e-Nagar

Reliance cont:
The irregularities I mentioned in the earlier post were:

1) The split decision was taken without taking the 4 important stake holders into confidence: the regulators, the creditors, the investors and the employees.

2) The FM, SEBI, DCA all sat over the various controversies that came into light for more than 7 months and in the end gave a clean chit to the Ambani bros.

3) For India to be a Super-Power, we need dozens of mega conglomerates who have the scale, the size, market influence and purchasing power of any International capacity. Splitting the industrial houses after every generation (happened for Birla too) is doing the reverse.

4) Indian companies esp. the multi billion dollar ones should be professionally managed by a competent board of directors and not bow at the whims and fancies of the individual promoters.

5) There should be lot many professionally managed companies. The only notable one in India was L&T (it also faced 2 hostile takeover attempts and in the second one lost its entire cement division) It is observed that most of the family run business fail be remain attractive by the end of the second generation and the third generation actually sees the downfall. In comparison most of the professional driven well diversified enterprises last longer and generate better returns in the long run.

6) BJP, had it had overcome the internal fighting and interventions from the RSS, could have gained a lot of mileage from the way FM’s statements of giving a clean chit. Alas, the top leadership is senile and the second generation is not just ready.

7) Transparency is the only solution for good corporate governance. Each shareholder has a right to know where his/her money goes and what the roadmap of the company is. Unless the board is made stronger, answerable and filled with some independent directors more and more shareholders wealth will get eroded. Most of the times these predation come to the limelight during the troubled times and often it is too late, and the common investor is left with some bits of paper and a shattered confidence.

What was shocking is that Reliance was considered among the best managed Indian corporate which delivered fantastic returns year after year.

During my visit to the region last year, I noted down a few observations which I thought will be important for the development of the NE.

1) Infrastructure: Currently most of the infrastructural spending esp. for roads and communication lines is dictated by the defense forces. For any state to develop, basic facilities should be there.
2) India should understand that the region is more geographically connected with the neighbors than the main-land and open road and rail links. Before independence the passes and road links were well connected. There were border markets. (Markets at the LOC where small traders of both countries can freely cross and buy/sell goods.) But with the deteriorating international relations these channels of commerce were closed and it was logistically expensive to transport the goods to Calcutta/ Silligudi (the two nearest markets).
3) There has to be a shift from raw materials to manufacturing units and help the economy to move up the value chain.
4) It’s ironical that most of the time we discuss about the hydro electric potential of the region, but most villages do not have micro-hydro power units and use DG sets and burn diesel for meeting the lightning needs.
5) The cooperative movement has to be supported to enable the local population get access to credit, technology and also increase the sense of community and the negotiating power.
6) The scenic beauty, flora, fauna, and diversity of cultures found there is not found anywhere else in India. Promote tourism; it’s the fastest way of earning good revenues for virgin lands like these.
7) A campaign has to be run to remove the mindset of people that NE is troubled land, region of conflict instead of land of peace and growth.
8) Encourage a sense of citizenship and democracy. Revoke the “Armed Forces Special Powers Act.”
9) Discourage the Jhum (slash- burn agriculture/ shifting agriculture) it leads to a lot of soil erosion and make the natives aware of the modern plantation method like step agriculture, drip irrigation.
10) It’s ironical that the awareness level of various schemes is very low. The poor don’t know the subsidies and support govt. provides and the most of the development assistance funds lapse year after year.
11) Get a banking system in place and remove the postal banks. Govt. opens up the postal banks in every nook and corner of the country and all the deposits that they mop up is send to Centre for funding the deficit. The local saved money should be reinvested there only and various micro credit and community loan schemes should be started to spur up the economic activity.
12) START COLLECTING STATE TAX: The people have enjoyed enough of a tax holiday. The state govt. should start collecting taxes no matter how miniscule it is.

Cont…..Next will be a post of the naxalites.

On June 06 of this year during the anniversary of the martyrdom of Guru Arjan Singh as well as that of Operation Bluestar in the Golden Temple once again the shouts for Khalistan came up. Akali leader Simranjit Singh Mann and Jagjit Singh Chauhan lead the procession of separatists who captured the stand and started demanding for the independent state of khalistan. We also had the bomb blasts in Delhi which are now being attributed to the Babbar Khalsa International (BKI). Weave them together there is the danger of khalistan movement starting up again.
Golden Temple – Demand for the Khalistan Movement
Operation Bluestar
So where are we at present?
What will happen if the khalistan movement raises its head again. The militancy in Punjab may again come to the forefront. With friendly enemies all round us.
The Panthic Times
Khalistan Affairs
The biggest problem however is that is khalistan the view of the majority of the people in Punjab or just some random separatists. Interesting to note however the demand for the separate state dies out as soon as the political party dedicated to its formation comes to power. I mean the Akali Dal of course.