Newton's Law of Corruption in India

Nitin Gupta (Rivaldo) is a stand-up comedian & is an alumnus of IIT Bombay (Chemical Engg) and founder of Entertainment Engineers.
Here he is seen performing for the students at the S.P. Jain College and the subject is the CWG, 2G and other scams - the Archimedes Principle and Newton laws are a brilliant take why nobody gets caught in the scams in India – this can be explained by the Archimedes Principle for corruption "Any minister fully or partially immersed in corruption is pushed up by a buoyant force which is equal to the weight of the money displaced by him in the scams".
Laws of corruption should be passed – similar to Newton laws of motion

Black money at rest will remain at rest, scams in motion will remain in motion, until unless an external force like the Jan Lokpal Bill is applied to them by people outside the parliament...
See and enjoy the hilarious video for more - unfortunately its not a laughing matter, it is the current state of affairs in India.
click here for more funny comments

Bureaucrats spin and spiral the corruption curve of India

Bureaucrats hired by companies which they helped get coal fields allotted to?
New Delhi: The investigation into the coal scam has the Central Bureau of Investigation (CBI) looking at whether bureaucrats colluded with private companies to get coal blocks despite being ineligible.
What is clear already is that several senior bureaucrats who could have helped inference the allocation process were employed by private companies after leaving the government.
R V Shahi was India's longest serving power secretary - he held the position between 2002 and 2007. During this time, Jindal Steel and Power Limited, owned by Congress MP Navin Jindal, was allocated two coal blocks. Mr Shahi is now an Independent Director of the same company, whose businesses include steel, power and mining.
Like other companies, Jindal Steel and Power was chosen by a screening committee that included representatives of different ministries and stakeholders. Mr Shahi says that the coal blocks given to Mr Jindal's firm were for sponge iron plants and not for power, therefore, he says, officials from his ministry would not have played a role in the selection process.
But during Mr Shahi's tenure as power secretary, two other Jindal Group companies were assigned coal blocks for power plants. These companies are headed by Navin Jindal's brothers and he is a director in one of them.
Both Shahi and Navin Jindal dismissed any allegations of wrongdoing or favouritism.
In Jharkhand, P P Sharma was the Chief Secretary between December 2004 to January 2006, and then again from August 2007 to March 2008. Now, he is a full-time director with the Abhijeet Group, which has power and mining projects spread across Jharkhand, Maharashtra, Bihar and West Bengal.
During Mr Sharma's tenure as Chief Secretary, the same Abhijeet Group got five coal blocks. Though the allocations are done by the Coal Ministry, the state government's views are critical in the selection process and senior officials from the state where the coal field is located are on the screening committee that decides on applications.
Mr N C Jha is the CEO of the mining business of Monnet Energy and Ispat Limited - the second largest coal-based sponge-iron manufacturer in India.
Mr Jha was the Technical Director of government-owned Coal India from 2007 and Chairman of Coal India Limited in 2011. The Technical Director of Coal India is a member of the Screening Committee.
Between 2008 to 2010, the group was allocated three coal blocks for power and sponge iron by the coal ministry.
Bureaucrats hired by companies which they helped get coal fields allotted
Comment: Politicians, Businessmen and Bureaucrats cemented in milking the nation of its vital assets and transferring them to Swiss like Secret Accounts. Will the CBI book these corrupt Bureaucrats?

Senior Military Officers caught in Money Spinning Spree

Army Maj Gen in the dock in electronic warfare equipment scam
[ Updated 30 Aug 2012, 14:09:27 ]
New Delhi, Aug 30: Major irregularities and siphoning off of funds have come to light in the purchase of electronic warfare equipment worth Rs 80 crore for the crucial Northern Command that covers Kashmir.
A Major General of Electrical and Mechanical Engineering (EME) is in the dock in the Court of Inquiry, presided over by a Lieutenant General.
The Major General was attached to the Udhampur-based Northern Command earlier this month. The senior ranking officer has been divested of all operational responsibilities pending completion of the Court of Inquiry.
A newspaper report quoting sources said, the deal for electronic warfare and other sensitive equipment was signed last year and the Army carried out a preliminary probe when allegations of misappropriation by way of submitting fake bills came to light some months later.
Finding substance in the allegations, the Army then ordered a formal Court of Inquiry in May this year against a Colonel.
He, however, denied the allegations and pointed fingers at his Major General, who was the Master General (overall chief) of the Northern Command EME.
Officials said the officers were not able to explain expenditure of nearly Rs 30 crore out of the Rs 80 crore deal.
Sensing the seriousness of the charges, the Army ordered another Court of Inquiry after allegations surfaced against the Major General.
The latest scam involving senior officers comes in the backdrop of cases like Adarsh Housing Society scam in Mumbai, Sukna land scam and allotment of defence land to builders in Pune. All these cases involved officers of the rank of Lt Generals.
A former Military Secretary was also divested of his rank in the Sukna land scam.
Besides these high profile cases, two Lieutenant Generals, now retired, were prima facie found guilty of misappropriation of funds in procurement of rations including dal and mutton for troops.
Army Maj Gen in the dock in electronic warfare equipment scam
Comment: EW equipment purchase scandal by EME seems to be a new avenue for kickbacks as the equipment is shrouded in secrecy... Thank heavens there are no imminent war threats... Our Corrupt senior officers and bureaucrats will ensure defeat even before combat commences!

