The Great Indian Political Drama - 1 (Oct 2017 - Mar 2018)

[chetak]

Subramanian Swamy‏Verified account @Swamy39

Prannoy Roy of NDTV caught for FIPB violations too. Approval was for Rs.585 crores but brought in Rs.1200 crores https://www.pgurus.com/prannoy-roy-of-n ... 00-crores/ … via @PGurus1

https://www.pgurus.com/prannoy-roy-of-n ... 00-crores/

[chetak]

S Gurumurthy@sgurumurthy
Feb 16

See this. Can there be a greater shame?....Congress conducts online polls to blame Modi government on PNB fraud, but the results made them delete the poll! http://postcard.news/?p=31755 via

both these online polls were deleted by the congis

[Indrad]

Nirav Modi's letter claims Punjab National Bank 'closed all options' to recover pending dues by going public

seriously ulta chor kotwal ko daante..

when the entire dealing with PNB was based on fraud & cheating..how is this argument tenable? Why did he run away if he was clean?
As of now more LoUs are being discovered that is why GoI is tight lipped; final magnitude of scam will be much higher than 10000 Cr.

[Supratik]

When the existing institutions are not working properly what is the point of bringing in another institution? Why pick on a few points among hundreds of points in a manifesto that may not have been implemented when there are 50 points that have been implemented successfully unless the motivation is to show Modi as a failure?

[chetak]

ANI‏Verified account @ANI

Delhi: Chief Secretary Anshu Prakash's complaint letter to Police over yesterday's incident

[sbajwa]

उधर पंजाब में कुछ सरदार बैंक ऑफ बरोदा लूटनेका प्लान बना रहे है
(translation - meanwhile in punjab, some sardaars are now planning to rob Bank of Baroda)

===============

PM - Gujarati
FinMin - Marwadi by birth, had converted to Gujarati, MP from Gujarat, fools Punjabi by claiming that he is punjabi
RBI Chairman - Gujarati
Finance Secretary - Gujarati
PNB Chairman - a Mehta -, at least half Gujarati
Bank looters - Nirav Modi etc - all Gujaraties

Loot liya sardaaro aur punjabiyo ko !!!
(means - robbed all sardaars and punjabies)

=============

Sardar says "Ladana he? ek sikh sava lakh barabaar"

Gujarati says "Ladana nahi, sirf bank lootana he !! ek Gujarati do lakh baraabar":

(Translation : sardaar says "want to fight? one sikh is equal to 1.25 lakh persons"
Gujarati replies "No brother. I dont want to fight. I only want to rob bank. here, one Gujarati is equl to 2 lakh persons)

===========

Punjab National Bank was founded by Lala Lajpat Rai to help nationalist India traders and manufacturers, British and Jawaharlal Ghazi tried their best to destroy it, But they had failed.

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No PM was able to convince Indians to such an extent -- then even after so many robberies, most Indians still think that PM is honest.

======

Due to PNB scam of Rs 11000 crore that Rafael deal of Rs 58000 crore is now out of public focus. God has once again helped Sri Modiji
.

Wrong information!! PNB was founded by Dyal Singh Majithia who also founded The Tribune news paper.
https://en.wikipedia.org/wiki/Dyal_Singh_Majithia

Born in Lahore, Dyal Singh was the only son of General Lehna Singh. He lost his parents at the age of six. He got his early education in the Mission School at Amritsar and was later self-educated.

He founded the newspaper The Tribune and managed the affairs of the Harmandir Sahib ("Golden Temple") for nearly thirty years. He took up business in real estate and diamonds and earned huge wealth. He was the first president of the Indian Association of Lahore and continued in that capacity till his death. He was a founding Trustee of the Sadharan Brahmo Samaj.

