Chief Justice of India S H Kapadia on Saturday said loss was a matter of fact and profit and gain matters of opinion, remarks that came against the backdrop of raging controversies over the valuation of natural resources.
He made no direct reference to the controversies over the CAG reports on presumptive loss in the 2G spectrum allocation or the gains to private companies in the coal block allocation, but himself drew attention to the ongoing controversies on valuation.
The CJI also lauded the Prime Minister’s address to the nation yesterday on the economic situation, saying he brought out the “doom’s day that if we are not careful, the young will suffer”.
“Sometime we see certain (TV) programmes and we build our perceptions. How many of us know the basic principle of valuation? Today, a number of controversies on valuation are discussed but the basic principle of valuation is that loss is a matter of fact and profit is a matter of opinion,” Justice Kapadia said.
“If growth goes down, unemployment will increase and at that point investment is important,” he said.
“The government has difficult choices to make but Americanisation of laws in India should be avoided. Leaders should know that without the rule of law, well-connected leaders can grab an unfair share which will affect inclusive growth,” he said.