1,10,000. This is 45-50% of the state's revenue. All this is non-development expenditure. The revenue expenditure has now been increased to 60% of the total budget. What will be left for development?” Krishna Byre Gowda said.  Leader of Opposition Siddaramaiah slammed the government, saying that the budget estimates were proposed before the pandemic, and that they are going to borrow on a figure that was estimated at the time even though the state saw degrowth in the first quarter.  "The overall growth rate will reduce by 12-13% compared to previous years considering the state of the economy. If you want to use the Rs 18 lakh crore projected revenue and based on that if you want to decide the ceiling on fiscal deficit, then that is wrong. Borrowings should be based on actuals and not on projected revenue. If the GSDP shrinks, then the total borrowings will increase drastically," Krishna Byre Gowda argued.  The revenue deficit for the 2020-21 fiscal is pegged at Rs 65,262 crore. The fiscal deficit for 2019-20 was 2.55%. This is due to reduced amounts allocated by the Union Government in terms of devolution of taxes, Union government grants and the lack of GST compensation. The Centre gave states two options as it couldn’t pay out the GST revenue shortfall. The state government chose the option to borrow from the market to compensate for the reduced revenue, and in order to borrow, the government had to amend the KFRA.  Under the GST structure, the cess is levied on luxury, sin and demerit goods and the proceeds from the same are used to compensate states for any revenue loss. Krishna Byre Gowda suggested that the Union government borrow based on guarantees of the revenue collected by the GST Council and distribute it to the states.  Opposition demands promises from BSY government "Promise us that the revenue expenditure will be reduced to 40%. If this does not happen, future governments will only have money enough to pay salaries and the interest on borrowings and in future we may have to borrow money to pay the salaries too. We request you to borrow based on the actual GSDP size, and it should be limited to 25% of the state's actual GSDP. We should procure the shortfall from the Centre ideally and not borrow at any cost and we want this promise too," Krishna Byre Gowda added.  Tourism Minister CT Ravi, Revenue Minister R Ashoka and Law and Parliamentary Affairs Minister JC Madhuswamy accused Krishna Byre Gowda of politicising the issue. A heated argument broke out, where Siddaramaiah accused the government of ruining Karnataka's financial health.  The opposition leaders got up from their seats when Speaker Vishweshwar Hegde Kageri put the Bill to vote. Since the ruling party had the majority, the amendment was passed and the opposition walked out. 

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ED gets 5-day custody of actors Ragini Dwivedi, Sanjjana Galrani and two others

Crime

The ED told the Bengaluru Special Court for NDPS cases that there were huge amounts of proceeds of crime in money laundering activities.

PTI

A special court here has granted the Enforcement Directorate five days custody of Kannada film actresses Ragini Dwivedi and Sanjjanaa Galrani and three others, who were arrested in a drugs case. Dwivedi, Galrani, Rahul Thonse, party organiser Viren Khanna and B K Ravishankar, whose custody ED has sought, are accused of not only consuming drugs but also supplying them in parties through the drug peddlers. In its submission to the NDPS (Narcotic Drugs and Psychotropic Substances) Special Court, the ED said the preliminary inquiry of the money laundering investigation revealed a huge amount of proceeds of crime in money laundering activities. "If such proceeds of crime involved in money laundering are not attached or confiscated immediately, the objects of the Act shall be defeated," the ED said in its submission. The ED said to unearth or trace the properties, which are acquired by the accused "by way of extortion, killing, dealing of drugs etc, recording written statements from the accused person is essential to know the details of properties purchased and investments made out of the proceeds of crime." Meanwhile, a Nigerian drug peddler Ossy, who was reportedly supplying drugs to bigwigs involved in the drugs case, has been arrested, a Central crime branch official said. According to police, he is allegedly an associate of Simon, another Nigerian drug peddler already arrested. Police seized some synthetic drugs from his possession, the police said. The police have arrested 15 people in connection with the case while many others are at large.  

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Cancel Bangalore Turf Club license, turn it into green space: K'taka govt committee

Politics

The Public Accounts Committee submitted a report to the Legislature on Friday and asked the government to turn the club into a green space like Cubbon Park.

PTI

The Public Accounts Committee of the Karnataka legislature in its report tabled in the assembly on Friday recommended to the government cancellation of licence given to the Bangalore Turf Club (BTC), and the premises be developed as a lung space like Cubbon Park and Lal Bagh. Headed by senior Congress legislator H K Patil the 21-member committee, consisting of both MLAs and MLCs, asked the government to seek an early hearing to clear the cases pending in the Supreme Court regarding the turf club, after consulting the Advocate General and legal experts. It also directed authorities to ensure the payment of dues pending as rent by the BTC. To recover Rs 36.68 crore rent dues, the finance department has filed an affidavit in the Supreme Court, it said. The department has calculated the dues to be paid by the turf club till 2018-19 only and it has now been recommended including the year 2019-20 and necessary action should be taken to recover the same with interest. The committee noted that despite the department having the complete authority to cancel the licence given to Bangalore Turf Club as it has violated Mysore Race Course Licensing Act-1952 and Rules, no action has been taken yet. The committee in its report has asked the department officials to bring the violations to the notice of the Chief Minister and take necessary action to cancel the licence immediately. It also noted that discussions have been on since 1968 on shifting the Bangalore Turf Club outside the city limits and no project has been executed in this regard. Considering increasing population and traffic in the city, it has been recommended to the government to think about developing the turf club land along the lines of Lal Bagh and Cubbon Park. This will ensure environmental equilibrium, curb pollution and improve green cover, it added.

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