Manmohan Singh is a Fragile or a Tragic Figure

India can’t take thy barbs, oh mighty Gora Sahib
Thursday, September 06, 2012, 17:33 by Ajith Vijay Kumar
The Washington Post feels that India’s Prime Minister Manmohan Singh is a tragic failure, someone who after riding back to power in 2009 now leads a deeply corrupt government.
"Image of the scrupulously honourable, humble and intellectual technocrat has slowly given way to a completely different one: a dithering, ineffectual bureaucrat presiding over a deeply corrupt government".
WASHINGTON POST BEING DEROGATORY ABOUT OUT OUR PM, OMG!! We can’t allow them to get away with this, was the common refrain that seeped out of the corridors of power in the aftermath of the terrible ‘tragedy’.
Phones were worked on right and left of Raisina Hill and in ministries on both sides of the Rajpath. Information and Broadcasting Minister Ambika Soni hurriedly asked for an apology from the paper for lowering the dignity of the office of the Prime Minister, others in government condemned it.
"How can a US daily take the matter so lightly and publish something about the Prime Minister of another country? I will speak to the Ministry of External Affairs and the government will seek an apology from the daily," she said.
By day fall, the Firefighting Express had chugged across the town, TV studios, the web, high tea get-togethers and the cocktail circuit.
A Gora Sahib had done it again and that’s news… like it was when Time magazine dubbed the PM as an underachiever.
Post’s India bureau chief Simon Denyer rubbed the government the wrong way at its most sensitive spot - India and the PM’s image in the West. Manmohan Singh is an economist of repute and commands high regard in the global circuit, any wrong press coverage is a strict no no, and if coming from the Washington Post it patently alludes to bad news.
The merits of Denyer’s frontal attack on the Prime Minister may be debatable but what has predictably come out of the entire episode is the jittery reaction of the establishment to any bad news coverage from the West, especially from Uncle Sam.
While the PMO claims Denyer had apologized, The Washington Post correspondent has refuted all such claims and continues to stand by his report, further angering the mandarins in the South Block.
The latest episode has once again exposed the morbid fear of the Gora Sahib that runs deep within the Indian consciousness.
The Prime Minister’s Office will not take notice – in this magnitude – to the criticism from the Indian press, like it does with the foreign press.
Why is that we can’t take their criticism face on or even better just ignore it? How much value does a Washington Post report on Manmohan Singh’s weak spots hold for the aam janta of this country and more importantly do we need a certificate from the US of A for everything we do?
Instead of crying hoarse over what the Washington Post feels about the PM, the government would do itself good by focusing on clearing the haze that seems to have engulfed its functioning.
Indeed the government has developed the image of being a den of corruption. But, certainly, the PMO doesn’t need the Washington Post to show them the mirror.
Rather than hyperventilating on a foreigner putting a value to the PM’s worth, it is time the government starts looking inwards.
And, it is also time to stop worrying about the Gora Sahibs, the people who will vote you back to power are all brown.
India can’t take thy barbs, oh mighty Gora Sahib

Rank Pay: Will the MOD in conjunction with UOI throw more spanners?

LATEST UPDATE
IV Pay Commission Rank Pay Anomaly Case
In the case of Maj AK Dhanapalan Vs Union of India in OP 2448/96, The Hon’ble High Court of Kerela allowed the plea of the officer and held that the deduction of the rank pay was not correct and directed to re fix the basic pay of the officer from 1.1.1986. Appeal filed by the Union of India before the larger bench of the High Court & SLP in the Hon’ble Supreme Court against the judgment was dismissed. Although Govt sanction to pay arrears to Maj AK Dhanapalan were issued, the benefit was not extended to similarly placed officers of the three Services.
Similar cases were filed by a large number of officers in various courts throughout the country. The Supreme Court of India directed that such of the cases be transferred to the apex court. Retired Defence Officers Association (RDOA) has been able to transfer one of the ‘lead cases’ from Kerela to the Supreme Court.
AS ON 04 SEPT 2012
The IV CPC Rank Pay Case was finally heard today ie 04 Sept 2012, in Court no 7, in the court of Hon’ble Justices RM Lodha, TS Thakur and Anil S Dave. The appeal file by UOI for recall of order of the Hon’ble Court dated 08 March 2010 was dismissed by the Court. The court upheld its order of 08 Mar 2010. The Solicitor General spent marathon four hrs to convince the court about the legitimate deduction of the rank pay but was not able to justify the deduction of rank pay and as to fitment of pay of AF officer vis a vis a civilian offr drawing same basic pay as on 1/1/1986.
The said order will be applicable to all affected offrs of the AF wef 01/01/1986 to 01/01/2006 across board. It would also be applicable to all pending cases in various courts and AFT’s across the country on the subject case.
The interest will be applicable @ 6% wef 01/01/2006 and not 1986. This is the only change made by the court. The court has also directed that all arrears should be paid within outer limit of 3 months from today ie 04 Sept 2012.
So, the pay and pension of all affected officers of the AF are set to revise from 01/01/1986.
RDOA Blogspot
SPANNERS PROPOSED BY UOI through Solicitor General as on 11 Jan 2012
The UOI has suggested a big 'spanner' to cause delay in the IV CPC rank pay case. In its affidivit filed the UOI says that the Central Govt is open and willing to constitute an independent commission headed by a retired judge of the Supreme Court to examine the correctness of the implementation of the recommendations by IV CPC related to rank pay as given in para 28.113 of its report and to make recommendations for further improvements to the proceedure for disbursement of pension to retired Armed forces personnel based on Govt orders subsequent to VI CPC recommendations THIS IS PURE HOGWASH AND ONLY TO DELAY MATTERS. RDOA IS NOT GOING TO BUY THIS LINE OF ACTION. Further it says: Apart from the enormous financial implications, actual implementation of the Hon'ble Court's order would involve the following stages;

Revision of pay of offrs on 1/1/1986, 1/1/1996, and 1/1/2006 with simultaneous revision of all pay linked allowances/benefits.

