Sarathy Geotech and Engineering Services & Dr. C. R Parthasarathy awarded at 6th Annual India Leadership Conclave & Business Leadership Awards 2015
India’s Fastest Growing Company in Geotechnical Engineering 2015 to the firm Sarathy Geotech and Engineering Services & Entrepreneur of the Year 2015 to the Founder CMD Dr.C.R Parthasarathy
Monday, 21st September 2015, Mumbai, Maharashtra, India. Sarathy Geotech and Engineering Services Pvt. Ltd., (SGES), founded by Dr. C R Parthasarathy, providing geotechnical engineering services for both the offshore and onshore industries received the rare distinction at ILC Power Brand Awards 2015 organised by Network 7 Media Group as Sarathy Geotech and Engineering Service led by its visionary Chairman Dr. CR Parthasarathy received twin awards one for the company & the other for steering the company to its greater heights. India’s Fastest Growing Company in Geotechnical Engineering 2015 went to the firm Sarathy Geotech and Engineering Services while Dr. CR Parthasarathy received the Entrepreneur of the Year 2015.
The much awaited leadership conclave, the 6th Annual India Leadership Conclave 2015 witnessed the presence of top Business Leaders, Politicians, Social Activists, Women Leaders, Movie Stars & Rebel Leaders in a star-studded powerful gatherings at Hotel Sahara Star, Mumbai, India assembled to debate at title theme India @ 68 & received the prestigious Leaders. Among those who spoke at the conclave are veteran Healthcare Expert Dr. Mukesh Batra, Satya Brahma, Chairman of Network 7 Media Group, noted Cartoonist Aseem Trivedi, Datamatics Chairman Dr. Lalit Kanodia, Aam Aadmi Partry Leader Mayank Gandhi. More than 300 power packed leaders from the various spectrums of the society gathered in a single platform. The glittering award ceremony saw the presence of Celebrities such as Govinda with wife Sunita Ahuja, Sanjay Khan, Zarine Khan, Ayesha Shroff who had gathered to see the award ceremony where Tina Ahuja, Govinda’s daughter was voted as Emerging Actress of the Year while Ayesha & Jackie Shroff’s son Tiger Shroff received the Promising Actor award at the 6th Annual India Leadership Conclave & Awards 2015. Farah Ali Khan received the prestigious Innovative Leadership in Luxury Brands Concept 2015 while South Actress & Mass queen Ragini Dwivedi received the Promising Actress Award.
Satya Brahma, Chairman, India Leadership Conclave, Dr. Mukesh Batra, Chairman Dr. Batras & Bollywood Star Govinda conferred the awards in more than 40 categories.Commenting on the awards, Satya Brahma said The Award conferred to Sarathy Geotech & Engineering Services & its Founder Dr. C. R. Parthasarathy signifies the remarkable achievement of the group company & undoubtedly has achieved success & achievements as a reliable companion of construction, infrastructure, oil & gas companies, the visionary leadership of Dr. C. R Parthasarathy played a significant role in building the enviable position that it has earned today”, added Satya. Dr. C. R Parthasarathy while accepting the award said “This Award bears testimony of our efficient services to our clients & clearly motivates all of us to undertake future projects with a great sense of responsibilities.
I am very happy and overwhelmed with this honor. It was an humbling experience to receive the award on the stage in front of a vibrant audience, who are amazing personalities and excelled in their own field and the media as well. I would like to dedicate this award to all my lieutenants/well-wishers who have contributed immensely to the growth of SGES throughout the journey, a difficult one though. I will bring back this energy to all my team members, encourage them to work hard and excel further. This recognition motivates all of us to continue servicing future projects with a great sense of responsibility.Not but the least, for whatever little achievement earned so far, there is a lady behind me, my wife, Mrs Anupama, who co-founded SGES and shared all the gain & pain, involved and supported in every decision making so far. I think the credit also goes to her. We will share together every bit of joy from these awards. Outlining the vision of the company, Dr. Parthasarathy said , we are committed to be the leading player and service provider of choice in the fields of Geo-technique and geo-physics for both offshore and onshore markets, Innovations coming out of our R&D and projects to be leveraged in providing cost effective and safe solutions & Operational excellence that can optimize costs to the customer
The glittering award ceremony saw the presence of Celebrities such as Govinda with wife Sunita Ahuja, Sanjay Khan, Zarine Khan, Ayesha Shroff who had gathered to see the award ceremony where Tina Ahuja, Govinda’s daughter was voted as Emerging Actress of the Year while Ayesha & Jackie Shroff’s son Tiger Shroff received the Promising Actor award at the 6th Annual India Leadership Conclave & Awards 2015. Farah Ali Khan received the prestigious Innovative Leadership in Luxury Brands Concept 2015 while South Actress & Mass queen Ragini Dwivedi received the Promising Actress Award.
About – Sarathy Geotech and Engineering Services Pvt. Ltd., (SGES)
Sarathy Geotech and Engineering Services Pvt Ltd was established in the year 2007. We have been providing Geo-Technical Engineering Services for
Oil & Gas industry
We provide Integrated Survey Services for Offshore projects and EPC for Onland Substructure Projects. We have consistently exceeded customer expectations by our solutions. This has been possible by the excellent staff and consultants that have expertise and experience working on several national and international proj- ects that calls for diverse expertise.
To be a leading player and service provider of choice in the fields of Geo-physics and Geo-technique for both offshore and onshore markets
As an innovative Geo-technical and Geo-Physical company, driven by values, we provide top class solutions with value addition to customers that are backed by best practices.
Dr. CR Parthasarathy holds B.E. and M.E. degrees in Civil/Geotechnical Engineering from Bangalore University. He was awarded PhD (Geotechnical) from Indian Institute of Science, Bangalore, India in 2002. He started his career as a Geotechnical Engineer in 1993. He was involved in numerous site investigation/engineering studies at various levels for multistoried complexes, industrial buildings, embankments, bridges, water-retaining structures, subways, pavements, offshore platforms, pipelines, mobile drilling units etc. During 1998 to 2001, while pursuing for doctoral degree, he has involved in several consultancy projects along with his professors (viz., design of pile foundation for grade separator, failure investigation for canal embankments, geotechnical investigation for launching pads, design of soil nailing, etc). Dr. CR Parthasarathy has undertaken pile drivability studies, jack-up rig foundation investigations and design. He was involved in the pile installation monitoring of several offshore platforms, involved in several Jackup rig moves and in addition has served as QA/QC Engineer for several Geotechnical Investigations on dedicated survey vessels, viz., M/V Mariner, M/V Logos Searcher, GTV Samudra Sarvekshak, M/V Bavenit (deep water vessel), Drilling barge Sungei Muthiara, M/V. Diabaz. He has also worked in few projects as QA/QC Engineer for Benthic Geosciences Australia for site investigations utilizing PROD (Portable Remote Operated Drill) in deep waters. His sphere of activities has extended beyond in India to Singapore, Australia, Tunisia, Malaysia, Indonesia, Vietnam, Thailand, Brunei etc.Dr. CR Parthasarathy is the founder director of Sarathy Geotech & Engineering Services Pvt ltd.
Rated by Experts & widely acclaimed by thought leaders, India Leadership Conclave Annual Affair is just not a leadership forum, it symbolizes the hopes & aspirations of the billion people reflected by the speakers at the forum. “ILC POWER BRANDS” has been rated in Asia as the most credible & coveted Awards developed by Network 7 Media Group consisting of eminent jury members of the different verticals of the society & is conferred to the Individuals & Companies in its annual meet at the Indian affairs India Leadership Conclave & Indian Affairs Business Leadership Awards. since the institutionalization of the Business Leadership Awards in 2010, India Leadership Conclave & Indian Affairs Business Leadership Awards has been India’s most awaited & asia’s most respected set of Awards conferred to Companies & Individuals who have made their mark through their remarkable performances despite all odds & has made India Proud!. Since the last five successful years, the platform has recognized, felicitated more than 300 fortune 500 Companies & towering captains & Leaders of the Country
Network 7 Media Group in order to review service quality factors of the airline industry, and to rank these factors in Indian society on the eve of a Award Title India’s Most Admired Aviation Company 2015 decided to embark upon the research using Survey Analysis.
Jet Airways/ JetKonnect emerged victorious in comparison with other service providers such as Indian Airlines, Indigo, Go Air & Spice Jet. The Research did not dwell on market share but the key factors was to find the admiration for the Airline to match the standard of India Leadership Conclave’s title India’s Most Admired & Valuable Airline Company 2015 based on eight factors from the period of jan 2015 to 14th Augst 2015.
The research was conducted among the tier 1 tier 2 Cities of the availiable data of frequent fliers & to meet the objectives of the study, Network 7 Research authorized by India Leadership Conclave Research Team used the databank & information was gathered through a questionnaire.
The results show that “Flight safety”, “Good appearance of flight crew” and “Offering highest possible quality services to customers 24 hours a day” are the most important airline service quality factors in the eyes of Indian customers. Interestingly, “food & Company image ” has been selected as the top important quality factor by respondents. Research findings also announce that the majority of Indian potential travelers prefer airplane as their transportation means. However, at the moment, they are mostly using train & buses as their first choice. To the business class & higher income Group, their first choice remained as Flights
Authencity & Risk Factors
The research considers frequent fliers as its sample society. Although midle class & highr midle class are a group of airlines’ potential customers, the analysis findings might not be generalized to all groups of airline customers and further studies might be essential to see if the same ranking of service quality dimensions will be found within other groups of customers having other career backgrounds. The paper will be helpful in enabling airline industry policy makers to identify the key service quality factors in the eyes of Indian customers.
The concept of ranking airline service quality factors using a Physical Interview via Question Hour is a new approach. The study report is the first application of a research approach to examine and rank customer expectations of airlines’ service quality.
Aviation Companies taken for Ranking
The top trending aviation companies which included in the research & findings are
The factors that Network 7 Research looked at that determined in the final process of voting & rankings are
Safety & Security
Approach of Cabin Crews
This study was conducted with the objective of finding out the factors affecting customer satisfaction in the airline industry and also determine attributes that passengers consider important in judging quality of service delivery.
To achieve these objectives a sample of 670 passengers was picked and questionnaires administered to each of them. 125 respondents were picked from each travel agency. The researcher used random sampling method to pick the passengers. The questionnaires were administered in the passenger’s office and it was a ‘drop and pick’ method used.
Data collected was an analyzed using percentages, means and standard deviations. Factor analysis was used to reduce the variables and determine inter relationships.
Analysis of the data indicated that there are many factors that passengers consider important in customer satisfaction. Factors such as reservation and ticketing check in procedures, in- flight services, baggage handling and collection. The general objective of the study was to investigate factors that affecting customer satisfaction in the Airline industry with special focus on Branding From the study it can be concluded that reservations and ticketing, check-in procedures, in-flight services and baggage handling and collection do affect customer satisfaction in the Airline industry. The results of this project should be viewed and adopted in the light of the limitations of this study which are methodological limitations, research design, resource constrain and under sampling.
Background Check & Overall Aviation Industry
India’s civil aviation industry is on a high-growth trajectory. India aims to become the third-largest aviation market by 2020 and the largest by 2030. The Civil Aviation industry has ushered in a new era of expansion, driven by factors such as low-cost carriers (LCCs), modern airports, Foreign Direct Investment (FDI) in domestic airlines, advanced information technology (IT) interventions and growing emphasis on regional connectivity. India is the ninth-largest civil aviation market in the world, with a market size of around US$ 16 billion. “The world is focused on Indian aviation – from manufacturers, tourism boards, airlines and global businesses to individual travellers, shippers and businessmen. If we can find common purpose among all stakeholders in Indian aviation, a bright future is at hand,” said Mr. Tony Tyler, Director General and CEO, International Air Transport Association (IATA).
In the second quarter of 2015, domestic air passenger traffic surged 19.2 per cent to 20.3 million from 17 million in the corresponding period a year ago. Total passenger carried in June 2015 increased 13 per cent Y-o-Y to 8.8 million from 7.8 million in June 2014. International and domestic passenger traffic grew 5.3 per cent and 16 per cent, respectively, in June 2015.
In June 2015, total freight carried rose 5.4 per cent Y-o-Y to 222,990 tonnes vis-à-vis 211,590 tonnes in June 2014. International freight movement witnessed higher growth (7.1 per cent) compared with domestic freight movement (2.6 per cent).
In June 2015, total aircraft movements at all Indian airports stood at 141,620, which was 8 per cent higher than June 2014. International and domestic aircraft movements increased 6.5 per cent and 8.4 per cent, respectively, in June 2015.
Over the next five years, domestic and international passenger traffic are expected to increase at an annual average rate of 12 per cent and 8 per cent, respectively, while domestic and international cargo are estimated to rise at an average annual rate of 12 per cent and 10 per cent, respectively.
The airlines operating in India are projected to record a collective operating profit of Rs 8,100 crore (US$ 1.29 billion) in fiscal year 2016, according to Crisil Ltd.
According to data released by the Department of Industrial Policy and Promotion (DIPP), FDI inflows in air transport (including air freight) between April 2000 and May 2015 stood at US$ 573.18 million.
Key investments and developments in India’s aviation industry include:
Airbus, the world’s leading aircraft maker, expects India’s aviation industry to grow at over 10 per cent annually in the next decade, almost double the average growth rate of the global aviation industry.
Eyeing large orders from Indian airlines, Airbus has committed to source products worth US$ 2 billion cumulatively over the next five years from India; the company plans to provide customised maintenance and other services closer to the base for all its airline customers in India.
French drone-maker LH Aviation signed a Memorandum of Understanding (MoU) with India’s OIS Advanced Technologies on June 19, 2015to manufacture tactical drones in India through an industrial license.
Mahindra Group expanded its partnership with GE Aviation by signing an agreement to manufacture aero structures at the Group’s new aerospace facility in Bengaluru.
IndiGo plans to file documents for an initial public offering within the next two months to raise US$ 400 million by selling 10 per cent stake.
SpiceJet plans to enter a deal with Boeing Co. and Airbus Group SE to buy 80-120 jet airplanes which would help to expand their fleet and rebuild its business..
Air India, India’s national airline, has started to shift its IT operations to cloud and is exploring the use of iPads for work, as it plans to upgrade its technology to maintain pace with the competition.
The Airports Authority of India (AAI) and Kannur International Airport Ltd. (KIAL) signed a MoU for 26 per cent equity in the greenfield airport worth Rs 1,892 crore (US$ 295.62 million) being built at Mattannur in Kannur.
Hindustan Aeronautics Ltd. (HAL) signed an agreement with French engine manufacturer Turbomeca for maintenance, repair and overhaul (MRO) of Shakti helicopter engine, which would power a fleet of 1,000 Indian military choppers over the next 10 years.
Government agencies project that around 500 brownfield and greenfield airports would be required by 2020. The private sector is being encouraged to become actively involved in the construction of airports through different Public Private Partnership models, with substantial state support in terms of financing, concessional land allotment, tax holidays and other incentives.
Some major initiatives undertaken by the government are:
Gujarat is expected to get a second international airport at Dholera. The state government has formed Dholera International Airport Co. Ltd. and is obtaining approvals from the union government.
The Directorate General of Civil Aviation (DGCA) has given its approval to Air India’s maintenance, repair and overhaul (MRO) unit.
The Government of India has decided to award airports in Kolkata, Chennai, Jaipur and Ahmedabad on management contract. AAI has issued the ‘Request for Qualification’ document for these four airports.
The Government of India plans to form a committee comprising bankers, aviation experts and technocrats to help turn around and privatise the national airline, Air India.
The Government of India approved a proposal to set up a second airport in the National Capital Region.
The Government of India expects to finalise the new aviation policy and revised international flying norms for domestic carriers soon; the government may remove the ‘5/20’ norms for domestic airlines in this new policy.
India’s aviation industry is largely untapped with huge growth opportunities, considering that air transport is still expensive for majority of the country’s population, of which nearly 40 per cent is the upwardly mobile middle class.
The industry stakeholders should engage and collaborate with policy makers to implement efficient and rational decisions that would boost India’s civil aviation industry. With the right policies and relentless focus on quality, cost and passenger interest, India would be well placed to achieve its vision of becoming the third-largest aviation market by 2020 and the largest by 2030.
A series of heavy discounts helped Indian carriers fly 21.6% more passengers in February this year compared with the same month last year.Budget carrier IndiGo continued to lead the way, registering a record market share of 37.1% during the month. In January, the airline’s market share was at 36.4%. Jet Airways, along with JetLite, too managed to improve its market share marginally to 24.3% (up from 24.1% in January). National carrier Air India came in third with 17.8% share of air traffic, a decline over 18.7% the airline had recorded the month before. For others, market share remained largely constant — SpiceJet 9.2% (9.4% in January), GoAir 8.9%, Air Costa 1%, AirAsia 1.2% (1.3% in January) and Vistara 0.5% (0.2% in January). “The growth in passenger numbers during February is higher than expected and is driven by continuing fare stimulus,” said Kapil Kaul, India CEO of Centre for Asia Pacific Aviation.As per data available with the aviation regulator DGCA, airlines’ occupancy improved in February due to reduction of additional flights by airlines and distribution of passengers on existing flights.During this period, Jet Airways and JetLite reported the highest seat occupancy at 89.5% and 89.7%, respectively, while the newly-launched Tata-SIA joint venture Vistara continued to struggle, filling only 58.6% of its seats.IndiGo’s passenger load factor stood at 88%, while that of Air India improved to 83.8% from 82.4% in Janaury. IndiGo also turned in the best on-time performance with 83.8% of its flights sticking to scheduled time in February. Spice-Jet came in next with on-time performance of 75.8%.Indigo was seen to carry the maximum amount of passengers within India in the month of July as a result gaining 35.8% market share among domestic airlines according to the latest civil aviation data from Directorate General of Civil Aviation. Jet Airways followed with a 19.8% market share and then Air India with 16.2% and Spice Jet at 12.3% market share.
