<<

MG DEVASAHAYAM COMPULSORY RETIREMENT IS NO REVOLUTIONARY STEP p24 STATE SCAN BILLIONAIRE FRIENDS OF SHIVRAJ SINGH CHOUHAN p32

February 5, 2017 ` VOL. 10, ISSUE 11

FIRST STIRRINGS PRASHANTA KUMAR MISHRA p47

gfilesindia.com Making America great?

ISSN 0976-2906 BOOK REVIEW42 p

Donald Trump BOOK ON JIGNESH SHAH President of USA FAILS ON ALL COUNTS 1 PRESENTS MEMORY CLOUDS

Featuring The Hon’ble Prime Minister, Prabhat Kumar BG Deshmukh , on April 21, 2015, MC Gupta on Civil Services Day, gave a Kripa Narayan Srivastava V Selvaraj clarion call to record and upload Sushil Chandra Tripathi Romesh Bhandari the memoirs of senior and Devi Dayal Reva Nayyar experienced civil servants. VP Sawhney SK Mishra Dr G Sundaram Hence... KC Sivaramakrishnan Nitish Sengupta Vishnu Bhagwan Gen Noble Thamburaj gfiles brings you a compilation Baleshwar Rai Arun Bongirwar of reminiscences by senior civil Arvind S Inamdar Madhav Godbole servants which were published in Ved Marwah gfiles between 2007 and 2015. Trinath Mishra Vineeta Rai Arun Kumar Rath Ajit Nimbalkar Don’t miss the opportunity TR Kakkar Najeeb Jung to learn from the wealth of MS Gill experience of veteran civil servants. Shovana Narayan Lt Gen JFR Jacob Pre-order the book in advance to Brijesh Kumar Surrinder Lal Kapur avail of the one-time offer of `720. Yogendra Narain and many more...

You can make the payment through cheque, DD or RTGS in favour of gfiles.

For further information or queries: Mail us at [email protected] or log on to www.gfilesindia.com/memoryclouds.html

2 From the Editor

ou win the presidency by connecting with the American people’s gut insecurities and aspirations. YYou win with a concept, said Thomas Friedman, an American journalist and three times Pulitzer Prize winner. Donald Trump, the 45th President of the US, added the element of hope—‘Making America great vol. 10, ISSUE 11 | FEBRUARY 2017 again’—and won the elections. Some politicians have the habit of keeping Anil Tyagi | editor their poll promises, at least for the first 100 days. Trump being one such type, GS Sood | business editor Sheshadri Chari | roving editor has begun working, much to the consternation of many. He has pulled out of Alam Srinivas | contributing editor TPP, scaled down Obamacare and imposed immigration ban on seven Muslim Anish Gandhi | consultant, foreign affairs Narendra Kaushik | associate editor countries, drawing the US into the vortex of demonstrations, debates and court Rakesh Bhardwaj | editorial consultant cases. gfiles’ cover story is focussed on Trump’s policies and the impact they Ramesh Sharma | bureau chief (north ) Ajit Ujjainkar | bureau chief (mumbai) will have on our economy, bilateral relations and on the geo-political situation. Pawan Kumar | production coordinator One of the major policy changes of the Trump administration could be on Nipun Jain | finance Gautam Das | legal consultant US approach towards China. Trump has already disturbed the long standing Bushchat Media | edit & design US-China equation by calling up the Taiwan president even before speaking to Madan Lal | Webmaster China. This has not only upset Beijing but also prompted it to engage thousands Abhisshek Tyagi | director of think-tanks all over the world to consider possible responses. Ironically, China advertising & marketing delhi: e-mail: [email protected] is secretly happy with Trump’s decision of pulling out of the TPP which was mumbai: 48/C-1, Areshwar, Mhada, S.V.P. Nagar, mainly aimed at isolating China. Burying the cold war hatchet, Trump is likely Andheri(W), Mumbai 400 053 Chandigarh: SCO 5- First Floor, Zirakpur-Shimla to repay his debt to Russia for the ostensibly covert support to his campaign Highway, Zirakpur, District Mohali Punjab from Putin, a la ‘From Russia with love’. From looking for common ground on CONTACT — 0172-509368 e-mail: [email protected] geopolitical issues to complex issues like energy security, number of subjects $1,/7<$*,35,17(5 38%/,6+(5 could emerge for the two countries to work together. This policy change opens QGIORRUGGDVLWH QHZUDMLQGHUQDJDUQHZGHOKLă up huge opportunities for India. India could be of immense help to the new US

+All information in gfiles is obtained from sources that the dispensation in dealing with Beijing but will have to pull up its socks and move management considers reliable, and is disseminated to readers in with speed and caution to make India the manufacturing hub—most daily without any responsibility on our part. Any opinions or views on any contemporary or past topics, issues or developments utility items are no longer manufactured domestically in the US and are being expressed by third parties, whether in abstract or in interviews, are not necessarily shared by us. Copyright exclusively with imported from China. Sarvashrestha Media Pvt. Ltd. All rights reserved throughout This issue of gfiles also deals with the very important matter of ‘compulsory the world. Reproduction of any material of this magazine in whole, or in part(s), in any manner, without prior permission, retirement of civil servants’. There is discomfort among civil servants given the is totally prohibited. The publisher accepts no responsibility for any material lost or damaged in transit. The publisher government’s marching orders to one IAS and two IPS officers and other grade A reserves the right to refuse, withdraw or otherwise deal with officers. MG Devasahayam in his article explains that “compulsory retirement is any advertisement without explanation. All advertisements must comply with the Indian Advertisements Code. Published merely an action taken to remove officers seen as deadwood by their respective and printed by Anil Tyagi on behalf of Sarvashrestha Media Pvt. Ltd at Polykam Offset, C-138, Naraina Industrial Area, Phase cadres and the Centre for not being serious in discharge of their duties. It is not I, New Delhi 110028. All disputes are subject to the exclusive jurisdiction of competent courts in New Delhi only considered as a punishment at all and they get all post-retirement benefits. It is a rare and harsh message to civil servants who fail to perform well in their careers. &217$&7 HGLWRU#JILOHVLQGLDFRP But, looking at the way governments are run, if non-seriousness in discharge of )256$/(6DGY#JILOHVLQGLDFRP )2568%6&5,37,21KUG#JILOHVLQGLDFRP duties, ‘sub-optimal performance and public interest were the criterion for the 7(/)$; compulsory retirement of IAS and IPS officers, at least half the cadre should  receive the “order of the boot” as they call it in the Army! No one can forget the story of the Jignesh Shah, who squandered `1 billion in the name of farmers by running a commodity exchange. Journalist Shantanu Guha Ray’s book, The Target, is in defence of Jignesh Shah, propounding how COVER PHOTO: REUTERS he broke the market monopoly and the price he paid. But as is the case with many biographies, the author has failed to mention, or even hint, that the unfettered rise of Shah and FTIL was not without political backing. In September 2013, gfiles revealed how powerful ministers, like Sharad Yadav in NDA-I and Sharad Pawar in UPA-1, supported FTIL’s entry into commodities exchange. Shah also garnered the patronage of Sharad Joshi, the farmers’ leader. ANIL TYAGI Download the gfiles app HGLWRU#JÀOHVLQGLDFRP KWWSVWZLWWHUFRPKHOORJXGGD\KWWSVZZZIDFHERRNFRPDQLOW\DJL

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 3 CONTENTS LETTERS [email protected] 06 Bric-a-Brac shrikant gets mathura, priyanka emerges, tamil nadu equations, rss Narmada Bachao Andolan (NBA), reserves comment have always evoked sharp responses. 08 Eyes Wide Shut Many label them anti-development, siding with small entrepreneurs anti-technology and in cahoots with those who do not want to see India 10 Cover Story racing ahead. On the other hand, the trump effect: new geopolitical scenarios many see them as the torchbearers of 20 india’s approach to trump human rights and the first critics of the market-oriented economy. At the 24 Governance end of the day, the issue of conserving identifying the non-performing civil servant water resources is at the crux of the 28 budget in a nutshell matter. It is no secret that the government’s track record in 32 State Scan this regard is poor. Recent attempts at madhya pradesh: shivraj’s rich friends commercialisation of river waters and 40 tamil nadu: response to jallikattu continued sand mining only further 42 Book Review Tata-Mistry feud reinforce the links between the jignesh shah’s journey The gfiles cover story (January 2017) politicians and industrialists. 47 First Stirrings gives a behind the scenes analysis of Seema R via blog prashanta kumar mishra on his tenure the real goings-on in the Tata Group. There have been many allegations and Rampant sand mining over the years 50 Stock Doctor counter-allegations between the Tata has literally dug deep holes in the look for new opportunities and Mistry camps. If these were to Narmada’s riverbed over the years. 54 Perspective form the ammunition for the legal war Despite several reports on illegal sand the joy of yoga between them, then it may have mining, there is little action being 61 By the Way ramifications for corporate governance taken to stop this activity even though prasar bharati update, jaishankar’s in India at a time when shareholder the river is revered as the lifeline of extension, printing currency, deliver or activism is still finding its feet. Certain the state. Reports also say that get sacked provisions of the three-year-old activists and police offers who resist Companies Act and the one-year-old the sand mafia are either attacked or Sebi listing obligations and disclosure threatened. One wonders when such requirement (LODR) regulations may blatant criminalisation will stop? come up for judicial assessment. Pradeep Singh via blog Corporate lawyers and compliance professionals believe that provisions Budget woes related to corporate governance and I agree with Mr TN Pandey (‘Restore insider trading are likely to be tested in standard deduction’, gfiles, January the courts. According to reports, the 2017) that standard deduction for matter is before the SEBI Board, which employment expenses should be needs to consider all ramifications restored thereby correcting the before coming to any decision. decision taken in 2005-06. However, MK Mehta via blog I feel that such a move is unlikely in the upcoming budget or any time Saving the Narmada soon for that matter. After all it is The article by Rakesh Dixit the salaried class and the organised (‘Doublespeak on Narmada’, gfiles, sector that bears the brunt of January 2017) brings the spotlight to taxation, leaving the others to enjoy Madhya Pradesh. Medha Patkar and their earnings. the movement led by her, the RP Singh via blog

gfiles inside the government 4 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 5 Bric-a-brac words & deeds

Food for thought thethe riser of shrikant sharma

HRIKANT Sharma is today the national secretary and media convener of the Bharatiya Janta Party. He Shas seen a meteoric rise in the party ever since Amit ShahSha became President. A friend of Finance Minister AArunr Jaitely, Sharma is an old ABVP hand and was bbrought as Media Convener of the BJP’s Media Cell by tthe then party President . He has never llooked back since. Sharma was expecting to fight the 22014 Election from Mathura and had lobbied hahhardrd for the same. But, somehow, Hema Malini got the ticket. AfterA lot of hard work, he has finally got the ticket for MMathuraath assembly. How, one may ask. Clearly, politics has tautaughtg Sharma some tricks of the trade. The day Amit Shah joinjoinede as party president, Sharma got hold of him and createcreatedd a space for himself in the inner ring of the party. It wwasas not an easy job. Sharma found out that Amit Shah likes hohomemadememaded food.food. Homemade food was a distant dream for Shah as he llivesives aloneallone in Delhi, so SharmaSharma came tot his rescue. He made it a point that whenever Shah was in Delhi, he used to bring home cooked food prepared in desi ghee every time. The old cliché says a way to a man’s heart is through his stomach. Shrikant did the same and finally got the ticket from Mathura. g

An emerging force priyanka takes charge

OST activities of the Congress Party are thesehese days centrecentredd around Priyanka Gandhi Vadra though thee face of the party Mremains Rahul Gandhi. As Sonia Gandhi is not keeping well, she has delegated her powers to both son andd ddaughter.aughter. Priyanka visits the Tuglaq Lane residence of Rahul Gandhi every day and monitors the activities of the assemblybly elections. The Congress’ Janavedna convention against demonetisation is said to have been her idea. She also monitored the preparations and was the last to leave the venue a day before the convention. Apparently, she also wrote the speech that Rahul delivered at the convention. It was againn hherer suggestsuggestionion to ally with the Samajwadi Party, and it was at her residenceesidence tthathat Dimple and Akhilesh Yadav met Rahul over dinner.r. g

gfiles inside the government 6 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com When daya is a kala all eyes on tamil nadu

AYANIDHI and Kalanidhi Maran, sons of former DMKDMK leader late Murosoli Maran, have been acquitted byy the DCBI court in the multi-crore Aircel-Maxis licence case.se. TheThe court had summoned the accused after taking cognisance off the Enforcement Directorate’s charge sheet, saying there was “enough incriminating material” to proceed against them. Serious matter for a government that is determined to eradicate corruption, lock stock and barrel. But wait there’s more to the story. In May 2014, the CBI told the Supreme Court that there was difference of opinion between the CBI Director and the prosecution regarding filing of the chargesheet. On reference, the Attorney General said that there was enough evidence to prosecute. Since Modi did not require DMK support in Lok Sabha or Rajya Sabha and also wanted to be on the right side of Amma Jayalalitha, it was expected that the Maran brothers would be back in Tihar jail, sooner or later. But in July 2014, Maxis Communications Berhad met and urged Finance Minister that the case against Maran brothers be treated in a fair manner, citing a contrary opinion by two retired judges of Supreme Court. After the Maxis-Jaitley meeting, the court deferred the pronouncement of orders on framing of charges to December. Lo and behold! The CBI court which was to frame charges against the former telecom minister, Dayanidhi, his wife Kaveri and his brother Kalanidhi however, found no grounds to proceed against Maran and the rest of the accused. To top it all, the court also cited the lack of evidence while passing the order. So no evidence, no intimidation, no corruption, no crime and no punishment. With Tamil Nadu political equations set to change in coming days, it appears that Modi and Jaitley are playing their cards right. g

UP results “Reserved” bjp and rss tussle

O, not another court verdict to reserve thethe Modi, who promptly ggot him kicked out of state politics. UP election results. It is RSS again thiss SSmartingmarting under this insult,in Vaidya was waiting for the right Ntime, repeating a Bihar. Two senior leadersaders moment to ststrike.r He is said to have found a willing of the RSS, Vaidya and Dattatreya Hosbole partner inin Dattatreya Hosbole, the young ABVP condemned the reservation policy in strong wwordsords aactivist,ctiv now holding a position in RSS. at the Jaipur Literary Festival but quickly issuedued a HHosboleos who wanted to be the RSS clarification that the RSS is against reservationon on popointsmanin for BJP was dropped at the last religious basis. But the damage was done. BJPJP momoment under Modi’s pressure, ostensibly leaders went into a huddle and rushed to the RRSSSS to keep the ABVP out of political chief asking him to pull up the erring juniors, decision-making. Interestingly, it was which he promptly refused. At one point, ABVP activists who made Vajpayee’s life the BJP decided to use its social media miserable with the help of RSS veteran Gurumrty, then network and innumerable trolls to ‘teach a lesson’ to the RSS. Swadeshi Jagaran Manch (SJM) leader. In the bargain, one top But the troll handlers developed cold feet, many of them owing Thakur leader is said to have squeezed the most out of the allegiance to the parent body, forcing the BJP to abandon the ticket distribution saying dalit and Muslim votes are as good as plan. Vaidya, in his earlier avatar as chief of RSS Gujarat unit gone. And here one thought, the days of caste politics are over. had stepped on Modi’s toes. That is the nearest he could go to Obviously not. g

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 7 EYES WIDE SHUT msme prabhat kumar Recognise the small entrepreneur Developing the micro sector would not only help the less privileged sector of society, but also help in achieving inclusive socio-economic development

T is widely believed, and not micro entrepreneurs have the with reduction in poverty. It is also without substance, that the recent resilience of rising from failures; to be expected that self employment Ilargescale replacement of currency failures do not deter them from starting through small and micro enterprises has caused avoidable distress to a new business. They can sustain not only adds to the income of entre- the small business man, micro and themselves on minimal infrastruc- preneurs, but also generates one small entrepreneur and trader. The ture. In most cases, however, even or two more jobs. It has also been social and the mainstream media that minimal infrastructure is not observed that rural-urban migration have been providing ample empirical available to them. is checked with the growth of micro evidence of the impact of the In fact, the micro and small enter- enterprises in rural areas. Therefore, breakdown of cash transactions. It is prises do much more than is com- in order to have equitable growth with also common knowledge that these monly understood. Evidence from generation of jobs, a major thrust is small people contribute enormously a number of developing countries called for in setting up and nurturing to the production of consumer goods suggests that sizeable development micro enterprises in rural areas. and providing a variety of services. of small and micro enterprises in According to the National Sample Anecdotal evidence suggests that the rural areas is strongly correlated Survey of 2011, there are about 5.8

gfiles inside the government 8 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com crore non-corporate business units, According to the National sector is owned by STs, 14 per cent by excluding the construction sector. SCs and 48 per cent by OBCs. In rural Eighty-five per cent of these non- Sample Survey of 2011, areas, 72 per cent of the self-owned corporate enterprises are self-owned there are about 5.8 crore enterprises belong to their disadvan- enterprises. They employ 10.8 crore non-corporate business taged caste groups. Women entrepre- persons, half of whom are in rural units, excluding the neurs own about 14 per cent of these areas. There, non-farm enterprises do businesses. It can, therefore, be con- not need much capital. It is estimated construction sector. cluded that policy instruments aimed that the value of fixed assets per unit Eighty-five per cent of at developing the micro sector would is about `2 lakh. About one-fourth these non-corporate also help the less privileged sector of of the non-farm units are engaged in enterprises are self-owned society and help in achieving inclusive manufacturing and the remaining are socio economic development. accounted for by retail trade and ser- enterprises. They employ Over the next two decades, the vices. Thus, the Indian non-corporate 10.8 crore persons, half of continuing demographic dividend in sector provides employment to the whom are in rural areas India could add about two percentage bulk of population. Sadly, however, points per annum to India’s per capita no government till now has really sector has vital linkages with agricul- GDP growth, provided their entre- reached out to them because there ture, its fortunes are not determined by preneurship receives due recogni- seems to be a policy preference for the agriculture alone. Entrepreneurship tion and support. On the other hand, corporate sector. The small entrepre- plays an important role. there are warnings that the new youth neur is treated by the State and finan- from the middle class, who are barely cial institutions with indifference, if HE true impact of these tiny educated, with no productive skills to not scorn. entrepreneurs must be judged speak of, could become a huge threat Another factor that should be test- Tfrom the percentage of popula- for India’s future. Which way do we go ed for policy formulation is whether tion touched by them, rather than the will be decided by the policymakers in the rural non-farming sector depends size of their turnover. An interesting the months and years to come. on agriculture for its survival and study made in 2011 looks at caste- Endpoint: Why is it that we have growth. The micro economic experi- based entrepreneurship. It finds that not learnt to honour the spirit of ence shows that the non-farm sector the micro sector is dominated by back- entrepreneurship in our youth? g has grown even during the periods of ward sections of the societies—OBCs, The writer was the Cabinet Secretary and stagnation in agriculture. Therefore, SCs and STs. The National Sample the first Governor of Jharkhand. He can be it seems that, while the non-farm Survey shows that 5 per cent of the reached at [email protected]

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 9 COVER STORY trump global politics

Trump alters world view The 45th US President Donald Trump has not only upset China with his various pronouncements, his ascendency has also fired nationalist sentiments in Europe. India needs to tighten its act to cash in on the opportunities that present themselves in this altered scenario

by MK SHUKLA of global changes had begun to cause wide and Islamic Jihad threatening ripples in the Pacific, Indian, and the way of life of the free world. “Geography does not argue. Atlantic Oceans. India, Israel, and One of the main beneficiaries of It simply is.” Europe had begun to experience the globalisation has been the People’s —Dutch-American geopolitical onset of the Third Jihad following the Republic of China (PRC). Having thinker Nicholas Spykman rise of the ISIS (the first being in the accumulated $27 trillion through seventh century and the second being unfair trade practices (of which $10 OTHING happens overnight. in the 16th century). At the same time, trillion it lost in stabilising its cur- Major global events are merely it’s also clear that the process of eco- rency and stock markets in 2015 and Nculmination of long-drawn-out nomic globalisation has come a full 2016), it started off stirring the waters geo-political processes. Even before circle following the rise of nationalism of the Pacific and Indian Oceans by Donald Trump had settled into the worldwide, triggered chiefly by China weaponising a series of atolls in the East Room of the White House, winds stealing the jobs and profits world- South China Sea (SCS) and taking

gfiles inside the government 10 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com on lease a series of ports for rebuild- might have already disrupted and ship with Moscow that has been for ing purposes in several Indian Ocean upset China’s ambitions to become the past few years humouring China rim countries. Beijing’s move has had the world’s No. 1 one power. This to attract its investment in the face cascading impact on the US, Japan, seems to get confirmed from its offi- of Western sanctions following its ASEAN countries, and India, which cial and non-official media’s berat- annexation of Crimea and insurgent have been constrained, individually ing the new US President, following activities in eastern Ukraine. and collectively, to reconsider their his 10-minute telephonic conversa- security calculus. tion with Taiwanese President Tsai XCEPT for the hiccups in the Michael Pillsbury, senior adviser to Ing-wen. It’s no longer sure whether US-Russian relationship born the new US president, told an Indian Trump will respect Beijing’s core Eout of shift in European geopoli- newspaper that “People don’t know interest represented by its one-Chi- tics, Washington is no longer fighting that Chinese economists forecast in na stand. Trump’s statements so far an existential ideological battle with writing that by 2020 they will pass make it clear that he regards the one- Russia that may justify Cold War-era us, for sure, by 2030 they will be China policy as a relic of the Cold collective security commitments. On double, and by 2049, the end of the War and worth revisiting. What may the other hand, Russia is no longer marathon, they will be three times the come as a double whammy to China obsessed with setting up an ideo- size of the American economy. This is is that even as the Trump administra- logical empire at war with Western really staggering.” tion keeps Beijing on the tenterhooks democratic capitalism. On the con- This makes it clear why the on the one-China policy, he intends trary, Moscow is focused on the more Americans voted for Trump. His win to update Washington’s relation- basic task of restoring its 300-year

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 11 COVER STORY trump global politics

Russian President Vladimir Putin with Japanese Prime Minister Shinxo Abe: Russia is moving close to Japan as a buffer against China old national identity and insulating Except for the hiccups in the to deal with the largest currency and the State and its borderlands from US-Russian relationship trade manipulator called China. Western encroachment in fear of greater domestic turmoil to come. born out of shift in European N dealing with China, India could As Henry Kissinger recently put it, geopolitics, Washington is be of immense help to the new Russian President Vladimir Putin no longer fighting an IUS administration. But to avail of is like one of Fyodor Dostoevsky’s existential ideological Trump’s trade crackdown on China, characters, for whom “the question India will have to pull up its socks and of Russian identity is very crucial battle with Russia that may move in with speed to make India the because, as a result of the collapse of justify Cold War-era manufacturing hub of smart phones, communism, Russia has lost about collective security televisions, toys, textiles, footwear 300 years of its history.” If Russia were commitments. On the other and light bulbs—items no longer to try to build a State by expanding its manufactured domestically in the US already sprawling territory, national- hand, Russia is no longer and are imported from China. The ism would not be enough to hold it obsessed with setting up problem is, if Trump targets these together. Its nationalism would have an ideological empire at items with heavy tariff rates, their to be funded by a lot of foreign capital. war with Western imports would become expensive That’s the reason why Putin is mov- and hurt American consumers. If at ing close to Japan that can not only democratic capitalism all US companies may be compelled fund its nationalism, but also insulate to produce these items domestically, it from the land-grabbing ambition of Trump administration sees an open- it would take time and they may find the dragon. In the west, Putin is try- ing to develop a new understanding that their cost of production is not ing to defend the areas surrounding with Moscow, one that could put to that competitive and lucrative. his country and compel the West to rest the question of Crimea and per- Even before Trump threatened recognise and respect its sphere of haps recognise Russia’s influence over a trade crackdown, many US and influence. In this Russian desire, the eastern Ukraine. This will free Trump Western companies have been moving

gfiles inside the government 12 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com The first airline founded in the Americas and second in the world.

