DAMODARAM SANJIVAYYA NATIONAL LAW

UNIVERSITY
VISAKHAPATNAM, A.P., INDIA

NEW ECONOMIC POLICY

SOCIOLOGY

GURU GALU PROF. LAKSHIMIPATI RAJU

ARINJAY

2017-014

1ST SEMESTER
 ACKNOWLEGEMENT

I, Arinjay, student of 1st semester would like to express special thanks of gratitude to sociology
prof.M.Lakshipathi Raju sir who gave me the golden opportunity to do this wonderful project on
the topic – New Economic Policy, which also helped me in doing a lot of Research and i came to
know about so many new things I am really thankful to them.
Introduction : What is New Economic Policy of 1991& its Objectives,
Features and Impacts ?

The year 1991 is an important landmark in the economic history of post-Independent India. The
country went through a severe economic crisis triggered by a serious Balance of Payments
situation. The crisis was converted into an opportunity to introduce some fundamental changes in
the content and approach to economic policy. The response to the crisis was to put in place a set
of policies aimed at stabilisation and structural reform. While the stabilisation policies were
aimed at correcting the weaknesses that had developed on the fiscal and the Balance of Payments
fronts, the structural reforms sought to remove the rigidities that had entered into the various
segments of the Indian economy. Former Prime Minister Manmohan Singh is considered to be
the father of New Economic Policy of India.

Main Objectives of New Economic Policy – 1991, July 24

The main objectives behind the launching of the New Economic policy (NEP) in 1991 by the
union Finance Minister Dr. Manmohan Singh are stated as follows:

1. The main objective was to plunge Indian economy in to the arena of ‘Globalization and to give
it a new thrust on market orientation.

2. The NEP intended to bring down the rate of inflation and to remove imbalances in payment.

3. It intended to move towards higher economic growth rate and to build sufficient foreign
exchange reserves.

4. It wanted to achieve economic stabilization and to convert the economic in to a market

economy by removing all kinds of unnecessary restrictions.

5. It wanted to permit the international flow of goods, services, capital, human resources and
technology, without many restrictions.

6. It wanted to increase the participation of private players in the all sectors of the economy. That
is why the reserved numbers of sectors for government were reduced to 3 as of now.

Beginning with mid-1991, the govt. has made some radical changes in its policies bearing on
trade, foreign investment exchange rate, industry, fiscal discipline etc. The various elements,
when put together, constitute an economic policy which marks a big departure from what has
gone before.

The thrust of the New Economic Policy has been towards creating a more competitive
environment in the economy as a means to improving the productivity and efficiency of the
system. This was to be achieved by removing the barriers to entry and the restrictions on the
growth of firms.

Main Measures Adopted in the New Economic Policy

Due to various controls, the economy became defective. The entrepreneurs were unwilling to
establish new industries ( because laws like MRTP Act 1969 de-motivated entrepreneurs).
Corruption, undue delays and inefficiency risen due to these controls. Rate of economic growth
of the economy came down. So in such a scenario economic reforms were introduced to reduce
the restrictions imposed on the economy.

Following steps were taken under the Liberaliation measure:

(i) Free determination of interest rate by the commercial Banka:

Under the policy of liberalisation interest rate of the banking system will not be determined by
RBI rather all commercial Banks are independent to determine the rate of interest.

(ii) Increase in the investment limit for the Small Scale Industries (SSIs):
Investment limit of the small scale industries has been raised to Rs. 1 crore. So these companies
can upgrade their machinery and improve their efficiency.

(iii) Freedom to import capital goods:

Indian industries will be free to buy machines and raw materials from foreign countries to do
their holistic development.

(v) Freedom for expansion and production to Industries:

In this new liberalized era now the Industries are free to diversify their production capacities and
reduce the cost of production. Earlier government used to fix the maximum limit of production
capacity. No industry could produce beyond that limit. Now the industries are free to decide their
production by their own on the basis of the requirement of the markets.

(vi) Abolition of Restrictive Trade Practices:

According to Monopolies and Restrictive Trade Practices (MRTP) Act 1969, all those companies
having assets worth Rs. 100 crore or more were called MRTP firms and were subjected to
several restrictions. Now these firms have not to obtain prior approval of the Govt. for taking
investment decision.