Calculation of DA on slab basis from 1/1/1986 to 31/12/1995 is time consuming

Revision of retirement benefits (gratuity, leave encashment)of offrs retiring after 1/1/1986

Revision of pension on 1/1/1986, 1/1/1996, 1/1/2006.

Revision of family pension based on revision of pension of offr

Payments to be made to legal heirs of deceased offrs

Interest @ 6 % per annum for upto 24 yrs in each case will have to be calculated and paid. This would be a protracted exercise taking a lot of time and involving huge manpower as each case will have to be examined/ calculated individually.
RDOA comment. UOI is responsible for this faux pas and should do the needful and pay the offrs their legitimate dues. The Court should raise the penalty to 18% for causing unnecessary delays in implementing court orders.

Disconnect between GOI and Armed forces grows

Disconnect between GOI and Armed forces grows – Rank Pay Shows
By IDU Analysis on September 5, 2012
No body listens to the Armed Forces in any matter is a truth. The Armed Forces have been blamed for the messed up wars and operations in 1962, 1965 and Op Pawan but no blame as in the Henderson Brooks or K Subrahmanyam or any other report goes to any bureaucrats’ or politicians’ scalp. And we want to be a Super Power but have become the No 1 Defence Importer in the world because we are a ‘Rich Nation With Fine Poor People’ and the Armed Forces are the fine poor in more sense than one.
The Armed Forces have finally won a victory of sorts on 4th Sept by going to court and there are lessons to be learnt. The Supreme Court three Judge Bench courageously decided not to interfere in its earlier decision granting the cumulative benefits and arrears of Rank Pay with effect from 01-01-1986 to all affected officers. However, the 6% interest component has been admissible on arrears from 01-01-2006 rather than 01-01-1986, because the Government cried ‘foul’ it has no money, which is true for the Armed Forces. Lets hope Chidambaram does not do some retrospective change.
Sadly the case remained pending for years and was finally argued in marathon four hour arguments by the Solicitor General Nariman Jr who had said he had a solid case appearing for the GOI on technical grounds. The SC , decided that there was no infirmity in the order passed on 08 March 2010 which the previous SC had lost but MOD appealed. The welfare of the Armed Forces is a less looked after subject with an IAS secretary warming the chair looking for loop holes only he can plug.
And today news comes Shekhar Agrawal, an IIT product Secretary, Defence Production, Ministry of Defense, Government of India will be looking after additional charge of the Department of Ex-Servicemen Welfare for three months. He has been screwing up private sector attempts to let Private sector defence companies enter production and has been naturally protecting PSUs. Lets see what is in store as he has his hands full in Defence Production. Welfare can wait.
All this shows there is disconnect between the MOD which should have agreed and fought for Rank Pay when the SC verdict came but it is learnt that that the Services HQ were in favour of getting the verdict implemented, The three services on the basis of a decision taken officially and categorically informed the Solicitor General in writing that the Armed Forces were not in favour of the matter being contested against the affected officers and in fact were in favour of getting the verdict of the SC dated 08 March 2010 implemented. But who listens.
Thereafter, the MOD wrote to the Services HQ asking them to withdraw the communication to the Solicitor General, however to the credit of the Services, the said communication was ultimately not withdrawn. Besides showing utter disregard for the opinion of the services in this matter, this incident also shows as to how the MoD tries to browbeat the services into accepting its views and huge nerve centre connects with UPA Chairperson the PMO drives many of these issues. Unfortunately elements of the JAG Branch also toe the line of the MoD rather than the Services for greener pastures.
This shows the dangers of the workings of the Indian government and political parties and shows the insides of national security too that straddles the philosophical divide between India’s Armed Forces and the leadership and extends to India’s foreign and military policy and hijacks the ability of the military ability to deliver. And as the picture shows China leaps ahead with economy , women power, military and nuclear muscle and intelligence which was what the out going Chinese Defence Minister came to gather with 23 others.
Another debility in India is that which ever Indian government has come to power, it has shown a quest to dominate the military by any means fair or foul and has evaded the appointment of a CDS despite Arun Singh, K Subrahmanyam and now Naresh Chandra committee having recommended. They were no fools.
It is only after examining the factors of corruption in purchases like Bofors, HDW submarines, Tehelka and now the cancelled contracts and the war Room leak case connected with absconding Lt Cdr Shakaran and Abhishek Verma that one realizes how Armed Forces are the losers while bureaucrats politicians get away. The names are known but cash leads abroad are not easy to trace.There have also been failures in wars of 1962, 1965 and Op Pawan , that one can point to ill conceived motives and failures of India’s foreign and military policy. The Armed Forces are kept at arm’s length from decision making or foreign policy and offered sops like posts of Governor or Ambassador to Naval Chiefs as one hears the post will now go to the retired Naval Chief for good work done.
Admiral Vishnu Bhagwat tried to challenge the system and took on the Deference (Sic) Minister Fernandes and Defence Secretary and DRDO Dr Kalam and asked for an audit of the ATV INS Arihant project where he was a spectator member. He got sacked under Art 311 with out rank or pay as powers rest with the Defence Minister to dismiss any inconvenient officer under Art 311 though Justice Shah when introducing the article in the Constitution asked for ‘application of mind’. More recently Gen VK Singh tried to take on the Government but failed and its said he is safe as he holds many interesting conversations his special unit tapped in to, and his daughter is an Army wife and an in house lawyer. Bhagwat was simple sailor and lives down Colaba.
With this SC Rank Case ruling and many scams the question before Indians today and the Armed Forces and educated citizens is how can we have faith that their government will steer well and honestly and keep them safe. India wants to rise but has a charted a strategy for India where bureaucrats in MOD apply yard sticks to keep the Armed Forces subservient. How clueless can Government be about scams under the Minister’s and PM’s nose which has the most intelligent officers in PMO looking after India’s Intelligence agencies which have mushroomed so no one finger can point at any one agency. This is a moot point for national intelligence too.
And brings in a relevant question is “Do our intelligence agencies deliver or in the cloak of secrecy get away unquestioned”? When one accidentally took over as Director of Naval Intelligence and consulted a British counterpart who dealt with MI-5 and MI-6 (One had to deal with IB and RAW and DOE only then), he said, “Intelligence is like a cow. You have to ‘milk it’ and learn how to milk a cow (Intelligence) first. She does not give milk by itself”. Nor does any intelligence agency as the act of withholding information, is rampant in India.
Today the Indian government presents a view of reactive Indian foreign and military and nuclear policy, as reported by the Atomic Scientists and Mail Today as the Indian military is not in the loop who are to ‘man the bombs’, even if never to be used. And clever people say its ambiguity as is CWG, 2G and now Coalaveri gate.
This luckily for India is in stark contrast to that depicted by corporate India where to most minds the private industry (not the coalgate and 2G and CWG gainers) is leading India’s rise on the world stage. For years the Indian military was supplied, stocked and supported by the erstwhile Soviet Union but with its fall, now Israel and the US have emerged as India’s suppliers, and till we become some what self sufficient where private industry has to join India will as its now said, “Muddle along well and react only when the chips are down, and the loyal Armed Forces will react after a few days and get their act together”.
But today it’s a day to celebrate our Supreme Court not our MOD or Defence Minister or our PM who promised us pay of our Rank from the ramparts of the .RED FORT on Independence Day when PM announced the Pay Commission of rank not band.. He also ordered a group of secretaries to give a report on OROP on 8th Aug …..but what is an order from one bureaucrat to another unless there is something in it for him or her. The report is still to come. Command and Control of India is in slumbers and Khamooshi (Silence) as PM put very eloquently before he went to Iran for NAM meet, to defend himself in Coalgate is the order of the day.
Disconnect between GOI and Armed forces grows – Rank Pay Shows

