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Answer: Financial Emergency (Article 360)
Financial Emergency under Article 360 has never been proclaimed in India. National Emergency has been proclaimed three times (1962, 1971, 1975), and President's Rule under Article 356 has been imposed over 120 times in various States. The non-use of Article 360 reflects India's relatively stable financial management.
Answer: True
Article 360 empowers the President to proclaim a Financial Emergency if satisfied that India's financial stability or credit is threatened. During such emergency, the President can issue directions for reduction of salaries of all government officials, including Supreme Court and High Court Judges. However, a Financial Emergency has never been proclaimed in India.
Answer: Central law always prevails
Under Article 254, if there is a repugnancy between a Central law and a State law on a Concurrent List subject, the Central law prevails. However, if the State law has been reserved for the President's consideration and has received his assent, then the State law prevails in that State (subject to Parliament's power to override later).
Answer: True
After the 44th Amendment Act, 1978, the President can proclaim a National Emergency under Article 352 only after receiving a written recommendation from the Cabinet (not just the Prime Minister). This was done to prevent misuse of emergency powers as seen during 1975.