Nainital HC notice to Union government on IMPCL disinvestment plan

Nainital HC notice to Union government on IMPCL disinvestment plan

Dehradun, Dec 13

Acting Chief Justice Manoj Kumar Tiwari and Justice Pankaj Purohit of Nainital High court today directed the Central government to file objection to the delay condonation application in a the “IMPCL Kamgar Union versus Union of India’ related to the proposed disinvestment of the Indian Medicines Pharmaceutical Corporation Limited (IMPCL), Mohan, Almora. The court has postedcthe matter for hearing after two weeks.

In the year 2023,the Ministry of Disinvestment, Government of India had initiated the process of sale of Indian Medicines Pharmaceutical Corporation Limited (IMPCL), Mohan, Almora, Uttarakhand.   The appellant has challenged the disinvestment before the Nainital High Court.The secretary of the Ayush Ministry has already objected to the disinvestment. After a hue and cry by the workers as well as concerned citizens and locals, former union minister Ajay Bhatt who is Lok Sabha MP from Udham Singh Nagar seat of Kumoan region  had also ritten to the Union government stating that the proposed disinvestment was against the interests of the Uttarakhand state.

Dr. Kartikey Hari Gupta, counsel for the appellant that they had pleaded before the high court that the disinvestment of continuously profit making company is against public policy. Secondly, the majority of bidders in the disinvestment process have no prior experience of pharmaceutical industry. Thirdly ,it is situated on 100 acres of forest land and in the year 1977 when it was transferred to Indian Medicines Pharmaceutical Corporation Limited (IMPCL), a condition was put that if and when IMPCL will not require the said land, it will go back to the forest department.

Hence in the garb of disinvestment, it is an illegal sale of 100 acres of forest land to private companies. The disinvestment policy of Government of India makes it clear that any disinvestment which shall result into alienation of material resources of the country will not be done. So the proposed disinvestment of IMPCL is even against the disinvestment policy of the government of India.

There has been widespread condemnation of the proposed plan of the Union government to sell the  Indian Medicines Pharmaceutical Corporation Limited (IMPCL). Apart from the workers opposition Congress party had raised the issue since 2023. Priyanka Gandhi Congress leader who took up the issue said that Union government proposal on IMPCL  “exposed” the “hypocrisy” of promoting Ayurveda and AYUSH by the BJP government.

In October ,2024 , she raised concerns over the government’s decision to sell the IMPCL located in Almora, Uttarakhand and pointed out that the company, which was established in 1978 by the central and state governments, plays a significant role in the production of Ayurveda and Unani medicines.

She noted that IMPCL reported a profit of Rs.18 crore last year and is set to distribute a dividend of Rs.6 crore to the government. She highlighted that the company employs over 500 individuals and relies on thousands of small farmers for raw materials.

“What is the government’s intention behind selling the profitable Mini Ratna pharmaceutical company? Indian Medicines Pharmaceutical Corporation Limited (IMPCL), located in Mohan, Almora, Uttarakhand, was established in 1978 by the central and state governments together. It is a major factory of Ayurveda and Unani medicines, which supplies medicines across the country and also abroad,” she had said in her X post.  The workers of the factory are on warpath against the proposed disinvestment plans of the central government.