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Reliance not disqualified from bidding for PSUs: Shourie

The divestment ministry said on Wednesday that Reliance would not be disqualified from bidding for public sector undertakings, including IPCL, on the basis of the charges filed by Central Bureau of Investigation under the Official Secrets Act.

"We have examined the matter. Reliance would not be disqualified as the charges against it do not relate to national security. As per guidelines for divestment, in the case of non-security related matters, a chargesheet is not enough to disqualify the bidder," Divestment Minister Arun Shourie told reporters in New Delhi.

"If the charges relate to security, then a chargesheet is enough, but in non-security related matters, conviction by court is necessary for disqualification," he said.

The minister said Reliance has been charged under the Official Secrets Act for possessing documents pertaining to classification of excise duty rates, India's response to economic sanctions and government's view on monopoly clause in divestment.

Reliance officials are charged under Sections 5(2) and 5(4) for possession of secret official documents and not under Section 5(3) pertaining to espionage and passing on of national secrets to the enemy, Shourie said.

Shourie's statement cleared the mist around Reliance's bid for acquiring 26 per cent government stake in Indian Petrochemcial Corporation Ltd in which state-run refiner Indian Oil is also in race.

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