Daily Current Affairs 24th March 2020

Daily Current Affairs 24th March 2020 Today’s Important Topic’s For UPSC Preparation

1. ‘CURFEW-LIKE’ RESTRICTIONS ENFORCED ACROSS STATE.

2. LOK SABHA PASSES FINANCE BILL WITHOUT DEBATE.

3. HYDROXYCHLOROQUINE IS RECOMMENDED FOR VERY SPECIAL CASES.

4. CENTRE AMENDS LAW TO ENABLE EXCISE DUTY INCREASE ON FUEL.

5. RBI ADVANCES SECOND TRANCHE OF OMO.

‘CURFEW-LIKE’ RESTRICTIONS ENFORCED ACROSS STATE Scaling up the precautionary measures to prevent the spread of COVID-19, the Karnataka government on Monday enforced “curfew-like” restrictions across the State from Tuesday and will be in force till March 31.

All public and private transport including Uber, Ola and autos will be off the road, while only essential services will be available across the State.

The government, which had initially announced restrictions only in nine districts that had reported COVID-19 cases, later revised the order to cover the entire State.

The government has enforced this under Epidemic Disease Act, 1981, making more stringent the guidelines put in place earlier.

Only services and activities related to health, medicine, agriculture, and grocery would be allowed to operate in these districts.

Similarly, industries would be asked to ensure that only 50% of their workforce were deployed for work.

Government and private offices would be classified as “essential” and “non-essential” services depending upon the nature of operation and only those in the essential sector would be allowed

to operate.

Tests: The government had decided to strictly quarantine and test all those who had come in contact with the COVID-19 patients.

It had been decided to test at least 200 people for a population of 10 lakh.

To facilitate this, licences would be granted to more number of government and private labs, he said. While a testing lab was already set up in Kalaburagi, a similar facility was about to commence in Ballari, Belagavi, Mangaluru, and Hubballi and at NIMHANS in Bengaluru.

The government would obtain the services of police in keeping a vigil on the C-category international travellers who have been home quarantined.

The family members of such persons would also be quarantined and the police would be instructed to paste notices on their houses and also inform locals about it.

A vigilance team comprising senior IAS officers had been formed to monitor the situation.

Special hospitals will be identified for handling the COVID-19 cases while more “fever clinics” would be set up for conducting tests.

Free food at Indira Canteens: With the poor and the daily wage workers being worst hit by the lockdown and the resultant job losses, the State government on Monday announced that free food would be served at Indira canteens all through the day.

No public festivities: This Ugadi on Wednesday will be without the usual fanfare with a ban on public celebration or religious rituals to stem the spread of COVID-19.

‘CURFEW-LIKE’ RESTRICTIONS ENFORCED ACROSS STATE

LOK SABHA PASSES FINANCE BILL WITHOUT DEBATE Finance Bill: A Finance Bill is a Bill that, as the name suggests, concerns the country’s finances — it could be about taxes, government expenditures, government borrowings, revenues, etc. Since the Union Budget deals with these things, it is passed as a Finance Bill.

Rule 219 of the Rules of Procedure of Lok Sabhastates: ‘Finance Bill’ means the Bill ordinarily

introduced in each year to give effect to the financial proposals of the Government of India for the following financial year and includes a Bill to give effect to supplementary financial proposals for any period.

It is introduced in Lok Sabha after the presentation of the annual Budget is passed by the House.

It is also certified as a Money Bill.

The Constitution defines financial legislation into two categories: Money Bills and Financial Bills.

Money Bills–Article 110 Financial Bills (I)– Article 117 (1) Financial Bills (II)– Article 117 (3) All Money bills are Financial bills but all Financial bills are not Money bills.

Difference between a Money Bill and the Finance Bill: A Money Bill has to be introduced in the Lok Sabha as per Section 110 of the Constitution.

Then, it is transmitted to the Rajya Sabha for its recommendations.

The Rajya Sabha has to return the Bill with recommendations in 14 days.

However, the Lok Sabha can reject all or some of the recommendations.

In the case of a Finance Bill, Article 117 of the Constitution categorically lays down that a Bill pertaining to sub-clauses (a) to (f) of clause (1) shall not be introduced or moved except with the President’s recommendation.

Also, a Bill that makes such provisions shall not be introduced in the Rajya Sabha.

Who decides the Bill is a Finance Bill?

The Speaker of the Lok Sabha is authorised to decide whether the Bill is a Money Bill or not.

Also, the Speaker’s decision shall be deemed to be final.

Why finance bill is needed?

The Union Budget proposes many tax changes for the upcoming financial year, even if not all of those proposed changes find a mention in the Finance Minister’s Budget speech.

These proposed changes pertain to several existing laws dealing with various taxes in the country.

