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PSMC Privatization – Process challenged in court by workers
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Thursday, 02 Mar 2006
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The CBA union of the Pakistan Still Mills has challenged the constitutional validity of the Privatization Commission Ordinance 2000 and rules and procedures framed under the ordinance.

The Pakistan Steel Peoples Workers Union filed a petition in the Sindh High Court on Wednesday. In the petition, the court has been prayed to declare certain provisions of the PCO 2000 ultra vires to the constitution and the privatization process of Pakistan Steel Mills without lawful authority.

They said that while taking a decision about PSMC’s privatization, the federal government neither consulted Sindh nor did the prime minister convene the Council of Common Interest as required by articles 153 and 154 of the constitution. The petitioners said that sections 3, 5, 6, 7, 9, 14, 16 and 22 of the PCO 2000 were in total violation of articles 153 and 154 of the constitution and without prior approval of the CCI, the privatization and purported sale of the shares and management control of the PSM would be illegal.

They prayed the court to direct the federal government to constitute the CCI under articles 153 and 154 and declare that provisions 3, 5, 6, 7, 9, 14, 16 and 22 of the PCO 2000 were ultra vires to the constitution. The petitioners also prayed the court to declare that the present process of privatization of the PSM was in violation of articles 2-A, 3, 4, 5, 9, 25 and 38 of the constitution, were arbitrary, irrational and without lawful authority.

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