1. Liberalisation

Removal of Industrial Licensing and Registration:

Previously private sector had to obtain license from Govt. for starting a new venture. In this
policy private sector has been freed from licensing and other restrictions.

Industries licensing is necessary for following industries:

(i) Liquor

(ii) Cigarette

(iii) Defence equipment

(iv) Industrial explosives

(v) Drugs
(vi) Hazardous chemicals.

2. Privatisation:

Simply speaking, privatisation means permitting the private sector to set up industries which
were previously reserved for the public sector. Under this policy many PSU’s were sold to
private sector. Literally speaking, privatisation is the process of involving the private sector-in
the ownership of Public Sector Units (PSU’s).

The main reason for privatisation was in currency of PSU’s are running in losses due to political
interference. The managers cannot work independently. Production capacity remained under-
utilized. To increase competition and efficiency privatisation of PSUs was inevitable.

Step taken for Privatisation:

The following steps are taken for privatisation:

1. Sale of shares of PSUs:

Indian Govt. started selling shares of PSU’s to public and financial institution e.g. Govt. sold
shares of Maruti Udyog Ltd. Now the private sector will acquire ownership of these PSU’s. The
share of private sector has increased from 45% to 55%.

2. Disinvestment in PSU’s:

The Govt. has started the process of disinvestment in those PSU’s which had been running into
loss. It means that Govt. has been selling out these industries to private sector. Govt. has sold
enterprises worth Rs. 30,000 crores to the private sector.

3. Minimisation of Public Sector:

Previously Public sector was given the importance with a view to help in industralisation and
removal of poverty. But these PSU’s could not able to achieve this objective and policy of
contraction of PSU’s was followed under new economic reforms. Number of industries reserved
for public sector was reduces from 17 to 3.

(a) Transport and railway

(b) Mining of atomic minerals

(c) Atomic energy

4. Globalization:

Literally speaking Globalisation means to make Global or worldwide, otherwise taking into
consideration the whole world. Broadly speaking, Globalisation means the interaction of the
domestic economy with the rest of the world with regard to foreign investment, trade, production
and financial matters.

image source:LinkedIn

Steps taken for Globalisation:

Following steps are taken for Globalisation:

(i) Reduction in tariffs:

Custom duties and tariffs imposed on imports and exports are reduced gradually just to make
India economy attractive to the global investors.

(ii) Long term Trade Policy:

Forcing trade policy was enforced for longer duration.

Main features of the policy are:

(a) Liberal policy

(b) All controls on foreign trade have been removed

(c) Open competition has been encouraged.

(iii) Partial Convertibility of Indian currency:

Partial convertibility can be defined as to convert Indian currency (up to specific extent) in the
currency of other countries. So that the flow of foreign investment in terms of Foreign
Institutional Investment (FII) and foreign Direct Investment (FDI).

This convertibility stood valid for following transaction:

(a) Remittances to meet family expenses

(b) Payment of interest

(c) Import and export of goods and services.

(iv) Increase in Equity Limit of Foreign Investment:

Equity limit of foreign capital investment has been raised from 40% to 100% percent. In 47 high
priority industries foreign direct investment (FDI) to the extent of 100% will be allowed without
any restriction. In this regard Foreign Exchange Management Act (FEMA) will be enforced.

If the Indian economy is shining at the world map currently, its sole attribution goes to the
implementation of the new economic policy in 1991

Why new economic policy ?

The NEP comprising ‘stabilization and structural adjustment’, programmes was initiated at least
initially as response to overcome the crisis in two areas

(a) External debt crisis

(b) Internal public debt crisis

The external debt crisis which surfaced in early 1991 brought india close to the default ijn
meeting its international payment obligations. The balance of payment crisis was the result of
policy of liberalization of trade regime wich began with mid- 1970s and 1980s and whicj=h
encouraged imports and disproportionality in relation to export earning the gap being met by
financed by borrowing abroad , attempt leading toa debt tra. The current accouny deficit double
froman annual average of $2.3 billion ( 1.3 % of GDP ) in the first half of 1980s to a annual
average of $ 5.5 billion ( 2.2 % of GDP ) in the second half of 1980s. this wassustained by
continuous increase external debt which increased by more than twoand half times in a decade
from $23.8 billion at the end of year 1990-91 . what is more important is that the external
resources were used mainly for consumption and much less for investment purposes. Due to the
end of any further external support, by early 1991 , the foreign reserve dropped toa level that
would have not paid for import even fortnight.