The much awaited & Asia’s biggest meeting point for thought leadership conclave organized by Network 7 Media Group’s initiative from the nation’s most widely acclaimed news media India Affairs will host its 6th edition under the theme “India @68” : Learning Lessons From The Past And Strategizing For The Future” at the 6th Annual India Leadership Conclave & Indian Affairs Business Leadership Awards 2015 in Mumbai, India on Friday, the 18th September 2015 at Hotel Sahara Star where top leaders from the various sections of the society will assemble to make an analysis of India’s journey from independence & the important milestones that the country has achieved since last 68 years & the areas where India has remained silent & unmoved & has given a big miss. Currently in its 6th year since the last five successful editions held annually uninterruptedly in key states of the country where the platform evoked great degree of interest & made headlines,the Conclave will be debated & discussed by the speakers of eminence from the world leaders, industry icons, Politicians, movie stars, rebels, peacemakers and social activists. The Grand Annual Affair of Indian Affairs Conclave has been a sold out event & attendance from over 350 delegates coming from india & across the globe. India Leadership Conclave & Indian Affairs Business Leadership Awards 2015 is also keenly a awaited platform for its power brand awards called ILC Power Brands. From business to politics, cinema to sports & public service to social service, ILC Power Brand Awards are the most coveted prestigious & credible awards by an eminent panel of jury members, conferred to top leaders of the country. Iconic leaders like Ratan Tata, Mukesh Ambani, late former Prime Minister Rajiv Gandhi, Arvind Kejriwal, Priyanka Chopra, Kiran Mazumdar shaw, Narayan Murthy are few of the names who are the recipients of the awards in various categories.
Russia and China are having their day, but we may now be entering “India’s decade,” according to a new report by wealth intelligence agency Wealth-X.Following India’s election of a new reformist government, there are three main factors propelling its rapidly growing luxury market. Luxury market in India is gradually gaining attention. Though the ‘buzz’, this sector is generating is disproportionately high in comparison to the size of the market, but it shows that the global luxury brands do recognize the high potential of the Indian luxury markets. Till a decade back, luxury retail was only meant for the with just a few luxury brands available and that too in five star consumption of elites hotels. Over the years, India’s increasing urbanization rate has monetarily empowered the consumer which has further helped luxury market to set a firm foot for itself.
The luxury market is growing at a rapid pace in India with a compounded annual growth of 25%. At US$4.76 billion, the luxury market in India is set to touch three times its current size at US$14.72 billion by 2015. The country has become the prime destination for top-notch global brands, while many high-end luxury brands have quickly set up their shops here.
Out of the all luxury segments in India, the Luxury Car segment acquires the major share.
Its millionaire population is growing like crazy.
The number of millionaires in the country has risen from 196,000 to 250,000, an increase of 27%, in the past year. Wealth-X predicts 437,000 India-based millionaires by 2018, and double that amount by 2023.The key indicators for India’s future economic growth are its new reformist government, well-defined legal system, and entrepreneurial spirit, according to Wealth-X.The report also notes that luxury consumption and economic inequality is more acceptable in India than in China or Brazil, on account of the country’s now-defunct caste system.
High-end retail space will double and luxury imports are already on the rise.
Recent years have seen an increase in luxury consumption in India. Notably, Champagne imports have risen by 6%, while general imports into the country have remained relatively flat.Retail space for luxury brands is set to double in the next three to four years, according to a report by CBRE Group, the world’s largest commercial real estate firm. Developments in major cities like Delhi, Mumbai, Chennai, and Bengaluru will add an expected 16 million square feet of commercial space, with luxury retailers taking an estimated one to two million square feet.
Luxury car sales are predicted to triple.
Luxury automakers are also projected to pounce on India’s burgeoning upper middle class. Car sales are set to triple from 33,000 a year to over 100,000 by 2020, according to a report by credit agency ICRA.The report says it finds “a strong correlation between incremental affluent households and luxury car sales,” and as India generates more affluent households, luxury cars sales will also climb.It’s not just incessant rains that are flooding the roads this monsoon. Triggered by tumbling demand, luxury-car makers are offering freebies and steep discounts that shave off more than Rs 5 lakh from the price of popular models such as the BMW 5 Series, Audi A3 and the Mercedes-Benz E-Class. Customers can buy their favourite cars without making a down payment or avail of interest-free finance in a market that has stagnated for the past three years. A sluggish economy has aggravated worries for Mercedes-Benz, Audi and BMW, which dominate the market and are now doling out innovative schemes to arrest a steep fall in inquiries and sales. “It is perhaps the toughest time for luxury cars,” said a dealer of luxury cars. “Traffic of customers is down 20-25% for the past two months over the past year, creating a panic and forcing us to double our monsoon season discounts.”
India’s Most Admired & Valuable Luxury Car Company 2015
1. Mercedes-Benz India Ltd. Voting Code (19)
2. Audi India Ltd. Voting Code (20)
3. BMW India Private Limited . Voting Code (21)
4. Jaguar Land Rover Limited. Voting Code (22)
5. Lamborghini India. Voting Code (23)
6. Rolls Royce Motor Cars India Ltd. Voting Code (24)
How You can Vote :
Via Online at www.ilc2015.in
Via SMS – Type Your Code & send it to ++ 91 8097667782 ( Example if your code is XX, than type XX & send it to ++ 91 8097667782. This is a standard Indian Number & only standard sms charges will apply & those who has free SMS on the plan, no cost will involve. There are no premium charges. Only one SMS will be accepted at one vote & one category & repeated smses from one number will not be counted)
All brands have been hit. Tata Motors-owned Jaguar Land Rover is offering down payment of Rs 11.25 lakh, a three-year maintenance package, one-year free insurance and financing of balance amount on its Jaguar XJ sedan. Audi has come up with a bullet payment for its A3 sedan and the Q5 SUV, assuring 55% buyback value on vehicles after three years of use, besides direct cash benefits to the tune of Rs 4 lakh. Mercedes-Benz, which posted 41% growth in the first half of the year on demand for newly launched models, is also offering discounts. It assures customers of 50% buyback value at after three years and a discounted EMI of Rs 57,777 on its C-Class, while its GLA-Class comes with first-year insurance paid, a Rs 1 lakh exchange benefit and a discounted 8.99% finance option. “We are aware of the high discounting and price cuts prevalent in the market. We are focused on our strategy by giving fully featureenriched Mercedes-Benz vehicles. We offer innovative financial packages, special insurance products from Mercedes-Benz Financial Services to ensure better value for our offer ..
India’s millionaire population has grown by 27% in the past year, and it’s just getting started
Dr. Datsons Labs fate hangs in the decision of Official Liquidator’s action plan post winding up. Anxious Retail Investors & Employees pin hope on Court Verdict of reopening of business & relisting by New Acquirer as troubled drug maker Dr. Datsons Labs Ltd faced deep in Financial Crisis, lands Official Liquidator’s Court
Dr. Datsons Lab Ltd, formerly known as Aanjaneya Lifecare Ltd, specializing in manufacturing of bulk drugs & Contract manufacturing of key drugs & formulations is facing the new phase of its life as the old order of Management & control ended with the company informing the Exchange that the creditors of the Company was gearing towards winding up petitions, vide its order dated February 18, 2015 (uploaded on website on March 27, 2015), had also appointed the official liquidator to attach to the Bombay High Court as the provisional liquidator of Dr. Datsons Labs Limited (the Company ) and directed the provisional liquidator to forthwith take charge/possession of the Company s assets, properties, stock in trade, books of account, bank account and all other assets of the Company. Pursuant to the aforesaid order, on April 30, 2015, the Official Liquidator took possession of the registered office of the Company along with moveable’s lying therein. It may also be recalled that the trading of the shares came to an end till further notice & announcement of the Official Liquidator who is in-charge of taking all decisions.
Unable to pay the debts as well as pressure to raise working capitals to execute recent orders, Dr. Datsons Labs Management landed in big trouble. The High Court had ordered that Dr. Datsons Labs Ltd deserves to be wound up and Official Liquidator to take charge. However, small depositors are still finding it difficult to get their hard-earned money as the process is sub-judice & Company is not able to make any announcement as it will be termed as contempt of court . Many companies in the past , such as Micro Technologies, Yash Birla group – Zenith Birla (India) Ltd and Birla Power Solutions, Plethico Pharma and Ind Swift had faced the similar situations as they defaulted & delayed the payment of interest and principal on their fixed deposits (FDs). Pharmaleaders has written about these companies extensively in the past. Network 7 Media Group after receiving several complaints from depositors of Dr. Datsons Labs and decided to Investigate the Company & was given to understand that it sought capital from various sources, defaulted on almost all payments to not only to banks, but big lenders as well. Finally, it was ordered that Bombay High Court to be appointed as the Official Liquidator to take charge of the assets, properties and records of Micro Technologies and repay the lenders.
The Crucial Factors
The Management prior to the court order had initiated several actions to restructure & restrategize the business operations & had appointed professionals to run the company & most importantly, the company had bagged some of the big orders both domestic as well as exports such as Eubage, Ochoa Labs, Almugdha Pharma etc. The understanding with these companies was that of executing the orders with the specified requirements. Pharmaleaders learnt from its top sources that the Company’s senior professionals requested the financial organizations & hectic negotiations was on with banks to lend money so that Dr. Datsons can start working with the orders as it had the expertise & manpower & technology but the negotiations did not materlize to arrange for the working capitals. Without working capital, it is impossible to execute these orders as the parties though placed the orders did not offer any advance amount.
Now it appears that till the new investors take charge from the official liquidators, these orders will be of no value, however there are reasons to believe that given such a lucrative proposals & two state-of-the-art facility in Pune & Mahad, it is expected that the company may see a lease of life & the shares may again start trading after the regulators are satisfied with the explanations for relisting. Pharmaleaders tried to reach the Management for any news post the court verdict, it could not get a reply except an announcement via email from the Corporate Communications Department.“Further to your Query, the management of Dr Datsons Labs Ltd have been instructed by Hon. Curt to assist the Official Liquidators office to prepare the detailed report on functioning of the company and present it to the Hon Court. Currently the management cannot give out concrete plans as matter is sub-judice and we need instructions from Official Liquidators office on way forward. All Shareholders will receive communication from Official Liquidators office as they will be sending detailed communication to stock exchanges soon” –Corporate Communications Department
Lets have a look at the role of the Official Liquidator as mentioned in the company law.
Main Functions of Official Liquidator:
Public Interest Reports under Section 394A
Report on private conducting of winding up proceedings by voluntarily liquidator under Sections 497 and 509
The Official Liquidator is appointed by the Central Government under section 448 of the Companies Act, 1956 attached to High Court of the State for the purpose of conducting liquidation proceedings of those companies which are ordered to be wound up by the High Court. Functionally the Official Liquidator is under the supervision and control of the High Court but administratively is under the control of the Central Government through the Regional Director.The Primary function of the Official liquidator is to administrate the assets of companies under liquidation, sale of the assets and realization of all debts of companies in liquidation for the purpose of distributing the same among the various creditors and other shareholders of the companies and to finally dissolve such companies after the affairs are completely concluded. When a company is put to winding up by an order of the High Court, the Official Liquidator attached to the said High Court takes possession of the company’s assets, books of accounts, etc. and liquidates the company as per the further orders of the High Court. The procedure of liquidation is prescribed under the Companies (Court) Rules, 1959. These rules are approved by the Honorable Supreme Court of India and notified by the Central Government. The duties and powers of the Official Liquidator as laid down in section 457 of the Companies Act, 1956 are mainly of, filing of claims against, the debtors for realization of the debts due to the company, sale of movable and immovable assets of the company taken possession by the Official Liquidator, institute criminal complaints and misfeasance proceedings against the former Directors of the company for their acts and omissions, breach of trust etc., invitation of claims from the creditors, adjudication of claims and settlement of list of creditors, payment to creditors by way of dividend and settlement of list of contributories wherever necessary, and payment of return of capital where the company’s assets exceeded its liability and finally dissolve the company under section 481 of the Companies Act,1956.
POWERS AND DUTIES OF OFFICERS AND EMPLOYEES.
The Officers and employees are performing the duties as prescribed in the Companies Act, 1956 and the Companies (Court) Rules, 1959 subject to the supervision, control and orders of the High Court of Delhi. The duties are assigned to the officers and employees by the Official Liquidator to take possession of the assets and liabilities of the properties of the companies in liquidation. Arrange for sale of the properties and other duties as mentioned in Para 1 above. The Official Liquidator passes appropriate orders regarding the duties of officers and employees working under him.
In exercise of the powers conferred by Section 552 and clause (b) of the proviso to section 647, read with subsection (1) of section 642 of the Companies Act, 1956, the Central Government has framed the Companies (Official Liquidator’s Accounts) Rules, 1965.The Official Liquidators are officers appointed by the Central Government under Section 448 of the Companies act and are attached to the various High Courts. The Official Liquidators are under the administrative charge of the respective Regional Directors who supervise their functioning. In the conduct of the winding up of the companies, however, Official Liquidators act under the directions of the High Courts. The Primary function of the Official liquidator is to administer the assets of companies under liquidation, sale of the assets and realization of all debts of companies in liquidation for the purpose of distributing the same among the various creditors and other shareholders of the companies and to finally dissolve such companies after the affairs are completely concluded. When a company is put to winding up by an order of the High Court, the Official Liquidator attached to the said High Court takes possession of the company’s assets, books of accounts, etc. and liquidates the company as per the further orders of the High Court. The procedure of liquidation is prescribed under the Companies (Court) Rules, 1959. These rules are approved by the Honourable Supreme Court of India and notified by the Central Government.
WHO CAN BE APPOINTED AS OFFICIAL LIQUIDATOR?
A member from the panel of the professional firms of chartered accountants, advocates, company secretaries, cost and work accountants which the central government may constitute. Body corporate approved by central government. Whole-time or part-time officer appointed by the central government.
ROLE OF OFFICIAL LIQUIDATOR
The role of official liquidator has been well discussed in various provisions in the Companies Act 1956 and the Companies (Official Liquidator’s Accounts) Rules, 1965. Sections 448 to 463 of the Companies Act 1956 deals with the overall role of official liquidators in winding up proceedings. Let’s have a sneak view of the provisions relating to liquidators:
SECTION: MATTERS DEALING UNDER THE SAID SECTIONS
448 APPOINTMENT OF OFFICIAL LIQUIDATOR
449 OFFICIAL LIQUIDATOR TO BE LIQUIDATOR
450 APPOINTMENT AND POWERS OF PROVISIONAL LIQUIDATOR
451 GENERAL PROVISIONS AS TO LIQUIDATORS
452 STYLE ETC OF LIQUIDATOR
453 RECEIVER NOT TO BE APPOINTED OF ASSETS WITH LIQUIDATOR
454 STATEMENT OF AFFAIRS TO BE MADE TO OFFICIAL LIQUIDATOR
455 REPORT BY OFFICIAL LIQUIDATOR
456 CUSTODY OF COMPANY’S PROPERTY
457 POWERS OF LIQUIDATOR
458 DISCRETION OF LIQUIDATOR
458A EXCLUSION OF CERTAIN TIME IN COMPUTING PERIODS OF LIMITATION
459 PROVISION FOR LEGAL ASSISTANCE TO LIQUIDATOR
460 EXERCISE AND CONTROL OF LIQUIDATOR’S POWERS
461 BOOKS TO BE KEPT BY LIQUIDATOR
462 AUDIT OF LIQUIDATOR’S ACCOUNTS
463 CONTROL OF CENTRAL GOVERNMENT OVER LIQUIDATORS.
As per the Companies (Official Liquidator’s Accounts) Rules, 1965, the liquidator has to comply with the following:
The Official Liquidator shall maintain in his office separate account in respect of each company under his charge.
The Official Liquidator shall also maintain a Central Cash Book to record all cash transactions; such other books as may be necessary to work out the periodical reconciliation of the balances in the official liquidators’ account.
Every Official Liquidator shall, with the approval of the Central Government, open a personal ledger account at the nearest branch or agency of the Reserve Bank to be called the “Official Liquidator’s Account” which shall be a combined account in respect of all the companies under his charge.
Payments made in cash and those made by cheque shall be remitted to the Reserve Bank under separate challans.
The acknowledgment of the Reserve Bank shall be obtained for all moneys remitted into the Reserve Bank to the credit of the said account.
The Official Liquidator shall, at the end of every three months, examine the account of each company in his charge to ascertain what moneys are available for investment and record in the record book of the company the fact of his having examined the accounts, the decision taken by him regarding the investment, and in case he decides not to invest any surplus fund, the reasons for such decisions.
POWERS OF LIQUIDATOR IN WINDING UP:
In compulsory winding up of a company:
As per section 457(1) of The Companies Act 1956, the liquidator has the following powers with the sanction of court:
to institute and defend any suit, prosecution or other legal proceeding, civil or criminal, in the name and on behalf of the company;
to carry on the business of the company;
to sell the immovable and movable property and actionable claims of the company by public auction or private contract;
to raise on the security of assets of the company any money requisite;
to do all such acts necessary for winding up the affairs of the company and distributing its assets.
As per section 457(2) of The Companies act 1956, the liquidator has the following powers without obtaining the sanction of court:
to do all acts and to execute all deeds, receipts and documents in the name and on behalf of company and to use common seal of the company for that purpose;
to inspect the records and returns of company;
to prove, rank and claim in the insolvency of any company;
to draw, accept, make and endorse any negotiable instruments in the name and on behalf of the company;
to appoint an agent to do any business which the liquidator is unable to do himself.
In winding up subject to the supervision of court.
As per section 546 of The Companies Act 1956, the liquidator has the following powers with the sanction of court:
to pay any classes of creditors in full;
to make any compromise or arrangement with the creditors to have any claim ascertained;
to compromise any call, debt or liability.
In voluntary winding up of company
Voluntary liquidator may exercise the following powers with the sanction of special resolution in the case of members’ voluntary winding up; with the sanction of court or committee of inspection in the case of creditors’ voluntary winding up; with the sanction of creditors if there is no such committee:
to institute and defend any suit, prosecution or other legal proceeding, civil or criminal, in the name and on behalf of the company;
to carry on the business of the company;
to sell the immovable and movable property and actionable claims of the company by public auction or private contract;
to raise on the security of assets of the company any money requisite.
The following powers can be exercised by him without any sanction:
to do all acts and to execute all deeds ,receipts and documents in the name and on behalf of company and to use common seal of the company for that purpose;
to inspect the records and returns of company;
to prove, rank and claim in the insolvency of any company;
to draw, accept, make and endorse any negotiable instruments in the name and on behalf of the company;
to appoint an agent to do any business which the liquidator is unable to do himself;
to exercise the power of court of settling the list of contributories;
to exercise the power of court of making calls;
to pay debts of company and adjust the rights of contributories among themselves.