Avianca is the commercial brand that represents the Latin American airlines integrated in Avianca Holdings S.A. The Avianca airlines, specialized in air cargo and passenger transportation, serve more than 100 direct destinations in 28 countries throughout the American and European continents with its modern fleet of 180 short, medium, and long haul aircraft.

Through its membership with Star Alliance, Avianca offers the possibility to connect to more than 1,300 destinations in 192 countries globally. Through LifeMiles, the loyalty program, the airline offers a wide range of benefits and travel options to its more than 6 million registered members.

Avianca is saleable in India through interline partner airline document.

For any further information/query, please contact Tel: + 91 11 41517121/41, Mob: 9818620717 Email: [email protected], [email protected], [email protected]

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 13 COVER STORY trump global politics

the US not footing the security bill in future has raised questions over the US security commitments in the Far East. The new US President is not exactly right in making this point, because, Japan, for instance, pays as much as $4.5 billion for maintenance and upkeep of US marines in Japan. Further, Tokyo has been progres- sively upgrading and modernising its self-defence forces at its own cost. If Trump pulls out the US from its secu- rity commitments to Asian States, China may be provided with a tempt- ing opportunity to grab the US sphere of influence. The nations stretching from the Indochina mainland to the island chains of Southeast Asia are caught between China’s overbearing reach and Japan’s reawakening. Even before the US election, these countries Chinese President Xi Jinping: Trump has been targetting China as an adversary were trying to chart a course forward without the firm assurances of their their manufacturing operations from Trump’s win might have long-time US protector. For instance, China to cheaper destinations such already disrupted and both Vietnam and Indonesia have as Indonesia, Bangladesh, and India. shown great spine in standing up to Apple and other US companies have upset China’s ambitions to Chinese naval encroachments into been camping in India to seek incen- become the world’s No. 1 their seas. Indeed India has become tives to start off their operations in the one power. This seems to the lynchpin in the Indian Ocean country. India, perpetually hamstrung get confirmed from its area to deter Chinese misadventures by its myopic politics, just does not even as Japan and South Korea join show the sign and ability of the unfold- official and non-official hands to deal with an overbearing ing situation. It has to know that the media’s berating the new China in the Pacific. With or without US and its companies don’t have inex- US President, following the US, Japan, South Korea, Vietnam, haustible reserve of patience in dealing his 10-minute telephonic Indonesia and India are capable of with its serpentine policy bottlenecks. deterring China from any misadven- conversation with ture in the South China Seas (SCS) URTHER, many of the products Taiwanese President and the Indian Ocean. They have that the United States imports Tsai Ing-wen refrained from taking any action Ffrom China include components against China even as it captured and produced elsewhere in Asia. Most remain committed to one-China weaponised a few atolls and reefs in computer chips in exported Chinese policy when Beijing has no compunc- the SCS because they have been look- electronics products, for instance, tion in questioning India’s rights over ing to the US to take a lead in the come not from China’s tiny super- Arunachal Pradesh and J&K, besides matter. If it becomes clear that the conductor industry but from other annoying it everywhere from the NSG US isn’t interested in containing producers in the region, such as to UNSC. Provocative weakness has China’s hegemonic role in the SCS Taiwan. And with Taiwan, India has become the hallmark of India’s policy through which trade merchandise a relationship just for namesake. towards China. worth $5 trillion passes every year, One does not know why India should Trump’s erroneous suggestion of the Indian Ocean and Pacific rim

gfiles inside the government 14 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com US economy in 2017

by MK SHUKLA are stable at a good level, a bit above the long-run average. The unemployment rate is forecasted to drop to 4.5 per S President Donald Trump has promised to accelerate cent in 2017 and 2018. That's better than the 4.7 per cent economic growth to 4 per cent in 2017 from the esti- rate in 2016, and the Fed's 6.7 per cent target. Most job Umated 1.9 per cent. That may trigger irrational exuber- growth is reported to be in low-paying retail and food ser- ance that creates damaging booms and busts. How Trump vice industries. Many people have been out of work for so manages a 4 per cent growth will depend on a host of policy long that they'll never be able to return to the high-paying initiatives he's yet to unleash. jobs they used to have. That means structural unemployment Many experts, though, believe the US GDP growth will rise increases. Federal Reserve Chair Janet Yellen has admitted a to 2 to 3 per cent in 2017. Jan Hatzius, chief economist and lot of workers are part-time and would prefer full-time work. head of Global Economics and Markets Research at Goldman That makes the unemployment rate seem artificially low. She Sachs, wrote: “Our expectations for economic policy under the considers the real unemployment rate to be more accurate. Trump administration and under unified Republican control… That rate is usually double the official rate. But that situation are that there will be tax reform coupled with some fiscal eas- may change. US manufacturing is forecast to increase faster ing and also some increase in infrastructure spending. And than the general economy. Production may grow 3 per cent in we do expect that to provide a positive impulse to economic 2017, and 2.8 per cent in 2018. Growth will slow to 2.6 per growth... If you look at the parts of the global economy, I think cent in 2019 and 2 per cent in 2020. the US has led the improvement and we do expect continued As to inflation, much will depend on how the FOMC (Federal 2-3 per cent growth in the US,” Open Market Committee) acts. It first raised the Fed funds rate IMF said in a January update: "The projection for the US to 0.5 per cent in December 2015 and raised interest rates is the one with the highest likelihood among a wide range of again in December 2016 to 0.75 per cent. It expects the rate possible scenarios. It assumes a fiscal stimulus that leads to rise to 1.5 per cent in 2017, 2 per cent in 2018 and 3 per growth to rise to 2.3 per cent in 2017 and 2.5 per cent in cent in 2019. The Fed funds rate controls short-term inter- 2018, a cumulative increase in GDP of half percentage point est rates. These include banks' prime rate, the LIBOR, most relative to the October forecast". Bill Conerly wrote in Forbes: adjustable-rate and interest-only loans, and credit card rates. "The US economy will enjoy a mild cyclical rebound in 2017, The Fed has said it would start selling $4 trillion in then return to a lower growth rate more in line with long-term Treasuries after the Fed funds rate has normalised to about 2 potential. Gross domestic production, inflation-adjusted, grew per cent. The Fed acquired these securities during quantita- at fairly tepid rates over the past three-quarters. But jobs are tive easing, which ended in 2014. When it does start sell- increasing at a moderately good pace, with unemployment ing them, there will be more supply. That should raise the below 5 per cent. Some of this year’s negative factors will turn yield on the 10-year Treasury note. That drives up long-term around, enabling the rebound next year." interest rates, such as fixed-rate mortgages and corporate Kimberly Amadeo wrote: (A growth of 2.1 per cent bonds. But Treasury yields also depend on demand for the estimated for 2017) "is better than the 1.9 per cent estimated dollar. If demand is high, yields will drop, and vice-versa. for 2016 and the same as 2015's growth rate of 2.1 per cent. As the global economy improves, demand for this ultra-safe The increase in Gross Domestic Product will flatten to 2 per investment is falling. As a result, long-term and fixed interest cent in 2018. That's according to the most recent forecast rates will rise in 2017 and beyond. released at the FOMC meeting on December 14, 2016. Overall, US Inflation is pegged at 1.9 per cent in 2017 and That does not yet take into account the impact of Trump's 2 per cent in 2018. Both are higher than the 1.5 per cent rate possible policies." in 2016 and 0.7 per cent in 2015. Both were caused by low The strongest part of US GDP reports has been consumer oil prices. The core inflation rate (without gas or food prices) spending, up 3.8 per cent over the past 12 months. That is estimated at 1.8 per cent in 2017 and 2 per cent in 2018. compares to a 3.6 per cent gain in take-home pay, resulting That's close to the Fed's 2 per cent target inflation rate. Much in a minuscule drop in the savings rate. Consumer attitudes of inflation may depend in 2017 on how fuel prices behave.

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 15 COVER STORY trump global politics countries will resort to their own mainland’s grasp necessarily calls for ing South Korea was an economic and methods, collectively or unilaterally. an immediate and robust response political win for China, since it meant Despite the changes that Trump from Beijing. China has already re- that Seoul had severed its connection will doubtless bring to the presidency, absorbed Macao and Hong Kong, to Taipei, presenting China with a way his foreign policy is not as unprece- leaving Taiwan the only holdout, to take advantage of Korea’s industri- dented and disruptive as many argue. unique for its history as a stronghold al and economic growth. The greatest difference between the for the defeated Kuomintang army Obama and Trump foreign policies rather than as a colonial holding of a OWEVER, instead of recognis- may lie in what may be Trump’s big- foreign power. ing only one Korea, China and gest virtue—unpredictability. Obama No matter how much China might HRussia accepted both North and was seen as overly cautious and all rail against any change in the US South into the United Nations in 1991. adversaries—Russia, China, and dialogue with Taiwan, Beijing set a In doing so, Beijing inadvertently ISIS—took advantage of it. Trump, precedent, however unintentionally, opened the door to both sides of a civil on the other hand, gives the impres- for Taipei’s recognition as an inde- war. But China wants Taiwan barred sion that he is willing to throw cau- pendent nation when it agreed to from most international groups and organisations and not recognised as a country. Similarly, China’s stance on the Dalai Lama is bereft of any logic because it’s arrogant enough to believe that Tibet is another country under its forced occupation. On the other side of globe in Western Europe, Trump’s victory has paved the way for a rally of national- ist forces. Nigel Farage, the politi- cian who led the effort for the United Kingdom to leave the EU, was one of the few Europeans to understand the magnitude of Trump’s rise. He wrote: “There is a genuine feeling that Trump taking over the White House is part of a bigger, global movement. Our crit- ics, looking at Trump’s candidacy and his speech yesterday, would call it the German Chancellor Angela Merkel says she’ll work to preserve trans-Atlantic ties rise of populism. I would say it’s sim- ply a return to nation state democracy tion to the wind and rely on instinct open a relationship with South Korea and proper values. For this inaugura- in shaping foreign policy. His 10-min- in 1992. Before that, most countries tion is not just a change from the 44th ute telephonic conversation with the perceived only one government— President to the 45th President of the Taiwanese president is one critical whether in Pyongyang or Seoul—as United States. This is a genuine politi- example of his unpredictability. For Korea’s legitimate seat of power. With cal revolution.” China, Taiwan is a red-line issue the end of the Cold War, however, Marine Le Pen who may well being the last unconquered post of the trade arrangements among former become the next President of France Chinese civil war and nothing short of Soviet countries collapsed. China had said: “Clearly, the victory of Donald its annexation by China would mark also resumed its plans for economic Trump is another step toward the an unequivocal and final victory for opening and reform after briefly put- emergence of a new world, whose the Communist Party of China. Any ting them on pause in the wake of vocation is to replace an old order.” action that alters the island’s sta- the Tiananmen Square crackdown. Jean-Marie Colombani, the for- tus quo or pulls it further from the Forming a relationship with the ris- mer editor-in-chief of Le Monde,

gfiles inside the government 16 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com analysed France’s geopolitical pre- pears on you? You do what the EU America’s allies. (Trump actually dicament, which is the direct conse- should have done long ago: you fix up said: ‘We will reinforce old alliances quence of a failure to prioritise French your home, regardless of what ‘The and form new ones,’ and ‘We will defence spending: “Indeed, Trump’s Donald’ is doing in the USA. There is seek friendship and goodwill with the European policy is inspired by Nigel enough work that needs to be done in nations of the world’). His willingness Farage, who spearheaded the cam- Europe with regard to ‘putting your to spend money on the defence of paign for Brexit, and whose political own house in order’—Brexit, migra- other countries is limited. He does aim is now to achieve the disman- tion and refugee policies, the euro. If not see the USA as a protective power tling of the European Union. This Europeans were honest to themselves of democratic values in the world; explains the prediction formulated by and viewed what is happening on the and he is the first US president since Trump on the soon-coming demise of old continent from the American per- the end of the Second World War Europe, and his anti-German under- spective—and not just that one—then who has openly expressed doubts tones. In the new American president the situation would not be compre- about the value of European unity we find the language and elements hensible to them. If US parliamen- and the existence of NATO. At a time of all the populist and extremist par- tarians were to call European dissent when Russia is trying to weaken ties whose common doctrine is hos- tility towards the European project. Here, then, in the East and the West, Europe is squeezed as in a vise!” In Germany, which is wholly dependent upon the United States for defence, and which has steadfastly refused to meet its commitment to pay 2 per cent of GDP on defence, reaction to Trump’s speech was over- whelmingly negative. Chancellor Angela Merkel pledged to work with Trump to preserve the trans-Atlantic relationship. “The trans-Atlantic relationship will not be less important in the coming years than it was in past years,” she said. “And I will work on that. Even when there are different opinions, compro- Trump’s call Taiwanese President Tsai Ing-wen seems to have riled Chinese authorities mises and solutions can be best found when we exchange ideas with respect.” ‘madness’ or ‘nonsense,’ no one could the West by means of diplomatic, Vice Chancellor Sigmar Gabriel was blame them.” intelligence, and military means, it is far less diplomatic. He said: “We have an attitude that is a serious threat to to take this man seriously. What we OMMENTATOR Hubert Wetzel united Europe.” heard today were highly nationalistic said that Trump posed a threat In Spain, geopolitical analyst tones. I think we have to prepare for a Cto European security and called Rafael Bardají wrote: “President rough ride.” He called on Europeans for European unity to weather the Trump promised that a new era is to unite to “defend our interests.” next four years. In an essay laced with beginning today. In his inaugural Writing for Deutsche Welle, com- hyperbole, he wrote: “Europeans will speech he made it very clear that mentator Max Hofmann admon- have to adapt to a new tone in dealing he despises Washington and hates ished Europeans to stop complaining with America. Trump has made it the way the establishment has ruled about Trump and instead put their clear in his speech that he will pursue the country up until now, defending own house in order. “What do you do a nationalist foreign policy, and his its privileges at the expense of citi- when your closest partner just disap- speech contained no reference to zens. Yes, a speech that can be called

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 17 COVER STORY trump global politics populist, but one that nevertheless is are eager to host him at the earliest ing deep connections with function- true. Democracy, after all, emerged as to keep India on their right side while aries and agencies in Moscow. The the government of the people for the they both engage China and Europe Russians view Doval as a stubborn people, something that, at present, to turn the situation in their favour. believer in the centrality of India’s is far from being a reality in America National Security Adviser Ajit Doval time-tested relations with Russia. as well as in Europe. The great social has been appointed the point man for By the way, this is the first time that contract of liberal democracy, name- setting the stage both in Washington the US, Russia and India would have ly, growing prosperity and peace and and Moscow for the summer summit ace intelligence hands holding the security for the citizens, is no longer of PM Modi with President Trump position of national security advisor— being fulfilled. This is due to the and President Putin. Doval has definitely, for the first time ever in the inability of our elites to deal with the already held meetings with his new case of both India and the US. (economic) crisis, due to their obses- US counterpart Michael Flynn and sion with pacifism and due to the at the time of writing this report in nlike some of the US’ European subordination of the interests of early February, he was scheduled to allies such as Britain or nationals in favour of immigrants.” visit Moscow to hold conversation UGermany who would caution In Switzerland, Roger Köppel, Trump against moving forward with editor-in-chief of Die Weltwoche, In dealing with China, India Putin, India’s interests lie more with warned against efforts by European could be of immense help Japan favouring an overall easing of elites to belittle Trump. He wrote: to the new US tensions between Washington and “Trump’s election was a healthy Moscow as this could help create a shock. The shock was necessary. Not administration. But to avail more optimal setting to rev up their only power cartels, but also world- of Trump’s trade crackdown respective cooperation with Russia views are breaking down. This dis- on China, India will have to and free Russia from its dependence ruption is fruitful. The taboos of the pull up its socks and move on China. India also favours better last few years are now fully on the US-Russian relations to make its agenda: illegal immigration, Islam, in with speed to make India move in the regional security matter the nonsense of open borders, the the manufacturing hub of of Afghanistan and Central Asia. dysfunctional EU, the free move- smart phones, televisions, Russia is also keen to protect its ment of people, jobs, law and order. toys, textiles, footwear and stakes in Afghanistan and Central Trump’s predecessors did not want to Asia and has already urged the new talk about it, but the majority of vot- light bulbs—items no Trump administration to maintain ers did. This is democracy.” longer manufactured its security coverage for Afghanistan. For the NaMo administration, all domestically in the US and This makes it clear that Russia wishes this can’t but be good news. Even are imported from China to halt the axis of Afghan Taliban, before the US and Europe gave thumbs Pakistan, and China from making up to nationalism, Prime Minister with his Russian counterpart Nikolai any encroachments into Kabul whose Narendra Modi swept to power in Patrushev, who is known to be a security and stability is a necessary 2014 on widespread disillusionment long-standing aide to President precondition for peace in Muslim with liberalisation of economy Putin, and a top Kremlin politician parts of Russia. wreaking havoc on the people of at the policy making level. Since this As Russia positions itself as the India, hugely infective corruption of disclosure was made at the level of champion of Eurasian security and business, political, intellectual, and Russian Deputy Foreign Minister peace, the Indian diplomacy security media elites’ and absolutely criminal Igor Morgulov, it indicated the high agencies and businesses have to negligence to the matters of national importance Moscow attached to the work hard to develop multi-vector security. To take advantage of the forthcoming consultations between relationships with the US, Japan, unfolding situation in the US and two NSAs. Europe, Gulf states, and Central Asian Europe, the Prime Minister is expected Doval is considered highly in countries to project the country’s soft to visit both Washington and Moscow Moscow as he has for decades dealt power that could also be hard when this summer; both Trump and Putin with the Russian intelligence, enjoy- the occasion demands it. g

gfiles inside the government 18 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com POLITICS GOVERNANCE KILLING FIELDS OF KAIMUR WEST BENGAL: DISTANT THUNDER A K VERMA M G DEVASAHAYAM SPECIAL REPORT SPECIAL FOREST OFFICER’S p24 p22 SON RISE IN FERTILISER : WRONG ! #!( # ! # ! REDS HERE TO STAY p22 1962 CHINA WAR p26 LOOT IN MP p16 VICTIMISATION IN HARYANA p24 CONGRESS p34 5 MEDICINE p26 years 5 5 VOL. 3, ISSUE 7 | OCTOBER 2009 | RS 50 years years years #  " L   RIGHT TO INFORMATION R.N.I. NO: DELENG/2007/19719 February 2013 5V  October 2012 5V VOL. 6, ISSUE 11 June 2012 Rs 100 p24 VOL. 6, ISSUE 7 THE SWELLING TIDE p16 VOL. 6, ISSUE 3 p18 INTERVIEW p22 62;. AIR CHIEF MANDARIN 0 INCOME TAX NAK BROWNE MATTERS p22 K N BAKSHI .*;< THE UNFAIR BURDEN p20 p40 SPECIAL 0 CHOPPERS, THE BIG BUSINESS FIRST STIRRINGS p19 p28 VISHNU BHAGWAN gfilesindia.com p28 gfilesindia.com  %! www.gfilesindia.com 783*218/8;+*9>+;8=1.;D<+2  0  !"#"#!!" +2  =1.9;8,>;.6.7=:>*4<+*27< gfilesindia.com OIL INDUSTRY NEEDS SURGERY ISRAEL INDIA   POLITICS

p36 p38 BJP: OVERRAJNATH TO AJIT NIMBALKAR FIRST STIRRINGS ‘SPEED UP’

