- A. 1 and 2
- B. 1, 3 and 4
- C. 3, 4 and 5
- D. 2 and 5
Answer: A
Explanation
Department related Standing Committees: The Committee system of Parliament is often used in several countries for oversight of regulators. In India, there are 24 Department Related Standing Committees that comprise members from both Houses of Parliament. These committees are ministry specific, and may review the working of regulators within their respective departments. The Ad hoc committees are temporary and perform specific task. The Ad Hoc Committees dissolve, once their task is done. These committees are Ministries’ specific and review the working of regulators within their respective departments. Ad-hoc Committees: Parliament may establish ad-hoc committees which may examine the working of regulators. For instance, the terms of reference of the Joint Parliamentary Committee (JPC) on the allocation of 2G spectrum include the review of the policy on spectrum pricing and grant of telecom licences. Another example of parliamentary oversight through ad-hoc committees is the scrutiny of the working of SEBI and RBI by the JPC on the stock market scam. The two parliamentary committees on finance which exercise oversight of regulators are: (a) the Committee on Estimates; and (b) the Public Accounts Committee (PAC). The Committee on Estimates reviews budgetary estimates of government departments. Such estimates include the budget of regulators. Most laws establishing independent regulators require the Comptroller and Auditor General (CAG) to prepare annual audit reports on the accounts of the regulators. These reports are tabled before Parliament and reviewed by the PAC. The PAC may require the regulator’s officers to depose before the Committee. For instance, the Chairman and senior officers of SEBI deposed before the PAC when it was examining the working of SEBI. Finance Commission, Financial Sector Legislative Reforms Commission and NITI Aayog have no role in reviewing the independent regulators.