ASSIGNMENT No.1 Course:(4668) Political and Constitutional Development in Pakistan-II Semester: Autumn, 2022

 

 

ASSIGNMENT No. 1

Course: Political and Constitutional Development in Pakistan-II (4668)

Semester: Autumn, 2022

 


Question.1 : Critically analyze the political scenario in Pakistan during the General Elections 1970

Answer:

After becoming the President of Pakistan in 1969 General Yahya Khan announced that very soon the free elections would be held in Pakistan on an adult franchise and party basis to establish a democratic government in the country. For that purpose, a three-member Election Commission was formed under the chairmanship of Justice Abdus Sattar as the Chief Election Commissioner.

The electoral rolls were printed both in Bengali and Urdu for East and West Pakistan respectively. The elections which were initially due on 5 October 1970 for the National Assembly and on 19 October for the provincial assemblies were postponed till December of the same year because of the severe monsoon floods in the eastern wing in August. The new dates announced were 7 and 17 December 1970. Still, elections for nine seats of the National Assembly and eighteen for provincial assemblies in East Pakistan were held next year on 17 January 1971 because of a cyclone. From 1 January 1970, the political parties were allowed to start campaigning. A total of twenty-four political parties participated in the elections. Mainly there were two types of parties, religious and secular.

The religious parties included the convention Muslim League, Qayyum Muslim League, Pakistan Muslim League, Pakistan Democratic Party, Jamiat-ul-Ulama-e-Islam, Jamiat-ul-Ulama-e-Pakistan, and Jamiat-e-Islam Party among many others. These religious parties called for the Islamization of the country. Despite having a common attitude they differed on certain points from one another and could not unite on a single platform.

The regime of Yahya Khan was supporting the religious parties for their conservative stance that seemed to uphold a strong central government. Among the secular parties, the two most prominent and popular political parties that received immense public support from the masses were the Pakistan Peoples Party being led by Zulfiqar Ali Bhutto and the Awami League of Sheikh Mujib-ur-Rehman. Their prime focus was on economic issues. Both Bhutto and Mujib possessed extraordinary and charismatic appeals in their personalities for people of all ages and professions. However, the popularity of Bhutto and Mujib was restricted within West Pakistan and East Pakistan respectively.

The East Pakistan Student League played a major role in promoting the AL party program to educational institutions. It was based on the Six-Points Formula that the AL not only got support from the east wing Bengalis but also received generous funds from their Bengali brothers living abroad. The AL pronounced a system for abolishing jagirdari, zamindari, and sardari system. Like AL, PPP also became popular mainly because of  Bhutto and remained restricted to its region, West Pakistan, mainly provinces of Sindh and Punjab with its widespread appeal of Islamic Socialism. It was a modified type of Socialism with Islamic traits.

The PPP was also a great advocate of the Kashmir cause, unlike AL. With a slogan of roti, kapra or makan Bhutto promised economic prosperity to the nation and amassed commoners under the PPP’s flag.

Drastic differences between the two leading political parties became even more obvious and their regional outlook became prominent with the election campaign. The Awami League popularized its Six-Points and declared that at the cost of the eastern wing’s products the western wing was prospering but was depriving them of their due share. They argued that Bengal was being treated as a “colony” of the west wing. The PPP, on the other hand, was emphasizing on economic problems of the whole country but at the same time, it closed down its branch in East Pakistan and thus proved itself to be the representative of only the West Pakistanis.

It was decided in the Legal Framework Order of 1970 that the National Assembly of Pakistan will consist of 313 seats with 13 seats reserved for women. Out of these 313, 169 seats were reserved for East Pakistan, 85 for Punjab, 28 for Sindh, 19 for NWFP, 5 for Baluchistan, and 7 seats were allotted to the tribal areas. It was decided that the East Pakistan provincial assembly will have 400 members, Punjab 186, Sindh 62, Baluchistan 21, and NWFP will have 42 members. The elections were held peacefully and 60 percent of registered voters cast their votes.

 

The results, however, brought dire changes in the political setup of the country. The religious parties were washed up because the public was more concerned with their economic problems. The results also confirmed the provincialism of Pakistan politics. The two major winners were the Pakistan Peoples Party (PPP) and the Awami League (AL). The AL secured 160 seats of the National Assembly out of which only seven candidates belonged to West Pakistan. However, the AL could not win a single provincial assembly seat from any of the west wing provinces. The PPP won got 81 seats out of 130 allotted to the western wing but achieved no seat from East Pakistan.

 

 

According to the LFO, the National Assembly was responsible for making a constitution within 120 days before government power was liable to be transferred to the elected members. But unfortunately, both Bhutto and Mujib failed to maintain the unity of Western and Eastern wings; they couldn’t do away with the huge differences over the Six-Point formula that led to the tragic division of the country with the result that a separate sovereign state of Bangla Desh emerged on the globe.

 


 

Q.2 Elaborate the circumstances that led to the separation of East Pakistan.

         

 

Pakistan was created on 14 August 1947 and as a new country it was a different example in front of the world. First of all it was divided into two part and these two parts were separated from each other by enemy territory. Furthermore, there were many other differences between the two parts of Pakistan.

 

Pakistan was created on the basis of an ideology. However, many scholars believe that we lost this ideology when we lost more than half of our population in 1971. There are many reasons behind the separation of East Pakistan and creation of Bangladesh. Even at the time of independence many political leaders had argued that should Bengal become a part of Pakistan or should it be made a separate Muslim country like Pakistan?

 

Following are some reasons behind the division of Pakistan and creation of Bangladesh;

 

 

 

Population distribution:

 

At the time of independence Pakistan had around 70 million people in both parts of the country. Out of them more than 55% were living in East Bengal. Pakistan had 5 provinces in total at that time. The remaining 45% population was living in the other four provinces. Then all the people living in Bengal were Bengalis. On the other hand the remaining population was divided into four major types of people and multiple sub groups. The first problem which arose between the people of East Bengal and other Pakistanis was on the issue of national language. Urdu was chosen as the national language and on the contrary Bengalis were asking the government to make Bengali the national language of Pakistan. This issue was resolved in the first constitution when both languages were made the national languages under the constitution of 1956.

