Tuesday, July 24, 2007
Nanavati Commission Report and the UPA Government by Sandip Kumar Dasverma
irrespective of who they are. I believe the perpetrators are cowards and
opportunists, who believe they can get away with no punishment, even for
murder. This encourages them to repeat and others to follow suit. If 1984
criminals had have been punished swiftly, the 1993 Bombay pogroms would not have happened, northe 2002 genocide in Gujarat, because the criminals in 2002
would have known that there were noose and gallows for murder, at the end of the day. On all fairness, there must be exemplary punishment for both the politicians and the policemen (including those retired) to signify that no person gets away
putting another's life in jeopardy, by his acts of omission or commission.
The politicians like Sajjan Kumar, Jagdish Tytler, Kamal Nath, Vasant Sathe,
H. K. L. Bhagat and others should be punished both by prohibiting their
participation in elections (their source of power) and prosecuting them for
their criminal acts. After all there are nearly 2800 dead bodies even per the
Govt. report, though the unofficial count is more than 4000. Following the
great traditions established by the British Raj, citizens even today can't
get a correct figure from their own government. Be it as it may, if there
are 2800 dead bodies, as per Government's own admission, and not even 28
going to gallows or even getting life sentences, there is something
seriously wrong with the government. People will be aghast at this mockery
of justice and lack of Rule of Law.
It is outrageous to advance the argument that H. K. L. Bhagat should not be
bothered as he is old and sick. I think this exculpatory nonsense must stop.
The international standards are now being set by the prosecution of 90-
year old Pinochet in Chile. Why so much compassion for a low life who did
not have the same consideration for others? I remember he was given the
benefit of doubt by a previous commission, while a widow and her husband's
dead body were given no credence! Such is the bias of the Indian judicial
system in favor of the rich and powerful. What the commissions, nine of
them over 20 years, have done is to spend public money, enormous amounts of
it to chip away, from the list of the accused, one at a time. And always
some pliable judges have been rewarded remunerative appointments, be it in
the Congress or BJP regime.
This culture of crime and its condonment must change once and for all, if
India is to get anywhere. We can't remain in the list of most corrupt
nations, i.e., the list of least transparent nations, and continue clamoring
for acceptance as a world leader by others. Unless we cleanse the
institutional rot, like the compromised judiciary, the powerful will
continue buying their way out, as has happened in the Dabhol case.
This brings us to the very vital point of "speed problem", in the judicial
trials of India. If criminal cases linger long as they do(by bribing the
accused do always engineer delay), then everyone will grow old and on
"compassionate grounds" the criminals would be let go, even if they don't
die naturally.
The government's performance in 1st world is judged by how efficiently it can deliver justice and how soon. Everyone in today's world understands, time value of justice, except the Indian Judiciary and it's cohort the bureaucracy.
We must have fast track courts which should conclude such cases within two years. Yes, well before the next election, at most, so we can judge the UPA government by its actions whether it is truly secular or just expediently so? Then people in India can decide whether they commend or condemn such acts.
There is need for a law that stipulates that those whose names are recurring
in nine reports should be asked to prove that they are not guilty. And this
should be done expeditiously so that the affected and wronged families feel
that justice was done. That way people be sure that there is a fair chance
of grievances of the Tom, Dick or Harry, being addressed.
Having a Sikh P.M. does not mitigate the crimes or absolve the state of its
failure to punish the criminals. If tomorrow the BJP in its turn appoints a
Muslim as the CM of their next Government in Gujarat, for example, it will
not be absolved of the crimes of Narendra Modi government, not even if they
install a Muslim as the PM of India.
There should be a parallel process, another fast track court, to try and
convict all the police officials and administrative staff, including those
either retired or preparing to retire soon.
Again, enough resources should be put on the table for the whole process to
be finished in just two years or before. This is equally important, nay
more important, because it will set the standards for the present and future
police against colluding with the politicians in power. Punishment even
after retirement, amended laws, and removal of procedural bottlenecks along
the way, will firmly ensure that justice prevails, and the vestiges of
colonial rule disappear. Sycophancy will have to be made risky and
punishment for crime and rule of law, inescapably established.
May I request Dr. Manmohan Singh, the head of the Congress-led UPA
Government, Mrs. Sonia Gandhi, the head of the Congress party, their left
allies, and the bureaucracy et al for this once to rise above cronyism and
let the law take its own course with exemplary swiftness characteristic of
modern societies of the world, that India aspires to become a leading light
of?
Saturday, June 16, 2007
Videos on NITR by outgoing students vis a vis other NITs
- Campus pictures and some pictures of students, 2007: http://video.google.com
/videoplay?docid=-5031688258865 12720 - Campus pictures and students of 2007: http://video.google.com
/videoplay?docid=-8559804627685 269052 - Shows a single room with a PC in Hostel 2: http://video.google.com
/videoplay?docid=-4859965838341 521427 - Confluence 2005 - Demonstration of Robotics and Aero modelling at NITR, They have come a long way: http://video.google.com
/videoplay?docid=-2289717650179 153868 - By NITR 2007 Civil batch: http://video.google.com
/videoplay?docid=43669665749918 154 - Institute video, beautiful institute pictures, old tree in front of Hostel 2 seems still there, leaves a good impression about the campus: http://video.google.com
/videoplay?docid=-7913421902493 380628 - A bit of a drama: http://video.google.com
/videoplay?docid=-1183693040725 466812 - Holi at NITR - they are still wild: http://video.google.com
/videoplay?docid=23511721993997 08607&q=NIT%2C+Rourkela&total =14&start=0&num=10&so=0&type =search&plindex=0 - NIT, Warangal: http://video.google.com
/videoplay?docid=64740065499837 22414 - ROBOT Dance: http://video.google.com
/videoplay?docid=64740065499837 22414
Recently, Sanjit Jesthi of 2007 class forwarded me a video to see and share with others. When I clicked the link it took me to YouTube and I found there were many other videos on NITR - two of them I had seen earlier courtesy my young friends of 2007 class: Minakshee Sandha(item 5 above) and Himanshu Shekhar Acharya (item 7). But there were others are too and good ones. I don't know how many others were made but the above were posted in YouTube. One on Confluence2007 was not accessible when I tried to see it.
The one I liked most was item 4, where they show Robotics and Aero-modelling at NITR. It is interesting that none - none show the labs or inside of the library. I also saw the videos made on other NITs - NIT, Trichy, NIT, Warangal and NIT, Suratkal which were ranked higher than NITR in 2005 Dataquest Ranking. I found that NIT, Trichy is doing such videos, since 1997. I liked their showing of the library, which looks excellent. One of them, also show their Gymnasium and big swimming pool. Warangal's Pragyan laser show is really good. I don't know if NITR also did so during the confluence 2007, video which I have not seen.
This will be good for NITR's publicity, because NITR may otherwise have to start an Admit weekend, to attract the best and the brightest, to it's ranking. Let me know if you agree and/or enjoy the videos. Your input may help the 2008 batches and onwards.
Saturday, June 09, 2007
My letter to CMO about eliminating illegal cowsheds in BBSR
Bhubaneswar, Orissa,
India.
Dear Chief Minister Sir:
Kindly read the attached article in Orissa Matters by Subhas Chandra Pattnayak. I can't imagine that this is true - given your clean image. But test always is in reality and ground situation. If what Mr. Subhas Pattnayak states, is true - and my cross checks with friends confirm that he is telling the truth - you need a major revamp of your administration. We have been taken for a ride by likes of Late Promod Mahajan (who accumulated 2200 crores in 20 years of public life claiming clean and efficient Govt. ) but with technology where information moves at the speed of light, it is no longer possible to hide anything. I would thus request you, Sir to take the necessary action - and to ensure that the officers understand you mean business. Kindly, ask the Chairman of Bhubaneswar improvement Trust to remove the Cowsheds from BBSR by next Puja. If not, let him know that you will send his name to the court telling them that he has not followed the court orders - inspite of your clear direction.
The court can send him to jail for contempt of court. And you will probably will again win the next years election - even if the goons of your party can't be paid for their service the uncollected amount.
Lastly, Sir if you really act as suggested - you will see that the roads will improve, the hospitals will get cleaner and their attendance improve, forests get greener etc, without any action on your part.
Yes, Sir you have to do one more thing - You have to advertise in paper that each of the resident of BBSR report to you/your office direct - if they see any cowshed removed from their area - or exist in their area with a copy to news papers if they are not removed. You may appoint 3 activists against such cowsheds as Govt appointed committee to check the citizens complains. They might also complain to you through a dedicated phone line secretly about existence of such sheds in their community, this needs to be set up - so they can bypass the Govt channel, which has been rigged since the British days. Even RTI is not working because incompetent and corrupt officers have been sheltered there, all over India. That way Sir, you will really be number one CM, in India like Mr. Nitish Kumar, in the eyes of people of your state.
