Govt tells SC it is reviewing divestment

The Congress-led UPA Government today informed the Supreme Court that it was reviewing the disinvestment policy pursued by the previous NDA ...

The Congress-led UPA Government today informed the Supreme Court that it was reviewing the disinvestment policy pursued by the previous NDA regime.

Attorney General Milon Banerjee’s submission to this effect came during the hearing of a petition challenging the disinvestment of Kolkata-based engineering PSU Jessop & Co, in which the NDA government had moved an application seeking review of the apex court order halting privatisation of oil PSUs — HPCL and BPCL.

The apex court in the oil PSUs’ case had asked the Centre at that time to take approval of Parliament before selling stake in companies nationalised by statute.

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After Banerjee sought time for formulation of a comprehensive policy in this regard, a bench comprising Justice N. Santosh Hgde and Justice S.B. Sinha admitted the appeal filed by the Jessop & Co Ltd staff association challenging the decision of Board for Industrial and Financial Reconstruction (BIFR) allowing the disinvestment.

While referring the matter to a larger bench, whose strength will be decided by the Chief Justice of India, the bench also allowed the petition of the centre seeking transfer to the apex court of all disinvestment related cases pending before various high courts across the country.