 

Then their majority was falsely decreased and was brought to the level of West Pakistan. This was done in 1955 when parity formula or one unit plan was introduced. In it all the provinces in Western Pakistan were united together to form one province called West Pakistan. The main purpose of this plan was to bring East Bengal on the equal level and to deny the majority it had. Although this plan was implemented but the people of East Pakistan or Bengal never forgot the mistreatment of the ruling elite.

 

Representation in army:

 

Pakistan army had a very few people from East Bengal. More than 85% of Pakistan army consisted on the people from two provinces Punjab and N.W.F.P. People of Bengal hardly had any respectable share in national army. This led to the rise of sense of deprivation in the hearts and minds of the people of East Bengal. After eleven years of the establishment of Pakistan martial law regime took over the country. Again like first 11 years Bengalis had no role to play in the new politics of Pakistan because of their representation in the army.

 

Representation in Government:

 

Like army the people of East Bengal were poorly represented in important offices of government. The cabinet and other advisors of the government were from the West side of the country. Also the power to make any decision was not in the hands of the East Bengalis.

 

 

 

 

Flight of money from East to West Pakistan:

 

East Pakistan was the largest supplier of Jute in the world. Other than that many crops of East Pakistan had high demand across the world. Bengal was the first province that East India Company captured. The main reason for their presence was the economic potential of Bengal. They stayed there and spread to other areas of India from here. Since the British rule Bengal was the center of all the major economic activity of sub-continent.

 

After the independence of Pakistan in 1947 East Bengal still had the economic value. The main grievance of the people of East Pakistan was not that the Federal Government is earning money from there but the Government was not giving anything back. All the development was taking place in West Pakistan while the East side was growing frustration.

 

The new capital Islamabad was built with the money of East Pakistan or with the major contribution from East.

 

Six Points of Sheikh Mujibur Rehman:

 

The political direction of East Pakistan started to deviate from pro Pakistan towards Bengali nationalism as early as 1948. The address of Jinnah in Dhaka in which he declared that Urdu would be the national language of Pakistan was not taken lightly. Agitations started immediately after the speech. Since then Muslim League started to lose popularity. In these circumstances a nationalist party Awami League attracted the inhabitants of East Pakistan by promising them the rights which the government of Pakistan was not giving them.

 

Sheikh Mujib gained popularity in short time and established himself as the savior of his people. He was able to reach the apex of his political career after he presented his famous six points, which are as under;

 

1. Both sides of Pakistan should have their own currency. (The reason behind this point was that they believed that due to the West Pakistan the currency does not have value in international market. By separating currency they wished to safe themselves from the impact of slow and weak economy of West Pakistan).

 

2. The provinces should have full power to collect and set taxes within their jurisdiction. The provinces will pay the due share to the federal government. (This point suggests that they wanted to keep the money with themselves which seems right as well. This way they can develop their part of the country which they think is behind the pace of development of West.)

 

3. Both sides should have their own paramilitary forces. (There was a strong believe that East Pakistan is very venerable compared to West Pakistan. Another reason was that majority of the army personals were from West Pakistan so there should be parity in this regard.)

 

4. A directly elected government should be installed at the center and allowed to work properly.

 

5. Each part should be allowed to make their own trade agreements. (The Federal Government was getting all the profits made through the trade East Pakistan. This point says that now the money would stay in the province.)

 

6. Federal Government should only control defense and foreign relations. All the other subjects should be given to the province

 

The nature of these six points suggest that the people who have asked these points do not wish to stay with Pakistan any more.

 

Elections of 1970:

 

The first general elections were finally conducted in 1970 December under the LFO issued by Yahiya Khan. According to this ordinance the One Unit Plan was abolished and total number of seats was 300. West Pakistan was allocated 138 seats and East Pakistan was allocated 162 seats. The results of elections were very unique. Awami League won 161 seats in total but all of them were in East Bengal (Pakistan). They were unable to secure a single seat in the Western part. On the other hand the second largest party was Pakistan People’s Party and they were able to secure 81 seats in total and all of these seats were located in four provinces of West Pakistan. PPP was completely rejected in Bengal.

 

According to the rules of democracy it was the right of Awami League to form the government because of their clear majority in the parliament. However the demography of the election results can easily confuse any one. The people of both sides have rejected each other. The verdict of the people is very clear that they reject the other part. The political parties of the East were unable to attract the people of west and vice versa.

 

Yahiya Khan thought that he has done his job and now it’s the politicians turn to form the government and serve the country and its people. He was wrong. He did not see the divide and its impact. Bhutto the leader of PPP said that he has the right to form the government because he was won seats in four out of five provinces of Pakistan. On the other hand, Awami League said that they have clear majority so they should be asked to form the government.

 

Yahiya Khan announced that the first session of the national assembly would be conducted in Dhaka in March 1971. Unfortunately, some days earlier this session he postponed it till further notice.

 

This proved to be the last nail in the coffin. The people of East Bengal started to agitate against this decision and full riots started in Bengal. Army was called and suppression on great scale was launched. Now it was too late the Bengalis were not willing to surrender. Finally on 16th December the East Pakistan became Bangladesh and the Pakistan lost most of its population.

 


 

Q.3 Critically evaluate the efforts for achieving consensus for 1973 constitution.

 

Shaheed Zulfikar Ali Bhutto’s first achievement after coming into power was the preparation of a Constitution for the country. The most prominent characteristic of this Constitution was that it accommodated proposals from the opposition parties and hence almost all the major political parties of the country accepted it. The National Assembly approved the 1973 Constitution on April 10, 1973, and it came into effect on August 14. Shaheed Zulfikar Ali Bhutto took over as the Prime Minister of Pakistan from this date and Fazal Ilahi Chaudhry was appointed as the President of Pakistan.

 

The Constitution of 1973 opens with a Preamble. This is the preliminary part of the Constitution in which broad features of the Constitution have been explained. The first Article of the Constitution declares Pakistan as a Federal Republic to be known as the Islamic Republic of Pakistan. Islam was declared as the State religion of Pakistan. Pakistan was to be a Federation of four federating Units, Punjab, Sindh, N. W. F. P. and Baluchistan.

