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February 6—12, 2011

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Weekly Vol. 59

Central Organ of the Communist Party of India No . 6 No.

F ebr uar y 6—12, 2011 Fe bruar

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Black Money May Swallow UPA-II There is an interesting debate going in the country for sometime now about what could be the biggest danger to the country. Sometime back, prime minister Manmohan Singh spelt it out as Left wing extremism. There have been others who believe terrorism and communalism to be the major threats to our national integrity. Now prime minister, while addressing chief ministers’ conference, warned that the above mentioned three, plus ethnic violence were among the major threats to our internal security.

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owever, the biggest enemy of the nation is corruption. That is the “enemy from within”. Corruption and black money go together. Scams after scams are unearthed in the last few months, sending shock waves throughout the country. Congress led UPA-II is exposed nakedly for its non-governance, anti-people policies, price rise and unprecedented corruption. One wonders how the Congress leaders walk with heads held high after exposure of so many scandals. Refusing to bring back the black money, helping to save the skin of those with unaccounted money by keeping their names confidential are acts amounting to abetting corruption. Though still pending, the proposal for signing a treaty between the government of India and Switzerland to make the names of Indian Deposit Holders accessible is a step forward, and in right direction. Mass organisations, intellectuals and political parties are fighting on this issue. It

is clear that government of India has no “political will” to disclose the names of depositors, nor to bring back the stashed money. Finance minister first said that there is no agreement to get names, later said that names can not be disclosed. They want to dilute the whole thing to the issue of double taxation laws. This is shameful.

By S. Sudhakar Reddy tax. People who cannot legally show the source of income would like to keep the money secretly. They used to convert it into gold biscuits, ornaments and land. A few others used to keep in safe deposit lockers in banks. There were still others who used to keep the money in boxes buried under the ground on which their

were collecting taxes. Our local businessmen and small time brokers may not have the accessibility to deposit money in Swiss banks, except for Hawala money. Hawala is an illegal arrangement for transfer of money from India to US or Gulf Countries and vice - versa. Lakhs and crores of rupees are transferred through this method, without any paper work or

CPI MPs raised this issue in 2009 March in Lok Sabha demanding that the Swiss bank accounts should be made public. CPI demanded that the money should be confiscated and utilized for the nation.

Swiss Banks as Safe Havens Swiss Banks are supposed to be safe havens for black money. It had been allegedly since before independence. There were rumors that people from our country used to stash money secretly in Swiss banks. But why Swiss bank? Bank accounts and bank deposits in the country are always accessible to the government as well as the concerned departments like that of income

houses stood. To keep money in secret had its own hazards. It was then that the Swiss banks came as an easy option for them. The Swiss banks always kept the accounts of their customers confidential, accessible only to the bank and the customers. No accessibility was given to outsiders. However, the secrecy was not inaccessible to all. Swiss government always could have access to accounts and account holders as they New Age Weekly

legal documents. It is based on mutual faith between customers and the broker company. There used to be a moral code even among the black marketers followed in letter and sprit. Now, let us come back to Swiss banks. Switzerland had declared itself neutral and hence was found to be a safe bet, especially during the turbulent times of world war. Even in later days, black money as well as unaccounted money kept flow-

ing to Swiss banks as the safest place on the earth. What is the advantage of depositing money in Swiss banks, when generally in Europe, in Switzerland in particular, interest rates are quite low? They get lot of money into their banks paying only nominal interest and is used for their business expansion. There is always an advantage of such unaccounted deposits. Some of these accounts are so secret that even their family members are not in the know. In the eventuality of the sudden death of the depositor there will be no claimants. The bank will become the owner of all such unclaimed money and non-performing accounts. Switzerland must have inherited huge amounts of such money in the last few decades. Switzerland is not the only country to accept such deposits. It seems that more than 36 countries in the world have got such banks which will accept deposits from anybody, from anywhere without asking the source of such money.

Bofors and Swiss Account When Rajiv Gandhi was prime minister, there was as agreement between government of India and the Swedish company called Bofors for supply of costly defence material. There was a specific condition that there should On Page 4

2 The entire Arab world dominated by the pro-American autocratic rulers is in turmoil. People in almost all the countries of the region and a few of the African countries seem to be in the mood of revolt and for assertion of their democratic and human rights that have been denied by the sheikhs, princes and autocratic rulers during decades of their rule.

February 6—12, 2011

Arab World in Turmoil tions slated for September. The armed forces were aggrieved as unlike his predecessors, Jamal Nasser and Anwar Saadat who had groomed their successors from within the ranks of forces Mubarak had the idea of imposing dynastic rule by projecting his elder son as successor.

The first citadel of autocracy to fall was Tunisia where within a couple of days of people’s upsurge the ruler Zainul Abedin fled the country and took refuge in Saudi Arabia. In Tunisia, the people’s upsurge began with a case of police atrocity and soon drew thousands in the revolt against autocracy, nepotism, corruption and economic miseries heaped on the people due to shameless pursuance of the economic policies dictated by international finance capital in the garb of economic reforms.

But people’s anger is not due to that. Betraying the glorious traditions of the Egyptian people, Mubarak and his predecessor Saadat joined forces with US imperialists and its stooge Israel in suppressing the legitimate struggle of the Palestinian people for their homeland, continued to play second fiddle to Israel in occupying more and

The people’s victory in Tunisia became the source of inspiration and courage for the people in other Arab countries. Soon people started taking to the streets against their autocratic and anti-people regimes in countries like Egypt, Yemen, Algeria, Jordan and even Syria. The situation in Egypt has taken very dangerous turn during the past 48 hours. President Hosni Mubarak has resorted to the age-old tactic of dividing the people by unleashing his agents on the millions who are demanding his immediate ouster. He has also attempted to divide the armed forces that have refused to act on his behalf by making the announcement that he will neither contest himself nor field his much discredited elder son in the next presidential elec-

more Palestinian territories. He became a stooge of US imperialists and Israel for all practical purposes. Egypts, unlike other Arab countries had always upheld the banner of secularism and anti-imperialism.

Editorial

The other reasons for people’s anger include widespread corruption (Mubarak family is reported to have stashed away the loot estimated to be over 20 billion pounds to foreign banks) total denial of human and democratic rights for decades (the last parliamentary election was a sham in which Mubarak’s party captured 97 per cent of the seats) and ever-growing burden of economic miseries, inflation, pricerise, low wages and widespread unemployment, all bye products of economic neo-liberalism imposed by

CPI Condemns Green Signal to POSCO The Central Secretariat of the Communist Party of India (CPI) issued on February 1, 2011 the following statement condemning the go-ahead signal given to POSCO: The Communist Party of India condemns the goahead signal given to POSCO. The several committees set up by the Ministry of Environment and Forest have clearly indicted POSCO for violating all laws and regulations connected with the rights of forest dwellers and environmental conditions. The people in the area have been resisting for more than five years on these issues. The committee reports have pointed out that half-truths, lies and forgeries have been resorted to by officials in order to support the POSCO cause. All these facts have been in the public domain. Yet after a period, to show that the Ministry was seriously reviewing the issues, the green flag has now been shown. The so-called ‘60 new conditions’ imposed in connection with the go-ahead signal is a sham, since many of them are old ones that POSCO has repeatedly ignored. Some are directed at the state government which is only too eager to certify that the conditions have been met. The Ministry has done this under pressure from the PMO in the name of over-riding financial, investment and ‘strategic considerations’. These are not issues before Jairam Ramesh. This is an evidence of the way the Government bends before the multinationals. The CPI will continue to oppose the POSCO project at the present site defying all laws, and its plan of having ‘captive iron ore mines’ and a captive port. The Party will extend full support to the POSCO Pratirodh Committee and the People’s Resistance Movement.

international finance capital. (Against these evils, people in other countries including that of developed Europe are also fighting). The courage and defiance shown by the people of Tunisia and now Egypt has left the autocratic rulers, the sheikhs, the kings and the military dictators shivering. Jordan’s King has dissolved his cabinet, Yemeni President has announced his retirement by the time next presidential elections are held and others too are promising ‘reforms’. Obviously these cosmetic changes will not satisfy the people and the fight will go on. As most of the regimes in West Asia are stooges of US imperialists, the Obama administration has moved in a big way to sale its domination of the area. Though it is talking about peaceful ‘change of regime’ it may try to impose, much against the will of the people, either its own puppets or allow the religious fundamentalist forces to take over who can be used later as an excuse for direct intervention in the name of fighting religious fundamentalism and terrorism, as it happened in the case of Afghanistan. Muslim Brotherhood that has considerable influence in a few of the Arab countries may be used as a tool. (It has opposed the people’s uprising in the beginning in both Tunisia and Egypt). People world over have to double their vigilance against such imperialist maneuver and side with the people of these Arab countries for a total break with the traditional autocratic rules that have only served the interests of the ruling clique and the imperialists.

CPI Against Study Group on Stashed Money The Central Secretariat of the Communist Party of India (CPI) issued the following statement on January 31, 2011 expressing concern over the government initiatives to shield and defend those who have deposited money abroad including Swiss banks and to set up study group on black money: The Communist Party of India expresses its serious concern at the attempts of the Government of India including setting up of a “Study Group” on black money, to shield and defend those who have deposited money abroad including Swiss banks. The study group is asked to suggest appropriate measures to motivate tax evaders to disclose their unaccounted money in foreign Banks. It looks as if it is a consistent policy of the ruling Party to save the people with unaccounted money. Setting up a committee in a way to avoid and postpone any exposure. In 2004, the promise that top priority will be given to bring out unaccounted money was made, but no step was taken in this direction. In the background of mounting presNew Age Weekly

sure from people, and the criticism from Supreme Court, Prime Minister commented that no instant solutions are there for the black money to be brought back. Pranab Mukherjee tried to explain that there are no bilateral agreements to get the lists and hence the names cannot be disclosed. Now attempts are being made to make the depositors change their hearts for voluntary disclosures. BJP in 2009 also suggested that there should be tax and penalty on black money deposited abroad which suggests to excuse the culprits and allow them to launder it. CPI rejects these tricks of the Congress Government and BJP’s attempt to save the black money depositors. The Government of India should insist for an International Agreement forbidding deposits from a country in another country with the intention of cheating the nation. CPI demands that there should not be any conditionalities for the study group on voluntary disclosures, they should only study how to bring back the stashed money.

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February 6—12, 2011

Birth Centenary of M N Govindan Nair

A Life dedicated to End Inequality It was in Kerala that the CPI had come for the first time to power after the second general elections in 1957. The Congress Party was overthrown and a government led by the communists was formed in the state. Behind these developments, it was M N Govindan Nair who had played the key role.