Best wishes,
Sandip
Subject: Darkness under the lamp - The unpleasent truth
To: OrissaTodayNetwork - A HindToday.com network member
Dear all:
We talk about mosquitoes and malaria and often blame the government for this. But they may be blamed, but did we do our own part.
In America , where I live, there is no mosquitoes - the following could be possible reasons.
- No littering, $1000 fine for littering
- All house hold rejects must be kept out in a trash bag and trash pick up arrangements have been made in 3 week days, usually alternate days.
- No cows/buffaloes/animals in streets
- No diary farms in city limits
- All mutton/chicken/meats are sealed and refrigerated
- Lawns and surroundings are well maintained by grass plantation hence
no dust/mud
- No open drains
Once the above minimum conditions are met, then only we can blame some one. Of course , Government have to some part from the above points, but are we doing our own part ?
Here you go; the one & only furious intellectual Subhash babu writes about Naveen's campaign in other places while, he failed to anything in BBSR.
Darkness under lamp !!
MALARIA AND ORISSA CM'S ACROBATICS IN THE MASS MEDIA
June 3rd, 2007
*Subhas Chandra Pattanayak*
Open any newspaper worth the name in Orissa, you will find Chief Minister Naveen Patnaik's lovely face and uncial autograph on an official advertisement telling you that June is being observed as the Malaria Eradication Month. You are instructed in the advertisement to cooperate with the mission of making the State mosquito-free. Official agencies and unofficial agencies engaged by administration would spray insecticides to exterminate the mosquitoes and you are instructed not to tamper with the sprayed insecticides for at least three months. The ads are worded to give you the impression that Naveen Patnaik is determined to free Orissa from mosquito menace.
Is he?
Is he really in the mission of extermination of mosquitoes?
Does he really want to eradicate malaria?
As I look at his style of administration, I feel, he is only trying to show us acrobatics in the mass media.
I will marshal the capital city of Bhubaneswar, where he lives and from where he rules, as my evidence.
He being the Home Minister, it is well within his knowledge that Bhuaneswar is so much malaria infested that the police force had to suffer casualties due to mosquito bite while guarding the Assembly in session on summon.
The collective wisdom of Legislature had determined that crabbed dairies operated by cowherds in every nook and corner of the capital city are the principal centers of mosquito breeding and therefore the Orissa Municipal Corporations Act, 2003 had stipulated that there shall be no dairy or cowshed in Bhubaneswar.
Naveen Patnaik has kept this Law inconsequential and in the process, has killed the Supreme Court of India verdict of Feb.2, 2006 that had fully supported this special Law.
I had discussed this issue in these pages in a different context and in due deference to Article 51A (g) & (i) of the Constitution of my Motherland, had immediately sent copies thereof to the Chief Minister and the Chief Secretary of Orissa for their perusal and action. But they are conspicuous by their silence. Several crores of illicit payola clandestinely collected from the milkmen is apparently the cause.
I reproduce relevant portions of that discussion for ready reference.
The illegal cowsheds are, I had observed: flourishing because the corridors of Orissa administration are full of commission agents and robbers that act as protectors of the pollutant milkmen.
Many things can be known; but every thing cannot be proved. I know, because a milkman had once confided in me, that the Directorate of Estates collects a Sum of Rs. 1000/- off the record from each of the milkman in return for silence over their encroachment over Government land in prime localities in the new Capital to run their lucrative milk trade. Compared to the benefit they fetch this sum of Rs.1000/- looks too small an amount to them. But there being one thousand milkmen families in the heart of the Capital City, the bribe collected from them amounts to not less than Rupees ten lakhs per month. This money is shared amongst all officials who matter in the matter of land encroachment by milkmen.
I was inclined to reject this information as rubbish. But looking at the immunity the milkmen are enjoying, and looking at how the officials have made a farce of the Order of the Supreme Court in the matter of eviction of the milkmen, I am inclined to believe in the information though there is no proof in support of it.
*Now let us look at the Supreme Court Judgment.*
It pertains to Civil Appeal No.940 of 2006 arising out of SLP (C) Nos. 16362-16363 of 2004.
By 1994, as many as 686 milkmen had encroached upon prime plots of Bhubaneswar City and running dairy business from there oblivious of the health hazards that was causing to genuine inhabitants. The situation was so unbearable that the then Chief Minister in a bid to get rid of the gowalas declared to rehabilitate them in the villages in the city's close vicinity. But they did not go while on the other hand they were encouraging other gowalas to encroach upon other vacant plots. By 2003 their number increased to 1000. The dung and other filthy matters of the cowsheds run by them on government plots in prime areas of Bhubaneswar imperiled public health to such extent that in the Orissa Municipal Corporation Act framed in 2003, the legislature not only prohibited establishment and running of dairies or cowsheds in the city proper as well as in the periphery of the town, but also provided for penalty against the dairy operators. Under the new act, all of the milkmen were bound to be evicted from Bhubaneswar city. Against this mandated eviction, the milkmen through their association had gone to Orissa High Court. The Court refused to intervene. Then they stressed on rehabilitation and wanted a mandate from the Court that the Government provides them with plots to run their business. The High Court rejected this plea. Alleging that the High Court's refusal to order for their rehabilitation before eviction from Government plots was illegal, the Milk Producers Association, Orissa and others preferred the appeal in the Supreme Court.
The Supreme Court took serious note of the health hazards the milkmen were causing to the citizens of Bhubaneswar. Even the Supreme Court made it clear, "As by reason of the Orissa Municipal Corporation Act, within the periphery of the town, dairies or cowsheds cannot be maintained, the State cannot be entitled to adhere to its earlier plan of rehabilitating them in villages mentioned therein".
Making it abundantly clear that there does not exist any legal concept which confers a legal right upon the encroacher to be rehabilitated by State action, the Supreme Court has not only rejected the Appeal of the Milkmen but also has ruled that "In view of the 2003 Act, even the doctrine of Promissory Estoppels will have no application".
So in the Supreme Court the Milkmen have lost their case and the Apex Court has made it clear that the State Government is not even entitled to rehabilitate them.
In an earlier Order [(2004) 8 SCC 733] in Friends Colony Development Committee V. State of Orissa and Others case, the Supreme Court had ruled, "Not only filth, stench and unhealthy places have to be eliminated, but the (town planning) would be such that it helps in achieving family values, youth values, seclusion and clean air to make the locality a better place to live".
In another case between N.D.Jayal and another v. Union of India and others, reported in [(2004) 9 SCC 362], a 3-Judge bench of the Supreme Court held that Right to environment being a fundamental right it is the duty of the State to make it sure that people get a pollution free surrounding.
The Orissa municipal Corporation Act, 2003 under Sections 409, 543 and 548 by banning running of cow-buffalo-swine-sheds, has provided for the environment the Supreme Court has emphasized on.
Therefore the Supreme Court refused the Appeal of the milkmen and removed every obstacle from their eviction. This verdict was delivered on 2 February 2006.
But neither the Director of Estates, nor the Bhubaneswar Municipal Corporation nor the Bhubaneswar Development Authority has bothered to evict the milkmen. The concentration of milkmen rose from 686 in 1994 to 1000 in 2003 and it has possibly doubled by end of 2006. The surprising and unexplained reluctance of the State Government to evict the milkmen, even though brilliant youths like Bibhuti and Rubi have succumbed to air pollution caused by the cowsheds and scores of genuine citizens near whose residences the milkmen have been running unauthorized dairies on encroached lands have fallen victims to unhealthy environment affected by filth,
stench, dung and other excremental matters.
When the Law enacted in 2003 has prohibited dairy activities in Bhubaneswar and when the Supreme Court by rejecting the Appeal of the milkmen has stressed on their eviction saying simultaneously that the State is not entitled to rehabilitate them anywhere in the city and its periphery, why the State Government has not evicted them so far even though the Apex Court verdict was delivered on 2 February 2006?
It is therefore believable that the milkmen have been greasing the palms of officials to purchase their cooperation in rendering the Supreme Court judgment inconsequential.
*Huge Money*
If it must be happening then it must be a scam of ten lakhs of rupees per month, taking the officially admitted figure of milkmen to be one thousand. The 1000 figure pertaining to 2003, if they have doubled by this time, the amount of bribe must be 20 lakhs per month. This is a secret income exceeding many times the income the officers earn on records.
