A brief overview of parliamentary committees to check the accountability of corporates and public undertakings
Parliamentary Committees to Check Accountability of Corporates and Public Undertakings: Overview
What are Parliamentary Committees?
Parliamentary committees are specialized groups of members of parliament (MPs) tasked with detailed scrutiny of government activities.
They examine legislation, expenditures, policies, and the functioning of public and private bodies engaged in activities affecting the public.
Committees provide a forum for detailed oversight, often beyond what is possible in the full parliamentary session.
Types of Parliamentary Committees Relevant Here
Public Accounts Committee (PAC)
Examines government expenditure and financial irregularities.
Ensures public undertakings and corporates linked with government funds are accountable.
Standing Committees (Departmental Committees)
Focus on specific ministries or sectors (e.g., commerce, industry).
Monitor policies and administration of public undertakings and corporate regulations.
Select Committees
Temporary committees for specific issues, including corporate governance or public enterprise performance.
Committee on Public Undertakings (COPU)
Specifically oversees public sector undertakings’ (PSUs) performance and accountability.
Role of Parliamentary Committees in Corporate and Public Undertakings Accountability
Scrutiny of Accounts & Reports: Review audit reports (e.g., from Comptroller & Auditor General).
Questioning Officials: Summon public officials, corporate executives for explanations.
Investigations: Probe inefficiencies, corruption, or mismanagement.
Recommendations: Suggest reforms, policy changes, or legal action.
Transparency & Public Awareness: Committee reports are often tabled in Parliament, ensuring public visibility.
Why are Parliamentary Committees Effective?
Expertise & Focus: Committees have smaller membership for detailed focus.
Bipartisan Nature: Members from different parties ensure balanced oversight.
Legal Powers: Can summon witnesses, demand documents.
Continuous Oversight: Unlike one-time debates, committees work throughout the year.
Important Case Laws Reflecting Parliamentary Committees’ Role
1. S.R. Bommai v Union of India (1994)
Though mainly about federalism, the case highlighted Parliament’s role in checking executive powers.
Committees, as part of legislative oversight, are tools to ensure government and its enterprises don’t misuse power.
2. State Trading Corporation v. CWT (1974)
Reinforced that public corporations are accountable to Parliament.
Committees act as an arm of Parliament to enforce this accountability.
3. Kesavananda Bharati v State of Kerala (1973)
Emphasized basic structure doctrine, including accountability and checks on power.
Parliamentary committees embody checks on public bodies, reinforcing constitutional governance.
4. Union of India v R. Gandhi (2010)
Highlighted the importance of transparency and accountability in public undertakings.
Parliamentary committees scrutinize such undertakings to uphold these principles.
5. T.N. Godavarman Thirumulpad v Union of India (1997)
Although primarily an environmental case, it showed how parliamentary and judicial oversight ensures public bodies follow laws and policies.
Committees often interact with government agencies, reinforcing administrative accountability.
Summary Table of Parliamentary Committees and Accountability
| Committee Name | Function | Accountability Aspect |
|---|---|---|
| Public Accounts Committee | Audit of government expenditure | Financial accountability of corporates/PSUs |
| Committee on Public Undertakings (COPU) | Oversight of PSUs performance | Operational and policy accountability |
| Standing Committees | Sector-specific monitoring | Policy and administrative scrutiny |
| Select Committees | Investigate specific issues | Detailed probe of corporate/public actions |
Conclusion
Parliamentary committees play a crucial role in ensuring that corporates and public undertakings are accountable to the people through legislative oversight. They act as watchdogs, examining finances, performance, and compliance with laws, thus strengthening democratic governance.
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