2007/19719 AK SETH, CABINET SECRETARY ON GOVERNANCE REFORMS p44 FIRST STIRRINGS R.N.I. NO: DELENG/ VINEETA RAI BIG BOSS 423:?6ED64C6E2CJ<>492?5C2D6<92C ‘Strong economic recover by the end of the year’

("5&8":505)& (07&3/.&/5 0'*/%*"

K´PIWMWXLIGSYRXV]«W´VWXQEKE^MRI[VMXXIRHIWMKRIHERH TVSHYGIHJSV-RHME«WGMZMPWIVZMGIW§XLIZEWXERHJSVQMHEFPIRIX[SVO SJFYVIEYGVEGMIWERHTYFPMGWIGXSVSVKERMWEXMSRW %RMGLIQEVOIXTVSHYGXWMRGI%TVMPMXVIEGLIW MRHMZMHYEPW[MXLEYRMZIVWISJQSVIXLERVIEHIVW -XWI\GPYWMZIVIEHIVWLMTGSRWMWXWSJXLIQIRERH[SQIR[LSPIEHXLI -RHMER%HQMRMWXVEXMZI7IVZMGI -%7 XLI-RHMER*SVIMKR7IVZMGI -*7  XLI-RHMER4SPMGI7IVZMGI -47 XLI-RHMER6IZIRYI7IVZMGI -67  'PEWW-9RMSR7IVZMGIWEW[IPPEWELSWXSJ%PPMIH7IVZMGIW K´PIWTVSZMHIWRSXSRP]I\GPYWMZIRI[WYREZEMPEFPIER][LIVIIPWI MRXLIQIHMESVXLI-RXIVRIXFYXEPWSJSGYWIWI\GPYWMZIP]SRXLIJYXYVI ERXMGMTEXMRKIZIRXWERHHIZIPSTQIRXW K´PIWGSRXEMRWHIXEMPIHI\XIRWMZIERHEGGYVEXIVITSVXWEFSYXXVERWJIVW ERHTSWXMRKW-XJIEXYVIWMRXIVZMI[WGEWIWXYHMIWWRMTTIXWVIXMVIQIRX TVS´PIW´RERGMEPTPERRMRKEHZMGITSPMXMGEPGLERKIWEW[IPPEW FMVXLHE]WERHEPYQRMXVEGOMRK K´PIMRHMEGSQE[IFTSVXEPSJK´PIWGPMGOWQSVIXLERPEOLLMXWIZIV]QSRXL

7YFWGVMTXMSRLVH$K´PIWMRHMEGSQ %HZIVXMWIQIRXEHZ$K´PIWMRHMEGSQ

JSVHIXEMPW [[[K´PIWMRHMEGSQ

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 19 COVER STORY indo-us ties seshadri chari

Coming to terms with Trump New Delhi will surely work its way to US policymakers and secure India’s security, economic and strategic interests. But all the same, it is essential to know which door to knock for the right answer and optimum result in the next four years of Trump regime

HEN Barack Obama became the Great Recession. After much was passed by both the House and President in 2009, one of the debate, the $787 billion ARRA bill— Senate on February 13, 2009. It was Wmost important decisions in combining tax breaks with spending hailed as the first step to ‘We can do his first 100 days was probably the on infrastructure projects, extension it—make America great again’. passage of the American Recovery and of welfare benefits, and education, Eight years later the Republican Reinvestment Act (ARRA) to address originally intended to be bipartisan— president Donald Trump is taking

gfiles inside the government 20 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com series of actions in his first 100 days no way new or unheard of. From less his policy implementation. While he to do the same thing—make America than 50,000 in 1930s to over a crore has named Iran as one of the coun- great again. In his inaugural address, immigrants getting permanent resi- tries whose visa applications will be Trump said the US for too long has dency in the US in 2015, the American put on hold, he also expects Iran to been invested in other countries’ dream continues to attract people. be on the side of those who fight ISIS. industries, militaries, borders and From Colonial era to the last cen- Now both Iran and Russia are on the infrastructure while letting its own tury, decade after decade witnessed same page as far as fighting ISIS is fall into “disrepair and decay.” “That different people and nationalities concerned, but it is doubtful if they is the past,” he said. not only migrating to the land of will work shoulder-to-shoulder with During the run up to the fiercely opportunities, but also enriching the the US. This could result in a setback contested presidential contest, many land of their adoption. to the US-led war against “Radical in India weighed this question, who Obama, who supported a Islamic Terrorism,” which Trump is good for India, Trump or Hillary? comprehensive immigration reform, vowed to eradicate from the face of Long columns in op-ed pages of saved about seven lakh illegal earth. national dailies extensively quoted immigrants from deportation. Trump foreign journals which said ‘stop this made an issue out of this and promptly HE seven countries that face man’. One of the strong arguments invited criticism of polarising Trump’s visa ban may also gang was that Trump does not have the the society. But his voters were Tup against US and consider seri- backing of his party. But Trump rose ous action against America. This could above his party. The next argument The cutting down of H1B include broad economic actions that was even more sanguine—if only visa, especially to highly may have little impact to high velocity there was someone else other than terror attacks and lone wolf attacks on Trump the contest would have been skilled Indian technology American assets and persons. worth watching rather than being a personal who account for Another serious policy change of cakewalk for Hillary. Closer to the 70 per cent of visas, will Trump administration will be on US polls, some of the US experts donned seriously affect Indian approach towards China. Trump has the weatherman’s cap and promptly already disturbed the longstand- took their position on the fence. companies in the ing US-China equation by calling up Notwithstanding the American role immediate future Taiwan president even before speak- in geo-political affairs, all US presi- ing to China. This has not only upset dents in the first hundred days have convinced and voted him to power. Beijing, but also prompted it to engage to address the issues at home such In all likelihood, Trump’s ban order thousands of think tanks all over the as unemployment, job loss, housing on seven Islamic countries will have world to consider possible responses. and tax relief—same as in India, roti- a long-term consequence, but in the China is secretly happy with Trump’s kapada-makan. True to his campaign short-term it will help him stabilise decision of pulling out of TPP, which style, Trump made the loss of five mil- the internal security parameters and was mainly aimed at isolating China. lion jobs in the last decade-and-a-half also keep his flock happy. Trump’s reportedly covert support an election issue. He openly advocat- In his inaugural address, Trump to his campaign ‘from Russia with ed renegotiating NAFTA (‘Free Trade made it clear that his policy will love’ has rolled out many US-Russia Agreements are not working for USA’) support the idea of ‘buy American, bhai bhai theories. From geopolitical and scared the voters with $20 trillion hire American’. This is an exten- issues to energy security, number of national debt. sion of what he said at all his cam- issues could come for the two coun- Trump’s ingenious campaign paign speeches. The cutting down of tries to work together. rolled all issues, homeland security, H1B visa, especially to highly skilled These are some of the issues job loss, make-in-America and terror- Indian technology personal who that will have longer lasting effect ism into one, immigration. Needless account for 70 per cent of visas, will on India-US engagement. Though to say, his first major policy decision seriously affect Indian companies in Trump has put seven Islamic coun- was on the issue of immigration. The the immediate future. tries on ‘no visa’ list, Pakistan is not issue of immigration in America is in There are many contradictions in yet in that list. But enough warning

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 21 COVER STORY indo-us ties seshadri chari has been issued, forcing Islamabad to put Hafiz Syed under house arrest, albeit, friendly house arrest with total guarantee of unlimited supply of biryani and all other perks that top ISI terrorists are entitled to. Given Trump’s way of working, it is a matter of days, not months, before Pakistan is put under surveillance. India cannot wait for the US to take appropriate action against Pakistan. New Delhi may have to initiate policy changes and step in to alleviate the sufferings of the people of Baluchistan and Sind. Some of the leaders from these areas are expecting assistance, ranging from moral support to rec- ognition of their government in exile. India should do all necessary home India cannot wait for the US interests. Besides, some of the IT work and convince Trump adminis- US to take appropriate service providers may even branch tration on the strategic need to gain action against Pakistan. out and relocate their business to free access to Gwadar region. economically viable country, meaning New Delhi may have to India. This way we stand to derive S-RUSSIA friendly equation initiate policy changes and additional benefit. It is obvious that could actually work in our favour step in to alleviate the such a situation may not come as Uif we are able to play a balancing sufferings of the people of gratis, but New Delhi will have put its role. It is nobody’s argument that we house in order before inviting these IT should appear to be totally on the side Baluchistan and Sind giants to come and set up shop here. of US in its China policy, but, at the New Delhi, under the leadership same time, we should also not forget the profit margin if service cost is not of Narendra Modi, will surely work that China has established its CPEC hiked in order to be competitive. its way to US policymakers and through Indian Territory illegally During the run up to elections in secure India’s security, economic and occupied by Pakistan. Again, with US 2008, Obama had named Bangalore strategic interests. But all the same, pulling out of TPP, India should fine and promised to stop outsourcing of it is essential to know which door tune the working of BIMSTEC, Look American jobs outside of US. He had to knock for the right answer and East-Act East policy and other bilat- suggested a revamp of federal tax optimum result in the next four years eral and multilateral arrangements to code. As president he came out with of Trump regime. tap the Asian markets and regain stra- a plan to revamp tax rules and end In an objective examination there tegic space in the Indo-Pacific region. the tax deferral system, which was was a question: Who runs America? True to his election promise— likely to impose 35 per cent tax on The President, you said? Wrong. “H-1B, whatever it is, I use it but I US corporations with major Indian That is not even an option. The options don’t like it. I want to scrap all H-1B operations. However, Obama’s tax were: a) CIA/FBI b) Americans c) visas”—Trump has introduced a bill changes did not happen. Now it is None of the two. to that effect. This will no doubt affect Trump’s turn. When reports last came in, our export-led growth. India’s IT ser- Trump’s advisors should know the world was still looking for vices accounted for about $82 billion that critical areas of US security is an answer. g of exports up to March 2015. If this vulnerable to cyber attack and it is The author is Secretary General of Forum bill imposes a 15 per cent hike, the the Indian-supported IT industry for Integrated National Security (FINS). cost of services could go up and dent that is sincerely working to protect Email: [email protected]

gfiles inside the government 22 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 23 GOVERNANCE bureaucracy mg devasahayam Civil Services Booting out the incompetent? The recent compulsory retirement of three officials—two IPS and one IAS—is no revolutionary step. It, in fact, reveals how All India Services Rules have been deeply diluted over years with all kind of mixtures

gfiles inside the government 24 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com N mid-January 2017, him from service “in public interest.” came after a departmental review of State Home department, complying Both the IPS officers were found to the officer’s service declared him Iwith the order of Ministry of Home have put in sub-optimal performance “unfit” for the job. The CBI has filed a Affairs (MHA) dated January 5, gave by the concerned State cadre on case against Narasimha for allegedly compulsory retirement to Rajkumar the basis of ACRs, service records possessing assets disproportionate Dewangan (IPS: 1992) in “public and assessment of their seniors. In to his known sources of income. interest”. Reportedly, Dewangana, the case of the former, compulsory Allegations against Narasimha also an IG rank officer, was facing a retirement was on completion of 25 include misuse of his official position departmental enquiry in connection years of service. during his tenure as Secretary, Sports with a 1998 case of loot that took place Couple of days later it was the turn Authority of India. during his tenure as superintendent of K Narasimha (IAS: 1991, UT), sacked Technically, ‘Compulsory Retire- of police in Janjgir-Champa district on grounds of “non-performance” ment’ is merely an action taken to of the State. He was still continuing and alleged corruption without any remove officers seen as deadwood when the Centre decided to retire him notice, in “public interest”. The action by their respective cadres and the compulsorily. Centre for not being serious in Alongside, the Central government Technically, ‘Compulsory discharge of their duties. It is not compulsorily retired UT cadre IPS Retire-ment’ is merely an considered as a punishment at all and officer, Mayank Sheel Chouhan (IPS: they get all post- retirement benefits. 1998), on the basis of a performance action taken to remove It is a rare and harsh message to review conducted at the end of 15 officers seen as deadwood civil servants who fail to perform years of service under Rule 16(3) of by their respective cadres well in their careers. But, looking the All India Services (Death-cum- and the Centre for not at the way governments are run, if Retirement Benefits) Rules. MHA these charges—‘non-seriousness in approved the recommendation of being serious in discharge discharge of duties’, ‘sub-optimal the State cadre to compulsorily retire of their duties performance’ and ‘public interest’—

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 25 GOVERNANCE bureaucracy mg devasahayam were the criterion for compulsory the deadwood in order to maintain while considering the entire service retirement of IAS and IPS officers, a high standard of efficiency and record of the officer before deciding at least half the cadre should receive initiative in the State Services. It is on compulsory retirement are two: the “order of the boot” as they call it not necessary that a good officer may firstly, to weed out officers of doubtful in the Army! continue to be efficient for all times integrity and secondly, those who Under the original AIS (Death- to come. It may be that there may have outlived their utility and have cum-Retirement Benefits) Rules, be some officers who may possess a become inefficient or ineffective. 1958, the Central government may, better initiative and higher standard The Supreme Court in the case in consultation with the State govern- of efficiency and, if given the chance, of State of Gujarat vs Umedbhai M ment concerned and after giving a the work of the government might Patel (Civil Appeal No.1561 of 2001, member of the Service at least three show marked improvement. In such 3 SCC:320) has virtually laid out months previous notice in writing, a case, compulsory retirement of the modus operandi for compulsory or three months’ pay and allowances an officer who fulfils the conditions retirement of civil servants: in lieu of such notice, require that of Rule 16(3) is undoubtedly in public (i) Whenever the services of a public member to retire in public interest interest and is not passed by way servant are no longer useful to the from service on the date on which of punishment.” general administration, the offic- such member completes 30 years of er can be compulsorily retired for qualifying service, or attains 50 years Looking at the way the sake of public interest. of age, or on any date thereafter to be governments are run, if (ii) Ordinarily, the order of specified in the notice. these charges—‘non- compulsory retirement is not to be treated as a punishment HE 2012 Amendment to this seriousness in discharge of coming under Article 311 of the Rule introduces two reviews— duties’, ‘sub-optimal Constitution. Tone after 15 years of qualifying performance’ and ‘public (iii) For better administration, it is Service and another after 25 years, interest’—were the necessary to chop off dead wood, or on attaining the age of 50 years, as but the order of compulsory the case may be. However, if these two criterion for compulsory retirement can be passed after reviews were not conducted for any retirement of IAS and IPS having due regard to the entire reason, the same could be done at any officers, at least half the service record of the officer. other time as the Central government cadre should receive the (iv) Any adverse entry made in the deems fit in respect of such member. confidential record shall be The Rule also stipulates that “order of the boot” taken note of and be given due continuous review should be done of weightage in passing such order. the record of service of the member “Compulsory retirement con- (v) Even un-communicated entries regarding suitability or otherwise of templated by the aforesaid rule is in the confidential record can such member for further retention in designed to infuse the administra- also be taken into consideration. the Service after completion of 15/25 tion with initiative so as to meet the (vi) The order of compulsory retire- years of qualifying service, or on his/ expending needs of the nation, which ment shall not be passed as a her attaining the age of 50 years, as require exploration of ‘Yields and shortcut to avoid Departmental the case may be. pastures new’. Such a retirement enquiry when such course is The government claims that this involves no stain or stigma, nor does more desirable. rule, commonly referred to as the rule it entail any penalty or civil conse- (vii) If the officer was given a of premature retirement, is based on quences. In fact, the rule merely seeks promotion despite adverse sound policy and to sub-serve public to strike a just balance between the entries made in the confidential interest. It quotes Supreme Court termination of the completed career record, that is a fact in favour of observations in the case of Union of of a tired employee and mainte- the officer. India vs ME Reddy and another (AIR nance of top efficiency in the diverse (viii) Compulsory retirement shall 1980 SCC: 563): activities of administration.” not be imposed as a punitive “The object of the Rule is to weed out Objectives to be kept in mind measure.

gfiles inside the government 26 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com All this is fine. But if past experi- one innocuous post to another so fre- are known examples. Now, under the ence is to go by, most of this exercise quently that they become mere rolling new euphoria, it is these officials who would be subjective and not objective stones unable to gather any domain would be given the ‘order of the boot’! and the recent compulsory removal knowledge or expertise to establish Nothing is being done to set right of two IPS and one IAS officers may their worth in performance. It is these these grievous maladies. Instead some not be any different. Nevertheless, officials who become ideal candidates select officials are being booted out in there are people who hail this as a for compulsory retirement under the an unceremonious manner. Why this great ‘revolution’, saying it has taken amended Rule 16 (3). all of a sudden? Perhaps Gopalkrishna more than 40 years for the Centre to Volumes can be written on this Gandhi, distinguished civilian, dip- administer a shock to a complacent issue. The fact is that between 1958, lomat and former Governor of West civil service. when the original rule was framed, Bengal, has a rhetorical answer, but in One of them is RK Raghavan, and now All India Services have been a different context: “Who rules India? former Director of CBI, who says: deeply diluted with all kind of mix- I will not mention the name of a “The Central government’s recent tures coming in. India has also mor- person. I shouldn’t say who. I should decision to compulsorily retire two phed from democracy to autocracy say what. Fear rules India. How IPS officers and one IAS officer (during the Emergency era of 1970s) does fear manifest itself? Why is for ‘non-performance’ is bold and the Lokpal still dangling in mid-air? laudable… Such action was a long- When number of corrupt Why is the Whistleblower’s Protection needed corrective…Cynics may say and servile civil servants— Act not yet notified? There is a kind of this is a gimmick or a symbolic act past and present—are fear to face reality in our legislatures, that would hardly mend the ways of not just Parliament, but in our State the bureaucracy. This is a defeatist enjoying coveted posts and legislatures too.” approach. We need to uphold the sinecures or laughing all basic democratic principle of a healthy the way to foreign/Indian would like to add some more. Why executive control over the civil service, banks why target these RTI Act is so shabbily dealt with? and actions like these, undertaken I Why this ongoing war between clinically and without malice, are a three officials and make a Central government and the Supreme sine qua non if we want to enhance show of it? The answer is Court? Why the whimsical and draco- the currently poor standards of public simple: As the name of the nian ‘demonetisation’ that made the administration.” 1961 Alistair MacLean common man run around as ‘headless I am neither a cynic nor a defeat- chicken’? Why no reforms to elimi- ist, certainly not when it comes to civil bestseller suggests, nate criminal and corrupt elements services. But I do not know in which ‘Fear Is the Key’ from the electoral process, thereby world the likes of Raghavan are living. making it clean and mafia-free? I know of instances wherein incom- and subsequently into ‘kleptocracy,’ When number of corrupt and servile petent, corrupt and dishonest senior which is government of the thieves, by civil servants—past and present—are IAS/IPS officials as well as Ministers/ the thieves and for the thieves. I know enjoying coveted posts and sinecures Chief Minister have deliberately dam- of States that have assiduously built or laughing all the way to foreign/ aged the ACRs of dynamic, honest kleptocratic networks comprising of Indian banks why target these three and competent juniors, effectively politicians, power brokers and IAS/ officials and make a show of it? blocking their promotion in the State IPS/IFoS officials to carry out system- The answer is simple: As the and empanelment for deputation to atic loot of resources and run a mafia name of the 1961 Alistair MacLean the Centre. Some of these decadent empire. Any conscientious or compe- bestseller suggests, ‘Fear Is the Key’. worthies even had the audacity to tent officer belonging to these services Yes, for “Minimum Government and write adverse remarks on the integ- opposing the kleptocrats is ruthlessly Maximum Governance!” g rity of honest officials who did not dealt with, including suspension and The writer is a former Army and IAS play second fiddle to their acts of loot even registering of false cases. Andhra officer. He is also former Administrator, and plunder! Besides, competent and Pradesh, Uttar Pradesh, Madhya Chandigarh Capital Project. honest officials are transferred from Pradesh, Haryana and Tamil Nadu Email: [email protected]

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 27 GOVERNANCE budget tn pandey

BUDGET 2017-18 No carrots, only sticks Merely saying that ‘the burden of tax evasion falls on those who honestly comply with the tax laws,” is not a solution to the problem

gfiles inside the government 28 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com Maoists and militants in the North- East and a number of other matters. One striking feature of the address has been the repeated prefixes of ‘My Government’ to almost every sentence in the address on the lines of past practices. This has made the address drab, cumbersome, long- winding and lacking in flow. Such prefixes, appearing almost in every sentence, were not necessary because it is implied that the President was speaking for his government and emphasis for this before every sentence was not necessary.