According to a calculation recorded by the Supreme Court, at Para 14 of its Judgment, "the income per annum of each gowala family of Bhubaneswar comes out to about Rs. 3,71,910.00 as admitted by them in the SLP. Deducting 50% out of the total income towards establishment and maintenance charges, net annual income per family comes to 1,85,950.00". This huge money every milkman family earns because he runs the dairy on encroached government land in prime areas of Bhubaneswar. To keep up this lucrative business, why should he hesitate to grease the palms of officers who are in a position to carry out eviction?
With this question, I had attracted attention of the Chief Minister as well as the Chief Secretary to the menace that poses pernicious dangers to human health in Bhubaneswar. It is not that they are not aware of this. But payola determining administrative decisions, the breeding centers of mosquitoes are flourishing in every cowshed illegally running in Bhubaneswar. ‘lI have information that attempts are being made to amend the Municipal
Act to undo the ban imposed by the 2003 Act on cowsheds so that the changed face of Law can obliterate the impact of the Supreme Court verdict.
Do I err in holding the Chief Minister's advertised eagerness to exterminate mosquitoes as mere acrobatics politicians display when they propound a cause that they never stand with?
Tuesday, June 05, 2007
Compansation for land in a coal project in Jharkhand
I like all of them except I want the Rs. 6000/annum, related to inflation. Lastly, I would like the school and hospital to be upfront. How else the kids will be educated in the interim? If the land prices go up more than the rate of inflaton they should be compensated further at at least 50%, to protect against manipulations of land market price.
- Sandip
The compensation that the Catholic nun fought for, and ensured, includes:
* The cost of the land acquired at the current market rate
* A job
* A school, education for students of the displaced families free of cost
* A hospital to provide them free treatment
* Rs 6,000 per acre per annum to compensate for the loss of agriculture
income
* Rs 210 sq m of land for home stead
* After mining complete, the land to be reclaimed and returned to its
rightful owner
"Valsa John gave her consent only after she was convinced that the company had offered the best compensation to the people," says Deputy Chief Minister Stephen Marandi, who backed her and signed the agreement between the Andolan and Panem as a witness.
Friday, May 11, 2007
Orissa MPs can do better by asking for royalty of Iron Ore to be linked 80% of world price.
As we know the protest has not yielded any result, at least immediately. Center has gotten accustomed to a an acquiescing Orissa, with little or no protest as much as a squeak.
My suggestion to them would be: don’t waste your energy in begging. I was checking yesterday and found that 46.7 million tons of Iron Ore have been raised last year from the mines of Orissa. If we could charge the world market price to the buyers we would have earned:
($84.4-$10)*46.5 million =$3.5 billion $$. Where $10 is the raising cost.
If we get this money where ever then GOO can have 15 – Rs. 1000 crore IITs. And if we can collaborate with MPs of Jharkhand and 36 garh, we will be in a position like OPEC countries to pay our way to developed condition.
Now some one may ask me, how do we get this done? This is money that the mine licensee are minting – how does Govt of Orissa /36 Garh / Jharkhand do it? My answer is through OMC. Now even if the cost is $15 due it’s inefficient & higher cost ways (not corrupt) the money can be given back or donated to GOO prescribed causes and spent on the mining areas for their development. There will be enough, Rs.15000 crores earning for every cause in Orissa. If we get $60 as royalty - there still will be $25 for mining and transportation. It is OK to have the pit head steel plant but that they can be given the lisence so the state gets it's $60 or 80% of world market price which ever is greater. Posco/ Mittal or TATAs will still have 5% advantage over others to locate in Orissa or 36 Garh or Jharkhand, considering there is a 15% disadvantage of backward area(infrastructure).
Let the MPs do us a favor, demand and raise the Royalty to 80% of the world Ore price(thus link it to the same permanently and GOO ensure that there is no stealing of Ore from the mines as prevelant. And Orissa will have money for everything and to spare. We need to spend the money to make our 7,011 high schools were functioning in the State(now 7800) Oriya medium High schools, 44,416 Primary Schools, 14.233 Upper Primary Schools, comparable to the English medium schools or better like it was in 50s and 60s, when a Purusottampur High School produced a topper in High School Certificate examination. (http://orissadiary.com/orissa_education/orissa_education.htm)
An educated citizenry can take care of themselves.
Best wishes,
Sandip
Thursday, May 10, 2007
For People and Planet - Al Gore and David Blood
Abstract (Document Summary) | |||
The industrial revolution brought enormous prosperity, but it also introduced unsustainable business practices. Our current system for accounting was principally established in the 1930s by Lord Keynes and the creation of "national accounts" (the backbone of today's gross domestic product). While this system was precise in its ability to account for capital goods, it was imprecise in its ability to account for natural and human resources because it assumed them to be limitless. This, in part, explains why our current model of economic development is hard-wired to externalize as many costs as possible. The interests of shareholders, over time, will be best served by companies that maximize their financial performance by strategically managing their economic, social, environmental and ethical performance. This is increasingly true as we confront the limits of our ecological system to hold up under current patterns of use. "License to operate" can no longer be taken for granted by business as challenges such as climate change, HIV/AIDS, water scarcity and poverty have reached a point where civil society is demanding a response from business and government. The "polluter pays" principle is just one example of how companies can be held accountable for the full costs of doing business. Now, more than ever, factors beyond the scope of Keynes's national accounts are directly affecting a company's ability to generate revenues, manage risks, and sustain competitive advantage. There are many examples of the growing acceptance of this view. |
| Full Text (865 words) |
| (c) 2006 Dow Jones & Company, Inc. Reproduced with permission of copyright owner. Further reproduction or distribution is prohibited without permission. Capitalism and sustainability are deeply and increasingly interrelated. After all, our economic activity is based on the use of natural and human resources. Not until we more broadly "price in" the external costs of investment decisions across all sectors will we have a sustainable economy and society. The industrial revolution brought enormous prosperity, but it also introduced unsustainable business practices. Our current system for accounting was principally established in the 1930s by Lord Keynes and the creation of "national accounts" (the backbone of today's gross domestic product). While this system was precise in its ability to account for capital goods, it was imprecise in its ability to account for natural and human resources because it assumed them to be limitless. This, in part, explains why our current model of economic development is hard-wired to externalize as many costs as possible. Externalities are costs created by industry but paid for by society. For example, pollution is an externality which is sometimes taxed by government in order to make the entity responsible "internalize" the full costs of production. Over the past century, companies have been rewarded financially for maximizing externalities in order to minimize costs. --- Today, the global context for business is clearly changing. "Capitalism is at a crossroads," says Stuart Hart, professor of management at Cornell University. We agree, and we think the financial markets have a significant opportunity to chart the way forward. In fact, we believe that sustainable development will be the primary driver of industrial and economic change over the next 50 years. The interests of shareholders, over time, will be best served by companies that maximize their financial performance by strategically managing their economic, social, environmental and ethical performance. This is increasingly true as we confront the limits of our ecological system to hold up under current patterns of use. "License to operate" can no longer be taken for granted by business as challenges such as climate change, HIV/AIDS, water scarcity and poverty have reached a point where civil society is demanding a response from business and government. The "polluter pays" principle is just one example of how companies can be held accountable for the full costs of doing business. Now, more than ever, factors beyond the scope of Keynes's national accounts are directly affecting a company's ability to generate revenues, manage risks, and sustain competitive advantage. There are many examples of the growing acceptance of this view. In the corporate sector, companies like General Electric are designing products to enable their clients to compete in a carbon- constrained world. Novo Nordisk is taking a holistic view of combating diabetes not only through treatment but also through prevention. And Whole Foods and others are addressing the demand for quality food by sourcing local and organic produce. Importantly, the business response is about making money for shareholders, not altruism. In the nongovernmental sector, organizations such as World Resources Institute, Transparency International, the Coalition for Environmentally Responsible Economies (Ceres) and AccountAbility are helping companies explore how best to align corporate responsibility with business strategy. Over the past five years we have seen markets begin to incorporate the external cost of carbon dioxide emissions. This is happening through pricing mechanisms (price per ton of carbon dioxide) and government-supported trading platforms such as the European Union Emissions Trading Scheme in Europe. Even without a regulatory framework in the U.S., voluntary markets are emerging, such as the Chicago Climate Exchange and state-level initiatives such as the Regional Greenhouse Gas Initiative. These market mechanisms increasingly enable companies to calculate project returns and capital expenditures decisions with the price of carbon dioxide fully integrated. The investment community has also started to respond. For example, the Enhanced Analytics Initiative, an international collaboration between asset owners and managers, encourages investment research that considers the impact of extra-financial issues on long-term company performance. The Equator Principles, designed to help financial institutions manage environmental and social risk in project financing, have now been adopted by 40 banks which arrange over 75% of the world's project loans. In addition, the rise in shareholder activism and the growing debate on fiduciary responsibility, governance legislation and reporting requirements (such as the Global Reporting Initiative and the EU Business Review) indicate the mainstream incorporation of sustainability concerns. While we are seeing evidence of leading public companies adopting sustainable business practices in developed markets, there is still a long way to go to make sustainability fully integrated and therefore truly mainstream. A short-term focus still pervades both corporate and investment communities, which hinders long-term value creation. As some have said, "We are operating the Earth like it's a business in liquidation." More mechanisms to incorporate environmental and social externalities will be needed to enable capital markets to achieve their intended purpose -- to consistently allocate capital to its highest and best use for the good of the people and the planet. --- Mr. Gore, a former vice president of the United States, is chairman of Generation Investment Management. Mr. Blood, formerly head of Goldman Sachs Asset Management, is managing partner of Generation Investment Management, which he co-founded with Mr. Gore. |
Monday, May 07, 2007
My letter to Indian Express..In response to Chitta's article as comment
Else why the following is not done:
1. Why can't Orissa Assembly pass a resolution - unanimously - both the treasury benches and opposition together- to ask for market price for the ores and linked escalation in future? They may then give back a portion, say 15% to compensate the iTATAS, for the current inadequate infrastructural facilities? And this to be discontinued when the infrastructure is put in place.
