826 (Part 2/10) of Indian Corporate Governance -Continuation of Tata Mallya discussion

This is in continuation of this blog's post No. 825 Click to go to post No. 826., wherein I have made it clear that my analyses are not about Mr. Vijay Mallya or Ratan Tata or Cyrus Mistry in particular, or about the United Breweries Group/KingFisher or the Tata Group in particular. What I wish to make clearer, is: Like their Global counterparts, most of the Institutions in India are in a mess, not only the Corporate Sector, or the Economic System, but also every other System, Sub-System. I do not wish to attribute this atrophy and latent collapse and decay to reforms such as LPG (Liberalisation, Privatisation, Globalisation), because the atrophy and latent decay of INdian Economy were there even before the advent of P.V. Narasimha Rao as Prime Minister, and Manmohan Singh as Finance Minister. The duo have only accelerated the processes to make them more pronounced and visible. Probably, they might have existed even before 1937.

JAWAHARLAL NEHRU AND MAHALANOBIS MODEL OF DEVELOPEMTN

By taking the Socialist path, Late Jawaharlal Nehru, the first Prime Minister of India, though unintentionally, has tried to sideline the Tatas, Birlas et al. Unfortunately Nehru did not take it up in at least 80% of its potential. He did not do it whole-heartedly, because he had to carry himself along with other Congress Stalvarts, and Regional Congress Leaders. By pioneering the advent of Public Sector in India, and endeavouring to take it to commanding heights, Mr. Nehru tried to set aside the dynastic and the dhan-terah gambling Private Sector, but he could not succeed, probably because there was a Chinese Invasion 1962, and he had to suffer premature death.

LATE LAL BAHADUR SASTRY, the second Prime Minister

His successor Late Lal Bahadur Sastry, the Second PM, did n't have time to attend to the maladministrations and mismanagements of Indian Corporate Sector, because his attention was DETRACTED by Pakisthani intrusions, invasions and the consequent 1965 Indo Pak War.

LATE INDIRA GANDHI, the third Prime Minister

The third PM, Late Indira Gandhi d/o Nehru, had all the time, but she had no will to correct the rot in Private Sector, because Congress and Opposition Parties by that time have started living on the donations of industrialists for amassing wealth and meeting election expenses. For political reasons, Ms. Gandhi went on a Nationalisation Campaign of banks, Oil Companies, Insurance Companies, sick Coal Mines, sick Textile Mills, but only to allow them to be mismanaged letter. To cover all these things, we may need 100,000 print pages, and internet pages, but all of such pages may end up to be junk because nobody will read them.

CONGRESS AND UPA

Today, the dynastic political bosses and the successors of Nehru Dynasty in Congress Party wants to claim credit for the legacy of Nehru, while they know nothing about Nehruvian Economics or they are not inclined to continuing Nehruvian Economics, in spite of knowing. I believe that they do now know what Nehruvian Economics truly is. Otherwise, why should they carry Mr. Manmohan Singh who introduced diametrically opposite and anti-Nehru policies, on their shoulders for nearly 20 years? I must say, though it may sound arrogant, that the Nehru Dynasty Congress bosses know nothing about Indian Economics.

CURRENT NDA REGIME

Mr. Narendra Modi and Mr. Arun Jaitley are just continuing their legacies of Mr. Manmohan Singh, and Mr. P. Chidamabaram (Former Finance Minister). They have no capabilities or desire to clean up the mess in private sector. Nor, do they have any intent to clean up the Public Sector. Their interests seem to concentrate only on four things 1) Foreign Tours 2) Beg for Foreign Investments 3) Trying to implement what their Patron Industrialists demand. 4) Dispose off Public Sector units at throw away prices.

SELECTED READINGS

IT SECTOR VIS-A-VIS / VERSUS MANUFACTURING SECTOR IN INDIA

Here, one article by Vivek Kaul, dated 15h Jan. 2016, Click to go to https://www.valueresearchonline.com/story/h2_storyview.asp?str=29976, is worth studying.

To continue. सशेष. ఇంకా ఉంది.