Socialism is dead. Let us bury it forever.

Seems that our socialist friends in Venezuela are using blackmail on ONGC Videsh ( OVL ). Apparently the government has been taking money from its oil company, Petroleos de Venezuela SA to fund social schemes, leaving it short of cash. Now PdVSA is withholding $421 million in dividend payments to OVL to force it to pay for the entire investment in the 2 oil projects although it holds 40% share in one and just 11% in the other. Before we start getting angry about Venezuelan perfidy we should remember that this is exactly what our government has been doing. In mid-October our most revered Finance Minister called heads of all Central Public Sector Enterprises, including ONGC, and demanded higher dividends to reduce the exploding budget deficit, purely due to social schemes. He is demanding Rs 730 billion in dividends this year compared to Rs 550 billion last year. When Hugo Chavez became president in 1999 he used the country's oil wealth to start social schemes. This allowed him to win 3 elections but inflation soared and the Bolivar dropped in value. On 1 January, 2008 the Bolivar Fuerte, or strong Bolivar, was introduced in exchange for 1000 old Bolivars. At introduction it was 2.15 to the dollar. As inflation soared it dropped to 4.30 and then on 13 February, 2013 it was adjusted to 6.30 to the dollar. Chavez died on 5 March 2013 and was succeeded by Nicolas Maduro who does not have the same charisma as Chavez did and so has continued with social schemes. Inflation has soared to 54% and Caracas has become the murder capital of the world. It was President Lula who started Bolsa Familia where families were paid directly provided they kept their children in schools and took them for health check ups. The Congress thought it was good a wheeze to win elections and started the Direct Benefit Transfer Scheme but without any conditions. A jubilant Congress fellow even called it a " game changer ". However, inflation, especially in food, was going out of control. So the Congress brought in a Food Security Bill which promised cheap food to around 800 million people. Sadly, this broke WTO rules on subsidies so our Commerce Minister went to the negotiations in Bali determined to wreck the entire trade deal if we were not allowed to break the rules. Naturally we infuriated everyone. Socialism perpetuates poverty. It must be made a criminal offense to use it to win elections.