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Monday, December 5, 2011

FDI In Retail: A Scam Nipped In The Bud

Mr. B Raman who is a retired government employee is very well connected all over the world and is quite an authority on security and political matters. He has also successfully managed to be neutral when it comes to politics. In short he is a man to be taken seriously. When he goes out on the limb criticizing the abject lack of leadership in India, I guess things must really be bad. Of course political animals like us always knew and said it. Mr. Raman was just holding it back till he could no more. In his latest article which seems to lament the loss of decorum and gravitas in the Loksabha he makes two points. One is that he does not think that Sonia and Manmohan can provide any kind of leadership. I guess debacle after debacle forced him to change his mind. The latest being the FDI in retail and the way the Congress tried to ram it down the nation’s gullet. They were badly stung by Mamta Bannerjee and essentially have been reduced to a lame duck government now.

In an article, NV Subramanian calls out Manmohan on a very poor demonstration of leadership and says that the FDI was a diversionary tactic. This is where the Raman article is interesting which claims the following:

Some retired senior officials with whom I had discussed this in Delhi last week attributed the haste displayed by the Congress to its urgent need for funds for the UP elections next year. They alleged that some corporate houses, which would be the main beneficiaries of the FDI decision, were expected to be the main contributors to the coffers of the Congress for the UP elections. According to them, the determination of other political parties to prevent the Congress from financially benefiting from the decision before the UP elections accounted for their obduracy in preventing the normal functioning of the two Houses.

There is no reason the doubt the veracity of Mr. Raman’s information. This means that the FDI in retail was just another huge scam in the making. It is not only criminal but also cruel that the Congress is treating the Indian taxpayer’s money and Indian Infrastructure as an ATM. The Indian voters are being punished for their mistake of electing the Congress. However the punishment has far far exceeded the crime. It is cruel and unusual.

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