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Governor

With referenc...

Question

With reference to Finance Commission, consider the following statements:
1. It is a permanent body created by the President of India
2. Its recommendation is binding upon the government
Which of the statements given above is/are correct?

A

1 only

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B

2 only

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C

Both 1 and 2

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D

Neither 1 nor 2

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Solution

The correct option is D Neither 1 nor 2
The Central Finance commission is an adhoc body which is created by the President in every 5 years or earlier.
The Finance Commission is an advisory body hence the recommendation are not binding upon the central Government.

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