Tuesday, August 23, 2011

Scam since 1947

This is a post to intimate people that there are number of scams being held in India but no punishment has been given. Let the Jan Lokpal bill come to tackle the situation wisely.

The desire to have all the lavish life and to make their families happy people think the money can do all for them and thus fall for constituting scams. Money is considered to be the prime solace provider. Money is considered to be the supreme power which can fetch all the happiness and thus the race to have more is run till the end of life.

Every country in the world has had scams and punishments are provided to the scam creators. But in India the scams master minds are all the politicians and they lead a respectable life. Congress has been leading the country for 52 years in the 64 years of independent India. This party was initially the major party which was leading India in the freedom struggle. On the day when India got independent Pt. Nehru became the Prime Minister of India as a resolution was passed by the Indian National Congress (INC) that the person who will be the President of the INC on the time of independence will be the PM of the new nation. An urgent session of INC was called in Lahore and Maulana Azad was removed from the post of the President to INC and Pt. Nehru was made the President instead of him. This was the last political scam which slave India saw and made way for the new PM to milk the country from the very first day.

There are number of scams which are conducted by the Congress people and none have been punished by the court of law. Indira Gandhi was accused by the Allahabad court for irregularities in the election, and Jai Prakash Narain demanded her resignation in this regard. She imposed emergency to suppress the voice of the people, this happened in 1975.

The country has been facing the problem due to these scams and Anna Hazare is now raising voice against the corruption. But still the politicians are trying to suppress the voice of the millions of Indian and the ruling United Progressive Alliance (UPA) is not paying much heed to the demand of the public. The reason to this attitude is the major portion of the Congress in the UPA and they have always milked the country for their selfish motives. The government is saying that the demands of Anna are baseless as the Lokpal bill is already on the table of the Parliament. The Lokpal bill which the government has drafted is having many loop holes as the one most important is; provision for the punishment to the person who is found guilty in a scam, the draft say no punishment. This shows that the Congress has ill will to punish the culprits as it is neck deep in the corruption.

Here the most important thing is that the scams are the root causes which happen due to the connivance of the ruling party. It is the country which has to face the problems at large and if the money which is involved in the scams is honestly used then there cannot be any problem in the country.

The list of the scams:
Jeep Purchase (1948) – The first scam just one year after the independence. V. K. Krishna Menon, the then Indian high commissioner to Britain, misused his power by bypassing protocol in signing a deal worth Rs. 80 lakh. This deal was signed with a foreign firm in order to purchase army jeeps. As Krishna Menon joined the Nehru cabinet in 1955 the case came to stand as no more. This shows that Pt. Nehru was the main man behind this scam.

Cycle Imports (1951) – S.A. Venkataraman was jailed on granting a cycle import quota to a company as the secretary in the ministry of commerce and industry. He has take bribe for signing the quota.

BHU Funds (1956) – Banaras Hindu University officials were held in the case fo misappropriate use of funds amounting to be Rs. 50 Lakh. This was the first educational scam which the country saw just after independence.

Mundhra Scandal (1957) – This scam was on of the first scam which was to be considered to be huge to the amount of Rs. 1.25 crore. Finance minister T. T. Krishnamachari was part of the sale of fraudulent share of LIC by a Calcutta based businessman Haridas Mundhra. Commission was formed and Justice M. C. Chagla was made the in charge. The FM was found guilty and had to resign and Mundhra was jailed for 22 years.

Teja Loans Scam (1960) – Investigating agencies found that huge amount of money was being siphon off from India. It was found that the Shipping magnate Jayant Dharma Teja has taken loans of Rs 22 crore to establish the Jayanti Shipping Company. He instead of establishing the company has siphon the money out to his account and he also fled the country before he could be caught.

Kairon Scam (1963) – The post of Chief Minister was in news when Pratap Singh Kairon was accused of abusing his power for his own benefit.

Patnaik's Own Goal (1965) – Kalinga Tubes was the company of Orissa Chief Minister Biju Patnaik. It was found the Biju Patnaik has been favouring his privately help company and thus misusing his power.