He was Chairman, Board of Directors of the country's first indigenous bank, the Punjab National Bank. The Bank was founded on 23 May 1894 (its first meeting was held at 6:30 PM at Dyal Singh's house). At the second meeting on 27 May 1894, Dyal Singh was appointed Chairman and Lala Harkishen Lal, the Secretary of the Board. He was also a pillar of the Brahmo Samaj and donated liberally for educational institutions and libraries, including numerous colleges all over Upper India, like Dayal Singh College, Lahore and Dyal Singh Memorial Library, Lahore. He was closely associated with Punjab University. He also founded The Tribune newspaper (now HQ in Chandigarh)

Raja Rammohun Roy's greatest follower in Upper India was Sirdar Dyal Singh, in whose person the two strands (of Western ideas and Indian thought) seem to have been fused. Born nine years after Ranjit Singh's death and fifteen years after Rammohun Roy's demise, this scion of the family that helped Ranjit Singh carve out a Sikh kingdom was one of the greatest Brahmos in the Punjab.[1]

Legacy

The Tribune newspaper founded by him is still a popular english daily. He willed his property for establishing college for secular education, initially resulting in creation of Dayal Singh College (Lahore), later also Dyal Singh College, Delhi and Dyal Singh College, Karnal.[2]

[Suraj]

seriously ulta chor kotwal ko daante..

when the entire dealing with PNB was based on fraud & cheating..how is this argument tenable? Why did he run away if he was clean?
As of now more LoUs are being discovered that is why GoI is tight lipped; final magnitude of scam will be much higher than 10000 Cr.

Because we're expecting GoI to speak from both sides of their mouth at once.

The government is not a banking regulator. The RBI is. They are invested with powers by law to run and manage the banking system. We want the government to get out of running banks . GoI offers operational autonomy to PSBs. It lets them decide things and run without previous level of interference. It reduces the statutory liquidity ratio requiring how much of the deposit base is held in gilts. But we want them to 'speak up' when stuff happens.

If we want a working system, then we need to understand that the working system here is a regulatory central bank that already has sufficient powers to have addressed this matter entirely on its own. It did not. And of course, a large part of this happened during the tenure of the last 'rockstar' RBI governator

[Trilobite]

So now RBI is being scapegoated?? No doubt that there is plenty of blame to go around but the buck ultimately stops with the present govt., specially since it refused to act despite being approached by the whistleblowers at different levels of the govt. from IT/ED/CBI to the highest level the PMO itself.

Can the IT/ED/CBI and PMO explain why they refused to act on the information of the whistleblowers? Blaming RBI is not gonna fly.

[Suraj]

It is the RBI's mandate to act on the whistleblower statements. Do you have any evidence that GoI refused to route these to RBI ?

People simultaneously want GoI to be hands off from banks and to let RBI run the banking system with greater independence, but when a bank refuses to follow an RBI issued guideline and RBI seemingly has done nothing about it - despite having been warned by whistleblowers - it's the government that needs to answer for this ? So then, what's the purpose of a central banking regulator that exists through an Act of Parliament ?

[Mort Walker]

I understand that PNB has the most cases of fraud of any state bank in India. In 5 years 389 cases of fraud for a total over Rs. 65.2 billion. What’s going on? Time to privatize PNB and others who have lot’s of NPA.

[Lilo]

I am now convinced that India post 2010 has become a ponzi scheme where milking middle class (folks earning between 40k-2l per month) is the main objective and consensus across political, babu & corporate classes. Why is it that most taxes, rules, tariffs are aimed at only this particular group ? Put them in shackles and ensure only middle class compliance with aadhar and other id, curtail their public voice through aadhar coercion and curtail their ability to rise through income and wealth barriers and turn middle class Indians to permanent underclass like they have in usa. Just keep working and keep investing in corporate ponzi schemes like stock market and broken public sector banks with continually reducing interest rates. The rich have successfuly evaded any aadhar oversight through SWIFT excuse and PN excuse and they just play around rolling public wealth over while leading extravagant lifestyles for free. Govt of India which claims to represent best interests of Indians keep giving the rich leeway by allowing them to escape out and making on purpose watered down cases against them in foreign courts or showing no interest in having them extradited while arresting farmers, clerks, small traders on default of mere thousands or lakhs.

