We do not have to pay bribes for securing an industrial licence, phone or gas connections or a railway ticket. These are but a few examples that highlight that liberalisation, combined with rapid growth, has eliminated many varieties of corruption and rent seeking that were due to widespread supply shortages and policy-introduced rigidities. While the industry and the middle classes clearly suffer far less now from corrupt practices than in the pre-reform period, the poor still continue to suffer as a result of extensive mal-governance that characterises the delivery of public goods and services in nearly all parts of the country.
The onus for this corruption is clearly on the state and central governments. This needs to be tackled urgently as mal-governance is arguably the most important cause for the worsening internal security situation.
The main sources of corruption today relate to either the allocation of scarce resources like land, spectrum channels and minerals or to large scale government construction or procurement contracts. In all these cases the government at various levels, and especially in the higher echelons of public authorities rather than petty officials, is involved and implicated. On the other side of these transactions are either a new breed of fortune seekers or the larger corporations — not the small and medium sized entrepreneurs, who instead have to fend off the inspectors who harass them, ostensibly to enforce non-enforceable statutory provisions. A new form of crony capitalism can be observed in the various scams that have unfolded over the latter part of 2010 in which a new class of entrepreneurs built a strong nexus with corrupt politicians and succeeded with the active connivance of bureaucrats.
The question must be whether there can be a push back against this crony capitalism in a situation where all the major constituents of our social fabric seem to be tainted. The media, judiciary (including its highest ranking members) and civil society organisations — the institutions we look to for fighting against entrenched vested interests and corruption — are sadly themselves often implicated. This allows the unscrupulous to argue brazenly that no one has the moral authority or right to hold anyone else to account. One is tired of hearing the worn out cliché about everybody being naked in the bathhouse. It is shameful that this hollow argument is now routinely bandied about to justify indefensible acts of audacious corruption. Let us hope we are not yet a society or banana republic which has come to accept corruption as normal, let alone glorify it.
It is important that all major stakeholders in the country pay greater attention to self regulation and to weeding out the rotten apples from within their midst. In this context the initiative taken by the Indian Administrative Service Association in Uttar Pradesh several years ago to identify the most corrupt within them is commendable and points to the right direction. It is a pity that the initiative seems to have withered away. It is important that laudable initiatives like this are mainstreamed and receive institutional support and encouragement.
There is an attempt now to shift the entire blame for corruption on to Indian industry, and there is growing talk in the public domain of an ethical deficit in the Indian corporate sector. India Inc cannot, of course, deny that a few of its members are party to corrupt transactions. It needs to be remembered that for every payee of a bribe there is a receiver as well.
There is some basis for optimism on this count. FICCI (the Federation of Indian Chambers of Commerce and Industry), the oldest industry association in the country, recently released a resolution which amongst other things stated that, ‘Given FICCI’s roots in nationalism, we are deeply concerned about the potential damage to brand India and the India story due to brazen acts of corruption by a select few. To preserve India’s robust image and keep the growth story intact, FICCI calls for transparency, accountability and probity in our system of governance. We urgently need rules and regulations that do not allow rent seeking. Therefore, FICCI believes that anybody found indulging in corrupt practices, either as payee or recipient, must be punished summarily in a fast tracked process [emphasis added]’. Let us hope that other industry associations will follow this lead and also establish some self regulatory mechanisms like an ethics committee that will lay down norms for their members and ensure their compliance. This will give India Inc the high ground from which it can demand higher standards of probity and accountability from the political and bureaucratic establishment and other social groups.
It is a sad commentary on the state of Indian society that such an important and indeed a historical resolution by the country’s premier industry association received barely a passing mention in the media.
Rajiv Kumar is the Director General of the Federation of Indian Chambers of Commerce and Industry.
A version of this essay was first published in Business Line, New Delhi.
We can talk about removing corruption by being strict and honest! I do not think
corruption will stop even if we increase the salary of the bureaucrats, they will
do the same dirty practise because the perception will be always to earn something
extra on what they are earning. I think neither increase in salary or strict rules
will help stop corruption because when you say i saw a side of the pond dirty, it
means that we have to clean the entire pond because the dirt has already spread
every where.
Let me not talk too much , but speak of actions:
Firstly, every work in government is documented, it has a date of inception that
means the date when that document was created, I would suggest to use barcode
system in all government applications and documents with a date of inception and
date of expiry of that document, this will help in identifying whether that
particular case or file has been processed or closed on time.If the file has not
been processed before the time of expiry the official has to give a written
statement with the statement of the applicant counter signed to the vigilance or
respective department for reference of why the application has been delayed. If the
applicant has submitted all documents regarding and the application is delayed only
for the sake of bribe then without doubt he or she should be suspended and later
dismissed if found guilty from the job, in the mean time the applicant application
or document should be processed by another official with a new barcode mentioning
it as a first priorty case file and processed immediately.
If a file is being delayed purposely without any reason or giving lame excuse by
the officials, an applicant can claim for imposing a fine on the entire department
of that location i.e. 5% of the monthly salary will be decreased from all the
officials in that particular department and will be given to the applicant as a
delayed fine compensation.
I propose to have CCTV inside the office and outside in all government offices
which are dealing with public directly. All the activities must be monitored by the
vigilance and lokayukta. All the matters dealing with public relations should be
solved under the monitoring CCTV. All the document should be considered as first
come first serve basis any barcode document processed before other applicants must
need a written explanation by the official incharge or the managing official. The
barcode system will be effective because we will be able to know which document is
been processed and at what time and reasons for it delays or fast submission. This
will definitely avoid partiality and bribed officials in corrupting.
JAI HIND
Signing off
Super Indian.
Most of the communities in India (such as Bengali), are succumbed in ‘Culture of Poverty'(a theory introduced by an American anthropologist Oscar Lewis), irrespective of class or economic strata, lives in pavement or apartment. Nobody is at all ashamed of the deep-rooted corruption, decaying general quality of life, worst Politico-administrative system, weak mother language, continuous absorption of common space (mental as well as physical, both). We are becoming fathers & mothers only by self-procreation, mindlessly & blindfold. Simply depriving their(the children) fundamental rights of a decent, caring society, fearless & dignified living. Do not ever look for any other positive alternative behaviour (values) to perform human way of parenthood, i.e. deliberately co-parenting of those children those are born out of ignorance, real poverty. All of us are being driven only by the very animal instinct. If the Bengali people ever be able to bring that genuine freedom (from vicious cycle of ‘poverty’) in their own life/attitude, involve themselves in ‘Production of Space’(Henri Lefebvre), at least initiate a movement by heart, decent & dedicated Politics will definitely come up.
– Siddhartha Bandyopadhyay, 16/4, Girish Banerjee Lane, Howrah-711101, India.