Maruti Scandal (1974) – The Maruti scandal had the name of the son of PM Indira Gandhi (Sanjay Gandhi) in the license for the manufacturing passenger car. This scam was held much before the setting up of the company and nothing came to a conclusion.

Solanki Expose (1992) – Madhavsinh Solanki the External Affairs Minister has slipped a letter to its Swiss counterpart to stop the probe into Bofors kickbacks. The moment this was made to news he resigned and his whereabouts are not known.

Kuo Oil Deal (1976) – A deal was signed with a firm of Hong Kong which never existed. Indian Oil Corporation had signed an Rs 2.2-crore oil contract all being fraudulent. The Petroleum and Chemical Minister was involved.

Antulay Trust (1981) – The Chief Minister of Maharashtra A.R. Antulay was accused to have taken Rs. 30 crore from business men and had kept the money in a private trust. The scam was unearthed by Indian Express and this became its rebirth.

HDW Commissions (1987) – A Germany submarine making company alleged that they have paid Rs. 20 crores as commissions and finally the case was closed in favour of the company in 2005.

Bofors Pay-Off (1987) – This is the most talked scam in India. It was said that a Swedish firm paid Rs 64 crore to Indian bigwigs. Name of the then PM Rajiv Gandhi was in the list, to secure the purchase of the Bofors gun.

St Kitts Forgery (1989) – V. P. Singh has bullied the capitalist of India. Ambanis were the worst hit because of their immoral practices in the trade. Thus an attempt was made to wrongfully link V. P. Singh with the account of his son Ajeya Singh named as First Trust Corp. at St Kitts, having a huge deposit of $21 million.

Airbus Scandal (1990) – Indian Airlines's (IA) signed a deal of Rs 2,000-crore deal with Airbus. The crash of the A-320 caused the problems and all the new planes ware grounded. This caused Rs. 2.5 crores loss to the company on weekly basis.

Securities Scam (1992) – Harshad Mehta the master mind in manipulating the banks to siphon off money and investing funds in the stock market, which lead to the crash in the market to the estimated loss of Rs 5,000 crore. Harshad Mehta did another scam in 1998 but nothing could be recovered.

Indian Bank Rip-off (1992) – M. Gopalakrishnan, the then chairman of the Indian Bank, lent of the loan of Rs. 1,300 crore which was given to the small corporates and exporters from the south.

Sugar Import (1994) – Kalpnath Rai the then Food Minister caused the loss of Rs. 650 to the exchequer by importing sugar at a price higher than that of the market. He resigned over the allegations.

MS Shoes Scam (1994) – Pawan Sachdeva of MS Shoes used company funds to buy shares (of his own company) much before the public issue was introduced in the market. He was in gloves with the Securities Exchange Board of India (SEBI) and SBI Caps duping the public into investing in his Rs. 699-crore company.

JMM Bribes (1995) – To bring out the Congress government out of non-confidence motion the Jharkhand Mukti Morcha leader Shailendra Mahato and his three party members received bribes of Rs 30 lakh in 1993.

In a Pickle (1996) – Lakhubhai Pathak accused the former Prime Minister P.V. Narasimha Rao (Congress Party) and godman Chandraswami. He alleged that he had paid bribe of Rs 10 lakh each.

Telecom Scam (1996) – Sukh Ram the former Minister of State for Communication caused a loss of Rs 1.6 crore to the exchequer by favouring a Hyderabad- based private firm in the purchase of telecom equipment. In 2002 he was accused along with two others.

Fodder Scam (1996) – Lalu Prasad Yadav the Chief Minister of Bihar had withdrawn Rs. 950 crore from the Bihar’s animal husbandry department. He resigned a year later and till date nothing has happened.

Urea Deal (1996) – C.S. Ramakrishnan, MD, National Fertiliser, and businessmen close to the P.V. Narasimha Rao earned Rs 133 crore from the import of two lakh tonne of urea. The country is still waiting for the fertilizer which will never come.

Hawala Diaries (1996) –S.K. Jain was the person who has been the main accused in the hawala cases which were in news in 1991.