Is this what is called bourgeois commie conspirajjy propagandu?

[Trilobite]

Irrespective of the spin of blaming RBI or anybody else, the buck ultimately stops with the govt. I get my info. from public domain (PD), same as most others do, and so far I have not seen the news that whistleblowers approached RBI or the govt./PMO forwarded the case to RBI, so maybe I missed that part and would like to see the evidence of that claim.

And let's for a moment assume that govt./PMO indeed passed on the whistleblowers complain to RBI ( this "fact" not known in PD, yet ), this raises even more serious questions about how these people were then able to leave the country since govt. was obviously aware?

PD information so far says whistleblowers had approached ED/CBI and PMO. Now I agree that not everything we read in PD is correct, so if somebody has more information due to "connections" feel free to post them.

[chetak]

Irrespective of the spin of blaming RBI or anybody else, the buck ultimately stops with the govt. I get my info. from public domain (PD), same as most others do, and so far I have not seen the news that whistleblowers approached RBI or the govt./PMO forwarded the case to RBI, so maybe I missed that part and would like to see the evidence of that claim.

And let's for a moment assume that govt./PMO indeed passed on the whistleblowers complain to RBI ( this "fact" not known in PD, yet ), this raises even more serious questions about how these people were then able to leave the country since govt. was obviously aware?

PD information so far says whistleblowers had approached ED/CBI and PMO. Now I agree that not everything we read in PD is correct, so if somebody has more information due to "connections" feel free to post them.

Not to rain on anyone's parade but does anyone have the faintest idea of how many crank letters and crank calls the PMO gets on a daily basis ranging from banking conspiracies to alien landings and "confirmed" sightings of "little green men"??

How do they filter out the crap??

They can't so they forward it to the relevant agencies for "action", the said relevant agencies are also fed up with the crap coming their way so they file it, forget it or simply close it and send a standard reply that case is closed.

These complaint sites as well as email addresses have very little actionable content but a huge component of noise sent by vindictive people, psychopaths, morons who want to intimidate others and some genuine content which, unfortunately, gets overwhelmed in the sheer noise coming in and thus loses its relevance and/or even visibility.

So, its literally a case of the wheat getting thrown out with the chaff. Tough schitt, but we really need to evolve a better system.

[Raju]

after diamonds another exclusively imported precious commodity is gold, which has same LOUs and shell companies, and loans without guarantee. And Gold imports are many times over and above diamonds. Those fishing for scams have just to uncover gold importers. Another very hush hush secretive closed club of scamsters.

[chetak]

This LOU business is not as per any international norms and it is also not accepted by any international bank.

This LOU system and methodology has been specifically and solely initiated by the RBI and it would be very very interesting to see exactly who was involved in this very dubious "initiative".

When was this "initiative" was mooted and for what specific purpose.

This ranks right up there with the "'Participatory Notes'" or P notes, the mauritius route and the singapore route and the dubious treaties that the GoI entered into

As is usual for any such "initiative" the baboo(n)s have left themselves a backdoor/loophole for the rats to scurry through, for a price, of course.

[Suraj]

Irrespective of the spin of blaming RBI or anybody else, the buck ultimately stops with the govt. I get my info. from public domain (PD), same as most others do, and so far I have not seen the news that whistleblowers approached RBI or the govt./PMO forwarded the case to RBI, so maybe I missed that part and would like to see the evidence of that claim.

Why are you running around in circles like this ? RBI *is* a an arm of the government. There is a thing called the RBI Act. It gives statutory powers to the RBI to examine and pursue cases of bank fraud. When actionable notices are received, they go to the RBI. That's how a government executes its system of powers.

