Report No. 145
2.1. The constitutional provision.-
The problem that is going to be dealt with in this Report arises from Article 12 of the Constitution, (occurring in Part III of the Constitution) which reads as under:-
"12. In this Part unless the context otherwise requires, 'the State' includes the Government and Parliament of India and the Government and the Legislature of each of the States and all local or other authorities within the territory of India or under the control of the Government of India."
It will be noticed that Article 12 does not, in so many words, provide that undertakings in the public sector fall within the definition of "State"; but that is virtually the position resulting from judicial pronouncements on the subject. To state the position in brief terms at this stage, such undertakings fall within the words "other authorities within the territory of India or under the control of the Government of India''.