top of page

13 April 2023

The doctrine of Promissory Estoppel


News: Recently, the Supreme Court dismissed petitions which sought directions to complete the recruitment processes initiated by the Indian Army and Air Force, which were discontinued after the announcement of the 'Agnipath' scheme.


About the News:

  • The bench of the Supreme Court also rejected the argument that the 'doctrine of promissory estoppel' would apply. It further said that the decision not to proceed with the previous recruitment processes could not be termed arbitrary.

  • It said that promissory estoppel would not apply when a larger public interest is involved. 

 The doctrine of promissory estoppel:

  • It is a doctrine in contract law which enforces a promise whether executed as a contract or not. 

  • The doctrine seeks to protect the rights of a promisee or aggrieved party against the promisor.


Application of Doctrine

  • It is applicable to a valid contract under a law that requires an agreement to be made with sufficient consideration. 

  • It applies when the promisor has made a promise to the promiseee.

  • The promisee must have relied on the promise and suffered a loss due to the non-performance of the contract. 

  • The doctrine prevents the promisor or enterprise from going back on its word or promise.

  • The doctrine enables the injured party or the promisee to recover on a promise. 


Framework for acceptance of Green Deposits of Regulated Entities (RE)

News: The framework for the acceptance of green deposits of regulated entities (RE) was recently announced by RBI (Reserve Bank  of India)


Framework for acceptance of Green Deposits of Regulated Entities (RE):

  • Purpose: To encourage regulated entities (usually banks and non-banking financial institutions) to offer green deposits to customers, protect the interest of the depositors, aid customers in achieving their sustainability agenda, address greenwashing concerns and help augment the flow of credit to green activities/projects.

  • Framework will apply to all scheduled commercial banks, including small finance banks and deposit-taking non-banking finance companies such as housing finance firms.

  • The framework shall come into effect from June 1, 2023.

  • Key features of the framework:

    • Organizations can put cash on savings or exceptions. It can be extended or withdrawn after it expires. 

    • Green deposits must be stated in Indian Rupees only. 

    • All conditions that apply to other public deposits will also apply to green money. 

    • The allocation of green cash revenues will be based on India's green classification, which has yet to be finalized.

    • However, as a temporary measure, RE should allocate cash flow to categories such as renewable energy, utilities, clean transportation, water security and waste management. 

    • Nuclear power plants, direct waste incineration, storage projects of more than 25 MW, and hydroelectric power plants are prohibited from using money from green beds. 

    • The allocation of RE revenue from cash deposits in a fiscal year requires independent third-party verification/assurance on an annual basis. 

    • RE will also assess the financial impact annually with the help of an external company.


What is a Green Deposit?

  • It is an interest-bearing deposit received by regulated entities for a fixed period.

  • The proceeds are earmarked for being allocated towards green finance.


Belagavi border dispute


News: The Supreme Court recently adjourned the hearing on the Belagavi border dispute case. 


About the Belagavi border dispute:

  • It is an interstate dispute between Karnataka and Maharashtra over the control of Belagavi, a border town in Karnataka.

  • History:

    • It has its roots in the State Reorganization Act of 1956, which aimed at reorganizing the states along linguistic lines.

    • At the time of India’s independence, Belagavi was part of the Bombay state that had included parts of present-day Karnataka.

    • After the implementation of the Act, Belagavi, previously known as Belgaum became a part of Karnataka.

    • On May 1, 1960, Maharashtra claimed that 865 villages, including Belagavi, Carvar and Nipani, should be part of Maharashtra and not Karnataka.

    • However, Karnataka said it will not part with any part of its territory.

  • Mahajan Commission: 

    • The commission was set up by the Union government on October 25, 1966, to solve the dispute.

    • The panel turned down Maharashtra’s claim over Belagavi and also recommended that 247 villages/places, including Jatt, Akkalkote and Solapur, be made part of Karnataka, and 264 villages /places, including Nippani, Khanapur and Nandagad, to be in Maharashtra.

    • However, the commission’s report was outrightly rejected by Maharashtra. Meanwhile, Karnataka saw the commission ruling in its favour.

  • Present Status:

    • The Maharashtra government filed a plea in the Supreme Court challenging the State Reorganisation Act, 1956, in 2004. It demanded 865 villages and places from five Karnataka districts to be merged with the state.

    • Meanwhile, Karnataka changed the name of Belgaum to Belagavi and made it the second capital of the state.

    • The issue has been pending before the Supreme Court since 2004.

    • Karnataka contends that only Parliament can decide the state borders and not the Supreme Court. It cites Article 3 of the Indian Constitution while doing so.

    • On the other hand, Maharashtra cites Article 131 and claims the apex court has jurisdiction in cases of disputes in which the Union government and the states are involved.


National Career Service

News: Around 35.7 lakh vacancies have been reported by employers on the National Career Service portal during the year 2022-23 compared to around 13 lakh vacancies in 2021- 22. 

About the National Career Service portal:

  • National Career Service is one of the mission-mode projects under the umbrella of the E-Governance Plan.

  • It was launched in the year 2015.

  • Objectives: It works towards bridging the gap between job-seekers and employers, candidates seeking training and career guidance and agencies providing training and career counselling by transforming the National Employment Service.

  • It provides a host of career-related services such as dynamic job matching, career counselling, job notifications, vocational guidance, and information on skill development courses, internships and alike. 

  • The focus areas for the National Career Service platform are listed below:

    • Enhancing Career and employment opportunities

    • Counselling and guidance for career development

    • Focusing on decent employment

    • Enhancing female labour force participation

    • Encouraging entrepreneurial endeavours

  • Nodal Agency: The project is being implemented by the Directorate General of Employment, Ministry of Labour & Employment.

bottom of page