{"id":154397,"date":"2023-08-04T13:03:17","date_gmt":"2023-08-04T07:33:17","guid":{"rendered":"https:\/\/www.gkseries.com\/blog\/?p=154397"},"modified":"2023-08-04T13:03:19","modified_gmt":"2023-08-04T07:33:19","slug":"government-launches-vivad-se-vishwas-2-0-scheme-for-dispute-settlement","status":"publish","type":"post","link":"https:\/\/www.gkseries.com\/blog\/government-launches-vivad-se-vishwas-2-0-scheme-for-dispute-settlement\/","title":{"rendered":"Government launches Vivad se Vishwas 2.0 scheme for dispute settlement"},"content":{"rendered":"\n<p><strong>Government launches Vivad se Vishwas 2.0 scheme for dispute settlement:<\/strong> The Ministry of Finance&#8217;s Department of Expenditure has created the Vivad se Vishwas 2.0 scheme, also known as the Contractual problems initiative, to resolve long-standing contractual problems between the government and government undertakings.<\/p>\n\n\n\n<p><a href=\"https:\/\/www.gkseries.com\/blog\/daily-current-affairs-and-quiz\/\" target=\"_blank\" rel=\"noreferrer noopener\">Daily Current Affairs Quiz: August 2023<\/a><\/p>\n\n\n\n<p>This initiative was announced during the Union Budget 2023-24 by the Union Finance Minister, Smt. Nirmala Sitharaman. The scheme aims to provide an effective and standardized mechanism for <strong>resolving<\/strong> contractual disputes, thereby reducing the burden on the legal system and fostering a more <strong>business-friendly environment<\/strong>.<\/p>\n\n\n\n<p><strong>An Insight into the Scheme<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Smt. Nirmala Sitharaman, the Union Finance Minister, announced the plan in the Union Budget 2023-24, emphasising its importance in settling contractual issues involving the government and its undertakings.<\/li>\n\n\n\n<li>Its primary goal is to establish a voluntary<strong> settlement mechanism<\/strong> for parties entangled in disputes where arbitral awards are being contested in court.<\/li>\n\n\n\n<li>Through the use of graded settlement terms that correspond to the extent of pendency of the disputes, the scheme seeks to promote <strong>amicable resolutions<\/strong>.<\/li>\n<\/ul>\n\n\n\n<p><strong>Vivad se Vishwas II: Eligibility Criteria for Settlement under the Scheme<\/strong><\/p>\n\n\n\n<p><strong>The settlement scheme will consider cases eligible if they meet the following criteria<\/strong>:<\/p>\n\n\n\n<ol class=\"wp-block-list\" type=\"1\" start=\"1\">\n<li>The status of the dispute must be resolved by an arbitral ruling issued before January 31, 2023.<\/li>\n\n\n\n<li>Alternatively, for cases resolved through court proceedings, the award must have been passed on or before <strong>April 30, 2023<\/strong>.<\/li>\n<\/ol>\n\n\n\n<p>The scope of the scheme extends to all domestic contractual disputes where either the Government of India or organizations under its control are involved.<\/p>\n\n\n\n<p><strong>Vivad se Vishwas II: Settlement Amounts<\/strong><\/p>\n\n\n\n<p>The scheme offers attractive settlement amounts to<strong> incentivize contractors<\/strong> to opt for voluntary settlements. For Court Awards issued on or before April 30, 2023, the Contractor may be offered up to 85% of the net amount granted or upheld by the court. Similarly, for <strong>Arbitral Awards<\/strong> passed on or before 31st January 2023, the settlement amount offered can be up to <strong>65%<\/strong> of the net amount awarded.<\/p>\n\n\n\n<p><strong>Benefits of Vivad se Vishwas II<\/strong><\/p>\n\n\n\n<p>Benefits of Vivad se Vishwas 2.0 scheme<\/p>\n\n\n\n<p>The scheme holds several advantages for all stakeholders like:<\/p>\n\n\n\n<p><strong>Faster Resolution<\/strong><\/p>\n\n\n\n<p>By providing a structured and standardized settlement process, the scheme ensures faster resolution of pending contractual disputes, which otherwise could have lingered in courts for years.<\/p>\n\n\n\n<p><strong>Reduced Litigation Burden<\/strong><\/p>\n\n\n\n<p>The scheme aims to ease the burden on the legal system by encouraging parties to settle their disputes voluntarily, thereby reducing the workload of courts.<\/p>\n\n\n\n<p><strong>Business-Friendly Environment<\/strong><\/p>\n\n\n\n<p>The availability of a voluntary settlement mechanism fosters a more business-friendly environment, encouraging investment and growth in the country.<\/p>\n\n\n\n<p><strong>Financial Relief<\/strong><\/p>\n\n\n\n<p>Contractors will benefit from attractive settlement amounts, allowing them to recover a substantial portion of the net amount awarded or upheld by the court or arbitrator.<\/p>\n\n\n\n<p><strong>Vivad se Vishwas II: Accelerating Dispute Resolution with a Voluntary Settlement Mechanism<\/strong><\/p>\n\n\n\n<p>By offering a voluntary settlement mechanism with standardized terms, the government aims to expedite the resolution of <strong>pending<\/strong> contractual disputes involving government entities. The scheme provides contractors to get favourable settlement amounts while also reducing the burden on the legal system. With the support of <strong>digital platforms<\/strong> like GeM and IREPS, the scheme promises transparency and efficiency throughout the claim processing journey.<\/p>\n\n\n\n<p><strong>Key takeaways for competitive examinations<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>First Finance Minister of Independent India: R.K Shanmukham Chetty<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Government launches Vivad se Vishwas 2.0 scheme for dispute settlement: The Ministry of Finance&#8217;s Department of Expenditure has created the Vivad se Vishwas 2.0 scheme, also known as the Contractual problems initiative, to resolve long-standing contractual problems between the government and government undertakings. Daily Current Affairs Quiz: August 2023 This initiative was announced during the [&hellip;]<\/p>\n","protected":false},"author":894,"featured_media":154398,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[5142],"tags":[60,4916],"class_list":["post-154397","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-current-affairs-august-2023","tag-government-schemes-current-affairs","tag-national-current-affairs"],"_links":{"self":[{"href":"https:\/\/www.gkseries.com\/blog\/wp-json\/wp\/v2\/posts\/154397","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.gkseries.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.gkseries.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.gkseries.com\/blog\/wp-json\/wp\/v2\/users\/894"}],"replies":[{"embeddable":true,"href":"https:\/\/www.gkseries.com\/blog\/wp-json\/wp\/v2\/comments?post=154397"}],"version-history":[{"count":1,"href":"https:\/\/www.gkseries.com\/blog\/wp-json\/wp\/v2\/posts\/154397\/revisions"}],"predecessor-version":[{"id":154399,"href":"https:\/\/www.gkseries.com\/blog\/wp-json\/wp\/v2\/posts\/154397\/revisions\/154399"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.gkseries.com\/blog\/wp-json\/wp\/v2\/media\/154398"}],"wp:attachment":[{"href":"https:\/\/www.gkseries.com\/blog\/wp-json\/wp\/v2\/media?parent=154397"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.gkseries.com\/blog\/wp-json\/wp\/v2\/categories?post=154397"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.gkseries.com\/blog\/wp-json\/wp\/v2\/tags?post=154397"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}