 

The Constitution was parliamentary in nature. Article 41 of the Constitution lay down that the President was to be the Head of the State. The President was to be a Muslim above 45 years of age and was to be elected by a joint sitting of members of the Parliament for 5 years. He could be re-elected but could not hold office for more than two terms. The President was to act on the advice of the Prime Minister of Pakistan. The President could be removed on the grounds of physical or mental incapacity or impeached on charges of violating the Constitution or gross misconduct. The President was authorized to appoint the Attorney General, Judges of Supreme Court and High Courts, and the Chief Election Commissioners. In the Provincial Government, each province was to have a Governor appointed by the President. The appointment of Federal Ministers and Ministers of the State from amongst the members of the Parliament was at the Prime Minister’s disposal.

 

The 1973 Constitution set up a bicameral legislature at the Center consisting of two Houses, the National Assembly and the Senate. The National Assembly consisted of 200 seats elected directly for duration of five years. The President on the advice of the Prime Minister could dissolve the National Assembly. The Senate was to consist of 63 members; each province was to elect 14 members. In the Provincial Government, each province will have a Governor appointed by the President. The Provincial Assembly for each province consisted of 240 seats for the Punjab, 100 seats for Sindh, 80 seats for N. W. F. P., and 40 seats for Baluchistan.

 

The 1973 Constitution provided a free and independent Judiciary. The Constitution guaranteed a right to the citizens; to be protected by law, and imposed two duties on them, loyalty to the Republic and obedience to the law. Any person who was found to abrogate or attempt or conspire to abrogate or subvert the Constitution was to be treated guilty of high treason. The Constitution conferred several kinds of fundamental rights to the people such as the right to life, liberty, equality and freedom of speech, trade and association. The Constitution also declared the laws inconsistent with or in derogatory to fundamental rights as null and void.

 

In light of the previous experience, the Constitution of 1973 was more Islamic in character than the previous ones. Emphasis was made to establish a real Islamic system in all aspects of social life. Keeping this objective in mind, more Islamic provisions were laid down in the Constitution of 1973. The Constitution recognized Islam as the religion of the country and enjoined upon the State to serve the cause of Islam and to bring all existing laws in conformity with Islam. The Islamic Advisory Council was set up to recommend ways and means to bring existing laws of the country in conformity with the Islamic principles.

 

The Constitution of 1973 remained in force for nearly four years. It was, however, suspended by General Muhammad Zia-ul-Haq, who imposed Martial Law in the country on July 5, 1979. However, General Muhammad Zia-ul-Haq who ran the country with Martial Law passed the Eighth Amendment in the Constitution in 1985. This Amendment empowered the President to dissolve the National Assembly under Article 58(2) b. This Article was later repealed by the Parliament during Nawaz Sharif’s era through Thirteenth Amendment introduced on April 1, 1997. The Thirteenth Amendment was in turn repealed by the Legal Framework Order of 2002, which effectively restored the discretionary powers of the President enacted by the Eighth Amendment.

 

1973 Constitution…

 

On 7th April, 1972 the national assembly of Pakistan appointed a committee to prepare a draft of the permanent constitution of Pakistan. A bill to provide a constitution was introduced by the committee in the Assembly on February2, 1973. The Assembly passed the bill on 10th April, 1973 and at last the constitution came into force on 14th August 1973.

 

The present constitution (1973) provides for the protection and preservation of Islamic Concept of life. It also attempts to propagate and implement the basic teachings of Islam.

 

Islamic Provisions of 1973 Constitution

 

The following are the Islamic provisions of 1973 constitution based on the principles of Holy Qur’an and Sunnah.

 

Official Name

Pakistan shall be known as “Islamic Republic of Pakistan.”

 

State Religion

Islam shall be the state religion of Pakistan.

 

Sovereignty Belongs to Allah

Sovereignty over the entire Universe belongs to Almighty Allah and the authority bestowed by him on men is a sacred trust which the people of Pakistan will exercise with the limits prescribed by Qur’an and Sunnah.

 

 

 

 

Definition of a Muslim

The constitution also gives the definition of a Muslim. A person who believes in Tauheed or Oneness of Allah, and in the prophet hood of Hazrat Mohammad (P.B.U.H) as the last prophet of Allah has described as a Muslim.

 

A Muslim to be a President and Prime Minister

The constitution laid down that only Muslims shall be elected President and Prime Minister of Pakistan. Non non-Muslim could hold these offices.

 

Islamic Way of life

Steps shall be given to enable the Muslims of Pakistan to order their lives in accordance with the fundamental principles and basic concepts of Islam.

 

Promotion of Social Justice and Eradication of Social Evils

The state shall take necessary steps for prosecution of social justice and eradication of social evils and shall prevent prostitution, gambling and taking of injurious drugs, printing, publication, circulation and display of obscene literature and advertisements.

 

Teachings of Holy Qur’an

The state shall try to make the teachings of Holy Qur’an and Islamic Studies compulsory to encourage and facilitate the learning of Arabic language.

 

Strengthen Bond with Muslim World

The state shall endeavor to strengthen fraternal relations among Muslim countries in order to promote Islamic unity.

 

Council of Islamic Ideology

There is a council of Islamic ideology which shall guide the government in respect of Islamic teachings, their implementation and propagation. Its chairman and members are appointed by President. Although its advice is not binding on the government yet it is not easy for any government to ignore or over rule its suggestion or opinion regarding any law.

 

Error Free Publication of Quran

The government shall endeavor to secure correct and exact printing and publishing of the Holy Qur’an.

 

Oath to Project and Promote Islamic Ideology

The Federal and Provincial Ministers, the Speaker and Deputy Speaker of the National and Provincial Assemblies, the Chairman of the Senate and the Governors and Chief Ministers of the Provinces also take oath to preserve and protect the Islamic Ideology.

 

AMENDMENTS TO THE CONSTITUTION

 

First Amendment:

 

CONSTITUTION (FIRST AMENDMENT) ACT, 1974

An Act to amend the Constitution of the Islamic Republic of Pakistan [Gazette of Pakistan, Extraordinary, Part I, 8th May 1974]

 

The following Act of Parliament received the assent of the President on the 4th May 1974 and is hereby published for general information.