So, yes the buck does stop with the government. The arm of the government in charge of bending and picking up the buck is called Reserve Bank of India. If you want to hoist some particular person or ministry, why don't you just spell that out, so we can all know whom you are so angry with and why ? It would help avoid saying the same thing 3x.

[Suraj]

This LOU business is not as per any international norms and it is also not accepted by any international bank.

The international language for a LOU is 'bank guarantee'. I can assure you it's quite international. Feel free to google.

The problem isn't the existence of LOUs but non-existent standards of obtaining collateral. Not connecting a banks internal and external transactions is dumb. And them not even knowing how many guarantees were on the books is dumb. With the ability to get cash for no substantial collateral, NiMo basically used it more like a leveraged buyout mechanism, and then leveraged his existing leverage with even more leverage.

[chetak]

where are amartya sen, arun shourie and ragu ram rajan?? all missing from the headlines.

Usually, these guys would be pontificating against the Modi govt and the BJP, at the drop of the proverbial hat??



From the huffington post


Dear Mr Rajan, No Wonder The Crony Capitalists Are Rooting For You

Dear Mr Rajan, No Wonder The Crony Capitalists Are Rooting For You

03/06/2016

PUNIT PARANJPE

Reserve Bank of India (RBI) governor Raghuram Rajan listens during a news conference at the RBI headquarters in Mumbai on February 2, 2016. India's central bank kept interest rates on hold citing the importance of controlling inflation and noting a slowing growth momentum in Asia's third-largest economy.

Dear Mr Rajan,

You are a rock-star economist-cum-central banker (Thomas Piketty is merely a rock-star economist!). The entire corporate class of India is pitching for an extension for you as the governor of the Reserve Bank of India. The political class also seems kindly disposed towards you (Congress leader P Chidambaram, made that obvious the other day) .There is, however, a discordant note from the BJP's stormy petrel, Subramanian Swamy, who has publicly asked for your dismissal.

Swamy has cited several reasons, including that you are not Indian enough (he says you would rather keep your American green card than the RBI governor's job if you were forced to make a choice). Swamy also believes in the conspiracy theory that you are a plant of international financial institutions on a mission to wreck the Indian economy from within! Swamy believes that you have successfully achieved this objective by insisting on keeping the interest rate high and thereby ruining many existing enterprises and killing the incentive for new entrepreneurship.

You have nothing to worry about. When the corporate class has spoken in unison in support of you, the government is unlikely to ignore that powerful voice.

But the corporate class of India has clearly given the thumbs down to Swamy by asking for a fresh term for you. If Swamy's charges were correct, the business class should have been baying for your blood as you are supposed to have made business in India unviable by refusing to bring down the interest rate! Clearly, Swamy's logic appears skewed.

Subramanian Swamy is supposed to be a reputed economist with a stint at Harvard University, but for the last several decades, he has been a practicing politician. It is possible that he has a political axe to grind; it is also possible that he is doing a hatchet job; as you know, when politics is at a premium economic logic takes a backseat.

Mr Rajan, you have nothing to worry about. When the corporate class has spoken in unison in support of you, the government is unlikely to ignore that powerful voice. Where big corporate interest is involved, even Swamy, the current blue-eyed "boy" of the Prime Minister, might be given short shrift. You have every chance of getting a second innings.

Why is it that the corporate class is backing you, Mr Rajan? The doyens of the business class say that you have made India proud, having been chosen as the world's best central banker of the year. They say that you have controlled inflation with your enlightened monetary policy; that you have saved the Indian economy from the depredations of international volatility.

You have stubbornly refused to disclose the names of the business houses which have defaulted on the repayment of thousands of crores of rupees of public money...

But what the corporate class has left unsaid is that it wants you to continue in the key job because you have provided corrupt business houses protection from the long arms of the law by your astute economic logic. You have achieved this feat by stubbornly refusing to disclose the names of the business houses which have defaulted on the repayment of thousands of crores of rupees of public money advanced by public sector banks (PSBs), leave alone proposing stringent action against them.