The Finance Bill seeks to insert amendments into all those laws concerned, without having to bring out a separate amendment law for each of those Acts.

For instance, a Union Budget’s proposed tax changes may require amending the various sections of the Income Tax law, Stamp Act, Money Laundering law, etc.

The Finance Bill overrides and makes changes in the existing laws wherever required.

What changes can be made via Finance Bill?

The most awaited changes in the tax proposals in the Union Budget usually pertain to personal income tax.

In addition, there might be changes in the rules, procedures, deadlines for filing tax returns or the payment of tax itself.

Since the introduction of GST, there is no amendment to indirect taxes in the Union Budget, since that is under the purview of the GST Council.

Money bill vs Financial bill

What are the different types of Bills?

There are four types of Bills, namely (i) Constitution Amendment Bills; (ii) Money Bills; (iii) Financial Bills; and (iv) Ordinary Bills.

Constitution Amendment Bills: These are Bills which seek to amend the Constitution.

A Constitution Amendment Bill must be passed by both Houses of Parliament.

It would require a simple majority of the total membership of that House, and a two thirds majority of all members present and voting.

Further, if the Bill relates to matters like the election of the President and Governor, executive and legislative powers of the centre and states, the judiciary, etc., it must be ratified by at least half of the state legislatures.

Article 368: Article 368 of Part XX deals with the power of Parliament to amend the Constitution and the procedure thereof. It keeps a check on the arbitrary power of the Parliament of India.

Money Bills: A Bill is said to be a Money Bill if it onlycontains provisions related to taxation, borrowing of money by the government, expenditure from or receipt to the Consolidated Fund of India.

A Money Bill may only be introduced in Lok Sabha, on the recommendation of the President.

It must be passed in Lok Sabha by a simple majority of all members present and voting.

Following this, it may be sent to the Rajya Sabha for its recommendations, which Lok Sabha may reject if it chooses to.

If such recommendations are not given within 14 days, it will deemed to be passed by Parliament.

Financial Bills: A Financial Bill may only be introduced in Lok Sabha, on the recommendation of the President.

The Bill must be passed by both Houses of Parliament, after the President has recommended that it be taken up for consideration in each House.

Ordinary Bills: All other Bills are called ordinary bills.

An Ordinary Bill may be introduced in either House of Parliament.

It must be passed by both Houses by a simple majority of all members present and voting.

Types of bills

Why in News?

The Lok Sabha was adjourned sine die on Monday after the passage of the Finance Bill, 2020 without any debate due to the situation arising out of the COVID-19 pandemic.

The House was scheduled to adjourn on April 3.

Adjournment: Adjournment terminates the sitting of the House which meets again at the time appointed for the next sitting.

The postponement may be for a specified time such as hours, days or weeks.

If the meeting is terminated without any definite time/ date fixed for next meeting, it is called

Adjournment sine die.

Adjournment sine die: Adjournment sine die means “without assigning a day for a further meeting or hearing“.

To adjourn an assembly sine die is to adjourn it for an indefinite period.

HYDROXYCHLOROQUINE IS RECOMMENDED FOR VERY SPECIAL CASES Hydroxychloroquine: Hydroxychloroquine is in a class of drugs called antimalarials.

It is used to prevent and treat acute attacks of malaria.

It is also used to treat discoid or systemic lupus erythematosus and rheumatoid arthritis in patients whose symptoms have not improved with other treatments.

Chloroquine: Chloroquine is used to treat malaria, as well as in chemoprophylaxis, which is the administering of drugs to prevent the development of disease.

Since 2006, it has not been recommended for use in severe malaria because of problems with resistance, particularly in the Oceania region, according to the World Health Organization.

WHO includes it on its list of “essential medicines,” meaning it should be kept affordable and accessible at all times.

According to the Swiss-registered organization, Medicines for Malaria Venture, chloroquine is a derivative of quinine, which French chemists in 1820 isolated from the bark of the cinchona tree found in South America, employing it as a treatment for fevers.

Hydroxychloroquine is what’s known as an analog of chloroquine, meaning the two have similar structures but different chemical and biological properties.

The formeris considered the less toxic derivative, according to studies.

Why in News?

US President Donald Trump had said a hydroxychloroquine-azithromycin combination could be a “game changer” in the fight against COVID-19.

The Lancet Global Health explored its therapeutic and prophylactic properties.

“Notably, the drug shows antiviral activity in vitro against coronaviruses, and specifically, SARSCoV-2 [the virus that causes COVID-2].

Pharmacological modelling based on observed drug concentrations and in vitro drug testing suggest that prophylaxis with hydroxychloroquine at approved doses could prevent SARS-CoV-2 infection and ameliorate viral shedding.�

It also mentioned clinical trials currently under way in China on whether the drug can be used for treatment.

