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Selected Articles from VariousNews Paper 91

AUGUST, 2012

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New JEE Format:Right Diagnosis, WrongMedication

AUGUST, 2012

‘Think good and it will be good’Positive thinking can be one of the most powerful weapons one can have. We are living in a brutally

competitive world where a minor slip can result into voyage to abyss. Not everyone accepts or believes inpositive thinking. Some consider the subject as just nonsense, and others scoff at people who believe andaccept it. Among the people who accept it, not many know how to use it effectively to get results. Yet, it seemsthat many are becoming attracted to this subject, as evidenced by the many books, lectures and courses aboutit. This is a subject that is gaining popularity. Negative thoughts, words and attitude bring up negative andunhappy moods and actions. When the mind is negative, poisons are released into the blood, which causemore unhappiness and negativity. This is the way to failure, frustration and disappointment. People often fallvictim to outbursts, anger, fear and dislikes. All these elements are mere manifestations of our negative thoughts.But the thing with negativity is that, the more you express it, the more you attract it. That’s where power ofpositive thinking comes into the picture.

It is important to identify negative thoughts as soon as they appear on the surface and bury them beforethey start taking root. The challenge is to apply mind and logics instead of emotions. Cultivate the hobby ofpositive thinking. Hang around with people who have a positive disposition towards life. Positivity is infectiousand when you are surrounded by delightful people, you start feeling and behaving the same. If you can simplythink in a positive way, you can most certainly affect the outcome of your actions. Whatever we do begins witha thought. We are always thinking something or the other. So why not we should strive to incorporate thisinevitable thought process in our lives in a positive way? Positive thinking is a virtue and a necessity intoday’s world. The single attribute of positive thinking can help in making a difference to our lives and also tothe people in our surroundings. Positive thought instigate positive attitude towards a task, which in turnchanges the outcome. It is the crucial foundation upon which a healthier, happier and longer life is build upon.

A story to illustrate how it works:

Wagish was appearing for the UPSC interview, but as his self-esteem was low, and he considered himselfas a failure and unworthy of success, he was sure that he was not going to get the job. He had a negativeattitude towards himself, and believed that the other applicants were better and more qualified than him.Wagish manifested this attitude, due to his negative past experiences with interviews. His mind was filledwith negative thoughts and fears concerning the job for the whole week before the interview. He was sure hewould be rejected. On the day of the interview he got up late, and to his horror he discovered that the shirt hehad planned to wear was dirty, and the other one needed ironing. As it was already too late, he went outwearing a shirt full of wrinkles. During the interview he was tense, displayed a negative attitude, worriedabout his shirt, and felt hungry because he did not have enough time to eat breakfast. All this distracted hismind and made it difficult for him to focus on the interview. His overall behavior made a bad impression, andconsequently he materialized his fear and did not get the selected.

Malay was also appearing for the UPSC interview, but approached the matter in a different way. He wassure that he was going to get the job. During the week preceding the interview he often visualized himselfmaking a good impression and getting the job. In the evening before the interview he prepared the clothes hewas going to wear, and went to sleep a little earlier. On day of the interview he woke up earlier than usual, and

Editor’s Note

had ample time to eat breakfast, and then to arrive to the interview before the scheduled time. He got selectedbecause he made a good impression. He had also of course, the proper qualifications, but so had Allan.

What do we learn from these two stories? Is there any magic used? No, it is all natural. When the attitudeis positive, we enjoy pleasant feelings and visualize what we really want to happen. This brings brightness tothe eyes, more energy and happiness. The whole being broadcasts good will, happiness and success. Even thehealth is affected in a beneficial way. We walk tall, our voice is more powerful, and our body language showsthe way we feel. Think positive and expect only favorable results and situations, even if your currentcircumstances are not as you wish them to be. In time, your mental attitude will affect your life and circumstancesand change them accordingly.

RELEVANCE OF POSITIVE THINKING

Positive thinking brings inner peace, success, improved relationships, better health, happiness andsatisfaction. It also helps the daily affairs of life move more smoothly, and makes life look bright and promising.Positive thinking is contagious. People around you pick your mental moods and are affected accordingly.Think about happiness, good health and success and you will cause people to like you and desire to helpyou, because they enjoy the vibrations that a positive mind emits. In order to make positive thinking yieldresults, you need to develop a positive attitude toward life, expect a successful outcome of whatever you do, butalso take any necessary actions to ensure your success.

A Key to Success

Use only positive words always while thinking and while talking. Use words such as, ‘I can’, ‘I am able’,‘it is possible’, ‘it can be done’, etc.

Try to ignore and disregard negative thoughts. Refuse to think such thoughts, and substitute them withconstructive happy thoughts.

Before starting with any plan or action, visualize clearly in your mind its successful outcome. If youvisualize with concentration and faith, you will be amazed at the results.

Associate yourself with people who think positively.

Always sit and walk with your back straight. This will strengthen your confidence and inner strength.

Avoid sentences like ‘I wish I could have’ or ‘I wish I should have’.

Focus on what you have rather than pondering over what you lack.

Don’t think about past regrets or future worries. Past is gone and future comes when it comes. Present iswhat we have so we must make the most out of it.

Be natural and be happy with what you are and what you have.

