Finance Minister, Pranav Mukharji, in this year’s budget speech, said public sharing in public limited companies should be increased by 25%. This has been implemented by making changes in the company rules. The companies promoters of more than 180 companies listed in share market have to sell their companies’ shares until 25% of it goes to the public as per new rules. Both, Govt. and private companies come in this category. Majority of them belong to electricity, steel, mining and IT sector. In this series, approximately shares worth of Rupees 1.5- 2 Lakhs Crores may either be sold or purchased. Limited companies have to sell 5% of their shares through IPO or IFO. A company promoter who has more than 95% shares doesn’t want to sell more than 5% shares in a year; he can complete this task in five years. It is clear that the Govt. wants to fulfill its need by selling shares of public sector companies. To see such a big decision in a small frame will not be good. The working of corporate sector has some big lacking despite of high claims. Everybody wants to get the benefit by selling his company shares in the public, but nobody wants to take the risk of losing his grip on the company. Both, the Govt. as well as private entrepreneur have the same mentality. Some times private sector use this mentality in gimmicks too – like setting with brokers to increase or decrease the prices of its company’s share; in this game, investor is always looser. If 25% shares go to public it is possible that such gimmick may be stopped. It is necessary to clear one thing that in this public purchase, big purchase organizations for which quota is already fixed in every IPO and FPO will also be counted. The corporate sector is against this provision where only promoters are said to sell their shares to public. Major part of holding of the company is already in the hands of mutual funds and foreign investors who are also considered as public. In this way, after selling 25% shares to public, the promoters holding will be reduced at such a level that they might lose their ownership in the company. The Govt. should also consider this point.