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Highlights of the Workshop
on “Integration of Transparency under Corporate Governance
with the Right to Information Act” for the CEO’s of PSEs
The
Department of Public Enterprises (DPE) and National Law School
of India University (NLSIU) organized the above workshop jointly
on 04.02.2006 at NLSIU training center.
The
above workshop was inaugurated by Shri.K.K.Mishra, I.A.S (Rtd)
Chief Information Commissioner, Government of Karnataka,
Bangalore.
1)
The Right to Information is already embedded in the
Constitution of India. Democracy cannot exist without the right
to information.
2)
The Right to
Information Act is very powerful in providing information to a
citizen, in the sense, the Act requires that any
information that cannot be denied to the Parliament/State
Legislatures cannot be denied to the citizen.
3)
No citizen is required to give reasons for seeking the
information as prescribed under the Right to Information Act,
2005.
4)
There is no penalty for disclosure of information to a
citizen of India, but there is penalty for denying information
without proper reasons. At the same time, the officer providing
information will have to keep in mind the security and integrity
of India.
5)
CEO to lead the PSE in pro-actively implementing the
Right to Information Act. PSE has to publicize voluntarily as
much information as possible in the website as per the
provisions of the section 4 of the Act. By doing so the burden
on the PSE will be reduced.
6)
PSEs not having their own website to immediately start
their own website with whatever information they have. The
information hosted on the website has to be continuously
updated. This forms ranked (authenticated) information. In
addition, the public also may be facilitated to furnish
information as un-ranked information. If this is not done
immediately, persons outside the PSE may do the same and the PSE
may have to depend on this source.
7)
The RTI act also requires properly advising the
information seekers and should not trouble the citizen by asking
for file numbers etc., In fact RTI act requires information held
to be properly organized and make available it to the public.
8)
The selection of PIOs has to be done carefully as, they
act as kingpins while exercising the discretion of furnishing
the information to the applicants, therefore officers at the
senior level to be appointed as PIOs. The PIOs will have to be
adequately trained to exercise this important function of
providing information which will protect and promote democracy.
9)
One should step into the shoes of the applicant who seeks
the information.
10)
Any request for information cannot be returned or
directed to other organisation. Request for information will
have to be either rejected by giving proper reasons or forwarded
to the organisation likely to hold the information.
11)
Civil servants have to bear in mind that they have taken
oath in the name of the Constitution of India for discharging
the duties and hence they are to only abide by the Constitution.
12)
The Practice of publicizing the information about the
Companies dates back to the time of origin of Companies act in
England way back in 1845. Hence publicity plays a vital role in
Corporate Governance.
13)
In developed countries as per the recent developments,
even the private sector Companies have responsibility towards
the society, employees, creditors and share holders in that
order.
14)
Companies give structured information as per the statute
and file the same with the ROC. Any citizen can seek information
from the ROC. As all PSEs come under the purview of the Right to
Information Act unlike private Companies, all PSEs have to be
more transparent than what is envisaged under the Corporate
Governance.
15)
The CEOs can use the requirements of the Corporate
Governance under the provisions of the Companies Act and SEBI as
the tools for their safeguard. Making available information
under the Right to Information Act further strengthens this. If
one protects the law the law will protect them.
16)
Even though a public authority cannot have access to
information of other Public Organisation, under the RTI Act, but
the officer as an individual citizen has the right to get the
information under the Act.
17)
The Board of Directors have vast powers, therefore the
selection of the Directors on the Board assumes a greater
importance.
18)
The policy of Karnataka Government is to bring all PSEs
under Corporate Governance; Corporate Governance requires
transparency in the appointment of Directors. Further, as
Corporate Governance tries to fix responsibility and make
individual Board of Director accountable, and any citizen can
ask for information used to appoint any of the Board of
Directors.
19)
KTPP act is an example of giving some structured
information to the interested parties. With RTI act more than
this would be available to any citizen. In fact samples and
models used for evaluating the tenders could be treated as
information.
20)
The Transparency in procurements is very much essential
since nearly 1/3rd of GDP of the State is accounted
by procurement. Even a small percentage of savings in
procurement will result in substantial amount, which can be used
for social developmental works.
21)
As part of procurement process, publishing all the
information in the tender bulletin as per the KTPP Act has to be
done more seriously.
22)
The requirements under the provisions of the Right to
Information Act far more outweigh, the requirements of
transparency under the provisions of KTPP ACT and also the
requirements of Corporate Governance.
23)
In Government Companies there is hardly any difference
between management, the Board of Directors, and the AGM. The AGM
is some times attended by the proxics who may not be in a
position to contribute anything to the deliberations of the
meetings. In the interest of transparency stakeholders will have
to be involved.
24)
The DPE will organize some more workshops and one
immediately for the PIOs of the PSEs.
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