Yagya Nand Jha

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The Indian Presidentialelection is a game about whichpolitical formation manages theirreputation best and serves no otherpurpose. While the new Presidentwill take charge in little over fiveweeks, the intricacies ofcommunication, reputation ofprobable candidates and the imagemanagement techniques used byparty bosses is playing out thisweek. This is a lay man’s attemptto decode the current scenario anda reputation managementprofessional’s understanding ofwho managed their image andhow? Mamata Bannerjee’s unholyand conspiratorial grouping withMulayam Singh Yadav and SoniaGandhi’s strategy in isolating herand winning the support of mostparties in opposition, have exposednot only the apparent fissures inthe UPA coalition government butalso the NDA’s inability to find a

suitable candidate. NDA is nowsupporting Sangma who can bestbe described as a “borrowedcandidate”. Regional parties havegone arrogant and have gone on todisplay power in their own bizarreway, and that doesn’t augur wellfor the democracy; and the twonational parties are in a huddleknowing very well the power centredoesn’t lie with them anymore.

The high octave drama wasgood enough to break any kind ofboredom. There is no disputing thefact that India’s ex finance MinisterPranab Mukherjee is an excellentchoice. He has all the rightcredentials, and the credibility tooccupy the post; even though itwould mean that the Congressparty would lose its seasonedtrouble shooter. His likely elevationhas to be welcomed. What shouldbe condemned is the deceitfulconduct of various parties in the

entire episode and many more tofollow till the electedrepresentatives cast their ballot toeither elect Pranab Mukerjee orformer speaker PA Sangma who issupported by a truncatedopposition alliance without thesupport of its key partners ShivSena and JD(U).

The alliance in opposition issupporting a candidate who neverbelonged to its fold, havingoffended two of its alliance partnersnamely Shiv Sena superemo BalThackery and JD(U) leader andNDA convenor Sharad Yadav, whohave gone all out to support UPAnominee Pranab Mukerjee. Andfirst one to announce thecandidate, has gone on a silentmode on PA Sangma! MamataBanerjee may have many faults. Sheis volatile and unpredictable. Attimes she is also unreasonable, butthen which politician is not? The


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run-up to the presidential electionhas thrown interesting insights tohow a politician conducts himself;treats his party; how the partiesshift their stand-rather do they haveany stand and logic.

Not after the West BengalChief Minister had ousted theCongress’s own preference forRashtrapati Bhawan — FinanceMinister Pranab Mukherjee as firstchoice followed by Vice-PresidentHamid Ansari. And certainly notafter Ms Banerjee and Mr. Singhhad dared to include ManmohanSingh in their list of three, the othertwo being Abdul Kalam andSomnath Chatterjee. Ms Banerjeeand Mr. Singh were in factsuggesting that the Congresschange its Prime Minister, aproposal the party should haverejected instantly, without a secondthought. Indeed, it should havebeen evident to the Congress thatMs Banerjee and Mr. Singh haddragged Dr. Singh into thepresidential contest with the soleintention of unsettling andembarrassing the leadership troikaof Ms Gandhi, Dr. Singh and Mr.Mukherjee. As it turned out, theploy worked and a paralysedCongress showed itself incapableof mustering the strength andclarity required to deal with thesituation.

Meanwhile, former speaker ofthe House of Common and an allyof the ruling alliance, PA Sangmafloated his candidature breakinghimself away from the alliance,kicking his principle party and has

gone on to seek ”consciencevotes” from the various parties. Asper Sangma, his victory in thepresidential race would be a “bigmessage” to “more than 100-million tribal’s” in the country andsuggested that it could helpreaddress tribal-related issues. Sangma has been a seasonedpolitician and has been into activepolitics for close to four decadesnow; and believes that the issue ofthe tribal can be raised from a“passive” post! Sangma’sapproach is straight from Charlesde Gaulle’s book of thought; “Inorder to become the master, thepolitician poses as the servant.”

If Mulayam and Mamata (MSquare) were strategic enough thebest thing to do would have beento reach out to Jayalalitha andNaveen Patnaik before committingthis silly act. The reason for notdoing that could have been PurnoSangma having been alreadyfielded by them. But they couldhave really embarrassed Sonia byproposing Purno Sangma as afourth name. The interestingdevelopment that some mediaoutlets reported on the night ofJune 13th was that Pranab statinglate at night that he is not interestedin running for President, whichturned out to be false and mererumours.

In all this drama the BJP inparticular and the NDA at large iscompletely isolated. What isinteresting to note is the secondlargest party in the NDA – the JDUhas shown favourability towards

Pranab Mukherjee. One possible‘real shocker’ for the media, forNDA and for the M Square couldbe the JDU joining the governmentwith NK Singh being made FinanceMinister when Pranab getselevated. Thereby UPA’s relianceon both Mamata and Mulayam canbe reduced drastically. Congressdoes not have any base in Bihar likethe way they do in a small way inUP, so partnering with JDU will nothurt its absence of ambition inBihar in the short term.