Hydroxychloroquine and chloroquine have in vitro activity against SARS-CoV, SARS-CoV-2, and other coronaviruses, with hydroxychloroquine having higher potency against SARS-CoV-2.

What has India recommended?

The National Taskforce for COVID-19 has recommended hydroxychloroquine for prophylaxis in case of asymptomatic healthcare workers involved in the care of suspected or confirmed cases of COVID-19 and asymptomatic household contacts of laboratory confirmed cases. hydroxychloroquine and Chloroquine

CENTRE AMMENDS LAW TO ENABLE EXCISE DUTY INCREASE ON FUEL What is Excise Duty: Excise duty is basically a production tax.

Tax on the production stage for most of the commodities is made by the centre in the form of union excise duties (UED).

It is imposed on manufactured items in India that are meant for domestic consumption.

The UED is not payable on the goods exported from India.

Manufacturers have to pay excise duties to the centre and tax is imposed and collected on a value addition base.

In other words, the UED is implemented as a VAT and it is called as CENVAT (Central Value Added Tax) from 1999 The Central Government levies excise duty under the Central Excise Act, 1944 and the Central Excise Tariff Act, 1985.

The Central Board of Excise and Customs (CBEC) is responsible for collecting excise duty.

What is state excise duty?

Excise duty on production few items including that on liquor is imposed by state governments.

Excise duty on alcohol, alcoholic preparations, and narcotic substances is collected by the State Government and is called “State Excise” duty.

For most of the states, excise duty is the second largest tax revenue after sales taxes (state VAT).

Reforms: In July 2017 the Centre introduced GST that subsumed a number of indirect taxes including excise duty.

This means excise duty, technically, does not exist in India except on a few items such as liquor and petroleum.

Why in News?

The government amended the law to get enabling powers to raise excise duty on petrol and diesel by ₹8 per litre each in future.

Finance Minister Nirmala Sitharaman moved an amendment to the Finance Bill, 2020, to raise the limit up to which the government can raise special excise duty on petrol and diesel to ₹18 per litre and ₹12, respectively.

The amendment, along with the Finance Bill, was passed without a debate in the Lok Sabha.

The government had on March 14 raised excise duty on petrol and diesel by ₹3 per litre each to raise an additional ₹39,000 crore in revenue annually.

This duty hike included ₹2 a litre increase in special additional excise duty and ₹1 in road and infrastructure cess.

This hike took the special additional excise duty to maximum permissible in law — ₹10 in case of petrol and ₹4 in case of diesel.

Now, through an amendment of the Eighth Schedule of the Finance Act, this limit has been increased to ₹18 per litre in case of petrol and ₹12 in case of diesel.

No hike planned for now: This is an enabling provision and no change in excise duty is being done as of now.

The amendment gives powers to the government to raise the duty by up to ₹8 per litre in petrol and diesel at any time it wishes.

More than 40 amendments were introduced by the government to the Finance Bill, which was moved for consideration and passing, by the Finance Minister.

CENTRE AMMENDS LAW TO ENABLE EXCISE DUTY INCREASE ON FUEL

On upswing: The government had on March 14 raised excise duty on petrol and diesel by ₹3 per litre.

RBI advances second tranche of OMO Open Market Operations: Open Market Operations (OMOs) are market operations conducted by RBI by way of sale/purchase of government securities to/from the market with an objective to adjust the rupee liquidity conditions in the market on a durable basis.

If there is excess liquidity, RBI resorts to sale of securities and sucks out the rupee liquidity.

Similarly, when the liquidity conditions are tight, RBI buys securities from the market, thereby releasing liquidity into the market.

The objective of OMO is to regulate the money supply in the economy.

RBI carries out the OMO through commercial banks and does not directly deal with the public.

Types of Open Market Operations: RBI employs two kinds of OMOs: Outright Purchase (PEMO) – this is permanent and involves the outright selling or buying of government securities.

Repurchase Agreement (REPO) – this is short-term and are subject to repurchase.

Opem market bills

Why in News?

The Reserve Bank of India (RBI) has advanced its liquidity infusion plan by purchasing government bonds.

The RBI had announced open market operations (OMOs) of ₹30,000 crore in March 2020 — the first tranche was scheduled for March 24 and the second tranche for March 30.

“On a review of current liquidity and financial conditions, the Reserve Bank has decided to advance the second tranche of purchase of government securities under OMOs for ₹15,000 crore to March 26, 2020.

The RBI also said to tide over any frictional liquidity needs due to COVID-19, it had decided to conduct the variable rate repo auctions for â‚š1,00,000 crore in two tranches.

WORD OF THE DAY PROPHYLAXIS: Treatment given or action taken to prevent disease.