CRB Scam (1997) – Chain Roop Bhansali, a smart-talking entrepreneur, duped its investors for over Rs. 1,000 crore. It became the first retail scams in India which had its roots in across the country. It was effectively successful in the Southern India where the financial companies promised returns in excess of 20 per cent.

Mehta's Second Coming (1998) – Harshad Mehta again played his cunning trick. He hiked the market and the main companies were BPL, Videocon International, and Sterile Industries and rigged their share prices. He managed the Bombay Stock Exchange (BSE) office to open at night illegally to set the things right but the damage was done and the BPL was banned for two years. Only debarring of Mehta from dealing in Securities Appellate Tribunal (SAT) in October 2001 was what the courts and the government could do.

Vanishing Companies Scam (1998) –Finance Minister Palaniappan Chidambaram was told that people are being duped of their hard earned money as the companies as vanishing from the Dalal Street after raising money from the people. SEBI was ordered for a scrutiny and 80 companies were to be found just fraudulent which have raised amount of Rs. 330.78 crore. That very year the Department of Company Affairs (DCA) was asked to probe. And further more to penalize these companies. Even after 22 years the DCA is still investigating and nothing seems to come out of the investigation.

Plantation Companies Scam (1999) – Number of companies came into existence of asking people to invest in the irrigation and cultivation of teak, strawberries, and anything else that could be grown. They were promised to have the returns but all was gone with the wind with people were duped of Rs. 2,563 crores by 653 companies.

Match Fixing (2000) – Mohammed Azharuddin who was leading the Indian Cricket team as a captain was in news for being party to match-fixing. He along whith Ajay Sharma was banned for playing cricket. Ajay Jadeja and Manoj Prabhakar were suspended for five years. Nothing happened and now Mohammed Azharuddin is the MP from Moradabad constituency in Uttar Pradesh.

Ketan Pareks Scam (2001) – Ketan Parekh used the pay orders to ramp up the prices of his favourite and enrooted money from corporate like HFCL. This scam came to light when the pay-orders of Madhavpura Mercantile Cooperative Bank started to bounce. The scam was of Rs. 137 crore. It was the Finance Minister Yashwant Sinha who presented a budget which controlled much of the loss.

Tehelka Sting (2001) – In the investigating journalism spycams unearth the deals where politicians and the army official were shown taking bribes. This operation was named as Operation Westend and the Tehelka, an online news portal, created the story which stunned all.

Stockmarket Scam (2001) – The scam of Rs. 1,15,000 crore held in the Indian stock exchange which was masterminded by the Pentafour bull Ketan Parekh. He was arrested in 2002 December just after one year of the scam and barred for 14 from accessing the capital market.

Home Trade Scam (2002) – With the pretext of gilt trading, the Navi Mumbai based brokerage firm Home Trade duped Rs 600 crore from over 25 cooperative banks in Maharashtra and Gujarat. It was in May 2002 the CEO of the company Sanjay Agarwal was arrested.

Stamp Paper Scam (2003) – Loss of Rs. 30,000 crore to the exchequer was made by the racket of fake stamp papers. The mastermind Abdul Karin Telgi was hand in gloves with many police officials and top bureaucrats.

Oil-for-Food Scandal (2005) – K. Natwar Singh was dropped from the cabinet when his name emerged in the Iraq oil for food scam leaked in Volcker Report.

2G Scam – A. Raja the Union Cabinet Minister for Communications and Information Technology conducted the scam which made loss to exchequer to the amount of Rs. 30,984 crore. He sold the telecom bandwidth was grossly undervalued and dubiously announced to ‘First Come First Serve’ which is calculated to amount to Rs. 176,000 crore considering the scam, the father of all the scams held in India.

Commonwealth Games Scam Suresh Kalmadi was the chairman of the Organising Committee of the Commonwealth Game and had awarded illegal contracts to a Swiss firm for Timing-Scoring-Result (TSR) system for the games which gave a loss of Rs 95 crore to the exchequer.

1 comment:

  1. This article shows that Congress is the most corrupt political party of India. This is the reason why they are in the ruling seat for most of the time. Indian should condemn this party forever.