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is organisational capacity, unique knack of feeling the pulse of the masses and sharp intellect were the qualities that helped the party to ride the tide in Kerala and come to power. Com. M N Govindan Nair was born on December 10, 1910 in Mulakkal Tharavadu (family) at Pandalam in Pathanamthitta district in Kerala. His father Narayana Pillai was a lower level revenue officer, mother Kunjulakshmi Amma belonged to a prominent family of Pandalam. Narayana Pillai had six children; among them M.N. Govindan Nair was the eldest. One brother became a saint after a short army service, while the other was in the party with M.N. M N got married to Sardar K.M. Panicker’s daughter Devaki, and had three children. Both the sons died early while the daughter is a supreme court lawyer. Devaki stays with her. M N got his early education in Pandalam, Mavalikkara and Changanassesy. After high school, he worked as a teacher in a local school and later on moved to Trivandrum and joined college for higher education. After graduation, he joined law courses, but had to leave as he was by then deeply involved in the political movement in the country. It was a time when in Kerala the deprived sections, particularly the Harijans used to live in extreme penury. Untouchability was in practice, Harijans were not allowed to even go near the houses

of upper casts, were not allowed to walk on certain roads and certain footpaths. There was no question of even going near the temple. Young M N could not accept such inhuman treatment by the upper castes and decided to work for the upliftment of the Harijan community. This was against the wishes of the upper castes and upper-class people of that area. M N toiled tirelessly to improve the plight of Harijans as well as other suppressed castes and classes. In the process, he joined Harijan Uddharana Sabha, a Gandhian organisation and started a school for the education of Harijan kids in his area, known as Cherikkal School. Gandhiji himself

By P. K. Balan came to visit the school and appreciated M N’s contribution. M N was deeply inspired by Gandhiji and became his disciple. Later he moved to Wardha Gandhi Ashram. Though eventually he left the Ashram, but he remained a Gandhian in

easily with everybody. His smile was charming and infectious. He never used to talk about his personal problems, which he used to have lots. Always trying to come to aid for others, he used to help comrades even going out of the way. He had an immense capacity to solve organizational problems within the party. After a brief spell of a year at Gandhi Ashram in Wardha, he left, though not without the blessings of Gandhiji. Life at the Ashram, though only for a year, had its deep impression on him. Later when he became intimate with the economic and political situation of the country, M N moved closer to Marxism.

practical life. He lived simply, usually traveled in local transport, taking ordinary buses or the four seaters even when he was a member of Parliament. Affectionate and spontaneous, he used to mix

However, after Wardha, he came back to Travancore and joined the Congress to be promoted soon as the secretary of the group in the state. It was a time when present Kerala state was not in existence. Malabar area

An Architect of United Front “MN was the architect of the democratically elected first Communist government in the state that came to power in 1957…It was also the successful experiment of the United Front politics where he roped in all progressive and democratic forces together for implementing some of the radical laws like the Land Reforms Act, nationalisation of private forests in Malabar, nationalisation of Kuttanad paddy land, etc,” said Communist Party of India (CPI) state secretary and national council secretary C K Chandrappan while inaugurating the birth centenary observance of M.N. Govindan Nair organised by the CPI district committee at Palakkad on December 17, 2010. Chandrappan said that late M.N. Govindan Nair, leader of the Communist movement in Kerala, “used his political power in bringing basic changes in the lower strata of society to create a `welfare Kerala.’ He said, “It was also the successful experiment of the United Front politics where he roped in all progressive and democratic forces together for implementing some of the radical laws like the Land Reforms Act,

nationalisation of private forests in Malabar, nationalisation of Kuttanad paddy land, etc.” M N Govindan Nair was a man of practical politics and during his period as Agriculture Minister he brought about revolutionary changes in the farm sector. His biggest achievement was the ‘one-lakh housing scheme’ (Laksham Veedu) that provided shelter to one lakh poor families. This was the best example of humanism as he knew that a shelter to the shelter less poor would bring a sea change in social life. This example was also an answer to the problem of shelter in the third world countries during that period, said Chandrappan. The meeting was presided over by Deputy Speaker Jose Baby. Among others who addressed the gathering were CPI assistant secretary K.E. Ismail, MP, State executive committee member V. Chamunni, veteran journalist Joy Sasthampadikkal and P.A. Vasudevan, economist. CPI district secretary Vijayan Kunisseri welcomed the gathering and assistant secretary K.P. Suresh Raj proposed a vote of thanks.

New Age Weekly

was with Madras. After withdrawal of the struggle by the Congress in 1938, M N left the Congress and joined the CPI. He joined the party on December 31, 1939 and since then, till his death on November 27, 1984, he remained as a prominent leader in the party. Even after he left the Congress, and joined CPI, there were top leaders in the Congress like C. Kesavan and Vergese who made requests to M.N. to help them in their 1945 conference of the Travancore state Congress. M N had played an important role in the conference, though he was not in the party officially. He was in-charge of all arrangements. In the years during the second world war (193942), the Communist Party in Kerala had adopted a strong anti-imperialist attitude and had earned the reputation of being more patriotic than the Congress. The CPI was considered as a real leader of the anti-imperialist movement in Kerala at that time. This hard won political capital of the party did not last very long as political and tactical line adopted in 1942 prevented its growth among the masses up to an extent. However the adverse effect did not last very long among the grassroots level in Kerala, since the state leaders were functioning with great care. It was a time when almost all communist leaders in the state were in important positions within the Congress hierarchy, working in both the parties. They were considered as a radical wing of the Indian National Congress. Party had pursued a practical line among the masses, organised agitations on issues that affected the common people such as food, clothes, On Page 14

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February 6—12, 2011

People’s Will Must Black Money May Swallow... Prevail in Egypt The Central Secretariat of the Communist Party of India issued the following statement on February 1, 2011 on mass upsurge in Egypt: After Tunisia, people of Egypt have risen against the autocratic and imperialist stooge regime of President Hosni Mubarak. Thousands and thousands have come out on the streets demanding a change. More than 150 people have lost their lives, as the regime has resorted to brutal oppression to suppress the mass upsurge. The despotic ruler, during his 30-year rule, has brutally suppressed all human and democratic rights of the people and heaped economic miseries on them through pursuance of imposed imperialist economic policies, nepotism and corruption. It also expresses people’s hatred for the imperialist domination of their country and the entire middle east. Hosni Mubarak, much against the will and traditions of the Egyptian people has betrayed the cause of the Palestinian people and continues to collaborate with Israel in suppressing the legitimate struggles of the Palestinian people for an independent state. The Central Secretariat of the Communist Party of India hopes that the will of the Egyptian people will prevail, the demand that Mubarak should go be heeded without any delay to pave the way for a regime change without any imperialist interference and restore all human and democratic rights with the secular polity and anti-imperialist traditions of Egypt. The CPI also urges the UPA-II government to shed its ambiguous and so-called “cautious” attitude and come out in support of the will of the Egyptian people and against any foreign interference there. From Front Page not be any middlemen in the deal. But it was alleged that middlemen were there and commissions were paid in the deal up to the extent of Rs 60 crore and prime minister was accused. The Swiss Banks were quoted to be the place where the commission money was stashed and the commission was said to have been received by people like Italian arms broker Quatrochi, Hindujas, and late Win Chaddha, accused as the middlemen in the Bofors deals. Bofors scandal discredited Congress government but could not be proved in any court of law, and now it is almost closed. Now the income tax appellate tribunal decreed that around Rs 56 crores was taken as commission by Quatrochi and Win Chaddha, and now they have to pay the tax. It is now proved that the commissions were taken. Swiss account is also likely to be true. Big business people, brokers, corrupt political leaders, bureaucrats, drug mafia, illegal arms dealers etc. are the likely people who can keep their

money in Swiss banks. Unauthorized brokers like Win Chaddha may also join them. However, most surprising were the reports that Indians deposits have exceeded all the deposits from all the other countries in Switzerland. It is said to be anywhere between Rs 72 lakh crores to Rs 280 lakh crores. It is hard to believe that such huge amounts can be deposited. Our finance minister Pranab Mukherjee said that deposits in the Swiss banks could be of about Rs. 22 lakh crores. This is gross underestimation. It is many times more than the annual budget of our government and much more than the GDP of India of any given year. Yes it is unbelievable. But nothing is unbelievable after the exposure of 2G Spectrum, CWG scam and Adarsh scam. The Swiss Banks association made a statement that the reports of such huge amounts are exaggerated but refused to tell the exact amount and the names of depositors from India. US and Germany could pressurise and get the names of depositors. There was lot of pressure on the government that

we should also influence the Swiss authorities but our government kept a deaf ear. Many intellectuals, general people along with left parties organized agitations on this issue.

CPI Demand on Details During the budget on the last day of 14th Lok Sabha and twice earlier, I raised this issue in the house as a member of Lok Sabha. Then the Minister of State Pavan Bansal promised the house that he will come back with details after enquiry. The promise is still unmet even after 20 months. Though I was supported by many of my colleagues across the parties in the parliament, I remember that none of the BJP members raised their voice. But later during elections in May, 2009, L.K. Advani raised Swiss banks issue and appointed a sub committee of BJP to enquire and report on the same. The committee recommended that the names of the Swiss Bank depositors be brought in the open and tax plus penalty should be collected from them. It was a dangerous trick played by the BJP to make the black money white, and legal. In fact the money must be confiscated, though not an easy task. The present treaty only gives accessibility to the names of depositors. It may need another agreement to lay our hand on this money. But finance minister Pranab Mukharjee does not want to tell the names to the nation, on the pretext of lack of treaty. If there is will, there would be a way. The money that is stashed and deposited outside India, is against the money-laundering Act, Foreign exchange regulations Act, and other Indian laws. They can be arrested and the entire money can be confiscated, if the government is determined. A statement from Rahul Gandhi and a contradictory statement from home minister will only confuse people. According to Global Financial Integrity, a US institute in its study on drivers and dynamics of illicit financial flows from India, a huge amount of Rs. 50,000 crore dollars which is equivalent to Rs. 22.5 lakh crore, was illegally taken out of the country. Their study is possibly limited. MultinaNew Age Weekly

tional corporations have taken out even larger amount of money. The exposures made by Wikileaks have also brought about some of such illegal transactions. As the list of 26 names was handed over, the Supreme Court reacted that they are not interested in the niceties of international understanding of keeping such names confidential. Supreme Court demanded to know what was the objection of the Indian government to be transparent on the names and bring back the money. According to one calculation, that every single Indian will get Rs.2.25 lakhs each if the deposits are two hundred and eighty thousand crores of rupees. The confiscation of such unaccounted money by the government is not for distribution among the people. Whatever is the amount that money should be confiscated and used for the development of the country. It is the money of the toiling people of India. Among the working people of India, 94 percent are in the unorganised sector. It is this section that urgently needs social security, since they are the most exploited. Only one lakh crore is needed as seed money to start social security to them. Our villages need roads, our children need schools and teachers. Villagers need primary health centres with doctors and equipments. We want clean hygienic drinking water. We need energy, irrigation ,water, houses for poor. Our downtrodden need nutritious food to keep them healthy. All these minimum facilities can be provided with less than twenty five to thirty lakh crores of rupees. It is not only in Swiss banks, but in many other

countries that the black money is deposited. There should be an international agreement to put an end to deposit of unaccounted money.

Corruption, a Major Threat Corruption can be fought successfully by unearthing the unaccounted money. There should be “Political will” on the part of the government to fight against corruption and for unearthing the black money. We need to build up a strong mass movement to pressurise the government. Supreme court said that keeping black money out of the country is an act of keeping the loot of the nation. It further said that a part of black money might find its way to terriorist activities. Hence there is urgency in this regard. After 26 names of Swiss Bank depositors were given in a sealed cover by solicitor general, Supreme Court made the above observations. But our prime minister Manmohan Singh says that there are no instant solutions to bring back black money. Is it inefficiency or he is trying to find some escape route to save the lords of black money. His statement is not of a statesman, but of a petty politician. This is not expected from the prime minister of the country. People may tolerate non-governance for a while, but not mis-governance. Corruption, black money, loot of the people will be always resisted. It will be fought back like in Tunisia, Egypt and elsewhere. Let us fight in our own may and make the government fulfill its responsibility.

