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dated March 4, 1956: Report of budget leakage

Prime Minister Nehru told the Lok Sabha on March 3 that the Government viewed with "great concern" reports in the press that this year's budget proposals had leaked out. The Government were enquiring into the matter and would inform Parliament about the results of their investigation. He, however, felt that the nature of the taxation proposals this year was such that any leakage would not have made much difference to anybody. What had leaked out was not identical in language with the final proposals. Two Opposition members, Mr. A.K. Gopalan and Dr. Lanka Sundaram, had tabled adjournment motions on the subject. They said that cyclostyled copies of the proposals were reported to have been sold in Bombay before they were announced in the House. Dr. Lanka Sundaram did not agree with the Prime Minister that the leakage would not have made much difference. He said that after the alleged leakage, cloth went underground. The adjournment motions were ruled out.

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