The United Progressive Alliance (UPA) government on Thursday cleared the decks for the amended Lok Pal and Lok Ayukta Bill, 2011. Among other decisions, it removed a restriction on export of branded edible oil and increased the sugarcane price mills have to pay farmers.
On the Lok Pal and Lok Ayukta Bill, the Cabinet accepted 14 of the 16 recommendations made by the select committee of the Rajya Sabha, paving the way for the contentious Bill to be taken up in the Budget session.
MoS in the Prime Minister’s Office V Naranasamy told reporters after the Cabinet meeting: “The amendments to the Lok Pal Bill that have not been accepted are those relating to the right of a government employee to be heard before enquiry by the Lok Pal, besides consent from the Lok Pal before transfer of a CBI officer investigating a case. The government has not accepted these two amendments; rest all have been accepted.”
With this step, the amended Bill has significantly delinked the setting up of the Lok Pal from the Lok Ayuktas in states. Among other crucial changes incorporated in the Bill pertain to CBI and the appointment of the director of prosecution by the Central Vigilance Commission.
Anti-corruption activist Anna Hazare has trashed the amended Bill as “farce” and a “weak Bill”. Earlier, he had threatened a countrywide agitation, following which UPA Chairperson Sonia Gandhi had written to him.
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The Cabinet also increased the fair and remunerative price (FRP) of sugarcane for 2013-14 crop marketing season, starting October, by a steep 23.5 per cent. This could lead to escalation in retail sugar price.
FRP is the minimum a sugar mill has to pay farmers. However, states do not have to adhere to the price decided by the Centre. Sugarcane FRP now stands at Rs 210 a quintal.
The panel of ministers also lifted a cap on the export of branded edible oil in consumer packs. To check unrestricted sales, the Cabinet fixed a minimum export price of $1,500 a tonne on all such exports. The Cabinet decided to allow exports of coconut oil through all ports, but Kochi. It also suggested setting up an inter-ministerial committee to review the minimum export price, keeping global prices in mind, said a minister present in the meeting.
Lucknow-based ailing public sector Scooters India Ltd got a Rs 200-crore revival package. Incorporated in 1972, Scooters India initially manufactured scooters for the domestic market under the brand Vijai Super, and Lambretta for foreign markets.
An amendment to the Regional Rural Banks (RRBs) Act, 1976, to enhance the capital base of RRBs was also approved. The highest term for a government-appointed non-official director was fixed at two years.The proposed amendments would ensure financial stability of these banks and enable them to play a greater role in financial inclusion. Also, these banks would be able to meet credit requirements in rural areas. The boards of regional rural banks would also be strengthened.
ONGC Videsh Ltd’s acquisition of stake in an Azerbaijan oilfield for $1.001 billion was also approved.