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February 6—12, 2011

India and the Washington Consensus Ever since 1967, the Jawaharlal Nehru Memorial Lecture has been organized almost every year in the month of November at Teen Murti House by the Jawaharlal Nehru Memorial Fund. The latest Lecture was delivered by Prof. Joseph E. Stiglitz of the Columbia University. Stiglitz, a world-renowned economist and Nobel laureate has been well-known in India for his clarity and conviction of views. His books are widely read and discussed among not only economists but also the wider circle of intelligentsia. Whether as chairman of President Clinton’s Economic Advisory Council or the Chief Economist of the World Bank, he never hesitated in calling a spade a spade, come what may. It was not surprising that his lecture was almost ignored by the Indian media though it was attended by persons who manage the affairs of the country. Both Sonia Gandhi, the chairperson of the UPA as well as the Fund, and prime minister Manmohan Singh were present throughout. Yet, it was not given any attention. Maybe the moneybags and their hirelings in the media did not like people at large to be informed of serious doubts being raised by Stiglitz about the ideological basis of economic reforms going on in the country since the beginning of the 1990s. This ideological basis has been widely known as Washington Consensus and its ten points, enunciated by John Williamson and thrust upon the developing nations by IMF, World Bank, US Department of Treasury and so on at the behest of the US administration. Let us now turn to what Stiglitz says. He admits that India has registered impressive performance in recent years. To quote, “India, the world’s largest democracy, should be proud of the successes that it has achieved over the past 25 years, and even more so of its growth

in recent years. GDP per capita in 2009 was 2.3 times what it was in 1990, and, at least according to World Bank data, poverty has been reduced from just short of 50 per cent of the population in 1994 to 42 per cent in 2005. Yet India cannot rest on these laurels. There are still more than 400 million in poverty, and per capita income is still less than half of that of China in purchasing power parity.” The most urgent questions before India are: how can it sustain the pace of its growth and bring its fruits to people at large. In other words, it has to examine carefully whether its present economic policies are leading to the well-being of its citizens and the benefits of the growth are being equitably shared. These questions cannot be brushed aside because “Events of recent years have called into question long-standing presumptions, the conventional wisdom in much of the world about the right answers to these questions. The set of ideas known alternatively as the Washington Consensus, market fundamentalism, or neoliberalism has failed in the very country from which those emanated. The institutions and policies that were put forth as examples for others to follow have failed: they failed to produce sustainable growth, and fruits of what growth occurred went to a few. Today, most Americans are worse off than they were in 1999, well before the previous recession. Even before the crisis, trickle-down economics—the notion that so long as growth is ensured, all will benefit—was discredited. But American growth had not only been anti-poor; even the middle class has suffered. There is ample evidence of so-

By Girish Mishra cial distress that goes beyond these economic indicators—one of the highest murder rates in the world and the highest rate of incarceration in the world. Other factors contributing to individual well being—like social connectedness— also seem to not be faring well.” Soon after the Second World War, the process of decolonization began and a large number of erstwhile colonies emerged as independent nations. The most important question before them was how to make their hard-won political freedom secure and meaningful to their people so that they could remain united and integrated and overcome their poverty and sufferings. One may recall how so-called experts from the West and their hirelings in India pontificated that this goal was impossible to achieve. The size of population and its rate of growth were supposed to be the biggest boulder to overcome. Industrialization was frowned upon as it was supposed to go against the theory of comparative advantage. Hence India was told to remain confined to agriculture and cottage and small industries. Agriculture was supposed to bring peace and tranquility besides ‘small was beautiful’. Gandhi was sought to be pitted against Nehru. One school of thought in the West came out with the idea that countries like India lacked capital and global capital markets were imperfect. “Hence, what was required was the creation of a bank—the World Bank—to facilitate the flow of funds and help developing countries undertake projects that would raise income per capita.” Obviously, the West tried to solve its own problems with the help of this strategy. It wanted to preserve the newly-IndeNew Age Weekly

pendent countries as market for their goods and avenues for the investment of their surplus capital. To keep them under control and see that they did not go out of the discipline imposed on them World Bank and IMF were brought in. India under Nehru, however, did not accept all this and wanted to develop itself on the basis of its domestic savings, internal market and its own human resources, basically in the interests of its own people. It did forge economic relations with the then Soviet Union and other countries that agreed not to sabotage its basic strategy. One may recall how attempts were made by vested interests to sabotage the strategy and bring it in disrepute. A section of media, certain political parties and groups, bureaucracy and business circles did their utmost to spread disinformation about and subvert the Nehruvian strategy. To give an example, Industrial Policy of 1956, which aimed at overcoming regional imbalances and existing socio-economic inequalities, was sought to be ridiculed as bringing in ‘Licence-Permit Raj’. In spite of their best efforts, the vested interests could not succeed though they could bring in distortions in the formulation of policies. However, they got a golden opportunity when the Soviet Union collapsed and the Socialist Camp disintegrated and the NAM became extremely feeble. It was stressed that the scarcity of capital was not the main hurdle in the way of the development of these countries. What was required was “right policies,” which, in the words of Stiglitz, “usually meant the Washington Consensus, neoliberal, market fundamentalist policies.” In the context of India, not only the set of policies and programmes,

pursued since the days of Nehru were termed wrong but they were also ridiculed and declared the root cause of slow pace of economic growth, christened as ‘Hindu Rate of Growth’. The role of state in the economy was declared as the main factor leading to bureaucratisation and acts of corruption. ‘LicencePermit Raj’ was declared to be a major hurdle in India’s onward march. An eminent jurist, taking the cue from the Laffer ’s Curve, came out with a book declaring India as the highest taxed nation and wanted the marginal rate of taxation to be drastically reduced to check both tax evasion and tax avoidance and wipe out the problem of black money! Public sector enterprises were said to be a drag, and disinvestment, leading to complete privatization, was declared as the way out. The two non-Congress governments, led by V. P. Singh and Chandrasekhar, bankrupted the country so much that it had to mortgage its gold reserves to Bank of England to tide over foreign exchange crisis. Then came the Congress government, headed by P. V. Narasimha Rao, and accepted the Washington Consensus. Thus began the phase of LPG or liberalization, privatization and globalization. Since then a number of governments of different ideological complexions have come and gone but the implementation of the ten points of the Washington Consensus has continued unabated. From the Hindu Right to the Communists have all shared power, but no effective voice has ever been raised against their disastrous consequences. Over the years, regional imbalances have increased, socio-economic inequalities have widened and the exodus of manpower from villages to On Page 6

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February 6—12, 2011

Pranab Loses Way Down the Memory Lane Congress leader and Union finance minister Pranab Mukherjee on January 22, 2011 at Siliguri, in West Bengal, in a public meeting asked the opposition parties to join Maoists because of their dogged demand for JPC probe into 2G Spectrum Scam. Pranab Mukherjee called the demand for JPC probe “illogical”. He said that the winter session of the Parliament was lost for the opposition. According to the minister, the said demand for JPC is not at par with democratic norms and forms and therefore, opposition leaders ‘have no faith in parliamentary democracy’ as quoted in a report published in the Sunday Times, on January 23, 2011. Congress Party and the Central government were insisting for probe by Public Accounts

Committee (PAC) in lieu of JPC. Pranab Mukherjee said the JPC has no power to punish. He forgot to tell that PAC has no power to question the prime minister. However, it is not unknown that the JPC has the power to question the prime minister since telecom minister A.Raja had told CAG that prime minister’s office (PMO) and others related to Telecom department and spectrum allotment were aware of everything that had happened. While Pranab Mukherjee was advocating for his party’s policy as well as policy of the prime minister, he forgot his past; but history never forgets.Pranab Mukherjee was one of the important leaders of Bangla Congress in 1967 when his mentor Ajoy Mukherjee was the chief minister of West Bengal along with ministers of Bangla Congress and left Parties.

From Dilip Chakrabarty This democratically elected ministry was replaced by Prafulla Ghose’s ministry over night by the then Governor Dharam Vira on 26 November 1967 under the auspices of Central Government led by Indira Gandhi . As corollary to this action of the Central Government, MLAs of Bangla Congress and left parties made all out efforts to build barricade to stop the governor from entering into State Assembly Hall for his stamp of approval on forced and undemocratically installed government as constitutional head of state. He said undemocratically chosen government under the leadership of Prafulla Ghosh could not sustain people’s movement against it. Pranab Mukherjee, the then Bangla Congress leader was party to it. Should he call the said move of

India and the Washington... From Page 5 urban areas has accelerated. The virus of corruption has not spared any segment of the society, be it at the top or the bottom. In spite of the reduction in the rates of taxation and banishing the Licence-Permit Raj, we daily hear of new scams. Inflation is threatening to take on the prefix ‘hyper’ and this terrifies people when they think of its political consequences in the light of what happened in Germany some eight decades ago. Stiglitz told his audience without mincing words: “Even before the recent crisis provided the nail in the coffin of neoliberalism, these ideas had been thoroughly discredited: their intellectual premises had been undermined, and almost without exception, the most successful countries, the countries in East Asia, fol-

lowed a markedly different course.” Questioning the theoretical basis of neoliberalism/Washington Consensus policies, Stiglitz underlined: “They were predicated on the notion that markets by themselves were efficient and stable, and that the benefits of growth would trickle down to all citizens. Even before developing countries were exposed to these new policy experiments under the aegis of the international financial institutions, both theory and evidence had called into these beliefs. My own work on the economics of information (with Bruce Greenwald) had shown that the reason that Adam Smith’s invisible hand often seemed invisible was that it was, in fact, not there. Markets with imperfect and asymmetric information and incomplete information were not ef-

ficient—and since all markets are characterized by imperfect and asymmetric information, this meant that markets were essentially never efficient. We should have learned from the Great Depression that not only are markets not necessarily efficient, but they are also not stable and self-correcting (at least, not in the relevant time frame). We have now learned these lessons again. “The experience with the Washington Consensus policies has now further undermined each of its central policy tenets. For instance, deregulation and liberalization may not improve efficiency and stability. Indeed, the only period in which market economies have not been subject to financial crises was the three to four decades after the Great Depression when the United States and other countries New Age Weekly

Bangla Congress and left Parties as ‘illogical’ and should he depict the said action as ‘no faith in parliamentary democracy ’? Was the then speaker Bijoy Banerjee’s decision to adjourn the Assembly sine die ‘illogical’ and ‘undemocratic’? Should he recall the year 1991-92 when JPC was formed to probe into Rs. 10,0000 crore share scam of Harshad Mehta? And Harshed Mehta told that he had given Rs. 1,000 crore to the then prime minister Narshima Rao. JPC at that time suggested some procedures to prevent scam which were not followed. ExTelecom minister A. Raja, the king pin of Rs.1,76,562 crore 2G Spectrum Scam has told that prime minister’s office (PMO) and others related to spectrum allotment were aware of the things happened. He also said that his actions had the nod from related departments of the Central Government. imposed strict banking and financial sector regulations. These decades happened also to be a period of rapid growth, with fruits widely shared.” It needs to be noted that the policies flowing from Washington Consensus have not brought in economic growth with equitable distribution of its fruits. There is no question of stability as is evident from all sorts of anarchic trends and movements like Naxalism. Religious fanaticism and terrorism of various varieties have been raising their heads. As has been noted, corruption and scams seem to be everywhere and there is an increase in criminal activities. In spite of the fact that a staunch votary of “trickledown,” heading the Planning Commission, there is no evidence of its occurring in India. Stiglitz is perfectly right when he says: “Trickle-down economics never had much empirical support, but in

In view of this how demand for JPC probe into high profile 2G Spectrum scam can be “illogical” and how “faith in democracy” steps in? Actually his effort was to hoodwink people which he could not. His efforts to denounce dogged demand for JPC has denuded Congress’ policy to keep scam leaders under wrap to facilitate the crimes to wither away. And destiny of ‘aam admi’ will be to accept disdainful smile of the tainted leaders. The honourable and high profile finance minister is definitely aware that if persons responsible for 2G Spectrum Scam go unpunished, it will affect morale of the people as well as image of the country.Regarding Public Distribution System (PDS) Pranab Mukherjee told in the said meeting, “The Public Distribution System and the Essential Commodities Act are for the states to implement. On Page 14 recent years, it is an idea that has fared particularly badly. In the United States, for instance, between 1999 and 2009, real median household income in the United States fell by 5%. Today, most Americans (and let me stress that: most Americans) are worse off than they were a decade ago. All of the benefits and more have gone to those at the top. We have had trickle-up growth, not trickle-down. Today, between a fifth and a quarter of all income goes to the upper 1 percent. Inequality in wealth is even worse.” It is high time that the Indian National Congress that has recently entered its 126th year of its existence should have some retrospection and see whether the Washington Consensus-inspired economic policies are carrying forward or negating its legacies.