2. Why can't the 21 MPs sit in for this in the parliament one day or unanimously protest or sign in a petition to the PM to the same tune as the state legislature? This will bring in more money per year than the current Orissa budget?
They saw the effect of NISER protests, and this is more beneficial for the state and it's people.
3. Why can't Orissa, 36 garh and Jharkhand Govt collaborate like OPEC rather than compete among each other, so POSCOS and TATAS compete for their favors and not themselves(as free market is supposed to be)?
5. Giving away Govt land or commons is another issue which should be kept in mind. Because people fight for their interest those issues are in the fore front. But it seems neither the MLAs or MPs are protectors of Govt interest. They give away public property for free - result rise of reincarnation of Jamindari system - the SEZs which is another important related issue, on which everyone is silent.
Monday, March 26, 2007
My letter to Baijayanta Panda MP...on reading his article.
1. Your suggestion of: "dictating a major revamp of land acquisition policies. Because it will be hard to get farmers in lush, irrigated lands ..,, to be evicted even if the government persists with the line that theirs is sub-optimal "single crop" farmland. ,,, without first having a concrete and lucrative alternative in hand, including retraining and jobs, not just cash compensation."
2. Not using police.. or using police with patience.
It is clear that Nabin babu has learnt from his earlier traumatic experiences in Kashipur and Lanjigarh.
However you have not touched two points which needed to be mentioned to make it more factual and useful.
1. BJD is no cadre based party, so Navin babu could have only used lumpen because they don't have any cadres - the luxury that WB, CM had, and has misused.
2. The fact that land records are out dated and need to be updated before area is targeted for acquisition, more in detail, rather than indirectly in the last paragraph. Technology use to update land records is very necessary.
Additionally:
The contradiction that CPM is opposing the very SEZs they are implementing in West Bengal, and using of the same age old method - while using different rhetoric. Consequently their natural allies are up in arms and finally because they have used same decrepit way of dealing with dissent. A sad let down for the now active and vociferous(??) civil society of India. I personally thought CPM would do it differently and set a gold standard for R& R. They initially showed signs of meeting this expectation, when they accepted the right to compensation, of share croppers in addition to the land title holders.
Lastly, and though it is a digression from the issue you have handled so nicely, I am compelled to mention some questions that need to be addressed by the decision making authorities. A a lot more transparency of terms in MOU and the contracts would be highly desirable. Some unanswered questions going around are:
1. Why should Orissa give away Iron Ore at $0.57 cents while world price is $84.10 and rising? I have calculated that for each 1 million tonne plant give away is $350 million per year only for Iron Ore. You add subsidy of free water, coal, infrastructure etc and the numbers get astronomical.
2. And the icing on the top of cake is the SEZ status. Why should you give it for a steel plant?
3. Why should the state give free land, when they are coming to Orissa because other sources have started charging market price?
4. Why TATA land in Gopalpur is not being taken back, as an example to other potential defaulters?
5. Why can't they form a cartel like the OPEC between the 3 state Governments - Jharkhand, 36 Garh and Orissa to get market price and more for iron Ore.
6. Why there are no escalation clauses in the MOUs or are there? International market price has gone up from $34 to $84 in last 4 years.
7. Why and how the externals are going to be taken care of?
8. Why with India(Orissa)'s high density of population is not being considered when companies are asking for land or being allotted land? Why can't the company town idea let go? And the residential high rises left to the local developers? Why incoming companies are not asked to grow vertically rather than creating more Tatanagars or Rourkelas, for which there is no land? After all India has 14 times more land to population ratio as United states.
9. Additionally, I really don't understand why the modern plants which need very few men and operators to operate, are demanding more land not less? For example I could never understand why TATAs demanded and got 3 times more land, than Maruti Udyog producing 3 times more vehicles. That too 30 years later? Are they into profiteering in land - knowing they will get it free?
10. Why is a criminal claim of 10 thousand acres of for an University, even being discussed? Even at 5 lakhs per acre it is upfront give away of 500 crores by GOO which is not flush in money anyway? Can't they build vertically rather than horizontally?
Thanking you again for excellent articulation of Govt of Orissa's and your parties' stand, and making some very good points. I like to again inform you that I highly appreciate your idea of "Pre-poning"/ upfronting the R & R issues rather than "Postponing" them, to the end. That way the embarrassment of RSP's land acquisition being not complete after 50 years wont be there.
Non-violence vs. Violence, what is right?
I dislike both state and activist, violence. You cant include one in your equation and exclude the other. And I think it is a hypocrisy to accept one and not the other. They are mirror image of each other.
I am thus against death sentence.
Late Nabakrusna Choudhury and Malati Choudhury, were life long Gandhian and fully aware of both sides of the debate. They always told that this is a political problem and not a law and order problem. However when you don't handle it politically it goes out of hand because most people don't have the luxury of debating it, in an intellectual and indifferent manner, and the state has the responsibility here of defining the parameters and boundaries. Activist violence (or Naxalite violence for that matter,) is based on objective situation. For example two days back there was a news item - I wish I had saved the link - from Maharashtra. The PMs had recently gone there and declared a package to avert suicide of farmers. There was a stipulation in there to pay out Rs. 5000 per farmer- as emergency relief. The babus however are demanding a bribe of Rs. 2000 up front for disbursement of this money. Now the question is who will punish them? No doubt Chandra Babu Naidu did bite the dust for similar situation in AP - but were the bureaucrats responsible for 5000 suicides in AP penalised in any way? Now what would you do, if you were the kid of one, who has thus committed suicide? And you have seen this wrong policy being perpetrated year, after year, after year? Some one pays with his life and some one else enjoys. Political violence is a risky game. Stakes are very high and thus only highly committed and convinced people can take that path. It is not for the faint hearted, for sure. There is no assured light at the end of the tunnel. NO GADDI or Governorship, is assured either.
One of my pet theory is that Gandhi's greatest contribution is the tactical lowering of the height of the hurdle. By bringing in nonviolence he expanded participation in freedom movement many fold and thus made India ungovernable for the British.
In business terms, by his tactics Gandhi made the return on on British colonial investment negative and thus they got out.
That is why I admire Gandhi: http://mathtalentsearch.blogspot.com/2006/05/relevance-of-gandhi.html
That is why I crave for the expansion of the civil society, and I was one of the most disappointed persons when AP Govt broke off with the AP Naxalites at the behest of their Police / bureaucracy.
I remember even such eminent socialists, and later environmentalist like Late Banka Behari Das, stating that being a minister he can't go against interest of the Govt. (though it conflicts with the interest of the people ).
This is such an important issue that we have to think out of the Box.
The colonial mind set is still prevalent in India, largely. Why else can't they get rid of the oppressive laws in Manipur etc and make it linger indefinitely? How can a Govt. provide it's Military with a legal cover to rape it's own citizen, and get away with impunity? Do you think we have a right to judge those people, who under those circumstances take law in to their own hands, and become violent, after 50 long years? I think the situation is better and but not much better / different in Malkangiri or Chitrokonda( or greater KBK area). Tell me why else such a movement survived for 40 years? Lot of leadership / activist were killed or jailed and many have left the field just because they have become old. Yes, those who were 25 year old have become 65 years - if they survived the OMP action all these years. The intensity has only increased & not decreased, and so have their numbers and area of influence. It has not reduced over all these years. Ministers are even afraid of going to districts for flag hoisting. Does not it tell you something, about the of objective conditions?