Rank Pay: Supreme Court Orders Payment

TUESDAY, SEPTEMBER 4, 2012
Rank Pay forms a part of basic pay, release arrears to affected officers : Supreme Court, today, 04 September 2012
Perhaps historically the most important litigation involving the military has culminated today.
A three judge Bench of the Hon’ble Supreme Court today decided not to interfere with its earlier decision granting the cumulative benefits and arrears of Rank Pay with effect from 01-01-1986 to all affected officers. However, the interest component has been modified and interest @ 6% per annum would now be admissible on the arrears from 01-01-2006 rather than 01-01-1986.
All payments have been directed to be made within a period of 12 weeks from today and the benefits shall be released to all officers irrespective of whether they had approached a judicial forum or not.
As many would be aware, after the 4th Central Pay Commission (CPC), an integrated pay scale of Rs 2300-5100 was implemented for officers from the rank of 2/Lt to Brig. In addition, rank pay was authorised to officers from the rank of Capt to Brig ranging from Rs 200 to 1200 which was to be added into the basic pay for all intents and purposes.
However, while fixing the pay in the new scales, an amount equal to the rank pay was deducted from the emoluments resulting in financial loss to all affected officers. Hence all officers holding the rank of Capt to Brig as on 01-01-1986 suffered cumulative losses.
The Hon’ble Kerala High Court in a case filed by Maj AK Dhanapalan had termed illegal this deduction of rank pay. The SLP filed by the Union of India was also dismissed, albeit not on merits but on technical grounds of limitation.
Soon thereafter, many similar petitions were filed in various Hon’ble High Courts all over the country which were clubbed together and transferred to the Hon’ble Supreme Court to be heard alongwith an SLP of similar nature which had arisen out of a case that was allowed on the basis of the judgement in Dhanapalan’s case. The Hon’ble Supreme Court on 08 March 2010 upheld the said verdict and granted relief to all similarly placed officers alongwith an interest of 6%.
Things were however not to end there since the Govt constituted a committee to look into the amount involved and went back to the Hon’ble Supreme Court by filing an application for recall of the order dated 08 March 2010 on the grounds of burdening of the exchequer and also stating therein that many more issues on the subject were not taken into consideration by the Court and hence the order needed to be recalled.
The case thereafter remained pending before the Hon’ble Supreme Court and was finally argued today when the Hon’ble Court, after hearing marathon arguments of the Solicitor General appearing for the govt, decided that there was no infirmity in the order passed on 08 March 2010. As informed above, only the modification in the grant of the interest component was effectuated.
The case was not without surprising developments which can now be shared since the issue no longer remains sub judice.
First was the total incorrect and skewed presentation of the status and pay of military officers vis-à-vis officers of the civil services projected in the affidavit appended with the recall application filed by the Union of India. The speciousness thereof has already been discussed by me on the blog in November 2011 and all those falsities were exposed in the affidavit filed on behalf of the affected officers before the Hon’ble Court.
Secondly, which can be disclosed now, is that when it was being projected by the Govt that the Services HQ were also in favour of getting the verdict recalled / reversed, the three services on the basis of a decision taken at the apex level, clearly, officially and categorically informed the Solicitor General in writing that the Armed Forces were not in favour of the matter being contested against the affected officers and in fact were in favour of getting the verdict of the SC dated 08 March 2010 implemented. Thereafter, the Ministry of Defence wrote to the Services HQ asking them to withdraw the communication to the Solicitor General, however to the credit of the Services, the said communication was ultimately not withdrawn. Besides showing utter disregard for the opinion of the services in this matter, this incident also shows as to how the MoD tries to browbeat the services into accepting its views. Needless to state, in litigation, one party to a particular litigation can never direct another to take a particular stand. However this has been continuing unabated in the MoD wherein they force the Services to reflect the stand of the MoD before Courts and not project their (services’) independent views as is permissible under law. And unfortunately, it’s also seen that elements of the JAG Branch usually toe the line of the MoD rather than the Services.
The biggest ‘Thank You’ for this win goes to Retired Defence Officers’ Association (RDOA) who had been unflinchingly following up the matter with great zeal in a very objective and balanced manner.
Jai Hind.
Posted by Navdeep / Maj Navdeep Singh at 5:17 PM
Rank Pay forms part of basic Pay: Supreme Court
Related Blog Posts:
GOI prays before the Supreme Court
Supreme Court Restores Rank Pay denied to Military since 1986
Comment: MOD which tried to cheat the Military of Rank Pay since 1986 has been finally ordered by Supreme Court to pay arrears and interest from 2006. Will the MOD skirt the issue with another appeal? Money has gone down the drain in Coalgate and such like scams. Is the Government being robbed of the National wealth and now declared a pauper that it cannot pay its Soldiers?