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February 6—12, 2011

The Nuclear Cover-Up Dr. Anil Kakodkar served as Chairman of the Atomic Energy Commission (AEC) during the crucial years from 2000 to 2009. During his tenure , in around 2004, the Department of Atomic Energy (DAE) formulated a nuclear power plan , which concluded that India can generate a total of 192,530 GWe-years of electricity from the net available natural uranium and thorium resources in the country , by following the t h r e e - s t a g e Bhabha plan. The 2004 DAE plan projected that this totally indigenous program will deliver 208,000 MWe of installed nuclear power by 2052, without having to import any uranium or nuclear power reactors from abroad beyond the first two VVERs from

Russia. Following the July 2005 visit of prime minister Manmohan Singh to Washington, the government’s foreign policy focus shifted to establishing an Indo-US strategic relationship, even if it meant the trading in of a part of the nation’s sovereignty and its hard-earned selfreliance in the nuclear sector . In return for this strategic bear-hug , the government agreed to quid-pro-quo arrangements to purchase a significant number of power reactors from the US, as well as from France and Russia. The corporate houses in India and abroad and their Federations and Business Councils who were eager to import nuclear reactors to India were active collaborators in shaping this change of policy. Among the facilitators were also some politicians, senior

CPI Led Agitation Against Petrol Price Hike BHOPAL: The Communist Party of India brought out a protest rally against hike in the prices of petrol, and to stop police atrocities on the toilers as well as loading auto drivers. The participation in the rally was massive since the demands were close to people’s hearts. Two memorandums were also submitted to governor, IG Shailendra Srivastava and IGP K L Meena. The demonstration was led by district council secretary Shailendra Kumar Shailee, Yusuf, Roop Singh Chauhan, Habib Quraishi, Fida Hussein, Mehfooz Altamash Chhote Munne, R N Prasad, Kallu Khan, Rashid Khan, Saeed Khan and many others. The rally started from the Itwara Chauk, passed through Budhwara and reached Neelam park. The CPI activists and the masses with them shouted slogans voicing their demands and expressed their protest. Shailee, while addressing the gathering, said that these are the fall outs of the taking away of government control over the oil companies and it is the common masses who have to take the main brunt of it. This is inhuman and betrayal of the common people’s faith in the government. The CPI demands that the heavy prices must be withdrawn and control of the government on oil companies must be resumed to restrain the mad hike in oil prices. The CPI has also demanded from the BJP led state government to bring down the taxes on petrol products and provide relief to the masses in the state.

By Dr A Gopalakrishnan bureaucrats, and scientific stalwarts from India and abroad who saw some benefit in it for themselves. Somewhere along the way, the top officials of the AEC and the DAE were also coopted by the PM to help him justify his drastic redirection of India’s nuclear policy. To help the PM, the DAE came up with a trumped up, revised nuclear power plan in July 2008, which was revealed by Dr. Kakodkar in his address to the Indian Academy of Sciences. This plan was centered around the baseless argument that importing 40,000 MWe of Light-Water Reactors (LWRs) between 20122020 is an absolute necessity to avoid a 412,000 MWe shortage in electric power availability in 2050, which would otherwise occur. In effect, this was concocted by suppressing some of the realistic possibilities for electricity generation from available non-nuclear sources,

and thereby creating an artificial deficit which was then filled by imported nuclear power reactors. Interestingly, according to DAE’s 2004 plan, the same total electricity demand in 2050 was promised to be met wholly through indigenous efforts in nuclear power, national and imported coal and natural gas to fuel power plants, and by setting up renewable energy and hydro power units. In the face of mounting opposition to the unproven French reactors to be set up in Jaitapur, Dr. Kakodkar (now retired from the AEC) has given an interview to a Marathi daily, on January 5, 2011. He appears to have said, “ It may be asked why we don’t concentrate only on uranium import and why are we taking foreign help in other nuclear areas. Here, we must realize that we have to take into consideration the interests of certain foreign countries and their industries also. From their point of view, if there is more real business interest in other areas of nuclear technology apart from

uranium sales, then India has to consider this aspect seriously. Such give and take arrangements are inevitable when we wish to get India recognized as a nuclear power and remove the nuclear restrictions on our country.” (Translated from Marathi). From the above, it is clear that the arguments for nuclear reactor imports stated all along by the government and in its 2008 revised nuclear power plan were merely an eye-wash and a cover-up. The import of reactors was the price that the PM paid as a quid-pro-quo arrangement for the NSG clearance, which has now landed India in the precarious position of becoming the dumping ground for hitherto unbuilt and untested highcost nuclear reactors like the French EPRs at Jaitapur which could endanger the lives of several thousand people in and around Maharashtra in the coming years. *[Dr.Gopalakrishnan is a Former Chairman of the Atomic Energy Regulatory Board]

PWA Call to Fight Fundamentalism Delhi unit of the Progressive Writers’ Association organised its annual conference on January 22, 2011 on the theme of Politics of Fundamentalism and writing in the Indian continent. Prof Mushirul Hasan , director, Indian National Archives, inaugurated the conference and spoke on the theme. Among others taking part in the debate were Prof Vishwanath Tripathi, Arjumand Ara, Ali Javed, Sheeba Aslam Fehmi, Raza Imam and Rakshanda Zaleel. The dialogue acquired significance especially in the present context of general crisis as the New Age Weekly

speakers emphasized and felt the need for more activism on behalf of the writers. They expressed concern about the growing forces of globalisation that has taken in its grip the economies of the developing countries. The United States has unleashed a rumor campaign about falsely created clash of civilisations and that of Islamic terror to veil its vested interest as well as the aggressive intentions. But it is no more unknown to the world that countries like Afghanistan and Iraq are the victims of such aggressive policies only of the US. The speakers stressed that India and other coun-

tries of the third world are already suffering under these disastrous policies. In our country, in the name of fighting terrorism, the minority community has been targeted many times in last few years. Consequently the policy of soft Hindutva has promoted the fanaticism of the fundamentalist forces. The bomb blast incidents in Hyderabad, Malegaon, Ajmer, Samjhauta Express have exposed another side of the same face of Hindutva supporters. In all these horrendous blasts killing hundreds of innocent people, there has been the hands of the Sangh Pariwar, which has On Page 14

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February 6—12, 2011

FDI in Retail Trade, Hurts The discussion paper of the government on FDI in retail trade in India shows that the most important single factor cited in support of permitting FDI in retail trade is the assumed prospect of attracting large and much needed investment in back-end services for value chains and other facilities to reduce post-harvest losses to the farm sector such as cold storages and thus add to total availability of farm goods. Assuming that these investments do take place (by no means a certainty) who would be the major beneficiary of these expected investments and thus of FDI in retail? The sense of uncertainty of front-end retailing bringing with it the back-end investments is implicit in the government’s own suggestion to make a certain proportion of the FDI inflows for such facilities mandatory! But the case for FDI in retail has been argued in the government document as if these companies would deal exclusively in foodgrains, fruits and vegetables. As a mater of fact these farm sector products are unlikely to take more than 10 to 20 per cent of the space and in value terms would be an even smaller part of their turnover. What would happen to the small domesic producers of either nonbranded products or brands that are little known compared to the ones produced and marketed by the big local and foreign companies and the imported goods sourced by these big global retailers on the basis of their global strategic decisions? These products are hardly dependent on these backend facilities. But before long the domestic producers, especially the small and medium ones, would have to down their shutters as the highly advertised, glamourised elitist goods, the high-end goods as the official paper calls them, would adore the shop shelves of the foreign companies. Given the small relative size of the farm goods in the total turnover of the companies vis-a-vis the non-farm goods, the case for FDI in retail can hardly be argued on the basis of some tall and vacuous

promises for the farm sector products. Coming to the assumption that FDI would come with what is called latest technology and management, let us ask: how would one ensure that they bring with their direct investment additional investment in setting up cold value chains and other back-end services as also so-called modern technology and management and share these with the organised retail sector’s domestic players? What is the meaning of and need for modern technology and management for the family-run small trading firms that have carried on this trade without any disruption and at fairly competitive prices, these days often below the MRP printed on the products?. As of now, thousands of Indians are getting education and training in the world’s best management institutes and are hired by the companies the world over. Where is the need for knocking at the door of others for the purpose? The trade technology is, after all, soft technology, and is embedded in managment personnel. Domestic organised retail companies are largely similar to the MNCs in retail except for the fact of nation of origin. Hence

By Kamal Nayan Kabra it is pertinent to ask: what have the Indian companies in retail done to produce the so-called desirable changes for the farmers, consumers or the micro and small enterprises to give confidence that FDI would carry forward the process? A little less than Rs 9 thousand crores have already been invested in these trading enterprises. What are the results, especially if one were to take note of the working capital these companies have borrowed from the banks? Did they help moderate the inflationary spiral we have been suffering for the past few months? The record shows nothing of the kind. So much so that, according to the government’s paper, even the effectiveness of the local big capital retail is dependent on the entry of the MNCs in retail. When the big Indian companies were permitted to enter retail, lots of hopes were invested in them to take steps to reduce wastage and improve the returns to the farmers and other producers by reducing the chain of intermediaries and help reduce the difference between the consumers’ rupee and the farmers share in it. Is there any evidence and is there any accountability to ensure that these promises are kept? In view of the non-rewarding experience with the recently begun domestic of organised retailing, it is pertinent to ask: who are going to be the main beneficiaries of the entry of the MNCs in this field? Actually the official paper speaks of the danger posed by the big and wellentrenched global retail leaders in the form of unfair competition to India’s teeming millions of small traders and street peddlers. New Age Weekly

Of all the marketisation, deregulation and opening up measures initiated since early 1990s, FDI in retail is going to be the most hurtful, directly hurtful to millions of poor and small means Indians without any compensatory positive gain either in the short run or over a longer time span. FDI in retail would be nothing but simply a Displacement Investment, on par with the compulsory and practically without any real compensation Acquisition of the Land of the Tribals and Other Rural People for Various Projects. The real purpose of the proposed entry of the MNCs in selling the daily necessities is to actually bail out the mega global retailers who have been losing ground in their home countries lately and more so in recent times owing to the global slowdown. It is a clear case that shows how the globalisation fundamentalist orthodoxy ruling the Indian policy scene is caring for the global capital than the Indian masses. Actually the discussion paper reads more like a brief for FDI and a desperate attempt to cover up its manifest weaknesses. The paper is honest enough to say in so many words that the real intended beneficiaries of this move are going to be the big Indian corporate players who have entered retail. The paper goes on to quote the CMIE data that show that the organised retail companies have done very badly for their own financial health. It is yet another instance of how the tiny private corporate sector, controlled, managed by less than one percent of our population controls something like 23 per cent of the country’s GDP is the primary concern of the public policies in India now. It is this sector that calls the shots in policy matters, of

course with the blessings and support from the MNCs. The apex bodies of these interests commissioned so-called studies to plead for FDI in retail and these have been quoted approvingly in the present discussion paper. That the government is not able to tell a study from a lobby instrument and exercise is not a matter of surprise as the two interests and perspectives are perfectly matching each other in the current heightened phase of crony capitalism ruling the policy formulation in India. Thus the truth comes out even in the official brief for FDI in retail. On the issue of who would benefit the most by FDI in retail, it says quite clearly: Investment in organised retail by domestic players will be ineffectively deployed if FDI is delayed. This statment can also mean that the small unorganised retail has so far more or less withstood the onslaught by the big retail majors. Hence the big companies could not capture as much of the small ones’ market as to make the former thrive. Hence they want a bigger blow against the small competitors so that the locals and the aliens can jointly monopolise the retail trade segment. Thus on its own explicit statement the case that the government is making for FDI in retail trade is mainly for increasing the effective deployment of the investment by big business in retail trade. No scope or space for the millions who would be displaced by the billions of rupees that would pour in through the retail MNCs and cause displacement of around four crore persons in a matter of a few years. How unequal competition would deal some deadly blows can be seen from an indirect admission in the paper that these big

