Utility of FAST TRACK COURTS in INDIA

Recently the government has proposed to set up 1023 fast track

courts to clear the cases under the POCSO Act.
• Supreme Court in a suo moto petition had issued directions that
districts with more than 100 cases pending under POCSO Act
need to set up special courts that can deal with cases.
• The 11th Finance Commission had recommended for
establishment of FTCs for speedy disposal of cases pending in the
lower courts.
• Uttar Pradesh has the highest pendency , however 56% of the
States and Union Territories like Karnataka,MP, and Gujarat had
no FTCs.
• More than 850 crore has been released between 2001-2011
towards the FTCs.
 Difference between special court and fast track court
• Fast Track court is for speedy disbursement of pending cases like
in rape or murder cases where there is chance that accused could
destroy the evidence or harass the witness then government could
transfer the cases to FTCs.
• In special courts there is no upper limit or time boundation to
adjudicate the cases in fixed time like cases of national importance
,TADA, POTA money laundering etc.
• Both the courts here mentioned are trial courts and the judgement
can be challenged in High court and Supreme court.
 Status of Fast track courts(FTCs) in India
• Subordinate courts has the highest pendency of cases accounting
for 86% pendency followed by 13.8% in High Courts while
remaining 0.2% of cases are pending with Supreme court.

The main reasons for pendency are:

1. No. of vacancies in position for judges in High courts and
District courts.
2. FTCs lack technological resources
3. Lack of uniformity or coordination in judicial bodies
administering them.
4. Financial loopholes
5. No reforms in Evidence Act(1871) ,IPC, CPC, strengthening of
forensics.
 Way ahead to strengthen the judicial pendency
• Case clearance rate should be above 100% ,at present India has
88% CCR which is low.
CCR= (Total cases disposed off)/(new cases taken)
• Out of total cases pending civil cases have 28% pendency while
criminal cases have 72% pendency so more focus should be on
criminal cases.
• There is inter state variation in pendency for poor states –UP,
Bihar, CCR=50% while Gujarat has more than 100% CCR, so
focus should be on these states in increasing adequate staff
,appointments of judges.
• Establishment of Indian courts and tribunal services for
administration and backend process.
Some more measures:-
• Increase the no. of working days
• E-mission mode project for technological development and
establishment of national judicial data grid to track cases and
programs.
• Discourage frequent adjournments
• Reduce frivolous Litigations incorporating provision of
alternative dispute resolution.
• Writ petitions should be discouraged as more than % pendency
comes from writ petitions
• Hire additional judges in lower courts, HC,SC over the next 5
yrs and fill the vacancies existing in poor states and having
expertise in criminal cases on a priority basis.
 Strengthening of judiciary:
Some countries have brought division at apex level having separate
constitutional courts. Considering the report of Law Commission –
one bench in Delhi and four cessation benches for different regions
will be final appellate courts to help those who live in far flung areas
and they have to come to delhi spending time money, for them access
to justice and disposal of cases will be very effective.
 MSMEs
Importance of MSMEs:-

1. Highly employment intensive sector i.e. employing 55-60lac

jobs annually.
2. Regional imbalances are addressed
3. Have forward and backward linkages
4. Industrialization of rural areas
5. MSMEs are more inclusive in nature
6. Forms 45% manufacturing sector in India
7. 40% exports from India comes from MSMEs
 Challenges for MSMEs
• Access to Technology
• Lack of access to finance 86 % of MSMEs do not have access to
credit, ICT
• Lack of competitiveness
• Wastage of resources or the operational efficiency
• IPR related issues
• Lack of connectivity with the main market
• Poor implementation of policies, schemes of govt.
• Inefficient linkage between MSMEs and agriculture sector
• They are disincentivised to grow beyond medium enterprises as
they continue to reap the benefits of small infant firms.
• Lack of awareness among the people regarding global best
practices so that they can increase their capacity and increase
quality of products so that they become competitive.
 Status of MSMEs
• Out of firms in organized manufacturing sector, 50% are
dwarfs(small and old) contribute only to 14% employment and
7.5% value addition.
• Young large firms (5.5%) contribute to 21% employment
while old and large firms (10%) accounts for more than 50%
employment and 50% value addition.

• These are the data as per the economic survey

What can be done?
• Promote infant firms rather small and dwarf and incentivize
them to grow beyond medium enterprise.
• Sunset clause
• Reorient PSL norms
• Focus on High employment elastic sectors

Government has setup UK Sinha committee which gave the

following recommendations :-

1.Creation of distressed asset fund of Rs 5000 crore to assist

small businesses which are hurt by GST, demonetisation or
liquidity crunch in the market.
Way ahead to strengthen MSMEs
2. A government sponsored fund of funds (Rs. 10000cr) to
support venture capital and private equity firms investing in
MSMEs.

3.Expansion of role of SIDBI:- expand credit markets for

MSMEs in underserved districts by providing new sources of
funding to MSMEs debt and equity.

4.Doubling limit of collateral free loans to 20lakh under MUDRA

scheme.
5.Technology facilitated solution must be adopted like SAATHI
6. Recommended amendment to MSME Act 2006 small industries facing problems of delayed
payment so all MSMEs must mandatorily upload their invoices to information utility.

7.PSUs should mandatorily source 25% of its needs from

MSMEs through GeM portal.

8. PSB loans In 59 minutes initiative should cater to new

entrepreneurs, timeline of 7-10 days for disposal of application of
loan its threshold should be increased to 5 crore.