🧾 Article 283 of the Indian Constitution
Title: Custody, etc., of Consolidated Funds, Contingency Funds, and Moneys credited to the Public Account
🔍 Explanation:
Article 283 deals with financial management at the Union and State levels, specifically focusing on how government funds are maintained and regulated.
📘 Key Provisions of Article 283:
| Clause | Provision |
|---|---|
| (1) | The Union Government shall have rules made by Parliament for: |
| a) Custody of: |
-
Consolidated Fund of India
-
Contingency Fund of India
-
Public Account of India
b) Payments from these funds |
| (2) | The State Governments shall have rules made by their respective Legislatures for:
a) Custody of: -
Consolidated Fund of the State
-
Contingency Fund of the State
-
Public Account of the State
b) Payments from these funds |
📊 Summary Chart: Article 283
| Feature | Union Level (Clause 1) | State Level (Clause 2) |
|---|---|---|
| Who frames rules? | Parliament | State Legislature |
| Funds covered | - Consolidated Fund of India - Contingency Fund of India - Public Account of India | - Consolidated Fund of State - Contingency Fund of State - Public Account of State |
| Purpose | To govern custody and withdrawals/payments | Same as Union, but for State funds |
| Type of Rule | Made by law or executive order | Made by state law or order |
🧠 Why Article 283 is Important:
-
Ensures financial discipline at both the Union and State levels.
-
Provides a constitutional basis for managing public funds.
-
Connects closely with Articles 266, 267, and 284, which define the structure of the government’s financial system.
Here is a combined flowchart showing the relationship and process flow from Article 280 to Article 283 of the Indian Constitution — covering the entire framework of financial management, including revenue sharing, recommendations, grants, and fund custody.
🔁 Combined Flowchart: Articles 280 to 283 – Financial Management in India
┌────────────────────────┐
│ Article 280 │
│ Finance Commission │
└─────────┬──────────────┘
│
┌───────────────────▼────────────────────┐
│ President constitutes Finance Commission│
│ Every 5 years (or earlier if required) │
└───────────────────┬────────────────────┘
│
┌──────────────────────▼──────────────────────┐
│ Commission recommends: │
│ - Tax distribution (Union ↔ States) │
│ - Grants-in-aid to States │
│ - Other fiscal issues │
└──────────────────────┬──────────────────────┘
│
┌─────────▼─────────┐
│ Article 281 │
│ Presentation of │
│ Finance Commission│
│ Report │
└─────────┬─────────┘
│
┌─────────────────────────────▼────────────────────────────┐
│ President lays before Parliament: │
│ - Finance Commission Report │
│ - Explanatory memorandum (Govt. action taken) │
└───────────────────────────────────────────────────────────┘
│
▼
┌─────────▼─────────┐
│ Article 282 │
│ Discretionary │
│ Grants by Union │
│ or States │
└─────────┬─────────┘
│
┌───────────────────────────▼────────────────────────────┐
│ Union or States may give grants for any public purpose │
│ even beyond their legislative powers │
└────────────────────────────────────────────────────────┘
│
▼
┌─────────▼─────────┐
│ Article 283 │
│ Rules for Custody│
│ and Payments from│
│ Government Funds│
└───────────────────┘
│
┌───────────────────────────────────────────────────────────────────┐
│ Union: Parliament makes rules for: │
│ - Consolidated Fund of India │
│ - Contingency Fund of India │
│ - Public Account of India │
│ │
│ States: State Legislature makes rules for: │
│ - Consolidated Fund of the State │
│ - Contingency Fund of the State │
│ - Public Account of the State │
└───────────────────────────────────────────────────────────────────┘
🧠 Key Understanding from Articles 280–283:
| Article | Focus Area | Importance |
|---|---|---|
| 280 | Constitution of Finance Commission | Revenue sharing, fiscal fairness |
| 281 | Presentation of FC Report to Parliament | Transparency and accountability |
| 282 | Discretionary grants by Union/States | Welfare flexibility |
| 283 | Fund custody and rules | Fiscal discipline and control |
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