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February 6—12, 2011

Where it Hurts Most companies would draw huge credits from our banks for their working capital needs and thus crowd out the small traders. It is not just the trade volume that would be lost by the small traders but even the bank credit for them would dry up or at least get reduced. More troublesome would be the rentals and prices of commercial real estate on account of the competition unleashed by the mega MNCs. • • • The the government’s position is that the FDI would provide the backward linkages in the form of so many services and facilities and thus help the domestic big organised players (who are already clamouring for the grant of industry status to trade) make effective use of their investments in retail trade. Even if these investments in supporting services are made by the MNCs in retail why should they share these facilities with their competitor Indian organised retail companies is not at all clear? Would the behaviour to strengthen their competitors not be a totally business-unlike behaviour? This kind of stipulation is nothing but self-delusion, or something else that is hidden from the public view. Let us not forget, though the discussion paper seems to have, that FDI in retail in India would have the protection of WTO under TRIMs that mandates national treatment to FDI by the host country. In any case India with over 36 per cent of the GDP as her rate of investment and extensive financial intermediation services does not have to look for FDI unless the real purpose is to get foreign exchange in order to finance the inordinately large and growing current account deficit that is leading to export of Indian jobs

to the rich countries, as the US Secretary of State thanked India for buying US goods that created 96 thousand jobs for their citizens in the last fiscal. Real philanthropy indeed! We have resources to spare for investments for all kinds of non-essential, low-priority, even negative social value activities and production, not only by the private sector but even out of the public exchequer. A list of such investments, especially on account of their total disregard of any fair and just sense of social priorities and values, would be practically co-terminus with many, if not most, of the recent projects that account for the bulk of our investment. One may just refer to some fancy extravagant and inessential or perverse priority projects such as so-called world class hotels, airports, shopping malls, IPL kind of commercialisation of spectator sports, a string of overbridges cris-crossing the metropolitan cities, highways at the cost of ruining the Gangetic plains, super deluxe residential buildings, plants for producing luxury automobiles in a country in which the buses and trains are always overcrowded and meet fatal accidents on this account every day. A simple back-of-the-envelop calculation would show that the amounts set aside for such purposes would dwarf the funds needed for all the facilities that are needed in our villages and Mandi towns for safe and hygienic storage and transport of the farm produce and for preventing post-harvest losses. We have air-conditioned passenger rail coaches but not enough air-conditioned wagons for moving the perishable farm and fisheries products. Why is it that after all the liberalisation and

support, the private investment by our well-endowed corporate sector is not forthcoming for such purposes. It is indeed a matter of serious concern that, as the paper says, the number of cold storages for such purposes is under one thousand only and the consequent losses go to a trillion rupees. We can permit futures trade, including in farm products that attracts a total annual turnover exceeding the total GDP for one year. The point is simple: it is not the dearth of investment resources. After all, the huge stocks and flows of black wealth and incomes are floating in the economy. The question is that of their proper socially desirable investment. In any case, what is the role of the growing food processing industry if it cannot pump in resources for the marketing infrastructure for their own raw materials? The plain point is: the resources are available in the country but are perversely deployed. Thus the million rupee issue of concern is their allocation according to the social and national priorities rather than to satisfy the whims and fancies of the tiny elite sections, both Indian and foreign, who are treated more equal than the rest. The entry of the MNCs with their mega departmental stores with all the modern amenities and paraphernalia that attracts the middle and high income groups for the shopping pleasure would deal a double blow to the traditional street-corner shopkeeper and the doorstep hawkers: One, the unequal competition of the international stores with their own brand image and so-called shopping pleasure would lead in course of time to displacement of millions of traders. Or in the absence of alternative means of livelihood would force them to stay New Age Weekly

on but with reduced income. Second, the effectiveness that FDI in retail would impart to the domestic players in organised retailing by making them access the facilities set up by the big brother—the MNC retailer operating in India would make huge demands on urban space, commercial real estate, power supply, urban transport facilities and the consumes rupee that a hitherto highly competitive activity would also become oligopolistic and the consumer would be hit hard by its predatory practices. Actually when inequalities reach a high point they give rise to further tendencies to exacerbate their own intensification. Organised retail and that too by the international giants is a part of the same dynamics of skewedness feeding on existing skewedness. Actually honesty demands that an independent evaluation is organised to review the performance of the cashand-carry stores set up by the big MNCs, the experience of single-band stores set up by the foreign companies and also of the performance and impact of organised retailing by the big corporate houses who, instead of offering competition to the foreign majors, are keen to hurt the smallest businesses. Also the experience of contract farming and direct contractual relations between the elephantine companies and pygmy farmers, supposed to provide access to large markets to the small producers, needs to be reviewed as reports indicate that these contracts have become a one-way street to the advantage of these huge companies vis-a-vis the defenceless, poor farmers. Let us conclude by asking one basic question.

There are a large number of problems flagged at the official level as having extremely high prioriy and the need for action is universally agreed upon. The question of replacing the colonial land acquisition law, the question of land reforms, the question of central law for protecting farm labour, the question of universal social and health security and so on. None of these actions are controversial or need a special study. In some cases even new studies have been carried out. The whole gamut of the key recommendations of the National Commission for Enterprises in the Unorganised Sector are awaiting action. None of these and similar myriad policies have been taken up for time-bound action by setting artificially low dead-lines for national debates. Why is the question of FDI in retail so urgent and critical? What are the forces working for their quick imple-mentation during the stewardship of the present economic policy team as if it were their mission? The whole exercise appears to be so pre-set that the suspicions/ misgivings seem genuine and the prospects for a pro-people decision uncertain and remote. One wishes to be proved wrong. One wonders whether the friendly multitude of small retailers in every street and on our pavements all around are also facing the fate that became the lot of the tongawallas in Delhi: an unsung and unlamented departure from the scene and into the archival records. One wishes that those who are enamoured of the power of executive fiat realise that the small traders are not like the hapless tongawallas of Delhi. These kind of moves are unlikely to be cakewalks. Such Tughlaqesque policies are sure to add fuel to the fire of social unrest and turmoil raging practically all over the country.

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February 6—12, 2011

Church Opposes Reburial of Lenin!

The issue of the reburial of great leader Vladimir Illyich Lenin has been raised several times in Russia, especially by the ruling party of United Russia, led by prime minister Vladimir Putin. The Communist Party of the Russian Federation strongly opposes the demand. Following is the text of the statement issued after the all-Russia meeting of the secretaries of the regional committees of the Communist Party of Russian Federation: In the beginning of 2011, Russia was marked by a new war stage against its historical past. This time, the party of United Russia (prime minister Vladimir Putin’s party, in short called UR)) has openly loosened the campaign. On its official site the statements by a number of the UR representatives vested with parliamentary powers have been placed almost simultaneously. Sacred to our people, the necropolis near the Kremlin and its heart, the Lenin Mausoleum has been attacked again. The tone of the UR statements, the ones by Medinsky, Schlegel and Shchitov, is startling in its cynicism, and the naturalism of grave- diggers, savoring this issue, raises doubts as to their mental health. As happened more than once, the attacks on the Soviet past by the ruling party are not caused by other than new failures in the economy and politics. Under the rhetoric of modernization and innovation it has demonstrated its incompetence and complete impotence in the face of the usual Russian winter. Many Russians celebrated the New Year in the darkness, and as a gift from the authorities received another round of growth rates for utility services and the jump in food prices. New Year’s news was a massacre in the village Kushchevskaya and riots in the capital. Russia suffers major defeats in foreign policy as well. Thus, the contract with the USA on strategic offensive arms has become a new blow to our security. As the CPRF has

warned, anti- state policy of the “United Russia” on the Katyn issue also entails serious consequences. Today, it has resulted to the fact that the crash of the Polish president jet at Smolensk is used by certain forces to demand from Russia apology again, contrary to the data.

United Russia accordingly. And history will put everything in its place, and the era of the Soviet government will enter in future textbooks as the time of our country’s highest take-off. But the current hard times will defame the names of provocateurs. The current period of Russian history would be called by descendants as just a new distemper. We, the communists, strongly recommend that the hotheads of the “ruling party” slacken their political extremism. The

State Duma Ivan Melnikov addressed the issues related to the actions of Medinsky and other members of the ruling party. -What is the Communist Party of Russian Federation (CPRF) opinion? Do we need to bury the body of Lenin? -The position of the Communist Party in relation to the Lenin’s reburial remains and will remain the same. We do not accept either the idea or the argument under which this idea is being urged. In due time Lenin was

In the background of its total failure, the United Russia will have to go in the current year’s State Duma elections. The ruling party expects nothing good. In these circumstances, it again falls back on a long-worn trick: trying to blame predecessors, allegedly having left it with a heavy legacy. Once again every possible effort has been made to block out heroic pages of the Soviet history, and to blame the leaders of the Soviet Union in incompetence and greediness of today’s officials. All of this is vile, stupid and weird, but taken together is called absurd. Unfortunately, in unison with the political instigators and extremists, some clergymen have come out. We are convinced that their position is a personal opinion and not supported by the majority of Orthodox Russians. Russian Orthodox Church has always honored with a special focus relics of their saints. The issue of the Lenin Mausoleum it has always been approached sensibly and responsibly, urging not to take decisions that entail social upheavals. There is no doubt that political maneuverings will not succeed. Despite all the tricks, the voters will evaluate the deeds of the

Today we are witnessing the capitalist model cracking, the one we have all seen and are seeing now at the example of the economic crisis. And against this background the interest to the figure of Vladimir Lenin is not even decreasing, but in contrast, increasing. His popularity was confirmed during the contest “Name of Russia”, which took place several years ago. There is no ground, no reason to change anything: such a theme simply does not exist in society, it is inflated artificially by individual politicians to divert attention from the specific, acute problems. -What do you associate with the resumption of debate on the reburial of V.I. Lenin now?

CPRF position is supported by millions of our constituents. Any attempt to violate the law, mock domestic history and administer political provocations will be met by the deserved and hard resistance. Recently the information field has been stirred up by the United Russia member Vladimir Medinsky, who without picking up phrases and techniques is making efforts to revive the theme of the burial of Vladimir Ilyich Lenin. At the request of various media First Deputy Chairman of the CPRF Central Committee, Vice-Chairman of the New Age Weekly

buried in the Mausoleum by a decision of the supreme body of the USSR state power -Congress of Deputies, which fulfilled the will of the people. His body is at rest, as it is common for Christian, Orthodox canons, below ground level b y two meters. In the capitals of European Christian states exists such tradition of open access to the graves of the great figures of history, and citizens are given the opportunity to express respect to their memory. In addition, the pantheon of great men of the Soviet era is a continuation of a long tradition of folk and state.