Economic survey Presentation of Economic Survey is not a constitutional necessity but a customary practice since the year 1950-51. Up to 1964, it was clubbed with the Union Budget and thereafter, it has being presented as a separate document. It is a precursor of Union Budget, giving an idea of what could be expected in the Budget. It is long paper, dealing with diverse matters. Demonetisation has been dealt with in a big way in the survey. Some significant observations are: y Economy’s growth rate in the cur- rent FY could be around 6.50 per cent to 6.75 per cent after account- ing for adverse impact of about 0.25 to 0.50 percentage points due to demonetisation. The impact is, however, likely to be temporary N the two days since the President’s address and economy should rebound to commencement of the Budget The 75-minute address is the grow by 6.75 per cent to 7.50 per ISession of Parliament on January government’s narrative on what has cent in 2017-18. 31, 2017, three important events been done and what it plans to do in y Demonetisation was a powerful followed in quick succession— future. The areas relating to work stick, but it now needs carrots as President’s add-ress to the joint done, inter-alia, pertained to welfare compliments, such as lowering sitting of two Houses of Parliament; of poor, demonetisation described as income tax and stamp duties placing of Economic Survey in bold decision to combat black money, and accelerating the reduction Parliament; and, presentation of the corruption, terror financing and in corporate taxes (this has been Annual Budget for the year 2017-18. counterfeit currency, surgical strike done to some extent by the Finance Important aspects from these events to reply to repeated incursions on Bill, 2017). are, briefly, as follows. country’s sovereign integrity, fighting y Agricultural sowing and passenger

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 29 GOVERNANCE budget tn pandey

car sales bear little imprint of has been proposed. to be long term capital gain is demonetisation. [d] An appeal has been made by reduced from 3 years to 2 years. The survey also cautions against the FM to all citizens of the country This is justified on the ground excessive push for digitalisation. to contribute to nation building by a of incentivising investment in small payment of 5 per cent tax if their immovable properties. Union Budget 2017-18 income is falling in the lowest slab of y The base year for indexation for tax It deals with varied subjects con- `2.5-5 lakh. on capital gains is proposed to be cerning various sectors of economy. [e] Changes, as under, are pro- shifted from April 1, 1981, to April In later discussion, only proposals, posed in the taxation of capital gains: 1, 2001, for all classes of assets, concerning direct taxes, are discussed. y Holding period for considering including immovable property. [a] In para 140 of the budget gain from immovable property y The basket of financial instru- speech, a disappointing picture of ments in which capital gains can compliance to income tax law has According to the the be invested for getting exemption been stated in the background of over Economic Survey, from tax has been widened. 125 crore population of the country y Special provision for computation (See Table). demonetisation was a of capital gain where joint develop- The position is to be contrasted powerful stick, but it now ment programme is proposed to with the fact that in the last 5 years, needs carrots as the effect that capital gains shall be 1.25 crore cars have been sold and compliments, such as chargeable in the year in which the number of Indians, who flew abroad certificate of completion of whole either for business or tourism, was 2 lowering income tax and or part of the project is issued by crore in 2015. stamp duties the competent authority.

HE above position shows weak [A] Category of taxpayers No. of persons falling No. of persons implementation of the IT law and in the category filing the returns the Finance Bill, 2017, does not T 1 Organised sector 4.2 crore 1.74 crore contain any effective measures which employment could improve this position in the 2 Informal sector employment 5.6 crore 1.80 crore near future. Merely saying that ‘the burden of tax evasion falls on those 3 Companies 13.90 lakh 5.97 lakh [Regd. up to 31.3.2014] who honestly comply with the tax laws,” is not a solution to the problem. [Of 5.97 lakh companies filing the returns in 2016-17, 2.85 lakh companies [b] Tax rate in the first slab of showed profit before tax of less than `1 crore, 28,667 showed profit between `1 crore and 10 crore and only 7,781 companies have shown profit before tax `2.5-5 lakh has been reduced from of more than `10 crore] 10 per cent to 5 per cent, giving a tax [B] Individual taxpayers benefit of `12,500 across the board, even for persons falling in the slab * No. of taxpayers, who filed 3.7 crore of `10-20 lakh and above. However, returns in 2015-16 two aberrations have resulted by such * Persons, showing income 99 lakh relief—senior citizens (80 years and below exemption limit of above) do not get any benefit from `2.50 lakh such reduction; and, there is a wide * Between `2.50-5 lakh 1.95 crore gap in tax rates between two slabs of * Between 5 lakh to 10 lakh 52 lakh `2.5-5 lakh and `5-10 lakh, being 5 * Above `10 lakh 24 lakh per cent and 20 per cent, respectively. ` [c] A surcharge of 10 per cent [C] Of 76 lakh individuals, showing income above 5 lakh, 56 lakh are salaried employees of tax payable on categories of indi- viduals, whose annual taxable income [D] The number of people, showing income above `50 lakh in the entire country are only 1.72 lakh. is between `50 lakh and `1 crore

gfiles inside the government 30 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com be introduced in the Act to provide for this. [j] The Finance Bill provides for transparency in electoral funding. The measures proposed are: y No donation of `2,000 or more shall be received by a political party otherwise than by an account payee cheque/draft, or through electronic clearing system, or electoral bond through a bank account. y The political party has to file a return of income before the due date u/s 139 of the Act.

Summing up N the foregoing discussion, an account has been given in regard Ito major proposals contained in the Finance Bill, 2017. One aspect of worry is complication of the IT Act, 1961, by incorporation of changes contained in 150 clauses of the There was a need to extend the The Finance Minister has Finance Bill, 2017. Last year’s Finance period of holding of 1 year to 2 years to ponder about the size of Bill contained 208 clauses relating in cases of shares and securities to Income Tax law. Earlier years’ also for being treated as long term the IT Act with so many Finance Acts also contained nearly capital gain. Regretfully, this has not additions each year, most 100 to 150 clauses. The FM has to been done. of which get approved by ponder about the size of the IT Act [f] A simple one-page return Parliament even without with so many additions each year, form has been prescribed for persons most of which get approved by having income up to `5 lakh from discussion because of Parliament even without discussion sources other than business or paucity of time because of paucity of time. profession. I also wish to express disappoint- [g] In order to ensure timely sum exceeding `2,000 unless such ment about the injustice initiated filing of returns of income, it is sum is paid by any mode other by P Chidambaram by denying proposed to levy a fee in case of delay than cash. employment-related expenses to in filing the return. y Depreciation u/s 32 for any salaried employees by way of standard [h] Period for claiming deduc- capital expenditure on acquisition deduction without there being any tion u/s 80IA by eligible start-ups of assets shall not be allowed if conceivable grounds for doing so and for 3 consecutive years has been the assets have been acquired by the present government continuing increased to 7 years from 5 years at cash payments. it. It needs to be considered whether present. y Existing threshold limit for cash savings in tax by such denial to salaried [i] For encouraging cashless payments for business deals has taxpayers, who constitute a big chunk transactions, the following proposals been reduced from `20,000 to of taxpayers, paying their taxes have been mooted: `10,000. honestly would be commensurate y To amend Section 80G to pro- y No person shall receive any pay- with frustration of such large number vide that no donations shall be ment in cash of `3 lakh or more. A of taxpayers. g allowed u/s 80G in respect of any new section 269ST is proposed to The writer is former Chairman, CBDT

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 31 STATE SCAN scams madhya pradesh Humble farmer’s rich friends Shivraj Singh Chouhan finds himself in trouble as a number of his rich friends come under the scanner in various probes into alleged wrong-doings by RAKESH DIXIT

P (Jai Pakash or Jaypee) Associates managing director JSunny Gaur, infrastructure doyen Dilip Suryavanshi, mining Baron Sanjay Pathak and coal trader broth- ers Satish and Manish Saraogi are bil- lionaires of Madhya Pradesh. They are famous entrepreneurs in their own right. Sanjay Pathak is also a powerful minister in the State cabinet. But they have come to be known better in the State for their controversial associa- tion with Chief Minister Shivraj Singh Chouhan. The Chief Minister, who, ironically, loves to wear his ‘humble farmer’ identity on his sleeves, has landed in a number of controversies for allegedly abusing his powers to help his rich friends prosper. Whenever the Congress mounts attacks on him, the Chief Minister cries foul, saying feudal elements

Chief Minister Shivraj Singh Chouhan flanked by Minister of State Sanjay Pathak (left) and Satish Saraogi (right), alleged to be apart of the hawala scam

gfiles inside the government 32 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com have ganged-up against ‘a humble deposited in Katni district. Fearless and honest, Tiwari had been farmer’, that is him. He has repeated Fresh trouble for the Chief Minister similarly transferred from his previ- this refrain ad-nauseum during his 11 began on January 9 when he abruptly ous posting in Balaghat, where he had years of chief ministership. transferred Katni Superintendent of exposed the then collector’s collusion Chouhan seldom, if ever, sounded Police Gaurav Tiwari to Chhindwara. with timber mafia. more hypocritical than on Makar Tiwari, a 2010 batch Indian Police Before going into details of the Sankranti this year. Inaugurating the Service (IPS) officer, was pretty close hawala controversy, a recapitulation State-wide ‘Festival of Joy’ to mark to exposing involvement of influen- of the two previous rows involving recreational activities of the newly tial people, including mining bar- the Chief Minister and his billionaire formed Department of Happiness in ons, businessmen and the ruling friends would be in order. That will the State, the Chief Minister rather Bhartiya Janata Party (BJP) leaders not only provide useful perspective sententiously glorified poverty. in the scam that had been flourishing to the present controversy but also “Jo anand faqiri main hai, woh since 2009. help understand the wanton money amiri main kahan!” Chouhan quipped Congress spokesman KK Mishra culture in the ruling BJP spawned by while exhorting people to derive hap- claims that barely two days before his the Chouhan’s uninterrupted rule as piness through donating things to the unceremonious transfer, the SP had Chief Minister in the last 11 years. poor and needy. Irony about the ser- sought permission from his higher- mon was not lost on the State’s peo- ups in the police headquarters to HOUHAN was barely 13 days ple. The irony was that only two days into the Chief Minister office ago the Congress had released a pho- Unlike in the past, the Chief Cwhen on December 12, 2005, tograph of the Chief Minister posing Minister might find the his government allotted prospecting with two billionaires—Sanjay Pathak going extremely tough for licence of mining to the JP Associates and Satish Saraogi. Both are sus- on 470 hectares in Rewa district. The pected to be involved in a `500-crore himself as well as his government also allotted to the JP Hawala racket. The Chief Minister is friends this time round as Associates 25 hectares of private land facing allegations of protecting them. the Central agency, the belonging to farmers of the area with- Unlike in the past, the Chief Enforcement Directorate out their consent. When the farm- Minister might find the going ers protested, the security personnel extremely tough for himself as well (ED), has come into the of the JP Associates fired on them. as his friends this time round as the picture investigating the Shivraj government’s unusual gener- Central agency, the Enforcement `500-crore hawala scam osity to the JP Associates fuelled mas- Directorate (ED), has come in sive speculation about his friendship the picture. Given the ED sleuths’ arrest the Saraogi brothers and State with the company’s managing director earnestness to unravel the scam, BJP president Nand Kumar Singh Sunny Gaur. more bad news could be in store for a Chouhan’s son for their suspected Amid the speculation, five months beleaguered Chouhan. involvement in the hawala rip-off. later, four heavy vehicles (dumpers) The Enforcement Directorate A Special Investigation Team (SIT) worth about `2 crore were registered has registered a money launder- that the SP formed had also extracted in the name of the Chief Minister’s ing case under the provisions of the confessions from two employees of wife, Sadhna Singh. These vehicles Prevention of Money Laundering Act the Saraogi brothers in the first week were acquired by Sadhna “through (PMLA), taking cognisance of four of January. They told the SIT about JP Associates and for JP Associates.” FIRs registered by Madhya Pradesh direct complicity of the Minister of The documents downloaded from the Police and a recommendation sent in State for SMSE and mining baron official website of the MP Transport this regard by the State government to Sanjay Pathak in the scam. Department ‘E-Sewa’ by the then the ED headquarters in Delhi earlier. The police officer’s intention rattled Bharatiya Jana Shakti (BJS) leader Under the said hawala racket, the government. Tiwari was abruptly Prahlad Patel (now BJP Lok Sabha fake accounts were allegedly opened transferred, though he had barely member from Damoh), and oth- in a private bank branch under completed six months as SP Katni, a ers gave the registration numbers of which scrapped old notes were business hub 400 km east of Bhopal. the four vehicles with owner’s name

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 33 STATE SCAN scams madhya pradesh as “Smt Sadhna Singh”; Father’s/ Prakash Prabhakar Naolekar, who by the Chief Minister. But Mishra says Husband’s name as “Shri SR Singh”; succeeded Dayal as the Lokayukta, he is unfazed and would continue to and the address as “Jaypee Nagar turned to be a more eager saviour of fight against the corruption in the Plant, Rewa.” the Chief Minister. BJP government. When the matter came to light, Naolekar’s organisation proposed The dumper case had barely faded Sadhna Singh transferred the four dismissal of the case and special from public memory when, in 2008, vehicles to JP Associates as shown by Lokayukta judge willingly did the the JP Associates signed four MoUs registration documents. Interestingly, bidding. The judge, BKS Chouhan, with the Madhya Pradesh government the guarantee for the purchase of observed “that Shivraj Singh Chouhan to invest `13,000 crore for setting up the four vehicles was also given by should indulge in a business of petty two cement manufacturing units, JP Associates. corruption is not prima facie accept- an aluminium production factory able because he, as the Chief Minister and a power plant for generating HE affidavit that Chouhan had of Madhya Pradesh, could siphon off power. Cleary, the scam had not filed before the Sehore Collector hundreds of crores of rupees without affected the close relations between T(who was the Returning Officer directly bringing his relatives in the the Chief Minister and JP Associates for Budhni Assembly by-election) in picture”. The case was finally closed managing director Sunny Gaur. In April 2006 did not mention that he in 2011. fact, Gaur was one of the delegates or his wife was in possession of these The Congress alleged that who accompanied the Chief Minister BJP national vice-president Vinay Sahastrabuddhe (left) and State president Nand Kumar Singh Chouhan (right) had camped in a farmhouse of Satish Saraogi in Badwara during the campaigning for Shahdol parliamentary by-election in November last year vehicles. Nor could Sadhna Singh during a four-day visit to Singapore in have been able to purchase the four Significantly, the dumper case has January, 2016. vehicles with the income disclosed in resurfaced with special Lokayukta The Chief Minister landed in the affidavit. court in Rewa scheduling the hearing another controversy in June 2012 It was understood as a case of quid of a fresh petition filed by Congress when the income tax sleuths con- pro quo; the gift of heavy vehicles leader KK Mishra for February 3, 2017. ducted raids at the premises of his being presented in lieu of the State Mishra says he has more concrete evi- school days friend, Dilip Suryavanshi. government allotment of land to the dence to prove the Chief Minister and Unaccounted wealth to the tune JP Associates for prospecting. his wife’s complicity in the dumper of `1,000 crore was seized during The then leader of opposition, scam. However, the Congress leader’s simultaneous raids at the offices and Jamuna Devi, took the matter to the petition will be admitted only after the residential premises of Suryavanshi, then Lokayukta, Ripu Sudan Dayal, court goes through the fresh evidence. owner of Dilip Buildcon Ltd. who refused to act. Ramesh Sahu, a KK Mishra is a rare Congress leader The I-T raids caused huge embar- Congress activist, then moved the who has been doggedly fighting legal rassment to the BJP government as court of Special Judge, RK Bhave, battles against the Chief Minister and Suryavanshi is considered to be close which directed the Lokayukta organ- ministers. In the process, he has three to several party leaders. isation to investigate the matter. cases of defamation filed against him His proximity to Chouhan can be

gfiles inside the government 34 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com gauged from the fact that Suryavanshi was credited with playing a key role in persuading the Chief Minister to marry Sadhna Singh of Gondia in 1991. He is, therefore, consid- ered close to the Chouhan couple. Suryavanshi had also reportedly financed and guided a campaign to get the then Chief Minister Babulal Gaur ousted and Chouhan installed on the post in November 2005. Son of a retired deputy superinten- dent of police, the rise of Suryavanshi has been meteoric after the BJP came to power in 2003. The annual turn- over of his company had risen from `13 crore in 2004-05 to `1,000 crore Relations between Dilip Buildcon Ltd chief Dilip Suryavanshi (left) and State Chief in 2012. Now the company’ account Minister Shivraj Singh Chouhan go back to their school days book boasts over `10,000 crore worth work orders. The Chief Minister kept a qualms about flaunting his thick rela- conspicuously low profile tions with Suryananshi. In a function HE Dilip Buildcon is mainly in the grand reception for in 2008, a sentimental Chouhan rem- into road construction and has inisced how Suryavanshi’s mother Tcontracts from all over India, Suryavanshi’s son Rohan’s would feed him like his own mother mainly in Madhya Pradesh, marriage on January 21 this when he was studying in a college Jharkhand and Gujarat. year. But, the BJP insiders in Bhopal. Long queues of beacon light-fitted aver, Chouhan and Of late, however, both avoid meet- vehicles outside Dilip Buildcon Ltd’s ing each other in public. The Chief office and outside his palatial farm- Suryavanshi continue to Minister kept a conspicuously low house on the backwaters of Kerwa enjoy a good rapport profile in the grand reception for Water reservoir, a picturesque pic- Suryavanshi’s son Rohan’s mar- nic spot located on the outskirts of BJP spokesperson. riage on January 21 this year. But, the State capital, are still a common For Dilip Buildcon, which is pre- the BJP insiders aver, Chouhan and sight. During the income tax raids, paring to list on the bourses this year, Suryavanshi continue to enjoy the the sleuths had seized confidential the FY 2016 closed with a topline of kind of rapport which Mulayam Singh government files about transfers and `4,000 crore. Its annual profit after Yadav as Chief Minister of Uttar postings of bureaucrats, which only tax was estimated to be `250 crore Pradesh between 2002 and 2007 had the concerned ministers and bureau- in the period, making it one of the with Amar Singh. crats are supposed to be privy to. largest road building companies in Against the backdrop of the two Bureaucrats, who are invited to the country. previous rows, it is easier to under- Suryavanshi’s dinners, wear the invite In 1988, Suryavanshi started Dilip stand why the Chief Minister has like a badge of honour. Buildcon by undertaking construc- doggedly protected yet another bil- Suryavanshi, a former presi- tion of small residential projects, gov- lionaire and his cabinet colleague. dent of Madhya Pradesh Builders ernment buildings and petrol pumps. Sanjay Pathak, who is in the eye Association, owns about a dozen com- With small contracts, Dilip Buildcon of a massive political storm, is not panies, a college in the name of Swami then forayed into road construction an old friend of the Chief Minister Vivekananda and a hospital named in 2000. like Gaur or Suravanshi. Pathak, 46, Shivam in the State capital that is Before the IT raids in 2012, the belongs to a traditional Congress fam- run by Dr Hitesh Bajpai, the state Chief Minister would show little ily that owned mines and other busi-