 

Whereas it is expedient to amend the Constitution of the Islamic Republic of Pakistan for the purposes hereinafter appearing .

 

It is hereby enacted as follows: -

 

1.     Short title and commencement

 

(1) This act may be called the Constitution (First Amendment) Act ,1974.

 

(2) It shall come into force at once.

 

2.     Amendment of Article 1 of the Constitution.

 

In the Constitution of the Islamic Republic Of Pakistan hereinafter referred to as the Constitution, in Article 1, for clauses (2), (3) and (4) the following shall be substituted, namely – (2) the territories of Pakistan shall comprise –

 

(a) the Province of Baluchistan, the North-West Frontier, the Punjab and Sind ;

 

(b) the Islamabad Capital Territory, hereinafter referred to as the Federal Capital ;

 

(c) the Federally Administered Tribal Areas; and

 

(d) such States and territories as are or may be included in Pakistan. whether by accession or otherwise.

 

(3) Parliament may by law admit into the Federation new States or areas on such terms and conditions as it thinks fit.’’

 

3.     Amendment of Article 8 of the Constitution.

 

In the Constitution, in Article 8, in clause(3) in paragraph (b), after the word “day” at the end , the words “or as amended by any of the laws specified in that schedule” shall be added.

 

4.     Amendment of Article 17 of the Constitution. In the Constitution, in Article 17, for clause (2), the following shall be substituted, namely – “(2) Every citizen, not being in the service of Pakistan, shall have the right to from or be member of a Political Party , subject to any reasonable restrictions imposed by law in the interest of the sovereignty or integrity of Pakistan and such law shall provide that where the Federal Government declare that any political party has been formed or is operating in a manner prejudicial to the sovereignty or integrity of Pakistan , the Federal Government shell , within fifteen days of such declaration , refer the matter to the Supreme Court whose decision on such reference shall be final.

 

(3) Every Political Party shall account for the source of its funds in accordance with law.”

 

5.     Amendment of Article 61 of the Constitution.

 

In the Constitution, in Article 61, after the words “Deputy Chairman” at the end, the words, commas, brackets and figures “ and as if , in the proviso to the said clause (2) of Article 54 for the words ‘ one hundred and thirty ‘ the words ‘ninety’ were substituted ” shall be added.

 

6.     Amendment of Article 101 of The Constitution. In the constitution, in Article 101, in clause(3), after the word “ President” at the end, the words and comma “and’ shall be entitled to such salary, allowances and privileges as the President may determine” shall be added.

 

7.     Amendment of Article 127 of the Constitution. In the constitution, in Article 127, – (a) in paragraph (e), the word “and” at the end shall be omitted;

 

(b) in paragraph (f), for the full-stop at the end the semi-colon and word “;and” shall be substituted; and

 

(c) after paragraph (f) amendment as aforesaid, the following new paragraph shall be added, namely:-

 

“(g) the said clause (2) of Article 54 shall have effect as if, in the proviso thereto, for the words “one hundred and thirty” the word “seventy” were substituted”.

 

8.     Amendment of Article 193 of the Constitution. In the Constitution, in Article 193, in clause (2), after paragraph (c) the following Explanation shall be added, namely – “ Explanation. In computing the period during which a person has been an advocate of a High court or held judicial office, there shall be included any period during which he has held judicial office after he became an advocate or, as the case may be, the period during which he has been an advocate after having held judicial office”.

 

9.     Amendment of Article 199 of the Constitution.

 

In the constitution , in Article 199 , for clause (3), the following shall be substituted, namely – (3) An order shall not be made under clause (1) on application made by or in relation to a person who is a member of the Armed Forces of Pakistan , or who is for the time being subject to any law relating to any of those Forces, in respect of his terms and conditions of service, in respect of any matter arising out of his service, or in respect of any action taken in relation to him as a member of the Armed Forces of Pakistan or as a person subject to such law”.

 

10.                        Amendment of Article 200 of the Constitution.

 

In the Constitution, in Article 200, after clause (2), the following new clause shall be added, namely – “ If any time it is necessary for any reason to increase temporarily the number of Judges of a High Court, the Chief Justice of that High Court may require a Judge of any other High Court to attend sittings of the former High Court for such period as may be necessary and, while so attending the sittings of the High Court, the Judge shall have the same power and Jurisdiction as a Judge of that High Court.

 

Provided that a Judge shall not be so required except with his consent and the approval of the President and after consolation with the Chief Justice of Pakistan and the Chief Justice of the High Court of which he is a Judge”.

 

11.                        Amendment of Article 209 of the Constitution.

 

In the constitution, in Article 209, in clause (2), in the Explanation, after words “ Chief Justice “, the words “otherwise than as acting Chief Justice” shall be inserted.

 

12.                        Amendment of Article 212 of the Constitution.

 

In the Constitution in article 212 – (a) in clause (1),

 

(i) For the word “establish” the words “provide for establishment of” shall be substituted and shall be deemed always to have been so substituted; and.

 

(ii) in paragraph (a) after the word ‘persons’, the words “who are or have been’’ shall be inserted and shall be deemed always to have been so inserted; and.

 

(b) in clause (2) after the words ‘‘Tribunal extends’’, the following words shall be inserted and shall be deemed always to have been so inserted, namely:- “and all proceedings in respects of any such matter which may be pending before such other Court immediately before the establishment of the Administrative Court or tribunal shall abate on such establishment.”

 

13.                        Amendment of Article 250 of the Constitution.

 

In the Constitution, in Article 250, in clauses (1) and (2), the words and comma “ a governor ,”, wherever occurring., shall be omitted.

 

14.                        Amendment of Article 259 of the Constitution. In the constitution, in Article 259, – (a) in clauses (2), after the word “ gallantry”, the comma and words “ meritorious service in the Armed Forces” shall be inserted; and

 

(b) in clause (3) after the word “ gallantry” , the comma and words “ meritorious services in the Armed Forces” shall be inserted and shall be deemed always to have been so inserted.

