Sir, I wish that clause (3) of the amendment proposed by Dr. Ambedkar which has created this misunderstanding had been left out. No harm could have been done had the word “prescribed” in this article not been defined in the same manner that it has been defined in article 251. I still suggest to my honourable Friend Dr. Ambedkar that clause (3) of the amendment proposed by him should be dropped. But this is not the only reason on which I make this suggestion. I have one other reason for asking him to omit the definition of the word “prescribed” from the amendment that he has proposed. It is right that the Finance Commission, when appointed, should consider the needs of the provinces. It should consider how much money they need as grants-in-aid in order to meet their ordinary expenditure. It is further right that it should consider how much money they should spend on nation-building services, for instance the development of education, public health and agriculture. It is equally right that it should consider any plans prepared by them for their industrial development and, after considering all these things, recommend to the Centre what should be the grant given on each count and also lay down how much money should be raised by loan either by the Centre or by the Provinces or by both. But I do not consider it desirable that the Commission should be able to say to the Centre that it should part with a particular source of revenue or that it should share it with the provinces. It will be within its province in examining the needs of the provinces and making such recommendations on the subject as it considers fit. The Central Government will take recommendations into account and, as I said the other day, I hope that a convention will grow up that Government should normally, that is, except in emergencies, accept the recommendations of the Commission. But if the Commission is allowed to make recommendations with regard to the distribution of the proceeds of certain sources of revenue between the Centre and the provinces, a difficult position may arise. It may not be possible for the Government of India to accept such a recommendation of the Commission and in that case, the growth of the convention that I should like to come into existence will be retarded. Besides, no Commission can weightfully the responsibility of the Central Government. The Central Government is responsible for many things, the most important of which is the security of India. It Should therefore rest with it to decide whether certain sources of revenue should be shared between it and the provinces or not. If the grants to be given to the provinces are large, and if they have to be given grants year after year, if in other words the provinces have to be assisted by the Centre to meet lap recurring expenditure, then it will probably be found to be desirable that the central Government, instead of giving lump sum grants, should sham a certain source of revenue with the provinces. But, otherwise, I do not think that it will be desirable for the Government of India to do so. On these grounds, Sir, I am of the opinion that clause (2) of the amendment proposed by Dr. Ambedkar to article 254 should be omitted.