DUTIES OF THE OFFICIAL LIQUIDATOR
Where a winding-up order is made by the court the official receiver has a statutory duty to investigate–
a) If the company has failed, the causes of the failure; and
b) Generally, the promotion, formation, business, dealings and affairs of the company. This applies to all cases including those where an insolvency practitioner is appointed liquidator by the court immediately on the making of the winding-up order.
The official receiver may make a report to the court if he/she thinks fit, though this is carried out rarely.
Official receiver as liquidator
The official receiver becomes liquidator immediately the winding-up order is made and will remain so until someone else becomes liquidator. He/she also becomes liquidator during any subsequent vacancy. The official receiver has a duty to protect the company’s assets and, where appropriate, to take into custody or under his/her control all property, etc. to which the company is or appears to be entitled, to realise and distribute the same to the company’s creditors and, if there is a surplus, to the persons entitled to it.
Realisation of assets at the initial stage
There is no reason why the official receiver should not use his/her powers as liquidator to commence the realisation of assets, where the assets involved are easy to realise and, particularly, where an asset may be rendered valueless by the date of the first meeting, such as bulky items of stock which are expensive to store or small value bank balances held in accounts that incur charges. Even if the early realisation of an asset were to prejudice the appointment of an insolvency practitioner, the official receiver should act in the best interests of creditors and seek realisation.
Statement of affairs
The official liquidator must decide whether to require a statement of affairs. It is not usually the case that a statement of affairs will be required before the first interview with the director(s) and generally the information supplied in form PIQC relating to assets and liabilities will be used rather than a separate statement of affairs being required.If the company has been subject to earlier insolvency proceedings a statement of affairs may have been prepared in relation to those proceedings.Reference should also be made to the chapter pertaining to– Statements of affairs.
The official liquidator is required to maintain a case file in respect of each winding up. The file is divided into ten parts and papers are filed within those parts as follows:
Preliminary examination papers
Meetings, reports to creditors, notices and proofs
The official liquidator must not disclose information about a case to any person who does not have a legitimate reason to have the details of the case.
Insolvency Practitioner appointed liquidator immediately
Where a winding – up order is made immediately upon the appointment of an administrator ceasing to have effect, or where there is a supervisor of a voluntary arrangement in office, the court may appoint the former administrator or supervisor as liquidator of the company.In such circumstances, the official liquidator remains under a statutory duty to investigate, to give notice of, advertise and gazette the order and to provide information to creditors and contributories. Any inspection of the company’s books and papers will need to be made with the arrangement of the liquidator – possibly, by inspecting the records at their offices. The liquidator has a duty to co-operate with the official receiver’s investigations, including making company records available.The official liquidator does not have to summon meetings of creditors and contributories or issue notice of no meeting. Where a liquidator is appointed by the court in the circumstances mentioned, it is the liquidator’s duty to send forms of proof of debt. A proof of debt must be sent to any creditor of the company on request.The official liquidator may encounter the involvement of insolvency practitioners in respect of other insolvency proceedings involving the company.
Prime Minister Narendra Modi’s visit to China has yielded $22 billion worth of MoUs showing China Inc.’s strong interest in the Indian story, says a statement released by the Ministry of External Affairs. While Chinese top business honchos like Jack Ma of Alibaba gave a thumbs up to Modi’s ‘Make in India’ initiative, Infosys chief Vishal Sikka and senior executives from Adani group touched the Prime Minister’s feet.Infosys launched its Shanghai campus and Adani inked three deals on power and ports. Modi, while addressing the India-China business forum on Saturday, said, “All this is a historic opportunity for the Chinese companies. You would already be knowing the direction of my government and the steps we are taking. We have committed ourselves for creating and improving the business environment. I can assure you that once you decide to be in India, we are confident to make you more and more comfortable.”
“Many Chinese companies have the possibility of investing in India to take advantage of India’s potentials. The potential lies in manufacturing, processing as well as in infrastructure. I am here to assure you that India’s economic environment has changed.“Our regulatory regime is much more transparent, responsive and stable. We are taking a long-term and futuristic view on the issues. Lot of efforts have been made and are still underway to improve the ‘Ease of Doing Business’. We do believe that FDI is important and it will not come in the country without a globally competitive business environment. Therefore, we have rationalised a number of issues which were bothering the investors.”. In a closed-door session, Alibaba’s Jack Ma is learnt to have told Modi, “We are excited about India, and the programmes of Make in India and Digital India.” Xiaomi’s president Lin Bin said, “We have some big plans for India, and we fully support Make in India.”. ICICI Bank’s Chanda Kochchar, who was here to launch the first branch of the bank in Shanghai, told The Sunday Express, “There is lot of complimentarily between Chinese and Indian businesses. And the present Modi government has taken lot of transformational steps for ease of business. And they are in the right direction.”. Modi witnessed signing of 26 MoUs which span a wide range of industries including renewable energy, power infrastructure, and steel and small & medium industries. Addressing the business community, he said, “We are very keen to develop the sectors where China is strong. We need your involvement. The scope and potential, the breadth and length of infrastructure and related developments is very huge in India.”. “As you have successfully done, we also want to promote manufacturing in a big way particularly to create jobs for our youth who form 65 per cent of our population,” he said. He stressed that his government’s initial measures have helped in building up an enhanced investor confidence. “The sentiments for private investment and inflow of foreign investment are positive. Foreign direct inflows have gone up by 39 per cent during April-2014 and February-2015 against the same period in previous year,” he said. “Our growth rate is above 7 per cent. Most of the international financial institutions including the World Bank, IMF, OECD and others are predicting even faster growth and even better in the coming years. Moody’s have recently upgraded the rating of India as positive on account of our concrete steps in various economic fields,” he said. As two major economies in Asia, he said that the “harmonious partnership” between India and China is essential for economic development and political stability of the continent. “You are the ‘factory of the world’. Whereas, we are the ‘Back office of the world’. You give thrust on production of hardware, while India focuses on software and services. “Similarly, Indian component manufacturers have been masters in high-quality precision and the Chinese players have mastered the art of mass production. “The component design expertise of Indian engineers and low cost mass production by China can cater to the global markets in a better way. This industrial partnership of China and India can bring about greater investment, employment and satisfaction of our people,” he told the Indian and Chinese company executives at the Ritz Carlton hotel.
THE TIME MAGAZINE BOOST
Prime Minister of India Shri Narendra Modi:Welcome to India, first of all. This is your first visit to India and I am delighted that on your very first visit we have a chance to meet. I hope this opportunity, this visit of yours, will also provide you an occasion to return to India more often.
TIME:Thank you, we hope so as well. I should start by wishing you a happy anniversary. It is almost one year now in office. So, I am curious about what has surprised you most. You often talked about being an outsider. Now that you are the ultimate insider, what have you seen about the strengths and the opportunities and the obstacles that you face in the program that you are hoping to pursue?
Modi:For more than forty years now, I have had an opportunity and chance to travel all across India. There would perhaps be more than 400 districts of India where I have spent a night. So I am fully aware of the strengths of India, I am fully aware of the challenges that we face, I am not unaware of them. What was relatively new to me was the Federal government structures, the systems, the way we operate at the Federal level. That was a part which I was not aware of till I entered the government here.
The biggest challenge I think was that I was new to the Federal government structures. They were new to me, I was new to them, so there was a question of understanding each other’s perspective. But within a very short time I have bridged the gap through very focused and concentrated actions. There is now a meeting of minds. I understand them very well, they understand me very well. Because of that, within a very short period of time, we have been able to establish a smooth, seamless working mechanism within the Federal structure.
I was Chief Minister of the State of Gujarat for a long period of time. I knew very well what the Central government thought about the States of India and what State governments thought of the Federal government. I wanted to change this thought process, the fundamental thought process as to how the Federal Government and the State governments perceive each other. I wanted the Federal Government and the State Governments to work together for the country. I basically wanted to bring about a complete change in the thinking that Federal government is a giver to the State government, and the State government is a recipient of the largesse from the Federal government. And I think within a very short period of time, I have managed to achieve that objective to a very large extent.
I coined a term for that, which I call cooperative Federalism. I took it actually a step further and called it cooperative competitive Federalism. Essentially the concept is that it would encourage different State governments to compete with each other for the growth of the country. What essentially I have tried to do, and I think we have managed to do that, is to convert the country from a single-pillar growth nation to a nation that has 30 pillars of growth; these are the 29 States of India and the Federal centre.
Similarly, it was my experience after I entered the Federal government that different departments of the Government of India tend to work in silos. Each department seems to work as a Government in itself. The reason for that is that for the last three decades, there has not been a majority government at the Federal level; there have essentially been coalition governments, which has had a major impact on the government systems which created silos. My effort has been to ensure that these silos get broken down, that there is a collective thought process which is brought about in the Federal government. And I think we have managed to achieve that in a short period of time wherein everybody thinks together as a collective, everybody works together. And also it has invigorated the administrative system of the Federal government which looks at a problem in a collective manner rather than as individual silos.
I see the Federal government not as an assembled entity but as an organic entity so that each one understands the problems of the other and can collectively work together to address those problems.
TIME: Moving on to the US, the US-India relationship, President Obama has spoken very highly of you including on the Time 100 very recently. As you go transforming India, transforming the government as you say, how do you think the US should see you – as a partner, as an economic competitor? Would “Make in India” for example mean that jobs from the US would come here? So, the debate that we had on the service sector, would that not switch to manufacturing sector? How should the US see you?
Modi:I am extremely grateful to President Obama for the thoughtful and generous manner in which he has described me. What he has written in TIME magazine recently, I am also very grateful to him.
If I have to describe the India-US relationship in a single word, I will say we are natural allies. I think the relationship between India and US, and the two countries in themselves, have played an enormously important role and continue to play an important role in strengthening democratic values all over the world.
What should the India-US relationship be, what India can do for the US, what the US can do for India, I think that is a rather limited point of view to take. I think the way we should look at it is what India and the US can together do for the world. That is the perspective in which we approach our relationship with the United States.
TIME: You have visited 16 countries already in this year. Who would you say are your other natural allies?
Modi:I think this is an expected question from a journalistic point of view! I think each country has its own importance and each relationship has to be viewed in its own perspective. There are several countries of the world with which India has strategic partnerships. There are several other countries with which we have a relationship that is comprehensive in some other respects. There are some which are perhaps born to be there as natural allies, but there are still gaps to be covered in order for us to become natural allies. So I think it is important for us to see each relationship in an overall perspective and also how India approaches that relationship with each country.
If you look at the India-US relationship for example, the role that the Indian diaspora has played in the relationship is extremely crucial. Yes, we share democratic values but there is also the great role that the Indian diaspora has played in strengthening the bond of friendship between India and the US, and of course in underscoring the democratic values between the two countries.
Also our worldview… in addition to our shared democratic values, there are convergences in our worldview on different situations in the world. So, if I were to describe the relationship with other countries, I would say that each relationship of India with other countries has to be seen in a context and a perspective that is different from each other.
TIME: Prime Minister, you will be visiting China very soon. China is increasingly assertive and influential on the world stage including in the South Asia region. China and India have fought a border war before, and sometimes the relationship, the atmosphere can be tense. With your visit to China and your meeting with China’s leaders, what kind of relationship do you want to forge with China? Do you think you can do business with China’s leaders? Can India and China ever be friends?
Modi:After the India-China war in 1962, in the early 90s, India and China agreed on a framework for peace and tranquillity on the border. Further, since nearly last three decades until this time that we have entered into the 21stcentury, there is by and large peace and tranquillity on the India-China border. It is not a volatile border. Not a single bullet has been fired for over a quarter of a century now. This essentially goes to prove that both countries have learnt from history.
In so far as the India-China relationship is concerned specifically, it is true that there is a long border between India and China and a large part of it is disputed. Still, I think both countries have shown great maturity in the last couple of decades to ensure and commit to economic cooperation which has continued to grow over the last 20 to 30 years to a stage where we currently have an extensive trade, investment and project related engagement between the two countries. Given the current economic situation in the world, we are at a stage where we cooperate with China at the international stage but we also compete with China when it comes to commerce and trade.
You referred to the increase in Chinese influence in the region and in the world. I firmly believe that there is not a single country in the world, whether its population is one million or much more, which would not want to increase its influence internationally. I think it is a very natural tendency for the nations to increase their influence in the international space, as they pursue their international relations with different countries. I firmly believe that with due regard to international rules and regulations, and with full respect for human values, I think with these two perspectives in mind each country has the right to increase its presence, its impact and influence internationally for the benefit of the global community.
TIME: I just wanted to ask a follow-up question. On the eve of your visit to China, would you wish to send a special message to President Xi? Would you like to say something to him on the eve of your visit?
Modi:I firmly believe that the relationship between two countries, the India-China relationship as you are referring to, should be such that to communicate with each other there should really not be a need for us to go through a third entity. That is the level of relationship that we currently have.
TIME: The US is gradually drawing down its forces in Afghanistan. I am wondering whether you worry about the Taliban returning to power, and about the threat from ISIS and how you see that.
Modi:There are two different perspectives to the question that you asked and I would try and answer each of those two separately. The first refers to the India-Afghanistan relationship. It is well known that India and Afghanistan have enjoyed ancient ties and a very close relationship. People talk of infrastructure development these days. But if you go back in history, you’ll see that one of the former kings in the region Sher Shah Suri is the one who built the Kolkata-Kabul Grand Trunk Road.
The closeness of the India-Afghanistan relationship is not a new phenomenon. It has existed since time immemorial. And as a close friend, ever since India’s Independence, we have done and will continue to do whatever is required to be done to see Afghanistan grow and progress as a close friend.
President Ashraf Ghani was here last week. We had a good meeting and extensive discussions. One of the key points of discussions was the roadmap for development and progress in Afghanistan. We have in the past committed extensively to that. In fact, India’s assistance to Afghanistan is close to about 2.2 billion dollars for reconstruction and development. We have made further commitments to do whatever is required to be done for Afghanistan’s development. And not only have we made commitments, we are also taking concrete and specific steps to implement those commitments.
In so far as the drawdown of US troops from Afghanistan is concerned, this is a point on which I had extensive discussions with President Obama when I visited the US in September last year. I mentioned to him that the drawdown of troops is of course an independent decision of the American government, but in the interest of a stable government in Afghanistan, it would be important to hold consultations with the Afghan Government to understand their security needs as the US troops draw down. And I did mention to him that we should all try to meet the security needs of Afghanistan post drawdown of American troops. Rest of course is a decision that is for the US Government to take. But our interest is in ensuring peace and stability in Afghanistan; and whatever is required to be done for that, we will do that.
In so far as the Taliban and the ISIS issue which you referred to is concerned,I firmly believe that there is a need for the international community to undertake a detailed introspection of the overall perspective, the way they have looked at terrorism internationally. Till 1993, for example, there were several countries that did not fully understand the full force of this evil. They used to see it and they used to appreciate it purely as a law and order situation of individual countries rather than as an evil force internationally.
If you actually analyze the situation closely, what is needed perhaps is for the countries that believe in human values to come together and fight terrorism. We should not look at terrorism from the nameplates – which group they belong to, what are their names, what is their geographical location, who are the victims of terrorism…I think we should not see them in individual pieces. We should rather have a comprehensive look at the ideology of terrorism, see it as something that is a fight for human values, as terrorists are fighting against humanity.
So, all the countries that believe in human values need to come together and fight this evil force as an ideological force, and look at it comprehensively rather than looking at it as Taliban, ISIS, or individual groups or names. These individual groups or names will keep changing. Today you are looking at the Taliban or ISIS; tomorrow you might be looking at another name down the years. So it is important for the countries to go beyond the groups, beyond the individual names, beyond the geographical location they come from, beyond even looking at the victims of the terrorism, and fight terrorism as a unified force and as a collective.
TIME: So, what would we do differently if that coming together happened, if we looked at this threat more in the way you are describing; what would change in the way the threat is addressed?
Modi:I think as a first step what the international community can definitely look at is passing the United Nations Comprehensive Convention on International Terrorism which has been with the United Nations for the last several years. I think that could be the first step for us to take. At least it will clearly establish who you view as terrorist and who you do not view as terrorist. The definitional aspects of terrorism will get addressed.
The second thing which is important to do is not to analyze or look at terrorism from a purely political perspective but also view it from the perspective of the way it attacks human values, as a force against humanity, the point that I made earlier on. If you view terrorism in Syria from one perspective and terrorism outside Syria from another perspective, it can create problems. If you view terrorism in categories such as good terrorism and bad terrorism, that too can create its own challenges. Similarly, if you view Taliban as good Taliban or bad Taliban, that creates its own problems.
I think we should not look at these questions individually. We should address this problem in one voice, not in segmented voices – something which diffuses the international focus when it comes to the problem of terrorism. I believe that this can be easily done.
I think the other thing that we need to undertake as a focused measure is to delink terrorism from religion. When I met President Obama both in September last year and in January this year, in September last year particularly, I did request him to lead the charge in delinking terrorism from religion. I think if we are able to achieve this and if we go down this path, it would at least put an end to the emotional blackmailing which is inherent in this particular concept. It would also help us additionally to isolate the terrorists completely who tend to use this interchange of arguments between terrorism and religion.
Another aspect which is important in our collective fight against terrorism is the question relating to the communication technology, the communication methodology that the terrorists use, and the modes of financing. Terrorists are linked to money laundering, dirty money, drug dealing, arms trafficking. We have to ask ourselves, where do terrorists get their weapons from? Where do they get their communication technology from? Where do they get their financing from? These are some of the aspects where I think the entire international community needs to come together and put a complete stop to access to these three key aspects by the terrorists which assist them in terms of easy access to communication, finance and weapons.
If we pass the UN Comprehensive Convention on International Terrorism and if we take the steps that I have just listed out, it will help the international community, help all of us to isolate those countries that stand in support of terrorism.
TIME: Prime Minister, you were mentioning about delinking terrorism from religion. You mentioned Taliban, you mentioned ISIS. The other two groups that are creating a lot of headlines worldwide with their activities are Boko Haram and Al-Shabaab in Africa. All of them claim to be doing what they are doing on behalf of Islam. Do you think that the Islamic world, Islam’s world leaders should be doing more in their own communities to moderate those who are radicals, to do more on the education front and to cooperate more to fight these?
