Political Diary

New Delhi, 24 March 2012

Business Of Governance

GOODBYE SLEAZE, VIP SECURITY

By Poonam I Kaushish

In the tempestuous cacophony of issues in the political bazaar, two unprecedented subjects have not got the attention they deserve. One, the Government’s proposal to amend the Indian Penal Code and make bribery in the private sector a criminal offence attracting punishment at par with that meted out to corrupt babus. Two, the Punjab and Haryana High Court directing the Government  to remove all ugly security tents that dot over Ministers, MLAs, officials and judges homes across Chandigarh. It remains to be seen if our rule by law rulers will fall in line!

Significantly, the proposal to make the private sector accountable by amending the IPC mooted by the Prime Minister at a CBI function 5 months ago following public-private partnership vis-à-vis 2G, CWG, Adarsh Society scams etc has got 22 States on board. Further, this nexus has been underscored by the Central Vigilance Commission’s stunning report on rampant neta-babu-vyapaari nexus to perpetrate sleaze. “The private sector is hand-in-glove with public officers, particularly in power, mining and oil sectors. They pay bribes to counterparts from other private companies to get their work done.”

Think. While the Indian economy is 6th largest in the global competitive indices, it is ranked 85th among 130 nations by Transparency International’s Bribe Payer Index. In its 2010 bribery report on India it states: 91% of bribes were demanded by Government officials, 77% of them for avoiding harm rather than gain advantage. Another 51% for timely delivery of services to which the aam aadmi is entitled. If businessmen pay for every contract, pavement dwellers for the right to earn their meagre living. The reason for so much anger against corruption.

Shockingly, one Indian in two pays bribes aka ‘speed money’ to get access to public services and it takes over 1000 days to get a contract recognised. Worse, Indian firms are perceived by international business as highly likely to engage in bribery when doing business abroad. And the World Economic Forum’s Global Competitiveness Report cites corruption as the second most problematic factor in doing business here.

More. According to World Bank estimates the ‘cost’ to get a public contract is over 15% of the contract value. The Government loses about Rs 2 lakh crores annually due to tax evasion while about Rs. 40,000 crores is lost due to delay in projects. Transmission and distribution losses in the power sector are about 50%, out of which about 30% is due to theft in connivance with the electricity boards employees.

Indeed, if India was corruption-free the public sector would improve their profit margin by almost 20%. And if bribery is reduced to the Scandinavian countries level then investment would rise by 12% annually and GDP would grow at an additional 1.5%. 

Undeniably, till India rids itself of rigid bureaucratic structures, exclusivist decision process aggravated by discretion and official secrecy, gap between policy and practice and absence of effective internal control mechanism the downslide will be fast. Remember late Rajiv Gandhi’s famous words, “Of every one Re only 16 paisa percolates to the user.

Plainly, only a stringent law to curb corruption in the private sector and a broader procurement law will tackle the scourge. The Government should also take steps to deal only with ‘clean’ companies. Towards that end, over 44 public sector giants including navaratnas ONGC, Indian Oil have signed Transparency International’s Integrity Pact whereby bidders for public contracts refrain from bribery and collusion. Already the Gas Authority of India has saved Rs 3,610 crores by submitting two projects to independent external monitors before finalising tenders.

Arguably, if the change in the IPC will transform the way business is done in Mera Bharat Mahan, an unprecedented order by the Punjab and Haryana High Court has directed the Government to remove the ugly security tents that dot over 60 Ministers& MLAs, 12 officials and 75 judges’ homes across Chandigarh. Namely, as it had less to do with security and more as a status symbol.

True, it is nobody case that those who need security cover should be provided one, but if it only as a sign of importance it needs to be removed. Think, daily the aam aadmi has to go through the harassment of in-your-face security on roads. With an entourage of gun-toting commandos they flaunt their “status” by blocking traffic, jumping red lights and making a nuisance of themselves. 

Questionably, is it justified that in Asli Bharat where over 700 millions live below the poverty line hundreds of crores of the tax payers hard-earned money is spent by our netagan on  protecting themselves. Example: Over Rs 250 crores is spent only on protecting 400 plus VIPs annually. It matters little whether these worthies face no risk or at best little risk yet they refuse to budge without the elaborate security paraphernalia.

In Delhi alone, over 14,200 policemen are deployed on round-the-clock VIP security duty ---- Special Protection Group for the top of the ladder, followed by Z-plus provided by NSG “black cats” consisting of six personal security officers, two head constables, 12 constables, in a cavalcade of AK47 toting ‘black cats’ in a convoy of cars including one pilot vehicle with ‘lal batti.’  Then come the minions with Z (68 VIPs), Y (243) and X (81) categories.

Not only that. This is in addition to the SPG that is exclusively meant for providing security to the PM, former PMs, Sonia Gandhi and their respective family members including their grand children. Astonishingly, the SPG budget has been rising steadily from Rs 117 crores to Rs.300 crores, while the monies meant to protect over the billion-plus people from terror is a measly Rs.158 crores.

What New Delhi does, the States do one better. Every State has diverted a number of its policemen for VIP security. Scandalously, the result of this explosion of VIP security is that commandoes meant for anti-terror operations have been diverted to protect our naam ke vaste leaders. Never mind that only our garib desh provides security cover to all and sundry unlike the USA, UK, Germany etc which provide security to only a handful of their leaders.

One can go on and on about the hedonism in the year gone by. Of the majority’s growing disillusionment with the system which explodes in rage and in which more and more people are taking law into their own hands. Slowly but surely, the people’s patience is running out, and running out fast.

If we want corruption to end, we need to usher in electoral reforms. For starters ban dynastic rule, make it compulsory for parties to have regular elections and ban those outfits which cannot account for their donations. Our leaders need to remember: A Government which protects ‘business’ and its own security only, is but a carcass and soon falls by its own corruption and decay. What do you say Prime Minister? ---- INFA

(Copyright, India News and Feature Alliance)