The correct option is It acts as an umpire in disputes between different levels of government..
Explanation
A federal system of government is characterized by a division of powers between a central authority and constituent political units (states or provinces). To maintain this balance, the Constitution is supreme, and an independent judiciary is essential to interpret the Constitution and adjudicate disputes arising from the division of powers.
Option Analysis
- It acts as an umpire in disputes between different levels of government. is Correct: In a federal structure, the judiciary acts as the guardian of the Constitution and an impartial umpire. It resolves legal disputes regarding the distribution of powers and jurisdiction between the central government and the state governments, ensuring that neither encroaches upon the authority of the other.
- It has no role in interpreting the powers of the government. is Incorrect: Interpreting the Constitution and defining the extent of powers held by different levels of government is a primary function of the judiciary in a federal system. Without this power, the division of powers cannot be effectively enforced.
- It is subordinate to the central government in constitutional matters. is Incorrect: For a federal system to function effectively, the judiciary must be independent of both the central and state governments. If the judiciary were subordinate to the central government, it would compromise its ability to act as a neutral arbiter in federal disputes.
- State courts are barred from interpreting the Constitution. is Incorrect: While the Supreme Court (or a Federal Court) is typically the final interpreter of the Constitution, courts at the state level (such as High Courts in India) are generally not barred from interpreting the Constitution. In India, High Courts possess the power of judicial review and can interpret Constitutional provisions.
Key Takeaway: An independent judiciary is a prerequisite for a federal system to act as the final interpreter of the Constitution and to resolve conflicts between the Centre and the States.