Step 1: Defining the Privy Purse
The privy purse was a payment from the Indian government to the former rulers of princely states post-independence. This was compensation for the abolition of their royal status and privileges.
Step 2: Evaluating each statement
- (A) "A privy purse was given to the Princely States." This statement is accurate. The privy purse was provided to princely states as recompense for their loss of status upon joining the Indian Union.
- (B) "It was given as an assurance that after the dissolution of princely rule, the then rulers' families would be allowed to retain certain private property and given a grant in heredity or government allowance." This statement is accurate. The privy purse aimed to safeguard former rulers' families by permitting them to keep private property and receive allowances.
- (C) "At the time of accession, there was little criticism of these privileges since integration and consolidation was the primary aim." This statement is accurate. During India's integration phase, national consolidation was the priority, positioning the privy purse as part of the integration process for princely states.
- (D) "Hereditary privileges were consonant with the principles of equality, social and economic justice." This statement is inaccurate. The privy purse and associated hereditary privileges were widely considered incompatible with equality, social justice, and economic fairness, particularly after independence. The privy purse payment was a contentious issue.
Step 3: Determining the Correct Option
As statement (D) is not true, the correct answer is Option 4.