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Home -> News-> India-> Full Story
'We'll consult AG on HPCL, BPCL disinvestment'
Tuesday, December 10 2002 12:40 Hrs (IST)

New Delhi: Bowing to pressure from the Opposition, Disinvestment Minister Arun Shourie on December 10 assured the Rajya Sabha that he would seek opinion from Attorney General Soli Sorabjee on the legality of the sell-off of two oil Public Sector Undertakings Hindustan Petroleum Corporation Limited (HPCL) and Bharat Petroleum Corporation Limited(BPCL).

"I will seek the opinion of Attorney General and report back to the house," Shourie said responding to leader of the Opposition Manmohan Singh, who raised the issue during Zero Hour.

Manmohan Singh said his party wanted the government to seek the opinion of Attorney General on the legality of the sell-off as the two oil companies were nationalised by Acts of Parliament.

Therefore, it was necessary to get the legal opinion if disinvestment could be carried forward only through executive order, Singh said.

He said Attorney General should be called to the House to explain the legality of the sell-off as in his opinion the disinvestment of the two PSUs could be carried forward only after amending or repealing the Acts through which the oil companies were nationalised in 1974 and 1976.

Shourie said the Attorney General returned from his tour only on December 8 night and, hence, he had taken the views of Solicitor General Kirit Rawal, who had told him the sell-off could be undertaken as the two oil PSUs after nationalisation came under the purview of Companies Act, which provided for expansion and contraction of equity.

PTI














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