 

15.                        Amendment of Article 260 of the Constitution.

 

In the Constitution, in Article 260, in clause (1), – (a) after the definition of the “Chairman” , the following new definition shall be inserted, namely – “Chief Justice”, in relation to the Supreme Court or a High Court, includes the Judge for the time being acting as Chief justice of the Court ;“ and

 

(b) In the definition of “service of Pakistan” , after the words “Provincial Minister” , the commas and words “ , Attorney-General, Parliamentary Secretary“ shall be inserted.

 

16.                        Amendment of Article 272 of the Constitution.

 

In the Constitution, in Article 272, in the marginal heading , after the word “First” the words “constitution of “ shall be inserted.

 

17.                        Amendment of First Schedule to the Constitution.

 

In the Constitution, in the First Schedule for Part IV the following shall be substituted, namely – “ IV. FEDERAL ACTS

 

1- The Censorship of Films Act, 1963 ( XVII of 1963)

 

2- The Land Reforms ( Amendment) Act, 1974.”

 

Q.4 Explain the Nationalization policy of Z.A. Bhutto. What were the affects this policy on economic growth of country? Discuss.

Nationalization is the term used when the government takes the control of anything that was ownned private previously. Nationalization was the policy that was implemented by Zulfiqar Ali Bhutto. Bhutto according to his promise restored the economic order that was badly shaken by the war, attracted towards it.

In the Ayub regime wealth was concentrated in few hands that led to a visible class difference in the society. It created hatred for the upper class among the masses Bhutto tried to overcome the situation by Nationalization.

The party had programed in their manifesto to nationalize the industries gradually. After two months of Bhutto’s resuming office, under the Economic Reforms order that was passed in January 1972, the government took over 32 industries from the private sector. The industries were put under to basic categories 1) Iron and steel industries 2) Basic Metal industries 3) Heavy Engineering industries 4) Heavy Electrical Industries 5) Assembly and Manufacture of Motor vehicles 6) Tractor Plant Assembly and Manufactures 7) Heavy and Basic chemicals 8) Petrol chemical industries 9) Cement industries 10) Electricity, gas and oil refining.

It was first step towards the policy of nationalization in September 1973, 26 vegetable ghee units were nationalized.

Banks were also nationalized in 1974. They were in placed the hands of government on the financing of Banks.

In 1976 the 300 small units of cotton ginning, rice husking, flour milling were also taken in control. The exports and imports were also taken under the control of government through trading corporation. They wanted to ensure the distribution of wealth and the prosperity of lay man. However the policy of nationalization started by Bhutto had many defects. It caused a great damage to the private sector. Investment in the private sector was almost finished. After the military coup in 1988 Chief Marshal Law administrator denationalized the industries.

         
- Excluding 1972-73, the average growth rate for the Bhutto years comes down to only 3.48 per cent per annum for the four years i.e. 1973-74 to 1976-77. The population increase over the same period is estimated to be three per cent per annum. As a result, the growth in per-capita income was less than one per cent per annum.

- Even the nominal growth in national income during those years did not originate from productive sectors like industry and agriculture. So-called growth emanated from the services sector because of the large, unproductive expansion of jobs in the public sector.

- The commodity producing sectors – industry and agriculture – grew at two per cent and 2.9 per cent per year, respectively. The two sectors contributed only 28.5 per cent of the cumulative increase in the GDP during the five-year period, ending June 1977.

- In contrast, the economy had grown at an average rate of seven per cent per annum for the 1960s, with per-capita income growth clocking up at a healthy 3.8 per cent per year.

- Owing to a rapid increase in prices, export growth in nominal terms for the period following 1972-73 was 7.2 per cent per annum. However, there was a net decline in the real volumes of exports over the Bhutto years. Pakistan’s share in world exports declined from 0.16 per cent in 1972 to 0.12 per cent in 1976.

Inflation equalled 17.3 per cent per annum during 1972-77. While the government tried to blame it on the global energy crisis in 1973-74, global statistics show Pakistan’s inflation rate was significantly higher than the average for Asian countries (11.6 per cent) for the same period.

- The balance of payments deficit on current account jumped 795 per cent during Bhutto years — from $100.8 million in 1972-73 to $902.5 million in 1976-77.

- Most of the deficit was financed by external borrowing. Outstanding external debt more than doubled to $6.3 billion between December 1971 and June 1977.

- The net external borrowing in five years of the Bhutto regime was equal to the total borrowing in the previous 25 years.

Industries

- Bhutto assumed power on 
December 20, 1971. On January 1, 1972, the government took over 31 industrial units under 10 categories of industries.

- The nationalised industries included shipping, iron and steel, basic metal, heavy engineering, assembly and manufacturing of motor vehicles, tractor plants, chemicals, petro-chemical, cement, and public utilities, including electric generation, gas and oil enterprises.


- The categories were defined vaguely, so that it was possible to take over some units and leave out others. This was particularly true in the light engineering sector where small units belonging to political opponents were taken over while much larger units were left untouched.

- No assessment was made of the nature of the units which were selected for nationalisation. Some of the units were already making huge losses. Taking over these sick units heavily burdened the public sector and was a drain on its resources from day one.

- Initially, the government order was to “take over the management” only while ownership was left with original owners.

- In August 1973, however, rules were amended to acquire a majority share ownership “on compensation” of the taken-over units. In November 1973, orders were issued for acquiring majority ownership in the public limited companies and the entire equity of the private limited companies. In March 1974, rules were again amended to provide for payment of compensation for the acquired shares at market value instead of the break-up value as envisaged earlier.

- Originally, there was no mention of compensation. Later, a compensation formula was given, but the principle of adequate compensation was never accepted.

- In 1972-73, BIM units employed 40,817 people, but the number went up 64,643 people in 1976-77, up 58 per cent. But production did not increase correspondingly, with labour productivity declined in a majority of units, according to government statistics.

- Salaries, wages and other benefits for the BIM as a whole increased over 322 per cent between 1972-73 and 1976-77.

- Despite the increase recorded in sales numbers (in nominal terms because of price increases), net earnings were negative on large capital invested in these undertakings. Among the industrial units, profits were available only in the cement sector where repeated price increases were introduced.

- A number of industrial units were set up without economic consideration. A notable example is the sugar mill 
set up by PIDC in Larkana. PIDC had pointed out that a sugar factory in Larkana may not be viable, as Larkana was not a cane-growing area. The cane had to be supplied to the factory from a distance of 150 miles. It was established nonetheless and had incurred a loss of nearly Rs20 million in the first two years of its operation.

