The Uttarakhand Lokayukta Bill 2014 was passed amid strong protest by the opposition in the 70-member Uttarakhand Assembly.
The opposition MLAs staged a walkout during the voting on the bill on Tuesday.
The new bill replaces Uttarakhand Lokayukta Act passed by the previous BJP government headed by BC Khanduri.
The opposition BJP legislators criticized this new Lokayukta Bill, calling it 'weak and full of loopholes'.
The state government said that the new Lokayukta Bill was drafted on the lines of the Lokpal Bill passed by Lok Sabha in December last year.
According to the Bill, the Lokayukta will be created in the state and headed by a practicing or retired judge or Chief Justice of the High Court. The head of the Lokayukta and its members will be appointed by a five-member selection committee headed by the Chief Minister.
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