The fiscal deficit crisis ( the gap between government spending and receipts) was also in making
for a while and it was also accumulated through the 1980s. the fiscal deficit grewas internal debt
of government rose from Rs. 485 billion 35 % of GDP ) AT THE END OF 1990-91 and intrest
payment on entire borrowing.

The external and internal debt reaching the unsustainable level By mid 1991s the room for
manoeuvre to live either on borrowed money or on borrowed time had completely used.

In the middle of 1991, need for major economic reforms was felt in the country. These were ur-
gently needed to bring U-turn in the economy. It was mainly due to following reasons :
(i) Excessive fiscal deficit: In our planned economic development, anticipated expenditure was
always in excess of anticipated receipts resulting into fiscal deficit. It increased to 8.5% of GDP
in 1991 as against 5% in 1981-82. In order to meet this deficit, government had to make public
borrowings involving interest burden of borrowing.
(ii) Balance of payment deficit: Deficit in balance
of payment means when foreign payments are in excess of foreign receipts. In India, it mounted
from Rs.2214 crores in 1980-81 to Rs.17367 crores in 1990-91. To meet this deficit, government
had to depend upon external borrowings.
(iii) Rise in prices : After 1960-61, prices of all
commodities continued to rise. The situation became serious when the rate of inflation arose
from 6.7% to 16.7%.
(iv) Reduction in foreign exchange reserves
At one time, during 1990-91, foreign exchange reserves fell to a lower level of ? 2400 crores,
which was just enough for the payments of three weeks imports. The crisis was so serious that
Chandra Shekhar government had to mortgage gold reserves with other countries to pay off
interest and foreign debts. It forced India to adopt a new set of measures to accumulate foreign
exchange reserves.
(v) Poor performance of public sector : Government of India expanded public sector in a j huge
way during 1951-1991, but their return was negligible. So, it was the need of the hour to shift it
to the private sector instead of public sector.
(vi) Gulf Crisis : Iran-Iraq war in 1990-91, is known as gulf-crisis. It led to a sharp rise in petrol
prices in the international market. Our exports to gulf countries fell sharply but there was a steep
rise in import bills. It made the balance of payment position further grim. It compelled the
government to introduce the new economic policy at this juncture.

Impact on employment of labour

The wage labourers ( both agricultural and non- agricultural) constitute the large segment of poor
in the country. Their income and consumption level is thus determined by the level of
employment and the wages any change on their income level. The contraction in public
expenditure, consequent upon the reduction in aggregate demand brings the reduction in
employment level and increase in unemployment rates. The reforms statics on unemployment
rate during pre and post reform period supports this observation.

(a) The usual status data show that there has been a declining trend in unemployment rate
between 1977-78 and 1990-91 for and female both in rural and urban areas (the only
exception being the drought year of 1987-88). However, after 1990-91 there has been an
increasing trend TABLE 1. For instance, the unemployment rate for male based on usual
and weekly status increased from 0.4 pc and 2.1 pc in 1990-97 to 1.30 pc and 2.9pc
respectively in 1993-94. Similarly there was a all-round increase in unemployment in
unemployment of male and female in urban areas. This increase in unemployment rate in
post-reform period (i.e between 1990-91 - 1993-94 ) should be assured against the trend
of decline between 1972-73 and 1990-91.
 (b) The decline in employment has occurred mainly in secondary and tertiary employment in
rural sector. The percentage of male workers in secondary and tertiary sector has declined
between 1990-91 and 1993-94. This has revised the steady increasing trend observed
from 1977-78 to 1990-91 both in secondary and tertiary sector. In the cae of female
workers, the the ratio declined between 1990-91 – 1991-92 in secondary sector but
showed some recovery in 1993-94. Yet it was much below the level achieved in 1987-88
and( 10.00 p.c) and 1989-90 ( 12.4 p.c ). In the case of tertiary sector , steady decline I
post-reform period was quite clear i.e a decline from 7.00 p.cin 1990-91 to 5.6 p.cin
1993-94 ( table 2 ) .

