http://www.icmrindia.org/free%20resources/casestudies/balco-disinvestment-1.

htm
http://business-ethics.com/2011/05/12/does-corporate-social-responsibility-increase-profits/
The case study looks at the issues relating to the disinvestment of Bharat Aluminium
Company (BALCO) by the Government of India (GoI). It discusses the incidents which
surfaced after the GoI's decision to reduce its stake in BALCO to 49% and sell the majority
holding to Sterlite Industries. In February 2001, when the GoI announced the disinvestment
deal of BALCO, hell broke loose. The opposition parties vehemently opposed the move and
accused the government of selling BALCO for a price which was far below its actual value.
There was also stiff resistance from the Government of Chatisgarh, as well as the workers of
BALCO who went on a strike opposing the deal. The deadlock ended with the strike being
called off after 62 days when the new management of BALCO finally brokered a deal with
the workers. The case examines in detail the repercussion of the GoI's decision to disinvest
BALCO. The case throws light on the political squabbling over the issue and also takes the
students through the workers strike. The case is designed to stimulate the students to think
about the problems which crop up in the disinvestment of public sector undertaking which
are faced by both parties to the deal, both government and private, with specific emphasis
on the BALCO deal. At the end of the case discussion, the students should have grasped
the following issues: (1) a general understanding of the problems associated with
disinvestment; (2) the political and other problems faced by the government; (3) the
problems faced by the private party and how to manage them; and (4) the ethical issues
relating to sale of BALCO to a private party. The case is intended for MBA/PGDBM level
students as a part of their business environment curriculum.

Proposal for Term Paper : Ethics and Public Policy

Project Title
Business ethics related to BALCO Disinvestment Story
Research Question
Was it ethical of Government of India to reduce stake in BALCO holdings and sell it to a private firm
Sterlite?
Introduction
The case study looks at the issues relating to the disinvestment of Bharat Aluminium Company
(BALCO) by the Government of India (GoI). It discusses the incidents which surfaced after the GoI's
decision to reduce its stake in BALCO to 49% and sell the majority holding to Sterlite Industries. In
February 2001, when the GoI announced the disinvestment deal of BALCO, hell broke loose. The
opposition parties vehemently opposed the move and accused the government of selling BALCO for
a price which was far below its actual value. There was also stiff resistance from the Government of
Chatisgarh, as well as the workers of BALCO who went on a strike opposing the deal. The deadlock
ended with the strike being called off after 62 days when the new management of BALCO finally
brokered a deal with the workers. The case examines in detail the repercussion of the GoI's decision
to disinvest BALCO. The case throws light on the political squabbling over the issue and also takes
the students through the workers strike. At the end of the case discussion, it presents the ethical
issues relating to sale of BALCO to a private party.
Literature Review
Argument

Methods
Analysis of similar cases
Expected Outcomes