Because of her celebrity status Ms. Arundhuti Roy is bringing the information and issues to the fore. But why should we grudge it? We have not banned Cine stars from participating in Election rallies. Actually couple of them are MPs, one couple continue as such even after filing false affidavit with the election commission about their marital status.
Let me tell you one fact to bring to you the dimensions of frustration of many interested in improvement of secondary education. For each 1 million tonne steel plant GOO gives a subsidy per year of 1500 crores only on iron Ore, a resource lost for ever. Yet 40 thousand school teacher posts are vacant today which will cost 200 / 250 crores/year which will make states' foundation of secondary education strong. Of course teaches have to teach but how can you ask them to if they are not there?
And you have heard already about the scandal about old colleges like Bikram Deb College Jeypore having only one Math professors for years. And the status of 3 old Universities of the state 50+-10 years old.
Again it seems I am digressing far but how can you make people non-violent without making them aware of the issues of the debate and hence part of a civil society? How can you ignore their minimum demands and then expect them to remain docile? I put you the same questions I wrote in my appeal to PM, for an IIT in Orissa (actually I like him very much for his honesty and simplicity of living). How do you encourage non-violent behavior by ignoring such protests - and I think that it what Ms. Roy is arguing per my understanding of the interview.
The enemy no longer is recognizable by the color of their skin, which in Gandhi's time was the case.
Tuesday, March 20, 2007
My letter to CMO on January 19 on - NISER
Happy New Year.
We are delighted to read in newspapers a report of Dr. Kakodkar's visit to meet you in regards to the NISER. The reports mention that now the NISER budget has increased to 750 crores and that NISER will start classes in July 2007. They also mention that NISER may expand into a science city. We really appreciate the state governments supporting role to all this.
It is an urgent concern to us that the land for NISER has not been finalized. We would request that the Orissa government to finalize the land for NISER as soon as possible, preferably in the next 30 days. We really want you to give this task top priority, and grant NISER's choice of land, first preference.
We hear that same land has been shown to Sri Sri Ravishankar.
However granting NISER their first preference is very important because NISER, being centrally funded will be there for ever ( i.e., as longs an entity called India exists) and its reputation will keep growing.
In contrast the existence and reputation of a private entity may not transcend beyond the life of the person heading that entity; especially in the Indian context where there has not been many private higher educational institutions. Therefore we urge that NISER be given priority and preference, over any private entity that may have eyed the same land.
There is another very important reason to keep NISER and DAE happy by granting them their first choice of land location immediately.
As you know Orissa has lost out in the recent allocations of the new IITs which were allocated to Andhra Pradesh, Bihar and Rajasthan.
We are also shocked that the branch campus plan of IIT Kharagpur in Bhubaneswar has been shelved.
Under those circumstances, it would be a great and wise move on Orissa's part to immediately grant the land for NISER, and push it ahead, to fruition.
Thus the expeditious land allocation has become urgent. We need to seal the deal and move ahead, asap.
Dear Chief Minister: We earnestly request that you immediately grant NISER and DAE its first choice of land.
We can then move on to the other issues and projects.
Sincerely and with best regards
Richland,
WA -99354
USA
Tuesday, February 20, 2007
The problem of funding the poor and meritorious students at - National Institute of Technology, Rourkela, possible solutions: By Sandip K. Dasverma
Due commercialization of education it is usually a problem for the poor and meritorious to defray the expenses needed for NITR. I have been for last few years associated with different organizations, like FFE and Vikas, who offer scholarships. The demand has been found to be more than the supply. This is an evaluation/analysis/ solution based on my experience. I have tried to pen down possible solutions to raise about 40 more financial support to students, which in my opinion will resolve the problems. Various alternatives have been suggested and evaluated.
The loan alternatives will need formation of Self Help Groups to ensure return of the money loaned to ensure perpetuation of loan fund.
Possible solution:
One commonly known and suggested solution is to create a corpus fund for scholarships, which our friend Vallabha has kindly suggested and is in the process of actualizing. (See note)
To do so we need couple of crores. With Fixed interest in India hovering around 6% to give out 10 scholarships @ Rs. 25,000 each, we will need to raise and invest 42 lakhs for one year, to get the 2.5 lakhs needed.
A similar amount will be necessary to be raised every year to continue at level of 10 scholarships per year for 3 more years.
In other words to give 10 scholarships a year / batch would need:
=0.42*4(batches) =1.68 crore in the corpus fund.
Once this 42 lakhs is raised every year for 4 years, ten scholarships can be perpetually given for each admission year and continued for 4 years for each batch.
NOTE:
With present 10 lakh target we will get only 60 thousand to distribute at the end of the year after investment i.e. 3 scholarships of 20 thousand each or 2 scholarships of 30 thousand each only can be awarded.
Alternative 1.
Loan Scholarships:
We assume a similar amount of 42 lakhs are raised and invested in Bank fixed deposits. The interest earned is given out to students as loans. They will pay an interest equal to SBI interest rate on this loan. (or fixed deposit rate plus 3%, which ever is lower, to cover for inflation and default due to death / disability.)
Here also for the 1st, 4 years(@42 lakhs every year(a total of 1.68 crores have to be raised) but after first 4 batches, they will perpetuate. No further fund raising will be required.
However from the 5th year additional 10 scholarships can be awarded from money paid back, by graduated students. Thus every 4 years ten (10) additional loan scholarships can be started, without raising additional funds.
NOTE:
With the present 10 lakh target corpus fund, being raised at the initiative of vallabha and friends, we can afford only 3, 20 thou loan scholarships every year, from 2nd year of raising the funds.
Alternative 2:
With much less money(for example the 10 laksh being raised) we can ensure that 10 students, get money they need. This is by either using methods in option 1 or option 2, described below:
Option 1:
In this option the loans will be from commercial banks, only securitized by the Alumni Association corpus fund. We raise only 10 lakhs corpus fund and use the interest (Rs. 60 thou) of the fund to give security to the bank loan by buying insurance for the banks loans. ( I am forwarding this proposal to some banker friends of mine to get their inputs as to what is the constraint on this, I am sure Rs. 6 thou will be sufficient to insure each student’s life insurance for Rs. 25000, and loan insurance for death or disability / unemployment.)
Option 2:
In this option the loans will be from commercial banks, only securitized by the Alumni Association corpus fund. This method based on corpus fund Alumni association just issues a security of an amount of up to Rs. 25 thou of loan for each student from bank. This way 10 lakhs can be utilized to ensure a total of 40 scholarships per year. After one year it will become 42 scholarships and each year the number of scholarships will go up by 2 because the fund value will increase. (probably more than 40 loans can be securitized, it has to be checked with the banks)
Alternative 3:
Sponsored / Named loan scholarships:
• The Alumni Association will accept sponsored loan scholarships from Alumni, in the name of parents or beloved one(XYZ Memorial scholarship).
• Intending Alumni will donate 25 thou each year for 5 years, (alternatively they can also pay equivalent in lump sum at one time to be handled in the same way.)
• Alumni will donate Rs 25 thou for 5 years (one more year to cover the time after graduation the student will take to pay back the loan)
• When such money is received back from the student loan by the Alumni fund it will issue a loan scholarship to a fresh student. The scholarship continues to have the same name as previously by the donor.
• After graduation and landing on a job, each year student will pay back the loan principal and interest, at the prevailing bank student loan rates.
• Student will pay back each year amount of money equal to loan he took each year.
• Thus XYZ memorial scholarship will be perpetuated.
(I personally would prefer to go this alternative to establish two scholarships in the name of my deceased parents)
Alternative 4:
The Alumni Association and NIT authorities together can and should lobby the Banks and the Govt. of Orissa to declare NIT, Rourkela as an Institute of Excellence (like the IIMs and IITs) that IT IS, so all the students qualifying for admission get assured of unsecured Bank loans.
Advantages of alternative methods:
1. Alternative methods both reduce the investment needed (i.e. fund raised) and / or stretch the number of scholarships. When we convert the scholarships to loan scholarships, it increases very fast the number of scholarships, by making the money returnable when student is able to pay, i.e. they start in jobs. It brings a quick rise in number of scholarships.
2. Assured of money for support their ability for the students to work hard, on their future, is greatly enhanced.
3. Usually at the current pay level of an (2007) NIT Alumni, total loan is less than 4 to 5 month’s salary even in the 1st year of working. Thus they can easily repay in 5th years with interest, all money they needed, when they needed. Because they are paying when able and capable. It is recommended that they pay back each year, money they loaned each year in college.
