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April 5, 2002 | 1510 IST
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RIL cleared for participation in PSU selloff

Attorney General Soli Sorabjee is understood to have told the government that Reliance could not be disqualified from bidding for public sector units as a CBI complaint was different from a chargesheet.

Divestment ministry said in an internal note, prepared after consultation with the attorney general, that "to the extent that the complaint relates to offences that are not related to the security and integrity of the country, the complaint itself would not have the effect of disqualifying a company."

The secretary's note on the issue of Central Bureau of Investigation filing complaint against Reliance and three of its officials under the Official Secrets Act, said: "the attorney general also drew my attention to a distinction that has been obscured in our guidelines. He pointed out that a 'complaint' - whether by an individual or by an organ of the government, is strictly speaking, different from chargesheet."

Unlike a complaint, a chargesheet is one that has been framed by a court of law and judicial mind has been exercised.

"This is an ambiguity which we will have to deal with at some stage," sources quoting the note said.

CBI has filed complaint in a local court against Reliance and three of its employees under Section 5(2) and 5(4) of the Officials Secrets Act which do not deal with espionage and passing on of documents relating to national security.

The guidelines for disqualifying a company from bidding for buying government stake in a PSU require that "for disqualification on the ground of non-security related offences, there must in fact be, inter alia, a conviction by a country of law."

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