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Challenge To The Constitutional Validity Of PM-CARES Fund

Challenge To The Constitutional Validity Of PM-CARES Fund:

The Supreme Court has refused to entertain an appeal challenging an Allahabad High Court order which rejected a challenge to the constitutional validity of the PM-CARES Fund.

  • The High Court had dismissed the PIL which challenged the validity of the PM-CARES Fund and the Prime Minister National Relief Fund in the backdrop of the Disaster Management Act, 2005.
  • The petitioner had contended that the fund was established without statutory backing and was kept beyond the scrutiny of the RTI Act.
  • PM CARES has been under a cloud of suspicion ever since it was announced, with opposition parties demanding transparency over the handling of the funds.

About PM-CARES:

  • The Prime Minister’s Citizen Assistance and Relief in Emergency Situations (PM-CARES) Fund was set up to accept donations and provide relief during the Covid-19 pandemic, and other similar emergencies.

PM-CARES Fund:

  • PM-CARES was set up as a public charitable trust with the trust deed registered on March 27, 2020.
  • It can avail donations from the foreign contribution and donations to fund can also avail 100% tax exemption.
  • PM-CARES is different from the Prime Minister’s National Relief Fund (PMNRF).
  • rime Minister is the ex-officio Chairman of the PM CARES Fund and Minister of Defence, Minister of Home Affairs and Minister of Finance, Government of India are ex-officio Trustees of the Fund.
  • In 2021, the Delhi High Court was informed that the PM CARES Fund is not a Government of India fund and that the amount collected by it does not go to the Consolidated Fund of India.

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