Thiruvananthapuram, 01 July (H.S.):The Opposition Left Democratic Front (LDF) on Wednesday staged a walkout from the Kerala Assembly, accusing the UDF government of bypassing established legislative procedures by introducing the Finance Bill, 2026, without referring it to the Assembly's Subject Committee. The row also centred on the inclusion of revised tax rates for low-alcohol liquor in the Bill, with the Opposition alleging that the government had diluted taxes without adequate legislative scrutiny.

The controversy erupted soon after the Finance Bill was taken up for consideration. Former Finance Minister K.N. Balagopal objected to the government tabling the Bill directly in the House, contending that it was unprecedented to bypass the Subject Committee, which is responsible for examining legislation before it is debated in the Assembly. He argued that the committee plays a crucial role in scrutinising Bills, reviewing government policies and ensuring legislative oversight.

Balagopal also objected to a provision in the Bill stating that the revised tax rates for low-alcohol liquor would come into effect on a date to be notified later by the government through the official Gazette. He described the clause as an instance of excessive delegation, arguing that it vested sweeping powers in the executive while reducing the legislature's role in deciding when the law should take effect.

Chief Minister V.D. Satheesan rejected the criticism, saying the Assembly's Business Advisory Committee (BAC), chaired by the Speaker, had approved the decision to allow the Finance Bill to be introduced without being referred to the Subject Committee. He pointed out that no Opposition member, including senior LDF leaders, had objected to the proposal during the BAC meeting.

The Chief Minister also said the previous LDF government had itself obtained a similar exemption on February 24 to present a Finance Bill without Subject Committee scrutiny. Speaker Thiruvanchoor Radhakrishnan overruled the Opposition's objections and permitted the Bill to be introduced.

Opposition Leader Pinarayi Vijayan acknowledged that the LDF had agreed during the BAC meeting to waive Subject Committee examination. However, he maintained that the Opposition had not been aware that the Finance Bill would contain provisions revising the tax structure for low-alcohol liquor.

Alleging that the government had significantly reduced taxes on liquor, Vijayan accused it of introducing the provisions without adequate scrutiny. Balagopal also defended the previous LDF government's decision not to prescribe a separate tax rate for low-alcohol liquor, saying it had deliberately avoided such a move in the interest of protecting the younger generation.

Declaring that the government had failed to follow proper legislative procedures, the LDF announced that it would not participate further in the proceedings and staged a walkout from the Assembly.

Replying to the debate later, Satheesan accused the Opposition Leader of misleading the House. He said the Budget containing the liquor tax proposals had been presented on June 19, while the BAC meeting that cleared the Finance Bill for introduction without Subject Committee scrutiny was held on June 23. Questioning the Opposition's stand, the Chief Minister asked how the former Chief Minister could claim ignorance of proposals that had already been announced in the Budget. By then, however, the LDF members had already boycotted the proceedings.

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Hindusthan Samachar / Arun Lakshman