P Chidambaram a Billionaire chides the middle class

When you can buy ice cream for Rs 20, why complain about price rise? Chidambaram asks urban middle class
TNN | Jul 11, 2012, 06.55AM IST BANGALORE: Union home minister P Chidambaram on Tuesday chided the urban middle class for bemoaning soaring prices of fuel and essential commodities. "There's steady rise in the minimum support price of paddy, wheat and sugarcane , reflected in the prices of commodities. When the urban middle class can buy a bottle of mineral water for Rs 15 and icecream for Rs 20, why do they make so much noise about price rise?" said Chidambaram.
Trying to justify increase in prices, Chidambaram said, "The rise has directly benefited farmers. We raised fuel prices because the global crude prices had gone up. We also gave relief by bringing down the petrol price twice. There needn't be any complaint for price rise when things are on the side of poor farmers."
The home minister was again briefing the media about the UPA's achievements. He said some strategies would strengthen the economy. "The main thrust should be on checking wasteful expenditure, increasing savings and investment in financial instruments rather than gold and higher production of output in fuel, iron ore and coal," he said. There's a need to increase overseas investment in Indian corporations, he added. Chidambaram hoped the National Counter Terrorism Centre (NCTC) envisaged by the Centre would get support from non-Congress CMs.
Many state governments have opposed the NCTC because they feel it would infringe on the powers of state governments as a person may be arrested by any officer of this new agency. "The Naresh Chandra Committee report on national security has stressed the need for an agency to tackle militancy and terrorist activities across the country. We'll try to convince state governments on this and bring about a consensus. I hope over time everyone will accept it," he said.
When you can buy ice cream for Rs 20, why complain about price rise? Chidambaram asks urban middle class
Comment: Words from P Chidambaram must be taken with a pinch of salt. He only sees Rupees dangling in front of him. He is an expert in insider trading, FDI, FII, benami and shady investments. He has done little to reduce black money, money laundering and and Secret Swiss Money during his tenure as Finance Minister. Now how come he has become spokesperson for Manmohan Singh? Is he singing tunes for more scams?

Adarsh scam: Ex-army chiefs called to depose

Rajshri Mehta, TNN | Jul 8, 2012, 01.10AM IS MUMBAI: After three former CMs, a number of retired senior army men, including former chiefs Gen N C Vij and Gen Deepak Kapoor, have been summoned by the judicial commission probing the Adarsh housing society scam.
The panel is slated to question Lt Gen (Retd) G S Sihota, who formerly headed the Southern Command, on July 9. He will be followed the next day by the former vice-chief of Army staff, Lt Gen (Retd) Shantanu Choudhary. Gen (Retd) Vij and Gen (Retd) Kapoor will depose on July 11 and a day after will be the turn of two former general officers commanding of Maharashtra, Gujarat and Goa region, Lt Gen (Retd) Tejinder Singh and Maj Gen (Retd) R K Hooda. All these army bigwigs were allotted flats in Adarsh, though, once a controversy erupted, a few promised to return them.
Adarsh scam: Ex-army chiefs called to depose
Readers Opinion: Navin Kolkatta
Dear Sir, We hope that the deposition of the ex Army top brass will be made public for all to see the extent of collusion in such cases and steps required to prevent such events from recurring. Let us hope no one suffers from amnesia during the deposition hearings!
CBI officer heading probe transferred
Adarsh scam: Bureaucrats plan to contest former CMs’ claims
Comment: CBI comes under MHA and so manipulated by P Chidambaram who is author of hidden scams doing the rounds in the public domain.

2G Scam: One more culprit surfaces

Published on Apr 26, 2012 by newsxlive Janata Party President Subramanian Swamy has made fresh allegations of corruption against Home Minister P Chidambaram's son Karti. Speaking Exclusively to NewsX Swamy demanded Chidambaram quit as Home Minister. Swamy also demanded that CBI should include him and his son, Karti, in its investigation on the sale of telecom company Aircel to Malaysia-based investor Maxis. Comment: Is PC the fitting person to head the investigating agencies. Why should he head the anti terror agencies. Terror financing is through Hawala Transanctions. Can he investigate his own son's involvement?