When the Indian Express asked for precise information on non-performing assets (NPAs) -- a term which is just a camouflage for the public money, advanced to business houses, that has gone down the drain -- of the major PSBs, your office refused to provide the information.

When an Indian citizen took the route of the Right to Information Act to seek information from your office on the major loan-defaulting business houses, he was told that he had no right, or business, to enquire about the dealings of these corporations with the banks. When the same citizen moved the Chief Information Commission (CIC) and the CIC instructed you to provide the same information, you defiantly moved the Delhi High Court against the CIC order. When the Delhi High Court upheld the CIC order, you did not take it lying down; you chose to appeal in the Supreme Court. The swindlers in the business class must have applauded you for going to the last mile to protect their interest.

The swindlers in the business class must have applauded you for going to the last mile to protect their interest.

Mr Rajan, you will remember the way the Supreme Court came down on you for advancing a spurious argument again and again to justify withholding of the information on bank loans and defaulters. The Supreme Court trashed your argument -- that confidentiality of banking transactions is necessary to keep the Indian economy afloat -- and asked you provide information under the RTI Act.

But even after the SC judgment, you have chosen to ignore the order and are trying to fob off the RTI applicants on one pretext or another. This is because you know that the ambulance-chasing lawyers will not go after the RBI as you, like them, are potentially protecting the interests of the corporate class as a whole.

Mr Rajan, you again demonstrated your solidarity with the swindlers of public money when the Chief Justice of India, T S Thakur, responding to a public interest litigation by Prashant Bhushan asked you to make the names of the big defaulters (those who owed to the banks ₹500 crore or more) public but you desperately pleaded with Justice Thakur to accept the names in a sealed cover so that their identity could be protected. The fly-by-night operators must be deeply indebted to you for allowing them to siphon off thousands of crores of the taxpayers' money without any adverse repercussions on them.

No top politician has spoken against you because they are apparently happy with all your actions, if not some of your more sanctimonious utterances.

Mr Rajan, you must be delighted that you have a great deal of acceptability in the political class as well (with the exception of Dr Swamy). Mr P Chidambaram, the finance minister in the UPA government, praised you as a great economist and an efficient administrator. No top politician has spoken against you because they are apparently happy with all your actions, if not some of your more sanctimonious utterances.

Politicians need and take money from business houses to contest elections and run their party activities and build their private empires as well. They need to pay back these business houses when they are in power. It is not surprising that many of these defaulting business houses which received huge bank advances during the 10-year-long UPA government have been richly rewarded by the two-year-old NDA regime as well. Obviously, which party is in power is immaterial; crony capitalism brooks no partisan considerations.

Clearly, Mr Rajan, you enjoy the trust of the business class as well as the political class. The top bank executives are also happy with you because you have saved them from punitive action on account of losing thousands of crores of the taxpayers' money by reckless lending. After all, they know that in Iceland, 29 top bank executives are languishing in jail for causing big loss to the national exchequer by advancing money without due diligence. The same fate could have befallen Indian bankers but for your valiant struggle to protect them from public scrutiny.

You have chosen to make this politician-businessman-banker nexus more secure by relentlessly trying to keep the criminality of the principal actors under wraps.

Mr Rajan, you are the central figure in this crony capitalism script -- the political and business classes are the principal beneficiaries; the bank executives are the sidekicks who get their pound of flesh as well. You, as a central banker and regulator, had the duty to break this nexus in the larger interest of the poor taxpayer. You could have done this by limiting bank secrecy and increasing transparency about the lending process. But you have chosen to make this politician-businessman-banker nexus more secure by relentlessly trying to keep the criminality of the principal actors under wraps.

