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Q: If a budget is defeated in the legislature of a state then.
  • A. The Finance Minister alone has to resign
  • B. The Finance Minister concerned has to be suspended
  • C. The Council of Ministers along with the Chief Minister has to resign
  • D. Re-election has to be ordered
Correct Answer: Option C - If the state legislature refuses to pass annual budget then it is usually considered that the government of the day has lost the faith in the legislature state i.e it does not have majority of the legislative. In such a scenario, the council of ministers along with the Chief Minister has to resign.
C. If the state legislature refuses to pass annual budget then it is usually considered that the government of the day has lost the faith in the legislature state i.e it does not have majority of the legislative. In such a scenario, the council of ministers along with the Chief Minister has to resign.

Explanations:

If the state legislature refuses to pass annual budget then it is usually considered that the government of the day has lost the faith in the legislature state i.e it does not have majority of the legislative. In such a scenario, the council of ministers along with the Chief Minister has to resign.