War on Corruption- Strategic Impact

Dear All,
I am appending below an advance copy of an article titled "War on Corruption - Strategic Impact" that has been sent to a magazine for publication. It is too long to be published in a newspaper, for which a shorter version has been sent, but has not yet been published. If you have the time, do peruse it.
Regards.
Vijay Oberoi

WAR ON CORRUPTION- STRATEGIC IMPACT
By Lt Gen Vijay Oberoi and Ashish Puntambekar
Introduction
Corruption is undoubtedly the hottest subject in India today. The credit for bringing it in focus must naturally go to Anna Hazare and the team that had the brilliance of making him the leader of the movement. Today, Anna is drawing crowds because the populace is fed up of mounting corruption in all fields of official and private interaction in our country. While a strong Lokpal Bill will help in prosecuting many corrupt leaders and officials, it is just one action that will rid the country of massive corruption. It will undoubtedly help, but much more effort would be needed at many levels. Besides enactment of the Lok Pal Bill, the government will have to carry out a major exercise on simplification of rules and procedures in all ministries and departments, especially relating to permissions/sanctions and to prepare clear and precise guidelines relating to business activity. In army parlance, corruption is being currently tackled at the tactical level. For much higher dividends, we need to upgrade it to the strategic level and fight a war against corruption, consisting of many battles. Besides benefits at the individual levels, India would reap major strategic gains by eradicating corruption or at least bringing it down substantially.

Corruption Status
Corruption in our country has now reached every nook and cranny of our daily living. It is not just the political leaders; senior bureaucrats; judiciary; and the hierarchy of the police; that are manifestly corrupt, but most if not all government servants, at all levels are as corrupt to a lesser or greater degree. Similarly, the corrupt include revenue officials; lower judiciary including their subordinates; the rank and file of the police, besides the hierarchy; and railway officials at every level. While the Lokpal Bill focuses on the big fish, the huge shoals of smaller fish in every walk of life, amounting to nearly 95%, will also need to be tackled simultaneously. The Media debate has not highlighted this, though it is included in the Jan Lokpal bill
We must also not forget the private sector. Here too corruption prevails at all levels, from corporate houses to the fields of education, medical practice, law, chartered accountancy and especially the entire entertainment industry. Even the media has its share of corruption. It manifests itself as biased news, paid news, suppressing of facts; manipulating statistics and facts and even actively working for influencing decisions of the government, as it was clear from the Radia Tapes episode.

Multi-faceted Approach
The aim of listing out the above is to emphasize that corruption has to be attacked at all levels and not just at the Lokpal or Lokayukt levels. In military terms, what is being attempted by Anna’s Team is to fight just one battle in the big war against corruption and that many battles of varying intensities need to be fought at successive levels of governance as well as in the private sector. Only then will we be able to make a substantial dent in achieving a relatively corruption-free society in our country. Let us now reflect on how widespread corruption has adversely impacted and continues to impact at the strategic level. Since Independence, we grew at the so-called Hindu rate of growth of 2.5 to 3 per cent for decades, on account of the ‘command economy’ and the overbearing controls of the government, better known as the ‘licence – permit raj’. That was the start of corruption. In the early Nineties, we opened the economy somewhat and the results were spectacular, but now on account of rampant corruption that has increased exponentially, the Growth Rate is slowing down. The reason is that no attempt was made to change the system of governance, as it suited the corrupt leaders and officials eminently!

Impact at Strategic Level
Now, we can come to the main purpose of this article, which is to show how widespread corruption has adversely impacted and continues to impact at the strategic level. Our economy is currently stagnating on account of slow decision making; bureaucratic red tape; lack of transparency; and widespread corruption. The military is hollow on account of no modernization and its downgrading in society, which is both misguided and intentional. A powerful and prosperous nation needs a vibrant economy and a strong military. One complements the other. The following paragraphs will highlight the economic and security benefits that eradication of corruption at all levels will deliver to the nation. A substantive dilution of corruption will bring about a major change in the investment climate through transparent decision making at all levels of the government and the reduction of money being sucked away by the corrupt, which finds its way in non-productive assets or is whisked away abroad. This transparency will then macro impact on both the economy and the military.
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Reforms accelerates black money transfer to Offshore financial Centers

Can the Supreme Court Ferret out the Money Laundering Route
Corruption Cost India $462 Billion As An Illegal Capital Flow
From BOB Goswami

INDIA NEWS - Asia’s one of the most fast developing nations India has coughed up more than $460bn since Independence on illegal capital flow, funneling corrupt riches money to overseas banks widened the gap between rich and poor. According to a new report, illegal money through various sleaze exercises like tax evasion, crime and others have founded strong base of inequalities irrespective of rapid growth of its economy.

US-based group Global Financial Integrity has published its reports, showing the illegitimate outflows of wealth to overseas robustly increased after economic reforms began in 1991. The group based in Washington has also revealed the detail analysis of cross-border flow of illegal money around the world.

The shadowy projection of mounting economy actually masquerades the poor state of governance in India since Independence in 1947. The ironical economical growth of nation in reality disguises the start term of financial cost of tax evasion, corruption, and other illicit financial practices in India.

Findings of Global Financial Integrity:

India’s $462bn wealth has gone astray in illicit outflows of money between 1948, a year after Independence, and 2008.