Yes, Mr Rajan, you have succeeded - inadvertently, perhaps -- in giving crony capitalism a big leg-up and, in the bargain, you have caused potential loss to the state exchequer of nearly ₹10 lakh crore (the actual amount of default), the money with which the country could have set up a 100-bed fully equipped hospital in every other village across the country.

Never mind. The political class, the business class and the banking sector want you to get an extension in your current job in the hope that your insistence on protecting the big defaulters from the public glare will allow them to continue to rob the taxpayers' money for an extended period.

May their efforts succeed.

Yours truly,

An impoverished taxpayer

[Sachin]

where are amartya sen, arun shourie and ragu ram rajan?? all missing from the headlines.

The other two may be experts in sitting and pontificating, but the bolded chap had actually been a RBI governor. Why can't the BJP ask him to officially be present for some enquiries/fact finding committees? It is for certain that such scams did not start from the year 2014. If RBI as an institution failed, it did not fail the day after Urjit Patel became the governor. Mr. Pontificator Raghuram Rajan was there during the early days of this government.

[MehtaRahulC]

(1)

Admins, this is a private forum and there is no harm in having a certain PoV. Can we ban these silly trolls like the one above and RahulMehta whatever. These guys just a nuisance over here and add no value. Let them go Pappu whatsapp groups where Pappu's PR slave sends out anti-ModiJi, anti-BJP rants.

Reported the post to admins
.
Admins,
.
Can you pls ask these people to add me in FOE list and ignore my posts ? And can you ask them not to pollute the forum by throwing baseless insults on me?
.
Dear complaint-king Crams,
.
My posts expose defucntess of SoMoKe = SoGa/NaMo/ArKe and CpRaAp = congress/rss/aap workers. They factually inform the audience that SoGa/NaMo/ArKe are one and the same and congress/rss/aap workers are all too one and the same. And they make neutral audience anti-SoMoKe and anti-CoRaAp-workers . So SoMoKe-pujaks and CoRaAp -workers have heartburns. Well, pls do report posts to admins using private messages. But pls dont pollute forums against and again thru your public posts. And trust me, many admins are more anti-RM than you are and they read my posts 10 times to see if there is anything that can ban me for life.

Also, I am posting only 1-2 posts a day and less than 6-10 posts a week. So I am NOT spamming . So your complains are all baseless. So pls add me in FOE list, and pls DONT pollute this forum with YOUR braindead complains.

===============

(2) Nirav-scam

Issue here is that LoUs were issued without collateral. If they were issued with full collateral, then damage would have been near zero. So who ordered these deputy managers to issue LoUs without collaterals again and again and again, and how come everyone missed to see it again and again and again? The mess goes all the way to ex-RBI-Guv, present-RBI-Guv, ex-FinMin and present FinMin and previous-PM. I will not accuse Sri Modiji here because forum rules prohibit members from pointing fingers at present PM.

Now one question is --- what was the TOTAL open LoUs as on 01-jul-2014? Hopefully, CBI will report on TOTAL collateral-less open LoUs as on opening of all quarters since 1-jan-2011.

But the way PM Sri Modiji and supporters etc keep blaming Nehru and congress even for wrongs that started AFTER 01-july-2014 is appalling. Someone needs to tell Modiji and supporters that Modiji has been PM since 01-jun-2014. Otherwise, even all throughout 2019 - 2024, we will only hear Nehru-bashing and congress-bashing !!!

======

(3) Niti Aayog reports huge fall in female/male ratio at birth !!! see http://niti.gov.in/content/sex-ratio-females-1000-males . I could not figure out what exactly is wrong with data. But imo data is wrong because such sudden trend reveresal in 2 years looks impossible.

====

(4) RSS's seat share in Gujarat MUNICIPALITY election decreased compared to feb-2013. RSS = BJP won much lesser seats compared to feb-2013. They still won over 50%. For more, pls google.

