KLEPTOCRACY @CENTRESTAGE

A convergence of circumstances is putting unprecedented spotlight on corruption, its scrutiny, fallouts and investigation in India. EPISODE #119

Dear Reader,

A very Happy Monday to you.

In recent weeks, the debate on corruption has gathered miles, gained in decibels and figured prominently in the national and international discourse. Less than a year ahead of another key general election, the issue of corruption has emerged as an important fault line in Indian politics.

The Supreme Court last week agreed to hear a petition filed by a clutch of opposition parties claiming that the ongoing crackdown by investigative agencies smacked of political vendetta and spared members of the ruling Bharatiya Janata Party. The union government—led by Prime Minister Narendra Modi—on the other hand is determined to see its eight-year drive to curb kleptocracy to its logical conclusion.

And, coincidentally, the Summit for Democracy, the US sponsored body batting for democracies, concluded its virtual session last week and reiterated its commitment to combat corruption. So this week I try to unpack this vexing subject and its attendant implications.

The cover picture this week is a view of the Mysore palace. It is clicked by Ashim D’Silva and sourced from Unsplash. Thank you Ashim.

A big shoutout to Ranjini, Balesh, Laxmi, Premasundaran, Gautam, Aashish and Vandana for your informed responses, kind appreciation and amplification of last week’s column. Once again, grateful for the conversation initiated by all you readers. Gratitude also to all those who responded on Twitter and Linkedin. Reader participation and amplification is key to growing this newsletter community. And, many thanks to readers who hit the like button😊.

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CONFRONTING CORRUPTION

For the last three decades, India has been witnessing a clash of several narratives. But one that is grabbing headlines is the issue of corruption. It is not new, but somehow it seems to have hit a high in the public discourse.

Ever since the Bharatiya Janata Party (BJP) pulled off an audacious win in the 2014 general election and then did an encore in 2019, it made corruption and empowerment core to its governance agenda. To be sure, this was a central issue in their campaign for power too.

But it is another thing to pursue an electoral promise, once in an office. Especially such a difficult task as tackling corruption. Seemingly they have done so.

Whether it be demonetisation of high value currencies, permitting self-attestation of documents, linking Aadhaar to an individual’s Permanent Account Number (PAN) for income tax or the launch of Direct Benefits Transfer (DBT) to deliver social welfare, the underlying thread was the same: disable, if not eliminate corruption.

In an adroit political move the BJP-led National Democratic Alliance (NDA) linked empowerment and fighting corruption, when Prime Minister Narendra Modi most famously remarked “Na khaonga, aur na khande doonga” (Neither will I engage in corruption, nor will I allow others to be corrupt.)

However, the political opposition saw this differently. They have argued that the government’s aggressive actions, smack of political vendetta. The history of Indian politics is replete with examples of political rivals pursuing corruption charges against their predecessors.

Previously though there was a pattern to these charges—they would rise and ebb as the new regime established itself. This time though it is different. For nine years, the NDA has stayed on the message and relentlessly invested its hard earned social capital in tackling corruption, despite being at the receiving end of a series of allegations levelled by opposition politicians.

Opposition Cries Foul

Last week 14 opposition parties filed a joint petition before the Supreme Court claiming that the investigative agencies—the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED)— were being misused by the government.

Significantly, the apex court admitted the petition and issued notice to the central government, setting the stage for a legal battle on one aspect of the vexing issue of corruption and its cure.

Regardless of the outcome of the legal challenge, it may be moot to examine one claim of the opposition: The ED was unfairly focusing its investigations on politicians. According to the ED’s website, as on 31 March, 5,906 ECIRs (an FIR equivalent) have been filed. Of this, 176 ECIRs are against politicians—which works out to 2.98%!

The Political Economy

While corruption scandals have dogged most regimes since Independence, including the first government led by Prime Minister Jawaharlal Nehru, they have never been the dominant factor influencing regime change. At best, it has been a contributory factor to unseat an incumbent; like it happened in 2014.

This is probably the first time in electoral history that an incumbent regime has linked its reelection to its own record against corruption vis-a-vis its political opponents. From PM Modi’s recent utterances as well as the body language of other leaders of the BJP, it is apparent that the fight against kleptocracy will figure prominently in the run-up to next year’s general election.

I would argue it is the linking of fighting corruption with empowerment that has done the trick for the NDA. By linking social welfare benefits with Aadhaar, the government ensured targeted delivery. More importantly, it eliminated the traditional middleman and made the general populace stakeholders in the economy. As I have argued previously, they are no longer outside, looking in.

Not only did this deliver development to the deserving, it also saved money to the exchequer and dented the corruption edifice. I have written about this previously, so will not elaborate. But, will draw your attention to the graphic above which captures these gains.

Of course, it is also a fact that the NDA’s nine years in office has not witnessed any corruption scandal, despite several allegations. Clearly, the NDA has thrown down the gauntlet on corruption. Now, all eyes on the opposition.

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Recommended Viewing

Sharing the latest post of Capital Calculus on StratNews Global.

This time I took up the sixth and final report of the Intergovernmental Panel on Climate Change (IPCC).

The report released last week was a rude wake up call for the entire world. In short, it said that the world was facing an imminent catastrophe as climate change is poised at the point of no return.

Indeed, if the world fails to halve its carbon emissions in the next seven years, then global temperatures will breach the 1.5 degree C ceiling. Thereafter extreme weather events will be par for the course.

To unpack these frightening projections I spoke to Minal Pathak, co-author of the IPCC report and environment professor at the Ahmedabad University. Without being geeky, Minal laid out the challenges and the opportunities for the world—if it does undertake the desired pivot.

Do watch and share your thoughts. And please do share the clip with acquaintances, friends and family. One of the gaps the IPCC identified was communication. You as a stakeholder can help fill this deficit. Grateful.

Sharing the link below:

Till we meet again next week, stay safe.