General Knowledge - Indian Politics - Discussion

Accordingly, Parliament enacted the contingency fund of India Act 1950. The fund is held by the Finance Secretary (Department of Economic Affairs) on behalf of the President of India and it can be operated by executive action. The Contingency Fund of India exists for disasters and related unforeseen expenditures. In 2005, it was raised from Rs. 50 crore to Rs 500 crore. Approval of the Parliament of India for such expenditure and for withdrawal of an equivalent amount from the Consolidated Fund is subsequently obtained to ensure that the corpus of the Contingency Fund remains intact.

Hence answer should be A.

Contingency means some disasters like. Flood, earthquake etc Caused by nature. To have financial help in this condition Contingency fund has been formed under the article 267 in our constitution. This fund is direct disposal to the President Of India. But prior to use this fund parliament approval is required.

This fund is assisted by Consolidated fund of India.

Actually, 'at the moment of taking out money from Contingency Fund of India, the executive doesn't need Parliament's approval.

Only subsequent approval is required.

Hence, Option B should be correct.

The Fund is placed at the disposal of the President and he can make advances out of it to meet unforseen expenditures PENDING IT'S AUTHORISATION BY THE PARLIAMENT.
(Indian Polity- Laxmikanth)

Contingency fund means the fund on the hands of the center, which is used for national disasters, emergency periods...etc.

Is CFI is used for their own salary purpose?

What is the meaning of contingency fund?

Good information. Thanks everyone.

Good reference, salim. thanks.

The Answer should be A.