Political parties, as is theirwont, play political games, whetherin a parliamentary or presidentialelection. A.P.J. Abdul Kalam, whodistinguished himself as one ofIndia’s most popular Presidentsduring 2002-2007, seems to havebeen quick to sense the designs ofself-serving politicians who wereseeking to drag him into anotherpresidential contest. Oftencelebrated as the People’s Presidentduring his years in office, Mr.Kalam enjoys the love and affectionof countless youth in the country.The octogenarian bachelor is seenas a selfless patriot standing apartfrom the much-derided politicalclass. In 2002, when he decided tocontest, the political circumstanceswere markedly different: both themajor political formations, theNDA and the Congress, were withhim, and only the Left parties putup a token fight. Now, with Mr.Mukherjee getting the support ofeven the Samajwadi Party — whoseleader, Mulayam Singh, wasinstrumental in first proposing Mr.




Kalam’s name in 2002 and floatinghis candidature this time aroundtoo — the presidential race is asgood as over. The Left parties willdecide on their stand on June 21,but no matter what, they would beaverse to backing an NDA nomineeeven if it is Mr. Kalam.

Mr. Kalam would surely haverealised he would be placing hisown legacy under threat if he wereto contest again. As a formerPresident, he is taken seriouslywherever he goes. On theKudankulam Nuclear Power Plantissue, his views had a bearing onthe broader public opinion, even ifnot on the local populace. If WestBengal Chief Minister Mamata

Banerjee and the BJP wanted himas President, it was only to servetheir respective political ends. TheBJP will do anything to embarrassthe Congress, and Ms Banerjee willstop at nothing to stay in thespotlight and project herself as theprime mover of all things. To hiscredit, Mr. Kalam was able to seethrough the motives of hissupposed backers, and resist thetemptation to enter the fray. In 2007,when there was a similar move tomake him contest again, he hadrightly stepped back as he did notwant to involve RashtrapatiBhavan in any political process.Five years on, Mr. Kalam’sstatesmanship, vision and sense of

his own legacy remainundiminished.

Waging a political battle usingthe presidential elections isanother low to hit the politics inIndia.It’s that time again. The timewhen the next President of Indiawill be elected and the lobbying,jostling and campaigning havebegun. As of course, has thespeculation about who will get thejob. The shady drama that precededthe announcement of Presidentialcandidates for India by variousparties has left a bad taste in themouth of even the toughenedmocking watchers of Indianpolitics.

Aman Srivastava

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also instructed the President to takenecessary measures under theConstitution to ensurecontinuation of the democraticprocess through the parliamentarysystem of government.

The Supreme Court ofPakistan had instructed the PrimeMinster Yusuf Raja Gilani to askSwiss authorities to reopen casesof multi-million dollar graft casesagainst the President Asif AliZardari, which the Prime Ministerrefused to follow, citingconstitutional immunity enjoyedby the president as the reason. AsifAli Zardari was accused oflaundering an estimated 12 milliondollar, received as the kickback bythe companies looking for customsinspection contracts, to his SwissBank account, when his wifeBenazir Ali Bhutto was the PrimeMinister of the country during1990s. After this country’s then-military dictator deposed the

Supreme Court chief justice in 2007,a boisterous movement ofprotesting lawyers took to thestreets and ushered in the return ofdemocracy. Now that same courtmay be poised to bring about apremature end to Pakistan’selected government. Since itsDecember judgment striking downan amnesty that shielded PresidentAsif Ali Zardari and other officialsfrom old criminal allegations, thetop court has pressed thegovernment on corruption, inparticular a dated money-laundering case against Zardari.The standoff has cemented theSupreme Court’s position as acentral player in Pakistan’s nascentdemocracy. But it has alsohighlighted questions about thesolidity of that system.

From the time PervezMusharraf suspended him andplaced him under house arrest inMarch 2007, through his first

The Supreme Court ofPakistan on 19 June 2012, debarredPakistan Prime Minister YusufRaja Gilani from his office. Thecourt’s ruling also disqualifiedGilani as the member of theNational Assembly, the lowerhouse of the Majlis-e-Shoora(Parliament). Gilani was convictedfor violating the article 63(1) (g)(contempt of court) of theconstitution of Pakistan on 26 April2012 by the Supreme Court. Thecourt’s verdict came followingGilani’s refusal to probe cases ofcorruption against PakistanPresident Asif Ali Zardari. Thethree-judge Bench of the apexPakistani court headed by ChiefJustice Iftikhar MuhammadChaudhry held Gilani, Pakistan’slongest serving Prime Minister,ineligible for the post since 26 April2012 when the court awarded hima symbolic 30-second sentence forthe contempt of court. The court




restoration later that year and thesecond in 2009, to present times,Chief Justice Iftikhar Chaudharyhas come to be seen by ordinaryPakistanis as the only hope for theircountry. Under his leadership, theSupreme Court has been nothingless than activist, callingpoliticians, government, themilitary, intelligence services,police, all of them to account. FromPakistan’s relations with the U.S.to the country’s budget, there is noarea of public life that the higherjudiciary has spared in the last fiveyears, no national ill that it has notcommented on. Some have seen inits actions and pronouncements agrudge against the PakistanPeople’s Party government,especially against President AsifAli Zardari. Now and then, thecourt’s actions have given reasonfor such a conclusion, especiallywhen it overturned the graft casesamnesty granted by GeneralMusharraf that benefited Mr.Zardari. Still, the Chief Justice hasdefied easy labelling, such as “pro-military”, “pro-Establishment” or“pro-Opposition”. What is moreeasily apparent, though, is that heenjoys public adulation andaffection of the kind previouslyunheard of in the country.

