Official amendments were carried out to the Lokpal and Lokayukta Bill, 2011, giving the option to the states to set up a Lokayukta and leaving the armed forces and Coast Guard out of its purview.
The House witnessed high drama as voting on the three clauses showed that the Treasury benches had failed to get the required number of 273 votes in favour, prompting Speaker Meira Kumar to drop the clause from the bill.
An angry Leader of the House Pranab Mukherjee termed the development as "a sad day for democracy," blamed the Opposition, especially the Bharatiya Janata Party, for the fiasco and warned them that "people will teach you a lesson."
On Clause two, 247 voted in favour and 178 against, while on Clause three 251 were in favour and 179 against. Clause one received 250 votesand 180 against.
UPA Chairperson Sonia Gandhi and Mukherjee appeared to be worried as the voting slips were counted.
Some BJP members were heard alleging that the lobbies have been opened, but Speaker Meira Kumar repeatedly said that "lobbies are closed and I have not ordered them to be opened. It is not good to make such charges. Don't doubt, have faith."
At one point, the Speaker said it was "wrong to cast aspersions on the Chair. Please don't do it."
The government also moved an amendment increasing the exemption period of former members of Parliament from five to seven years, but a number of amendments moved by the Opposition, including seeking to bring corporates, the media and NGOs receiving donations under the Lokpal, were defeated.
The defeat of the Constitution (Amendment) Bill came mainly because the parties supporting the UPA from outside -- the Samajwadi Party (22), the Bahujan Samaj Party (16) and the Rashtriya Janata Dal (4) staged a walkout, bringing the numbers down for the government.
During the animated over 10-hour debate, Prime Minister Manmohan Singh asked parties to "rise above partisan politics" to demonstrate to the people of the country that "this House means business" in its effort to combat corruption.
He said a "holistic" approach was needed to deal with the "cancer" of corruption, but rejected demands for bringing the Central Bureau of Investigation under the purview of the Lokpal as he warned that no entity should be created inconsistent with the Constitutional framework.
Capping the debate during which several parties, including the BJP, the Biju Janata Dal, the Janata Dal-United, the Rashtriya Janata Dal, the Samajwadi Party, the Telugu Desam Party and the Left said the bill was weak and wanted it withdrawn, Mukherjee rejected the contention that the legislation had been brought in "haste" or under pressure.
Allaying fears of several parties, including UPA constituents the Trinamool Congress and the Dravida Munnetra Kazhagam, that the provision for setting up Lokayuktas was an "attack" on the federal structure, he said the government had made amendments stating that notification would not be issue without the consent of state governments.
The amendment, along with some others, was decided during an emergency meeting the prime minister held with Sonia Gandhi and other senior Congress leaders ahead of the voting in view of opposition by the allies.
This is the ninth Lokpal Bill introduced by a government in a series that started as early as 1968 and ended in 2001. Seven of them lapsed with the dissolution of the Lok Sabha, while one was withdrawn.
"There are some very special moments in the life of a nation. This is one such moment. The nation awaits with bated breath how the collective wisdom of this House will be reflected in the vote at the end of the debate on the Lokpal and Lokayuktas Bill, 2011," Dr Singh said.
Noting that the broad provisions of this Bill have been vigorously debated both in the public domain and by political parties, the prime minister underlined that the task of legislation was "very serious business and must eventually be performed by all of us who have been constitutionally assigned this duty."
In an apparent message to Kisan Baburao 'Anna' Hazare who has been pressing his demands with regard to the Lokpal, Dr Singh said, "Others can persuade and have their voices heard. But the decision must rest with us."
He warned that "no entity should be created inconsistent with our Constitutional framework and charged with onerous executive responsibilities without any accountability... Let us not create something that will destroy all that we cherish -- all in the name of combating corruption. Let us remember that the road to hell is paved with good intentions."
"Today we are given to believe that a government that is directly elected by the people and accountable to it cannot be trusted," the prime minister added, "but a body that will not derive its legitimacy from the people directly or be accountable to it could be trusted to wield its immense powers with honour and trust."
