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s. «|-i ¬-¤l·¤i ,iºi ¬·n lr··| ¤· ¬| ·¤¸·n- ¤i·¤ni ¤lº·n· ¬º·
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«i¬| ¬-·iil·n r.
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-·¤i¬¤ ,iºi ¬l-«n ¤i l·¤iºi·i|· ¬¤i¤i ¬| ¬--n ¬¸¤·i ¤¬- ¬º ·|
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4
Law Commission of
India—126th
Report
the case of a Government
company,
as defined in section 617 of the
Companies Act, 1956,
which would mean that it is a
company
in which not
less than 51% of the
paid up
share
capital
is held
by
the Central
Government,
or
by any
State Government or
Governments,
or
partly by
the
Central Government and
partly by
one or more Stiuc Govern¬
ments, including
its
subsidiary,
failed when
Project
and
Equipment
Corpoialion
of India
Ltd.,
a
wholly
owned
subsidiary company
of State
Tradmg Corporation,
which itself was a Government of India
undertaking,
was hcid to be an
instrumentality
or
agency
of the State
and, therefore,
governed by
Part 111 of the Constitution.'•'' It is thus now
unquestionably
established that either a
corporation
set
up
under a statute enacted
by
Parliament or State
Legislature
or a Government
company
or even a co-
opeiative society
if it satisfies certain
criteria, namely,
it is
carrying
on a
public
or Governmental function and is either aided
by
the State or its
management
is
captive
under the
State, then, notwithstanding
the form it has
adopted,
v/ould be
compreherded
in ilie
expression
'other authorities' in
article 12 of the Constitution and would for
practical purposes
be State for
the
purposes
of the Constitution.
1.5. If the
public
sector
undertakings by
and
large
are
comprehended
in
the
expression
'other authorities' in article 12 and are shown to be the
instrumentaUties and
agencies
of the State and hence 'the State' for all
purposes, consistent,
of
course,
with the
purpose
for which
they
have been
set
up, they
should act like State and when a
body
is
supposed
to act like a
State, amongst others,
it must be fair and
just
and rational in its activities,
in its relation to its
employees,
on the
ground
that the State is an ideal
employer
and its activities must be conducive to the formation and
setting
up
of a welfare State. The ideal of the Constitution
unquestionably
is to
set
up
a welfare State.
And, apart
from other
things,
the welfare State must
eschew
litigious
attitude. This
report
deals with the
problem
of
htigation
policy
and
strategy
of
public,
sector
undertakings
as
part
of the
ongoing
programme
of the Law Commission for
recommending
basic
judicial
reforms.
1.6. There is an alternative route which takes one to the same destination.
The
goal
of
setting up
a Democratic Socialist Secular State was to be achieved
by
concrete
steps
taken towards
implementing
the Directive
Principles
of
State
Policy.
One of the fundamental
assumptions
on which a welfare State
can be founded is to so
arrange
the social order that in it
justice, social,
economic and
political,
will inform all institutions of national l i f e . � ® It
is,
therefore,
a safe
assumption
that Industrial
Pohcy
Resolutions would have
twin
objectives
to be
attained, namely,
to avoid concentration of wealth and
means of
production
to subserve the common
good by distributing ownership
and control of material resources of the
community
on instrumentalities of
the State which are more or less
expected
to work on no
profit
no loss basis.
The aims and
objectives
of the Constitution are
clearly
reflected in the
Resolutions dated 6-4-1948 and 30-4-1956
laying
down the industrial
policy
of the State
which, amongst
other
things, required
the State to
progressively
assume a
predominant
and direct
responsibiUty
for
setting up
new industrii
undertakings.
Public
corporations,
State
holding companies
and State
controlled societies were chosen as the vehicles for
translating
this
mdustrial
policy
into action-oriented
programme.
Whatever
garb they
may wear,
then: life and
soul,
bone and
blood,
is the State itself.
They
ate limbs of the State and
they
exist for the sole
purpose
of
running
the
huge apparatus
of the State
industry smoothly
and
efficiently
in
pursuit
of the
objectives
of the State
policy." They should, however,
be
distinguished
from a
Department
of the Government under the administrative control of
any Ministry,
otherwise a
provision
like sub-section
(4)
of section 32 of the
Payment
of Bonus
Act, 1965,
would create an
unnecessary
confusion.
National Textile
Corporation
was
appointed
as an authorised controller under
section 18A of the Industries
(Development
and
Regulation) Act, 1951,
for
reviving
a sick
unit,
called the Model Mills. As the workmen raised a
demand for bonus for the
period
1964-65 to
1967-68,
it was
sought
to be
countered
by urging
that on the
appointment
of an authorised
controller,
the
Model Mills is an establishment
engaged
in an
industry
carried on
by
or under
the
authority
of a
Department
of the Central Government
and, therefore,
Law Convnission of I ndi a—126t h Report
excl uded troni the
operat i on
(jf the
Paymeut
of Bonus Act.
Negat i vi ng
the
cont ent i on, it was lield I'li (hf
appoi nt ment
of an aut hori sed cont roller,
only
the
management changes
biii the unit remai ns
by
itself a unit
i r r espect i w
of the nat ure and charact er of
manage me nt. ''�
The st and t aken
by
the
empl oyer
t hat since the
appoi nt ment
of an aut hori sed cont roller,
t he Model
Mills becomes an est abli shment in an
i ndust ry
run
by
a
Depart i nent
of t he
Uni on Government
bet rays
a
very
narrow out l ook and
self-defeating
at t itude
because if the uni t becomes a
Depart ment
of the
Gover nment ,
it
may
at best
go
out of t he tentacles of the
Payment
of Bonus Act but it woul d be
subj ect
to all t he
provi si ons
of the Const i tut i on. A clear
policy
st at ement was made
t hat the
public
sect or
corporat i ons
or
compani es
must run on commerci al
principles
and in business liice manner to acliieve the
goals
and
obj ecti ves
set
for t hem but
eschewi ng
ail the
private
sect or t ant rums of
exploit ing
workmen.
In
any
view of the mat t er, as these
corporat i ons
and
compani es,
have been
held t o be i nst rument ali des and
agenci es
of the
State, they
are wi t hin t he
purvi ew
of Part III of the Const i t ut i on.
However,
t hese
publi c
sect or under¬
takings, havi ng acqui red
the format of a Gover nment
company
or a
corporat i on,
have mor e or less
bet rayed
an
appr oach
of the
pri vat e
sect or when
t hey
lost
t he battle on the
ground
of
applicati on
of Par t III of the Const i tut i on. An
alt ernati ve was
adopt ed by urging
tiiat Part XIV of the Const i t ut i on would
not
appl y
to the
empl oyees
of these
corporat i ons
and a Government
company
on the
specious plea
that llie
emphi xees
of t hese bodi es are not members of
a civil service of tlie Uni on or an all-Indi a service or a civil service of t he
State or hekl a civil
post
under the Uni on or t he State. The
prot ect i on
of
Part XIV was
sought
to be a\' oidcd
by
this cont ent i on on their behalf. Even
t hat st ood
negat i ved
when the court s rul ed t hat these
publi c
sect or under¬
t akings
will be
subject
to the limitation on heir
power i mposed by
article 14
in t hat
they
cannot act in an
arbi t rary
manner or be
guilty
of di scri minat i on
and t he acdons
qua
not
only
thei r
employees
but even t he consumers of t hei r
goods
and services will have to be
j udged
in t he
light
of the const i tut i onal
culture. ' "' To
illustrate,
a State Fi nance
Corporat i on,
aft er
havi ng
ent ered
into a cont ract to finance the
proj ect
of
setting up
a five st ar
hotel,
backed
out aft er t he
proj ect
was half
t hrough, leaving
t he victi m to the so-called
r emedy
of a suit for
damages
for a breach of cont ract because it was cont ended
t hat cont ractual
obli gati ons
even of a
pubhc
sect or
undert aki ng,
whi ch is an
i nst rument ali t y
of the State, cannot be enforced
by
a
hi gh prerogat i ve
writ.
Thi s last
at t empt equally
fai led and the State Fi nance
Corporat i on, by
a writ
of
mandamus, was di rect ed to fulfil its
obli gati on
of
financing
t he
proj ect
within the limits
agreed upon. -"
1.7.
Keepi ng
in
abeyance
for the t i me
bei ng
t he
quest i on
of
t reat i ng
all
publi c
sector
undert aki ngs
as
bei ng
within t he
compr ehensi on
of article 12
of the
Const i t udon,
their role as
public
sect or
undert aki ngs
must be
emphasi sed
by specifically cont rast i ng
t hem with
pri vat e
sect or
ent erprises
in contradistinc¬
tion t o whi ch
they
were
brought
int o existence. The Indust ri al
Poli cy
Resolut i on ai med at
reduci ng disparities
in i ncome and wealt h whi ch were
t hen
existent,
to
prevent pri vat e monopoli es
and concent rat i on of economi c
power
in different fields in the hands of small numbers of individuals. The
State, therefore,
resolved to assume a
pr edomi nant
and direct
responsibi lit y
for
setting up
new i ndust rial
undert aki ngs
and ot her service facilities. In
cert ain commodi t i es. State
t radi ng
was to be accelerat ed; the
adopt i on
of
t he socialist
pat t ern
of
society
wi t hout the wor d ' sociahst '
bei ng
in t he
pr eambl e
was
accept ed
as a nat i onal
objective;
t he economi c
planni ng
was to
ai m at
rapi d devel opment ; and,
with this end in
view,
all indust ri es of basic
and
strategic i mport ance
or in the nat ure of
publi c utility
services were t o be
in the
publi c
sector.
Hi gh capi tal
intensive
indust ri es,
whi ch the State alone
can undert ake wi t hout
bei ng
influenced
by
the fact of a
profit
mot i ve in short
t erm, were also to be in the
public
sector.
1.8. The
ground
norm.'; were laid for mi xed
economy.
But over a
peri od,
the
demarcat i ng
line bet ween t he
publi c
sect or and
pri vat e
sect or is
becomi ng
dim. If
pri vat e
sect or were t o
i mpl y
that the
capi tal
for
setting
up
industrial units will be
provi ded by
the
ent repreneurs
and where t he State
financed t he
proj ect
either
wholly
or
substantially,
the i ndust ri al
undert aki ng
woul d be t reat ed as one in
publi c
sector, then this has become a
euphemi sm.
A
survey
woul d show t hat the so-called
pri vat e
sect or
undert aki ngs
mobi lise
t hei r financial resources from the
publi c
wi t hout the
ent repreneur
in
any
wav
5
NOTE
DEPTT. PERSONNEL
21.03.13
Re :
Implementation
of decisions of Official
Language Implementation
Committee
-
Fifting up of vacancies of Hindi Translators.
We have received a note date dated 14.02.13 from Hindi
Deptt.
Vide which GM
(Rajbhasha Vibhag )
&
GM(P)
directed us for
necessary
action for
filling up
vacancies in
various cadres in Hindi
Deptt.
in our various offices as assured to
Parliamentary
Committee
dunng
their visits to our offices
(copy
of note of Hindi
Department
is enclosed
at
flag 'A')
For
filling up
vacancies in Hindi Officer cadre a
separate
note is
being put up.
For
filling up
vacancies in the cadre of Hindi translator and
Hindi-English Typist,
we submit as follow

