Government   /   LG&CDD   /   PMDFC

Chapter – XXVI) Oversight by the Government

GOVERNMENT – LOCAL GOVERNMENTS RELATIONS

Chapter – XXVIOversight by the Government #

146.     Supervision of local governments.–

(1) The Chief Minister may, from time to time, give policy directions and fix objectives for the effective, transparent and efficient undertaking of functions by a local government.

(2)       The Minister in charge of the Department may, by a general or special order, direct a local government to take any measure in the public interest, where situation demands immediate action.

(3)        The Secretary shall exercise supervision and general control over the local governments to ensure that they always act in the public interest and perform their functions strictly in accordance with the provisions of this Act and all other relevant laws for the time being in force.

(4)       The Secretary may direct office of Directorate General Inspections and Monitoring to probe into any matter relating to the functions of the local government or conduct of elected Officials, Officers and officials of the local governments and submit a fact finding report with specific recommendations to deal with the matter.

(5)        Based on the above report, the Secretary may direct the concerned local government to take measures for effective service delivery and smooth functioning in accordance with the law.

(6)       The Secretary may, in case of elected officials, refer the matter to the Commission for appropriate proceedings under this Act, and in case of other officials take action under the law.

(7)       The Secretary, with the approval of Minister, may issue standing instructions on general matters relating to the work of local governments which shall be consistent with this Act and rules made thereunder.

(8)        The Secretary, may issue an advice on general matters relating to the work of local governments which shall be consistent with the Act, rules and standing instructions.

NOTES:
  PARI MATERIA PROVISIONS  
PLGA 2013PLGA 2019PLGO 2021PLGA 2022 (Act No. XIII of 2022)PLGA 2022 (Act No. XXXIII of 2022)
s.s.s.s.s.
223146153146

Comments

It should be kept in mind that devolution does not mean permanent divesture of functions and powers. The Province has power to take back any function and power devolved to a local government and extends or curtails its boundary. It is important to peruse the observations of the Hon’ble Supreme Court of Pakistan in paragraphs 55 and 56 of the judgment reported as 2005 SCMR 1739,reproduced below:

“55.     The creation of a Local Government System and the conferment upon the Local Government of certain political, administrative and financial responsibilities does not deprive the Province of authority over its citizens and deny it role in the progress, prosperity and development of the Province. The creation of a Local Government System does not spell the end of the Provincial Government in the Province. To the contrary it strengthens the Provincial Government by entrenching democracy at grass root level.

56.       That even after the insertion of Article 140A the Provincial Government would continue to have the authority to enact and amend statutes, make general or special laws with regard to Local Government and local authorities, enlarge or diminish the authority of Local Government and extend or curtail municipal boundaries. This power of amendment has, however, to be informed by the fact that if the Provincial Government oversteps its legislative or executive authority to make the Local Government powerless such exercise would fall foul of Article 140A of the Constitution. An excessive or abusive exercise of such authority would not be countenanced by this Court. It would be struck down.”

Since section 15 of the Act talks about the executive authority of the Government which of supervisory nature, provisions of section 146 provides the manner and limits under which the said executive authority is to be exercised. The section empowers the Chief Minister to give policy, directions and fix objectives to the local governments for smooth performance of their functions. The Minister In-charge of the may by a general or special order also direct a local government to take any measure in public interest where situation demands immediate action. It is important to state that the Chief Minister or the Minister In-Charge has no power to give any direction beyond the scope of the Act, for example, if for a particular function or power, manner to perform the said function and power has been expressly provided in the Act, the policy given by the Chief Minister or direction passed by him or Minister In-charge cannot be contrary to the manner to perform the function or exercise the authority, provided in the Act.

For the purpose of the exercise of the executive authority of supervisory nature, the Secretary LG&CD Department has been given a supervisory rule to ensure that local governments are performing their respective functions and exercising powers in accordance with law. The Secretary is also empowered to cause the probe to be conducted into any matter relating to the functions of the local government or conduct of elected Officials, Officers and officials of the local governments through Directorate General (Inspections and Monitoring) and consequent to the said probe, direct the local government concerned to take measures for effective service delivery under the law. In case any illegality in performance of the functions and exercise of powers is found, the Secretary may refer the matter to the Punjab Local Government Commission to inquire into the conduct of the elected official, while for the conduct of the public functionaries, action under the Punjab Employees Efficiency, Discipline and Accountability Act, 2006 may be taken. Besides issuance of standing Instructions to the local governments subject to the Act, Secretary has also been given advisory role in the matters referred by the local governments.

147.     Power to call for information.–

(1) Chief Minister, Minister or Secretary may, through a general or specific order, require a Chief Officer to provide to him, by such time or at such intervals as is specified in the order:

(a)        any record pertaining to the proceedings of the Council, a committee or sub-committee of the Council or any other meeting of the local government;

(b)       a resolution of the Council or any record pertaining to such resolution;

(c)        a bye-law promulgated by the local government or any record pertaining to such bye-law;

(d)       an order or instruction of the Head, Deputy Mayor, Vice Chairperson, Speaker, Councillor, or any officer or servant of the local government and record pertaining to such order or instruction;

(e)        a document, return, statement, estimate, statistics or other information regarding any matter pertaining to or under the control of the local government;

(f)        a report on any matter pertaining to or under the control of a local government; and

(g)       a copy of a document in his charge or under the control of a local government.