Not surprising then thatwhen the country’s biggestproperty tycoon claimed he hadbribed Mr. Chaudhary’s son to winfavourable judgments in casesrelating to him being heard in theSupreme Court, the allegation cameto be seen as part of a political

campaign to unseat the ChiefJustice. If that is really the case, Mr.Chaudhary has won this battle: hefirst took suo motu notice of theallegations against his son, thenrecused himself from the case; thebench hearing the case has nowordered the government to use allavailable instruments toinvestigate the allegations and actas appropriate. Most importantly,in the time-frame covered by theallegations, the Court gave noverdicts favourable to thebusinessman. The controversy isbound to have implications for theturf war that has roiled Pakistanover the last few months. TheSupreme Court and the Executivehave been locked in a struggle toredefine the limits of their powers.Before the court are petitionsagainst the Speaker’s decision notto disqualify the Prime Minister onthe grounds of his conviction in thenow famous contempt case. Theconflict has already sapped theenergy of the nation, and divertedvirtually all attention from day today governance, but if it leads tostronger institutions, Pakistan, andits nascent democracy can onlybenefit.

MERITS

Iftikhar MuhammadChaudhry, former chief justice ofthe Supreme Court of Pakistan, hadsaid that the judiciary canintervene if the institutionstrespass their constitutional limits.Addressing a function in theSupreme Court on the occasion of

commencement of the new judicialyear, he said that the judiciary hadtaken oath to protect theconstitution. Therefore, to checkunconstitutional steps was withinthe obligations of the judiciary, hesaid. He also said that the executivedid not seem satisfied with thejudicial verdicts against itsunconstitutional acts. Anotherimportant point in the chiefjustice’s speech was the issue ofcorruption in the lower courts andhe said that corruption could notbe controlled in spite of increasingsalaries and other perks of the lowerjudges.

If the speech of the chief justiceis reviewed, three important pointswould come to the front. One, whichdetermining the constitutionallimits of the institutions is withinthe power of the judiciary. Two, theexecutive is not satisfied with thejudicial decisions. Three,corruption is still prevalent in thesubordinate courts.

All these three matters areinterconnected and the judiciary isat their center. The chief justice iscorrect that fulfilling ofresponsibility by the judges isessential for ensuring peace andstability, strengthening nationalintegrity, and improvingadministrative affairs. When,during the Second World War, adreadful picture of the country’ssituation was drawn before formerBritish Prime Minister WinstonChurchill said that if the courtsdelivered justice, there was nothingto worry.

IS PAKISTAN’S SUPREME COURT HAS




GOING OVERBOARD

Section 248(2) of thePakistani Constitution states:

“No criminal proceedingswhatsoever shall be instituted orcontinued against the President orGovernor in any Court during histerm of office.” The language of theabove provision is clear, and it is asettled principle of interpretationthat when the language of aprovision is clear, the court shouldnot twist or amend its language inthe garb of interpretation, but readit as it is. Therefore it is hard tounderstand how proceedings oncorruption charges (which areclearly of a criminal nature) can beinstituted or continued against thePakistani President. Moreover, howcan the court remove a PrimeMinister? This is unheard of in ademocracy. The Prime Ministerholds office as long he has theconfidence of Parliament, not theconfidence of the Supreme Court. Itcan be said that the PakistaniSupreme Court, particularly itsChief Justice, has been showing anutter lack of restraint. This is notexpected of superior courts. In factthe court and its Chief Justice have

been playing to the gallery for long.It has clearly gone overboard andflouted all canons of constitutionaljurisprudence.

THE WAY AHEAD

Since the new PM-designate,Raja Pervez Ashraf, also has a fairshare of cases against him, the jokein town was that efforts were on todig up dirt onQamar Zaman Kaira,the “cover candidate” introducedinto the fray by the PakistanPeople’s Party (PPP). In any case,no one expects the new premier tohave an easy run. As the search forcandidates for premiership was on,the bottom line was that only thosewilling to be disqualified for fiveyears need apply. It is amply clearthat the PPP is determined not towrite to the Swiss authorities toreopen graft cases againstPresident Asif Ali Zardari. Amongthe first tasks awaiting the newman in would be the SupremeCourt order asking that the letterbe sent, or go the Gilani way. Tomany an analyst, the superiorjudiciary is now attempting to dowhat traditionally the military —again a non-elected state institution

— assigned for itself: clean upPakistani politics and society. But,according to political analystHasan Askari Rizvi, “if theexpanded role of non-electedinstitutions offered a crediblesolution, Pakistan’s politicsshould have been very organisedand systematic after four periodsof direct and indirect military rule.”

Therfore it can be said thatevery part of the Constitutionshould know that the Constitutionestablishes a delicate balance ofpower and each of the three organsof the state — the legislature, theexecutive and the judiciary — mustrespect each other and not encroachinto each other ’s domain,otherwise the system cannotfunction. For now, the coup talkmay be just that — talk — but as allinstitutions continue to jockey forspace and power in what isessentially the nascent phase of anevolving democracy, any attempt toupset the apple cart will arousesuspicion. On this count at least,Pakistan cannot be accused ofcrying wolf too often. And, themilitary and the judiciary do nothave history on their side.