- In October 1977, the military government appointed a commission to review the financial position of state-owned enterprises. The 
commission reported that only 15 out of 54 units were in a position to maintain profitability in 1972-77.

- Reviewing the cumulative position of the entire Bhutto years, the commission report said net accumulated losses for the 54 enterprises taken together 
was Rs320.9 million.

- The commission report said the labour productivity declined in 
39 out of 54 units.

- The commission reported that 30 of these units were operating on an average below-70 per cent of installed capacity. Between 1972 and 1977, capacity utilisation had declined in the case of 21 units.

- At the end of 1977-78, there were 12 BIM units that had a negative net worth compared to only two units in 1970-71.

Agro-based industries

- Between 1972-73 and 1976-77, the agriculture growth rate was two per cent per year as opposed to 6.4 per cent per year recorded throughout the 1960s.

- Although its manifesto did not promise it, small agro-based industries were also privatised for simple processing of agricultural produce in the rural areas. In July 1976, the 
government announced it had taken over cotton ginning, rice husking and large flour mills throughout the country, with exemption granted to units with foreign participation.

- Initially 2,815 units were nationalised under this policy. These included 578 cotton ginning units, 2,113 rice husking units and 124 flour milling units.

- In May 1977, however, 1,523 small rice husking units were returned to their owners.

- To handle the nationalised units, Cotton Trading Corporation, Rice Milling Corporation and Flour Milling Corporation were set up in addition to the establishment of a separate Ministry of Agrarian Management.

- In 1976-77, the Rice Milling Corporation operated units that constituted only two-thirds of the nationalised rice-husking units. In both quantity and quality the corporation did not achieve any major objective. Thus the loss suffered by the corporation amounted to Rs200 million in 1976-77.

- As for Cotton Trading Corporation, it managed to operate less than half of the nationalised ginning units. It was largely used as a source of unproductive employment, as its number of workers almost doubled in just one year.

- Uncertainty prevailed for the whole of 1976-77 about the exact number of units nationalised. The list included pieces of land that displayed a signboard of “under-construction”.  Residential houses were also nationalised if the owner had found it convenient to install machinery in one part of his large rural compound. Cattle, poultry and fish ponds were also nationalised if they were on the premises of the factory.

- In one case, a primary schoolteacher was appointed a factory manager, as the government had to quickly mobilise personnel without due scrutiny. In another case, an Inspector in Market Committee of Thari (Tehsil Mirwah, District Khairpur) was appointed deputy manager on the orders of a minister.

Vegetable ghee

- The government took over the 
vegetable ghee industry in September 1973, although it was a small consumer goods industry with a total capital investment of Rs200 million at the time of the takeover.

- In the three years following the nationalisation of this industry, number of workers employed increased by one-thirds. Mismanagement resulted in aggregate losses of Rs24.3 million and Rs29.4 million in 1974-75 and 1975-76, respectively.

Price increases

- One of the rationales for nationalisation, according to the government, was to ensure stability in the prices of everyday use. However, history shows prices rose faster than they increased in the preceding decade.

- The retail price of Zeal Pak Cement increased from Rs151.5 per ton in February 1972 to Rs443 per ton in June 1977, an increase of 192.7 per cent over five years.

- The retail price of sugar increased from Rs1.60 per seer in 1972-73 to Rs4 per seer in 1976-77, signifying an increase of 775 per cent in four years.

- The price of vegetable ghee increased from Rs6 per seer in 1973 before nationalisation to Rs9 per seer by 1977, up 50 per cent in four years.

- Big price increases took place in industrial items as well. The price of rolled material increased from Rs2,000 per ton in 1972-73 to Rs5,025 per ton in 1976-77, up 151.25 per cent in four years.

Private-sector industries

- After the nationalisation of 31 concerns in 
January, 1972, the government declared an end to the nationalisation process. However, in September 1973, it took over vegetable ghee industry. This was followed by the nationalisation of banks and shipping industry in January 1974.

- Banks’ nationalisation on January 1, 1974, occurred within 24 hours of a meeting (held on December 31, 1973) in which Prime Minister Bhutto told private-sector representatives in Karachi that nationalisation would not take place anymore. The government nationalised the banking sector except foreign banks, without consulting the SBP.

- Then the government took over the marketing and distribution of petroleum products.

- In 1976, cotton ginning, rice husking and flour mills were also nationalised.

- Prime Minister Bhutto had openly vilified entrepreneurs and businessmen in these words:

“The business community is continuing to take part in activities prejudicial to the government. We must put an end to these so-called businessmen’s moots. Each of the individuals who participated in this meeting should be watched carefully and we should have a complete dossier on every one of them to be able to put them on right track.”


Sharp fall in investment

- According to 1975-76 Annual Plan released by the Planning Commission, the (private) industrial investment at Rs576 million in 1973-74 was less than half the level in 1969-70 even in money terms.

- As a result, large industrial families started moving out of Pakistan with whatever they were left with. The Dawoods moved to Texas, United States, the Saigols started investing in the Middle East and the Habibs focused on Europe for growth opportunities.

Textiles

- Between 1972-73 and 1976-77, the export volume of both yarn and cloth declined. One of the reasons was frequent revisions in export duties of these items. Between May 1972 and June 1974, the duty on yarn was changed as many as eight times. The duty on cloth increased on seven different occasions over the same period.

- At the end of 1976-77, about 0.9 million spindles out of a total 3.507 million were out of operation, with about 12,000 looms also closed.

- The productivity of labourers in the textile industry in Pakistan between 1971 and 1975 kept declining at an annual rate of four per cent, according to a survey by the Cotton Textile Industry Research and Development Centre, Karachi.

Zia regime and denationalisation

- Upon taking over the government, 
General Ziaul Haq immediately reversed the nationalisation process initiated by the Bhutto regime. Zia denationalised around two thousand ginning mills that Bhutto had nationalised.

- He tried to denationalise other state-owned enterprises as well but remained largely unsuccessful for a variety of reasons listed below.