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 35 STATE SCAN scams madhya pradesh nesses in Katni district. His father, late Satyendra Pathak, was a min- ister in Digvijay Singh cabinet. His mother, Nirmala, was the Congress mayor of Katni. Sanjay was elected on Congress ticket to the State Assembly from Vijayaraghavgarh seat twice in 2008 and 2013. He joined the BJP in 2014 after resigning from the Vidhan Sabha and won the by-election from the same seat. Sanjay’s father owned granite, dolomite and bauxite mines in min- eral-rich Katni district. But the busi- ness was of medium size. Junior Pathak, through sheer grit and busi- ness acumen, expanded the mining and other businesses in the last 15 years. He is flamboyant and generous with money. Protest in Katni following the transfer of SP Gaurav Tiwari E is the richest MLA in Madhya Pradesh with his declared assets Chief Minister’s selective amnesia the form of opposition to Congress’s Htouching `141 crore. During the about his turncoat minister’s sharp selection of candidate for Khajuraho 2013 Vidhan Sabha polls, Pathak had diatribe against him and his wife is no parliamentary seat in the 2014 Lok declared assets amounting to `121.32 less baffling. Sabha election. It was a mere politi- crore. He presently has his mining An old video clip has gone viral cal posturing as a prelude to defection business running in 12 countries. He in which Pathak is seen accusing the because Pathak had no candidate of also owns a chain of heritage hotels in Chief Minister and his wife of indulg- his choice to forward as an alternative National Parks and tourist places of ing in massive corruption. His tone to the official candidate, Raja Pateria. Madhya Pradesh. is sharp and acidic. Chouhan, who is It was a win-win situation for both While in the Congress, Pathak used otherwise extremely sensitive about Pathak and the BJP. He was look- to generously fund the party’s activi- dragging his wife into any contro- ing for a favourable political dispen- ties. His private helicopter would be versy, had no qualms in embracing sation to ensure prosperity of his used liberally by the State Congress Pathak with both arms. business and the BJP was eyeing his leaders for hopping from place to As his business proliferated and vast resources. The transition went place. It did not, therefore, come as a prospects of Narendra Modi becom- smooth. As per the deal, Pathak not surprise that the State Congress’s stal- ing Prime Minister brightened, only got elected to the State Assembly warts such as Digvijay Singh, Kamal Pathak toyed with the idea of switch- on BJP ticket, but was also made a Nath, Suresh Pachouri have kept ing sides to safeguard his burgeoning Minister of State a year later. an intriguing silence over the scam business interests under the possible Once a minister, Pathak’s money involving Pathak. Rajya Sabha mem- NDA regime. He sent feelers to the talked in the BJP as it did in the ber and noted lawyer Vivek Tankha Chief Minister through BJP leaders, Congress. Much to the annoyance of even sought to defend Pathak in a notably the then state BJP organising other BJP leaders, he came closer to Congress workers’ meeting in Bhopal, secretary, Arvind Menon. The Chief the Chief Minister. Through Pathak, much to the shock of partymen. Minister, with the consent of the party his business partners—Satish and If the Congress leaders, obliged high command, gave the go ahead Manish Saraogi—also cultivated rela- by the mining baron in the past, are to the proposal. A ruse for Pathak’s tions with BJP leaders. The relations too diffident to criticise him, the defection to the BJP was cooked up in came into public domain in the wake

gfiles inside the government 36 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com of the hawala controversy when the accounts were opened in banks (par- Saraogi—were found to be behind the Congress alleged that BJP national ticularly the Axis Bank at Katni) since suspected money-laundering racket. vice-president Vinay Sahastrabuddhe 2009 in the name of bogus firms, While the police probe was in and State president Nand Kumar below poverty line card holders and progress, the income tax department Singh Chouhan had camped in other fictitious entities to park black on December 23 seized documents a farmhouse of Satish Saraogi in money. However, the police chose to relating to several accounts opened Badwara during the campaigning for turn a blind eye as the black money at an Axis Bank branch in Katni. The Shahdol parliamentary by-election parked in them belonged to influen- seizure was part of the income tax in November last year. Badwara is a tial people. Tiwari after joining as operation against money-laundering town in Katni district which comes Katni SP in July last year, initiated racket across the country in the wake under Shahdol parliamentary seat. probe into the accounts. of demonetisation. Shahdol, a predominantly tribal The probe disclosed huge transac- district, has extensive coal blocks. tions in fictitious accounts, following a HE media quoted a senior income The Enforcement Directorate’s inves- complaint from a farmer who claimed tax officer as saying that “investi- tigation into the hawala scam has that unidentified people made trans- Tgations till now have established revealed that the Saraogi brothers that the suspected money-laundering were involved in supplying subsided There were lingering racket, involving over 300 business- coals excavated from these blocks suspicions for quite men from Madhya Pradesh and out- into open market through bogus firms sometimes that around 100 side, is at least worth `500 crore”. registered with the Madhya Pradesh Katni was the hub of the suspected Small Industries Corporation. accounts were opened in money-laundering racket that ben- Over 140 fictitious firms have been banks (particularly the Axis efited businessmen from Indore, detected in the documents seized Bank at Katni) since 2009 Bhopal, Gwalior, Jabalpur, and other from the houses and offices of the in the name of bogus firms, parts of the State. brothers in Katni, which indicate that Enthused by the income tax depart- massive illegal coal marketing took below poverty line card ment operations, the SP formed a spe- place from 2006 to 2010. Needless holders and other fictitious cial investigation team (SIT) to nail the to say, the brothers needed political entities to park black money hoarders. On January 4, protection from the ruling BJP lead- black money the SIT zeroed in on Saraogi broth- ers to carry on illegal business. And, ers. Police registered a case against protection did come in many ways as them on the complaint of one Rajnish the Chief Minister’s photograph with actions of `90 lakh from a Jan Dhan Tiwari. Investigation revealed that Pathak and Satish hints. saving account opened in his name at the brothers had parked nearly `100 The Congress released the pho- an Axis Bank branch in Katni district. crore in the accounts of their four tograph. The opposition party also Another person complained of cash employees. Two days later, police alleged that the state BJP president’s transactions of `16 lakh through a arrested Saraogi brothers’ employees, son Harsh Singh was Pathak’s busi- savings account opened in his name Sandeep Barman and Sanjay Tiwari, ness partner in mining and other at the same bank branch. who allegedly disclosed that Pathak businesses. Harsh used to reside in a The complaints had been initially had also opened fictitious accounts farmhouse at Barhi owned by Pathak. brushed under the carpet. But Tiwari in the name of his employees to park None of the BJP leaders has denied reopened the case. huge sums of money. the Congress’s allegations so far. Katni police registered four crimi- Before, the police could quiz Pathak The BJP leaders had been cosily nal cases in the matter and started a to check veracity of the employees’ riding the Saraogis’ and Pathak’s probe. Two persons who played key statements, the SP was shifted. gravy train till Katni’s Superintendent role in opening bogus accounts were The IPS officer quietly accepted the of Police Gaurav Tiwari suddenly put identified. However, they went under- order and proceeded to Hyderabad the brake on it. ground before police could arrest on training after handing over the There were lingering suspicions them. Three businessmen—Naresh charge. No reason was assigned to for quite sometimes that around 100 Poddar, Naresh Barman and Manish his transfer.

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 37 STATE SCAN scams madhya pradesh

This was a clear violation of the could not be blamed on the basis of Supreme Court guidelines on IPS mere allegations. officers transfer. In 2006, allowing The ongoing ED probe into the a petition by former DGP Prakash hawala scam might or might not nail Singh, the Supreme Court had direct- any BJP leader, but a series of devel- ed the Centre and States to set up opments following the SP’s transfer Police Establishment Boards to decide have exposed moral bankruptcy of selection, promotions and transfers of the BJP government. Even before police officers and other staff, till the the hawala scam surfaced, specula- governments came up with an appro- tion was rife in the State as to how priate legislation. BJP leaders had turned their black Following the SC guidelines, the Gaurav Tiwari: Facing consequenses of money into white after the demoneti- State government formed a Police being honest and fearless sation announcement on November Transfer Board with the stated objec- 8. Bhopal’s prominent BJP leader tive to insulate field officers’ transfers storm in Katni where he had become Sushil Waswani’s cooperative bank and postings from political pressure very popular due to his fearless was raided by the income tax depart- and ensure two-year stint for SPs. working and direct connect with the ment and abnormal deposits worth The board was flagrantly bypassed citizens. They spontaneously hit the several crores post-demonetisation by the State government while streets to demand revocation of the were detected in December last year. shifting Tiwari. transfer order. People across class, Waswani’s wife is the bank’s chair- The board members declined to gender and caste came out in the person and State’s Revenue Minister comment on the shifting of the “pride SP’s support. Umashankar Gupta is its director. of police force”, as Director General State’s women cooperative bank, of Police RK Shukla described Tiwari. HE BJP high command has ‘Swayamsiddha’ in Indore, was also Off the record, however, they sought a report on the circum- found to have received deposits worth rationalised the decision on the spe- Tstances leading to the IPS offic- several crores after November 8 in an cious grounds that if an officer is er’s transfer. Vinay Sahastrabuddhe income tax raid. Its chairperson is moved from one field posting to was asked to prepare the report which Women and Child Welfare Minister another, like Tiwari was moved from will be discussed after the assembly Archana Chitnis’s sister-in-law, while Katni to Chhindwara, then, as per the elections in five States, according to she herself is its director. SC guidelines, it is not mandatory party sources. Rumours also swirled around to explain the reasons for the deci- When protest had erupted in Katni soon after the demonetisation as to sion. The reason has to be given only over the SP’s transfer, BJP leaders how ministers, BJP MLAs and some if an officer is taken off field duty, were busy in the party’s state execu- bureaucrats employed ingenious they averred. tive meeting in Sagar. The protest ways to settle their huge untaxed Significantly, a day after Tiwari’s was widely discussed there. The BJP cash. Two MLAs from Narsinghpur transfer was ordered, one of the trans- leadership decided to brazen it out districts distributed cash among sup- fer board’s members and principal by justifying the transfer as a routine porters as soft loan with zero per cent secretary, home, Seema Sharma, was administrative exercise. interest. Similarly, in other districts transferred to General Administration Pathak, who was also present too reports abounded as to how the Department. She was reportedly in the Sagar meeting, clarified BJP leaders colluded with banks to against Tiwari’s transfer. The DGP too his stand to party leaders. salvage their black money. was opposed to the move but yielded He later told journalists that he was The 13 years of uninterrupted BJP only when the government agreed to being dragged into the controversy in rule in Madhya Pradesh has ensured transfer Tiwari on another field post- a pre-panned conspiracy. that its leaders’ can find myriad ways ing instead of attaching him to the Defending Pathak, the Home to park their ill-gotten money even police headquarters, sources familiar Minister, Bhupendra Singh, claimed as the common man struggles to lay with the development say. there was no evidence on his involve- a claim on his own money without Tiwari’s transfer created massive ment into the alleged scam and one hindrance or fear. g

gfiles inside the government 38 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 39 STATE SCAN jallikattu tamil nadu Jallikattu: It is for the bull not against it The recent demonstrations in Tamil Nadu in favour of Jallikattu put focus on an issue which is of national importance

by SUMIT BOTHRA also in demand. of bulls. Local and natural breeding is The stud bulls need to be active, the only way to maintain the genetic lot has been written and debat- virile and strong during the mating pool of these native bulls. The native ed about Jallikattu over the season. They should secrete the EUHHGV DUH QRW VXLWDEOH IRU DUWL¿FLDO A past month. Demonstrations required male hormones and for insemination. Banning Jallikattu in Tamil Nadu in favour of the sport this they are made to experience an would disturb natural evolution and attracted not just national but inter- adrenalin rush and high heart beat eventually lead towards the extinction national attention. However, most because of the run during Jallikattu. of the native species. of the media and press compared This should be seen more as an activity Jallikattu has been depicted in Jallikattu with the Spanish bullfight, to enhance the mating performance inscriptions dating from the Indus which is not true. The objective of WRVSHFL¿FDOO\LPSURYHWKHEUHHGLQJ Valley civilisation and have been part Spanish bullfighting is to kill the bull. The modernisation of agricultural of our national heritage. The Article It is dangerous for the matadors, but practices and the introduction of  RI WKH &RQVWLWXWLRQ VSHFL¿FDOO\ more likely fatal for the bull. tractors and electric motor pumps directs the State to preserve and Jallikattu, unlike Spanish bull- have made bulls mostly redundant. improve the breeds of cows and calves ¿JKWLQJZDVLQLWLDOO\DVSHFWDFOHDQG This has reduced their physical and prevent their slaughter. Why then not intended to be a sport. Jallikattu activity and strength of the bulls, did certain people, media and social happens just after harvesting and which are now required primarily and animal rights organisations before the start of the next farming for mating, and hence expensive for oppose Jallikattu? season, which is the period when the owner to maintain. A cow yields 7KH ¿UVW RI WKH DUJXPHQWV IRU the bulls mate. The purpose is PLONDQGLVSUR¿WDEOHIRUWKHRZQHUV ban was the comparison between never to kill the bull, but to identify whereas a bull is seen as a burden. -DOOLNDWWXDQGEXOO¿JKWLQJDVDVSRUW strong bulls. The objective of This peculiar situation has caused a popular in some parts of the world. this spectacle is for the bull to be reverse gender bias, which is a cause 8QOLNHEXOO¿JKWLQJZKLFKLVDVSRUWWR released from a narrow gate and pass for concern and is causing a shortage prove a man’s valour by overpowering from a ground or a designated path and killing the bull, Jallikattu is an to reach the marked destination. Jallikattu happens just exercise to enhance the performance During this bull run, players attempt after harvesting and before RI WKH EXOO IRU D VSHFL¿F SXUSRVH ,Q to slow down and overpower the bull no way is there an intention to kill by getting hold of the bull’s hump. the start of the next or even hurt an animal. Rather the This is also called embracing the farming season, which is strength of the bull is lauded and the bull. The victorious bulls are then the period when the bulls bull is paraded throughout the village, sought to service the cows. These mate. The purpose is not making him a sought after one. strong and virile bulls are also Second was the evidence of cruelty paraded and bought by villagers. to kill the bull, but to to the animal by forcing him to drink The offspring from these bulls are identify strong bulls alcohol, rubbing chilli in the eyes

gfiles inside the government 40 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com and other such means to make him Unlike bullfighting, discourage villagers to foster native aggressive. These might have been cattle, which will eventually lead to isolated and mischievous exceptions, which is a sport to prove the loss of the breed. The ban will but not a regular practice as it a man’s valour by also take away an important link in might have seemed to be. Third is the overpowering and killing the organic agricultural chain. We lack of connect with our ancient and the bull, Jallikattu is an are an agricultural economy and rural practises of our urbanised and the need of the hour is to look at western educated society encompass- exercise to enhance the this with a wider perspective. This ing our media, law makers and performance of the bull is not an issue concerning Tamils enforcers. There is enough data for a specific purpose alone. The youth of Tamil Nadu and facts which would enumerate have successfully and peacefully the miniscule number of bulls that type of milk with comparatively lower demonstrated to the country and were subjected to harm and pain as nutrition and also known to cause the world that Mahatma Gandhi’s well as the number of players who allergies. Meat exporters will gain principle of ahimsa can still catch the were hurt fatally. if native bulls are not required any- eye of the law and policymakers and more, as their cost will go down and influence them to listen to the voice of OES the banning of Jallikattu they can be profitably exported to the people. Also, the local authorities satisfy the vested interests of countries where their meat is a delica- should closely monitor and conduct Dany particular group? Dairy cy. Companies in artificial insemina- the event in an orderly manner with producers are aware that native cows tion foresee a huge opportunity when proper enforcement of rules and yield an A2 type of milk which is more the natural mating of native breeds parameters. The local bodies could, nutritious than the artificially insemi- comes to an end. in fact, popularise the event and draw nated jersey cows, which yield an A1 The ban on Jallikattu will spectators from outside. g

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 41 BOOK REVIEW non-fiction investigation by ALAM SRINIVAS A miserable failure T’S ironical that a book that aims to backing in the initial years. In create a myth and living legend of September 2013, this magazine Ian individual itself has seedlings, revealed how powerful ministers, even large plants, which ultimately both in NDA-1 and UPA-1 regimes, destroy the person. This is the trage- like Sharad Yadav, the Consumer dy, and also the crucial insight that a Affairs Minister during the first dis- reader can draw from Shantanu Guha pensation, and Sharad Pawar in the Ray’s unbelievably-dramatised book, second, supported FTIL’s entry into The Target. It focuses on the “decima- commodities exchange. In addition, tion of Jignesh Shah’s global empire, Shah garnered the patronage of a how he broke the market monopoly, third ‘Sharad’—Sharad Joshi, the and the price he paid”. Read between farmers’ leader. the lines, and the protagonist comes There were numerous others, alive as exactly the opposite of what’s Title: The Target including bureaucrats and regulators, sought to be proved. Author: Shantanu Guha Ray who worked for FTIL’s interests. There are two key aspects to the Price: `495 Many of them even worked for Shah’s book. The first is that Shah, the now Pages: 240 Group. The list includes the who’s maligned, controversial and criticised who: Venkat Chary, former FMC founder-fraudster of an empire of chairman and Additional Chief several exchanges under the umbrella Let’s look at the various aspects of the Secretary of Maharashtra, Ashok Jha, of Financial Technologies (India) Ltd, book to show how FTIL was a ‘house former Finance Secretary, Nitish or FTIL, was a “dreamer, visionary of cards’ waiting to crash. Sengupta, former Revenue Secretary, and great mentor”. The second: there SA Dave, former SEBI chairman, was a large, almost all-encompassing Political conspiracy in Vepa Kamesan, former RBI Deputy conspiracy by governments, politi- Shah’s favor Governor, and Atul Rai, former cians, bureaucrats, regulators, com- In the book, the author claims that Director in tyhe Finance Ministry. peting exchanges, brokers, traders, the former Finance Minister P “That is not all, a number of spouses businesspersons, and activists to ‘kill’ Chidambaram, additional secretary in and relatives of FMC, SEBI, RBI and him. Here was an honest, hardwork- the Finance Ministry KP Krishnan, finance ministry employees are work- ing and innovative person, who build and Ramesh Abhishek, the head of the ing with the MCX (FTIL) Group,” said a grand business, and who was delib- Forward Markets Commission (FMC) the article. erately finished off. were the “three musketeers”, or the This is the reason that FTIL was Ray fails miserably, and dismally, three architects, who ruined FTIL and able to grab a licence for a commodity to prove both. In fact, his so-called Shah. They did so deliberately, and in exchange despite the fact that more evidence, collected through six a measured and step-by-step manner. experienced and renowned players months of research—more is required The trio sought help from other and partners were in the fray. For for a 2,000-word newspaper or maga- politicians and bureaucrats, as also example, gfiles revealed in 2013 zine investigation—and interviews from the other ministries. A powerful that KC Mishra, the former FMC with 50 people—more is done for minister, his loyal bureaucrat, and a chairman, initially gave a licence in magazine articles—turns out to be the bending regulator worked in tandem. 1999 to a consortium of Punjab evidence against Shah. As one reads Sadly, possibly misleadingly, Ray Warehousing Corporation (PWC), the book, one is left with a bad taste in failed to mention, or even hint, that National Stock Exchange (NSE), her mouth—Shah deserved what he the rise and rise of Jignesh Shah and Mahindra & Mahindra, and ICICI got, and he was clearly in the wrong. FTIL was based on extreme political to set up a National Futures

gfiles inside the government 42 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com Commodity Exchange. In the book, Ray writes, “Shah had earn huge revenues. The author gloats “This consortium had all it took to instant help at hand. The State Bank about the facts that by 2009, “MCX set up a commodity exchange—NSE’s of India took a strategic equity part- overtook the London Metal Exchange domain knowledge, PWC’s warehous- nership with an 18 per cent equity to become the sixth largest most- ing, ICICI’s capital, and Mahindra & stake along with seven subsidiary active commodities bourse in the Mahindra’s marketing infrastructure. banks, opening the door to other world, and saw more than $1 trillion Two years later, Dr Kewal Ram, the financial institutions like the HDFC in trades”. In a country like India, this then FMC chairman, kicked the con- Bank and NABARD to move in.” He wasn’t possible without huge doses of sortium out of the race. The FMC added how the State-owned entities political help. started looking for fresh applicants,” helped Shah to earn higher revenues said the gfiles piece. It was Ram who and profits. Since 2008, NAFED Evidence of a conspiracy played a major role in keeping out appointed Shah National Spot against Shah some of the renowned contenders, Exchange for cotton procurement; it HROUGHOUT the book, the and gave the licence to four entities, sold 8.73 lakh bales of cotton through author sprinkles details of sup- including MCX, whose promoter- it. The exchange sold 1.48 lakh tons of Tposed anecdotes and secret dis- founder, Shah and FTIL, had no wheat for FCI. cussions, which are obviously com- prior experience. pletely anonymous. One doesn’t even Jignesh Shah was backed by Yadav, Despite a few official notes get to know whether the person, who the then Minister of Consumer gave the details to the author, was Affairs. Shah also met influential and memos, there’s only present in the supposed meeting, nor bureaucrats like the Economic Affairs one definite and did he also hear it from a third person. Secretary in the Finance Ministry to authenticated piece of Despite a few official notes and grab the licence. As the 2013 article evidence that Ray memos, there’s only one definite and questioned: “Obviously, when you are authenticated piece of evidence that the Minister’s blue-eyed boy, who can produces—unfortunately, Ray produces—unfortunately, it is no stop you?” Shah even managed a it is no evidence at all evidence at all. World Bank consultant to generate a On Page 41 and 42, there is a men- report, which was used effectively to What was perhaps the biggest, and tion of a note (December 19, 2007), overrule the criticism against the unprecedented, sop to Shah and his which Krishnan, Additional Secretary, MCX proposal. National Spot Exchange was the gov- prepared for Chidambaram, Finance ernment’s gazette notification of June Minister. The note said that NCDEX Backed by political masters 5, 2007. An amendment was made to was “sponsored by four initial institu- Once MCX was up—it was set up in Section 27 of the Forward Contracts tional promoters”, which included a “record nine months”, which itself (Regulation) Act, 1952, which NSE, ICICI, Life Insurance hints that the policy makers and regu- exempted all the one-day forward Corporation (LIC) and NABARD. lators showed sufficient interest in it contracts of the exchange from the Subsequently, other government —more help was extended to it by the provisions of the Act. Clause 3 of the agencies were roped in, which includ- political masters. Large and powerful Act now read that the National Spot ed Punjab National Bank, Canara State-owned entities with interests in Exchange would be subject only to Bank and Indian Farmers Fertilizers commodities trade, like NAFED, “regulation by the authorities regulat- Cooperative. “NCDEX started with Food Corporation of India (FCI), ing spot trade in the areas where such contracts in both agro commodities Projects and Equipment Corporation, trading takes place.” and metals, but gained a commanding and MMTC were forced to trade on Ray makes it sound as if Shah, FTIL lead in agro commodities over other MCX. NABARD, which has expertise and his spot exchange deserved the exchanges,” wrote Krishnan. in agriculture marketing, was forced exemption. Since he was such a great However, NCDEX performance to become an equity partner. Such visionary, the government had to “suffered significantly” in the past 15 partnerships reek of political interfer- bend over backwards to accommo- months. Krishnan felt that the ence to push for the vested interests of date all his demands, and make it “decline has been quite sharp in the Shah and the FTIL Group. easier for his exchange to thrive, and last few months and all indications