Md. Israr




Under the new formatapproved by MHRD, admissions toall Central governmentengineering institutes will bethrough a common exam,scrapping the current system of JEEfor the IITs and the All IndiaEngineering Entrance Exam(AIEEE) for other institutes. Acommon merit list is to be preparedwith an unprecedented 40 per centweightage for Class XII boardexamination marks and 30 per centeach for two examinations — JEEMain and JEE Advanced — to beheld on the same day.

The Ministry claims its mainintention is to reduce the stress ofmultiple entrance exams onstudents. It should have askedstudents their opinion. More thanthe difficulty of the exam, the stressassociated with the JEE is due tothe huge imbalance between thenumber of seats and aspirants. The

proposal does nothing to changethis. In fact, the pressure now to dowell in three exams is sure toincrease stress. Also, by keepingboth exams on the same day, arandom event — the candidatefalling ill, even a bus breakingdown — can destroy a student’sfuture. Whereas previously therewere options if one entrance testwent badly, the new system has anall-or-nothing feel to it. It’s nosurprise that parents are thinkingof taking the matter to court. TheMinistry also aims to re-vitaliseschool education by giving moreimportance to the Class XII boardexaminations which, it feels, areignored by students. Again, had itasked students it would haverealised why. Though nominallythe syllabi for the boardexaminations and the JEE are thesame, board examination papersare based on memory-based

learning with easy, expectedquestions, while the JEE’s focus isconceptual with unexpected,challenging questions. No JEEquestion is ever repeated. Besides,most State board examinations areplagued by rampant copying andquestion paper leaks, while thepractical examinations arefamously a farce.

MERITS OF NEW FORMAT

With class XII exams playinga more important role in theadmission process, students inrural areas studying in stateboards standing a better chance ofgetting into national institutes.Proponents of the exam argue thatit will make schooling morerelevant and make students focuson their board exams as well. Thiswould also make students lessdependent on coaching classesand could allow students from

New JEE Format:Right Diagnosis, Wrong Medication




different board a better chance atgetting into national institutes. Ifyou are aspiring to get into anengineering college, you could haveto write between two to threeexams, one for the IITs, the AIEEEand the state Common EntranceTest. Each of the exams is uniquein its nature and while the IIT isthe highest benchmark, manystudents also choose to preparebetter for the state entrance examssince they don’t believe they havea shot at it. With just a single teststudents have to prepare only forone exam and are graded based onit. IITs are used to choosingstudents from their own admissionprocess, which will be diluted withthe greater importance of Class XIIexaminations. Faculty and criticsargue that given the autonomy ofthe IITs this will prevent them fromdistinguishing the students bettersuited for the course and amountsto the government interfering intothe functioning of an institutionthat has been largely allowed tofunction independently.

DEMERITS OF NEW FORMAT

While class XII exams willbecome important, the two IITexams – the JEE main and JEEadvanced- will be the main factorsthat will decide admissions andthey will not be easy enough for astudent who is best prepared for aexamination set by a stateeducation board. It may onlyincrease further dependence oncoaching classes. IIT faculty whoare opposing the single exambelieve the single exam will only

increase stress among the studentssince it will now be a make or breaksituation for them. Also critics haveargued having two separate testson a single day will not help. FormerIITians and alumni claim the newformat would also significantlydilute the quality of studentsentering the IIT. Each of the boardshas a different grading system andmarks across each of the stateboards and national boards forClass XII examinations varygreatly. With standards ofeducation and grading differingacross education boards, IIT facultyand critics of the new systembelieve it may give students whodo well in the boards an undueadvantage over those who may bebetter suited for IITs. The IITs willcontinue to function autonomouslyand continue to take its owndecisions in all other matters. Thenew one exam system allows alevel playing field for all studentsand will help resolve the students’woes of having to study for variousexams.

IIT-JEE aspirants constituteonly a fraction of the total numberof students taking the Class XIIexamination across the country. Atotal of 4.79 lakh students took theIIT-JEE this year. This numberincludes many who graduatedfrom Class XII last year. So, thenumber of Class XII studentsappearing in IIT-JEE is even lowerthan this number. Even if oneassumes all of them are from ClassXII, this number works out to be lessthan 6 per cent (5.79 per cent) ofstudents enrolled in Class XII. Allthe debate ignores the 94 per cent.

As far as coaching classesconcern, forget the 40 per centweight, even if Class XII scores get100 per cent weight, it won’t wipeout coaching classes. For thesimple reason that there are toomany good students vying for toofew seats available in the qualityhigher education system. It begetsanxiety among students and theirparents to leave no stone (coachingclass) unturned to make it. It is asupply problem. The number ofseats (about 10,000 in IITs) falls farshort of students (about 20,000selected for counseling) foundsuitable to take that course.