(c) Thus the impact of new economic measures was mainly on rural non-farm sector and
urban sector. Obviously there was a reverse movement for workers from rural non-farm-
sector to agriculture. This is very much reflected in the increase in the percentage of male
workers in agriculture from 71.10 p.c. in 1990-91 ro 74.1 p.c. in 1993-94 and 84.9 p.c. to
under check between 1992 and 1993-94 due to reversal of cut I public expenditure in
rural areas.

(d) The rate of growth of employment in the organised sector of economy( public and private
taken together) dropped from more than 1.7 p.c. per annum in late 1980s to 1.2p.c. in
1991-92 and 0.6 per cent in 1992-93.

(e) Within the organised industrial sector in the post-reform period the employment in
private sector either remained stagnant or increased marginally but the same has declined
public sector enterprise from 2.2 per cent per annum in pre-reform period, i.e. 1981-1990
to 1.2 p.c. in post reform period 1990-1992.

The trend clearly indicates that it is the rural non-agricultural and urban informal employment
which has suffered the most under new economic measures. It is well known that growing public
expenditure was in the past mainly responsible for rapid employment growth in the 19980s. since
the concentration in public expenditure and the consequent reduction in aggregate could not but
adversely affect employment in rural non-farm sector and urban informal sector. It maybe noted
that the rural-non sector in india has been growing at much faster rate between 1977-78 and
1987-88 than the agricultural employment. The percentage share of rural non-farm employment
in total employment increased from around 14 percent to 17 percentand in rural employment
from 17 to 22 percent between 1977-78 and 1987-88. And this has been a major factor for
reducing poverty between 1977-78 and 1987-88.

The recent statistics on employment by NSS for the year 1993-94 confirmed the above
observations TABL 3

The annual (compound) growth rate of employment for usual ( principal + subsidiary ) status in
non-agricultual reduced from 3.83 percent per annum for male and from 5.17 per cent per annum
to 0.17 per cent per annum for female in rural areas.

This has occurred due to decline in several non-farm activities for male which include mining
and quarrying, manufacturing, utilities, trade, transport, finance and construction. The most
severe downfall was in construction. The most severe downfall was I construction where the
growth rate was in negative ( -1 percent per annum )

In the case of rural female, a major decline occurred in same sectors. But there was a sharp fall in
employment in construction sector (-15.74 percent per annum).

In agriculture sector, there has been an increase in the employment of rural male worker.

In urban areas the major decline has occurred for female worker in in mining and quarrying,
manufacturing, construction and agriculture.
LEGISLATIONS

New Industrial Policy, 1991

India’s New Industrial Policy announced in July 1991 (hereafter NIP) was radical
compared to its earlier industrial policies in terms of objectives and major features. It
emphasized on the need to promote further industrial development based on consolidating the
gains already made and correct the distortion or weaknesses that might have crept in, and attain
international competitiveness. (Ministry of Industry, 1991). The liberalized Industrial Policy
aims at rapid and substantial economic growth, and integration with the global economy in
a harmonized manner. The Industrial Policy reforms have reduced the industrial licensing
requirements, removed restrictions on investment and expansion, and facilitated easy
access to foreign technology and foreign direct investment.

1. Distinctive Objectives of New Industrial Policy (NIP), 1991: NIP had two distinctive
objectives compared to the earlier industrial policies:

i) Redefinition of Concept of Self-Reliance: NIP redefined the concept of economic self-

reliance. Since 1956 till 1991, India had always emphasized on Import Substitution
Industrialization (ISI) strategy to achieve economic-self reliance. Economic self-reliance meant
indigenous development of production capabilities and producing indigenously all industrial
goods, which the country would demand rather than importing from outside. The goal of
economic self-reliance necessitated the promotion of ISI strategy. It helped to built up the vast
base of capital goods, intermediate goods and basic goods industries over a period of time. NIP
redefined economic self-reliance to mean the ability to pay for imports through foreign exchange
earnings through exports and not necessarily depending upon the domestic industries.

ii) International Competitiveness: NIP emphasized the need to develop indigenous capabilities
in technology and manufacturing to world standards. None of the earlier industrial policies,
either explicitly or implicitly, had made reference to international technology and manufacturing
capabilities in the context of domestic industrial development (Ministry of Commerce and
Industry, 2001). For the first time, NIP explicitly underlined the need for domestic industry to
achieve international competitiveness.

