BHARAT HYDRO POWER CORPN. LTD. vs STATE OF ASSAM

The Supreme Court upheld the constitutional validity of the Bharat Hydro Power Corporation Limited (Acquisition and Transfer of Undertaking) Act, 1996 (Assam Act 1 of 1997), affirming the High Court's dismissal of the writ petition challenging the Act. The Court established that the Act was enacted under the legislative competence of the State as per Entry 38 of List II of the Seventh Schedule of the Constitution. The judgment clarified that the transfer of the project to the joint sector was a valid exercise of legislative power, thereby rejecting the appellants' claims.