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 43 BOOK REVIEW non-fiction investigation suggest that the situation is set to worsen.” So, the Additional Secretary wanted to do something about it and change the ownership structure and strategy. “The view of many key share- holders and directors is that the only way to revive NCDEX is to ensure that NSE takes an active role in the man- agement…. A key prerequisite for this is for NSE to become the single largest shareholder in NCDEX,” he wrote. So, Krishnan wanted NSE’s stake of 15 per cent to increase by 10-12 per cent through 5-6 per cent sale each by LIC and NABARD. This was interpreted, grossly wrongly, by Ray to imply two things. One, the Finance Ministry, which had no legal powers over commodities, was batting for NCDEX. Implicit in this was the fact that the ministry wanted to push the case of NSE, “whose top brass, it was rumoured, had the backing of a powerful minis- The latter did the natural thing. instances, according to Ray, it was try which had been wary of the growth “difficult to distinguish between SEBI of MCX, a rival exchange promoted by NSE versus FTIL Group and NSE, the regulator and regulated.” Shah”, wrote Ray. Krishnan’s note IME and again, throughout the Obviously, the author has no sense was the key evidence to prove it. book, there are references to of facts or history, or an understand- Now this is absurd. The fact is that Thow the government (read: ing of how the exchanges were man- MCX was the real monopoly, which Finance Ministry) was propping up aged over the past few decades. By the enjoyed the lion’s share. NCDEX had the interests of the NSE, which was a late 1980s, the BSE had become the become the David, whose market private entity, in a bid to kill competi- hub of manipulations, frauds and share had dwindled down from over tion (read: Shah and the FTIL empire). cheating. Brokers, who ruled the 50 per cent (two years ago) to 13 per He starts his attack on the NSE from exchange, made a ‘Mickey’ out of the cent by November 2007. It was the its inception, and he writes, “The retail investors, and even some of the rise of MCX, backed by politicians, establishment of NSE through the rich ones. The brokers decided who which had killed the state-owned public sector banks… was in conflict made money, and when. They upped NCDEX, not the other way around. As with the very concept of privatisation and lowered stocks’ prices at their Ray notes, “By 2007, MCX was and free competition.” own will, and there were powerful handling 90 per cent of trades across In the beginning, according to cartels that operated in a bid to take electronic commodity derivatives Ray’s narrative and understanding, away other people’s money. The same exchanges in India.” “NSE killed all the regional exchanges was true for the regional stock In such a position, it is the right of and even the BSE (Bombay Stock exchanges, many of which had limit- every shareholder—NSE was a share- Exchange).” Then it was the turn of ed, or zero, operations. holder in NCDEX—and it came under the Finance Ministry to “promote This was the perspective and con- the scrutiny of the Finance Ministry, NSE”, and a “cold-blooded and text in which NSE took birth. And true to think of a strategy to revive market systematic destruction of some of the to its objectives, and despite its short- share. The real villain in this case is finest Indian institutions” was carried comings, it did force the BSE to MCX, and not the NSE or NCDEX. out to achieve this objective. In several become better, efficient and transpar-

gfiles inside the government 44 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com Hence, there was nothing wrong or prove that there was nothing illegal illegitimate, contrary to Ray’s reason- about the operations of the National ing, when the NSE developed its own Spot Exchange. There was no forward trading solution to compete against trading or rollover of trading at the that of the FTIL Group. However, in exchange. It was a spot exchange, and the words of the author, the “sole only one-day trading was allowed. He objective” of NSE’s decision “was to added, as did Shah, that there was no limit the scope of using ODIN (FTIL’s speculation and that no one offered solution) by broking firms and there- “fixed returns” to the clients. The by checkmating Shah. In this case, facts are completely different, and Shah and FTIL were the bid daddies Ray himself includes a few, which and in a stronger and powerful demolishes his theory. position, and not the NSE! As gfiles reported in 2013, “Close to 13,000 investors have lent money Little idea of the laws through the Exchange platform to less T is bizarre that Ray is a known than 25 borrowers, using a two-legged business journalist, but he seems to buy/sell contract, that the government Ihave little, sometimes no, idea and the FMC found illegal. None of about corporate concepts and corpo- these high net-worth individuals rate laws. For example, at one point in would have lent money to a group the book, he states that “MCX and of little-known borrowers, had it not FTIL being two separate legal entities for the Exchange. The product under the Companies Act, it was operated like a vyaj badla scheme, ent. It was the NSE that forced a cer- improper on the part of SEBI to say where money was lent in exchange tain order in the Indian exchanges, they were acting in concert.” Well, he for warehouse receipts and repaid and paved the way for the entry of should have read the various Acts after 25 or 30 days when the receipt foreign institutional investors in the first, before writing this absolutely was returned to the borrower. 1990s. Given the standards at the wrong statement on “person acting However, in most cases, contracts BSE, no foreigner would have touched in concert”. were rolled over beyond 25 days, an Indian stock on an Indian exchange In the context of a takeover, the with the lender collecting just the with a barge pole. SEBI Act says that a person acting in interest amount.” For the author, NSE is the back- concert comprises “persons who, for a A 2012 powerpoint presentation by ground culprit. As Ray explains, “The common objective or purpose of sub- the National Spot Exchange admitted NSE margins were over 60 per cent stantial acquisition… pursuant to an to the frauds. It said that its contracts —something that only monopolies agreement or understanding (formal “offer unique investment opportunity enjoyed. Therefore, the NSE, in sim- or informal), directly or indirectly to investors.” The latter can purchase ple terms, was a monopoly. Oddly cooperate by acquiring or agreeing to a T+2 contract and simultaneously enough, while it had been brought in acquire shares or voting rights in the sell a T+25 one. “Pay-in obligation is to break the monopoly of the BSE, it target company….” The Act then on T+2, while the pay-out of the funds ended up becoming an even bigger details out people and entities, which will be on T+25. Entire settlement monopoly. BSE suffered NSE time will be included under this category. cycle is of 31-33 days. Price differen- and again, as did 20 regional stock Persons acting in concert will include tial between the two settlement dates exchanges, too.” The other facts that “a company, its holding company, or offers a net annual interest rate of he provides prove that it was Shah’s subsidiary of such company under the about 14-15 per cent after deducting group entities which controlled 80-90 same management either individually all expenses, and income arising out per cent of the trades, which had or together with each other.” By this of such trades is treated as business become the ‘real monopolies. It was logic, MCX and FTIL were definitely income.” What can be more assured now the legitimate right of NSE to “acting in concert”. and fixed than this? fight back. Similarly, the author tries hard to The author defends Shah time and

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 45 BOOK REVIEW non-fiction investigation again, and blames a set of brokers and experts to run his different ventures.” and awfully rich, Gatsby worked for a speculators for the crisis in the Obviously, Anjani was both. Later, millionaire and dedicated his life “to National Spot Exchange. He adds that the book is more direct in its praise the achievement of wealth”. He made the promoter cannot be blamed for of Anjani, who is described as a his money through “criminal activity” this. “This was rather like accusing “seasoned tracker of derivatives and and did everything to gain “social the chairman of a bank for loan financial markets.” position”. If Shah had Gatsby-esque defaults. Shah, the FMC was repeat- aspirations, he was corrupt to edly reminded, was the non-executive UT, in several other places, the the core. vice chairman of the NSEL (National book attacks Anjani, only At several places, the author Spot Exchange) board, and not Bbecause of the evidence given compares Shah to Mahabharata’s responsible for its day-to-day opera- against Shah to the investigating Abhimanyu, the son of Arjun. tions.” Completely absurd! agencies. Since Anjani blamed Shah According to the book, “Shah’s story In a country like India, rarely do for the problems and illegalities at the was similar to that of the proverbial promoters and founders keep their National Spot Exchange, the former Abhimanyu… who entered the hands off the operations. They are becomes someone who had the “art of Chakravyuha, a deathly arena sur- involved and nothing gets done with- committing frauds in financial rounded by warriors adopting fair out their assent. To say Shah wasn’t means or foul (mostly foul) in the war. involved in the daily affairs is akin to To say Jignesh Shah wasn’t Abhimanyu’s death was blamed on saying that Mukesh Ambani doesn’t the conspirators because the warrior know what happens in Reliance involved in the daily affairs prince could not figure his way out of Industries and other group compa- (as the author claims) is the hellhole and was up against sea- nies. In addition, Ray should know, akin to saying that Mukesh soned warriors flouting all norms of especially as a business journalist, Ambani doesn’t know what war to ensure his death.” Towards the that bank chairmen are indeed end, it adds, “The Chakravyuha was blamed for loan defaults. A former happens in Reliance complete, Abhimanyu, destined to chairman is in the docks for the same Industries and other be a valiant warrior better than reason. Generally, a chairman, vice- group companies both Karna and Arjun, was choked chairman and CEO—in fact, collec- to death.” tively—are blamed if a company exchanges”. The book then lists out Obviously, Ray has no idea about performs badly. such past frauds in great details. Both the Hindu epic. Abhimanyu wasn’t In addition, what is alarming is that descriptions cannot be true. If Anjani killed by foul or unfair means, the author admits that “the contracts had committed wrongs, why did Shah, although there was deceit involved. in dispute were a paltry 17 per cent of who chose specialists and experts, Any army, including the Kauravas, the total business of NSEL (National hire Anjani in the first place for a top had the right to make a Chakravyuha, Spot Exchange) since its inception.” executive post? a defensive strategy. Only, they made Paltry! Seventeen per cent of the total it when Arjun, who knew how to enter since its inception! This is like saying Getting his literature wrong and break it, wasn’t available for the that one-sixth of the turnover of a In a bid to idolise Shah, Ray uses fight. Abhimanyu, who knew how to multi-billion dollar company is fraud- literary and mythological characters enter it but not how to get out, ulent and illegal. as comparisons. At one place, the lat- willingly offered his services. He was ter contends that Shah had “Gatsby- convinced by the Pandavas that as Curious case of Anjani esque aspirations”. Jay Gatsby, the soon as he entered it, their army will At two places, the book describes character in F Scott Fitzgerald’s follow and help him to get out. This Anjani Sinha, the MD and CEO of the classic, The Great Gatsby, is described didn’t happen, and Abhimanyu was National Spot Exchange, in glorious by critics as a “deeply flawed man, trapped inside, and killed in the war. terms. The first one is indirect; the dishonest and vulgar, whose extraor- If one has to pick up a character author gives credit to Shah who, dinary optimism and power to trans- from the Mahabharata, Shah is “being a visionary”, selected “appro- form his dreams into reality make more like Duryodhana, the leader of priate specialists and knowledgeable him ‘great’ nonetheless.” The literary, the Kauravas. g

gfiles inside the government 46 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com FIRST STIRRINGS prashanta kumar mishra Upholder of uprightness

Prashanta Kumar Mishra, a 1972-batch UP-cadre officer from Odisha, faced at least three abrupt transfers in his career because he refused to give in to the malafide diktats of his political and bureaucratic higher ups

ITHIN three months from Secretary Prashanta Kumar Mishra. a 1972-batch UP cadre IAS officer, March to May in 2008, three But the two took VRS for diametri- known for being an upright officer, WIAS (Indian Administrative cally opposite reasons. Yadav took the left the job within less than a year Service) officers took voluntary retire- VRS after being chargesheeted by the after being appointed Chief Secretary ment from service (VRS) in Uttar Central Bureau of Investigation (CBI) in the State due to his differences with Pradesh. These included 1971-batch in a land scam and adjudged one of then Chief Minister Mayawati over controversial IAS officer Neera Yadav the three most corrupt officers by the alleged corruption. and a year junior to her, UP Chief UP IAS Association, while Mishra, Mishra not only cancelled fraudu- lent allotment of over 105 plots in Noida to the ‘who’s who’ of then political and bureaucratic system under Neera Yadav as Chief Executive Officer (CEO) of Noida Authority, but also opposed Yadav’s application for VRS. His VRS three months and eight days before his scheduled superan- nuation was yet another instance of how honest and upright civil servants become an eyesore for the country’s dubious politicians and babudom. Earlier, in his around 36-year long service, the UP-cadre officer from Odisha faced at least three abrupt transfers in his career because he refused to give in to the illegal and malafide diktats of his political and bureaucratic higher ups. Mishra imbibed the values of hon- esty, probity and accountability and perseverance from the joint family he PHOTOS: RAVI BATRA

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 47 FIRST STIRRINGS prashanta kumar mishra was born in less than a year after India gained freedom from the British rule. He says, there were 50 members in his family in the village. For him, civil services was a natural choice for a career. After all, his grandfather Mahendra Mishra, father Kishore Chandra Mishra and elder brother RK Mishra were all civil servants in their own right. While grandfather was a Tehsildar in admin- istration of Athamallik (now part of Angul District in Odisha) kingdom, his father was the designated District Magistrate and Collector in the king’s administration and later coopted into Odisha Administrative Service (OAS) after Independence and made Deputy Collector. His elder brother joined the IAS in 1957 and later retired as Odisha Chief Secretary. Younger Mishra then was in class IV. Yet, when he entered Class XI, N a letter sent to him when he not smoke or drink tea—he would there were at least a couple of his was studying in school in Bolangir send a part of it to his father and family members (his mother and I(his brother was the District Collector also invested a part of it into a life sister-in-law) who wanted him to go there), his father gave him a free insurance policy. into the medical stream and be the hand to do what he felt like doing. Mishra learnt to withstand peer second doctor in the family. His uncle “He told me to get into a field I liked,” pressure within the LBSNAA itself. IC Mishra had earlier served as a doc- he remembers. “Once my colleagues in the academy tor in the army during World War II. His elder brother also stoked into almost forced me to consume liquor. However, his trembling hands while him the ambition of getting into reput- They only let me go after I threat- dissecting a frog in his biology class ed Ravenshaw College in Cuttack. ened to report it to the Director (of during school put paid to the hopes of “Bhaiya took me to the college to show the academy) and the Government of his mother and sister-in-law. me the then Prime Minister, Pandit India,” he says. His elder brother kind of groomed Jawaharlal Nehru, who had come His first posting as a probationer him to be a civil servant. “He asked for an Indian Science Congress,” he was in Gorakhpur. He reached me to read newspapers when I was in reminisces. His father, uncle and all the residence of the then District class VIII. By the time I got into 10+2, five brothers were educated in the Magistrate, PC Saxena, in a rickshaw he asked me to switch over to English prestigious college. He did his BA from the railway station. His poor newspaper The Statesman. Later, he (Honours) in Political Science from it. Hindi made him a butt of jokes here. asked me to read news magazines,” When he was in MA (Previous), After taking breakfast with him, Mishra (68) recollects. he got selected as IAS probationer Saxena asked him to be prepared His brother once asked him in Lal Bahadur Shastri National for a ‘daura’ (tour programme) next jokingly, “Tutu (his pet name at Academy of Administration (renamed morning. When he inquired what home), would you like to be a digni- from National Academy of Administ- daura was, Saxena countered him as fied clerk like me or a philosopher ration) on July 15, 1972. In those days, to how come despite being a Mishra like Bertrand Russel (British writer, his monthly remuneration stood at from UP he did not understand the critic and political activist)?” His `400. But, since he had no extrava- word. His struggle with elementary answer was, he would be both. gant habits—he was teetotaler, did Urdu made him commit a faux pas

gfiles inside the government 48 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com once. “Once when a person walked connect the place to Vindhyavasini amending the law. This resulted in his into my room, I told him ‘tasveer temple, a famous Hindu pilgrimage first abrupt transfer. Next, he devel- rakhiye’ instead of ‘tashreef rakhiye’ there. He also ensured that there oped differences with the minister (please sit),” he recalls. was no pilferage of silver from the in Panchayati Raj because the latter, His first posting as SDM (Sub- deity’s place. according to him, wanted to appoint Divisional Magistrate) was in Bah, In Agra (1983-1985), Mishra, along some people in contravention of con- a sub-division of Agra. In one week, with the SSP and the District Judge, stitutional mechanisms. This resulted he was supposed to be based in Agra who had worked with his IPS father- in his second sudden transfer. for six days. Since office rules did not in-law JN Awasthi, made sure that In 1995, he was appointed the CEO allow use of government jeep for trav- no Sikh was harmed in the aftermath of Noida Authority. A year later, the el from residence to office and vice of the assassination of the then then State governor (State was under versa, he would walk around 14 kms Prime Minister, Indira Gandhi, by her the President’s rule then) assigned every day. “I would walk 6-7 kms from Sikh bodyguards. him to conduct an inquiry into the officers’ Hostel near Taj Mahal to “For 15 days, we patrolled through discretionary allotment of certain the Collectorate and back,” he recalls. residential, commercial and religious plots. He ordered cancellation of 105 During his next posting, as Joint places for over 20 hours a day. Later, plots and was transferred out very Magistrate in Mahoba, he publicly the Sikhs felicitated me near Guru ka next day. In the next four years, he took on a State minister. The minister Taal in Sikandra town,” he recollects. says, the powers-that-be foisted a was upset with him as he was a hurdle He also recalls with moist eyes how a number of inquiries against him. He in his black-marketing business. “The eventually came out unscathed out of politician spoke against me in public Mishra imbibed the all investigations. in my presence. I countered him values of honesty, by asking people, ‘Ye hazrat black- probity and N July 1, 2007, he joined as marketing karte hain ki nahin? (Is the State Chief Secretary in accountability and this gentleman into black-marketing Othe Mayawati government. or not?” he remembers, attributing perseverance from the The first three months were good. his brashness to his immaturity. joint family he was born Then, he opposed grant of VRS Also in Mahoba, an octogenar- in less than a year after to Neera Yadav and sundry other ian woman once complained to him decisions of the regime. After nine about maltreatment by her son. The India gained freedom months, it became unbearable for son happened to be an employee of from the British rule him as the BSP supremo appointed his sub-division. He threatened to a Cabinet Secretary (late Shashank stop the salary of the delinquent man Sikh mother, whose son he had saved Sekhar Singh) to bypass him on to bring him around. during the tension, brought sweets to crucial decisions. In 1978, he was appointed District his office after the frenzy got over. On May 23, 2008, Mishra took Magistate of Pauri Garhwal. He had He got into first major dispute with VRS from the job over three months to trudge 20 kms to take charge as the the State political class in 1986 over before his retirement. For five years, way was blocked by landslides. In the holding an inquiry into a corruption till August 6, 2013, he served as a hilly district, he initiated farmers into case as Director (Information). For member of Union Public Service cultivating mushroom, apple and wal- next five years, he got to trot half of Commission. nut and provoked women to destroy the globe as a Director in Department Mishra lives in a modest house local clandestine distilleries. During of Youth and Sports at the Centre. in a Noida sector with his wife his posting there, he transferred Mishra returned to the State in 1991 Sarita and a daughter. None of his Amin, a BDO (Block Development as Commissioner (Sales Tax) and soon children—two daughters and a son— Officer) who would drink in office, to got into a confrontation with the top has chosen civil services as a career. Tehri. But after a short while he him- administration and ruling class. The His house seems to be a living example self got posted to Tehri. latter wanted to give concession to of his lifelong commitment to honesty In his next posting at Mirzapur new automobile units, which, accord- and probity. g (1980 to 1983), he got roads laid to ing to him, was not possible without As told to Narendra Kaushik

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 49 STOCK DOCTOR dr gs sood Happy times to continue

HE Union Budget 2017 can worthwhile provision on transfers investment at the cost of borrowings well be viewed as a positive likely to be made due to losses that by the government. The onus now lies Tbudget for the markets for two state governments will incur as a with the RBI to go in for early rate simple reasons. One, it intends to give result of shifting to the GST. However, cuts. The proposal to exempt FPIs immense boost to the economy by by keeping the fiscal deficit target at from indirect transfer provision and propping up the much needed rural, 3.2 per cent of GDP for FY2017-18, he allocating `10,000 crore for agriculture and infrastructure sectors seems to have kept enough room for recapitalisation of banks are other including giving a major boost to the such contingencies and at the same notable positives from the market housing sector by according small time has given a big push to the point of view. and affordable housing infrastructure spending so as to prop up demand So, happy times are likely to status. Two, as against the projections that was seen to be slackening post continue in the market. Investors made by most market pundits about demonetisation. should take a long-term view of the the budget not likely to meet market The FM has done a fine balancing market. Despite the market not expectations and most of the positives act by proposing an increase in capital looking cheap at the moment, there expected from the budget already expenditure outlay by 25.4 per cent are stocks that are still available at being discounted; it has turned out while reducing borrowing from `4.25 compelling valuations. If one can to be an anti climax. The market lakh crore to `3.48 lakh crore. The identify them, one can expect decent analysts forgot that there were huge move should provide a growth returns over a period of 2-3 years. The fears also built up from the budget impetus to the economy without sectors on the upthrust post the with regard to long-term capital gains triggering inflation and higher rates budget have become so obvious that being brought under the tax net or and will not crowd out private they need no mention. g at least the duration for its eligibility to be increased, dividend likely to Stock Shop be taxed in the hands of individuals BY RAKESH BHARDWAJ receiving the same, and so on. No In FY18, it is looking to launch projects such thing happened; rather, the Mahindra Lifespace in Chennai and Pune that will see its FM gave a very big relief to the real Developers (CMP ` 355) sales volumes improve further with total estate sector by reducing the period saleable area increasing four fold. The of eligibility for long-term capital gain HE real estate company of consolidated top line and bottom line tax on immovable property from three TMahindra group, Mahindra of the company is, therefore, expected years to two years as also by relaxing Lifespace Developers’ sales volume for to grow at a CAGR of 26.0 per cent deemed rental taxation for one year Q3 2017 more than doubled compared and 20.8 per cent to `1,311 crore and for builders holding stock in trade. to the trailing quarter of the year with `135.8 crore, respectively, in FY16- Though there were some net profit showing a jump of more than 18E. Currently, the stock is trading at disappointments on the personal 24 per cent QoQ despite the challenging an attractive valuation of less than its income tax front and the reduction in environment due to the demonetisation book value and PE of less than 11 as corporate tax rate not getting move of the government and the current against the industry PE of around 25. extended to most of the listed headwinds facing the realty sector. Going Given its strong parentage, focus on companies due to an imposition of a ahead, the management is planning to affordable housing and ramp up in its turnover limit up to `50 cr, but they launch phase II of Vivante project (CC recent project portfolio and anticipated did not dismantle the ongoing rally in and height approvals awaited), Saki pick-up in industrial clusters on the the market. The FM preferred to keep Naka project (BMC approval awaited), back of an economic revival, the stock indirect taxes untouched but was Palghar and Kandivali project in FY17. is a potential multibagger. conspicuous by not making any

The author has no exposure in the stock recommended in this column. gfiles does not accept responsibility for investment decisions by readers of this column. Investment-related queries may be sent to [email protected] with Bhardwaj’s name in the subject line.

gfiles inside the government 50 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com STOCK DOCTOR dr gs sood

The author has no exposure in the stock recommended in this column. gfiles does not accept responsibility for investment decisions by readers of this column. Investment-related queries may be sent to [email protected] with Bhardwaj’s name in the subject line.