FDI Policy of India

Introduction to Investment in India

FDI is considered is considered as the life breadth of any nation. In the present world, FDI is
considered as one of the most important vital economic tool to give economy a big leap. India
too has adopted Foreign Direct Investment as the major strategy to boost its economy. The year
of 1991 came as a breakthrough that almost revolutionized the economic scenario of the country.
In 1991 inspector raj and paved the way for globalization. More pragmatic and scientific
program and policies were adopted. Much emphasis was given on foreign investment. Red
tapism, license policy was done away with. Emphasis was given on competition and fair trade
practices.

Sector after sector were opened for foreign investors. Foreign investors can invest in India via
financial and technical collaborations, Joint Ventures, through capital markets (Euro issues) and
through preferential allotments.

Restricted Areas
Virtually all the sectors are opened for the foreign investors but there are certain sectors in which
1foreign investors are not allowed to participate. These are

 Arms and ammunition.

 Atomic Energy
 Railway Transport
 Coal and lignite
 Mining of iron, manganese, chrome, gypsum, sulphur, gold, diamonds, copper, zinc

Industrial Policy

The industrial policy of 1991 further removed all the hassle for installation of industry. It
encouraged private participation and eliminated the industrial licensing requirements except for
certain select sectors. The policy not only gets away with restrictions on investment and
expansion but also aimed to promote easy access to foreign technology and direct investment.
The Industrial Policy Resolution of 1991 clearly outlines the Government’s overall industrial
policy. Government approval for setting any industry was simplified and normal FDI proposals
are cleared within a month, private participation was promoted and the areas earlier reserved for
public sector was also opened for the private sector.

CASE LAWS
In the case Commissioner of Income-Tax and Another v United Breweries Limited, the
respondent-assessee was a public limited company essentially carrying on the activity of
manufacture and sale of alcoholic beverage “beer”. The respondent-company was a regular
assessee under the provisions of the Income Tax Act, 1961 and was being assessed in the status
of a resident-company. In the returns filed for the assessment year 1996-97 and for the
assessment year 1997-98, the assessee had claimed various deductions in the course of
computation of the profits of the business which profit becomes taxable as income under the
provisions of the Act. The assessee had in the course of its activity of manufacture and sale of
beer had furnished guarantee for repayment of certain loans and advances which its subsidiary
companies and other business associates to the subsidiary companies had raised from banks and
other financial institutions and on the failure of subsidiary companies or its business associates to
repay the amount on the premise that they have become incapable of repayment, had reimbursed
the guarantee amount to the creditors and had claimed that amount as an expenditure.

Though the agreement for the repayment was finally signed with some foreign collaborator in
February, 1989, but due to the foreign exchange crisis in 1991 and also due to the new policy of
economic liberalisation and consequent reduction in the import duties in line with the
international standards, made the agreement unviable and thus had to be given up.

Hon’ble Justice D. V. Shylendra Kumar held that the cost should be paid within four weeks from
failing which the Revenue can realize the amount as part of recovery on its own.

Courts always bear in mind that judicial review is not concerned with matters of economic
policy, and that the problems of government are practical ones and may justify, if they do not
require, rough accommodations, illogical, it may be, and unscientific.

Legal rules that are technical, that is mostly concerned with business and finance cannot easily
be linked to notions of morality. It is possible, though, that because individuals understand such
technical rules to have been designed for the promotion of the common good in some way,
however indirect and ramified. There does exist a refined sense in which individuals feel a duty
to obey the technical rules.[xii] For example, registration of securities increases trade in
securities, which allows firms to raise capital and individuals to invest, which leads to more
economic activity and ultimately to greater welfare of the societyLegal rules that are technical,
that is mostly concerned with business and finance cannot easily be linked to notions of morality.
It is possible, though, that because individuals understand such technical rules to have been
designed for the promotion of the common good in some way, however indirect and ramified.
There does exist a refined sense in which individuals feel a duty to obey the technical rules For
example, registration of securities increases trade in securities, which allows firms to raise
capital and individuals to invest, which leads to more economic activity and ultimately to greater
welfare of the society

In Shri Sitaram Sugar Company Ltd v. Union of India, the petitioners were owners of sugar mills
operating in the State of Uttar Pradesh in areas classified for the purpose of determining the price
of levy sugar as West and East Zones. They challenged the validity of notifications dated 28th
November, 1974 and 11th July, 1975 issued by the Central Government in exercise of its power
under Sub-section (3-C) of Section 3 of the Essential Commodities Act, 1955. By the impugned
orders, the Central Government fixed the prices of levy sugar for 1974-75 production. Prices
were determined with reference to the geographical-cum-agro-economic considerations and the
average cost profiles of factories located in their respective zones.

