The Lahore High Court (LHC) while accepting petition filed by Zila Nazim Bahawalpur set aside the notification restraining the implementation of the budget approved by the local government. The court observed that the government has exercised powers, which do not vest in it and it attempted to interfere and usurp the powers of district council.
The court further held that no institution of local government can function unless it has financial independence and added they are sine qua non for strengthening democratic process. Earlier, petitioner counsel Barrister Ali Zafar submitted that although the 2007-08 budget for Bahawalpur was duly approved by Zila Council but Punjab government with malafide intention refused to implement the budget.
Ali argued that under Local Government Ordinance, 2001, only the Zila Council has the authority to make financial decisions. He argued that if provincial government was to approve local government budgets then it would destroy the independence of Zila Councils. Advocate General Punjab however contended before the court that the notification was valid in the eyes of the law.
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