- In the book titled 
Public Enterprises in Pakistan by Robert LaPorte and Muntazar Bashir Ahmed, the writers state that the government became fed up with the private sector because it had not acted “in good faith” with regard to denationalisation.

- The law required that previous owners enjoyed first priority in terms of purchase from the government. However, the previous owners of the nationalised firms offered for sale wanted several conditions that the government was unwilling to grant. Such conditions included purchases prices below market rates partly because the companies were now overstaffed and the labour was unionised.

- Another condition demanded by the previous owners was the continuation of the “privileges” that the nationalised units had as public enterprises, such as credit on concessional terms, subsidised inputs (gas/oil/electricity), and continuation of price controls.

- The previous owners of the nationalised enterprises also demanded changes in labour policy that would allow them to get rid of surplus labour.

- In addition, the private sector was not particularly interested in acquiring the old public enterprises because private investors would rather develop new concerns that would not be fettered by debt, overstaffing and out-dated equipment.

- Here’s a snapshot of Pakistan’s growth in terms of GDP and GDP per capita under the Bhutto regime. It’s evident that Pakistan recorded the slowest growth in each category compared to Indonesia, Malaysia, India and South Korea during the period under review.

If the following two charts don’t convince you how disastrous Bhutto’s economic policies were for Pakistan, then I don’t know what will.


 

Q.5 How had 1973 constitution provided the stability to the parliamentary system? Why had these guarantees failed in case of 1977?oHHow                           


The Muslims of India had, since the middle of nineteen century, begun the struggle for a separate homeland on the basis of the two Nation theory. The British rulers realized that the Hindus and Muslims of India remained two separate and distinct nations and socio-cultural entities. The British rulers were left with no option but to eventually accept the demand of the Muslims of India.

On 3rd June1947, Lord Mountbatten, the last Viceroy of India, called the conference of all the leaders of the Sub-continent and communicated to them his Government's Plan for the transfer of power. At that time, a notification was issued in the Gazette of India, published on 26th July 1947 in which the first Constituent Assembly of Pakistan was given shape with 69 Members (later on the membership was increased to 79), including one female Member.

The State of Pakistan was created under the Independence Act of 1947. The Act made the existing Constituent Assemblies, the dominion legislatures. These Assemblies were allowed to exercise all the powers which were formerly exercised by the Central Legislature, in addition to the powers regarding the framing of a new Constitution, prior to which all territories were to be governed in accordance with the Government of India Act, 1935.

The first session of the first Constituent Assembly of Pakistan was held on 10th August 1947 at Sindh Assembly Building Karachi. On 11th August 1947 Quaid-i-Azam Muhammad Ali Jinnah was elected unanimously as the President of the Constituent Assembly of Pakistan and the National Flag was formally approved by the Assembly.

On 12th August 1947, a resolution was approved regarding officially addressing Mr. Muhammad Ali Jinnah as "Quaid-i-Azam Muhammad Ali Jinnah". On the same day, a special committee called the "Committee on Fundamental Rights of Citizens and Minorities of Pakistan" was appointed to look into and advise the Assembly on matters relating to fundamental rights of the citizens, particularly the minorities, with the aim to legislate on these issues appropriately. On 14th August 1947, the Transfer of Power took place. Lord Mountbatten, Governor General of India, addressed the Constituent Assembly of Pakistan. The Quaid gave a reply to the address in the House, on which the principles of the State of Pakistan were laid. On 15th August 1947, Quaid-i-Azam was sworn in as the first Governor General of Pakistan. Mian Sir Abdur Rashid, Chief Justice of Pakistan, administered oath of office from him. The Quaid remained in this position till his death i.e.11th September 1948.

The foremost task before the first Constituent Assembly is of framing the Constitution for the nation. On 7th March 1949, the Objectives Resolution, which now serves as the grund norm of Pakistan, was introduced by the first Prime Minister of Pakistan Nawabzada Liaquat Ali Khan, and later adopted by the Constituent Assembly on 12th March 1949. On the same day, a Basic Principles Committee comprising of 24 Members was formed to prepare a draft Constitution on the basis of the Objectives Resolution. On 16th October 1951, Prime Minister Nawabzada Liaquat Ali Khan, mover of the Objective Resolution, was assassinated and Khawaja Nazimuddin took over as the Prime Minister on 17th October 1951.

The final draft of the Constitution was prepared in 1954. By that time, Muhammad Ali Bogra had taken over as the Prime Minister. However, just before the draft could be placed in the House for approval, the Assembly was dissolved by the then Governor General Ghulam Muhammad on 24th October1954. The Prime Minister was, however, not dismissed and was asked to run the administration, with a reconstituted Cabinet, until such time as the elections were held.

Maulvi Tamizuddin, President of the Assembly, challenged the dissolution in the Sindh Chief Court, and won the case. The Government in return, went to the Federal Court, where the famous judgment was given by the then Chief Justice Muhammad Munir, according to which Maulvi Tamizuddin lost the case.

The second Constituent Assembly of Pakistan was created on 28th May 1955 under Governor General's Order No.12 of 1955. The Electoral College for this Assembly was the Provincial Assemblies of respective Provinces. The strength of this Assembly was 80 Members, half each from East Pakistan and West Pakistan. One of the major decisions taken by this Assembly was the establishment of West Pakistan (One Unit), with the aim to create parity between the two wings (East and West Pakistan). This Assembly also achieved its target by giving the first Constitution to the nation i.e. the Constitution of Pakistan 1956. Choudhary Muhammad Ali was the Prime Minister at that time. The draft of this Constitution was introduced in the Assembly on 9th January 1956 and was passed by the Assembly on 29th February 1956. The assent was given on it by the Governor General on 2nd March 1956. This Constitution was enforced with effect from 23rd March 1956. Under this Constitution, Pakistan became an Islamic Republic, hence 23rd March became our Republic day. It was the same day in 1940 that the historic Pakistan Resolution was adopted at Minto Park, Lahore.

On 5th March 1956, Major General Iskander Mirza became the first elected President of Pakistan. The 1956 constitution provides for Parliamentary form of government with all the executive powers in the hands of Prime Minister. President was Head of the State and was to be elected by all Members of the National and Provincial Assemblies. He was to hold office for 5 years. The President was to act on the advice of Prime Minister, except where he was empowered to act in his discretion.