The Apex Court considered the nature, extent and scope of judicial review of administrative
actions formulating the economic policies regarding fixing the price of sugar observed that the
Court in exercise of judicial review is not concerned with the correctness of the finding of fact on
the basis of which the orders are made and held:

“Judicial review is not concerned with the matters of economic policy. The Court does not
substitute its judgment format of the Legislature or its agent as the matters within the province of
either. It is a matter of policy and planning for the Central Government to decide whether it
would be, on adoption of a system of partial control, in the best economic interest of the sugar
industry and the general public that the sugar factories are grouped together with reference to
geographical-cum-agro-economic factors for the purpose of determining the price of levy sugar.
Sufficient power has been delegated to the Central Government to formulate and implement its
policy decision by means of statutory instruments and executive orders. Whether the policy
should be altered to divide the sugar industry into groups of units with similar cost characteristics
with particular reference to recovery, duration, size and age of the units and capital cost per
tonne of output is a matter for the Central Government to decide. What is best for the sugar
industry and in what manner the policy should be formulated object of the statute, viz., supply
and equitable distribution of essential commodity at fair prices in the best interest of the general
public, is a matter for decision exclusively within the province of the Central Government. Such
matters do not ordinarily attract the power of judicial review.” “Judicial review is not concerned
with the matters of economic policy. The Court does not substitute its judgment format of the
Legislature or its agent as the matters within the province of either. It is a matter of policy and
planning for the Central Government to decide whether it would be, on adoption of a system of
partial control, in the best economic interest of the sugar industry and the general public that the
sugar factories are grouped together with reference to geographical-cum-agro-economic factors
for the purpose of determining the price of levy sugar. Sufficient power has been delegated to the
Central Government to formulate and implement its policy decision by means of statutory
instruments and executive orders. Whether the policy should be altered to divide the sugar
industry into groups of units with similar cost characteristics with particular reference to
recovery, duration, size and age of the units and capital cost per tonne of output is a matter for
the Central Government to decide. What is best for the sugar industry and in what manner the
policy should be formulated object of the statute, viz., supply and equitable distribution of
essential commodity at fair prices in the best interest of the general public, is a matter for
decision exclusively within the province of the Central Government. Such matters do not
ordinarily attract the power of judicial review.”

The case of Commissioner of Income Tax, Udaipur v. Hindustan Zinc Limited discussed the
jurisdiction of Court to interfere in economic matters under Articles 226 and 14 of the
Constitution of India.

In the present case, the petitioners are exporters, registered with respondents No. 2, M/s. Apparel
Export Promotion Council, (n short “AEPC”) and are engaged in the manufacture and export of
garments and claim to have turnover of Rs. 300 crores. They are grieved with the notification
dated 20.8.2002, notifying that the Government vide its letter No. 1/1/2002-Exports-I dated
19.8.2002, has decided that respondent No. 2/AEPC may immediately release 10 per cent
additional quantities in the categories 338/339-USA under the FCFS, i.e. first cum first served
quota, after giving usual notice to the trade. Further, it was notified that transfers of quota in the
above categories would be permitted only up to 30.8.2002.

Petitioners had impugned the above notice, as not being in public interest. The notice is also
assailed as imposing unreasonable restriction on the right to carry on business of exports which
is an infringement of Article 19(1) (g) of the Constitution of India.

It was adjudged that when in economic matters, convincing explanation for the exercise of
administrative discretion is available, then the Court cannot replace it by its own decision, unless
the same was shown to be arbitrary.

The concept of welfare economics as given by Amartya Sen is applicable in this case. Welfare
economics refers to a term used for general framework of normative analysis, that is for
evaluating different choices that society may make. Considerations regarding equity in
distribution of income can be expressed in the measure of welfare economics. Distribution of
income affects distribution of utilities which in turn affects social welfare.
BIBLIOGRAPHY

1) www.jagaranjosh.com
2) www.iasscore.com
3) https://www.lawctopus.com/academike/economic-liberalisation-response-indian-
judiciary/
4)