Students coming through JEEwere no longer as exceptional andtalented as before. The villain wasquickly identified: coaching classesthat promote drill and rote ratherthan thought and creativity. So thegovernment’s policy prescription:let’s underline the importance of theschooling system which ostensiblypromotes original thinking, let’stweak the entrance examination tofactor in Class XII marks. Thequestion is why maximumstudents do & parents prefer aprivate school over a governmentschool? Why do students and theirparents go to such lengths as toexhaust their meager savings topay for coaching even after a goodClass XII score? Will factoring inClass XII marks change this? Thefact is that reforming the IITentrance is way off the mark whenit comes to solving the originalcrisis: the school system.

There are other reasons whythe IIT entrance procedure needs amajor revamp. The presentselection system depends on




machismo in physics, chemistryand mathematics — ideally suitedfor coaching classes, condemningyoung boys and girls to aconcentration camp atmospherefor two years or so. This is theperiod these youngsters shouldspend exploring their interest andaptitudes but are prevented fromdoing so. This straitjacketing isprobably filtering out theinnovative and curious ones whohate such narrow perspectives,ensuring that IITs are denied someyoung Indians who might be trulyinterested in path breaking work.It is time for a rethink on theobjective of the selection procedurefor IITs. However, the HRDministry hasn’t solved the problem.It has only complicated it with thenew common entranceexamination, which will requirestudents to prepare equally for theClass XII board exam, JEE Mainand Advanced. The plan has beenriddled with conceptual flawsright from the start — first, the HRDministry pushed for a common testto provide a SAT-like standard.However, the SAT aims to separateacademic ability from familybackground or quality of schooling— why should school scores bebundled into the final assessmentfor engineering schools? After somegive and take with the IITs, theministry has conceded that ClassXII marks would only be used as afilter for them, and not be a part ofthe overall assessment. It clearlyneeds much more dialogue with theIIT faculty and administration —listening, not talking — before itrolls out these drastic changes. IITshave a formidable reputation in thecountry and abroad for producing

outstanding graduates over the lastfive decades. The reasons for thisincludes the selection of highperforming students through theJEE, which the IITs have runwithout blemish. This hashappened because those runningthe system take pride in their workas loyal members of the IIT system.IITs have also developedreasonably democratic systems foracademic functioning and selectionof course content, fair and opensystems for grading andevaluation, and studentmanagement. Faculty selection andpromotion processes are alsoreasonable considering theenvironment we have to operate in.

A more robust solution wouldbe to enhance the supply of qualityseats at the undergraduate level,not only in engineering ormedicine but also in law, commerce,humanities and social sciences.Take away their (IITs/ NITs/ IIITs)luxury to “select” from the plentifuland force them to compete withothers to “attract” the mostsuitable. This will also iron out theskew that these handful ofinstitutions create. The institutionalresponse to the hegemony of the IITslies in creating similar internationalbrands in other streams:humanities, law, commerce, socialsciences among others. This willforce them to compete to attractsuitable students. This, in fact, willrevive interest in aninterdisciplinary schoolcurriculum instead of the currentdistortion towards Physics-Chemistry-Math/ Biology. Thebottomline is that, first, it is not part

of the IITs/ NITs/ IIITs’ mandate tostrengthen the school system;second, a change of examinationpattern, as is being envisaged, is notgoing to revive the school system.

There is an impasse at handand it must be resolved amicably.Those protesting from the IITs havea point — that they must have arole in selecting their students. Anyuniversity should, as long as it isdone within the concepts of fairplay, social justice and societalobligations. An ideal entranceprocedure should include highschool performance, marks in acommon all-India quantitativeentrance examination and, ifdesired, any institution should beable to set their own entrance test/criteria also. If an institution wantsto conduct its own test it must bevery different from the current JEEand not require students to preparetoo much. It must test aptitude andnot just mathematical prowess asthat would already have beentested by the common all-India test.It would have to be free fromlanguage and class biases.Devising such a test would needcollaboration with national andinternational education andtesting experts and will take time,but it would free IIT faculty fromwasting their time on the JEE andfocus on what will actually benefittheir institutions. It should bepossible to design IIT specificaptitude test procedures within thenext year. If the IITs agree to such achange in entrance procedures theMHRD should agree to introducethe new system in 2014. If not, thecurrent proposal of MHRD shouldstay. As for the JEE, it needs to go.

Sandeep Dogra


Help Line No. 011- 45151781





14TH PRESIDENTIAL ELECTION

The date for the 14thPresidential election was notifiedby the Election Commission ofIndia on 11 June 2012. Inaccordance with the sub-section (1)of section (4) of the Presidential andVice Presidential Elections Act,

1952, the Election Commission ofIndia fixed the schedule for thepresidential election 2012. Article52 of the Indian constitution statesthat there shall be a President ofIndia. The executive powers of theUnion shall be vested in thePresident. He, as the head of a state,symbolises the nation. Article 55 (3)

of the Indian Constitution providesfor the manner of the Presidentialelection in India. The presidentialelection is held in accordance withthe system of Proportionalrepresentation by means of Singletransferable vote method. TheVoting takes place by secret ballotsystem.

Article 324 of the Constitutionread with the Presidential and Vice–Presidential Elections Act, 1952,and the Presidential and Vice-Presidential Elections Rules, 1974vests the superintendence,direction and control of the conductof election to the office of thePresident of India in the ElectionCommission of India. The ElectionCommission is mandated to ensurethat the election to the office of thePresident of India, which is thehighest elective office in the nation,must be a free and fair election andthe Commission is taking all

National Issues




necessary steps for discharging itsconstitutional responsibility.However, in case of any disputeregarding the Presidential election,the Supreme Court of India decidesthe matter.

