When Political Power Marries Market

Power
| by Tisaranee Gunasekara
Where in history do we find such a fusion of political power and person affairs? In the Roman
Empire where the emperor.could make his horse a senator and force all those courtiers who
didnt appreciate his poetry to slit their wrists.!
"mberto Eco #Turnin$ back the %lock&
# 'ay () *+,() %olombo) -ri .anka Guardian& /lmost one and a half centuries after 'ar0
published his %apital) another %apital is takin$ the world by storm. Thomas 1ikettys 2%apital
in the Twenty 3irst %entury uses a tro4e of data to demonstrate the truth of an old belief 5 left
to its own de4ices) capitalism causes wealth to concentrate in a handful of hands and ine6uality
to soar.
1rof. 1iketty is no ad4ocate of systemic chan$e. 7e ar$ues that it is possible to halt and e4en
re4erse the 3irst Worlds retro$ression into a new $ilded a$e8 9There are ne4ertheless ways
democracy can re$ain control o4er capitalism and ensure that the $eneral interest takes
precedence o4er pri4ate interests) while preser4in$ economic openness and a4oidin$
protectionist and nationalist reactions! .
What about countries where democracy has been sub4erted from within and rendered flaccid)
where a primordial cli6ue has $ained control o4er the state) and uses state power to control the
market?
What awaits a land where state power marries market power) under the ae$is of a sin$le rulin$
family?
In his 'ay :ay address 1resident Ra;apaksa proclaimed) 9<e it Rathupaswala or =atunayake
or elsewhere) the efforts to close down factories were not in the interests of the workin$ people
but in the interests of Gene4a! . The people of Rathupaswala demonstrated a$ainst a factory
which was poisonin$ their $round>water. The =atunayake protests were a$ainst an attempt by
the $o4ernment to impose a fraudulent pension plan on pri4ate>sector employees. ?either
stru$$le was politically>partisan@ -.31 supporters participated in the Rathupaswela
demonstration@ -.31 trade unions ;oined the =atunayake a$itation.
-o why is the 1resident attemptin$ to e6uate these $enuinely popular stru$$les with anti>
patriotism and treachery? Is he) like a babe>in>the wood) bein$ misled? Ar is his false e6uation
an ine4itable function of that Ra;apaksa construct 5 acolyte capitalism?
1olitical fa4ourites amassin$ fortunes is a timeless phenomenon. The Ra;apaksas are doin$
somethin$ 6ualitati4ely different 5 they are usin$ state power) systematically) to $ain control
o4er the pri4ate sector economy. Instead of usin$ the old method of state>takeo4er of pri4ate
enterprises) the Ra;apaksas are usin$ acolyte>businessmen to colonise the market.
The rapid rise of :hammika 1erera is symbolic and symbiotic of this process of turnin$ the
pri4ate sector economy into another Ra;apaksa dependency > like the military) the ;udiciary) the
bureaucracy and the -inhala><uddhist establishment. In *++B) 'r. 1erera was made the
%hairman of the <AI@ in *+,,) he was made the permanent secretary to the 'inistry of
Transport) perhaps the first time a functionin$ businessman was appointed to a senior position
in the state sector. Today 'r. 1erera has fin$ers in e4ery concei4able pie and is on a
monopolisation dri4e .
The %olombo %ity Guide) Camu) did a re4iew of <ella$io) a casino owned by 'r. 1erera8 9The
<ellia$o is smoky) bri$ht and $enerally dod$y. It is not an e0tremely pleasant place. 7owe4er
much they try to $lam it up it is still a $amblin$ den. The ubi6uitous prostitutes are the most
depressin$ si$ht of all) tired and lon$>faced) workin$ what seem to be interminable hours 'r.
1erera is said to be the richest man in -ri .anka@ he is also a senior ci4il ser4ant. The first can
be attributed to luck) acumen or both@ but the second is proof>positi4e of his 3a4oured /colyte
status. 1rostitution is ille$al in -ri .anka) but which police is $oin$ to raid a casino owned by a
man of such potent parts?