Requirement
for
posting
of Translators &
Hindi-English Typist
as
conveyed by
the
Hindi
Deptt.
HO vide in the above note are as under
The substantive cadre for Hindi Translator is the Asstt. cadre. There is a
provision
of
granting
of six advance annual
grade
increments above the minimum of the
Assistant's scale.for the
employees
selected as Hindi translators.
The
qualifications
followed for
posting
as Hindi Translator are as follows ;
1. Essential Qualifications : II nd Class Graduation
Degree
from a
recognized
university
with Hindi as one of the
subjects alongwith English.
2. Desirable Qualifications :
(a)
The
applicant
should have
good
command over
English
& Hineli
languages.
(b) Study
of Sanskrit or other Modern Indian
Languages
at
degree
level
or
equivalent
examination
Experience
; 2 to 3
years experience
of translation from Hindi to
English
and vice-
versa in Government office or Public Sector
Undertakings.
We learnt that 'National Insurance' carried out the recruitment exercise
giving
relaxation in
eligibility
conditions. It is understood that the relaxation
given by
'National' as
compared
to our above referred
eligibility
criteria is in
respect
of
essential
qualifications only
in as much as the st i pul at i on of minimum l i nd cl ass
i n degree exami nat i on has been del et ed. Furt her t he st i pul at i on of Engl i sh
being a subj ect i n Graduati on has al so been dropped. It is not out of context to
mention here that National Insurance has been advised to conduct recruitment
Exercise for the
post
of Assistant on our behalf for 600 vacancies. We
may
inform
'National Insurance' for our
requirement
of Hindi Translator and
Hindi-English Typist
on
specific
centres to be filled
up
from
amongst
these 600. vacancies
only, during
. � . � s
recruitment exercise for Asstts, We
may
alroe 'National' to advertise

