A CASESTUDY REPORTby

Avik Bal

CATGMAT

WHAT LEADS TO THIS HUGE ECONOMIC DIFFERENCE ?

WHY A COUNTRY HAVING WORLD’S RICHEST RESOURCES IS HAVING A POOR ECONOMY ?

LETS ANALYSE SOME STATS

Corruption perceptions index published by Transparency International (TI)India’s rating : 35/100the CPI currently ranks 176 countries "on a scale from 100 (very clean) to 0 (highly corrupt)

A to ZIndian history has been hyped with numerous scams

and corruption scandals since independence.

A negative financial legacy resulting in economic breakdown of the hierarchical heritage and rich

resource.

A for adarshFebruary 2002: Mumbai’s high rise adarsh housing society was meant for Kargil war widows and veterans. However top army officials, politicians and bureaucrats who had nothing to do with kargil were allotted flats.

A for adarshACCUSED: 4 former chief ministers: ashok chavan, vilasrao deshmukh, sushilkumar shinde and shivajirao nilangekar patil, 2 former urban development ministers: rajesh tope and sunil tatkare and 12 top bureaucrats for various illegal acts.

B for bofors guns scandal1980s: initiated by congress politicians and implicating the indian prime minister, Mr. Rajiv Gandhi’s government was alleged to have received kickbacks in the bofors howitzer guns scandal.Illegal payment of us$ 1.3 billion deal between the Swedish arms manufacturer BOFORS with the government of India for the sale of 410 field howitzer guns.

B for boforsACCUSED: Rajiv Gandhi was booted out of power in NOVEMBER 1989 with a greatly reduced lok sabha share.

IMAGE: HAUBITS 77 (SWEDISH "FIELD HOWITZER 77") OR FH77 IS A SWEDISH 155 MM HOWITZERUSED BY: SWEDEN AND INDIAN ARMY.

C for Commonwealth Games 2010

Marred by charges of corruption and favouritism.Indian Olympic Association president Suresh Kalmadi was sacked, jailed and even Delhi CM Sheila Dixit was pulled up. A negative financial legacy for the country.Scam costs: 700billion INR ($12billion)

D for devas2005: the contract signed between antrix corporation and devas multimedia private limited on january 28, 2005 during G. MADHAVAN NAIR’S tenure as chairman ISRO and secretary, led to a newspaper report saying that the government would lose Rs 2 lakh crore to the exchequer, the deal caused a furore and the PM finally scrapped it. on january 25, 2012 he was barred from holding any government jobs.

E for EMAAR-MGF2003: EMAAR-MGF boulder hills controversy land acquisition for the boulder hills project in Hyderabad.about 500 acres (2.0 km2) of land was acquired by APIIC in 2002-2003 for setting up a golf course and residential properties. sold 285 acres (1.15 km2) at 2.7 million per acre as against the prevailing price of 10 million per acre in 2003. remaining 235 acres (and an additional 15 acres (61,000 m2) of unusable land) were allotted as a 66-year lease with a 2% share of the golf course revenues.ANDHRA PRADESH INDUSTRIAL INFRASTRUCTURE CORPORATION

F for Fodder1990 : Former Bihar CM LALOO PRASAD YADAV‘s fodder scam may have been to the tune of RS 1000 crore. reports said that the scam had been on for decades. Laloo was jailed and Indians saw that just about any department could bleed hundreds of crores so easily.

Gfor GEGONG APANG2010: Former CM of Arunachal Pradesh GEGONG APANG was arrested for a public distribution system (PDA) scam valued at Rs 1000 crore. fake transport subsidy bills were at the centre of the scam.The scam allegedly involved fraudulent hill transport subsidy bills

H for HAWALA BROKERS1990s : Payments allegedly received by politicians through four hawala brokers, the Jain brothers. it was a US$18 million bribery scandal.Before western union money transfer, india had Hawala. Hawala money is moved illegally and seamlessly across the world. ACCUSED: L. K. ADVANI, V. C. SHUKLA, P. SHIV SHANKAR, SHARAD YADAV, BALRAM JAKHAR AND MADAN LAL KHURANA

I for IPLThere is no doubt that the indian premier league was a big success, but Lalit Modi was the biggest controversy. He had secret stakes in three franchisees and indulged in nepotism. Bidding irregularities jostled with match-fixing claims. Sources confirm that Sharad Parwar is also involved in such irregularities.

J for JMM and JEEP scam1948: V. K. KRISHNA MENON, then the indian high commissioner to Britain, bypassed protocol to sign a deal worth Rs. 80 lakh with a foreign firm for the purchase of 4603 army jeeps, Most of the money was paid upfront, only 155 jeeps arrived, the then prime minister nehru forced the government to accept them and the case was closed soon in1955.1993: During a confidence motion, the then PM PV NARASIMHA RAO indirectly paid bribes to members of the JHARKHAND MUKTI MORCHA. Rao was cleared of the charges later.

K for karnataka wakf boardInappropriate use of Rs 2000 billion indian property funds as land scam. The karnataka wakf board is a muslim charitable trust that manages and oversees property that has typically been donated for the use of the poor.Allowed almost 50% of its land to be misappropriated by politicians and board members, in collusion with the real estate mafia for a fraction of its market value.