As per the article 54 of theIndian constitution, the Presidentis elected by electoral collegecomprising the elected members ofboth Houses of Parliament, andelected members of the LegislativeAssemblies of all States includingNational Capital Territory of Delhiand the Union Territory ofPuducherry. The nominatedmembers of Rajya Sabha, LokSabha and Legislative Assembliesof the States cannot participate inthe election. The Electoral Collegefor the Presidential poll 2012 is4896. A total of 776 Members ofParliament and 4120 Members ofLegislative Assemblies willparticipate in presidential election2012.

ELECTORAL COLLEGE

An electoral colleg1e is a setof electors who collectively elect thePresident of India. It consists ofelected members of both Houses ofParliament, and elected members ofthe Legislative Assemblies of allStates including National CapitalTerritory of Delhi and the UnionTerritory of Puducherry.

PROPORTIONAL REPRESENTATION

SYSTEM

In the ordinary straight votingsystem a candidate who secures thehighest number of votes is declared

elected, while under theProportional Representationsystem any member who securesthe necessary quota of votes isdeclared elected. There are severalways of finding out the quota, butthe most common method is todivide the total number of validvotes cast by the total number ofseats in the constituency plus oneand add one to the quotient.

SINGLE TRANSFERABLE VOTE

SYSTEM

The Single Transferable Votemeans that each elector has onlyone vote, irrespective of the numberof seats to be filled up. For instance,if there are six seats to be filled up,the elector does not cast six votesbut indicates six successivepreferences, by marking his firstpreference and the succeedingpreferences with the appropriatenumerals against the name ofcandidates printed on his ballotpaper.

SINGUR LAND REHABILITATION AND

DEVELOPMENT ACT, 2011SCRAPPED

The Calcutta High Court on22 June 2012, held the Singur LandRehabilitation and DevelopmentAct, 2011 as unconstitutional andvoid. The legislation enabled thegovernment to recover the disputedSingur land from Tata Motors, whowas leased 997 acre of land atSingur in Hooghly district byprevious left front government inthe state. The Singur LandRehabilitation and Development

Act was passed by the West Bengalstate assembly in 2011 whenMamata Banrjee led TrinamoolCongress swept to power in May2011. The legislation whichjustified the state government’sland re-acquisition drive,empowered the government torecover 1000 acres of land at theabandoned Tata Nano factory sitein Singur.

SINGUR LAND DISPUTE

Singur land dispute surfacedin May 2006, following the left frontgovernment’s decision to lease 997acre land for 99 years, at Singur inHooghly district, about 40 km fromKolkata, for The Tata Motors’ Nanocar project. The party demandedthe return of 400 acre of land tofarmers reluctant to give land forthe project. Following the disputeand the political hindrancesoccurring in the project the TataMotors decided to move to Sanandin Gujarat in 2008 to keep itsambitious Nano project going. Thecompany, however, kept possessionof the leased land at Singur. Whenthe Trinmool Congress swept to thepower in May 2011, throwing longstanding left front government outof power, the Chief MinisterMamata Banarjee passed theSingur Land Rehabilitation andDevelopment Act, which enabledthe government to reclaim theSingur land from the Tata Motors.Tata Motors moved to the CalcuttaHigh Court against the legislation.The single judge bench of CalcuttaHigh Court upheld her decision in




its ruling held on 28 June 2011.Perturbed of the ruling, TataMotors challenged the verdictbefore the Division Bench ofCalcutta High Court comprisingJustice Kalyan Jyoti Sengupta andJustice Joymalya Bagchi on 1November 2011.

4.5 PER CENT SUB-QUOTA FOR

MINORITIES SET ASIDE

The Andhra Pradesh HighCourt on 28 May 2012 invalidatedthe 4.5 per cent sub-quota forminorities carved out of the 27 percent reservation for OBCs by theUnion government. A high courtdivision bench of Chief JusticeMadan Lokur and Justice P VSanjay Kumar quashed the sub-quota as it observed that the Uniongovernment’s move was based onreligious lines and not any otherconsideration. The court washearing to a Public InterestLitigation (PIL) filed by backwardclass’s leader R Krishnaiah againstthe sub-quota.

The Union Government willmove to the Supreme Court againstthe high court verdict. The courtalso refuted the UnionGovernment’s claim that thedecision to provide sub-quota tothe minorities was based on theirbackwardness and not on religiousgrounds. The bench observed thatthe very use of the words“belonging to minorities” or “forminorities” indicates that the sub-quota has been carved out only onreligious grounds and not on anyother intelligible basis.