-The theme of Lenin’s reburial repeatedly arises for two obvious reasons for me. Firstly, the formal one: the ruling party and some of its representatives, are fond of coming into the flow of information that surrounds any date associated with Vladimir Ilyich, whether it is the day of his death, birth, or November 7. They hate that during these dates the CPRF is in the forefront, and they want to run up with their fly in the ointment. Secondly, the content one: the same ruling party and some of its representatives feel very comfortable using the resonant themes in order to divert people from specific problems, be it the rise in prices and tariffs or inter-national inconformity. These are two main reasons, and there is a moral dimension. Usually people, who are unable to achieve anything in creation, work up a reputation by attempts to debunk the big names of the past. This is also within this series. All this is usually futile. And in this very case it is even more futile.

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February 6—12, 2011

Developments in Turkish Cypriot Community The economic situation within the Turkish Cypriot community imposed by Turkey in the occupied areas, in conjunction with the transfer of Turkish settlers aiming at their assimilation and the change of the demographic character, is damaging the cause of the solution of the Cyprus problem, but more particularly our Turkish Cypriot compatriots. This opinion expressed by the Central Committee of the C.C. of the Progressive Party of the Working People (AKEL). A number of trade union organisations, parties and associations within the Turkish Cypriot community are waging, with differentiations regarding goals, a struggle against this policy: a policy, which, inter alia, is gradually making our Turkish Cypriot compatriots prospective immigrants. The Greek Cypriots must know and assess the struggles of our Turkish Cypriot compatriots. AKEL expresses its support to the struggles of the progressive and peace-loving movement in the Turkish Cypriot community which is fighting at the same time for the solution of the Cyprus problem based on the resolutions of the Security Council of the United Nations, for a free Cyprus based on a bizonal bicommunal federation, with a single sovereignty, a single international personality and a single citizenship, with political equality as set out in the UN Security Council resolutions. The only path towards the reunification of our country is the joint action and struggle of Greek

Cypriots and Turkish Cypriots and the backing of the efforts for a peaceful solution of the Cyprus problem through the ongoing dialogue, with positions that do not deviate from the parameters of the agreed framework of the solution. The success of the struggles of the Turkish Cypriots contributes to the prospect for a correct solution of the Cyprus problem. Communists of Russia oppose the treaty masking American arms race Statement by the Presidium Member, Secretary of the CPRF Central Committee, First Deputy Chairman of the RF State Duma Committee on Foreign Affairs Leonid Kalashnikov in connection with the Russian parliament’s ratification of the Treaty between the Russia and the USA on Measures for the Further Reduction and Limitation of Strategic Offensive Arms (hereinafter - New START Treaty) Communists of Russia reaffirm their commitment to universal disarmament, which is a prerequisite for building a new, more just and humane world. At the same time the Communist Party of the Russian Federation is convinced that disarmament should be the one that none of the existing powers would receive decisive military advantage, since these benefits are fraught with the unleashing of new imperialist wars. Given precisely this belief the CPRF deputies voted in the Russian parliament against the ratification of the New START Treaty. The hypocrisy of the New START Treaty is in the fact that the agreement allows the parties to have a huge returnable nuclear capability. To fulfill the treaty restrictions it is sufficient to remove part of the warheads from the missiles. Moreover, contrary to common sense, platforms designed for a greater number of warheads one may leave on

the missiles, while storing the removed warheads close to the missiles. Given the reason, the number of warheads on the American missiles Minuteman-III and Trident- II might be in a short time brought up to almost 4 thousand, which is 2,5 times above the treaty restrictions. Russia, however, due to its older missiles’ decommissioning, would not be able to use the returnable capability. That is, the trick is also aimed at achieving nuclear superiority of the United States. Given that the New START Treaty in fact provides almost no reducing in strategic nuclear arms, its main purpose should be looked for elsewhere. We see such hidden meaning in the fact that the New

Around the World START Treaty for 10 years seals to the world public opinion the issue of nuclear disarmament. This time will be used by the USA and its NATO allies for achieving total military superiority over the rest of humanity. This superiority will be achieved by increasing the number of new strategic offensive arms, development of which is not limited by the New START Treaty. These weapons include:

♦

Long-range sealaunched cruise missiles. Such missiles were the main strike weapons in aggressive military actions of U.S. imperialism against Iraq, Sudan, Yugoslavia and Afghanistan. These missiles can carry nuclear warheads as well. Today, surface ships and submarines of U.S. Navy can take aboard up to 10 thousand of these missiles, which already greatly exceeds the attack capability of traditional strategic offensive arms limited by the New START Treaty. The American cruise missiles arsenal continues to grow. New Age Weekly

Under the U.S. Navy command of the World’s water these missiles in relation to any country in the world are rather strategic weapons than tactical ones.

♦

Weapons created by the USA under the concept of “Prompt global strike”. These are nonnuclear ballistic missiles, supersonic and hypersonic long-range cruise missiles; strike unmanned aerial vehicles, strike orbital vehicles. All these weapons can be considered as ideal ones for the first preemptive strike.

♦ Missile defense, which under its massive deployment ceases to be a defensive system, and turns into a shield, behind which the aggressor could hide himself from the retaliation of the victim countries. The US plans to deploy in the coming years hundreds of missile defense interceptors argue that the US missile defense system will be directed not against the so-called “outlaw states”, but above all against Russia and China. Thus, with the help of the New START Treaty the USA is trying to create for itself the image of peaceloving country. But the same treaty gives “the green light” for the race of extremely dangerous US offensive arms. Russia’s ratification of the treaty proves once again that the today capitalist Russia is in fact a country of limited sovereignty. The New START Treaty implementation will be one of the factors that create a new global strategic situation, in which U.S. and its allies’ aggression against any country in the world will be possible. Moreover, we simply can not trust the Americans. They have repeatedly played possum with us. We were promised not to expand NATO eastward, when Russia was withdrawing troops from East

Germany, but we received extra 13-members to the aggressive bloc and new US military bases near our borders. We failed in getting the promised free transit of Russian citizens to Kaliningrad region. We insisted on preserving the ABM Treaty of 1972, but the Americans came out of it without paying any attention to us. We appeal to the Communists and all peace-loving forces to intensify the joint struggle for genuine nuclear disarmament. Our common effort should force the governments of the major world powers to conclude international agreements, which limits the buildup of new types of strategic offensive arms. Creating a system of such agreements is a necessary step in countering the aggressive policy of modern imperialism. Portuguese Communist Party Expresses Opposition to the Visit by the Israeli Minister for Foreign Affairs to Portugal Faced with the visit to Portugal, at the invitation of the Portuguese government, by the Israeli Minister for Foreign Affairs, made public a few hours before its beginning, the Portuguese Communist Party expresses its firm opposition to the presence in Portugal of a member of the Israeli government, leader of a right-wing xenophobic party who has defended, among other positions, the expulsion of the Arab population from the Palestinian territory. The presence of Avigdor Liberman in Portugal, and specially the invitation of the Portuguese government for an official visit of one of the main authors of the policy of state terrorism against the Palestinian people, of the constant boycott of any just solution for the Palestinian issue and of the continuous disrespect for the United Nations On Page 12

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February 6—12, 2011

New PPH Publications 1. Class Caste Reservation & Struggle Against Casteism By A.B.Bardhan (H.B) 2. Fidel and the Religion Conversations with Prei Betto 3. Rabindra Nath Tagore: Himself A True Poem By Hiren Mukerjee 4. Gandhiji: A Study By Hiren Mukerjee 5. Kalidasa. The Human Meaning of His Works By Walter Ruben 6. The German Ideology By Marx Engels 7. Imperialism The Highest Stage of Capitalism By Lenin 8. Ramayana Myth or Reality By H.D. Sankalia 9. Selected Writings on Communalism By Romila Thapar, Bipin Chandra, R.S.Sharma, A.B.Bardhan, ETC 10. Maxism and Indian Polity By Kandadai Seshadri 11. How the Steel was Tempered By Nikolai Ostrovsky 12. Lokayata: A Study in Ancient Indian Materialism 13. The Holy Family or Critique of Critical Criticism By Marx Engels 14. Indian Atheism By D.P. Chattopadhyaya 15. Ambedhkar-A Critical Study By W.N. Kuber 16.Man and Society in Indian Philosophy By K. Damodaran 17.Feeders of Indian Culture By B.S.Upadhyaya 18. Science Society and Peace By D.D. Kosambi 19. 1857 in Folk Songs By Puran Chand Joshi 20. A Comprehensive History of India I. Vol. II (325. B.C.-AD.300 By K.A. Nilakanta Sastri (Ed) II. Vol. III Part-I & II (A.D. 300-985) By R.C. Majumdar, K.K. Dasgupta (Ed) III.Vol. IV Part-I (A.D. 986-1206) By R.S. Sharma (Ed) IV. Vol. V Part-I & II (The Delhi Sultanate) A.D. 1206-1526 By Mohammad Habib, Khalif Ahmadmizami (Ed) V. Vol. IX (A.D. 1712-1772) By Dr. A.C. Banerjee & D.K. Ghose (Ed) VI. Vol. XI (1818-1858) The Consolidation of British Rule in India Showrooms:By K.K. Dutta, V.A. Narain (Ed) Please send your order to:People’s Publishing House (P) Ltd 5E, Rani Jhansi Road New Delhi-110 055 Ph: 011-23523349, 23529823 e-mail: [email protected]

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Developments in Turkish...

From Page 11 Resolutions which recognize the inalienable rights of the Palestinian people, is an extremely negative and worrying sign of the position of the Portuguese government regarding the Palestinian issue and represents a clear violation of the principles set down in Article 7 of the Constitution of the Portuguese Republic. Regardless of the declarations of circumstance by the [Foreign Affairs] Minister Lu½s Amado – which can only be seen as an attempt to publicly whitewash the decision to invite the Israeli leader and to hold high level bilateral meetings [Minister for foreign affairs, President of the Parliament and Prime Minister] – the visit by Avigdor Liberman is even more serious since it happens at a time when Israel continues and intensifies – with a leading role by Avigdor Liberman - the criminal and illegal policy of occupation and colonisation of the occupied territories of Palestine and the persecution of the Arab population in Israel, and has just openly challenged international law with the publication of a so called “report” on the Israeli terrorist attack against the “freedom flotilla” in international waters, presenting it as “an act of selfdefence by Israel”. PCP stresses that, in light of the Constitution of the Portuguese Republic, the Portuguese government is obliged to carry out a policy of active solidarity with the Palestinian people, to condemn Israel for its Zionist policy of occupation and colonisation of Palestine and its repeated disrespect for international law and international agreements. As the situation in Palestine clearly shows, what is expected of the Portuguese foreign policy are not invitations to political and party leaders responsible for Israel’s criminal policies, but rather, a cut in political, economic and diplomatic relations with Israel, as long as this State maintains an open position of disrespect for the most basic principles of international law and of human rights. While appealing to the Portuguese workers and people to make their voices heard in condemnation of this visit by Avigdor Liberman, PCP reiterates its support and solidarity to the Palestinian people in the struggle for their national rights and for the to establish the Palestinian state along the 1967 borders, with East Jerusalem as its capital, a position which is stated in the resolution proposal presented today by PCP in the Parliament, aiming at the recognition by the Portuguese State of the proclamation of a free, viable and sovereign Palestinian state. (Compiled by Pallab Sengupta)

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13

February 6—12, 2011

Parties Call for Urgent Kashmir Resolution By C. Adhikesavan The committee comprising eight political parties and prominent civil society members for promoting dialogue, peace and justice in Jammu and Kashmir has demanded continued sincere nationwide attempts to raise awareness among the people of Jammu and Kashmir to bring back normalcy in the state. The committee made this appeal in its first public meeting in New Delhi on February 1, 2011. Thousands of people turned up to listen to the deliberations. Addressing the gathering CPI general secretary A. B. Bardhan voiced serious concern over the deteriorating human rights situation in J&K saying that the solution of the problem can be found only if the Indian state reposes faith and trust in the people of the state. “Indian state, from the very beginning, treated the people of Kashmir with suspicion. Sheikh Muhammad Abdullah was dislodged in 1953 and put under arrest and a puppet government was installed in Kashmir”, he said and added that trust deficit between Indian Union and the people of Kashmir is taking a heavy toll on the Indian democracy.

another.” The respective governments in the state as well as at the Centre have thrown their commitments and promises made to the people into the dustbins, he added. The armed forces deployed, is in more number than the population of the state. Would you like the presence of armed forces in your locality, villages and towns and cities? The face of India is not the face of the armed forces, the veteran leader asserted and asked for how long, these forces would stay there? Defending the Kashmiri people Bardhan said, “They don’t want to go to Pakistan but they want freedom from military rule. Kashmir will remain with India as per the instrument of accession. Brotherhood and friendship will continue. Article 370 for a special status to the state should continue. It is a part of the Indian Constitution. Let the people of the state to decide. Let us not distort the law. That would be a big fraud on the people of Kashmir. Youth cannot be suppressed in such a manner. It is a democratic country. Even children and women are not spared.”