4. In changed family situations of death or disability of key family members, loans can be started in 2nd year or 3rd year or even final year, because loan money is under control of Alumni Association and since college authorities are fully aware of such exigencies, it will come handy with their recommendation.
5. The alternative #3 is very attractive for many but the catch is in the execution. Transparent, efficient execution will really benefit the students.
Notes: I am informed by a banker friend that the fixed interest rates have gone up to 9%, so the figures will be more favorable for now.
A proposal the banks can’t refuse: By Sandip K. Dasverma
For nearly three years me and some of my friends are building a case for, bank loans for the needy and meritorious students of Orissa, in professional colleges. This is to facilitate easing the way for the meritorious and needy students, from lower economic classes, that are trickling up the system ladder. They are from families whose kids are 1st time in the colleges or students whose parents belong to the extreme poor. They are hardy enough to have survived the 90% drop out rate of schools, in spite of extremely deprived family backgrounds. If aided financially these kids go on to earn monthly salaries which are equal to their annual financial aid. They are a very good investment for any Bank.
All public sector banks, including SBI, have on policy accepted that unsecured loans up to 5 lakhs, can be granted, to these first class students.
In practice however this has not happened for various reasons, some of which are discussed below.
A. Two reasons that we have found from personal investigation, are:
1. Graft, i.e. by only subjecting the kids and their families to a run around, an extra documentary price (bribe) can be extracted from the concern parties. However this leads to two unintended consequences for the banks.
a. The needy don’t get the loan they need, in a timely manner.
i. A few give up their studies.
ii. Most pay the extortion money from the money they borrow, since they don’t have resources to pay the bank personal.
iii. Thus bitter they make up their mind to punish the extortionists by not paying back the money.
2. Past history:
a. It has been found that some students after taking loan for study default in paying back the loans. This has been highlighted by the 1st category officers above to justify their harassment.
b. A few kids from better off families take loan, (not paying bribe but due to the influence of their family and friends), to have ‘fun’ in the college. They take the money aware that they don’t need the money but also aware that using their influence they can avoid paying the money back.
c. SBI and other public sector banks have in case of defaults end up holding responsible personally, the managers of the branches sanctioning these loans, per commercial practice.
d. Faced with the situation honest bank managers have started to avoid granting such study loans, altogether or have insisted on property security.
e. The real poor have thus only two ways left for them:
i. To find a relative to pitch in and provide the security.
ii. Just give up the hope of higher studies after trying for a few months or bribe their way out of the jam. And many don’t have even money to pay the bribe. They pay bribe from the loaned money and are so bitter, that they are very reluctant to pay back the money to the bank.
Thus the ‘unsecured’ loan for meritorious and poor students have fallen by the way side. This has devastated impoverished states like Orissa, where first kid in the college in many economically backward families and in backward areas, are reaching colleges.
B. Basic philosophy in promoting bank loan are:
• Students spend their time in studying and not waste their time to run to the banks.
• If they are admitted to, say NIT, and evaluated to have financial need, as per a standard, they are ensured loan.
• They pay back when they get job. If they don’t, market interest are charged to them rather than the subsidized student loan rates. These days good students, who go to good Engineering colleges, are getting jobs even before they leave college.
• They pay back the bank loan money as soon as they are capable, so the fund grows.
C. How too prevent default and reduce risks of student loans to SBI, some ideas:
1. Self Help Groups (SHG ) of the loanee students are formed from 1st year onwards, who are expected to persuade the graduating student to return the money – so they can get loan (using the general principles of SHG). All four class SHGs meet in the college every quarter to share experience and discuss difficulties, with the local Bank managers and student deans.
2. Since the graduating class and next junior class students are in the college at the same time, they will have enough clout to persuade their seniors, to return loan.
3. The SBI or other banks, which have a collection department, only need to get the address of the graduated students to ensure recovery. This can be easily ensured by the above non-traditional channels to reduce the risks involved.
4. Additionally, the students come one year later for the degree and convocation function. If college authorities can be kept in the loop, to extend any help necessary in this regard.
5. Most importantly, the seniors who help the juniors, providing contacts and network for jobs/employment, can and will also help pressurize, the less than one in 100, who default.
6. Civil society members and eminent persons like the FFE facilitators can ensure that banks will get the addresses of the students, after they graduate.
7. Start it at a few eminent colleges like NIT, Rourkela and test the operations, then fine tune and move them to other colleges later.
D. What Banks can do to improve their public images and eradicate genuine grievances, and to help the needy while only following their avowed policy of giving Unsecured Loans:
They can take a few very simple steps to avoid administrative hassles and improve transparency:
1. Every year publish a budget their target of lone they want to sanction, on their web site.
a. With security
b. Without security.
2. Between September and March publish every month on web site, the progress:
a. Number of Applicants
i. For secured loans
ii. For unsecured loans
b. Ask each branch to publish their own list of:
i. Unsecured loans granted
ii. Secured loans granted.
iii. Number of pending applications
c. Publicly display at each bank branch:
i. a list of names of loans status in each category, as in item b (above), which can be seen by public, similar to documents for public view per provisions of Right to Information Act.
3. Declare a few eminent institutes of the state as institutes of Excellence, (which they really are) and qualify anyone admitted there for bank loans, such as:
a. NIT, Rourkela, (unsecured loan of up to 1.2 lakhs in 4 years)
b. UCE, Burla, (unsecured loan of up to 1.2 lakhs in 4 years)
c. IGIT, Samal, (unsecured loan of up to 1.2 lakhs in 4 years)
d. CET, Bhubaneswar, (unsecured loan of up to 1.2 lakhs in 4 years)
e. SCBMCollege, Cuttack, (unsecured loan of up to 1.5 lakhs in 5 years)
f. VSSMCollege, Burla (unsecured loan of up to 1.5 lakhs in 5 years)
g. MKCGMCollege, Berhampore,(unsecured loan, 1.5 lakhs in 5 years)
h. Ravenshaw College, Cuttack, (Unsecured loan to Rs. 10 thou per year to maximum Rs. 40 thousand)
i. BJB College, BBSR, (Unsecured loan to Rs. 10 thou per year to maximum Rs. 40 thousand)
Lastly, the Alumni Associations of each of these institutes could activate themselves and assist to resolve these issues that have emerged due commercialization of Education. Cost of education have risen beyond the resources of the society for which, this education is meant.
The Alumni Associations have to step in support of the poor and meritorious students and to facilitate the sanction of bank loans.
Tuesday, February 06, 2007
A proposal the banks can’t refuse. By Sandip K. Dasverma
The public sector banks, including SBI, have on policy adopted that up to 5 lakhs, they will give loan, without any security, if a student is a first class student. B
In practice however this has not happened. Though as a publicity stunt they have
competed with each other to help students such as Dipak Das.
Two reasons that we have found from personal investigation, are:
1. Graft, i.e. by only making kids and their families run, a price can be extracted.
2. Past history:
a. It has been found that some students after taking loan for study default in paying back the loans. This has been highlighted by the 1st category officers above to justify their harassment. Additionally SBI and other public sector banks have in case of defaulters ended up in holding responsible personally SBI managers of the branches for these loans, per commercial practice. Faced with the situation other bank managers have started avoiding granting such study loans, altogether or have insisted on security.
The real poor have thus only two ways left for them:
i. To find a relative to come in and provide the security.
ii. Just give up the hope of higher studies after trying for a few months or bribe their way out of the jam. And many don’t have even money to pay the bribe. They pay bribe from the loaned money and are so bitter, that they are very reluctant to pay back the money to the bank
Thus the ‘unsecured’ loan for meritorious and poor students have fallen by the way side. This has devastated impoverished states like Orissa, where first kid in the college in many economically backward families and in backward areas are reaching colleges
Some of us have seriously looked at the situation. One solution is to create a corpus fund of say couple of lakhs and provide the security to the Banks to provide loans. This way a much smaller amount of money can provide bank security to much larger amount of Bank loans.
Example: Let us say college C’s alumni raise a fund of 10 lakhs. If we give this money away as scholarship to 40 people (@25 thousand per year) it will get finished in a year. However if we give it as loan to same 40 people, all we have to do is to continue for 4 more years and then it will repeat itself without any external money.
So 40 lakhs will perpetuate itself to provide for 40 students every year.
Still better would be to use these 10 lakhs and keep it in a bank as a security deposit. Or create a corpus fund from which will be used as a security. In this case 10 lakhs can be used as security money for 40 students each year and next year’s money can be used for another 40 and similarly so 160 students can be supported and the cycle repeated.