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(5) Bikau Indian express reports : The overall employment in the eight sectors had seen an addition of 77,000 workers in April-June 2016 and an increase of 1.85 lakh workers in January-March 2017. Though 87,000 manufacturing sector jobs lost in April-June 2017.

http://indianexpress.com/article/busine ... 7-5069091/

How can total jobs increase when jobs in manufacturing decreased is beyond me. We are NOT post industrial society as of yet and manufacturing was supported to be key job giver. But whatever it is. Pls see the link.
.
====
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(6) Modiji's BA degree

Delhi Univ website lists Jetley, Bachhan and many people as alumni. But it doesnt list Sri Modiji as alumni. That is very bad of DU because such oversights make many people wrongly believe that Sri Modiji's BA degree fake. So YOU all guys should ask education minister to ask DU VC to ensure that Modiji's name does come on DU website as almuni. Also, here is search for DU degree - https://sol.du.ac.in/mod/page/view.php?id=2709 . But one needs roll number. So if you can get Modiji's roll number, then I can put the snapshot on my FB wall, and convince people that Sri Modiji's DU BA degree is indeed real. The degree that was shown by Amit Shaji in press conference didnt have roll number and so one cant tally with DU records.

[Lilo]

.
Some other national issues

(2) Another trend on BRF was --- one MUST support GST !! GST is a DISASTER and will ruin India. Let me repeat --- GST is a HUGE disasater and will ruin India. Excise , sales tax, vat, CST, service tax etc were bad and should have been scrapped off long back. And instead we should levry WEALTH TAX on land / construction / shares etc and we should streamline income tax by removing plethora of exemptions (like Mauritius treaty, Fiji treaty, exemptions to SEZs, exemptions to infrastructure etc). But instead of wealth tax, sponsors of SoMoKe (SoGa / NaMo / ArKe , one and same) sucessfully forces SoMoKe to levy GST and not wealth tax. The result will be al ll out disasater. Indian companies will heavily loose and foreign companies will gain. And I blame ALL three SoMoKe (Coongress / RSS / AAP) for GST , not just NaMo.
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(3) Leaders of India such as SoMoKe have become 100% pure puppets of desi-videshi elitemen. And the share of videshi elitemen is rising day by day by day. Indian elitemen too are becoming puppets of videshi elitemen. Most paidmediamen like bikau sardesai, bikau arnab, bikau dutt, bikau sudhir tihadi chowdhary, bikau pranay roy etc are now more and more dependent on videshi money. Most bikau-mediamen no longer take orders from Indian leaders like SoMoKe and they directly take orders from videshi elitemen
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So India is in deep mess, and things are geting worse everyday
.

Good Morning TheMehta,

I will not lay everything at doorstep of SoMoKe, because politicians by habit and training are not familiar with economics. The economics necessary to administer a country's economy is a pyramid structure, this is the reality and status quo. With only a very few folks at top having the real idea on true fiscal situation. Rest are either clerks or enablers having little clue on real situation, because they do not have benefit of access to view whole chart. They see only the bits & pieces. So what has happened is international organistations like IMF/WB have taken advantage of this narrow control structure by giving IMF tenure to seniormost IAS who work in finance/revenue and influence them to adopt measures which profit MNC and destroy local industries. The GST among others are plays of this hidden hand.

Conspirajjy 1
GST is designed to "profit MNC and destroy local industries"
Claimed by conspirajjy king TheMehta and spelled out for him by prince of conspirajjyness Raju. As ujjual in all conspirajjys peddled by these two, not an iota of proof is provided and more importantly the assertion itself is devoid of even an iota of logic.
Some of these assertions are becoming so idiotic that iam
wondering if RahulTheMehta on this forum is a bot running on AI programmed by RahulTheMehta's enemies to discredit the real RahulTheMehta in the long term.

[Raju]

Not connecting a banks internal and external transactions is dumb.

Not dumb.

It was done (kept disconnected) on purpose as a corruption loophole. Many vested interest would have colluded to maintain status quo through some specious objections on connecting the two.