Modi:When the initial question was asked there was reference to Taliban and ISIS. That is why when I framed my reply and I started my response, I basically prefaced it by saying that we have to look beyond individual groups. I did not respond specifically to the Taliban or to ISIS, but I responded to the need for the international community to look at this problem from a larger perspective and not from the individual perspectives of the nameplates or the groups that I referred to.
I think terrorism is a thought process. It is a thought process that is a great threat to the international community. I am also not linking it to any particular religion or to the actions of religious leaders. I think it is something that, as I mentioned, the countries that believe in human values need to come together and fight as a collective and not looking at individual groups from the perspective of individual religions.
TIME:If I could go back to two things that you said earlier, Prime Minister, you said that every country tries to increase its influence, sphere of influence. Sometimes that is obviously not very positive. One was what the US and India can both do together in the world. But one thing that the US is doing right now is trying to counter Russia’s influence in Ukraine. Do you support international sanctions against Russia?
Modi:This issue was raised in the G20 Summit. President Obama was present there, President Putin was present there, and I presented my viewpoint in the presence of both the Presidents. My view was that there are United Nations guidelines, there are provisions in the United Nations; and I think whatever is agreed within the framework of United Nations, the international community should follow it.
TIME: Another big international issue that is coming up is the Paris Climate Summit later this year. Will India specify a peak for its emission, a cap on its emission?
Modi:In the entire world, if you analyse very closely the cultural and the civilizational history of different countries, particularly looking at the lifestyle which they have followed over decades and centuries of their history, you will find that this part of the world, India in particular, has advocated and pursued economic growth in coexistence, in close bonding, with Nature for thousands of years of its history. In this part of the world, in Indian civilization in particular, the principle value is that exploitation of Nature is a crime, and we should only draw from Nature what is absolutely essential for your needs and not exploit it beyond that.
If I may, in a somewhat lighter vein, recount a practice that is very common in the Indian cultural frame… it is that when you wake up in the morning and get off the bed, you step on to mother earth, causing it pain. What we teach our children is that earth is your mother that provides; she’s a giver. So, please first ask forgiveness from the mother earth before you step on to it and cause it pain.
We also teach in our cultural history that the entire universe is a family. For example, Indian bedtime stories – including school books – are quite replete with references to the Moon as maternal uncle and Sun as a grandfather. So when we view these aspects purely from the perspective of a family, our association with Nature is much deeper and of a very different kind.
Insofar as the question specifically related to COP21 is concerned, I think if you look at the whole world, and the whole issue of climate change, if there is one part of the world which can provide natural leadership on this particular cause, it is this part of the world. Insofar as my specific role and responsibility is concerned, I am acutely conscious and aware of that. In fact, when I was the Chief Minister of Gujarat, my government was probably the fourth State government in the world to establish a Climate Change Department within my particular State. And we closely linked its work to the growth policy that we adopted in the State.
In future too, in terms of initiatives that we are going to take, there is going to be a heavy focus on using energy that is environment friendly. For example, we have launched a huge initiative in the field of renewable energy by setting a target for ourselves of 175 GW from renewable sources – 100 GW from the solar sector and 75 GW from the wind sector. It is really an immense and huge initiative of my government.
I have undertaken another mission mode project that we call Clean Ganga Mission. It is essentially on the re-invigoration of the river Ganges. River Ganges has a flow line of about 2,500 KM. Roughly 40 per cent of India’s population is either directly or indirectly linked to this river. It is not merely a Clean Ganga Initiative, not just cleaning of a river; it is actually a huge developmental initiative whose primary focus is to undertake development that is environment friendly.
In fact – and I say this to the entire international community – that those who believe in undertaking environment-friendly development in their own countries, I invite them to come and be partners in the cleaning of river Ganges which I think, as I said earlier, is essentially an environment-friendly growth and development model focussed on preservation of environment.
I have undertaken these mission-mode environment preservation steps in several layers. One layer, for example, pertains to the saving of energy. We have made it a nation-wide campaign to distribute and to ensure popularity of LED bulbs – something which essentially reduces the carbon emission and carbon footprint of energy consumption nationally.
For the farmers in India, I have launched an initiative called the Soil Health Card. It is essentially a system through which we inform the farmer of the toxicity in the soil which he is cultivating. The idea is to approach this entire issue in a scientific way and advise the farmer about his next steps in terms of reduced use of chemical fertilizers, in terms of increased use of organic fertilizers so that the fertility of the soil is preserved. Naturally, this reduces the environmental burden of agricultural cultivation within the country. For the Himalayan region of India, I want to convert it into the organic cultivation capital for the entire world.
I will talk of another measure which may seem like a small measure but which has a great environmental impact within the country. In India we provide to the households subsidized LPG gas cylinders for cooking. Sometime ago, I requested the rich and the wealthy to give up their gas cylinder subsidy to free up the usage of the cooking gas cylinders. Within a short period of time, about 400,000 families gave up their subsidized gas cylinders. My objective is to pass on the freed-up gas cylinders to the poor families which will help us achieve three objectives. Firstly, they would stop using the forest wood for cooking purposes which will prevent the degradation of the forests. Second, it will reduce carbon emissions because burning of the forest wood has a higher carbon footprint. Third, it will also reduce the health problems which are caused in poor families when they burn forest wood for cooking. So, essentially we try to achieve all the three objectives – reduce carbon footprint, reduce forest degradation, yet improve the health of the poor families through this very simple environment friendly measure.
Another decision that we have recently announced clubs together two concepts – providing rural employment and increasing the green cover in rural areas; we have provided a quantum of Rs. 40,000 crore (approx. $ 6.7 billion) to afforest the rural land, provide employment in rural areas, leading to conservation of environment.
Another measure we have taken is to build Metro mass transportation facilities in 50 cities of India. Similarly, in 500 cities of India, we have started elaborate waste water treatment and solid waste management plans. The idea is to build these facilities through public private partnerships by using global competitive aspects. All these measures which I have described have been taken in the last 10 months with the principle objective of ensuring that our economic growth is environment friendly.
The second aspect that I keep pointing out but perhaps international community is still not ready to focus on it or does not focus on it yet, is the need to change our lifestyles. I think the throw-away culture, the culture of disposables, causes a huge burden on the environment. I think recycling, or the re-usage of the resources of the earth, is an important aspect which should be ingrained in our daily lifestyle. I think it is important to change our lifestyles.
TIME: Prime Minister, you have talked about the economic and development reforms that you have been introducing in India, but there are other benchmarks of progress. President Obama said earlier this year that for India to succeed, it is critical that the nation does not splinter along religious lines. What would you make from President Obama’s remarks?
Modi: India is a civilization with a history that is thousands of years old. If you analyze the history of India carefully, you will probably not come across a single incident where India has attacked another country. Similarly you will not find any references in our history where we have waged war based on ethnicity or religion. The diversity of India, of our civilization, is actually a thing of beauty, which is something we are extremely proud of. Our philosophy of life, something that we have lived for thousands of years, is also reflected in our constitution. Our constitution has not come out of any abstract insularity. It essentially reflects our own civilizational ethos of equal respect for all religions. As Indian scriptures say, “Truth is one but sages call it by different names”. Similarly, Swami Vivekananda, when he travelled to Chicago for the World Congress of Religions, had said that respecting religions is not simply a question of universal tolerance; it is a question of believing that all religions are true. So it is a positive approach and aspect that India and Indian civilization take towards religion. If you look at one of the micro minorities of the world, the Parsi community, it has probably flourished the maximum in India. One of our Chiefs of Army Staff has been from the Parsi community. One of our biggest industrialists is from the Parsi community. A Chief Justice of the Supreme Court was from this micro minority community. So for us, the acceptance of all religions is in our blood, it is there in our civilization. It is ingrained in our system to work together, taking all the religions along with us.
My philosophy, the philosophy of my party and the philosophy also of my government is, what I call ‘Sabka Sath, Sabka Vikas’, which essentially means, “Together with all, progress for all”. So, the underlying philosophy and the impulse of that particular motto is to take everybody together and move towards inclusive growth.
TIME: As we are heading to the US political campaign, a lot of America’s political leaders are talking about the role that their faith plays and their views of themselves as leaders. Could you talk a little about what your faith of Hinduism means to you as India’s leader?
Modi: Religion and faith are very personal matters. So far as the government is concerned, there is only one holy book, which is the Constitution of India.
In fact, if I look at the definition of Hinduism, the Supreme Court of India has given a beautiful definition; it says that Hinduism is not a religion, it is actually a way of life.
If one looks at my own belief, I think I have grown up with these values which I mentioned earlier, that religion is a way of life. We also say ‘Vasudhaiv Kutumbkam’ – the entire world is one family, and respect for all religions. Those are the values I have grown up with.
Essentially the crux of Indian philosophy, the Hindu philosophy, is that all should be happy, all should be healthy, all should live life to the fullest. It is not something that is specific to a particular religion, or to a particular sect. It’s a philosophy, it’s a way of life which encompasses all societies.
And Hinduism is a religion with immense depth and vast diversity. For example, the one who does idol worship is a Hindu and one who hates idol worship can also be a Hindu.
TIME: Mr. Prime minister, some members of your party have said some unkind things about minority religions in India and we do understand that Muslim, Christians, some others have worried about the future of their practicing their faith in India and we are trying to understand that you are saying that under your leadership, they should not be worried?
Modi: In so far the Bhartiya Janata Party and my government are concerned, we absolutely do not believe in this type of ideology. And wherever an individual view might have been expressed with regard to a particular minority religion, we have immediately negated that. So far as BJP and my government are concerned, as I mentioned earlier, there is only one holy book of reference, which is the Constitution of India. For us, the unity and the integrity of the country are the top most priorities. All religions and all communities have the same rights and it is my responsibility to ensure their complete and total protection. My Government will not tolerate or accept any discrimination based on caste, creed, and religion. So there is no place for imaginary apprehensions with regard to the rights of the minorities in India.
TIME: Prime Minister, if I could go back to your election last year. A key thing and the most important was the economy that was spoken about. But here on, a lot of investors have begun to ask questions about the pace of reform, is it fast enough? That the economy basically benefitted from falling oil prices… What you make of those questions about the pace at which you have reformed and what reforms you are planning as you are going to your second year?
Modi: If you were to pick up the news papers for the period March-May 2014 last year and read them, you will actually get the context and key aspects of the context in which we were approaching the elections at that time. One of which was that nothing seemed to be happening in the Government. There seemed to be a complete policy paralysis at that time. Two, corruption had spread throughout the system. Three, there was no leadership; it was a weak government at the centre. That was the context and the background in which I was elected. My election, my government’s coming into power last year in 2014, should be viewed in the context of the developments over the last ten years in the country before May 2014. So you need to see ten years of the last government versus ten months of my government.
You will actually see that, internationally, the whole world is, once again, excited and enthusiastic about India and the opportunities that India represents. Another way to look at it is that, at the start of the 21st century, the term BRIC was coined to represent the four major emerging economies. The assessment was that the BRIC countries will drive international economic growth. Six-seven years before 2014, a view started emerging that ‘I’ in the BRIC had perhaps become less relevant or perhaps even a drag on the BRIC grouping.
In the last 10 months, the ‘I’ has reclaimed its position in the BRICS. Internationally, whether it is the IMF, the World Bank, Moody’s or other credit agencies, they are all saying in one voice, that India has a great economic future. It is progressing at a fast pace and has again become a factor of growth and stability in the international economic system. India is now one of the fastest growing economies in the world.
The last ten months clearly prove that so far as the expectations of the people are concerned, both in the country and internationally, we are moving very rapidly to fulfil those expectations.
I have in my mind a very clear outline of the framework of what we are going to do in the next five years. What we have done in the last one year is precisely as per that plan. And in the next four years, we have step-by-step measures that would unfold as we go along. So far as the reform process in the last eleven months is concerned, it is not simply a question of policy reforms that my government has taken. We have also undertaken focused administrative reforms. To establish (i) ease of doing business; (ii) making government more accountable; (iii) reforms at the level of technology and governance; (iv) reforms at all layers of the government, whether it’s local government or state government or central government. We have essentially taken the reform process to an entirely different level where both the Federal and the state level respond through a policy-based and administrative reform system.
The biggest reform since India’s independence in the field of taxation that is coming up is the GST and it is our expectation that we would start implementing it from the 2016 fiscal year.
Another example is increasing the Foreign Direct Investment cap in the field of insurance to 49%. This was stuck for the last 7 – 8 years and was not making any progress. We ensured that it was passed by the parliament within the first year of our government.
TIME: Prime Minister, when some people compare China and India’s economic development, there are some people who say that China has been much faster and much more successful because it is a one-party state in which the leader of the party can basically dictate his and his Cabinet’s policies. India of course is a democracy. You have a mandate in the Lower House of Parliament. You do not have a majority in the Upper House. Things like for example your new Land Acquisitions Law can run into obstacles because of the system that India has. Do you sometimes think that you would love to have President Xi’s power to push things through?
Modi: India by its very nature is a democracy. It is not just as per our Constitution that we are a democratic country; it is in our DNA. In so far as different political parties of India are concerned, I firmly believe that they have the maturity and wisdom to make decisions that are in the best interests of the nation. I firmly believe that for us, democracy and belief in democratic values, are a matter of faith, which are spread across all political parties in the country. It is true that we do not have a majority in the Upper House. Despite that, if you look at the productivity of the Parliament, it has actually been quite an achievement under our government. In Lok Sabha, the Lower House of the Parliament, productivity has been about 124% whereas productivity in the Upper House has been about 107%. Overall, it conveys a very positive message of legislative action. In all, about 40 bills have been passed in the Parliament. So if you were to ask me whether you need dictatorship to run India, no, you do not. Whether you need a dictatorial thought to run the country, no, you do not. Whether you need a powerful person who believes in concentrating power at one place, no you do not. If anything is required to take India forward, it is an innate belief in democracy and democratic values. I think that is what is needed and that is what we have. If you were to ask me at a personal level to choose between democratic values on the one hand, and wealth, power, prosperity and fame on the other hand, I will very easily and without any doubt choose democracy and belief in democratic values.
TIME: One of the aspects, one of the pillars of a democracy is freedom of speech. Earlier this year, the authorities in India banned a documentary about the terrible rape case that took place in December of 2012. Why did the authorities do that and what are to you the limits of free speech? Do you think free speech should have some limits?
Modi: There are two different things which are dealt in this question and I will try to address them both. But, first in a somewhat lighter vein, if I could just recount a well-known episode about Galileo. He had propounded the principles of revolution of the earth around the sun but in the societal paradigm at that particular time, those principles were against what was enshrined in the Bible and a decision was taken to imprison Galileo at that time.
Now India is a civilization where the principle and philosophy of sacrifice is ingrained as part of our upbringing. If you take that as a background and look at our history, there used to be another great thinker of the time called Charvaka who propounded a theory of extreme hedonism which was contradictory to the Indian ethos. He essentially said that “You do not have to worry about tomorrow, just live, eat, make merry today”. But even he with those extreme thoughts, which were totally contradictory to the Indian ethos, was equated to a sage and accommodated and given space to express his views in the Indian society.
So in so far as freedom of speech is concerned, there is absolutely not an iota of doubt in terms of our commitment and our belief in that.
If you look at the issue related to the telecast of the documentary that you referred, it is not a question of freedom of speech, it is more a legal question. It has two or three aspects. One aspect is that the identity of the rape victim should not be revealed which would have happened if this interview was allowed to be telecast. Two, the case is still sub judice and the telecast which features the interview of the person who is alleged to have committed the crime could have impacted the judicial process. Three, it is also our responsibility to ensure protection of the victim. If we had allowed such a thing to happen, in effect, we would have violated the dignity of the victim. So I do not think it is a question of freedom of speech, it is more a question of law and respecting the victim and the judicial processes in this particular case. In so far as freedom of speech is concerned, as I mentioned earlier, there is absolutely no issue. It is something that we greatly respect as an important aspect of our democratic values.
TIME: I wonder if I might ask one last question before we turn you over to Peter, who is very eager. We talk a lot about influence and in the Time 100, these are people who we think right now are exerting an enormous influence on the world stage, can you tell us who has influenced you the most?
Modi: The question that you have asked actually touches my deepest core. I was born in a very poor family. I used to sell tea in a railway coach as a child. My mother used to wash utensils and do lowly household work in the houses of others to earn a livelihood.
I have seen poverty very closely. I have lived in poverty. As a child, my entire childhood was steeped in poverty. For me, poverty, in a way, was the first inspiration of my life, a commitment to do something for the poor. I decided that I would not live for myself but would live for others and work for them. My experience of growing up in poverty deeply impacted my childhood. Then, at the age of 12 or 13, I started reading the works of Swami Vivekananda. That gave me courage and a vision, it sharpened and deepened my sensitivities and gave me a new perspective and a direction in life. At the age of 15 or 16, I decided to dedicate myself to others and till date I am continuing to follow that decision.
Personal Life Story
History was scripted in the forecourt of Rashtrapati Bhawan on the evening of 26th May 2014 as Narendra Modi took oath as the Prime Minister of India after a historic mandate from the people of India. In Narendra Modi, the people of India see a dynamic, decisive and development-oriented leader who has emerged as a ray of hope for the dreams and aspirations of a billion Indians. His focus on development, eye for detail and efforts to bring a qualitative difference in the lives of the poorest of the poor have made Narendra Modi a popular and respected leader across the length and breadth of India.
Narendra Modi’s life has been a journey of courage, compassion and constant hardwork. At a very young age he had decided to devote his life in service of the people. He displayed his skills as a grass root level worker, an organiser and an administrator during his 13 year long stint as the Chief Minister of his home state of Gujarat, where he ushered a paradigm shift towards pro-people and pro-active good governance.
Narendra Modi’s inspiring life journey to the Office of Prime Minister began in the by-lanes of Vadnagar, a small town in North Gujarat’s Mehsana district. He was born on the 17th of September 1950; three years after India had gained its Independence. This makes him the first Prime Minister to be born in independent India. Mr. Modi is the third child born to Damodardas Modi and Hiraba Modi. Mr. Modi comes from a family of humble origins and modest means. The entire family lived in a small single storey house which was approximately 40 feet by 12 feet.