Under 1956 Constitution, Parliament was unicameral. Legislative powers vested in the Parliament, which consisted of the President and the National Assembly comprising 300 Members divided equally between East and West Pakistan. In addition to these 300 seats, five seats were reserved for women for each of the two wings, for a period of ten years: thus bringing the total membership of the House to 310.

However, in the absence of any law to control the Political Parties and the problem of floor crossing, political instability perpetually ensued. Although the first general election were scheduled for early 1959, President Sikandar Mirza abrogated the Constitution, dissolved the National and Provincial Assemblies, and declared Martial Law, on 7th October 1958. He appointed General Muhammad Ayub Khan, Commander-in-Chief of the Army, as the Chief Martial Law Administrator.

 

On 27th October 1958 General Muhammad Ayub Khan took-over as a second President of Pakistan. One of the first major steps taken by General Ayub Khan was the appointment of a Constitution Commission on 17th February 1960. The objective of this commission was to submit proposals, as to how best democracy can be strengthened and molded according to the country’s socio-political environment and Islamic principles of justice. The Commission submitted its report to the government on 29th April 1961. On the basis of this report a new Constitution was framed and given to the nation on 1st March 1962.

General elections under the new Constitution were held on 28th March 1962 and elections to the special seats reserved for women were held on 29th May 1962. The first session of the third National Assembly was held on 8th June 1962 at Ayub Hall, Rawalpindi.

The Constitution of 1962 envisaged a Federal State with Presidential form of government, with National Assembly at the centre and the Provincial Assemblies in the Provinces. The Legislatures, both at centre and in provinces were unicameral. The Federal system had been curtailed by allowing the Provincial Governors to be appointed directly by the President. All executive authority of the Republic of Pakistan, under the Constitution, vested in the office of the President. President appointed his Cabinet members who were directly responsible to him.

The electoral system was made indirect, and the `Basic Democrats', for both wings were declared Electoral College for the purpose of electing the Assemblies and the President. Basic democrats were 80,000 in number (40,000 from each East & West Pakistan). The total membership of the National Assembly was 156, one half of whom were to be elected from East Pakistan and other half from West Pakistan, also three seats were reserved for women from each province. The term of this Assembly was three years. The norm was established that if the President was from West Pakistan, the Speaker was to be from East Pakistan and vice versa. One of the major achievements of this Assembly was the passage of Political Parities Act, 1962.

On 25th March 1969 the second Martial law was imposed and General Agha Muhammad Yahya Khan took-over as the President of Pakistan and Chief Martial Law Administrator (CMLA). He later issued a Legal Framework Order (LFO), under which the first ever general elections were held on 7th December 1970. This was the first Assembly elected on the adult franchise and population basis. It consist of 313 members, 169 from East Pakistan and 144 from West Pakistan including 13 reserved seats for women (6 were from West Pakistan and 7 from East Pakistan). Soon after the elections, due to grave political differences, the Province of East Pakistan seceded from West Pakistan and became Bangladesh. On 20th December 1971 Mr. Zulfiqar Ali Bhutto took over as the President of Pakistan as well as the first civil Chief Martial Law Administrator.

The first session of the National Assembly, due to the delay caused by the separation of East Pakistan, was held on 14thApril 1972 at the State Bank Building, Islamabad, in which all 144 Members from West Pakistan and two from former East Pakistan (Mr. Noor-ul-Amin and Raja Tridev Roy who had chosen to join Pakistan) participated. On 17th April 1972 an Interim Constitution was adopted by the National Assembly, which provided for a Presidential form of Government. Under this Constitution, the National Assembly was not to be dissolved earlier than 14th August 1973. The Interim Constitution dealt in detail with the distribution of powers between the Centre and the Provinces.

The Assembly also formed a Constitution Committee on 17th April 1972 to prepare the first draft for framing a Constitution. The report of the Committee was presented with a draft Constitution on 31st December 1972. It was unanimously passed by the Assembly in its session on 10th April 1973 and was authenticated by the President on 12th April 1973. This Constitution, called the Constitution of the Islamic Republic of Pakistan 1973, was promulgated on 14th August 1973. On the same day, Mr. Zulfiqar Ali Bhutto took oath as the Prime Minister, while Mr. Fazal Illahi Choudhary took oath as the President of Pakistan.

The 1973 Constitution provides for a parliamentary form of government where the executive authority of the state vests with the Prime Minister. The President, according to the Constitution, is at the apex, representing the unity of the Republic.

From 1947 to 1973, the country had a unicameral system of legislature. Under the 1973 Constitution, Pakistan adopted bicameral system at the centre, called “The Parliament”, composing the President, the National Assembly and The Senate. Originally, the general seats of the National Assembly were 200 with additional 10 seats reserved for women, bringing the total strength to 210. The newly created Upper House i.e. the Senate had 63 members. Later in 1985 through a Presidential Order (P.O. No. 14 of 1985), seven seats were added to the general seats and ten to the reserved seats for women in the National Assembly. Ten seats were exclusively reserved for minorities to be filled through separate electorate system. Thus the total strength of the lower house reached to 237 members. Similarly the strength of Senate was also increased from 63 to 87.

Under the 1973 Constitution the National Assembly is elected for five years term, unless sooner dissolved. The seats in National Assembly, unlike the Senate, are allocated to each province and other units of the federation, on the basis of population. The Constitutional provision of 20 special seats for women lapsed in 1990, thus decreased the Assembly strength from 237 to 217. Under the Constitution, elections to the 10 seats reserved for minority were held on separate electorate basis.

Despite the tenure of the Assembly being five years, as prescribed in the Constitution, Mr. Z.A.Bhutto, on 7th January 1977 announced the holding of elections before time. Consequently, on 10th January 1977, he advised the President to dissolve the National Assembly. Elections were held on 7th March 1977. The opposition charged the government with rigging the elections to the National Assembly and thereafter boycotted the Provincial Assemblies elections. Since the opposition had not accepted the National Assembly elections result, they did not take oath. This resulted in severe political crisis and Martial Law was imposed by the then Army Chief, General Muhammad Zia-ul-Haq, on 5th July 1977.

 


 

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