Accept panel report on Governor's choice: CM

By Our Special Correspondent

HYDERABAD, NOV. 16. The Chief Minister, Mr. N. Chandrababu Naidu, has said that the Governor should be a non-political figure, that consultation with the Chief Minister before the choice of the Governor be made constitutionally mandatory and that Governors should not return to active politics at the end of their terms.

In his speech at the Inter-State Council meeting in Delhi today, Mr. Chandrababu Naidu said that these recommendations, made by the Sarkaria Commission, should be accepted.

But the role of the Governor as Chancellor of any university should be made subject to the advice of the Council of Ministers and should not be a matter of discretion for the Governor as recommended by the Sarkaria Commission. The text of the Chief Minister's speech was released to the press here. Mr. Chandrababu Naidu said that injustice was done to States in their efforts to raise internal resources. There is a huge potential to raise resources from the service sector, which was estimated to be worth Rs. 9 lakh crores.

The Centre, taking advantage of the residuary powers vested with it, imposed service tax at the uniform rate of 5 per cent to net Rs. 5,000 crores, depriving the States of their right to do so.

The Centre also wanted Value Added Tax imposed from April next. As VAT included a service component, it would get taxed indirectly. It would be proper if service tax was left to the States to be imposed.

Pending a Constitutional amendment, there should be an interim administrative arrangement to assign receipts from the service tax to the States in toto, he demanded.

The Chief Minister said there was no justification for the Centre to refuse permission to States to set up their own radio and TV channels when hundreds of private channels were operating within the country.

He opposed the demand that the proceedings of the Inter- State Council should be held in camera. In this age of transparency, with the Government of India planning a Right to Information bill, issues of public importance should not be suppressed from public knowledge.

The nation was entitled to know the different views expressed by various leaders, he added.

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Section  : Southern States
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