constituent assembly of india debates (proceedings)- volume vii

may be necessary [Para. *13 and Section B (5) of Appendix A]*.
6. Certain taxes and financial powers should be allocated to the councils. They should have all the
powers which local bodies in regulation districts enjoy and in addition they should have powers to impose
house tax or poll tax, land revenue and levies arising out of the powers of management of village forest
[Section *H of Appendix A and Para. 14 (a)]*.
Statutory provision for a fixed proportion of provincial funds to be spent on the hill districts is not
considered practicable. A separate financial statement for each hill district showing the revenue derived
from the district and the expenditure proposed on it is recommended. The framing of a suitable
programme of development should be enjoyed either by statute or by Instrument of Instructions
[Section *M of Appendix A and Para. 14 (b)].*
It is quite clear that the urgent requirements of the hill districts by way of expenditure on
development schemes are beyond the resources of the Provincial Government. The development of the
hill-districts should be as much the concern of the Federal Government as the Provincial Government.
Financial assistance should be provided by the Federation to meet the deficit in the ordinary
administration on the basis of the average deficit during the past three years and the cost of
development schemes should also be borne by the Central Exchequer [Section *N of appendix A and
Para. 14 (c)]*.
The claim of the hill district councils for assistance from general provincial revenues to the extent that
they are unable to raise the necessary finances within their own powers is recognised [Para. 14 (d)]*.
7. If local councils decide by a majority of three-fourths of their members to licence moneylenders or
traders they should have powers to require moneylenders and professional dealers from outside to take
out licences [Para. *15 and Section J of Appendix A]*.
8. The management of mineral resources should be centralised in the hands of the Provincial
Government but the right of the district councils to a fair share of the revenues is recognised. No licence
or lease shall be given by the Provincial Government except in consultation with the local Council. If
there is no agreement between the Provincial Government and the district Council regarding the share of
the revenue, the Governor will decide the matter in his discretion [Para. *16 and Section 1 of Appendix
A]*.
9. Provincial legislation which deals with the subjects in which the hill councils have legislative powers
will not apply to the hill districts. Legislation prohibiting the consumption of non-distilled liquors like Zu
will also not apply; the district council may however apply the legislation [Para. *17 and Section L of
Appendix A]*.
10. It is necessary to provide for the creation of regional councils for the different tribes inhabiting an
autonomous district if they so desire. Regional councils have powers limited to their customary law and
the management of lands and villages and courts. Regional councils may delegate their powers to the
district councils [Para. *18 and Section B (4) of Appendix A]*.
11. The Governor is empowered to set aside any act or resolution of the council if the safety of the
country is prejudiced and to take such action as may be necessary including dissolution of the local
councils subject to the approval of the legislature. The Governor is also given powers to dissolve the
council if gross mismanagement is reported by a commission [Para. *19 and Sections Q and R of
appendix A]*.