Question

Which article of Indian constitution is related with Provisions as to financial emergency?
1. 358
2. 360
3. 340
4. 322

Answer 1

Correct Answer - Option 2 : 360

The correct answer is 360.

• Financial Emergency:
  • Article 360 empowers the president to proclaim a Financial Emergency if he is satisfied that a situation has arisen due to which the financial stability or credit of India or any part of its territory is threatened.
  • The 38th Amendment Act of 1975 made the satisfaction of the president in declaring a Financial Emergency final and conclusive and not questionable in any court on any ground.
  • But, this provision was subsequently deleted by the 44th Amendment Act of 1978 implying that the satisfaction of the president is not beyond judicial review. 
  • A proclamation declaring financial emergency must be approved by both the Houses of Parliament within two months from the date of its issue. 
  • A resolution approving the proclamation of financial emergency can be passed by either House of Parliament only by a simple majority, that is, a majority of the members of that house present and voting.