The other alternative will be to insure the loans and pay insurance from the earnings of the 10 lakhs.
I would like to have banks look at it and see what the holes in this argument are.
Advantages of alternative method:
1. Security money for say 160 students who take loan from the banks, without paying out the money.
2. Use the money’s yearly interest to pay the insurance premium for the student loans, thus leveraging the money to get loans for much higher number of students than the 40 otherwise possible.
Basic philosophy in promoting bank loan are:
• Students spend their time in studying and not waste their time to run to the banks.
• If they are admitted to, say NIT, and evaluated to have financial need, as per a standard, they are ensured loan.
• They pay back when they get job. If they don’t market interest are charged to them rather than subsidized student loan rates. These days good students, who go to good Engineering colleges, are getting jobs even before they leave college.
• They pay back the bank loan and insurance money as soon as they are capable, so the fund grows.
How too prevent default and reduce risks of student loans to SBI, some ideas:
1. We create SHG of the students from 1st year onwards, who are expected to persuade the passed out student to return the money – so they can get loan (using the general principles of SHG).
2. Since the senior most and next junior class students are still in the college at the same time as those who graduated out, and they still need money, they will have enough clout to push for repayment, by their seniors.
3. The SBI or other banks, which have a collection department, only need to get the address of the graduated students to ensure recovery. This can be easily ensured by the above non-traditional channels to reduce the risks involved.
4. Additionally, the students come one year later for the degree and convocation function. If college authorities are in the loop thus they can also help.
5. If we start it at an eminent college like NITR and test modus operendi we can fine tune and move them to other colleges, Most importantly, the seniors who help the juniors to network for jobs, will help pressurize the less than one in 100, who default.
6. Civil society members and eminent persons like the FFE facilitators can ensure that they will provide the addresses of the students, when they graduate.
What Banks can do to improve their public images and eradicate genuine grievances:
They can take few very simple steps:
1. Every year publish a budget their target of lone they want to sanction, on their web site.
a. With security
b. Without security.
2. Between September and March publish every month on web site, the progress:
a. Number of Applicants
i. For secured loans
ii. For unsecured loans
b. No of loans sanctioned by each branch divided in to two categories:
i. Unsecured
ii. Secured
iii. No of pending applications
c. Provide at each bank branch a list of names of loans status in each category in item b, which can be seen by public, similar to documents for public view per provisions of Right to Information Act.
3. Declare a few eminent institutes of the state as institutes of eminence, (which they really are) and qualify anyone admitted there for bank loans, such as:
a. NIT, Rourkela,
b. UCE, Burla,
c. IGIT, Samal,
d. CET, Bhubaneswar,
e. SCBMCollege, Cuttack,
f. VSSMCollege, Burla and
g. MKCGMCollege, Berhampore,
h. Ravenshaw College, Cuttack,
i. BJB College, BBSR,
Monday, February 05, 2007
My letter to PM on IITs - Feb 4 2007
Prime Minister of India
Tel: 91-11-2301-2312 , 2301-8939
E-mail: pmosb@pmo.nic.in
http://pmindia.nic.in/write.htm
cc: Mrs. Sonia Gandhi,
President of Indian National Congress and UPA
10, Janpath, New Delhi 110011 India
PH: 91-11-23014161 , 23014481
E-Mail: soniagandhi@sansad.nic.in, aicc@congress.org.in
cc:Mr. Naveen Patnaik, Chief Minister, Orissa, BBSR,
cmo@ori.nic.in
BCC: Members of Parliament of Orissa
Dear Prime Minister:
To all of us, the people of Orissa, the following news is a bolt from the blue. We are asking ourselves – What wrong, have we done, to deserve this, stepmotherly actions from Goverment of India(GOI), time and again?
Because unlike others:
1. We, Orissans did not in our protests (http://iiser.blogspot.com/ ) last year, use any of the disruptive mechanisms like:
* Rasta Roko,
* Rail Roko
* Bundhs etc
2. Instead we used peaceful and modern methods such as:
a. letter writing,
b. candle light vigils,
c. writing in news media,
d. talked to our representatives (MPs) and convinced them to talk to YOU and the Indian parliament.
But instead of being rewarded for our civil behavior and methods, it seems now we are being punished. In this time of strife and terrorism, in many parts of India and world, is this the message you SIR, want to send to your people?
The clear message seems to be: BE VIOLENT AND WE WILL THEN NEGOTIATE WITH YOU? OTHEREWISE WE DON'T CARE OR GIVE A DAMN, AS TO WHAT YOU SAY.
BECAUSE when those who get violent, get what they want, the civil society concludes as follows:
* Protest violently and you get an IIT or similar institution as reward (example: IIT in Assam, Central Institute of Technology, Kokrajhar, Assam as a deal with the Bodos, Sant Longowal Inst. in Punjab, etc.)
* and if you protest peacefully, GOI will punish you, i.e., even take away an announced for IIT or two.
* Hold us to ransom, YOU HAVE YOUR WAY.
* Do non-violent protest and WE GIVE YOU A DAMN.
We believe in peaceful, non-violent and non-disruptive protests and thus we are again writing to you.
We sincerely hope that you will annul the steps amounting to punishment of taking away an IIT from Orissa. Additionally, you will allocate an IIT for Orissa in the 11th plan, as was announced by your (the union) minister of state for HRD Mr. Fatmi on August 28th at Patna.
We also sincerely believe that the 2nd campus of IIT, Kharagpur in Orissa will not only be restored but will be taken full throttle forward and fructified into a full sister IIT of IIT, Kharagpur.
We are shocked to hear recently in Decmeber the following:
19th December 2006: (Various News reports)
The government will set up the eighth Indian Institute of Technology (IIT) in Andhra Pradesh, Chief Minister Y.S. Rajasekhara Reddy announced in the state assembly Tuesday.
20th December 2006 (News reports)
http://timesofindia.indiatimes.com/NEWS/India/IITs_to_come_up_in_Bihar_Andhra_and_Rajasthan/articleshow/870671.cms
With the Union human resource development ministry approval, the path has been cleared for the setting up of three more Indian Institutes of Technology (IITs) — in Rajasthan, Bihar and Andhra Pradesh. At present there are seven IITs in the country — in New Delhi, Mumbai, Kharagpur, Kanpur, Roorkee, Chennai and Guwahati.
Because earlier we had the following news:
11th Plan: News reports say they will have establishment of three
new IITs http://economictimes.indiatimes.com/articleshow/459579.cms
Each new IITs: At a cost of Rs 4000 crores over six years.
http://economictimes.indiatimes.com/articleshow/459579.cms
28th August 2006:
http://timesofindia.indiatimes.com/articleshow/1933613.cms
"... The announcements were made by Union minister of state for HRD MAA Fatmi at the inaugural ceremony of a new experiment of the National Institute of Open Schooling (NIOS) called "On Demand Examination" here on Monday.
Fatmi said, "The proposal for one IIT for Bihar and two for Orissa and one Western Indian state besides one IIIT to Bihar will be
included in 11th Five Year Plan". ...
Additionally, during a visit to BBSR the Director of IIT, Kharagpur, had, (obviously at the GOI's concurrence), announced expanding the BBSR extension center into a full fledged branch of IIT, Kharagpur. This branch in due course was envisioned to emerge as a full IIT.
Dear Prime Minister, you can well understand our anguish, when after promising 2 IITs you give us to NONE?? This is unconscionable and unacceptable.
We urge you to reconsider your decision and undo the wrong done to Orissa and it's people.
Why SIR, is YOUR Government rubbing the Orissa's civil society's patience and sense of dignity, time and again?
You know how a sanctioned IISER was relocated out of Orissa last year to KOLKATA. The resultant public resentment/hue and cry, was taken cognizance of by YOUR Government. Consequently, the NISER foundation stone was laid by YOU, SIR during rain ruined visit of YOURS, in August, 2006. We were very pleased indeed.
But now it is turning out a palliative. The NISER, a 700 crore institution, is on it's way – but the highway rubbers of the HRD ministry have again undermined Orissa, and robbed it of two sanctioned IITs, worth in the vicinity of 8000 crores. Thus unexpectedly and shockingly now they have decided to derail one (IIT, KGP's BBSR Branch) and relocate the other, to Andhra Pradesh.
Don't you think these kinds of acts of central Government, hinder the forces of National Integration?
We do not want to over again harp on to the details of the HRD Ministry's mal-distribution of resources across India, which you as the past Deputy Chair of the planning commission, and present Chair, are well aware. This has lead to unequal development and massive discontent, time and again and year after year.