The capital outflow is more than twice of India’s external debt of $230bn.

The total illegal capital flight out to overseas is equal to 16.6% of its GDP.

After the economic reforms in 1991, 68% of India's capital loss occurred.

The main guilty are private organizations and high net-worth individuals.

Indian companies moved money from developed country banks to "offshore financial centers" (OFCs) increased from 36.4% in 1995 to 54.2% in 2009.

Dev Kar, a former International Monetary Fund economist said that the illegal money that consists of India’s underground economy drains out in foreign lands. According to him, India’s underground economy has been believed to sum up 50% of the country’s GDP - $640bn at the end of 2008.

The report is based on a World Bank model to estimate India’s missing wealth. Mr. Kar warned that the figure could be more alarming as it didn’t include other illegal transit such as smuggling and cash transfer outside the financial system.
Corruption Cost India $462 Billion As An Illegal Capital Flow
Related post in the blog
Greek crisis is a warning signal for India?

Clueless: Government Commissions Study to unearth Black Money

PIB 29-May, 2011 11:24 IST
Government Commissions Fresh Study Through Top National Level Institutions for Estimation of Unaccounted Income/Wealth both Inside and Outside the Country.
Ministry of Finance, Government of India has commissioned an in-depth and fresh study, engaging three top national level institutions for estimation of unaccounted income and wealth held within and outside India. This study will bring out the nature of activities that encourage money laundering and its ramifications on national security. The study has already commenced in March, 2011 and is expected to be completed within a period of 18 months. The study is being undertaken by the following national institutes:

National Institute of Public Finance and Policy (NIPFP);

National Institute of Financial Management (NIFM) ; and

National Council of Applied Economic Research (NCAER).
The terms of reference of the study are as follows:

To assess/survey unaccounted income and wealth both inside and outside the country.

To profile the nature of activities engendering money laundering both inside and outside the country with its ramifications on national security.

To identify important sectors of economy in which unaccounted money is generated and examine causes and conditions that result in generation of unaccounted money.

To examine the methods employed in generation of unaccounted money and conversion of the same into accounted money.

To suggest ways and means for detection and prevention of unaccounted money and bringing the same into the mainstream of economy.

To suggest methods to be employed for bringing to tax unaccounted money kept outside India. (vii) To estimate the quantum of non-payment of tax due to evasion by registered corporate bodies.
The issue of black money has attracted a lot of public and media attention in the recent past. So far there are no reliable estimates of black money generated and held within and outside the country. The different estimates on quantum of black money range between USD 500 billion to USD 1,400 billion. A recent study by Global Financial Integrity has estimated the illicit money outflow to be USD 462 billion. These estimates are based on various unverifiable assumptions and approximations. Government has been seized of the matter and has, therefore, commissioned these institutions to get an estimation and sense of the quantum of illicit fund generated and held within and outside the country. ******* DSM/SS (Release ID :72383)
Government Commissions Fresh Study to quantify Black Money
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Radia drops Pawar- 2G Spectrum Bomb

Radia links Pawar to DB Realty, minister rubbishes reports
14 Apr 2011, 1507 hrs IST, AGENCIES
A fresh controversy brewed today (April 14) after corporate lobbyist Niira Radia reportedly linked Union minister Sharad Pawar to 2G scam-tainted DB Realty firm but the senior leader trashed her claim. Pawar was reacting to media reports which had quoted Radia as telling the CBI that he may be controlling DB Realty and may have pursued the issue of spectrum and license for Swan Telecom with former Telecom Minister A Raja.

Her statement was part of the CBI charge sheet but she herself made it clear that it was the perception in Mumbai that she was talking about and she had no documentary proof to back it. Pawar said, "This is absolutely a lie and foolish statement. I have no financial interest in this company. DB Realty and that telecom company I have no relations at all. I have no financial, not one 'naya paisa' interest in that company".

He said he knew DB Realty's Vinod Goenka's father for the last 35 years and he had set up a milk processing unit in Baramati about 20 years back. "We, all farmers, are helping him in getting good quality milk. We have a relationship. There are no two opinions about that but we have no involvement or association with the telecom company," he said.

Pointing out that Radia had herself stated that she had no proof to back the charge, Pawar said he had no talk with the corporate lobbyist or anyone else with regard to grant of licence for spectrum use. "I am looking after agriculture of the country, not telecom," he said.
Radia links Pawar to DB Realty, minister rubbishes reports
Comment: Pawar has fingers dipped in POWER- agriculture his hobby but his focus is on ICC- where his heart is!

Anna Hazare Crusade against Corruption Catapults the Youth into Action

Dear Colleagues,
Happily and expectedly, Anna Hazare’s campaign has gathered great nationwide momentum. His present aim, in the overall fight against corruption, is to have the Lokpal bill drafted through public participation. The support shown by the ESM has been encouraging. Admittedly, more could be done. Please visit Jantar Mantar any time of the day to show solidarity with the cause. The IESM enclosure is just West of Anna’s manch. Please visit it to mark your presence and support.
Best regards,
Lt Gen (Emeritus) Raj Kadyan, PVSM, AVSM, VSM
Chairman IESM

