UPSC IAS - 2011

The authorization for the withdrawal of funds from the Consolidated Fund of India must come from

Year Asked: 2011

A
The President of India
B
The Parliament of India
C
The Prime Minister of India
D
The Union Finance Minister

Correct Answer

B. The Parliament of India

Detailed Explanation

The correct answer is B) The Parliament of India. Under Article 266, all revenues, loans and receipts of the Government form the Consolidated Fund of India. Article 114(3) says no money can be withdrawn from it except under an appropriation law, and only Parliament can pass that law. The core concept is legislative control over public money, which is the foundation of parliamentary accountability in the budget process.

Why the others are wrong:

  • A) President: The President is the constitutional head and acts on the advice of the Council of Ministers. The President's role in the budget (Article 112, Article 117 recommendations) is procedural. Withdrawal still needs a law passed by Parliament.
  • C) Prime Minister: The PM leads the executive and can advise on spending, but has no power to authorise withdrawals on his own.
  • D) Union Finance Minister: The Finance Minister presents the Budget and the Annual Financial Statement, but does not authorise withdrawals. Government money moves only through the appropriation process.

For Mains, this links to GS-III and GS-II on fiscal accountability, the role of the CAG and PAC, and the executive's dependence on legislative sanction for expenditure.

Trap: Aspirants confuse executive recommendation or presentation of the budget with legislative authorisation. Remember that the Executive proposes and Parliament disposes.

This question appeared in UPSC Prelims 2011 GS Paper-1.

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