� jcancies of translator on our behalf
mentioning
the relaxed
eligibility
criteria for
Hi�di
translator followed
by
them,
Post Head Office Other RO's Total
Hindi Translator 03 06 09
Hindi-English Typist
01 06 07

Further,
if Hindi Translators are inducted
through open
market,
it is
economically
better for the
company
as it is not
required
to
grant
six advance annual increment
as
given
in the internal
process.
Recommendations ;

If
agreed,
we
may
inform 'National' to
advertise,
if
required through
addendum.
separately
for
filling up
9 vacancies of Hindi Translator with relaxed
eligibility
criteria
followed
by
National' as mentioned hereinabove

These vacancies
may
be from
amongst
the 600 direct recruit vacancies of Asstts.
Only
for
which
National 'is
conducting
the recruitment exercise on our behalf.

The stations for these vacancies as
suggested by
Hindi
Deptt
are as follows ;
HO
-
03;
Mumbai
-
01;
Kolkatta
-
01;
Chennai
-
01;
Bangaluru 01; Hyderabad

01;
&
Ahmedabad
-
01.

The seven vacancies for
English-Hindi Typist may
also be filled
up through
this
recruitment exercise at the
following
stations :
HO-01, MRO '1'
-
01,
Kolkata
-
01 Chennai
-
01,
Bangalore
-
01, Hyderabad
-
01,
&
Ahmedabad -01.
Submitted for advice in the matter.
(Ravi
Prakash
Bhardwaj)
Asst.Wlanager
Manager:


Chief
Manager:
.
"to
VCkcjSvy�v�MSlyy -|r>1
Dy.Genl.Manager (P)
:
* C> V
Sj,
sftjCv-Vvv

1
Genial Manager ( P) :

(jo
m
C.M.D

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