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Report No. 145

3.3. The aspect of efficiency.-

Efficiency in running a public sector undertaking is not related to the High Courts and Supreme Courts interference under Articles 226 and 32 of the Constitution. On the other hand, the efficiency depends upon the efficiency of the officers and workers connected with the undertaking. The efficiency is related to planning, hard work, devotion to duty, honesty and integrity of all those who are working with the undertaking. Court's interference is called for, when there is infraction of law or of constitutional provisions. High Courts and Supreme Court would interfere with the orders or functions of public sector undertakings, only when there is violation of fundamental rights under Part III of the Constitution.

Such limited interference cannot, and should not, affect the efficiency of the undertakings. The fundamental rights as contained in Part HI of the Constitution are sacrosanct and every authority in the country is bound to act in accordance with the constitutional provisions and to mould its policies and orders consistently with the fundamental rights. It is no valid argument to say, that judicial interference in a case of complaint of violation of fundamental rights leads to inefficiency or clogs progress and development of public sector undertaking. A public sector undertaking, like any other State organ or authority, has to respect the law of the land and the Constitution.

Article 12 of the Constitution and Public Sector Undertakings Back

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