In a critical juncture, the Governor’s investigation into Kerala’s financial emergency has placed the state government in a precarious position. Instigated by a petition from the ‘Save University’ campaign committee, the Governor’s examination, coupled with revelations from the Chief Secretary regarding the financial crisis, now serves as potential leverage against the government.
Contemplating the severity of the situation, the Governor has invoked Article 360 of the Constitution, a measure typically reserved for times of financial instability or crises. Despite the Communist Party of India (Marxist) (CPM) launching a political defense, the Chief Secretary’s affidavit to the High Court and earlier admissions by the Chief Minister and Finance Minister about the extent of the financial crisis present significant hurdles in avoiding a formal declaration of a financial emergency. Adding complexity to the situation, the 2020-21 Comptroller and Auditor General (CAG) report underscores the depth of the crisis, making it challenging for the government to elucidate the increasing dues and liabilities faced by the state. Outstanding payments to Supplyco, salary and pension arrears for college teachers, liabilities of KSRTC-KTDFC, and pending welfare pension dues further complicate matters for the Chief Secretary.
The next steps In this unfolding scenario hinge on the central government’s decision regarding potential political intervention against the state. This places the left front in a delicate position, as it grapples not only with the economic intricacies but also the task of effectively communicating the situation to the public. The upcoming Lok Sabha elections further intensify the challenges faced by the government, raising questions about its ability to navigate through this multifaceted crisis.