Narendra Modi’s formative years taught him early tough lessons as he balanced his studies, non-academic life to spare time to work at the family owned Tea Stall as the family struggled to make ends meet. His school friends remember that as a child also he was very industrious and had an affinity for debates and a curiosity to read books. Schoolmates recollect how Mr. Modi used to spend many hours reading in the local Library. As a child he was also fond of swimming.
Mr. Modi’s thoughts and dreams as a child were quite removed from how most children of his age thought. Perhaps it was the influence of Vadnagar which once used to be a vibrant center of Buddhist learning and spirituality many centuries ago. As a child also he always felt a strong urge to make a difference to society. He was highly influenced by the works of Swami Vivekananda which laid the foundation of his journey towards spiritualism and which inspired him to pursue the mission to fulfill Swamiji’s dream of making India a Jagat Guru.
At the age of 17 he left home to travel across India. For two years he travelled across the expansive landscape of India exploring various cultures. When he returned home he was a changed man with a clear aim of what he wanted to achieve in life. He went to Ahmedabad and joined Rashtriya Swayamsevak Sangh (RSS). RSS is a socio-cultural organisation working towards the social and cultural regeneration of India. It was a tough routine for Narendra Modi in Ahmedabad since 1972 when he became a Pracharak for RSS. His day began at 5 am and went on till late night. Late 1970s also saw a young Narendra Modi join the movement to restore Democracy in India which was reeling under Emergency.
While continuing to shoulder different responsibilities within the Sangh during the 1980s Narendra Modi emerged as an Organizer exemplar with his organizing skills. In 1987 a different chapter began in the life of Mr. Modi when he started work as the General Secretary of the BJP in Gujarat. In his first task Mr. Modi won a victory for the BJP in Ahmedabad Municipal Corporation elections for the first time ever. He also ensured that the BJP was a close second to the Congress in the 1990 Gujarat Assembly elections. In the 1995 Assembly elections Mr. Modi’s organizational skills ensured the BJP’s vote share increased and the party won 121 seats in the Assembly.
Mr. Modi worked as the National Secretary of BJP from 1995 looking after party’s activities in Haryana and Himachal Pradesh. As BJP’s General Secretary Organisation he worked to ensure the BJP won the 1998 Lok Sabha elections. It was in September 2001 that Mr. Modi received a phone call from then Prime Minister Vajpayee which opened a new chapter in his life taking him from the rough and tumble of Organizational Politics to the world of Governance.
Years in Governance
Narendra Modi’s evolution from quintessential Organization Man of the BJP to one of India’s best known leaders recognized for his Good Governance over a span of a decade tells a story of grit, determination and Strong Leadership in the face of grave adversity. Narendra Modi’s transition from the world of Political Organizing to the realm of Administration and Governance neither had the luxury of time nor the benefit of training. Shri Modi had to learn the ropes of Administration while on the job right from Day One. Narendra Modi’s first 100 days in office offer a glimpse of not just how Shri Modi made that personal transition but these 100 days also offer a glimpse of how Shri Modi brought unconventional thinking and out of the box ideas to shake status-quo and reform Governance.
Narendra Modi’s path to creating a Vibrant Gujarat as a shining example of Development and Governance did not come easy. It was a path littered with adversities and challenges. Through the last decade if there is one constant trait of Narendra Modi that has stood out it is his Strong Leadership in the face of grave adversity. Shri Narendra Modi’s approach to governance has always been viewed as being above politics. Shri Modi never let political differences get in the way of pursuing solutions to developmental challenges. As Shri Narendra Modi prepares to assume Office as India’s next Prime Minister, his approach to Administration and Governance stands out for its convergent thinking. The finest manifestation of Shri Modi’s philosophy of “Minimum Government, Maximum Governance” is his Pancha-Amrut construct for convergent Governance.
His performance is reflected in the many Awards his government received from both National and International media. Shri Narendra Modi as India’s Prime Minister brings with him a rich and hands-on experience as one of India’s most successful Chief Ministers and one of its finest of Administrators.
A year into the NDA regime, one area where it clearly scores over its predecessor is in delivering financial inclusion to India’s disadvantaged. The difference lies in its ‘mission mode’ execution capabilities which have led to the opening of 12.5 crore bank accounts and the issue of life, accident and pension plans to over six crore subscribers in short order. NDA’s inclusion initiatives — the Jan Dhan Yojana, Jeevan Jyoti Bima Yojana, Suraksha Bima Yojana and Atal Pension Yojana — are also better designed to cater to the needs of savers, while avoiding an undue burden on the exchequer.
The NDA’s approach to financial inclusion differs fundamentally from the UPA’s on three counts. Its initiatives have been more pragmatic in delivering basic savings, credit and protection products. The UPA in contrast, focussed too much, and unsuccessfully, on coaxing small savers into equities through schemes such as the Rajiv Gandhi Equity Savings and the CPSE Exchange traded fund. Other products such as inflation indexed bonds and the National Pension Scheme also failed to recognise that the primary entry barrier to financial access in India is the extra-ordinary complexity of financial products and their onerous KYC rules. Modi’s recent schemes offer one-step KYC, attractive pricing and assured benefits to boot. No doubt, the freebies and low costs have played their role in making people queue up for these plans. Jan Dhan dangled carrots such as a zero balance bank accounts and free insurance cover. The recently launched Jeevan Jyoti Bima offers a ₹2 lakh life cover for just ₹330 a year, while the Suraksha Bima holds out a ₹2 lakh accident cover for a trifling ₹12 per year. Such pricing is not unviable for insurers, contrary to popular assumption. Online term plans from private sector insurers are available at costs as low as ₹170-300 for a ₹2 lakh cover and Modi’s schemes leverage economies of scale by pooling risks for thousands of subscribers.
Yes, though the Centre has asked banks and insurers to offer these schemes on a ‘voluntary’ basis, it is the public sector insurers, piggybacking on the public sector bank network, that have so far opened the bulk of these accounts. To avoid an unfair burden on them from its inclusion drive, the Centre should now allow the issuers of these plans to tweak their future premiums and pricing, based on their experience with customer transactions and claims. But even State-owned firms stand to reap long-term benefits from Modi’s inclusion drive given that it is planned around delivering sustained credit and financial access to the poor without State intervention. One may recall that it was the public sector banks that shouldered a disproportionate burden for the UPA’s quixotic and largely ad-hoc efforts at providing a social safety net by interest subvention schemes and farm loan waivers.
From a scorching pace of sales growth in the recent past, the rural consumption story has suddenly soured thanks to a combination of natural and policy-made causes
Farmer Ravidas Varma in Madhya Pradesh’s Amar Pathan village cannot rebuild his crumbling house. Unseasonal rains in March ruined his chana (Bengal gram) crop and damaged the house further. As for his wheat crop of over 100 quintals, the rollback of bonus (₹150) on the minimum support price will leave him poorer by ₹20,000. He will suffer a similar loss on paddy later this year as the government has declared it will not buy crops that have been procured after paying a bonus to farmers. “Acche nahi, burey din aa gaye hain (Not good, but bad days are here),” says Varma, staring at his dilapidated house.
In Rajasthan’s Khinwsar village, Bhanwar Das is mourning the loss of his jeera (cumin) and sarson (mustard) crop after the untimely rains. “Suna tha muavza milega. Kuch nahi mila hai,” he says, lamenting the absence of any relief measures from the government. For now, he has abandoned plans to send his daughter to Nagaur for higher education as he can’t afford the fees. Also on the backburner is the family’s dream of owning an LCD television. “I am not sure if we will have enough to eat this year,” he says.
In the past few years, rural areas witnessed a scorching pace of sales growth. That rural consumption story has suddenly soured, buffeted by erratic rainfall, withdrawal of bonus on MSP, reduced allocation for the rural employment guarantee scheme MGNREGA, a slowdown in the construction sector, and the threat of a below-normal monsoon this year.
To begin with, incomes have fallen as rural wages grew a meagre 3.8 per cent in November — the lowest since July 2005, according to data from the Labour Bureau.
“Rural wages have not been rising fast enough; that is the phenomenon of 2014-15 and it is continuing this year,” says Dharmakirti Joshi, chief economist at Crisil.
In the past, as MNREGA provided assured employment, rural labourers were unwilling to take up other activities, leading to rising wages. That effect, however, is waning, primarily due to the declining allocation to MNREGA in the last few years — for instance, from ₹34,000 crore in 2014-15 to ₹31,000 crore in the revised estimates. In March this year, Finance Minister Arun Jaitley nominally hiked the allocation, from ₹34,000 crore to ₹34,699 crore. The highest allocation was in 2010-11, at ₹40,100 crore.
The impact of this is directly felt by companies operating in rural India. “There has been a general sluggishness in consumption in rural areas,” says Ullas Kamath, joint managing director at FMCG company Jyothy Laboratories.
As his company sells basic necessities such as detergents and mosquito coils among other items, it has not faced a drastic fall in demand. “But in a slowdown, the shift is from higher SKUs (stock keeping unit) to a lower SKU.” So, from buying 1kg of detergent, a customer now buys a half-kg pack, while another moves from half-kg to 250gm. Kamath cautions that if the following monsoon too turns out to be poor, “we will see a shift from bigger brands to lower-level brands.”
Already, discretionary products like shampoos, skincare items and deodorants are selling less in rural areas. FMCG growth in rural India has fallen to 8 per cent from the 9-15 per cent witnessed over the last few years. “The pace of market recovery is dependent on how the rural areas fare,” Sanjiv Mehta, chief executive of Hindustan Unilever, had said while announcing the company’s results this month.
Pradeep Lokhande, CEO of Rural Relations, a rural consumer relations organisation, says the reduced MSP and unwanted rains almost every month in various parts of the country, coupled with the poor monsoon last year, have shaved off a significant part of rural income. “The result is that if a user was buying three soaps in a month, she now buys only two; shampoo is used sparingly and buying decisions are postponed,” he says.
More than any other item, tractors best mirror the economic sentiment in rural areas. Sales were down 8.3 per cent in the first nine months of FY15, according to ratings agency ICRA. Decline in crop output and weakening prices have negatively impacted farm sentiment, with a likely dip in farm incomes.
The farm equipment division of Mahindra & Mahindra, the largest player in the segment, has been reporting a decline in tractor sales for the past few months, with a 31 per cent slide at 12,254 units in March. M&M, however, declined to comment on this.
This slide is mirrored by the two-wheeler segment too. Rural markets buy half of the bikes sold in India. Dinakar Singh, a dealer in Uttar Pradesh’s Hardoi, says April and May usually see good sales as it is the marriage season. From 25 vehicles a month two years ago, he now sells only seven to eight. “People are not buying this year,” he says resignedly, hoping for an improved festive season ahead.
According to research firm Nomura, a revival appears unlikely over the next two months: “We expect the two-wheeler industry’s volume growth to slow to 5.6 per cent in FY16 (instead of 11 per cent) from around 8 per cent in FY15.” And the caveat: “If the monsoon turns out to be poor this year, then there could be some downside risks to our growth estimates.”
Devendra Kumar Pant, chief economist and senior director (head — public finance) at India Ratings & Research, says the demand slowdown in rural areas is due to slower growth in incomes and high inflation. “While inflation has now come down significantly, consumers will open their purses only when they are sure that the decline is permanent,” he says.
Hero MotoCorp, the world’s largest manufacturer of two-wheelers, is feeling the pinch. Its April sales declined for the fourth straight month by 7 per cent to 533,305 units, compared to 571,054 sold the same month a year ago.
The missing jobs
However, while farmers and other consumers are vocal about their disillusionment with the Modi government and the decrease in their income, the corporate sector is more circumspect. Despite dwindling sales and a shrinking rural market, companies are not willing to admit to a slowdown.
Economists, however, believe that the government’s policies are aimed at creating a more balanced economy, moving away from consumption- to investment-driven growth. Crisil’s Joshi believes that MNREGA should be linked to productivity to help create income-generating assets. Regarding factors such as MSP, he believes these are adverse incentives and need to be corrected. “Eventually, the agri sector needs better irrigation and farm practices. They have to be hastened,” he says.
Jyothy Labs’ Kamath agrees: “The entire problem is one of unemployment. A family cannot depend on one piece of land. As long as they don’t get jobs, this problem will continue.” Back in the ’90s, people migrated to cities. That has slowed as urban India has become very expensive. They are better off staying back in villages than spending more on surviving in cities. “Make in India has to reach villages in a big way; jobs have to be created. Only then can a long-term rural growth story be scripted,” Kamath says.
For now, the eyes of farmers, companies and analysts are collectively focused on the monsoons. The India Meteorological Department has forecast below-normal monsoon at 93 per cent of the long-period average (LPA) owing to the El Nino phenomenon. “But if it is below that, then there will be difficulty in rural India and it will be a very bad phase,” says Kamath.
Farmers like Varma and Das have turned to the rain gods now. Varma has promised his village deity a grand feast if it rains well this year. With a government that is gradually pulling its hand away from rural India, farmers will probably need heavenly intervention to survive the slowdown.
The China Visit
Text of PM’s statement to media at Joint Press Statement with Chinese Premier, Mr. Li Keqiang at Beijing
Excellency, Li Keqiang,
Members of the Press,
Ladies and Gentlemen,
Let me start by expressing my deep gratitude to President Xi, Premier Li and the people of China for the exceptional welcome and hospitality.
Iam very grateful to President Xi for his special gesture of hosting me in Xian; and, for showing me the city’s extraordinary heritage. It is a treasure of the world.
Xian is also a symbol of our ancient spiritual and cultural links. I havea personal connection with Xian through Monk XuanZang. He visited my hometown 1400 years ago.
I am pleased to visit China in the first year of my Government.This is one of our most important strategic partnerships.
The reason is obvious. The re-emergence of India and China and their relationship will have a profound impact on the two countries and the course of this century.
Our relationship has been complex in recent decades.
But, we have a historic responsibility to turn this relationship into a source of strength for each other and a force of good for the world.
We are committed to set a new direction between the two largest Asian countries.
I believe that my discussions with President Xi and Premier Li have advanced our relationship in that direction.
Our conversations were candid, constructive and friendly. We covered all issues, including those that trouble smooth development of our relations.
I stressed the need for China to reconsider its approach on some of the issues that hold us back from realizing full potential of our partnership. I suggested that China should take a strategic and long term view of our relations. I found the Chinese leadership responsive.
On the boundary question, we agreed that we continue to explore a fair, reasonable and mutually acceptable resolution. We both reiterated our strong commitment to make all efforts to maintain peace and tranquility in the border region.
I found sensitivity to our concerns on this issue; and, interest in further intensifying confidence building measures. I also reiterated the importance of clarification of Line of Actual Control in this regard.
I sought tangible progress on issues relating to visa policy and trans-border rivers. I also discussed some of our regional concerns.
We agreed that as we move ahead, we should be sensitive to each other’s interests; strengthen mutual trust and confidence; continue to manage our differences with maturity;and, seek solutions to outstanding issues..
Our decision to enhance strategic communication and coordination on our region is especially significant.
Bilateral cooperation was a very important part of our discussion. We have set a high level of ambition for our economic partnership. We see enormous bilateral opportunities and many similar challenges, like urbanization.
We are pleased with the progress on the commitments from the Summit last September.
This includes cooperation in the Railways, where we have identified specific projects, and the two Chinese industrial parks in Gujarat and Maharashtra. I am pleased that the two chief ministers are here with me.
Both leaders were very supportive about increased Chinese participation in our Make in India mission and infrastructure sector. In Shanghai tomorrow, we will see over twenty ventures in the private sector take concrete shape.
President Xi and Premier Li were very receptive to the specific concerns I had raised on our growing trade deficit. We look forward to early impact on the ground. We have agreed to create a high-level task force to develop a strategic road-map to expand economic relations. It will cover a broad range of areas including Infrastructure, IT, Pharma, Agriculture and Manufacturing.
An area of high priority for us is people-to-people contacts. Indians and Chinese don’t know each other well, much less understand each other.
We have decided to take the relationship out of the narrow confines of governments in the national capitals to states, cities and our people.
For the first time, India has launched a State and Provincial Leaders’ Forum with any country. This is consistent with my firm commitment to cooperative federalism in India.
This is the “Year of India” in China; the next one will be the “Year of China” in India. This will expand tourism between our two countries.
We are establishing a Centre for Gandhian and Indian Studies in Shanghai, a Yoga College in Kunming and a bilateral Think-Tanks Forum.
The Nathu La route for Indian pilgrims to visit Kailash Mansarovar will become operational in June. I want to thank China for that.
Our decision to open a consulates in Chengdu and Chennai reflects growing mutual confidence and shared commitment to expand our relationship.
These steps will help make our relationship more broad-based and people-centric.
Finally, we have many common global and regional interests. For example, we have a shared interest in the outcome of the international climate change negotiations. We are both trying to strengthen regional connectivity.
Terrorism is a shared threat. Instability in West Asia matters to both of us. Peace and progress in Afghanistan benefits us both. I am confident that our international partnership will deepen.
Today, we have signed over 20 agreements, covering diverse areas of cooperation. This shows the depth and maturity of our relationship and the positive direction of our partnership.
This has been a very productive and positive visit.
I look forward to working with President Xi and Premier Li. I have welcomed President Xi’s proposal to hold regular summits to realize our vision for the relationship.I have also invited Premier Li to visit India at an early date.
I look forward to Shanghai tomorrow. Thank you. Thank you, very much.