/colyte capitalism) because of its 4ery nature) creates businessmen who are more politicians
than bona fide entrepreneurs. -ince their success depends primarily on political patrona$e)
sycophantism is a more necessary attribute than $enuine ability. .ike acolyte politicians)
acolyte businessmen en;oy impunity@ so lon$ as they are politically loyal) they can break the
law and i$nore re$ulations. -ince they are but a$ents of the rulers) they can also depend on the
police and e4en the military to protect them from the conse6uences of their ille$al acti4ities.
The contro4ersial factory in Rathupaswala was owned by a company controlled by such a
Teflon>businessman 5 :hammika 1erera.
/colyte capitalism cannot function in a land where the rule of law pre4ails and best business
practices are obser4ed. 3or instance) stock market manipulation is reportedly a key method
used by acolyte>businessmen to amass fortunes. /nd as Tilak =arunratne e0plained) -ri .anka
has one of the least re$ulated stock markets in the world. When 'r. =arunaratne) durin$ his
short tenure as the -E% chairman) tried to crackdown on market>manipulators) he was asked to
resi$n by the same man who appointed him 5 the 1resident . 'r. =arunaratne had
misunderstood his brief 5 his task was not to clean the /u$ean -tables but to lend his reputation
as a co4er for the muck. 7e was succeeded by an acolyte businessman widely re$arded as a
pawn of the inflate>and>dump stock market mafia . The new boss knew what was e0pected of
him. 3or instance) under his able stewardship) the -E% made a $enerous financial donation to
?amal Ra;apaksas Tharunyata 7etak .
The +.,D %ountry
The Ra;apaksas are the authors and directors of .ankan militariEation. "nder this sui $eneris
model) the military is not an autonomous power centreFwielder. /s the militarys encroachment
of ci4ilian spaces increases) so does the Ra;apaksa control of the military.
The Ra;apaksas understood the dan$ers of allowin$ the military) -inhala><uddhist
supremacism or the ;udiciary to function as autonomous actors. If these entities are permitted to
retain e4en a shred of autonomy) they can) in self>interest) assistF;oin an anti>Ra;apaksa
opposition) someday. There is an identical dan$er to the dynastic pro;ect in allowin$ market
power to be un>dependent on political power. / relati4ely autonomous military can impede the
:ynastic pro;ect 4ia a coup or by refusin$ to implement e0tra>constitutional orders. / relati4ely
autonomous ;udiciary can rule a$ainst abuses and e0cesses of the rulin$ family. -imilarly a
relati4ely autonomous pri4ate sector can resist the e0cesses of familial rule) especially when
Ra;apaksa interests run counter to systemic interests.
/s the unification of political power and market power intensifies) whate4er limited capacity
the pri4ate sector has to ameliorate the ne$ati4e results of Ra;apaksa policies will e4aporate
completely. 3earful of repercussions) e4en the non>acolyte se$ments of the pri4ate sector will
allow themsel4es to be used by the rulin$ family. The co4ert and ille$al censorin$ of the
internet is an e0cellent case in point.
Go4ernin$ a country is like an act of ;u$$lin$. The $olden mien is one which a4oids
e0tremisms of all sorts) and balances contendin$ claims and interests. The Ra;apaksas are
takin$ the antithetical path by sub;u$atin$ national) popular and $eneral interests to familial
interests. 1atriotism is bein$ used as a co4er to hide this reality from the masses. This is the
source of the 1residents false char$e of treachery a$ainst the protestors of =atunayake and
Rathupaswala. The day may not be far distant when protestors a$ainst the abusesFe0cesses of
acolyte capitalists are arrested by the Ra;apaksas policeFmilitary under the 1T/ and con4icted
by the Ra;apaksa>;udiciary of terrorism.
References@
%apital in the Twenty 3irst %entury
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