The CPI leader called for replacing the security forces in Kashmir to pave way for a serious dialogue. He supported the initiation of a meaningful dialogue and said, “If you want to see the heaven then you had to go to Kashmir. Such is the beauty of Kashmir and for that the environment has to be peaceful. But successive governments have created a hell out of it.”

The armed forces and police are shooting the people, shooting our own people. “If someone from your family is shot dead, then will you keep quite? In such a situation do we need Armed Forces Special Powers Act in Kashmir or anywhere in the country?” An initiative must be taken to end the bullet culture in Kashmir and a dialogue must be started to create conducive environment to restore peace and brotherhood. Why only Muslims are put to test for their patriotism and nationality?

Holding some political parties responsible for the violence in Kashmir, Bardhan said, “There is no communal violence between Hindus and Muslims in Kashmir. The politics of these parties are pitting one community against

CPI(M) general secretary Prakash Karat supported the call for a political solution. “Within the last three months 112 people have been shot dead in the Valley. The Indian government has not made any distinction

between people, militants and terrorists”, Karat regretted.

are protesting against what we have snatched from them.

It may be recalled here that the political parties who have formed the forum include CPI, CPI(M), Rashtriya Lok Dal, Janata Dal (S), Revolutionary Socialist Party, Lok Jan Shakti Party, Forward Bloc and Telugu Desam Party while the prominent civil society leaders involved in the group include Seema Mustafa, and others. The delegation of parliamentarians including civil society members who visited Kashmir recently shared their experience about the situation in J&K. CPI deputy general secretary Suravaram Sudhakar Reddy, national council secretaries D. Raja and Amarjeet Kaur, educationist Kamal Mitra Chenoy, LJP leader Ram Vilas Paswan, Nageshwar Rao, Aboni Ray, Debrata Biswas were among others who addressed the meeting. Former Prime Minister Deve Gowda was also present.

Demanding withdrawal of security forces from the civilian areas, karat said that it is very unfortunate that India is represented by security forces rather by military might in Kashmir. “The demand for revocation of Armed Forces Special Powers Act (AFSPA) and withdrawal of security forces was a genuine and legitimate demand as the heavy presence of armed forces was in itself a major irritant. Asking the government of India to act timely on the issue, Karat said that they had suggested that disturbed areas act should be rolled back and the AFSPA will automatically become null and void but the government has not acted upon this. Stressing for immediate resolution of the political problem, Karat assured that secular forces in India would build public opinion by organising such public meetings in every big city of the country to garner their support. “We stand for resolution of the problem through political autonomy and empowerment of people of the state and our struggle will continue despite vicious antiKashmiri campaign by BJP and its allies.

Many more similar meetings will be held in state capitals during the coming months in which Kashmiri leaders will also be invited to present their viewpoints. Refuting strongly the notions that Kashmiris favour Pakistan, the CPI(M) leader recalled that Maharaja Hari Singh was never in favour of state’s accession with India. “It was the people of J&K represented by Sheikh Muhammad Abdullah who favored accession with the country.” By labeling them as Pakistanis and terming their struggle as Pakistan sponsored, one is actually alienating them from the Indian mainstream. They New Age Weekly

Speaking on the occasion LJP president Ram Vilas Paswan lashed out at UPA government for the irrational and illegitimate response to the J&K people’s aspirations. He said that the problem of the state should be dealt with compassion. Showering bullets on stonepelting protesters wont solve the problem. “Why is it that the people in rest

of the country are free to protest while Kashmiris are killed when they raise their voice against state repression? Why is it that people in Kashmir is are barred from participating in funeral procession of a boy killed by the security forces?” Show Kashmiris the real face of democracy and tolerance; they now identify India with the brute face of armed forces because democracy and democratic norms have never been allowed to take roots there. An entire generation in Kashmir is depressed, they have only seen security forces murdering their near and dear ones, we need to reach out to them with ahuman face,he added. Lashing out at BJP for communalizing the situation, Paswan said that its tricolor hoisting drama was unwarranted and uncalled for. “Rousing communal passions for political gains cannot be tolerated,” he said and added that the country faces threat from the saffron brigade and not from Pakistan or China. Demanding blanket ban on RSS and Bajrang Dal, he said that these are the terrorist outfits spreading terror by targeting minorities in the country. Senior journalist and coordinator of the Committee, Seema Mustafa said, “The political leaders regretted the ineffectiveness and apathy of the governments at the Centre and the state, pointing out that there had been no movement forward despite promises.” The meeting, she said, passed a resolution assuring the people of Jammu and Kashmir “hum aap ke saath hain”.

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February 6—12, 2011

A Life dedicated to...

From Page 3 sugar, kerosene etc. Party organised mass organisations of working class and peasantry in trade union and Kisan Sabha and launched struggles. They organised cultural activities too that helped the party in its tremendous growth. All the while the CPI was working underground. Finally the ban was lifted in July 1942 and the party started publishing its journals. The first elections to the legislatures of Travancore and Cochin took place in February, 1948 and though the party was banned, M N contested from B h a r a n i k k a v constitutuency and won with a very huge majority. In this election the CPI and the newly formed Kerala Socialist Party stood together to fight the Congress. The united front boycotted the elections in Cochin. There was also an agreement between these two parties and the Travancore Tamil Congress in south Travancore. M N was the main brain behind the election strategies and forming the united front. In 1940, M N moved to Quilon to organise the party and the trade unions and interestingly, he was a member of the Congress and the Socialist Party both. In the war period of 1942, food articles, and

other essentials were in short supply. In certain places, the staple food of Kerala, rice, was not available at all. M N came forward to organise food committees. He turned the Indo-Soviet committee office of Quilon into food committee office and also asked the government to start rationing of the essentional commodities in the state. Soon after, M N was arrested and convicted for two years, though was released after 10 months. He then returned to Quilon and found the trade unions in a shambles. However he was not to be free for long and was arrested again in 1946 in the famous Punna Pravayalar case. By this time he was very ill, and was under treatment in Nagarkovil T.B. Hospital. It was a time when the misreading of the country’s situation led the party to adopt an unrealistic and sectarian, adventurist line in the second congress of the party in February-March, 1948 which completely destroyed the mass organisations and party bases all over India. It was in the follow up of the same line that the call for a nationwide railway strike was given on March 9, 1949 which never materialized. By 1950-51, the party was thoroughly iso-

lated, its membership fell from 89,000 to 10,000. M N was opposed to the sectarian line and was immensely pained to see the destruction of the party which he had built up with so much difficulty. Finally he decided to escape from the prison to save the party from liquidation. Coming out of the jail hospital, he went underground and started organizing the mass fronts of the party. He became the secretary of Southern regional committee of the party. M N was the state secretary of the party in the first general election period. When the election results came, the Congress was in minority, and yet formed the government with the help of Tamilnadu Congress and with some independents. Later, Tamilnadu Congress withdrew its support and another election was held in 1954. This time there was an understanding between the Praja Socialist Party on the one hand and on the other, with the limited front of the communists, Rrevolutionary Socialists and Kerala Socialist Party. After the elections, the Praja Socialist Party, with 19 seats to its credit, broke its pledge and formed a government with the support of the Con-

Pranab Loses Way Down... From Page 6 The poor in Bengal are not getting food grains at subsidised rates because of failure of PDS here”. He could not recollect that PDS has failed in other states including states ruled by Congress or its coalition partners. Such as Delhi, Andhra, Maharastra, Tamilnadu, Assam, Manipur etc. Albeit Left Front Government of West Bengal and Kerala have long before introduced subsidy for food grains distributed through PDS. As finance minister and veteran of Central Ministry he is definitely aware of For-

ward Trading of foodgrains (introduced by the Central Government and left parties opposed time and again) that causes price rise. Secondly, failure of PDS is only for irregular supply or, supply of less quantity or, no supply for months by the Central Government’s authorities. Issue of unlimited license to export enormous amount of foodgrains and vegetables like sugar, onions, dal etc. is also adding fuel to price rise of food grains besides increase of petrol price and freights (increase of railway freight by four per-

cent is under the cuff).Curse of price rise has not only embraced West Bengal, it has spread its tentacles across the country. As a veteran leader of Congress and an important minister of Central Government what steps he has suggested to curb misery of ‘aam admi’?Price rise of fuel, increase of freight, issue of unlimited licence to export foodgrains and above all forward trading of foodgrains have not only made people reluctant but also have thrust them to fight and to organise themselves for a bigger struggle. New Age Weekly

gress. However this did not last long. Congress ousted the Praja Socialist Party and formed a government with the help of the Tamailnadu Congress. On November 1, 1956, united Kerala was constituted on a democratic basis and the election (second general election) took place in April 1957. Communist party in Kerala together with independents, secured 65 out of 126 seats, 60 communists as against 34 in the previous assembly and five independents. M N was the CPI state secretary at that time, in Kerala. He believed that this time party would get a majority in the assembly and the communists would be able to form a government in the newly constituted Kerala state. Com. S. Kumaran also agreed with his opinion, and both together worked to achieve this unprecedented goal. Even much before the election, he was thinking about the new ministry and possible chief ministerial candidate. He was of the opinion that we should put up a known party leader as chief minister. First he suggested A K Gopalan’s name, the opposition leader in parliament at that time. But AKG refused the offer. He wanted to continue in

parliament. Then he approached EMS and he agreed. At that time EMS was working in the party as a polit bureau member and as a right hand man of general secretary Ajoy Ghosh. His argument was that, since the sate party secretary was from Tranvancore, the chief minister should be from the Malabar area. Malabar area was with Madras state till state reorganization. This was a correct decision and valid argument of MN. He also selected some important personalities to be independent candidates. With great care, he selected certain popular personalities as independent candidates, like, Joseph Mundassery, V.R. Krishna Iyar, Dr. A.R. Menon, to become ministers in the first communist ministry. The new ministry headed by EMS Namboodiripad assumed office an April 5, 1957. It was a day of rejoicing in Kerala. Hundreds of meetings and demonstration were held to celebrate the taking over of the government by communists. This election victory of Kerala in 1957 paved the way for a new and correct political understanding inside the CPI.

