<p>The Supreme Court on Thursday allowed the Centre to disinvest its remaining 29.5 per cent shares in Hindustan Zinc Ltd (HZL) since it was no longer a government company.</p>.<p>A bench headed by Justice D Y Chandrachud said the Centre in its capacity as a shareholder of HZL, the world's second-largest zinc producer, has the right to decide to disinvest its shareholding so long as the process is transparent.</p>.<p>However, the top court has directed the CBI to register a regular case to probe the disinvestment of the company at a very low price during the ministerial tenure of Arun Shourie during the 2002 NDA government.</p>.<p>The bench took objection to the closure of preliminary enquiry by the CBI. The court also directed the CBI to file regular status reports before it.</p>.<p>HZL is a subsidiary of Vedanta Limited which owns 64.9 per cent stake in the company while the government of India retains a 29.54 per cent stake. </p>.<p>The apex court dealt a huge blow to the Centre by restraining the proposed divestment of the public sector undertaking on January 19, 2016. The court had then clarified that it was not stopping Sterlite Vedanta, which has taken over the company, from carrying out investment and only stopping the government from selling its residuary shares in the company.</p>.<p>Advocate Prashant Bhushan, appearing for the National Confederation of Officers' Associations of Central Public Sector Undertakings which has filed the petition, had submitted that when the first disinvestment was carried out in the company, there was a transgression of the law.</p>.<p>The CBI had registered a preliminary enquiry against Vedanta Group Chairman Anil Agarwal and unknown officials in December 2013 for alleged irregularities in the disinvestment of HZL in 2002. It had also examined then disinvestment minister Shourie among others.</p>.<p><strong>Check out DH's latest videos</strong></p>
<p>The Supreme Court on Thursday allowed the Centre to disinvest its remaining 29.5 per cent shares in Hindustan Zinc Ltd (HZL) since it was no longer a government company.</p>.<p>A bench headed by Justice D Y Chandrachud said the Centre in its capacity as a shareholder of HZL, the world's second-largest zinc producer, has the right to decide to disinvest its shareholding so long as the process is transparent.</p>.<p>However, the top court has directed the CBI to register a regular case to probe the disinvestment of the company at a very low price during the ministerial tenure of Arun Shourie during the 2002 NDA government.</p>.<p>The bench took objection to the closure of preliminary enquiry by the CBI. The court also directed the CBI to file regular status reports before it.</p>.<p>HZL is a subsidiary of Vedanta Limited which owns 64.9 per cent stake in the company while the government of India retains a 29.54 per cent stake. </p>.<p>The apex court dealt a huge blow to the Centre by restraining the proposed divestment of the public sector undertaking on January 19, 2016. The court had then clarified that it was not stopping Sterlite Vedanta, which has taken over the company, from carrying out investment and only stopping the government from selling its residuary shares in the company.</p>.<p>Advocate Prashant Bhushan, appearing for the National Confederation of Officers' Associations of Central Public Sector Undertakings which has filed the petition, had submitted that when the first disinvestment was carried out in the company, there was a transgression of the law.</p>.<p>The CBI had registered a preliminary enquiry against Vedanta Group Chairman Anil Agarwal and unknown officials in December 2013 for alleged irregularities in the disinvestment of HZL in 2002. It had also examined then disinvestment minister Shourie among others.</p>.<p><strong>Check out DH's latest videos</strong></p>
