Have you ever wondered about the ownership structure of major companies, especially those that were once government-owned but now operate privately? Understanding who holds shares in a company is crucial for transparency and accountability. This case highlights how the Right to Information (RTI) Act can be a powerful tool for citizens to access such vital financial information, even when faced with initial resistance from public authorities. It sheds light on the interplay between the RTI Act and other specific laws, like the Companies Act, and clarifies what information is accessible and under what conditions.
Background: What Information Was Sought
In this case, an applicant approached the Ministry of Corporate Affairs (MCA) using an RTI application. The primary goal was to obtain the shareholding pattern of the National Stock Exchange (NSE) as filed with its annual return. Beyond just the pattern, the applicant also sought the names of officials responsible for scrutinizing NSE’s annual returns since its incorporation, especially given its transition from a government company to a private sector entity. Furthermore, the applicant inquired about the status of a previous letter sent to the Minister of Corporate Affairs concerning the alleged submission of false information to the Registrar of Companies (ROC) and the actions taken under Section 628 of the Companies Act. The Public Information Officer (PIO) initially stated that the shareholding pattern and official names were publicly available and not under the control of the public authority. Regarding the letter, the PIO mentioned it was forwarded to the Regional Director (RD) in Mumbai. The RD’s report indicated that the ROC found no evidence of false information being filed that would attract Section 628 of the Companies Act.
How the Public Authority Responded
The Public Information Officer (PIO) took the stance that the requested information, specifically the shareholding pattern and the names of scrutinizing officials, was already in the public domain and therefore not something the public authority was obligated to provide under the RTI Act. For the applicant’s letter regarding alleged false information, the PIO stated it had been transferred to the Regional Director for examination. The subsequent report from the Regional Director, based on the ROC’s assessment, concluded that no apparent facts indicated the submission of false information under Section 628 of the Companies Act.
The CIC Hearing: What Happened
During the hearing before the Central Information Commission (CIC), the respondent argued that the MCA’s electronic portal provided 24/7 access to available information for anyone, anywhere. They also referenced Section 610 of the Companies Act, 1956, which allows any person to inspect documents held Registrar of Companies (ROC) or obtain certified copies upon payment of the prescribed fee, as per Rule 21A of the Companies (Central Government’s) General Rules and Forms, 1956. The crux of the argument was that the Companies Act already provided a mechanism for obtaining this information, and the RTI Act should not override these specific provisions.
The CIC Order and Its Significance
The Central Information Commission (CIC) referred to a significant High Court of Delhi decision in the matter of Registrar of Companies & Others Vs. Dharmendra Kumar Garg & another. This ruling established that there was no inconsistency between the provisions of Section 610 of the Companies Act and the RTI Act. The CIC emphasized that the RTI Act is a general law granting citizens access to information held authorities, subject to its own limitations. In contrast, Section 610 of the Companies Act is a special law dealing specifically with the right to inspect and obtain records from the ROC. The Commission concluded that a general law cannot be interpreted to repeal or override a special law. Therefore, the CIC rejected the appeal, affirming that the fees prescribed under the Companies Act would take precedence over any fees that might be associated with RTI applications for similar information. This decision is significant because it clarifies how to navigate situations where information is accessible through both a specific act (like the Companies Act) and the general RTI Act.
Key Lessons for RTI Applicants
- Lesson 1: Be aware of specific laws: For information governed statutes (like the Companies Act), understand that those laws might have their own procedures and fee structures for accessing information. The RTI Act complements but doesn’t always replace these.
- Lesson 2: Public domain information vs. controlled information: While PIOs may claim information is in the public domain, it’s important to understand if it’s truly accessible and how. If it’s held public authority under its control, even if publicly available elsewhere, it might still be accessible through RTI.
- Lesson 3: Fee structures can differ: As this case shows, the fees prescribed under a specific act (like the Companies Act) can be different and might prevail over RTI fee rules for that particular type of information. Always check both.
How to File a Similar RTI Application
- Identify the correct Public Authority: Determine which government department or office holds the information you need. For company-related information, this is often the Ministry of Corporate Affairs or its regional offices.
- Clearly state your request: Be specific about the information you are seeking. For shareholding patterns, mention the company name and the period for which you need the information.
- Mention relevant sections if known: If you are aware of specific sections of laws that govern the information (like Section 610 of the Companies Act), you can mention them, but it’s not mandatory.
- Pay the required fee: Typically, an RTI application fee is Rs. 10. However, for certain documents obtainable under specific acts, additional fees might apply as per those acts.
Sample RTI question you can use:
Please provide a copy of the shareholding pattern filed by [Company Name] with its annual return for the financial year [Year]. Also, please provide details of any fees prescribed under the Companies Act for obtaining such information and the procedure to pay them.
Conclusion
This case serves as a valuable guide for citizens seeking financial and corporate information through RTI. While the RTI Act provides a broad right to information, it’s essential to understand that specific laws may govern certain types of information and their access procedures. informed and strategic in your RTI applications, you can effectively access the information you need to promote transparency and hold public authorities accountable.
