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Regarding procedure for settlement of disputes with Public Sector
Undertakings
Circular
No. 20 dated 10th February 1994
Reference
is invited to Board's D.O.F. No. 275/68/91-CX.8A (Pt.) dt. 17.10.92 enclosing a
copy of O.M. No. 53/3/91-Cab. dt. 31/21/91 issued by the Cabinet Sectt.
2.
I am directed, in this regard, to state that the matter was discussed by
the Committee of Secretaries on 11.11.93. who have decided that the Public
Sector Undertakings, should first try to resolve the disputes through
discussions with the Chief Commissioners/ Principal Collectors. The Department
of Revenue agreed to issue suitable instructions. It was also decided that
Department of Public Enterprises shall impress upon the Public Sector
Undertakings to narrow down the real issues in consultation with the Chief
Commissioners/ Principal Collectors.
3.
I am further directed to say that with a view to resolve such disputes as
may arise in future through discussions with the Senior Officers of the Public
Sector Undertakings the following procedure should be followed:
4.
When an issue relating to a Public Sector Undertaking arises and
issue of Show Cause Notice is proposed:
(a)
The Asstt. Collector/ Deputy Collector concerned should send a brief
summary of the points involved to the local General
Manager/ Chief Executive of the concerned Unit and to the Collector;
(b)
The collector should hold a meeting with the General Manager Chief
Executive with a view to resolve the dispute through mutual discussion within two
weeks of receipt of such communication;
(c)
In case the dispute is not so resolved, the Collector should send the
facts of the case and report on his discussion held on the case to the Principal
Collector;
(d)
The Principal Collector shall within 4 weeks of receipt the Collectors
report hold a meeting with the Chairman/ Managing Director of the Public Sector
Undertaking to resolve the matter.
5.
It is also clarified that the above procedure should not preclude issue
of show cause notice within the relevant time limit, which should be proceeded,
with notwithstanding the bilateral discussions. If the procedure as outlined
above does not result-in-any satisfactory settlement, the process of
adjudication in accordance with law may be completed as usual.
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