PWA Call to Fight ... From Page 7 been unveiled in the investigations. The country is getting fragmented at the cost of development and progress, observed the speakers unanimously. However, there has been another factor about which the speakers were equally concerned and that was the strengthening of the fundamentalist forces that are engaged in fanning up the communal feelings among the minority communities and thus instigating violence among them. One example of the same is the grand welcome organised by a section in Pakistan to the killer of the governor of Punjab there. The incident has shaken the peace loving people of the neighboring countries. In such a situation, it is imperative for the writers to keep writing fearlessly against all kinds of fanaticism, intolerance and violence. They must take up the issues in depth, and promote human values. Activism and consistency in the writers’ movement would follow automatically, said the speakers. Prof Vishwanath Tripathi and Dr Arjumand Ara were elected again as president and general secretary of the Delhi unit of PWA for the next term along with a presidium and executive.

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February 6—12, 2011

Comrade Manna... From Last Page trade union movement became the central force in the book because com Manna was basically one of those leaders in Delhi who inspired and organised the working class in Delhi. He had prepared and typed the manuscript on his own and planned to complete it but had to stop by the time he reached 1947. She said that the project to bring out the book was taken up as a tribute to the departed comrade. General secretary of the party A B Bardhan released the book. S. Sudhakar Reddy, deputy general secretary of the party, while addressing the gathering, said that com Manna was among those who had built up the party in Delhi. The CPI in Delhi had played a major role in the days of freedom struggle and hence, the history of the party is also a history of struggles. The book written by Manna is about the sacrifices and relentless struggles of the professional revolutionaries of those days and hence extremely inspiring. Jitendra Sharma, while traveling down the memory lane, said his family was the hub of the party activities those days, and com Manna was a regular visitor. Manna had been active among the CPWD workers and was among the first to organize them. He was a man of the masses, lived ascetically and moved around in a cycle. Prof Arjun Dev said he was not very intimate with com Manna personally but the book inspired him in-

tensely. He pointed out that com Manna joined the party in 1942. He had spent years in jail before independence and it was on August 15, 1947, that he was released. After coming out of the prison and breathing in the freedom of the country, he had described at length the surroundings but with a tragic note since the country was also facing partition, said Prof Arjun Dev. While releasing the book, A B Bardhan said that just a year back, in the same hall there was the condolence meeting in memory of com Manna. Com Manna is gone but the memory remains, how from three, the party grew up to 30 and to 300 and more. It was the period of transition that Delhi was going through, he said, and the toiling masses responded to leaders like Manna and joined the party in great numbers. Even today, one gets inspired by the narrative and hence , he said, the book is recommended to all new comers. If a nation does not take lessons from its history, it can not move on, he said and hence the book. He added that we too had made mistakes but always accepted them and tried to learn from them in a true Marxists spirit. Masses have always forgiven us, supported us, he said. In the years immediately after the second world war, there was an upsurge of mass movements not only in India but almost in all the countries under colonial oppression. The understanding was that imperialism

Workers March to Parliament

on February 23, 2011 Against price rise, unemployment, violation of labour laws and disinvestments of PSUs For safeguarding rights of unorganized workers and creation of a national social security scheme

has got weakened and hence there was an atmosphere of general rebellion, he said. In our country, there was the revolt of Royal India Navy, and we had a major role to play in it, he said. Added to it was the tension getting built up within Air and Armed Forces. These were the moments when the final blow was dealt. Masses started pouring out on the streets in great numbers despite police oppression and the entire county was in the grip of turmoil. In all these developments, CPI was deeply involved, he said. The British came to realize that they cannot restrain India any more. And thus came the transfer of power. We got independence but the country was divided, he said. Then came the general elections of 1952. CPI contested with its symbol and its contributions were recognized by the masses as it emerged as the second largest party after the Congress. Since then the symbol has stayed with us, he said. The CPI has kept alive its symbol all these years, and will continue to keep it so, said Bardhan and called for renewal and membership drive. He said, we all will build up the party together. ‘Manna had always respected the majority opinion and never forced his views,’ said Shameem Faizee, director of the PPH, editor of central party organ New Age and national council secretary, while summing up the meeting he had presided over. ‘I hope the toiling masses will take inspiration from the book,’ he said. Among the other members of the presidium, were advocate Jitendra Sharma, Delhi state secretariat member and AIBEA leader Ramanand, Delhi state AITUC secretary Dhirendra Sharma and Prof Arjun Dev. New Age Weekly

On Record... He went to find out why his ATM card was not working. He came back insulted and abused. His fault? He was a Muslim. Khalid Ali Abbasi, an 18year-old Political Science student of Delhi College of Arts and Commerce, had gone to Syndicate Bank’s Yamuna Vihar branch on January 22 to inquire why his ATM card was not working. An argument broke out with branch manager Mahesh Chand Sharma. Abbasi alleged Sharma hurled abuses and insulted him in front of a room full of people because of his religion. The manager reportedly passed anti-Muslim remarks and blocked Abbasi’s account permanently. “He was rude and said, ‘tum Mullaon (Muslims) ko kuch pata nahi hota. Saare Mulle do number ka kaam karte hain aur bank mein paisa rakhte hain. Ruk, tera account abhi bandh karta hoon (You Muslims don’t know anything. You people indulge in illegal businesses and then save money in the banks. Wait, I will block your account right now),” says Abbasi. Reportedly, when the DU student had asked the bank manager why his ATM card was not working, he was told it takes 24 hours for the card to get activated. Dissatisfied with the reply, Abbasi pressed for further explanation following which the manager lost his temper and passed communal remarks. – NDTV, February 3. *** All India Dravida Munnetrak Kazhgam (AIADMK) leader Jayalalithaa on Thursday said nothing short of a Joint Parliamentary Committee (JPC) probe into the 2G spectrum scam was acceptable to her party and claimed that former Telecom Minister A. Raja’s arrest showed that those backing him have now “accepted his guilt“. “These parties had initially said Raja was not guilty. But they have now accepted his guilt, following his arrest,” she told reporters here. Raja, who had allegedly manipulated procedures in allocation of 2G-spectrum, was arrested on Wednesday along with two officials by the Central Bureau of Investigation (CBI). Jayalalithaa was speaking after paying floral tributes to C. N. Annadurai, the DMK founder at his memorial on his 41st death anniversary. Terming as “artificial and well-planned” the arrest of former Telecom Minister A Raja in 2G scam, Jayalalithaa said it was meant to “hoodwink” the public and tell the Supreme Court that some action had been taken on the matter. – The Hindu, February 3. *** Lower fee structure and work permit from the first day lured many students from India to opt for the California-based Tri-valley University (TVU), which was shut down by US Immigration and Customs Enforcement (ICE), say educational consultants. The university was shut down on charges of a massive immigration scam by the ICE recently leaving the Indian students to face the prospect of deportation from the US. Ninety-five per cent of the students at TVU, dubbed a “sham university” by US immigration officials, were reported to be Indian, most of them from Andhra Pradesh. According to IAEC Consultants, a city-based overseas educational consultants, the university was chosen by most of the Indian students because of its fee structure, which is lesser when compared to other universities. “TVU’s fee structure is very less when compared to other universities in USA which charge in the range of USD 15,000 to USD 20,000 per annum. Also the university basically offers online courses which allow the students to stay at a place other than the location,” IAEC Managing Director, Madhukar Reddy, told. – The Indian Express, February 3. Compiled By— C. Adhikesavan

NEW AGE February 6—12, 2011

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In Memory of Com Manna

A view of the dais and the audience [Photo: Sharda Devi] It is now a year since com NN Manna passed away, a leader who was loved and respected by all in the Party, and beyond. He was one among us and yet much more than that. A spirit that was undaunted even in the face

of immense personal tragedies, Manna had penned down the history of the Communist Party of India in Delhi, woven along with his own personal experiences. Despite illness, he used to sit at the computer keying down the narrative

By Krishna Jha that was not only the history of the party but also of the trade union, of the struggles launched and fought by the toiling masses in the capital, perhaps not always vic-

torious, but always heroic. It was the release function of the same book that came out of the notes and pages, organized by his daughter-in-law Minoo and daughter Suniti, guided by known Marxist historian Prof Arjun Dev and finally

published by the People’s Publishing House. Delhi state secretary and member of the national council secretariat of the CPI Amarjeet Kaur, while conducting the meeting, said that the On Page 15

Corruption at High Places Shake Manmohan Govt

I

t’s high time, the UPA II take urgent steps to stop the rot. People’s anger is rising, hundreds and thousands of people of the civil society marched to register their protests against corruption in high places, not only in Delhi, but also in other major cities. The CWG whitewash, the arrest of former Telecom minister A. Raja, along with his two aides, the Adarsh society scam, where some names of hi-fy people have emerged all point out to the deep-rooted corruption in the ruling circles. This patchwork will not water down the anger of the people. The appointment of the CVC and the government affidavit in the Supreme Court are testimony to how the ruling party is taking the country for a ride. Elsewhere in the world too people are protesting against decades of suppression, the protests are turning into revolts against the ruling regimes. The Arab World is in turmoil and in Egypt, President Hosni Mubarak, after 30 years of despotic rule with full protection of the USA is on his way out. People are fed up with the rising prices, unemployment growing disparity and corruption where a 1 per cent section of the society looted the national wealth and indulged in the 5-star culture of big malls, hotels, luxurious

By S. K. Mittal life style while the rest of the people remained below the poverty line. The market economy of the Paharos backed by the USA failed miserably. The tourist heaven is suddenly witnessing the miserable plight of the people caused by the ever-ending exploitation of the rulers and their friend patron, the USA. It has to be noted that mere 20,000 rich people with designer suits and society ladies in high-heeled shoes came out in favour of the President against the will of the people. The UPA II is also behaving in the same way. The corrupt are shielded. Kapil Sibal, the present Telecom minister defended the 2G scam, the biggest scandal so far in the history of the country, but now the CBI has been forced by the opposition parties to act and A. Raja along with his two aides has been held. Has Sibal any answer? Even the Congress party took the Sibal line knowing well what has happened in the allocation and the loss of Rs 1.76 crores to the national exchequer. The moral high ground of the Congress leadership stands exposed. The chairperson of the UPA II and Congress president is talking of ‘big surgery’ in the party organisation, but is handicapped by the regional compulsions. Already hectic

parleys are going on and different factions in the party are putting their full pressure to corner seats in the Congress Working Committee. This will also be another hotchpotch show as happened recently in the reshuffle of the central cabinet. Debate on black money is going on with little sincerity on the part of the government. The name of the looters of the national wealth are being kept a secret in order to safeguard some very influential people of the ruling elite and their friends in the corporate world. A parallel economy is running in the country, which is deciding the prices of essential commodities and the government is helpless. Hoarders are making ‘sacks of money.’ A crisis is brewing, but the rulers instead of taking administrative steps are talking like ‘Shiekchillis’. Rahul Gandhi has also spoken about the black money, but regarding the steps to be taken, he is mum. It’s a simple arithmetic, if the big money holders are brought to the book, who will pay for the unlimited election funds and upkeep of kitchens of the politicians. Market economy of the PM is showing its results: the gap between the rich and the poor has reached unprecedented levels. The crisis is imminent.

Printed & Published by K. C. Bansal on behalf of the Communist Party of India at Caxton Press, 2-E, Jhandewalan Extn. New Delhi-110 055 and Published from Ajoy Bhavan, 15-Com.Indrajit Gupta Marg, New Delhi-110 002. Ph: 011-2323 0762. Editor: Shameem Faizee. E-mail: [email protected], [email protected], web:http//www.newageweekly.com, Layout& Laser typesetting: R.Janardanan