New Delhi: Stressing emphasis on the federal structure of India, Finance Minister Arun Jaitley said that we cannot overlook the federal structure of India in dealing with crimes and he also said that the law and order is a state subject because if state police are allowed to investigate central agencies, it would dis-balance the whole system.
He also called for patience over rising oil prices and the weakening rupee, adding that the government will meet the fiscal deficit target.
In a veiled reference to the recent arrest of Bank of Maharashtra CEO Ravindra Marathe, Jaitley said that if state police were allowed a free run, the federal structure could be undermined.
“We cannot overlook the federal structure of India in dealing with crimes,” Jaitley said at the fifth State Bank of India Banking & Economics Conclave in an address through video link. “Law and order is a state subject. If state police are allowed to investigate central agencies, it would disbalance the whole system.”
“We need a certain level of statesmanship by both central and state agencies. Activism by state agenices should come with restraint. We need to put an entire relationship in place,” he said. Jaitley is currently recuperating after a kidney transplant.
In the absence of a clear-cut system that determines who investigates criminality, the system will grind to a halt, Jaitley said. Economic decision-making is a critical function that cannot be dictated by slogans and populism, he said.
His comments came amid a series of arrests and charges being filed against top serving and retired state-run bank executives in corruption cases. While some are new, the Central Bureau of Investigation and the Enforcement Directorate have charged former bankers in older cases as well.