ESM AT NAVI MUMBAI SUPPORT - ANNA HAZARE
As planned, a DHARNA was organised on 5th April from 8 AM to 8 PM at BELAPUR railway station in support of Shri ANNA HAZARE in fight against corruption, at the initiative of ESM at Navi Mumbai.Over 5000 handbills were distributed, in English & Marathi containing details of inaction by the Govt and merits of proposed Jan LOKPAL & LOKAYAUKT bills at Center & State level respectively.Four registers were kept for people to sign in support of Shri Anna Hazare,around 2500 people from all walks of society affixed their signature. Over a dozen Journalists from print and electronic media were present to cover the event.Same was covered in number of local (Sama,A Plus,24 hrs News,Drishti,) and national (TV9) TV channels.Write up appeared in Time of India,Mumbai,06 April,Navi Mumbai edition. Public response was overwhelming, it exceeded our expectations.(we ran short of handbills) ESM are happy to know that IESM has pitched tent at Jantar Mantar in support of Shri Anna Hazare. Brigadier Dharam Prakash (Retd)
Related Reading
Pawar quits GoM on corruption, Hazare continues fast, writes to PM
Join Anna Hazare's Fast To Bring the Jan Lokpal Bill- click here

Citizens Voice
Better future for you children- Jan Lokpal Bill. We have been a corrupt society since independence. And the level of corruption has been increasing exponentially over the years. By nature a corrupt society is also an incompetent society, as it is extremely difficult, if not impossible, for the meritorious to survive, let alone rise. One only needs to keep the eyes and ears open to see Peter Principle in operation in every sphere of activity and at every level. It is not the individual but the system. Everybody can see it and feel it, but is powerless to do anything about it except grin and bear it. With the advantage of English knowledge, India ought to have achieved a lot lot more in terms of garnering world investment and economic power. We are still investigating the Bofors case. 200 crore black money is under investigation and is likely to remain so (action being taken!) for quite a while 200+ crore is generated every day and taken out of circulation. In the 60+ years I doubt if there has been a single conviction for corruption. we debate in the parliament whether a case of corruption should be investigated or not. We are a country of law breakers being law makers and law enforcers. A man can with impunity go on inciting violence in Maharashtra while another in the East gets charged with sedition and imprisoned for having carried a letter. We have a law for everything but we are busy enacting more, on an average 1 every day. One can go on and on. As the saying goes, the situation is like being up shit creek without a paddle. This morning, when Anna Hazare started, there was a crowd. By evening there were thousands. Support for the cause is just not local but across the country and the world. We now have at least a paddle to do something about it and if we don't use it, we don't deserve anything better.
Regards and best wishes,
MJS Nandhu

Cash for Votes Morphs to Goods for Votes

TN polls: DMK, AIADMK lure voters with freebies
Srirangam/Tiruvarur: The DMK-AIADMK rivalry has determined Tamil Nadu politics for over two decades. And both J Jayalalithaa and M Karunanidhi filed their nominations on the same day - the AIADMK chief from Srirangam, and the DMK patriarch from Thiruvarur. Moreover, the duo has sparked off a battle of freebies. In her election manifesto on Thursday, Jayalalithaa matched the DMK promise for promise.The DMK, in its manifesto, has promised free laptops to all 11th and 12th standard students, 20 kg of free rice to all ration card holders and for all women, a fan, mixer and grinder free of charge.
"No doubt this government has left the state in debt. I have specifically mentioned in the manifesto. DMK government has pulled Tamil Nadu into a debt of Rs 1 lakh crore. Our election manifesto has all the schemes that will retrieve the state from the debts and once again make Tamil Nadu a prosperous state. I only promise what I can deliver," said Jayalalithaa.
The DMK, which began the practice of promising free colour TVs for votes in 2006, said Jayalalithaa has just copied their strategy.
"People will trust only what we have said because we have given what we promised in 2006 and they won't trust Jayalalithaa," DMK leader MK Stalin.
So it's a laptop for a laptop, rice for rice between the AIADMK and the DMK. And these elections will perhaps prove if Tamil Nadu's voter will deliver their mandate based on the promise of freebies.
TN polls: DMK, AIADMK lure voters with freebies
Comment: Cash for Votes Morphs to Goods for Votes

Corruption Malaise- Reform and Improve Governance?

Who is to Reform and Improve Governance?
Extracts from PM's Keynote address at India Today Conclave
The shifts in the balance of power and its implications suggest that we need to adapt ourselves. In many ways, India is well placed to take advantage of the changes in the balance of international forces. We can contribute to the world’s recovery from the recent financial and economic crisis. We can become a pole of political stability in an uncertain world. But for all this we will need to show innovation and flexibility in our approaches. Some inadequacies have become apparent in our systems of functioning. We have to deal squarely with the malaise of corruption. We need to reform and improve governance at all levels.
I am sure that your deliberations in this conclave will contribute to a more informed debate on all the issues that this important topic raises.
Read full address: PM's key-note address at the India-Today Conclave

Onion prices soar as scamsters frolic

24/12/2010 The week that was
Week@glance was dominated by the whole country crying hoarse when prices of onions, tomatoes and garlic hit the roof. The government woke up late from its slumber and Pawar was caught on the wrong foot. This week was also dominated by CBI raids in the residences of A Raja, Suresh Kalmadi and Nira Radia — the scamsters of 2010. N D Tiwari has been asked to take a DNA test, while veteran Congress leader K Karunakaran passed away. All this and more...

When the govt was in a veg soup
Onions, tomatoes and garlic dominated the week that started on Dec 20. Onion prices touched a record Rs 90 (in contrast- price in USA- less than 90 Cents- Rs 45/- per Kg) in major markets, sending the government into a tizzy. Garlic and tomatoes followed the onion's race to pinch the pockets of the aam admi even as the opposition and the public hauled the government over the coals. The government stopped the exports, but the action came a bit too late. The government, however, remained clueless about surging trend in tomato given that the Agriculture Ministry has not received any reports of damages from any part of the country.
The week that was