(2)       It shall be duty of the Head, Deputy Mayor, Vice Chairperson, Speaker, Councilor, officer and servant of the local government to provide such information, documents and record to the Chief Officer as he may require and otherwise assist him for the purposes of this section.

NOTES:
  PARI MATERIA PROVISIONS  
PLGA 2013PLGA 2019PLGO 2021PLGA 2022 (Act No. XIII of 2022)PLGA 2022 (Act No. XXXIII of 2022)
s.s.s.s.s.
226147154147

148.     Power of the Secretary to suspend and set aside certain resolutions or orders of local government.–

(1) The Secretary may, by a speaking order in writing, suspend a resolution or order of a local government if he finds that the resolution or order:

(a)        is not in conformity with this Act or with the rules or bye-laws made thereunder or any other law for the time being in force;

(b)       is prejudicial to the public interest; or

(c)        is likely to lead to a breach of peace or to cause injury or annoyance to the public or any class or body of a person.

(2)       A copy of the order under subsection (1) shall be sent to the respective Head of the local government who shall consider the matter afresh.

(3)       The local government shall, after taking the matter into consideration, pass a resolution or an order afresh and send a copy thereof together with a copy of the proceedings relating to that resolution or order to the Secretary.

(4)       The Secretary may, after considering the resolution or the order passed by the local government under subsection (3) and the proceedings related to that resolution, either cancel, modify or confirm the order passed by him under subsection (1) or take such other action in respect of the matter including setting aside of the resolution or order, if it is considered just or expedient having regards to the circumstances of the case.

(5)       Any resolution or order passed by a local government or any act or thing done or intended to be done by a local government which is revoked or prohibited by the Secretary shall cease to have effect from the date of setting aside of the resolution or order.

(6) A local government or any person aggrieved from the order under subsection (4,) may within thirty days, file an appeal before the Commission.

(7)        The Commission shall decide the appeal within ninety days.

NOTES:
  PARI MATERIA PROVISIONS  
PLGA 2013PLGA 2019PLGO 2021PLGA 2022 (Act No. XIII of 2022)PLGA 2022 (Act No. XXXIII of 2022)
s.s.s.s.s.
228148148

149.     Procedure where Head of the local government fails to show cause or to take action on directions under the Act.–If within the period specified in an order under section 148, any measure or arrangement directed thereunder has not been duly taken or made, or cause has not been shown as aforesaid, the Minister in charge of the Department may, by a written order:

(a)        withhold transfer of all moneys or such portion of moneys receivable by that local government from the provincial allocable amount as it deems appropriate till such time as the measures or arrangements directed are duly taken or made; or

(b)       impose a fine on the local government not exceeding two per centum of the moneys receivable by the local government from the provincial allocable amount during the relevant financial year.

NOTES:
  PARI MATERIA PROVISIONS  
PLGA 2013PLGA 2019PLGO 2021PLGA 2022 (Act No. XIII of 2022)PLGA 2022 (Act No. XXXIII of 2022)
s.s.s.s.s.
230149149

Comments

The provisions of sections 148 and 149 are interconnected and have to be read together. Provisions of section 148 ensure that the local government passes orders and resolutions in accordance with law. In case there is a breach from conditions enumerated therein, the Secretary is vested with power to suspend the same through a speaking order in writing, whereupon the concerned local government shall consider the matter and pass the resolution or an order afresh. On receipt of the fresh resolution or order, the Secretary may either cancel, modify or confirm the order earlier passed by him or take such other action in respect of the matter including setting aside of the resolution or order, if it is considered just or expedient having regards to the circumstances of the case. In such eventuality, the local government, if feels aggrieved from the order of the Secretary, has a right to file appeal before the Punjab Local Government Commission who shall decide the matter within ninety days.

In case, the local government fails to act in accordance with the order of the Secretary or the order of the Commission passed in appeal filed by the local government, the Minister In-charge may by written order either withhold transfer of all moneys or such portion of moneys receivable by that local government from the provincial allocable amount as it deems appropriate till such time as the measures or arrangements directed are duly taken or made or impose a fine on the local government not exceeding two per centum of the moneys receivable by the local government from the provincial allocable amount during the relevant financial year. In this section, the expression “moneys receivable by the local government from the provincial allocable amount” connotes to the moneys received by the local government under the Provincial Finance Commission Share.

150.     Power of the Secretary to take action on his own.–

(1) Where, in view of the circumstances of the local government or the immediate nature of the arrangement or measure, the Secretary is of the opinion that the arrangements or measures should be made or taken, he may, by an order, direct the Head of the local government, to make such arrangement or take such measures within a specified period.