Innovative Luxury Designers Farah Khan Ali, Nisha Jamvwal,Neelam Kothari,Eina Ahluwalia, Renu Chaini & Neha-Lulla-Kripalani are the final six finalists at ILC Power Brand 2015. India’s Top & Noted Luxury Brand Specialists & Top Jewellery & interior Designers are in the race for the coveted Award title “Innovative Leadership in Luxury Brands Concept 2015” at the 6th Annual India Leadership Conclave & Indian Affairs Business Leadership Awards 2015
Indian Affairs, the flagship media conglometer of the illustrious Network 7 Media Group, asia’s arguably the most analytical news media in both digital & broadcast will be choosing the winner for the coveted award title “Innovative Leadership in Luxury Brands Concept 2015” at the much awaited prestigious annual affairs best known as India Leadership Conclave 2015. The Conclave is running on a theme “India @ 58” : Learning Lessons From The Past And Restrategizing For The Future” at the 6th Annual India Leadership Conclave & Indian Affairs Business Leadership Awards 2015 in Mumbai, India on Friday, the 21st August 2015 where top leaders from the various sections of the society will assemble to make an analysis of India’s journey from independence & the important milestones that the country has achieved since last 58 years & the areas where India has remained silent & unmoved & has given a big miss. Currently in its 6th year since the last five successful editions held annually uninterruptedly in key states of the country where the platform evoked great degree of interest & made headlines,the Conclave will be debated & discussed by the speakers of eminence from the world leaders, industry icons, Politicians, movie stars, rebels, peacemakers and social activists. The Grand Annual Affair of Indian Affairs Conclave has been a sold out event & attendance from over 350 delegates coming from india & across the globe. India Leadership Conclave & Indian Affairs Business Leadership Awards 2015 is also keenly a awaited platform for its power brand awards called ILC Power Brands. From business to politics, cinema to sports & public service to social service, ILC Power Brand Awards are the most coveted prestigious & credible awards by an eminent panel of jury members, conferred to top leaders of the country. Iconic leaders like Ratan Tata, Mukesh Ambani, late former prime minister Rajiv Gandhi, Arvind Kejriwal, Priyanka Chopra, Kiran Mazumdar shaw, Narayan Murthy are few of the names who are the recipients of the awards in various categories. In the race for the coveted title are country’s top six experts in design & innovation. The Award Title & the six Finalists selected by Network 7 Media Group Jury for the Innovative Leadership in Luxury Brands Concept 2015 are .
Ms.Eina Ahluwalia. Voting Code (43)
Ms.Farah Khan Ali. Voting Code (44)
Ms.Nisha Jamvwal. Voting Code (45)
Ms.Renu Chainani. Voting Code (46)
Ms.Neelam Kothari. Voting Code (47)
Ms.Neha-Lulla-Kripalani. Voting Code (48)
Eina Ahluwalia makes jewellery that is inspired by life, jewellery that takes you on journeys within yourself and through time. Each piece is created with equal head, heart and hand; each jewel is unique and independent. Intricate fretwork and miniature sculptures imbued with meaning that serve as a personal reminder for you to wear. Her work tiptoes the line between art, craft and design, sometimes crossing over to fashion.Her signature style is intricate and exquisitely detailed, the delicate hand made fretwork which is a disappearing skill, with just a handful of craftsmen remaining. She has worked with them since 2003 and honed their skills to the level of perfection that the pieces are often mistaken as laser or machine cut. She incorporates this fretwork in every collection, and is working towards ensuring that this is not the last generation of master craftsmen with whom this skill will disappear, only to be seen in museums of tomorrow.Her label ‘Eina Ahluwalia’ is synonymous with luxury jewellery poised at the intersection of art, fashion and design. Each piece is intricate and intense, subtle yet strong. Rooted in tradition and imbued with meaning, her jewellery always has something ‘precious’ in it – sterling silver, semi-precious stones and a meaningful concept.Eina trained under the pioneering conceptual jeweller Ruudt Peters in Holland, and studied at Alchimia Contemporary Jewellery School in Florence, Italy. David Lamb – MD, Jewellery at World Gold Council has picked her as one of the hottest talents to watch out for. The label is a regular at Lakme Fashion Week, Mumbai with independent runway shows since 2009, and has been featured in magazines such as British Vogue, CR Fashion Book by Carine Roitfeld, InStyle UK, Stylist Magazine UK, Her World Singapore, Madame Figaro France, Zeit Magazine Germany, Marie Claire, Harper’s Bazaar, Elle, Grazia, Cosmopolitan, Vogue, etc.Her jewellery has graced the likes of New York-based fashion entrepreneur Fern Mallis, British pop sensation Delilah and film industry A-listers such as Freida Pinto, Sonam Kapoor, Deepika Padukone and more.Eina has showcased at art galleries and jewellery shows across the world. She was selected to show at the ‘Hot Under The Collar’ Exhibition at the SNAG conference 2012 (Society of North American Goldsmiths), and her Kirpan Necklace is featured in Lark Book Publishers collectors series ‘500 Art Necklaces’.Eina writes for several magazines & newspapers, and when she isn’t travelling the world gathering new inspiration and experiences, she is most often found bent over her workbench with her fretsaw….
Farah Khan Ali
Born in Mumbai on Dec 28th 1969, Farah Khan was the eldest of the 4 children of parents Actor-Producer-Director Sanjay Khan and his wife Interior Designer Zarine Khan. As a child Farah was an introvert and shy in nature. She did her schooling at Besant Montessori School and Jamnabai Narsee School after which she finished her BA at Sophia College in Mumbai. Not knowing what she wanted to do and having tried her hand at everything raging from Ad films to interior design and even television production, Farah’s foray into the jewellery line was purely by chance when she decided to accompany her friend on a whim to do a course in Gemology at the renowned Gemological Institute of America in Santa Monica, California in 1992. Farah Khan graduated at the top of her class in 1993 with a 97% and is now a well known and recognized Jewellery Designer and Gemologist.Farah Khan married Aqeel Ali (known professionally as DJ Aqeel) on 20th February 1999 and became Farah Khan-Ali. They have two children a boy Azaan who is 8 yrs and girl Fizaa who is 5yrs old.With 17 years of focus and experience in this field, she still feels like a creatively inclined soul who happened to come into Jewellery Designing by chance, only to discover that she was born for it. Despite having designed for some of the top Bollywood stars and people from India’s foremost business families, she insists on being a perfectionist who loves to please herself first so that so that she can eventually please her clients. She admits that she has to do everything well so that it all comes together eventually.The designer, who gives creative pursuits utmost importance, is a private person who behaves like a garrulous extrovert in the company of friends and relatives. Having years of experience behind her and a celebrity clientele of the who’s who, her brand, “FARAH KHAN” which was launched in February 2004 in Mumbai has grown from one outlet to three now. Currently Farah Khan will be opening her own flag ship store this year in Mumbai and also franchises with Om Jewellers in Mumbai, AKM Mehrasons in New Delhi,. For Farah, inspiration begins with a strong emotion. “You have to feel to be inspired. Design is not about getting inspired from what you have seen in jewellery, but the process of being able to find design wherever you go. Design can reveal itself to you whenever & wherever – be it through flashes of intuition or thoughts or dreams. It is pertinent to note that human beings think alike but it is their interpretation, which makes a difference. I am inspired through the process of life & my experiences of it.”. “My designs are flamboyant, ornate and adventurous. I believe that jewellery should make you feel like a princess when you wear it no matter how big or small the piece of jewellery is, it should be eye catching and make the wearer feel special.” – Farah Khan. Each & every piece from Farah’s jewellery line is crafted using the highest quality standards. Right from the metals used to gemstones & diamonds, Farah only insists on the best & does not compromise on finish. To Farah, every piece of her jewellery is very close to her heart, & one that is painstakingly created from the design stage to the finished stage using the best hands craftsmen in the country. Most of her pieces are limited pieces & are seldom repeated. Her clientele swears by her finish & keep coming back for more. Farah’s greatest satisfaction is a happy client. FARAH KHAN jewellery is distinctive in style. We emphasize on jewellery. That is intricate yet striking, bold yet feminine. Unusual colours combined with exotic gems set the basis for our novel designs. All our jewellery is set and crafted using the highest standards in manufacturing techniques thus never compromising on the finish. In a short span the label has become synonymous with setting high standards for style, quality, detailing, design and elegance. Our jewellery has a life and identity of its own. “When I play with precious gemstones its like creating an object of beauty and desire, one that outlives its wearer and brings a sea of memories with it when it is handed down generation.” – Farah Khan. Internationally Farah Khan has also designed for Swarovski where Farah Farah also took part in Swarovski’s Runway Rocks, which was show cased in Mumbai in April 2008 along with 9 other Indian designers and 14 international designers. Farah was the only Indian jewellery designer selected for this event. She then also took part in Swarovski’s 5th Anniversary celebration for Runway Rocks in London in June 2008 along with fellow India fashion designer Manish Arora and a host of top 25 international designers. Her piece drew a lot of attention and made news in London’s “Daily Telegraph” newspaper. Farah Khan was featured and Interviewed in the Gemvision 2009, a book on forthcoming trends in the jewellery industry from Swarovski where she used genuine gemstones. She created a ruby and pink sapphire bracelet inspired from the soft petals of a Rose. Farah’s designs were also featured in Swarovski’s Gemvision 2010 where she designed a snake bracelet cuff and a snake pendant. This year too Farah Khan was asked to design for Gemvision 2011 and has designed a Peacock cuff that was showcased at the International jewllery Trade fair in Basel in April 2010. In June 2009, Farah showcased her designs at the 10th anniversary celebrations of IIFA (The Indian International Film Awards) in Macau where she was the only jewellery designer to singularly have more than 10 Bollywood personalities wear her jewelllery on the Green carpet a feat never achieved before. Farah Khan’s jewels made an everlasting statement at IIFA this season. Farah Khan also designed jewellery for the hit Television Show Rakhee Ka Swayamwar where she designed Rakhee Sawants Bridal Jewellery. The Show was which was telecast in 2009 grossed the highest TRPs at that time. In October 2009 Farah Khan showcased her couture jewellery collection “Cascades”. for the HDIL Couture Week 2009 that explored the natural flow and forms created by cascading fabric across a woman’s body thus capturing this graceful, ethereal elegance into handcrafted jeweled ornaments. The Cascades Collection unveiled new necklines in jewellery and was an ode to the varied moods of feminity from innocence to sexy. Rich tones of precious coloured gemstones such as Emerald Greens, Rubelite Pinks, Tanzanite Blues and Yellow Diamonds formed the vibrant colour palette. For the first time Farah beautifully merged the old with the new using the traditional Indian “Jadau” techniques in jewellery along with Diamonds set in 18 kt Gold. HDIL Couture week was held in Mumbai at the Grand Hyatt in Farah’s showstoppers were actress Genelia Dsouza and her sister Sussanne Roshan who stole the show with her fabulous jewels. Farah at present is looking forward to opening her own flagship store in Mumbai this year as well as to expand her franchise stores internationally. Her advice to those looking to pursue a career in jewellery is to be passionate about what you do and to “think out of the box”. Only then you will succeed for the road less traveled is more exciting as you may discover more things on the way. Be diligent and focused. Do not get disheartened by failure and push harder to reach your goal. Farah Khan was awarded the best Jewellery Designer Award by the Lions Gold club in January 2010 this year and was also received the DNA award for society’s most stylish swan. Due to her penchant for tweeting Farah was selected as the TWITTER ambassador for WILLS LIFESTYLE INDIA FASHION WEEK this year thus replacing actress Gul Panang who was the Wills Twitter Ambassador last year. Farah covered the WILLS LIFESTYLE INDIA FASHION WEEK in Delhi between March 24th – March 28th where she tweeted live from the venue about fashion and the designer shows. Says Farah Khan who is celebrating 17 years in the business – my jewellery is a celebration of today’s woman who is feminine yet strong, graceful yet determined. It is about a real woman, one that is sensual in her being and confident in her existence, a woman who is beautiful inside out……………..A true “Farah Khan” woman who can carry of a piece of jewelery with understated flamboyance and make a definite style statement.
Nisha is a Columnist & Luxury Brand Consultant who consults with ZOYA by TATA, and other luxury brands . She has conslulted with Diago, Carlsberg, Swarovski, and done branding events for Natures Basket, Lancome & other International brands. Columnist & Writer – Nisha is a columnist with newspapers & magazines & on the advisory board of Good Homes. English Literature & Art education translated into two books on Traditional Indian Craft & preserving ancient traditions of Craft. Nisha is an award winning Interior Architect/ Designer who designs, remodels & refurbishes residences, prominent offices & restaurants & is on the advisory board of Design Institutions. Television Anchor, Compere & Celebrity Model Endorsements, MC- Nisha has hosted ‘Home Shanti Home’, ‘Meri Seheli’ on Star one, and Star tv, and hosted several stage extravaganza’s Contemporary Art -Nisha is an Art curator & columnist, having curated & hosted shows for leading artists in Contemporary Indian Art. Known for her aggressiveness in taking on big names, celebrities & pen down realistically in her own inimicable style of presenting, Ms. NishaJamvwal who is very often spotted at page 3 events & hosting big bash for the people who matter, is best known for her Celebrity Satire gunned at the rich & beautiful. Nisha is often at the receiving end of bringing the star fights, break ups & gossips of the Bollywood personalities as Nisha puts it in her own words “Life to me is a journey of discovery, adventure & study in different creative fields!, I live & work in a creative erratica of words, images, objects!, I paint, I write, I design – involved with the world of contemporary art & architecture through it all.I have studied & journeyed & learnt & adventured all over the world, – Bombay, Delhi, Madras, Paris, Tokyo, Sydney, Brisbane, California & learnt & loved it all – travelling has been the greatest study in my genesis!. Life has been beautiful, annoying, tragic, ecstatic, all part of the learning curve. Every experiment in life has been a step in my journey of growth and self-discovery, a kaleidoscopic part of life that enriches the fabric of my work & existence. Without these, life would be a meaningless transition from the womb to the tomb and this often entails some mistakes, some triumphs, but that’s the enriching of the fabric of life ….Some people whom are unacquainted with my work, inquire after me, my work, and what it is that I ‘exactly’ do”. NishaJamvwal is an an aesthete, a lover of the arts and a professional interior architect who has chosen to work with all media of design & art, created and spearheaded the brand ‘NishaJamVwal Design’ in Fashion as well as Interior Design, she have also modeled , compeered shows on stage & Television, and done a few vignettes in Bollywood .As a prolific writer, Nishahaa written books on Art, Craft & Sculpture & has multitasked to give a shot in the arm to all the things that she does, and broken the walls between all creative worlds in design, fashion, interior architecture, writing, art, and not really believed in ONE single path.As a columnist, luxury brand consultant, writer, social activist, inveterate traveler, aesthete-interior architect with passion for the art, history, astronomy, Nisha is an interior architect, designer who designs, remodels & refurbishes residences, prominent offices & restaurants.she has lived worked & studied in India, California, Japan, Paris, Australia.Not surprisingly ,The NISHA JAMVWAL fashion label has generated intense interest, created new trends and formed a following in a short span o. The brand has also, ever since its inception, lent an altruistic feel and a philanthropic fervor to fashion. The debut trend setting fashion show had women of substance in different sizes walking the ramp breaking accepted norms of ‘sexy’ or ‘beautiful’ after which many followed suit. The label came together with Chris Cairns for the cause of providing education and opportunities for underprivileged children to create a memorable show.BrandNishaJamVwal spans Interiors and Lifestyle along with Fashion- couture and pret.‘NishaJamVwal’ that had initially made its mark in interior architecture & lifestyle diversified into fashion & had held six shows in four cities.Some acclaimed shows were with the Chris Cairns Foundation, Nokia, Deutsche bank, The American Women’s Society had film stars and famous socialites walk the ramp in the truly dramatic, and risqué style that NishaJamVwal Couture is known for & sold the designer prêt label at Ogaan, Amaara, Mogra, Cypress, Samsara, Ffolio, Collage, Crossover Bollywood Se, Fuel, Zoya , Ffolio and Collage. The brand spread its wings all over the country and also made its entry into the international scenario until it was time to take it to another level.
Renu Chainani is the CEO & Founder at Eastern Treasure Lifestyle. Eastern Treasure Life Style, a lifestyle store at Bandra, Mumbai is a whole new world of aesthetics, structures and shapes: all brought to life through a breathtaking array of furniture and accessories. The store stems from the flagship store in London “Downtown Interiors” by Renu V. Chainani and sister Rita Chulani. Started and founded by Renu Chainani (KLC School of Design, Chelsea Harbour London) and Rita Chulani in 1998 in both the UK and India. Rita Chulani led Eastern Treasure Life Style Manufacturers and retailers of luxury home and office furniture and accessories.Designers of bespoke and personalised pieces.Interior design and decoration services – residential as well as commercial.Sourcing and accessorising services through their data bank of suppliers in India as well as China, Europe and Indonesia.Specialists in wall coverings – Vast collection of customised and embossed leathers. Services include designing and application.Exporters of leather home and office furniture from India for 12 years. Supplier to Hotels and Corporate Companies in India as well as Internationally.UK office – Downtown Interiors – Complete Interior Designing and Decoration Services in the UK. Collaborators on outfitting personal homes with crockery, linen and decorative accessories from brands like Lalique, Baccarat, Daum, Hermes, Christophe, Robbie Berking only to mention a few.
Neelam Kothari Fine Jewels has been the pioneer in creating very exclusive and fine handmade jewellery. In her jewellery, she usually uses very good quality diamonds, Columbian emerald and Burma rubies. At the same time she also keeps her pricing competitive for the local customers in India. The store in Bandra, one of the up-market suburbs in Mumbai, has a large number of various hand-made jewellery designs on display like necklaces, earrings, pendants, bracelets and rings. Keeping in mind the festive and bridal season, Neelam’s new collection consists of necklace set, cocktail ring, earrings and bracelets. Less is more for Neelam’s store. Without going overboard with the store interiors, Neelam wanted her jewellery to attract the attention of the visitors. Simple wooden display units, conventional lighting equipments play perfect second fiddle to the exquisite range of jewellery designed by Neelam. The simplistic character of the store interior would invariably draw the visitors to the kind of products Neelam wants to showcase. Neelam Kothari is a British Indian jewellery designer and former actress. She was one of the leading and popular actresses of the late 1980s and 1990s. Neelam Kothari was born in Hong Kong. As a child, she learnt to play the keyboard & danced Jazz Ballet. Her family has a traditional jewellery making business, making high-class pieces. After her early childhood in Hong Kong, her family moved to Bangkok. Neelam was holidaying in Mumbai when she was approached by director Ramesh Behl. She decided to give acting a shot and performed in the film Jawaani in 1984 alongside Karan Shah (Tina Munim’s nephew). But the film was a flop. She soldiered on ahead and became famous in 1986 for her role in the film Ilzaam opposite the debutant Govinda. She starred opposite Govinda in 14 movies and 8 were hits such as Love 86, Ilzaam (1986), Sindoor, Khudgarz (1987), Hatya (1988), Farz Ki Jung, Taaqatwar (1989) and Do Qaidi (1989). She had 5 hits opposite Chunkey Pandey like Aag Hi Aag (1987), Paap Ki Duniya (1988),Khatron Ke Khiladi (1988),Ghar Ka Chiraag (1989),Mitti Aur Sona (1989) of the 8 she did with him. But after 1990 their next 3 films as a pair were failures. However her career’s biggest hit remains Ghar Ka Chiraag opposite Rajesh Khanna in 1989. Box Office success left her from the early 1990s. Her roles, including the one in Ek Ladka Ek Ladki opposite Salman Khan, Pratigyabandh, Doodh Ka Karz, Parampara, Banjaran, Ranbhoomi and films like Indrajeet, Agneepath, Gharana, Amiri Garibi, Afsana Pyar Ka were flops and thus taking her career into decline. She was also noticed for her appearance in the 1998 film Kuch Kuch Hota Hai, where she played herself as a VJ. In 1999, she appeared in supporting role in the multi-starrer family film Hum Saath-Saath Hain: We Stand United. Her last release was Kasam in 2001. Even while pursuing her career in acting, she was interested in jewellery designing and involved in her family business. She pursued a formal course in jewellery-designing in Mumbai and, after quitting films in 2001, started out commercially on her own under the name Neelam Jewels. She opened a showroom in Mumbai in 2004. She then launched her jewellery store in Mumbai on 25 August 2011 under the name Neelam Kothari Fine Jewels.