In most banks usually a valuer or an expert will be available in those branches which issue LoU's to foreign banks to certify value of gold or diamond. Once that valuer gives his approval then banks go ahead and indemnify advances based on his valuation alone. It is a small chain without real-time auditor, central tax authorities or central bank oversight.

[Indrad]

Today SC trashed a PIL on PNB scam into bin calling it publicity litigation, giving ample time to GoI to investigate the scam. SC also pulled the PIL lawyers for unnecessarily using PILs. http://www.livelaw.in/pnb-scam-ag-oppos ... JM.twitter

[fanne]

If LOU = LC (letter of credit), then I can pontificate -
In US (and yes I deal with these so I know what I am talking about) - LC is like a bank guarantee, mainly for businesses that are done between new players or oversees or there are some risks (Since settlement takes few days/months, the other party wants some guarantee against default/fraud). A LC vs a syndicated loan (loan to commercial parties, like IBM, reliance etc.), can be done without collateral. If IBM goes today to Citibank and asks $10 billion loan, Citi may give it without collateral, then pool various banks (break the loan into tranches) and give this money to IBM. These loans then are traded in secondary market, same as shares.
Coming back to LC - Banks give LC. From small players, where they do not have much of history or earning proof, they may ask collateral for the LC, from big player, they seldom ask (as risk is perceived less). LC may or may not get executed. A LC can be of say $100 million for 3 months. The bank earns a handsome fees/interest on that (if LC is executed, it becomes a loan). What happens is, Nirav Modi got this LC (LOU) for 100 carore to buy gems, he buys it and then few things can happen 1)He pays for that 100 carore from his pocket (LC does not get executed, PNB earns a fee for free, Nirav Modi gets his diamond, which the other player may not give him without a bank guarantee) 2)Nirav Modi wants 6 month time to pay, he buys diamonds worth 100 carores, turns them into jwelllery of 1000 carore and sells enough of them in 6 months to generate the profit of 100 carore to pay back PNB. In this case LC was executed by the counterparty, Nirav Modi pays fees/interest on the LC and when LC turns into loan, he makes interest and payment on the loan and settles the account in 6 months (to x years). He has to be in the good book of PNB to get the next LOU(LC)
3) Nirav Modi buys diamonds, cannot pay. LC gets executed, turns into loan, Nirav is not in position to pay, his business is doing bad (by all accounts he was doing fine, this case may not be applicable at all). He gets another LOU down the line to pay for the first one. LC/LoU are also (could be) revolving in nature, so if you do not use LOU of 100 carore in the next three months, it is available for another 6 months. If you used only 30 carore, 70 carore is available for the next 3 months (some newspaper/media is alleging this)
4) Nirav Modi took all these LoU, never paid, and since there was no reconciliation, he has 11,000 carore worth of PNB money stolen (Major narrative in the media, I doubt he never paid, that much difference would have shown in the bank ledger. PNB does not grow money on trees.
Conclusion -
I think what happened is combo of 1,2,3 (and not 4). Many LC/Loan for big player may not require collateral (their reputation is their collateral, or they have explicit property that you may go after) while small players (farmers)s it is needed (as practiced in USA). Prasunn Vajpayee is playing this angle. Nirav as he himself is pointing out the loan is worth 280 carores. So out of LOU of 11,000 carores, many may have been not executed, partially executed or rolled over and the net outstanding right now is 280 carores. Why PNB is doing this? Is higher management involved. A rogh guess is that in this total of Lou PNB itself may have made 100 carores in fee/interest. Lucrative for them. In my opinion no fraud.

[Indrad]

https://www.gaonconnection.com/samvad/v ... ndian-bank

this article is in Hindi: it claims when polls were near India Gandhi made phone call to local bank asking to hand over Rs 60 lakh without any paper work. That established pathway for powerful people looting bank money exploiting loopholes.