Promises cannot be dropped merely because power has changed hands to another political party, the Supreme Court has said in a judgment.
Succeeding public authorities cannot undo the work of their predecessors by merely claiming it was not in “public interest” or would cause “loss to the treasury”, said a Bench led by Chief Justice India N.V. Ramana.
“Such a claim must be proven using material facts, evidence and figures. If it were otherwise, then there will remain no sanctity in the words and undertaking of the Government,” the recent verdict authored by Chief Justice Ramana noted.
Businesses would hesitate to invest if they detected a sense of insecurity or lack of continuity when power changes hands. “ Such a practice is counter-productive to the economy and the business environment in general,” the CJI wrote.
The top court said unless the act done by the previous government was found to be “contrary to the statutory provisions, unreasonable or against policy, the State should not change its stand merely because the other political party has come into power”. The new government was bound by the contractual promises of its predecessor. “The promise would be enforceable against the government.”
