2G Spectrum Allocation Fraud, 1.76 Lakh Crores (40 billion dollars).

Classic example of collusion between politicians, industrialists and media with high powered brokers. Big names like Mukesh Ambani, Ratan Tata, S.Karunanidhi her daughter Kani Mojhi, A.Raja (the culprit) were there.

According to Dr. Swami , Sonia has taken a big share of the loot deposited under her sisters names (Anushka and Nadia)

Original estimate of Indias CWG is 617.5 crores.90% of infrastructure development costs were looted. 900+ crores billed for about 85 crores stadium. CWG cost comparisons 2002 (UK): Rs 2,100 crores 2006 (Australia): Rs 5,000 crores 2010 (India): Rs 60,000 crores!!! 2014(UK, estimated): Rs 2,200 crores!!!

Indias political corruption poses an existential threat to the state.

Corruption is not new to India even in the 80s this case hit the walls of Indian Defence Sector. Biggest scandal of the time,in1980s where major cut was believed to be taken by Rajiv Gandhi and his party, with Quattrochi, close Italian family friend of Sonia Gandhi brokering the deal. Quattrochi negotiated many Indian Govt deals on behalf of his parent company Snam Progetti.

The scam at Satyam Computer Services is something that will shatter the peace and tranquility of Indian investors and shareholder community beyond repair.
Satyam is the biggest fraud in the corporate history to the tune of Rs. 14000 crore.

The companys disgraced former chairman Ramalinga Raju kept everyone in the dark for a decade by fudging the books of accounts for several years and inflating revenues and profit figures of Satyam. Finally, the company was taken over by the Tech Mahindra which has done wonderfully well to revive the brand Satyam.

If you havent heard of Bihars fodder scam of 1996, you might still be able to recognize it by the name of Chara Ghotala , as it is popularly known in the vernacular language.

In this corruption scandal worth Rs.900 crore, an unholy nexus was traced involved in fabrication of vast herds of fictitious livestock for which fodder, medicine and animal husbandry equipment was supposedly procured.

What could India do with 73 lakh Crores (1.4 trillion dollars)? Indias poverty can be wiped out. The looted money is used to hoard food supplies to increase prices and make more. This is making life hell for poor in India with 12% inflation. A mother has to chose between sending her child to school or to work. Lack of development is causing insurgency. One third of Indias districts are affected by Maoist insurgency.
Transfer of loot to tax havens and to countries har boring terror groups. Wide contrast between rich and poor. Market works on sentiments besides other economic fundamentals. Scams after scams have not only tarnished the image of the country but also hitting hard our markets.

Massive awakening to force laws that have teeth and are not subjected to political interference. E.g., Indias RTI (Freedom of Information) act has given some power to citizens over bureaucracy. Encourage people to vote. Educate the poor that the freebies given during elections are stolen money. Encourage citizens to say No to bribes. Reduce corruption for Govt services by use of Technology such as E-Governance and reduction of Government control. Transparency in Government contracting etc.

CORRUPTION CHAIN
Panchayat asks charan for bribe to provide work Panchayat adds fake workers to the list Local supervisor tampers with charans attendance

Mukhiya delayed payment

Government official asks for cut to approve project

Panchayat official approves work done by fake workers, legitimising them

Panachayat and block office hold back payments till a bribe is paid

Local supervisor collecting payment on villagers behalf retains a share. If he has inflated workdays, he pocketed the

NREGS CHAIN
Charan Singh asks his Panchayat for work After the officials approval, village mukhiya sends charans payment advice to block office Panchayat assigns him to a project Local supervisor monitors charans attendance Once a week, Panchayat official quantifies work done by charan and other, and informs GOVT Charan accesses his account

Government official visits worksite to cross check information

Bank/PO Mukhiya writes Block office clears Charans cheque and puts charans payment send it to bank or P.O. money into charans account

Parallel Economy exist due to various Reasons

1. High Tax Rate

2. Complicated Tax Procedure

3. High Inflation 4. People does not get enough Return on their tax paid 5. Corrupt Practice 6.Insufficient Laws and their Implementation

The Following Things Circulated in Parallel Economy

HAWALA

BLACK MONEY

CORRUPTION & BRIBERY

Parallel Economy

NOW FLOOR IS OPEN FOR QUESTIONS