SC says freebies may push state towards bankruptcy, refers matter to 3-judge bench

The Supreme Court on Friday noted that freebies announced by political parties may push the state towards imminent bankruptcy, as it framed preliminary issues which require further deliberation before concrete orders are passed, and referred the pleas against freebies to a 3-judge bench.

Supreme Court

The Supreme Court on Friday noted that freebies announced by political parties may push the state towards imminent bankruptcy, as it framed preliminary issues which require further deliberation before concrete orders are passed, and referred the pleas against freebies to a 3-judge bench.

A bench, headed by Chief Justice N.V. Ramana and comprising Justices Hima Kohli and C.T. Ravikumar said: "Freebies may create a situation wherein the state government cannot provide basic amenities due to lack of funds and the state is pushed towards imminent bankruptcy. In the same breath, we should remember that such freebies are extended utilising tax payers' money only for increasing the popularity of the party and electoral prospects."