Q. With reference to the grant-in-aid, consider the following:
- Statutory grants are made by the Parliament under Article 275.
- Discretionary grants are made by the Centre under Article 282.
- Statutory grants are charged on the consolidated fund of India.
- Discretionary grants are charged on the contingency fund of India.
Which of the statements given above is/are correct?
Answer:
Only 1, 2 & 3
Notes: Statutory grants are aid from Parliament to states in need, classified as general or specific, and are governed by Article 275 of the Constitution, charged to the Consolidated Fund of India. Discretionary grants, made at the Centre's discretion for public purposes, are outlined in Article 282, allowing grants beyond Finance Commission recommendations.