Neha Lulla Jewellery has created a niche for itself and the brand is known for its superior craftsmanship and stunning designs. Neha’s statement pieces have adorned several Bollywood celebrities, who have been spotted wearing them at red carpet events and parties. She retails out of her by-appointment-only tony boutique in Mumbai. Neha Lulla says that My Passion, The urge and the forever fascination to design, create my own line of jewelry. NEHA LULLA JEWELLERY, is modern, mesmerizing, intriguing, adding an edge to ones personality.
The Award Selection Criteria
This Award Category Innovative Leadership in Luxury Brands Concept 2015 demonstrates significant achievement in individual accomplishments of bringing innovation, style & richness in packaging, India has always had a rich tradition of luxury. Addressed as the Golden Bird, India has experienced Maharajas and Nawabs who had refined tastes and were connoisseurs of luxury. Describing luxury as “balance,harmony and beauty of human race‖, the luxury market in India garners huge attention and is sometimes seen as a sign of India having “arrived”. The innovator be it in Jwellery designing or interior decoration or a top luxury brands believe in relationships where a brand is built on reputation, passion & craftsmanship. The consultant or the professional will never make the clients believe that making a design is based solely on its certificate. Indian Affairs is looking for a winner who does not think a designer tab is merely a profession, but it an identity, offer you transparent, reliable, and comparable information to do your due diligence – the hallmark of a great innovator.
Historical Facts, Current Trends in Luxury Brands & the Roadmap for future
The luxury concept has throughout history played an important role in social life by being a clear indicator of knowledge and social class which has not changed at present but only becoming catchier. Today, the demand for luxury brands is ever increasing and brand offering is continuously on the rise. The luxury market is expanding rapidly in India on the back of economic deregulation, fast GDP growth, wealth (re)generation, increasing per capita consumption, and a growing young working population. Wealthy Indians represent a source of enormous potential for global luxury brands.
India’s growing luxury market is set to exceed $10 billion-mark by 2014 boosted by a new class of wealthy termed as the ‘closet customers’ who have have joined the traditionally rich contributing to higher luxe sales, the impact of the economic slowdown in 2013 has impacted the luxury market to a certain extent but it recovered & the market is expected to revive and continue its growth trajectory and grow at nearly 17 per cent in the year 2015. From about $3.66 billion in 2007, the luxury market has more than doubled to $7.58 billion in 2012.According to industry experts, India could emerge as an important luxury market in the next decade but pricing will continue to play a key role in expanding the market. As of now, India’s luxury market is much smaller compared with $318 billion globally but the 1.2 billion populations, which contains affluent consumers, makes it very appealing.India could become an important luxury market in the next decade. However, right pricing is very important. A luxury brand cannot bring down prices just to attract more customers, to make it more affordable. Premium pricing is essential to ensure the brand exclusivity.The luxury market in India is slated to grow at a compounded annual growth rate of over 17 per cent for next three years. the real challenge is ensuring brand loyalty from customers.For luxury companies, making brand familiar is the most important challenge. The next is to ensure that customer remains loyal to the brand. Luxury is no longer restricted to the rich & famous alone; the new age or ‘closet consumers’ who do not typically fit into the boardroom definition of luxury consumers are staking claims to luxury products, brands and services as well, but on their own terms.
The Award ceremony will be held on 21st August 2015 in a glittering evening where the country’s top leaders from all spectrums of the society & the result will be announced.
India Leadership Conclave Awards 2015
At India Leadership Conclave’s ILC Power Brand Awards are the most awaited, credible & prestigious titles conferred to top performers & achievers for bringing a transformational changes in their respective fields while others could not dare to risk & venture into. Indian Affairs Business Leadership Awards also repackaged as ILC Power Brands signifies the importance of a winner whose persistent initiatives in making a change in style, approach & leadership are recognized by the eminent jury members of the Network 7 Media Group. While individual accomplishments in innovation, leadership drive & sustained campaign has driven & impressed the voters in india to chose the top leaders, corporate houses, social organizations, educational institutions & public service firms are selected based on a meticulous selection process & methodology involving the stakeholders, public at large & industry experts. The real thrust is focused on abilities to stay unafraid amidst the uncertain times & unleashing the challenges to make india proud. Indian Affairs Award Winners are those leaders who have a story to tell you of their road to success. We have heard them, have you?
Subrata Roy is one of India’s most flamboyant and enigmatic tycoons.The rags-to riches story of the chairman of Sahara, which became one of India’s biggest business groups, has made him a household name in India.The group, worth 682bn rupees ($11bn; £6.6bn), has businesses ranging from finance, housing, manufacturing, aviation and the media. It also has interests overseas – it owns New York’s landmark Plaza Hotel and London’s iconic Grosvenor House.Sahara also sponsors the Indian hockey team and owns a stake in Formula One racing team, Force India.With more than 1.1 million workers, the group is also India’s biggest private sector employer.Mr Roy is often in the news for his larger-than-life image, colourful lifestyle and considerable political connections.
The Empire of Subrata Roy may soon be a story for history students as Sahara Chief Subrata Roy’s flamboyant lifestyle has mix of success & blunders!
He counts Bollywood superstar Amitabh Bachchan among his friends and rubs shoulders with the likes of former British Prime Minister Tony Blair.
At the wedding of Mr Roy’s two sons in 2004, festivities lasted nearly a fortnight. It was billed as the Indian marriage of the century, and it lived up to the hype.
Over 10,000 guests – a veritable A-list of India’s power set, including business moguls, Bollywood idols, cricket stars and fashionistas – were airlifted to Lucknow by special chartered planes. Then Prime Minister Atal Behari Vajpayee also flew down to bless the newly-weds.
The Empire of Subrata Roy may soon be a story for history students as Sahara Chief Subrata Roy's flamboyant lifestyle
Critics say Mr Roy runs his company like a cult, referring to himself as the “chief managing worker” and guardian of the “Sahara parivar (family)”.
The Sahara boss has an opulent lifestyle – he has a fleet of private jets and helicopters and one of his mansions is modelled on the White House.
Another residence – located in a private city he has built at a cost of tens of millions of dollars – is a replica of the Buckingham Palace.
According to reports, he owns a fleet of Rolls-Royces, Bentleys and BMWs.
The 65-year-old lives in Lucknow, the capital city of the northern state of Uttar Pradesh, and is often named among the most influential businessmen in the country by Indian news magazines.
But at the moment Mr Roy is in the news for the wrong reasons – he has been arrested for failing to appear in court over refunds to millions of investors.
Two of his firms raised nearly 240bn rupees ($3.9bn; £2.3bn) through illegal bonds five years ago and authorities say he has failed to refund the money despite a court order. Mr Roy has issued a statement setting out his case and denying reports that he was avoiding court appearances.
Sahara also disputes the amount of money it has to pay back.
From a company with an asset base of Rs 2,000 in 1978 to the biggest private sector employer in the state of Uttar Pradesh- – where there are hardly any sources of employment, industry is collapsing and the state’s economy is ailing — the Sahara India Group stands out as a major Indian corporate group with diverse business interests.
Subrata Roy its Managing Worker has a very wide canvass which runs from finance, Infrastructure & Housing, Media & Entertainment, Tourism & Hospitality, Consumables, Manufacturing and Services & Trading. Some say Sahara has an asset base of Rs 60,000 crores. For others he is a God. He has a stature beyond mortals and his lifestyle would put the nawabs of Avadh to shame. The house he lives in at Sahara Shahar is reported to be in a 150-acre campus in Lucknow’s prestigious Gomtinagar colony. Roy began his career selling salted snacks in Gorakhpur for a living. His father who used to work in a sugar mill died and the Roys then shifted to Delhi.
After a takeover of a finance company, he began Sahara India in Lucknow. Roy always wanted to enter the housing and infrastructure business so Sahara was always having a thrust in real estate investment at a time when real estate began to see a boom and Uttar Pradesh’s cities began to experience mushroom growth. Sahara had latched on to the real estate business at the right time.
Roy maintained a lifestyle where the corner stones were encouraging patriotism for Mother India, promoting sports and encouraging the media. He always wanted to be a media baron and his first venture in the field was a tabloid called Shane-e-Sahara.
Roy soon realised that the world of the media required more investment. The investment came from his chitfund schemes where Sahara started recurring deposits and daily deposits even as small as Rs 10 a day from small traders who were wooed with lucrative returns. Since the investor base was so large this added up to thousands of crores worth of funds.
Sahara then established its presence in Aliganj, Lucknow, by buying several highrise buildings there. The Sahara India office had come up for good. Later another building was taken up and Roy realised his dream of owning a media empire. The Rashtriya Sahara group of newspapers and TV channel were a far cry from Shan-e- Sahara. The organisation spread to Noida and several senior journalists who were earlier critical of Roy and his finance company began to work for him. The collapse of the paper founded in Urdu for the Muslim population of Uttar Pradesh – the Quami Awaz – paved the way for the successful launch of the Urdu Rashtriya Sahara which is today reported to be the largest circulating Urdu daily in UP, Delhi and parts of Bihar.
Sahara had by now set up base in Mumbai and several other cities. Its projects went from housing to hotels to hospitals. The most modern and biggest hospital in Lucknow is the Sahara Hospital today.
The life style of Subrata Roy Sahara rivalled that of Saddam Hussien and kings and monarchs. Politicians, film actresses and actors surrounded him. Sahara was also in the business of film production. But Roy did all this because he knew that he had to brand his company and create investor confidence in the state. The best and easiest way was to organise lavish parties and promote sports. The Sahara tee-shirt became visible on sportspersons all over the world wherever Indians played. With Bipasa Basu, Aishwarya Rai, Shilpa Shetty and several others being at Sahara social get-togethers branding the company was never an issue and investor confidence rose and rose. There were several who tried to imitate the Roys but they came in late and could not sustain competition with Sahara.
The lack of banking services in Uttar Pradesh made it easy for Sahara agents to collect funds from every nook and corner of the state where traders invested blindly in Sahara. Roys growing political connections, his closeness with the Samajwadi Party led to his meteoric growth. The Sahara Ganj came up by cutting a prime property in Lucknow by half the Carlton Hotel and was the first mall to come up in the city.
With Mulayam Singh’s regime out the Roys were reportedly in the shadows for some time. But by now their branding had changed. The salute in Sahara was now longer good Sahara it was Sahara Pranam – a form of salutation introduced by Amar Singh when he was the right hand man of Mulayam Singh Yadav and a member of the Sahara Parivar.
Today, however, the man from Gorakhpur is cooling his heels in a guest house in the Kukrail Forest under the watchful eye of the Uttar Pradesh Police who have to produce him before the Supreme Court on March 4.
When Roy claimed a witch-hunt by the Cong
On November 30, 2013, Roy held a press conference in Kolkata alleging that his group had become the victim of a political vendetta. This report widely available on the internet and carried in several leading English dailies says that Roy believed that this vendetta was unleashed against his group for his comment in 2004 that the country’s prime minister should be an Indian by birth and not someone of foreign origin.
In this press conference, Roy also indicated that he would prefer Narendra Modi as the new prime minister to Rahul Gandhi because even though both Rahul and Modi had no experience as the prime minister the world had seen Modi perform as the chief minister of Gujarat.
The reports on the internet state that while articulating his stand that the PM should be an Indian by birth, Roy had not taken any name.
However, this comment was seen as to have been aimed at the Congress president Sonia Gandhi who had seemed set to take over as PM when the UPA came to power in 2004. Gandhi had on her own will stepped down in favour of Manmohan Singh contrary to what Roy believed. Roy in the press conference seemed to have alleged according to the reports that the actions against Sahara were being driven by a section of Congress leaders and financial regulators who wanted to curry favour with Gandhi.
There were several who tried to emulate Roy and failed
Roy’s rise impressed many. There were several wannabe finance companies that came and collapsed in Uttar Pradesh. To name a few there was the INCAN group, the Kuber Group, Lions Finance, Megabyte Leasing and Finance and several others like Magnum Finance. Their names are immaterial but the modus operandi was the same. The companies could not pay back the money and they were forced to close down and flee when the law became strict. They emulated Roy’s style of branding by partying and currying favour with the rich and powerful but failed to sustain it and finally fled over night. They left behind stranded employees and broken dreams and police investigations. The 1990s in Uttar Pradesh and Bihar were full of stories of a lot of dreams gone sour. With the exit of the finance companies came the survey companies the biggest and most shocking scandal to rock India was that of Speak Asia.
Roy loved to promote the Durga Puja and cricket
The finance wizard and real estate magnate and media baron had two passions. He loved to promote sports ranging from hockey to badminton to cricket. Several sportspersons began their career with support from the Sahara Group. The Roys reportedly made it a point to attend the Durga Puja every year at the CR Park in New Delhi as they feared they would be mobbed if they went anywhere in Lucknow.
His younger brother J B Roy took care of the media business when Roy’s health failed him. His mother who has been ailing for quite some time was attended upon by Tirlochan Singh, who has worked for Sahara. When Roys health failed the rumours in Lucknow were that Roy had died and his son had undergone plastic surgery to look like him to prevent investor panic. There are reasons for this fear. For if Sahara India were to shut down today so would the kitchen in more than 10,000 workers and lakhs of field and commission agents who depend on the organisation for their bread and butter.
Bold and the beautiful
His lifestyle rivalled that of the world’s richest and most powerful.
With Amar Singh in tow in the Sahara India Parivar saw phenomenal growth and branding. From Amitabh Bachchan to Aishwarya Rai to Bipasa Basu to Jaya Prada and Shahrukh Khan and several starlets of the Mumbai film world to Nafisa Ali, they all were seen at some Sahara get-together or the other.
Sahara Shahar where Roy celebrated the wedding of his two sons, was the envy of Lucknowites and every one wanted to be invited to it. Only very senior officials, ministers and politicians however made it there. It was from here that Roy exited from the rear entrance to go and surrender before the police on Friday.
During his heydays, Roy would never have imagined that a time would come when he would have to do so. So surrounded was he by wealth and social climbers.
Many would call this the most controversial book of the year. Others would hail it as a fine piece of investigative journalism.
But Tamal Bandyopadhyay’s Sahara: The Untold Story, which was released in the Capital on Wednesday evening by former Comptroller and Auditor General Vinod Rai, is all that and more. In his second book, Bandyopadhyay, a well-known business journalist, has attempted to narrate the story of the largely unlisted Sahara India Pariwar and its ongoing legal battles with market regulator Sebi.As was expected, the book evoked the ire of the Sahara Group, which slapped a Rs 200 crore defamation suit against the author and got a stay on the publication of the book. A settlement between the two parties ensured that the book saw the light of the day, albeit with a detailed disclaimer by the group. “This book is a product of painstaking research and in-depth interviews with a cross-section of professionals across the country,” said Rai, who lauded Bandyopadhyay for the excellent journalism that forms the backbone of his work. The highlight of the book, however, is an exclusive interview with Sahara founder Subrata Roy. While Sahara’s disclaimer says the book has “defamatory content” and “insinuations”, Bandyopadhyay begins his story right at the beginning, long before Roy got into trouble with the RBI and Income Tax department.Bandyopadhyay, who studied thousands of legal documents, affidavits and court judgments to do his research, also remembers buying a packet of Davidoff cigarettes and a bottle of Grey Goose vodka (even though he enjoys neither) to appreciate the finer tastes of Roy.
Dr. Datsons Labs gain momentum post strong export order, surges in continuous green!
Dr. Datsons Labs & Biocon outperform despite Sensex drops 189 points to end below 28,000, up 0.83, or 4.95% with volumes of 464,110 shares against the previous day close of 16.76. It is expected to be in the range of 30 in coming days in view of the strong interest in this scrip.
Friday, 24th April 2015, Mumbai, Maharashtra, India. The benchmark Bombay Stock Exchange (BSE) Sensex on Thursday surrendered its early gains to settle lower by 155 points at 27,735.02 as blue-chips took a beating on persisting concerns of foreign investors on tax claims despite governments clarification.The 30-share barometer closed at 7,735.02, 155.11 points or 0.56 per cent lower. Tata Steel gained the most as the shares rose by 5 per cent to close at Rs 368.70 apiece, whereas Sun Pharma emerged as the biggest loser of the day with its shares closing 2.55 per cent lower. On similar lines, National Stock Exchange (NSE) index Nifty closed 31.40 points or 0.37 per cent lower at 8,398.30. The key stocks that made news today were:
Pharma : Dr. Datsos Labs Ltd.
The Mumbai based API & Bulk Drug major is surging in business after it received mega orders from both india & abroad, it is also believed that the company will soon have new promoters & will concentrate more on branded formulations & food supplements with Eubage’s partnership. The deal with Ochoa Labs will give Dr. Datsons a new lease of export business besides other clients. Dr. Datson Labs is among the low prices shares that were actively traded. The share closed the day at Rs 17.59, up 0.83, or 4.95% with volumes of 464,110 shares against the previous day close of 16.76. It is expected to be in the range of 30 in coming days in view of the strong interest in this scrip.