(2)       Where the Head of a local government fails to act within the period specified under subsection (1) or the cause shown by him, in the opinion of the Secretary, is unsatisfactory, the Secretary may by an order appoint any of his subordinate officer to take the action so directed.

(3)       The Secretary or an officer appointed under subsection (2) may for the purpose of taking the action directed, exercise all powers and authority conferred upon the local government or an officer of the local government by or under this Act which are specified in that behalf in the order issued under subsection (2).

NOTES:
  PARI MATERIA PROVISIONS  
PLGA 2013PLGA 2019PLGO 2021PLGA 2022 (Act No. XIII of 2022)PLGA 2022 (Act No. XXXIII of 2022)
s.s.s.s.s.
231150150

151.     Suspension or dissolution of a local government.–

(1) Without any prejudice to other provisions of this Act, where, in view of the appertaining circumstances, the Chief Minister is of the opinion that a local government may be suspended for any of the following reasons:

  • the Council has been unable to meet its statutory obligations for the last two financial years; or
    • the local government becomes insolvent and remains so for a period of one financial year

(2)        The Chief Minister shall, through an order direct the respective Head of the local government to show cause within a specified period as to why proceedings for suspension of the local government shall not be initiated.

(3)       Where the Head of the local government fails to show cause within the specified period or the cause shown by him is, in the opinion of the Chief Minister, unsatisfactory, the Chief Minister may suspend it for a specified period, which shall in no circumstances exceed six months and shall make a reference to the Commission for an inquiry as to whether such reason or reasons exist for the dissolution of such local government.

(4)       Where, as a result of an inquiry under subsection (3), after hearing all the stakeholders, the Commission is of the view that one or more reasons mentioned in this section exist and the local government may be dissolved, the Commission shall submit its findings to the Chief Minister who may, by an order published in the official Gazette, dissolve that local government.

NOTES:
  PARI MATERIA PROVISIONS  
PLGA 2013PLGA 2019PLGO 2021PLGA 2022 (Act No. XIII of 2022)PLGA 2022 (Act No. XXXIII of 2022)
s.s.s.s.s.
233151151

152.     Effect of suspension or dissolution of a local government.–

(1) Without any prejudice to other provisions of this Act, consequent to an order under section 151 of this Act:

(a)        all elected officials of the suspended or dissolved local government shall stand suspended or dissolved forthwith;

(b)       all powers, duties and functions of the local government shall, during the period of suspension or dissolution, be exercised and performed by such of its officer or authority as the Secretary may appoint in this behalf; and

(c)        all funds and properties vested in the local government shall, during the period of suspension or dissolution, vest in the officer or authority referred to in clause (b) above as a trust for the purpose of this Act.

 (2)       Where, at the time of dissolution, the remaining term in office of the council is in excess of one hundred and twenty days, the Election Commission shall order fresh elections in the respective local area, so far as possible, and if, at the time of such dissolution, the remaining term in office of the council is less than one hundred and twenty days, the officer or authority referred to in clause (b) of subsection (1) above shall continue to exercise powers and perform duties and functions of the local government and its funds and properties shall continue to vest in him till an elected council resumes office.

NOTES:
  PARI MATERIA PROVISIONS  
PLGA 2013PLGA 2019PLGO 2021PLGA 2022 (Act No. XIII of 2022)PLGA 2022 (Act No. XXXIII of 2022)
s.s.s.s.s.
234152152

153.     Reinstatement of suspended local government.–A local government, if not earlier reinstated by the Chief Minister, shall stand reinstated into office immediately on the expiry of period of suspension subject to provisions of Section 151.

NOTES:
  PARI MATERIA PROVISIONS  
PLGA 2013PLGA 2019PLGO 2021PLGA 2022 (Act No. XIII of 2022)PLGA 2022 (Act No. XXXIII of 2022)
s.s.s.s.s.
235153153

Comments

Provisions of sections 151, 152 and 153 are interconnected and complement of each other. Joint reading of the provisions of the said sections shows that the Chief Minister is empowered to suspend a local government, besides other reasons provided under the Act, on the following two reasons: (1) The Council has been unable to meet its statutory obligations for the last two financial years; and (2) the local government becomes insolvent and remains so for a period of one financial year. The Act ensures grant of right of hearing to the head of an elected local government by showing cause for not initiating the proceedings for the suspension of the local government and only if the cause shown is found unsatisfactory, the Chief Minister may suspend it for a period not exceeding six months and shall refer the matter to the Commission for an inquiry as to whether such reason or reasons exist for the dissolution of such local government. In case, the Commission after affording proper right of hearing observes that one or more reasons mentioned in this section exist and the local government may be dissolved, the Commission shall submit its findings to the Chief Minister who may, by an order published in the official Gazette, dissolve that local government. Upon suspension or dissolution of the local governments, all powers and functions shall be exercised and performed by the officer or authority appointed by the Secretary and all funds shall vest in the said officer or authority. The Election Commission shall also announce election, in case period of not than 120 days remains out of the entire term of a local government. The Chief Minister, may, however, reinstate the local government earlier than the specified period of suspension.

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