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 51 SPOTLIGHT

President Pranab Mukherjee with the winners of the National Bravery Awards, 2016, at Rashtrapati Bhavan

CBI Director (designate) Alok Kumar Verma calling on Union Home Minister , in New Delhi

The Chief of Army Staff, General Bipin Rawat, calling on Prime Minister Narendra Modi in New Delhi

The Chief of the Air Staff, Air Chief Marshal BS Dhanoa, calls on Prime Minister Narendra Modi in New Delhi

President Pranab Mukherjee with the members of the Managing Committee of Press Club of India, at Rashtrapati Bhavan

gfiles inside the government 52 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com PHOTOS: PIB

President Pranab Mukherjee greets the Chief Justice of India, Justice JS Khehar, after administering the oath of office to him at a swearing-in ceremony at Rashtrapati Bhavan

The Minister of State for Development of North Eastern Region (I/C), Prime Minister’s Office, Personnel, Public Grievances & Pensions, Atomic Energy and Space, Dr Jitendra Singh, giving away a certificate at the prize distribution ceremony of the Department of Personnel and Training, in New Delhi. Secretary, DoPT, BP Sharma, and other senior officers are also seen

The three groups of the Secretaries present ideas on governance, science & technology, and energy & environment to Prime Minister Narendra Modi in New Delhi

The Union Minister for Consumer Affairs, Food and Public Distribution, , briefing the media on the issue of service charge, in New Delhi. The Secretary, Department of Consumer Affairs, Ministry of Consumer Affairs, Food and Public Distribution, Hem Kumar Pande, is also seen

Prime Minister Narendra Modi in the group photograph with the Global CEOs, at the Vibrant Gujarat Global Summit 2017, at Mahatma Mandir, in Gandhinagar, Gujarat. The Union Minister for Finance and Corporate Affairs, Arun Jaitley, and Gujarat Chief Minister Vijay Rupani are also seen

The Minister of State for AYUSH (Independent Charge), Shripad Yesso Naik, releasing the book at the inauguration of the International Conference on ‘Yoga for Diabetes’, in New Delhi. The Secretary of AYUSH, Ajit M Sharan, the President, VYASA and Chancellor, S-VYASA University, Dr HR Nagendra, and other dignitaries are also seen

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 53 PERSPECTIVE yoga sadhguru

UMAN beings have long attempted to tether, with all Hmanner of pacifist philoso- phies, their innate longing to become much more than what they are right now. People have decreed that one should be desire-less, be content with what one has or what God has given one. But such philosophies have only worked for the sick and the aged. When one doesn’t have the energy to sit up in bed, it feels sensible to say, “What I have is enough. I want noth- ing more.” The minute a little more energy courses through you, you are Expanding the once again ready for something more. No matter what you do, no matter what you become, you want to be boundaries something more. If that something more happens, you want something somebody else locked them up. Just you take in life only half a step, not a more. If that happens, again some- that loss of freedom. Many people full stride. The fear of suffering has thing more. That means that what you lock themselves inside their own crippled humanity, has constipated are really looking for is limitless homes. Whether this is done to you human consciousness so severely that expansion. Whether it’s money, love, from outside or you do it to yourself, human beings have become so much pleasure or knowledge – the currency human beings suffer in horrible ways. smaller than what they should have may vary from person to person – but The basis of your experience, what been. If you have the assurance that the common factor is “limitlessly differentiates what is you from what is your joy is not contingent upon exter- more”. This is the nature of our exist- not you, are sensations. We consider nal realities, that no matter what hap- ence: there is something within us whatever is within the boundaries of pens, you will be anyway joyful – then which is not willing to settle for any our sensation as “me”, and that which you will explore your full potential, kind of boundary. When this longing is outside this boundary as “not me”. and break all boundaries. finds a conscious expression, in the Suppose there is a glass of water. In Even though being joyful is the East we say it is yoga. Yoga means your experience, that water is not you. natural aspiration, for many human “union”. It is a way to experience your But the moment you drink it, it beings, joy is only a rare visitor in life beyond all boundaries. becomes you. All that happened was, their lives. People do not know how to Once, I visited the Coimbatore you included this water into the handle their thought and their Central Prison to do a yoga pro- boundaries of your sensation, and emotions. Being joyful is not going to gramme, and I thought this was a per- suddenly it’s you. Yoga is a means to happen simply because you wish it: fect place! A prison is far more organ- expand the boundary of your sensa- right things have to be done. This is ised than one’s home: food is dot on tion in such a way that you are able to true for one’s external situations and time, people open and close doors for experience the whole universe as a for one’s interiority as well. It is time you, and you have complete privacy part of yourself. In your experience, to handle the inner dimension in a – nobody will disturb you. Although everything has become one. logically correct and scientifically the prisoners’ lives within the prison To fulfill this human longing to verifiable way. The book Inner walls are physically so much better for expand limitlessly, it is most impor- Engineering: A Yogi’s Guide to Joy is many than what they knew outside, tant that joy is a constant companion a little step in that direction. g there is pain in the air. Not once would of your life. If you do not know how to Sadhguru, a yogi, is a visionary, humani- I come out without tears in my eyes. be joyful by your own nature, then the tarian and a prominent spiritual leader All that happened to their lives is that fear of suffering will make every step (www.ishafoundation.org)

gfiles inside the government 54 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com birthdays IAS officers’ birthdays Feb 16, 2017 — Mar 15, 2017 IAS officers’ birthdays Feb 16, 2017 — Mar 15, 2017

Archana Varma A Santosh Mathew Arti Ahuja Shahid Iqbal Choudhary 16-02-1970 22-02-1961 28-02-1964 05-03-1980 CADRE: ASSAM-MEGHALAYA CADRE: BIHAR CADRE: ODISHA CADRE: JAMMU & KASHMIR [email protected] [email protected] [email protected] [email protected]

Renu G Pillay Ashok Dongre Lalnunmawia Chuaungo Samir Kumar Biswas 16-02-1968 22-02-1960 01-03-1962 06-03-1962 CADRE: CHHATTISGARH CADRE: TAMIL NADU CADRE: GUJARAT CADRE: MAHARASHTRA [email protected] [email protected] [email protected] [email protected]

P Lalchhuanga Arun T Raj Kumar S Natarajan 17-02-1958 23-02-1984 01-03-1978 06-03-1964 CADRE: UNION TERRITORY CADRE: UNION TERRITORY CADRE: BIHAR CADRE: TAMIL NADU [email protected] [email protected] [email protected] [email protected]

V Lalrenthanga Mukesh Khullar Zothankhuma Nidhi Pandey 18-02-1958 23-02-1959 01-03-1958 08-03-1975 CADRE: UNION TERRITORY CADRE: MAHARASHTRA CADRE: UNION TERRITORY CADRE: MAHARASHTRA [email protected] [email protected] [email protected] [email protected]

Pushpendra Rajput Nandini Paliwal Teeka Ram Meena BR Dave 18-02-1976 24-02-1979 01-03-1962 09-03-1964 CADRE: HIMACHAL PRADESH CADRE: UNION TERRITORY CADRE: KERALA CADRE: GUJRAT [email protected] [email protected] [email protected] [email protected]

Mir Mohammed Ali Vinit Nandanwar Manoj Joshi Kirpa Shankar Saroj 19-02-1987 24-02-1984 01-03-1961 10-03-1963 CADRE: KERALA CADRE: CHHATTISGARH CADRE: KERALA CADRE: PUNJAB [email protected] [email protected] [email protected] [email protected]

Rajeev Kumar Pradeep Kasni Lalthangpuia Sailo MV Savithri 19-02-1960 25-02-1958 01-03-1960 10-03-1958 CADRE: JHARKHAND CADRE: HARYANA CADRE: UNION TERRITORY CADRE: BIHAR [email protected] [email protected] [email protected] [email protected]

Kelei Zeliang Letkhogin Haokip Ramesh Ch. Jain ICP Keshari 20-02-1960 25-02-1963 01-03-1958 11-03-1962 CADRE: NAGALAND CADRE: MANIPUR CADRE: ASSAM-MEGHALAYA CADRE: MADHYA PRADESH [email protected] [email protected] [email protected] [email protected]

Kunj Bihari Gupta Sanjay Jaju Chachal Kumar Tewari Yeshi T Sering 20-02-1958 26-02-1969 01-03-1959 13-03-1959 CADRE: RAJASTHAN CADRE: TELANGANA CADRE: UTTARAKHAND CADRE: ASSAM-MEGHALAYA [email protected] [email protected] [email protected] [email protected]

Danish Ashraf Nikhilesh Jha Laima Chozah Mohammad Tayyab 21-02-1966 26-02-1958 01-03-19759 14-03-1978 CADRE: UNION TERRITORY CADRE: MAHARASHTRA CADRE: WEST BENGAL CADRE: PUNJAB [email protected] [email protected] [email protected] m.tayyab @ias.nic.in

Rajesh Sharma Sarmad Hafeez Debendra Mohapatra Anil Shrivastava 21-02-1987 27-02-1967 02-03-1959 15-03-1959 CADRE: HIMACHAL PRASESH CADRE: JAMMU & KASHMIR CADRE: ODISHA CADRE: MADHYA PRADESH [email protected] [email protected] [email protected] [email protected]

Rajendra Singh Prasanna Ramaswamy G Pankaj Kumar Bansal Sibin C 21-02-1960 27-02-1987 03-03-1970 15-03-1977 CADRE: MADHYA PRADESH CADRE: JAMMU & KASHMIR CADRE: TAMIL NADU CADRE: PUNJAB [email protected] [email protected] [email protected] [email protected]

Bandana Preyashi Sanjay Kumar Singh Narinder Chauhan 21-02-1974 28-02-1977 04-03-1958 CADRE: BIHAR CADRE: BIHAR CADRE: HIMACHAL PRADESH [email protected] [email protected] [email protected]

For the complete list, see www.gfilesindia.com

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 55 birthdays IPS officers’ birthdays Feb 16, 2017 — Mar 15, 2017 IPS officers’ birthdays Feb 16, 2017 — Mar 15, 2017

A Sema Rajan AP Maheshwari Upendra S Baghel Sidharth Chattopadhaya 16-02-1963 24-02-1961 02-03-1965 09-03-1962 CADRE: BIHAR CADRE: UTTAR PRADESH CADRE: KARNATAKA CADRE: PUNJAB [email protected] [email protected] [email protected] [email protected]

Gangeswar Singh Adarsh Katiyar Brajesh Kumar Jha YB Khurania 16-02-1962 24-02-1968 03-03-1973 09-03-1966 CADRE: WEST BENGAL CADRE: MADHYA PRADESH CADRE: GUJARAT CADRE: ODISHA [email protected] [email protected] [email protected] [email protected]

Manvinder Singh Bhatia Rajendra Pal Singh Virendra Kumar Amar Kanti Sarkar 17-02-1969 25-02-1963 04-03-1960 10-03-1956 CADRE: JHARKHAND CADRE: UTTAR PRADESH CADRE: UTTAR PRADESH CADRE: WEST BENGAL [email protected] [email protected] [email protected] [email protected]

Krishna Kumar VK Pravin B Gondia Sanjay Kumar Pandey Sudhakar Jauhari 17-02-1975 25-02-1960 04-03-1963 10-03-1957 CADRE: UTTARAKHAND CADRE: GUJARAT CADRE: MAHARASHTRA CADRE: RAJASTHAN [email protected] [email protected] [email protected] [email protected]

Immanuel K Muivah K Durga Prasad S Nallasivam Saiyed Mohd Afzal 18-02-1970 26-02-1957 04-03-1956 11-03-1964 CADRE: MANIPUR-TRIPURA CADRE: ANDHRA PRADESH CADRE: TAMIL NADU CADRE: MADHYA PRADESH [email protected] [email protected] [email protected] [email protected]

Debasish Roy R Samuthirapandi Jaswant Sampatram Sachi Ghildyal 19-02-1966 26-02-1961 05-03-1957 12-03-1977 CADRE: WEST BENGAL CADRE: TAMIL NADU CADRE: RAJASTHAN CADRE: UTTAR PRADESH [email protected] [email protected] [email protected] [email protected]

Yoginder Kaul Vijay Katariya Ganesh Kumar Susmit Biswas 19-02-1957 27-02-1965 05-03-1977 13-03-1969 CADRE: JAMMU & KASHMIR CADRE: MADHYA PRADESH CADRE: BIHAR CADRE: RAJASTHAN [email protected] [email protected] [email protected] [email protected]

JR Mothaliya Sanjiv Kumar Kalra Ajay Kashyap Bhavana Saxena 20-02-1965 28-02-1966 06-03-1960 13-03-1972 CADRE: GUJARAT CADRE: PUNJAB CADRE: AGMUT CADRE: ANDHRA PRADESH [email protected] [email protected] [email protected] [email protected]

Bhim Sain Bassi Ramesh Chandra Singh Aloka Prabhakar Mohd Faiyaz Farooqui 20-02-1956 01-03-1963 06-03-1960 14-03-1967 CADRE: AGMUT CADRE: PUNJAB CADRE: ANDHRA PRADESH CADRE: PUNJAB [email protected] [email protected] [email protected] [email protected]

Arun Kumar Oraon K Vaiphei KN Tiwari Vivek Kishore 21-02-1962 01-03-1963 07-03-1960 14-03-1969 CADRE: PUNJAB CADRE: MADHYA PRADESH CADRE: MADHYA PRADESH CADRE: AGMUT [email protected] [email protected] [email protected] [email protected]

Rekha Lohani Zorammawia Abhash Kumar Rupin Sharma 22-02-1973 01-03-1958 07-03-1965 15-03-1967 CADRE: ODISHA CADRE: AGMUT CADRE: TAMIL NADU CADRE: NAGALAND [email protected] [email protected] [email protected] [email protected]

Amit Lodha Umesh Kumar Shikha Goel Ram Kumar 22-02-1974 01-03-1968 07-03-1969 15-03-1969 CADRE: BIHAR CADRE: KARNATAKA CADRE: ANDHRA PRADESH CADRE: UTTAR PRADESH [email protected] [email protected] [email protected] [email protected]

Amit Chandra Sunil Kumar Nihil Jayaprakash Gupta Rajesh Kumar 23-02-1968 02-03-1961 08-03-1971 15-03-1971 CADRE: UTTAR PRADESH CADRE: TAMIL NADU CADRE: MAHARASHTRA CADRE: ODISHA [email protected] [email protected] [email protected] [email protected]

For the complete list, see www.gfilesindia.com

gfiles inside the government 56 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com Lok Sabha Members Feb 16, 2017 — Mar 15, 2017 Lok Sabha Members Feb 16, 2017 — Mar 15, 2017

Shrirang Appa Barne Virendra Kumar RP Marutharajaa Rajesh Kumar Diwakar 16-02-1964 27-02-1954 07-03-1963 12-03-1971 SS (Maharashtra) BJP (Madhya Pradesh) AIADMK (Tamil Nadu) BJP (Uttar Pradesh) [email protected] [email protected] [email protected] [email protected]

Pratima Mondal CR Chaudhary Sadhu Singh Feroze Varun Gandhi 16-02-1966 01-03-1948 09-03-1941 13-03-1980 AITC (West Bengal) BJP (Rajasthan) AAP (Punjab) BJP (Uttar Pradesh) [email protected] [email protected] [email protected] [email protected]

Liladharbhai Khodaji Vaghela Ramen Deka Shashi Tharoor M Vasanthi 17-02-1935 01-03-1954 09-03-1956 14-03-1962 BJP (Gujarat) BJP (Assam) INC (Kerala) AIADMK (Tamil Nadu) [email protected] [email protected] [email protected] [email protected]

Gopalakrishnan Chinnaraj Yashwant Singh Amarinder Singh Rajveer Singh 17-02-1962 01-03-1962 11-03-1942 15-03-1959 AIADMK (Tamil Nadu) BJP (Uttar Pradesh) INC (Punjab) BJP (Uttar Pradesh) [email protected] [email protected] [email protected] mpetarajvirsinghrajubhaiya@gmail.

