04

Introduction

India is witnessing a troubling trend where political leaders, from grassroots representatives to Prime Ministers and Chief Ministers, are distributing largesse to gain political mileage. These offerings, once limited to essentials like food grains and medical facilities, have now transformed into unaccountable cash distributions, creating a culture of dependency and corruption within society.

Historical Precedents

Historically, leaders like M.G. Ramchadran and Jayalalitha in Tamil Nadu, and N.T. Rama Rao in Andhra Pradesh, utilized largesse to secure electoral victories. This practice has spread across the country, with leaders like Mamata Banerjee in West Bengal, Kejriwal in Delhi, and Akhilesh Yadav in Uttar Pradesh, indulging in the distribution of freebies to voters.

Escalation of Freebies

Initially, these offerings were limited to subsidised goods and services. However, they have now evolved into extravagant gifts such as wedding necklaces, free televisions, laptops, and even android mobile phones. This trend reflects an unhealthy competition among state and central governments to expand their voter base, often at the expense of fiscal prudence.

Ethical and Economic Concerns

The question that arises is whether the public’s acceptance of these gifts and government largesse without justification indicates a deeper ethical issue. As the saying goes, there’s no such thing as a free lunch. Even seemingly small gestures like a salute carry a cost. While some subsidies like agricultural support have a rationale, many recent announcements, such as providing Rs.1000 per month to a crore women in Tamil Nadu, lack a justifiable basis.

Impact on Society and Economy

The widespread distribution of freebies without corres-ponding productivity creates societal inequity, creating a divide between beneficiaries and ordinary citizens. Moreover, it fosters laziness and moral degradation, hindering India’s ambition to become a developed nation by 2045. If citizens are not motivated to work in fields, the question arises: who will cultivate food grains for India’s massive population?

Scrutiny under the Fiscal Responsibility and Budget Management Act

This largesse distribution raises serious concerns about fiscal responsibility. The Fiscal Responsibility and Budget Management Act, 2003, established to ensure economic stability, is being undermined. The Act imposes limitations on fiscal deficits and government debt, principles that are being blatantly ignored in the pursuit of populist measures.

Pre-Election Promises and Legal Ambiguity

Pre-election promises of free goods, or ‘freebies,’ violate the Fiscal Responsibility and Budget Management Act. Although the Supreme Court issued guidelines regarding these promises, the legal framework remains ambiguous. Delayed legal resolutions are not a luxury India can afford, given its developmental needs.

Suggestions for Reform

Governments must rigorously review these schemes, ensuring they fulfill their intended purposes without fostering dependency. Additionally, it is crucial to extend the Fiscal Responsibility and Budget Management Act, 2003, to all state and union territory governments. This step would provide a legal framework to curb these detrimental practices.

Conclusion

The largesse culture in Indian politics, while seemingly benefiting the public, is eroding fiscal discipline and promoting a culture of dependency. Urgent action is needed to rectify this situation. By adhering to fiscal responsibility, promoting transparency, and ensuring welfare schemes genuinely empower citizens, India can build a more equitable and sustainable future for all.

— Dr. P. K. Agrawal is a renowned writer of religion and Indian culture. At present he is Managing Partner of a New Delhi based law firm VAS Global.