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Report No. 145

5.14. The statistical picture.-

The Law Commission has been able to obtain certain statistical information (through the Bureau of Public Enterprises), as to cases filed against certain public sector undertakings on the basis of Article 12. The first observation that the Commission would like to make is that the statistical picture is not so forbidding as to cause alarm or justify a major constitutional amendment. The second observation which needs to be made is that at least in the case of certain undertakings,1 no occasion has arisen when the lowest tenderer has challenged action of the undertaking by way of writ petition.

Thirdly, on a study of some of the sample cases, it appears that at times, there are plausible grounds of objection on the part of the contractor to the action taken or proposed to be taken by the public sailor undertaking. It will not be convenient in this Report to go into details. But, by way of example, we may mention that occasionally (in the case of contractors) there is a bona fide dispute about the acceleration of price by the undertaking. There are also cases where the award of a contract has been refused on the ground that the contractor had not paid dues to the labour and the dispute in this regard was made the subject-matter of a writ petition by the contractor. Such disputes cannot be said to be totally groundless.

1. Letter dated 6th February, 1989.

Article 12 of the Constitution and Public Sector Undertakings Back

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