Kapil Sibal has started his tenure as Law Minister predictably with a bang. He has recommended, in agreement with the Finance Minister, that the government may get into conciliation proceedings with Vodafone on Income Tax department's claim on the company in the Hutchison issue.
The issue was needlessly and unethically precipitated by the government when the present President was the Finance Minister. Instead of gracefully accepting the Supreme Court's verdict, the government with Singh as prime minister did not realise the folly of amending the law, albeit under the facade of clarifying the legislative intention, retrospectively.
In essence, the IT department was under a legal compulsion to raise its demand on Vodafone. The logical step now must be to annul the retrospective amendment by a fresh legislation and then sort out the Vodafone matter.
It will be disgraceful for the government if it enters into a conciliation process with Vodafone and then fails to obtain parliament's approval. India will become a laughing stock for the second time in the same issue.
Ministers need patience and foresight. Adoption of hasty steps perhaps to prove one's utility to the government will only land the country in a bigger mess. It is not surprising that the Attorney General who is already under a cloud has been bullied into reversing his own opinion in the matter regarding conciliation. Obstinate minister and compromised legal counsel are a lethal combination that will only ensure downfall for both.
Sibal says he would work to ensure that legal processes and procedures should not be an impediment to economic growth, but must fuel it. He prioritises economic growth over justice. This is a gross misunderstanding of Law Minister's role. Ministers need to be subtle and sophisticated, not brutish and boorish.
The issue was needlessly and unethically precipitated by the government when the present President was the Finance Minister. Instead of gracefully accepting the Supreme Court's verdict, the government with Singh as prime minister did not realise the folly of amending the law, albeit under the facade of clarifying the legislative intention, retrospectively.
In essence, the IT department was under a legal compulsion to raise its demand on Vodafone. The logical step now must be to annul the retrospective amendment by a fresh legislation and then sort out the Vodafone matter.
It will be disgraceful for the government if it enters into a conciliation process with Vodafone and then fails to obtain parliament's approval. India will become a laughing stock for the second time in the same issue.
Ministers need patience and foresight. Adoption of hasty steps perhaps to prove one's utility to the government will only land the country in a bigger mess. It is not surprising that the Attorney General who is already under a cloud has been bullied into reversing his own opinion in the matter regarding conciliation. Obstinate minister and compromised legal counsel are a lethal combination that will only ensure downfall for both.
Sibal says he would work to ensure that legal processes and procedures should not be an impediment to economic growth, but must fuel it. He prioritises economic growth over justice. This is a gross misunderstanding of Law Minister's role. Ministers need to be subtle and sophisticated, not brutish and boorish.
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