To give just one example: 2006-07 budget: MHRD is scheduled to spend Rs 4.07 on HRD-NH (HRD ministry funded higher education institutions plus institutions of national importance) per person in Orissa, where as it will spend Rs 183.08 in Delhi. The figures (published by GOI) make my point, so I don't have to.
Thus we urge you Sir not to loose sight of this gross indiscretion, of robbing the poor to pamper the rich policy of GOI's HRD ministry. We appeal to you to take corrective actions and do what is RIGHT. If you do this will reward and encourage, civil actions and behavior by the civil society of Orissa and else where.
Best wishes,
Sandip
Tuesday, January 02, 2007
A forwarded New Year Card - Very innovative
10th floor
9th floor
7th floor
6th floor
4th floor
3rd floor
2nd floor
Now the ground zero
Ya. Life in all its sorrows and happiness, is still beautiful and precious ... .
Text of my 2007 New Year card
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Tuesday, December 12, 2006
Why can't we sell at the Iron ore at world market price? - Sandip K. Dasverma
An article is in Wall Street Journal of December 6, 2006. I had said earlier in my last June's blog ( http://mathtalentsearch.blogspot.com/2006/06/revisiting-orissa-development-plans.html ) that the steel Industrialists are not in Orissa for their love of Orissa but for making super profits and to tie up remaining Iron ore deposits through MOUs(Memorandum Of Understanding). And that instead of collaborating with other states in India (Chhatisgarh & Jharkhand) like the OPEC (Organization of Petroleum Exporting Countries) GOO is foolishly competing with them(and they with each other) and bringing down the price of the ores and diluting the terms and position of strength they are in, I speculated. Now cat is out of the bag. It is clear that POSCO is moving to Orissa because Government of Brazil wanted them to pay the market price for iron ore. Obviously the 30% swap is a sham. They can’t export steel because the official GOO policy, which allows export of steel, only after conversion. So this is a brilliant maneuver to hood wink the established GOO policy with inside help. Once it is exported from their private port who will keep the count of quantity? The fox will be in charge of the hen house, is not it? Expecting the inspector level GOO officers to do it will be like expecting and asking low paid police constables to keep law and order in the City.
Our bureaucrats are so ill informed or compromised that not only are they selling iron at Rs. 26 / Tonne or about $0.57 cents/ Tonne** when real prices in the world market are $84.40, and going up.
I have so far oly seen one initiative by Dr. Jatish Mohanty, the conscientious retired bureaucrat and his team petitioning the President of India. So the GOO can share 50% of the profits due this difference in price of Ore, which is fixed by Government of India. But no other initiative. The Government of Orissa, under Naveen babu has remained as secretive as ever.
I had also argued about the externals (costs of restoring the environment).
I had also noted the deafening silence of our academia and journalists.
And since then only advancement or development has been further give away. To add to the scandalous low prices of Ores, POSCO has managed to get SEZ qualification to their factories, so they don't pay sales tax for 1st 5 years and half sales tax for another 5 years. This is like adding insult to injury.
It is like Dr. Chitta Baral says - giving away family silver.
Why can't we make them pay the market price?? Why can’t we make them pay for the externals? Who is protecting POSCO and the give away and why is Government of India, bent on giving away for cheap ores when price in the world market is increasing in leaps and bounds? I can only speculate but it is the journalists who can answer. The opposition in the state assembly can put on question hour or activists can ask through RTI. But for some reason everyone is silent except small peasants, whose land is being acquired on behalf of the MNCs and corporate houses, by the Government of Orissa. The rest are all quiet.
Again what about our journalists and academia? What are they doing?
No wonder we are poor and this way we will remain poor, unless the give aways are replaced by enlightened self-interest, to ask for fair market prices for commodities we sell.
Yes, we can and will sell but to the highest bidder.
Do I make sense to any one??
The article for those who can't access WSJ:
Publicly, steelmakers and iron-ore producers are clashing, with some steel companies still saying the price of iron ore has reached an apex and iron-ore companies suggesting it hasn't. "The iron-ore market is tight," said Lakshmi Mittal, chief executive of Mittal Steel Co., the world's largest steel company by output and largest single iron-ore purchaser. "I do not expect an increase, but I do not see the iron-ore prices falling." Qi Xiangdong, deputy secretary general of the China Iron and Steel Association, said he expects the iron-ore price to change only by "a small margin" in 2007, either slightly up or slightly down. In some ways, a slight increase is in the best interests of Chinese steel makers because it encourages smaller or mid-level iron-ore producers to develop more reserves and helps China weed out some of its small inefficient steel makers that can't afford any price increase.
Full Text (774 words)
(c) 2005 Dow Jones & Company, Inc. Reproduced with permission of copyright owner. Further reproduction or distribution is prohibited without permission.
As talks begin between the world's major steel makers and iron-ore producers to set prices for next year, consensus is building that prices will rise between 5% and 10% and that the near-20% increase of this year won't be repeated.
Moreover, Chinese steel makers, who failed in their attempt to resist iron-ore producers' demands this year, are intent on leading the talks and setting an industry pattern. Brazil's Cia. Vale do Rio Doce, the world's largest iron-ore miner, and Shanghai Baosteel Group Corp., one of the largest steel makers in China, have been in early talks about the contracts, according to people familiar with the matter.
Iron ore is a crucial ingredient for making steel. Higher iron-ore costs could pressure steel makers' financial results or lead to higher steel prices, and could raise the cost of making everything from washing machines to cars.
Unlike previous talks, when steel makers were scrambling for supplies, the talks this year are set against a different industry backdrop. Demand for iron ore remains strong and supply tight, but not as tight as last year. Talks are also expected to proceed more quickly this year than last year when China's initial refusal to agree to a 19% increase dragged on for months.
Publicly, steel makers and iron-ore producers are clashing, with some steel companies still saying the price of iron ore has reached an apex and iron-ore companies suggesting it hasn't. "The iron-ore market is tight," said Lakshmi Mittal, chief executive of Mittal Steel Co., the world's largest steel company by output and largest single iron-ore purchaser. "I do not expect an increase, but I do not see the iron-ore prices falling." Qi Xiangdong, deputy secretary general of the China Iron and Steel Association, said he expects the iron-ore price to change only by "a small margin" in 2007, either slightly up or slightly down. In some ways, a slight increase is in the best interests of Chinese steel makers because it encourages smaller or mid-level iron-ore producers to develop more reserves and helps China weed out some of its small inefficient steel makers that can't afford any price increase.
The world's three largest iron-ore producers -- CVRD, Rio Tinto PLC and BHP Billiton Ltd. -- aren't likely to give up their pricing power easily in coming months. Roger Agnelli, president of CVRD, has hinted iron-ore prices haven't topped out yet because the increase hasn't matched the surge in price for copper, another mined mineral with rising demand. Rio Tinto Chief Executive Leigh Clifford, in a presentation to investors in October, said Chinese import demand has been growing by 50 million metric tons or more a year and that iron- ore producers, despite "record levels" of investment in new iron-ore mines, are struggling to increase iron-ore production fast enough to keep up with the commodity boom.
"The industry has, in general, underestimated the enduring strength of demand," Mr. Clifford said. Such market tightness, his comments suggest, could justify higher contract prices. Some observers point out that other big costs for steel makers such as for shipping and coal are more under control, meaning steel companies might be ready to accept a modest increase in the price of iron ore.
"The [iron-ore] producers are eager to get another price increase, and I see few ways to prevent them," said Daniel Altman, a steel analyst for emerging markets at Bear Stearns in New York. "It is not a question of if; it is how much."
The price of iron ore rose 19% in 2004, 71.5% in 2005 and 19% this year to the current price of about $44 per metric ton of iron-ore fines and $76 per metric ton of iron-ore pellets. Observers differ on their perspectives of pricing but tend to agree that price increases by iron-ore makers might be slowing and predict an increase of between 5% and 10% next year with prices flat or declining in the years that follow. Some, however, predict iron-ore companies will have the upper hand and continue increasing prices until 2009.
China has good reason to lead the talks. China produces and consumes about one-third of the more than one billion tons of steel produced globally each year, but it doesn't have plentiful cheap, high-quality iron-ore reserves. It plans to import about 320 million metric tons of iron ore this year and is increasing its internal iron-ore production as much as possible to minimize dependence on iron ore from Australia, Brazil and India.
To hedge against the increasing iron-ore prices, several steel companies such as Luxembourg-based Mittal and Pittsburgh-based U.S. Steel Corp. continue buying and developing their own mining assets.
http://infosources.blogspot.com/2006/12/steelmakers-want-to-restrain-iron-ore.html