The correct answer is: D. Financial Emergency
Article 360 of the Constitution of India deals with the provisions as to financial emergency. It states that if the President is satisfied that a grave financial emergency exists whereby the financial stability or credit of India is threatened, he may by Proclamation declare that a financial emergency exists.
The Proclamation shall be laid before each House of Parliament and shall cease to operate on the expiry of a period of one month from the date of its publication, unless before the expiry of that period it has been approved by both Houses of Parliament.
During the period of operation of a financial emergency, the President may by order do any of the following things:
- Suspend the operation of all or any of the provisions of Articles 14, 19, 21, 22, 23, 24, 25, 26, 27, 28, 30 and 31 in so far as they relate to the right to property;
- Take possession of any property or any class of property;
- Regulate the production, supply and distribution of goods and services;
- Levy any tax or cess;
- Borrow money or raise money by the issue of public debt;
- Make any order with respect to the giving of effect to the Proclamation.
The President may also, by order, make such provisions as he thinks necessary for the purpose of giving effect to the Proclamation, including provisions for the modification or suspension of any law, for the delegation of powers to any authority, and for the imposition of such restrictions on the exercise of rights and freedoms as may be specified in the order.
The provisions of Article 360 have been invoked only once in the history of India, during the Emergency of 1975-77.