Pritam Gopinath Munde Kirti Vardhan Singh 17-02-1983 01-03-1966 Rajya Sabha Members Feb 16, 2017 — Mar 15, 2017 BJP (Maharashtra) BJP (Uttar Pradesh) [email protected] [email protected] Praful Patel Ram Nath Thakur 17-02-1957 03-03-1950 Vinod Kumar Sonkar Biren Singh Engti NCP (Maharashtra) JDU (Bihar) 18-02-1970 02-03-1945 [email protected] [email protected] BJP (Uttar Pradesh) INC (Assam) [email protected] [email protected] Abhishek Manu Singhvi Ram Kumar Kashyap 24-02-1959 06-03-1951 Sirajuddin Ajmal Nagendra Singh INC (Rajasthan) INLD (Haryana) 21-02-1958 03-03-1943 [email protected] [email protected] AIUDF (Assam) BJP (Madhya Pradesh) [email protected] [email protected] N Gokulakrishnan Ghulam Nabi Azad 25-02-1954 07-03-1949 Vishnu Deo Sai Birendra Kumar Chaudhary AIADMK (Puducherry) INC (Jammu & Kashmir) 21-02-1964 04-03-1953 [email protected] [email protected] BJP (Chhattisgarh) BJP (Bihar) [email protected] [email protected] Ram Vichar Netam Joy Abraham 01-03-1961 07-03-1951 Prakash Babanna Hukkeri BJP (Chhattisgarh) KCM (Kerala) 22-02-1967 05-03-1947 [email protected] [email protected] BJP (Uttar Pradesh) INC (Karnataka) [email protected] [email protected] Fayaz, Mir Mohammad Ranvijay Singh Judev 01-03-1977 07-03-1969 JC Divakar Reddy Dharambir Singh PDP (Jammu & Kashmir) BJP (Chhattisgarh) 23-02-1944 05-03-1955 [email protected] [email protected] TDP (Andhra Pradesh) BJP (Haryana) [email protected] [email protected] MC Mary Karan Singh 01-03-1983 09-03-1931 Udayanraje P Bhonsle Kapil Moreshwar Patil Nominated INC (NCR) 24-02-1966 05-03-1961 [email protected] [email protected] NCP (Maharashtra) BJP (Maharashtra) [email protected] [email protected] Bhalchandra Mungekar Derek O Brien 02-03-1946 13-03-1961 Konda Vishweshwar Reddy Vinod Chavda INC (Nominated) AITC (West Bengal) 26-02-1960 06-03-1979 [email protected] [email protected] TRS (Telangana) BJP (Gujarat) [email protected] [email protected] SEND YOUR GREETINGS… BS Yeddyurappa KH Muniyappa Want to wish someone best of luck for an important assignment 27-02-1943 07-03-1948 or send a bouquet to an official or MP on his/her birthday, BJP (Karnataka) INC (Karnataka) anniversary or promotion? gfiles will do it for you. The service is [email protected] [email protected] available only in Delhi. Contact us at [email protected] *Conditions apply For the complete list, see www.gfilesindia.com

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 57 Tracking For a complete list of appointments & retirements, see www.gfilesindia.com

SHASHI KANT SHARMA The 1976-batch IAS officer of the Bihar NEW JOINT SECRETARIES cadre, currently CAG, India, has been appointed Chairman, UN Board of Auditors. AJAY TIRKEY RABINDRA KUMAR KARNA The 1987-batch IAS officer of the The 1991-batch IDAS officer has been SARATH CHAND Madhya Pradesh cadre has been appointed Additional FA and Joint The Lt General has taken over as Vice Chief appointed Joint Secretary, Department Secretary, Ministry of Defence (Finance). of Army Staff (VCOAS). He was CO, South of School Education & Literacy. Western Command. V RADHA PRADIP KUMAR TRIPATHI The 1994-batch IAS officer of the RK DUTTA The 1987-batch IAS officer of the Maharashtra cadre has been appointed The 1981-batch IPS officer of the Karnataka Jammu & Kashmir cadre has been Joint Secretary, Ministry of Drinking cadre has been appointed DGP of appointed Joint Secretary, Department Water & Sanitation. Karnataka. of Personnel & Training (DoPT). RAJNEESH VINEET CHAWDHRY SANJAY KUMAR RAKESH The 1997-batch IAS officer of the The 1982-batch IAS officer of the Himachal The 1990-batch IAS officer of Tripura Himachal Pradesh cadre has been Pradesh cadre has been appointed cadre has been appointed Joint appointed Joint Secretary, Department Principal Advisor, Redressal of Public Secretary, Ministry of Electronics & of Commerce, Ministry of Commerce & Grievances, in Himachal Pradesh. Information Technology. Industry.

UN BEHERA The 1983-batch IAS officer of the Odisha Officer on Special Duty in the Ministry of appointed Additional Secretary & cadre has taken over as Chairman, Odisha Skill Development & Entrepreneurship, Financial Adviser, , Electricity Regularity Commission (OERC). Government of India. Government of India.

KP KRISHNAN SARASWATI PRASAD RAMESH BABU The 1983-batch IAS officer of the The 1985-batch IAS officer of the The 1985-batch IAS officer of the Andhra Karnataka cadre has been appointed Assam-Meghalaya cadre has been Pradesh cadre has taken charge as Chairman & Managing Director, Rural Electrification Corporation of India Limited Moving On: IAS officers retiring in February 2017 (RECL), New Delhi.

ASSAM-MEGHALYA PUNJAB AMULYA PATANAIK Vinay Sheel Oberoi (1979) Jagpal Singh (1983) The 1985-batch IPS officer of the AGMUT Shyam Lal Mewara (1984) Sukhjit Singh Bains (2001) cadre has been appointed Commissioner Klasster W Marbaniang (2002) RAJASTHAN of Police, Delhi. GUJARAT Vinod Zutshi (1982) Prem Kumar Taneja (1984) RAJGOPAL NAIDU TELENGANA The 1986-batch IAS officer of the Madhya HARYANA Mukkamala G Gopal (1983) Pradesh cadre has been promoted to the Subash Chandra (1995) Vinod Kumar Agrawal (1983) grade of Additional Chief Secretary and JHARKHAND TAMILNADU posted as ACS, Labour Department in Pradeep Kumar Jajoria (1984) Shaktikanta Das (1980) Madhya Pradesh. JAMMU & KASHMIR UTTRAKHAND SATBIR BEDI Tsering Angchok (2002) Darban Singh Garbiyal (1997) The 1986-batch IAS officer of the AGMUT cadre has been appointed KERLA UTTAR PRADESH Member Secretary, National Commission V J Kurian (1983) Balvender Kumar (1981) for Women (NCW), Ministry of Women & Rakesh Kumar (2001) Child Development, Government of India. KARNATAKA Narendra Km S Chouhan (2002) Bharat Lal Meena (1985) WEST BENGAL SANTOSH A MATHEW MAHARASHTRA Khalendra Mochhary (1999) The 1985-batch IAS officer of the Bihar M B Gaikawad (1996) cadre has been appointed Chairperson, MANIPUR National Council for Teacher Education (NCTE). Jason Shimray (2001)

gfiles inside the government 58 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com AK JAIN The 1986-batch IAS officer of the Madhya RESHUFFLE OF IAS OFFICERS IN JHARKHAND Pradesh cadre has been appointed DINESH CHANDRA MISHRA has been appointed Divisional Commissioner of Santhal Additional Secretary, NITI Aayog. Pargana with additional charge of North Chotanagpur divisional commissioner; ABU BAKR SIDDIQUI gets additional charge of industry; VIRENDRA BHUSHAN is now ATUL CHATURVEDI Panchayati Raj Director; ARVIND KUMAR has been appointed Vice-Chairman of The 1986-batch IAS officer of the Assam- Ranchi Regional Area Development Authority; CHHAVI RANJAN is Social Welfare Meghalaya cadre has been appointed Director; ASHISH SINGHMAR gets additional charge of Urban Administration; Additional Secretary, Department of K RAVIKUMAR gets additional charge of Jharkhand Infrastructure Development Industrial Policy and Promotion (DIPP), Authority as its MD; ADITYA KUMAR ANAND is Koderma Deputy Development Government of India. Commissioner; JEESHAN KAMAR is Chatra Deputy Development Commissioner; SHASHI RANJAN is Dumka Deputy Development Commissioner; AKANSHA RANJAN UMANG NARULA is Seraikela-Kharsawan Deputy Development Commissioner; SURAJ KUMAR will The 1989-batch IAS officer of the Jammu remain in Jamshedpur as East Singhbhum Deputy Development Commissioner, and & Kashmir cadre, currently Chairman KIRAN PASI is Giridih Deputy Development Commissioner. & Managing Director, Indian Tourism Development Corporation, has been repatriated to his parent cadre. RESHUFFLE OF IAS OFFICERS IN ANDHRA PRADESH NEERABH KUMAR PRASAD has been appointed Principal Secretary, Labour, SHRIKANT WALGAD Employment, Training & Factories Department; G ANANTAHA RAMU is Principal The 1991-batch IAS officer of the Haryana Secretary to Government, Environment, Forest, Science & Technology Department; cadre has been appointed Commissioner, SUMITA DAWRA is Principal Secretary, Transport, Roads and Buildings Department; Ambala Division in Haryana. and ADITYA NATH DAS is Principal Secretary, Higher Education and School Education Department. VK MANTRI The 2007-batch IAS officer of the Assam- Meghalaya cadre has been appointed RESHUFFLE OF IPS OFFICERS SANJIV RANJAN Deputy Secretary in the Prime Minister’s IN KERALA The 1993-batch IFS officer has been Office under the Central Staffing Scheme. BS MUHAMMED YASEEN has been concurrently accredited as Ambassador appointed ADGP, Intelligence; R of India to the Oriental Republic of AISHVARYA SINGH SREELEKHA has been appointed Uruguay. The 2008-batch IAS officer of the Sikkim ADGP, Prisons; RAJESH DIWAN cadre has been appointed Under Secretary is ADGP, North Zone; TOMIN J AMIT MEHROTRA in the Prime Minister’s Office under the THACHANKARY is ADGP, Coastal The 1993-batch Indian Railway Service Central Staffing Scheme. Security; NITIN AGARWAL is Crime of Electrical Engineers (IRSSE) officer Branch chief; P VIJAYAN is IG, has been appointed Director, Ministry of HARDIK SATISHCHANDRA SHAH Ernakulam; S SREEJITH and MAHIPAL Power, Government of India The 2010-batch IAS officer of the YADAV as IGs, Crime Branch; BALRAM Gujarat cadre has been appointed KUMAR UPADHAYAY is Chief, Kerala GOPINATHA Private Secretary to , Police Housing and Construction The 1994-batch IFS officer has been Minister of State for Environment, Forest Corporation; and ANIL KANTH is ADGP, transferred and posted as CCF/Chief and Climate Change. Police Headquarters. General Manager, AP Forest Development Corporation, Andhra Pradesh. He will AUSAF SAYEED also continue to hold the additional The 1989-batch IFS officer has been and Planning), National Disaster charge of the post of Chief Conservator of appointed the next High Commissioner Management Authority (NDMA) under Forests (Production). of India to the Republic of Seychelles. the Ministry of Home Affairs. BS YADAV NEERAJ MEHROTRA VIVEK GOGIA The 1997-batch IFS officer has been The 1990-batch Indian Defence Service The 1991-batch IPS officer of the concurrently accredited as the High of Engineers (IDSE) officer has been Union Territory cadre has been moved Commissioner of India to the Republic of appointed Director, Department of to Goa as IG. Sierra Leone. Telecommunications, Government of India. RK KARNA L SAVITHRI The 1991-batch IDAS officer has The Director in the Ministry has been THIRUPPUGAZH been appointed Additional FA & appointed as the next Ambassador of The 1991-batch IAS officer of the Gujarat Joint Secretary, Ministry of Defence India to the Kyrgyz Republic. cadre has been appointed Advisor (Policy (Finance).

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 59 Tracking For a complete list of appointments & retirements, see www.gfilesindia.com

RAVI SHANKAR The 1995-batch IFS officer has been APPOINTMENTS IN ALLAHABAD HIGH COURTS concurrently accredited as the Ambassador The following Judges have been appointed to Allahabad High Court: ABHAI KUMAR, of India to the Republic of Burundi. ALOK KUMAR MUKHERJEE, ANIL KUMAR SRIVASTAVA-II, RAVINDRA NATH KAKKAR-II, DR. VIJAY LAXMI, UMESH CHANDRA SRIVASTAVA, RAVINDRA NATH ANAND MOHAN MISHRA-II, PRABHAT CHANDRA TRIPATHI and VINOD KUMAR SRIVASTAVA-III. The 1996-batch IFS officer of the Rajasthan cadre has been appointed Chief Vigilance The following Additional Judges have been appointed to Allahabad High Court: Officer, Bureau of Indian Standards (BIS), MUKHTAR AHMED, AMAR SINGH CHAUHAN, SHAMSHER BAHADUR SINGH, Delhi at the level of Director. VINOD KUMAR MISRA, PRAMOD KUMAR SRIVASTAVA, RAGHUVENDRA KUMAR AND PRATYUSH KUMAR. SUDHIR KUMAR RAI The 1996-batch Indian Telecommunications Service (ITS) officer has been appointed RESHUFFLE OF IAS OFFICERS IN DELHI Director, Ministry of Home Affairs, CHANDRAKER BHARTI has been appointed Secretary, Environment & Forest; Government of India. V ABRAHAM has been given additional charge of Secretary, Languages and also Secretary, Sahitya Kala Parishad; MADHUP VYAS has been posted as Secretary, BISHWADIP DEY Health & Family Welfare; AKASH MOHAPATRA is Special Commissioner, Trade The 2001-batch IFS officer has been and Taxes; NK SHARMA is Special Secretary, Urban Development; PR MEENA is concurrently accredited as the High Special Secretary, PWD; GARIMA GUPTA is Director, Higher Education-cum-Special Commissioner of India to Grenada. Secretary, Education; JP AGRAWAL is Special Commissioner, Development; SK BHANDARI is Additional Commissioner, North DMC; JUHI MUKHERJEE is CEO, NALIN KUMAR SRIVASTAVA NDMC Smart City Limited and also Deputy Commissioner, Revenue; MUKESH The 2001-batch ICAS officer, posted as PRASAD is Special Secretary, Power; SHIV KUMAR is Deputy Commissioner (West), Director, Ministry of Petroleum & Natural Revenue; SACHIN SHINDE is Additional Secretary, Health & Family Welfare; and Gas, has been appointed Resident Auditor, ISHA KHOSLA has been posted as Joint Secretary, Finance. office of Internal Oversight Services, El Fasher, Sudan. VARUN BHARDWAJ to the Democratic Republic of Congo, PV MARUTI The IIS officer has been appointed has been concurrently accredited as The 2004-batch IAS officer of the Tamil Nadu Registrar, Films & Television Institute of the Ambassador of India to the Central cadre has been appointed Private Secretary India ( FTII). African Republic (CAR), with residence in to , Minister for Railways. Kinshasa (Democratic Republic of Congo). TK KAUSHAL ARVIND SARAN The Justice has been appointed SRK VIDYARTHI The 2005-batch IRS-IT officer has been Judicial Member in the National Green The 2002-batch Indian Ordinance appointed Deputy Secretary, Department of Tribunal (NGT). Factories Service (IOFS) officer has been Revenue, Government of India. appointed Director in the Ministry of NAGIN NANDA Ayush, Delhi under the Central Staffing STEEPHEN L The Additional PCCF has been appointed Scheme. The 2007-batch IRS-IT officer has been Expert Member in the National Green appointed Deputy Secretary, Department of Tribunal (NGT). RISHPAL BEDI Commerce, Government of India. The IRS-IT officer has been relieved to VENKATA RAJA join as Deputy Secretary (Inv.II), CBDT, NARAYAN GAMBHIR The 2013-batch IAS officer of the Karnataka Department of Revenue, on deputation. He has been appointed Officer on Special cadre has been appointed Chief Executive Duty (OSD) to , Minister for Officer, Zilla Panchayat, Koppal District in VIPIN KUMAR SAXENA Chemicals & Fertilizers. Karnataka. The RAdm has been appointed as Chairman-cum-Managing Director, Garden ROHIT BHARDWAJ VIPUL BANSAL Reach Shipbuilders & Engineers Limited The 1998-batch Indian Statistical Services The 2005-batch IAS officer of the (GRSE), Kolkata. The Appointments (ISS) officer has been appointed Director, Karnataka cadre has been appointed Committee of Cabinet (ACC) has approved NATGRID, Ministry of Home Affairs, Delhi. Private Secretary to , his appointment to the post. Minister of State for Commerce and RAJEEV KUMAR Industry. VIRENDRA SINGH RAWAT The 2000-batch Indian Ordinance Factory The officer of Madhya Pradesh State Service (IOFS) officer has been appointed ASHOK WARRIER Civil Service has been awarded Indian Director, Ministry of Home Affairs, Delhi. The officer, currently Ambassador of India Administrative Service (IAS) cadre.

gfiles inside the government 60 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com ...by the way

Perform or perish Awry timing vents of the last few days Eonly confirm that civil ormer Reserve Bank of India Governor Raghuram servants, even senior ones, FRajan’s first response to demonetisation was: “I am can be shown the door at not quite sure if what you meant is demonetise the old any time. K Narasimha, a notes and introduce new notes instead. In the past senior IAS officer of demonetisation has been thought off as a way of getting Arunachal Pradesh, Goa, black money out of circulation. Because people then have Mizoram and Union Territories to come and say ‘how do I have this ten crores in cash (AGMUT) cadre, was recently toldold sitting in my safe’ and they have to explain where they got to pack his bags, citing non- the money from. It is often cited as a solution. performance. This came just a day after Unfortunately, my sense is the clever find ways around the government decided to sack two senior IPS it.” Rajan’s response was well thought out. Sources officers—Rajkumar Dewangan of the Chhattisgarh disclosed that Rajan did not agree with the idea of cadre and Mayanksheel Chauhan of AGMUT cadre— demonetisation even while serving as governor. And it is after a departmental review. The NDA government one of the reasons why Rajan had to go. But this is not had issued a notification in 2016, saying that it will news. The news is when did the printing of the new assess the “performance of officers who have currency start. Twenty-onewenty-one billion notes needed completed 30 years of services” in a departmental to be replaced, andnd the review. “Non-performing officers will be given combined capacitiesities compulsory retirement,” the government had said. of the two major Soon, the Centre had begun to take strict action printing press against “defaulting and non-performing revenue entities (one officials”. The news broke about the premature operated by the retirement of as many as 33 revenue officers, RBI, and one including seven from the coveted Indian Revenue under the Service, and also the dismissal of 72 others, including supervision of six from Group A service. It’s possibly for the first the Ministry of time that marching orders were given to such a large Finance) is aroundnd number of officers, that too in one go. What’s quite three billion noteses per month, and significant is that commissioner-ranked Income Tax that too with an increasedincreased number ofof officers also figured in the list of 33 who are “retired working shifts. TheThe bottom line — it would prematurely”. Earlier in January 2016, 11 Indian have taken six-to-seven months for the printing Revenue Service (Customs and Excise) officers were to be complete; to supply around Rs 9 lakh in new sent packing, as they were absent from office without currency notes. Narendra Modi had a roadmap in his authorisation for more than five years. Sources mind when he announced the Jan Dhan Yojana and the disclosed that the government is in the mood to take Voluntary Disclosure of Black Money Scheme. Currency more stringent action against erring officers. It is printing could have started the moment the VDBM was learnt that North Block has prepared a list of 110 civil announced but the bottleneck was Rajan. In the given servants, who may get the marching orders any time. scenario, Rajan had to be removed, and on August 20, Meanwhile, the discussion point among the senior 2016, Urjit Patel was brought in as the new governor. The civil servants is that while sacking due to non- printing began immediately with the signatures of Urjit performance can be justified, where is the reward for Patel on the order but it was too late and the demand and those who perform extraordinarily. g supply gap was too high. The rest we know. g

gfiles inside the government www.indianbuzz.com KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF RPJ¿OHVPDJD]LQH vol. 10, issue 11 | February 2017 61 ...by the way

New CEO for Prasar Bharati

rasar Bharati, it appears, has turned into a Pdumping ground of all those who cannot be rehabilitated anywhere else. Shashi Vempaty was involved in the 272+ campaign for Narendra Modi and that is what made him a part-time Member of the Prasar Bharati Board first. No one has seen him contributing an iota till date and the nosedive the Prasar Bharati Board witnessed since its new look takes away all hopes. One learns that his taking over as the new CEO has the stamp of Keshav Kunj that seals every other notion. A reason cited for Vempaty’s induction is the failure of the Chairman in creating a strong public broadcaster as desired Gokhale still in the running by the Government. Mediadia professionals are now he extension for Foreign Secretary S Jaishankar questioning the Tends hopes for two senior-most IFS officers but government’s Vijay Gokhale is still a contender to be the next commitment to Prasar foreign secretary. The Centre’s recent decision to give Bharati. The present a one year-extension to Jaishankar, a 1977 batch IFS Chairman with his officer, beyond his two-year-long fixed term has limited understanding off raised many eyebrows. He was appointed in a not-so- the medium was found smooth change of guard two years ago by curtailing wanting on many issues. The the tenure of the then foreign secretary Sujatha Singh. way he sunk DD Kisan and allegedly drained public But this extension means, diplomats such as Anil funds calls for serious investigation. Questions have Wadhwa of 1979 batch and Sujata Mehta of 1980 already been raised on his abilities for launching a batch will not get a chance now to be the Foreign new channel for the North East. The entire Board led Secretary. There were speculations that India’s by the Chairman are responsible for experimenting Ambassador to China and 1981 batch IFS Vijay with public money. Furthermore, both the outgoing Gokhale would be brought in to replace Jaishankar, CEO and the Chairman have conducted official tours which would have meant Gokhale superseding a on frivolous grounds wasting lakhs of rupees while at number of his seniors in the Foreign Service. Gokhale, the same time refusing to pay annual honorarium to who was the High Commissioner to Malaysia and the staff members who continue to perform in such Ambassador to Germany before moving to China as directionless circumstances citing financial crunch. India’s envoy, will retire only in January 2019, and More recently, the Board carried the entire hence, he is still a contender to be the foreign service’s management to Hyderabad for a dance recital by ABU top job unless the government decides to further despite the financial crunch. No wonder, one hears of amend the rules and gives yet another one-year- many RTIs getting prepared and fresh legal battles extension to Jaishankar beyond January 2018. g seeking a refund of all frivolous expenditure. g

gfiles inside the government 62 vol. 10, issue 11 | February 2017 KWWSVWZLWWHUFRPJ¿OHVPDJD]LQH KWWSVZZZIDFHERRNF  RPJ¿OHVPDJD]LQH www.gfilesindia.com 63 Regn.No.DL(C)-14/1161/2016-2018 Licence No. U(C)-03/2016-17, Licence to post without prepayment Posted on 7th & 8th of every month at SPM SRT Nagar, Post Office, New Delhi 110055 R.N.I. No: DELENG/2007/19719. `200, vol. 10, issue 11 | Date of Publication: 5/02/2017 | Pages 64

To register, log on to www.momentumjharkhand.com or Connect 0651 2240 040/6556 666.

Building a better working world

64