Biotechnology : Biocon
Biocon, the Biotechnology firm, on Wednesday filed prospectus with market regulator Sebi for the initial public offer (IPO) of its research arm Syngene through which it aims to raise around Rs 600 crore that will be used to fund its R&D programmes. On Thursday, the shares closed 4.15 points or 0.91 per cent lower at Rs 451.95 per share.
Banking : YES Bank
YES Bank, India’s fifth largest private sector lender, announced on Wednesday that it will raise $1 billion by selling shares in local and overseas markets. Shares of the bank closed at Rs 851.40 per share, up by 6.99 per cent on Thursday.
Aviation : Jet Airways
Jet Airways announced on Wednesday that it will seek shareholders’ approval next month to raise up to $400 million (over Rs 2,500 crore) through issue of securities on private placement basis. Reacting to this, the shares of the carrier closed at Rs 412.60 apiece, down by 0.67 per cent.
Banking : HDFC Bank
HDFC Bank, India’s second-largest private sector lender, on Thursday reported 21 per cent rise in its net profit at Rs 2,806.91 crore for the fourth quarter ended March 2015. As a result of this, shares of the bank closed at Rs 1013.50 apiece, down by 0.14 per cent. On Thursday, the shares closed 4.15 points or 0.91 per cent lower at Rs 451.95 per share.
Cultivated land on India’s farms has declined 15% over 25 years, according to government data analysed by IndiaSpend, reducing foodgrain production and portending new pressures as more land is set to be acquired for industries.
Sources: Estimates of total area cultivated based on unit-level data from different rounds of NSS Surveys of Employment and Unemployment. Data on net sown area are taken from Agricultural Statistics at a Glance, Directorate of Economics and Statistics, Ministry of Agriculture, Government of India.
While net sown area includes orchards and crops, cultivated area covers only crops. Land sown with crops declined from nearly 87% in 1987-88 to 72% in 2011-12.
IndiaSpend’s recent reports have been focusing on the farm crisis in India with case studies of Bundelkhand farmers. We have also reported on the decline in farmers across India.
The Bharatiya Janata Party (BJP)-led government at the centre is trying to push through a controversial land acquisition act, and that might reduce the land available for farming.
The most controversial change proposed in the new act is the exemption of five categories of projects—industrial corridors, public-private partnership projects, rural infrastructure, public housing and defence projects—from getting the consent of 70% farmers of the area.
Reasons for the decline in cultivated land include a drop in households owning land in rural India and a decline in the proportion of households dependent on manual labour and farming, according to a study by the Foundation for Agrarian Studies, using data from the National Sample Survey Organisation (NSSO), an organisation run by the Ministry of Statistics and Programme Implementation.
To analyse how the drop in cultivated area has affected India’s food sufficiency, we matched the availability of foodgrains (cereals and pulses) to the decrease in cultivated land. The decline is clear:
Source: Economic Survey 2014-15
Key problems with agriculture in India are related to low yields and production, asIndiaSpend has previously reported.Foodgrain availability has declined from 471.8 grams per capita to 453.6 grams per capita over the last four decades.Let us now look at another angle: yield, which has been improving over the decades.
Source: Economic Survey 2014-15
So, foodgrain yield has almost doubled between 1980-81 and 2013-14 while oilseeds and cotton have also witnessed 116% and 250% rise in yields respectively.Despite its fluctuating farm fortunes, India is among world’s top producers of food crops, according to UN’s Food and Agriculture Organization (FAO).
Rank in world in production
Rank in yield among top 5 producers
Root and tuber
Source: FAO Statistical Yearbook 2013
While India figures among the top producers, yields across agricultural products are low, as these data show:
Source: FAO Statistical Yearbook 2013; *Data for Russia’s fruit yield isn’t available and is marked as 0; 1 hectogram (hg) is equal to 0.1 kg or 100 gm
With India gearing up for rapid progress and all-round economic growth in the coming years and that too under a stable and development-oriented government, it undoubtedly seems to have the potential to emerge as the world’s next miracle economy. Emphasizing that the country is set to record a 7.4% growth in fiscal 2014-15, the latest Economic Survey foresees India’s GDP growth for 2015-16 hovering between 8.1% and 8.5%. It could even grow faster.The government report, compiled by Arvind Subramanian, a renowned development economist, has also asserted that the nation is on track to hit double digit growth rates in the coming years. Revealing that Asia’s third largest economy was building up growth momentum, the survey has affirmed that our country is set to emerge as the world’s fastest-growing big economy in the current year.
Meanwhile, former Reserve Bank of India (RBI) Governor D Subbarao has asserted India has what it takes to push past China as the region’s economic powerhouse. The International Monetary Fund (IMF) and the Asian Development Bank (ADB) also seem to share similar views. While IMF foresees India emerging as the fastest-growing major economy as China’s growth slackens, the ADB says India’s efforts to eliminate entrenched bottlenecks will enable the country to improve its growth to 8.2% in 2015-16.Compared to China, India currently has two major advantages – a young workforce and a democratic political system. Furthermore, the election of the nation’s most stable government in 30 years, easing inflation due to fall in international crude oil prices, improving public finances and other such developments augur well for India’s economic lift-off.
The latest CII Business Outlook poll says business confidence of India Inc has lately improved on the back of Central government’s pro-reform approach coupled with expectations of higher economic growth and moderate inflation. In another indication of macro-economic strengthening, around 72% of respondents foresee current account deficit (CAD) in FY15 to be lower than 2.5% of GDP.About 58% of respondents expect sales and new orders to surge during January-March 2015, up from 53% in the previous quarter. This expectation is rooted in optimism about the overall demand situation as confirmed by another sentiment indicator, the Consumer Confidence Index, which shows improving consumer sentiment and happier consumers.
As forecast, if India’s economic growth accelerates to 8-8.5% during the current year, next year it will rack up 9-10%. Then in successive years, our economy will grow much faster. To make this happen, the latest Union Budget has promised higher investment in India’s decrepit roads and railways. To attract private sector investments, our government has promised the carrot of tax cuts to global companies, while drawing out the stick of tighter rules to persuade Indian firms and business tycoons to invest at home rather than stashing their wealth abroad.Moreover, during its 10-month rule till date, the Modi government has brought a perceptive change in the system of governance by ensuring transparency and ending the reign of scams and policy paralysis, while also changing the political culture in the country.
Thus, if everything goes well as planned and predicted, then India will grow much faster than any other large country over the next decade and more. Rapid and sustained growth in a country of 1.25 billion people will be quite exciting, to put it mildly. It will do wonders on various fronts while also creating a better infrastructure and lifting hundreds of millions of people out of poverty.However, hardcore cynics are skeptical and they believe such forecasts are just not going to come true. According to them, India has a lot of catching up to do on various fronts. Innumerable reforms that will benefit business and industry would have to be enacted. Moreover, more than 110 million jobs will have to be created before 2025 for the job aspirants who will enter India’s workforce over the next decade.
Taking into account the above facts, the Central government has already initiated efforts to create the stable expansionary macro- and micro-economic conditions coupled with the required framework and enterprise support policies under which business and industrial growth will flourish and ensure robust productivity. This will create lots of employment opportunities, which in turn will improve the purchasing power of those taking up new jobs.
These new workers will demand more housing, health services, transportation, financial services, entertainment, groceries, hospitality, education, etc, which in turn will generate more jobs across all segments. Thus the process of wealth generation and asset creation will commence as all of them will get paid for the work they do and also spend on goods they need. This additional spending and more demand will set in motion a virtuous cycle of economic expansion.Of late, everyone has started talking about how quickly the Modi government is moving on a host of sectors – from policy reforms to new program. And the way he is intent on making things more transparent and easier for businessmen. Moreover, several reforms that will give a major boost to business and economic growth have already begun to inch forward towards enactment.
For instance, the ambitious ‘Make in India’ program was announced first, promising the investors rapid response times and all help for new project clearances. Secondly, as soon as the Supreme Court came out with a decision on coal block cancellations, Modi government immediately announced that auctions would be held soon, and the ordinance that followed was widely appreciated by even those whose blocks had been cancelled.The government then unveiled labour reforms for small and medium industries, followed by self certification of documents by citizens themselves in lieu of attestations by gazetted officers. Announcements of irrigation projects, environmental clearances and others followed. It was not just an announcement a day without follow-ups. Some 40 projects that had been stuck for lack of environmental clearances got the nod. About 181 projects are now getting off the ground.
The Pradhan Mantri Gram Sinchai Yojana, which seeks to take irrigation water to each and every field in the country, has also been launched. It includes a soil health card for farmers that will have information on the status and production capability of the soil. These steps will enable farmers to transform their rain-fed fields with one crop a year to irrigated ones with three crops a year. This in turn could double India’s agriculture productivity and boost farm income and food supply.Moreover, a uniform national sales tax called Goods and Services Tax would replace the confusing patchwork of state and local levies with effect from April 1, 2016. The government is currently trying its best to build a consensus on its land acquisition Bill that seeks to simplify and speed up sales of land for infrastructure, factories and so forth. Though the Bill has already been cleared by the Lok Sabha, it is now awaiting Rajya Sabha approval. In case the Ordinance lapses on April 5 due to opposition from different political parties, the NDA government plans to bring its amended Bill through a fresh Ordinance before Parliament convenes on April 20.Furthermore, with the aim of nearly doubling India’s exports of goods and services to US$900 billion by 2020 from US$465.9 billion in 2013-14, the Union government has also unveiled its Foreign Trade Policy 2015-20. The five-year FTP, which lays down a roadmap for India’s global trade engagement in the coming years, will provide several incentives to exporters and units in the Special Economic Zones in a bid to boost export of agriculture products and integrate Make In India and Digital India initiatives of the government.Thus, if one looks at its track-record so far, this government has been taking all the right steps. It is also undoing the many damages inflicted by the negative measures of the previous governments and taking positive steps such as deregulating diesel price, revision of natural gas prices, initiating reforms in the agriculture sector, addressing the issue of skills shortage, focusing on eliminating infrastructural bottlenecks and ensuring ease of doing business. Moreover, smart cities and other similar projects are likely to give a major fillip to housing.All the aforementioned measures will definitely help investment cycle to pick up again. Once that happens, India’s GDP growth will accelerate. Since the current government is ready to change laws or tweak them if they hinder industry or prove business unfriendly, competitiveness and efficiency are bound to creep in to every sector. This augurs well for the Indian economy and offers our country its biggest opportunity to take centre-stage and become a force to reckon with. Hopefully, our country will capitalize on the many avenues that are currently opening up and manage to emerge as the next miracle economy.
Say hello to the world’s next miracle economy: India. The nation has what it takes to push past China as the region’s economic powerhouse, according to its former central bank governor.India’s young workforce gives it an advantage over aging China and its democratic political system will save it the upheaval that probably awaits its larger rival, Duvvuri Subbarao said in an interview at a Credit Suisse conference in Hong Kong.When Subbarao’s term ended in September 2013, India’s currency was at a record low, growth was slowing and investors were fleeing. The election of the nation’s most stable government in 30 years, improving public finances and easing inflation as oil prices fall has set the stage for an economic lift-off, he said.
“India can become a growth miracle of the 2020s,” said Subbarao, who was succeeded at the Reserve Bank of India by Raghuram Rajan. “If you had the Japanese miracle, the East Asian miracle, the Chinese miracle, an Indian miracle is a tantalizing prospect and quite possible.”
All the nations Subbarao mentioned rose to power and prominence due to export-driven manufacturing growth. India will have the world’s largest labor force by 2030, according to projections from the United Nations, positioning it to boost factory output.China’s pool of workers aged between 15 and 59 is seen shrinking by 61 million during the same period. That’s about the equivalent of losing the combined working populations of the U.K. and France.Demographics will compel China to move up the value chain and raise wages, allowing India to pick up the slack, Subbarao predicted. The view is shared by David Mann, head of Asian macro research at Standard Chartered Plc, and India’s Finance Minister Arun Jaitley, who said on Wednesday that interest is shifting to India due to high labor costs in China.
“We could see India take on the baton in the coming three to five years,” Singapore-based Mann said in e-mailed remarks.They aren’t alone in their optimism for India. The International Monetary Fund forecasts that India is poised to be the fastest-growing major economy as China slows, and the Asian Development Bank said on Tuesday that India’s efforts to remove entrenched bottlenecks will boost growth to 8.2 percent in the fiscal year through March 2016.
That would be faster than China, which is forecast to expand by about 7 percent in 2015 or the slowest pace since 1990. The projection is in line with the Indian government’s forecast, although that’s based on data that has puzzled policy makers including Rajan, who cut interest rates twice this year citing economic weakness.Rajan also said India mustn’t focus on export-led growth as global demand slows. He’s bulked up the nation’s foreign exchange reserves, overseen the rupee’s advance as one of Asia’s best performers this year and convinced the government to adopt a formal inflation target.While Subbarao had dismissed inflation targeting during his time as central bank chief, he clashed with former Finance Minister Palaniappan Chidambaram, who called for the Reserve Bank to lower interest rates to support growth.“He has been absolutely outstanding,” Subbarao said on Wednesday, referring to Rajan’s period in office so far. “I hope he will go places.”
No Bragging Rights
Even if India does meet targets and fulfill its potential, surpassing China may not be the prize that some anticipate.The number of Indians living on less than $1.25 a day has dropped by 16 percent between 1994-2010 while China saw a decline of 81 percent during roughly the same period, World Bank data show.A maze of regulations and an inefficient bureaucracy is partly to blame for the lowest living standards among emerging markets, according to India’s Prime Minister Narendra Modi, who swept to power last year on a pledge to create jobs. India has fallen to 142 of 189 countries on the World Bank’s latest Ease of Doing Business Index, while China rose several notches to 90.“We have to recognize that India growing faster than China doesn’t give us bragging rights,” Subbarao said. “Because in India, as some people have said, there’s so much low hanging fruit that the tree is almost fallen to the ground.”
Horrible toilets. Stagnant puddles buzzing with dengue-spreading mosquitoes. Collapsing masonry. Lax security. A terrorist attack. India’s preparations for the 72-nation Commonwealth games, which are scheduled to open in Delhi on October 3rd, have not won favourable reviews. “Commonfilth”, was one of the kinder British tabloid headlines. At best—assuming that the organisers make a last-minute dash to spruce things up—the Delhi games will be remembered as a shambles. The contrast with China’s practically flawless hosting of the Olympic games in 2008 could hardly be starker. Many people will draw the wrong lesson from this.A big sporting event, some people believe, tells you something important about the nation that hosts it. Efficient countries build tip-top stadiums and make the shuttle buses run on time. That India cannot seem to do any of these things suggests that it will always be a second-rate power.Or does it? Despite the headlines, India is doing rather well. Its economy is expected to expand by 8.5% this year. It has a long way to go before it is as rich as China—the Chinese economy is four times bigger—but its growth rate could overtake China’s by 2013, if not before (see article). Some economists think India will grow faster than any other large country over the next 25 years. Rapid growth in a country of 1.2 billion people is exciting, to put it mildly.
There are two reasons why India will soon start to outpace China. One is demography. China’s workforce will shortly start ageing; in a few years’ time, it will start shrinking. That’s because of its one-child policy—an oppressive measure that no Indian government would get away with. Indira Gandhi tried something similar in the 1970s, when she called a state of emergency and introduced a forced-sterilisation programme. There was an uproar of protest. Democracy was restored and coercive population policies were abandoned. India is now blessed with a young and growing workforce. Its dependency ratio—the proportion of children and old people to working-age adults—is one of the best in the world and will remain so for a generation. India’s economy will benefit from this “demographic dividend”, which has powered many of Asia’s economic miracles.The second reason for optimism is India’s much-derided democracy. The notion that democracy retards development in poor countries has gained currency in recent years. Certainly, it has its disadvantages. Elected governments bow to the demands of selfish factions and interest groups. Even the most urgent decisions are endlessly debated and delayed.China does not have this problem. When its technocrats decide to dam a river, build a road or move a village, the dam goes up, the road goes down and the village disappears. The displaced villagers may be compensated, but they are not allowed to stand in the way of progress. China’s leaders make rational decisions that balance the needs of all citizens over the long term. This has led to rapid, sustained growth that has lifted hundreds of millions of people out of poverty. Small wonder that authoritarians everywhere cite China as their best excuse not to allow democracy just yet. No doubt a strong central government would have given India a less chaotic Commonwealth games, but there is more to life than badminton and rhythmic gymnastics. India’s state may be weak, but its private companies are strong. Indian capitalism is driven by millions of entrepreneurs all furiously doing their own thing. Since the early 1990s, when India dismantled the “licence raj” and opened up to foreign trade, Indian business has boomed. The country now boasts legions of thriving small businesses and a fair number of world-class ones whose English-speaking bosses network confidently with the global elite. They are less dependent on state patronage than Chinese firms, and often more innovative: they have pioneered the $2,000 car, the ultra-cheap heart operation and some novel ways to make management more responsive to customers. Ideas flow easily around India, since it lacks China’s culture of secrecy and censorship. That, plus China’s rampant piracy, is why knowledge-based industries such as software love India but shun the Middle Kingdom.
India’s individualistic brand of capitalism may also be more robust than China’s state-directed sort. Chinese firms prosper under wise government, but bad rulers can cause far more damage in China than in India, because their powers are so much greater. If, God forbid, another Mao were to seize the reins, there would be no mechanism for getting rid of him.That is a problem for the future. For now, India’s problems are painfully visible. The roads are atrocious. Public transport is a disgrace. Many of the country’s dynamic entrepreneurs waste hours each day stuck in traffic. Their firms are hobbled by the costs of building their own infrastructure: backup generators, water-treatment plants and fleets of buses to ferry staff to work. And India’s demographic dividend will not count for much if those new workers are unemployable. India’s literacy rate is rising, thanks in part to a surge in cheap private schools for the poor, but it is still far behind China’s.
The Indian government recognises the need to tackle the infrastructure crisis, and is getting better at persuading private firms to stump up the capital. But the process is slow and infected with corruption. It is hard to measure these things, but many observers think China has done a better job than India of curbing corruption, with its usual brutal methods, such as shooting people.
Given the choice between doing business in China or India, most foreign investors would probably pick China. The market is bigger, the government easier to deal with, and if your supply chain for manufactured goods does not pass through China your shareholders will demand to know why. But as the global economy becomes more knowledge-intensive, India’s advantage will grow. That is something to ponder while stuck in the Delhi traffic.