Monday, April 05, 2021

Have they been told to provide fig leaves?

"The 2020 TRACE Bribery Risk Matrix places India 77th in a list of 194 countries measuring business bribery risks," wrote Soumya Kanti Ghosh. "In 2014, it was ranked 185th, with an overall score of 80, out of 197 countries. In 2020, this has improved by 108 notches to 77." In 2011, then Chief Economic Adviser to the Government of India, Prof Kaushik Basu wrote a paper suggesting exclusive punishment for "harassment bribes" which are mainly committed by government employees. "The central message of this paper is that we should declare the act of giving a bribe in all such cases as legitimate activity." "In other words, what is being argued is that this entire punishment should be heaped on the bribe taker and the bribe giver should not be penalized at all, at least not for the act of offering or giving the bribe." Ghosh supports this suggestion. "Corollary: foreign investors have benefited far more than domestic ones from reduced corruption. This could be one reason why foreign investment has soared under Modi," wrote SA Aiyar.  Aiyar forgets that most of this so-called investment has come into stocks, while foreign investors have dumped government bonds. "They have pulled out $14 billion from India in the past twelve months even as the local equity market has witnessed $29 of net inflows from overseas," wrote Andy Mukherjee. "The liquidity magic is not working on bond markets", and, in India, "The entire yield curve has moved higher. This isn't a sign of optimism about growth, but rising oil prices and a hard to square arithmetic of next fiscal year's targeted budget deficit of 6.8 percent of gross domestic product, on top of an expected 9.5 percent shortfall in the current year that ends on March 31." Aiyar acknowledges that electoral bonds are opaque and using humongous sums of money to "persuade" members of opposition parties to switch to the BJP in states is corruption but says that the problem was no less in the olden days. That is the point. PrimeMinister Narendra Modi constantly attacks the Congress as being responsible for rampant corruption, which maybe true, but his government is no different. "The 2016 Rafale deal between India and France also involved the payment of 1.1 million Euros by aviation major Dassault to an Indian middleman, French publication 'Mediapart' has reported citing an investigation by the country's anti-corruption agency," reported NDTV. The money was paid to one Sushen Gupta who was arrested and granted bail in the AugustaWestland case, in which kickbacks were paid for the purchase of VVIP helicopters during Congress rule. In December 2018, in what was seen as a "major political coup for the Modi government, Christian James Michel, the alleged middleman in the Rs 3,600-crore (Rs 36 billion) Choppergate scandal was extradited to India from Dubai last night", reported Business Today. An innocent woman was the sacrificial offering in this political coup. Princess Latifa of Dubai was forcibly abducted from a boat in international waters and returned to Dubai and has been in prison ever since. Her crime? She wanted to live in the West. Human sacrifice is no longer practiced anywhere in the world. In 2018, "Parliament today passed a bill to amend the 1988 anti-graft law by seeking to punish bribe-givers for the first time along with bribe takers, as the Lok Sabha gave its nod to it." This gives complete protection for bribing members of opposition parties. Are Aiyar and Ghosh trying to provide fig leaves for this government? Have they been told to?       

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