L for LICIindependent india’s first major scam, 1957:Businessman and industrialist HARIDAS MUNDHRA got the life insurance corporation of india to invest in six of his troubled companies. FEROZE GANDHI fumed while his father-in-law JAWAHARLAL NEHRU fretted. Finance minister TT KRISHNAMACHARI had to resign.The investment was done under governmental pressure bypassing the investment committee, in the event, lic lost most of the money.

M for MehtaHARSHAD MEHTA stock broker in BSE rigged the stock exchange in 1992. he had an illegal wealth comparable to the combined income-tax of middle class india.Mehta was charged with 72 criminal offences and died with a lot of unresolved issues in 2002. many politicians were also involved with harshad metha. Financial scandal valued Rs. 4999 crore.

N for Nagarwala1971: Nagarwala scandal was a fraudulent act in which RUSTOM SOHRAB NAGARWALA convinced VED PRAKASH MALHOTRA to withdraw 6 million rupees from the branch of the state bank of india where he was the head cashier.Nagarwala imitated then prime minister INDIRA GANDHI and claimed the order of 6 million INR required for bangladesh, a fake cause to stimulate matter as of great national importance.

O for Oil for Fooddecember 7, 2005, KUNWAR NATWAR SINGH was removed from his post as minister in charge of external affairs.He and his son JAGAT SINGH were non-contractual beneficiaries of the oil for food programme.Scheme Introduced by US president BILL CLINTON in 1955 to allow Iraq to sell oil on the world market in exchange for food, medicine, and other humanitarian needs for ordinary Iraqi citizens without allowing Iraq to boost its military capabilities.

Pfor Palmolein Oil Import Scam1991–92: import of palm olein by k. karunakaran leader united democratic front KERALA GOVERNMENT decided to import palm oil from a Malaysian company in singapore named "power and energy ltd" above the international price which was approved by the kerala cabinet. the price of import was fixed to $405.0 per ton which was higher than the international price of $392.25 per ton. the import order was signed by thomas, who was then kerala's food secretary. the investigation agency's charge sheet in the case says that this order caused a loss of more than 2.32 cores to the exchequer.Power and energy limited arbitrarily without inviting tenders and supposedly at an inflated price and at an excessive service charge and in violation of central and state government norms existing in india.

R for Ramalinga Raju2009: with so much growth in the it sector, could it be far behind?falsified SATYAM accounts came to light in 2009. had it not been for mahindra, this IT giant could have sunk without a trace. the global corporate community was shocked and scandalised when the chairman of SATYAM, Ramalinga Raju resigned on 7 january 2009 and confessed that he had manipulated the accounts by us$1.47-billion.r is also for the reddy brothers’ mining scam of karnataka.

S for SukhramIn 1996, the CBI seized Rs 3.6 crores from the official residence of central minister SUKH RAM. seems like small change today was a great deal then.Also for swiss banks and the scorpene submarine deal scam.

T for Two-G scam2G SPECTRUM SCAM was a scam involving politicians and government officials in India illegally undercharging mobile telephone companies for frequency allocation licenses, which they would then use to create 2g SPECTRUM Rs 1.76 lakh crore -two central ministers in jail.

U for UP Food Grain scamit is estimated that in the last decade in UTTAR PRADESH, about Rs 35,000 crore worth of food grain meant to be distributed amongst the poor, through public distribution system (PDS) and other welfare schemes like antyodaya anna yojana (AAy), jawahar rozgar yojana and midday meal scheme for below poverty line(BPL) card holders, was diverted to the open market. some of it was traced to the Nepal and Bangladesh borders, as in 2010 security forces seized Rs 11.7 million worth of foodgrains like paddy and pulses being smuggled to Nepal, another Rs 60 lakh worth of grains were confiscated on the indo-Bangladesh border.

W for Wagers and bets.betting is banned in india. therefore we have a flourishing illegal betting industry replete with underworld links. cricket’s match-fixing scandal of the 1990s has been the most high-profile to date. here again high profile politicians are involved.

X for Xerox and X-Ray 1990s: About a decade back, xerox announced that its indian subsidiary had made ‘improper payments’ vis-a-vis sales of equipment to government bodies. around the same time in a mumbai hospital, 17,000 kg of used x-ray films were sold to scrap dealers on the side.

Y for Yearly multiple scams Y IS DEDICATED TO THE YEARLY MULTIPLE UNKNOWN SCAMS IMAGINE IF ONLY A SMALL FRACTION OF SCAMS HAS BEEN UNEARTHED SO FAR! WHAT ABOUT THE THOUSANDS OF MINI-SCAMS GOING ON IN EVERY LOCALITY OF INDIA.

Z for Zillions and zillions of money z is for the zillions and zillions of rupees that have been siphoned off after independence. zilch is the amount of money recovered and the desired action taken against the offenders. none of the politician has ever been convicted or punished since independence.

TOTAL ESTIMATED SCAMS IN INDIA

RS.910,603,234,300,000

This is just an estimation of only those that came into media and caught red-handed !

AND THE CONSEQUENCE !

DECIDE

now its up to you, you want to get your hands dirty to clean this system

oryou want to get you hands dirty involving this system for few

bucks!

JAI HIND !

REFERENCES

Wikipedia.orgForeignexchange.com

Xchangeinfo.comInfoplease.com

India.comabpnews.com

SPECIAL THANKSTransparency International, UNO, UNICEF, INDIA broadcast, NDTV, World stats, Statistical institute