GUIDELINES FOR THE FOREIGN

UNIVERSITIES ENTERING INDIA

According to the new set ofguidelines approved by UniversityGrants Commission (UGC) on 2June 2012, only global top 500universities will be allowed to starttheir operation in India. The newguidelines set the norms for theforeign universities aspiring toenter into agreement with Indianuniversities for offering educationprogrammes in the country. As perthe new guidelines the foreignvarsities entering into tie-ups withIndian partners should be rankedamong the top 500 by the TimesHigher Education WorldUniversity Ranking or by ShanghaiJiaotong University of the top 500universities. Institutes who fail toabide by the new UGC guidelineswould be suitably penalised whichalso includes stoppage of grantsfrom the UGC. The UGC came upwith the new guidelines followingthe rising concerns among theeducationists in the country overthe quality of foreign institutionswhich is tying up with Indiancolleges offering separateeducation programmes.

20000 CRORE RUPEES PROPOSAL

APPROVED BY MOD

The Union Ministry ofDefense (MoD) on 22 June 2012approved defense proposals worthover 20000 crore rupees for theprocurement of defenseequipments for the Indian army.The proposals were given the nodof the government in a meeting

chaired by Defense Minister AKAntony. The government in themeeting cleared an IAF proposalsworth over 8500 crore rupees forprocuring 14 Dornier aircraft andsetting up a nationwidecommunication network and gunsfor navy and the coast guard ships.Besides, the proposal for procuringeight regiments of QR-SAMs worthover 10000 crore rupees was alsoapproved by the defense ministry.The decision to accelerate thedefense procurements camefollowing the former Army ChiefGen VK Singh’s letter to the PrimeMinister Manmohan Singh, inwhich he had raised seriousquestions over the preparedness ofIndia’s defense system. In his letterto the Prime Minister ManmohanSingh, the former Army Chief hadblamed the extensive process forarms procurement for the pooroperational capabilities of the 1.13million-strong Indianarmy.General Singh had pointedout that 97 per cent of theequipment with the Army AirDefense was outdated.

DISSMISSAL OF LT. GEN. AVADESH

PRAKASH RATIFIED

Chief of Army Staff GeneralVK Singh on 21 May 2012 ratifieda court martial’s decision todismiss former military secretaryLt. Gen. Avadesh Prakash fromservice after he was found guiltyby an army court for his role in theSukna land scam case. Thedismissal will deprive Lt. Gen.Prakash of all the benefits like




pension and any privilege attachedwith military service. Prakash is thesenior-most officer to have beenawarded this punishment by thearmy. The General Court Martial(GCM) had announced its decisionto dismiss Lt. Gen. (retired) Prakashin December 2011. He was foundguilty of abusing his position underSection 45 (conduct unbecoming ofhis position as an officer) andSection 52 (intent to defraud) of theArmy Act by the General CourtMartial at 51 sub-area of the Armystation at Narengi in Guwahati.

The court martial wasconducted when an Army courtfound Lt. Gen. Prakash guilty ofmisusing his post in the land scam.Prakash was accused of illegaltransfer of 71 acres of land adjacentto the Sukna military station nearSiliguri in West Bengal to a privaterealtor for constructing aneducational institution in 2008. Lt.Gen. Prakash is the third Lt Genrank officer to have been given thepunishment in a corruption-relatedcase. Earlier Lt Gen S.K. Sahni wasremoved from service given his rolein the ration scam and Lt Gen P.K.Rath was given a punishment forhis involvement in the Sukna case.While Prakash and Sahni werepunished after their retirement,Rath was in service when he wasrebuked. Sukna land scam cameinto public notice in 2008 when thealleged move to transfer the landin Siliguri to a private educationaltrust came out in the open.Following the grave allegationsagainst the top army officials the

army began disciplinaryproceedings against Lt. Gen.Prakash and Lt. Gen. Rath amongother top officials.

IT IS MANDATORY TO LABEL GMFOODS

The Ministry of ConsumerAffairs in its gazette notificationpublished on 5 June 2012 made itmandatory to make labelling ofevery package containinggenetically modified food from 1January 2013. The ministry in thenotification noted that everypackage containing the geneticallymodified food shall bear at the topof its principal display panel thewords ‘GM’. The ministry’s movewill affect the numerous GMproducts which enters into theIndian market for sale. The move isaimed at educating consumers andmake them aware of GM products,much in the manner that there islabelling to distinguish non-vegetarian food from vegetarian.Under the current practiceImporters or exporters rarelydisplay the GM label on theproduct. Under the new rule theconsumers will have the liberty tomake a choice on whether theywant to buy the GM products or not.

GENETICALLY MODIFIED FOODS

Genetically modified foodsalso known as GM foods or biotechfoods are foods derived fromgenetically modified organisms.The process includes theintroduction of certain specificchanges into the DNA of

Genetically modified organisms bygenetic engineering techniques.TheGM foods were first introduced inthe market in year 1996.

SUPREME COURT REFUSED TO STAY

ON ANDHRA PRADESH HIGH COURT

ORDER

The Supreme Court of Indiaon 11 June 2012 refused to entertainthe Union Government’s petitionseeking a stay on an AndhraPradesh high court order whichquashed a 4.5 per cent sub-quotafor minorities in educationalinstitutions and government jobsin the existing OBC quota. The two-judge Supreme Court bench ofJustices K.S.Radhakrishnan andJ.S.Khehar refused to stay theAndhra Pradesh High Court orderas it observed the government didnot present any material to showhow it had arrived at a figure of 4.5percent reservation. As per thebench’s directions the reports by theUnion Government are to beproduced on 13 June 2012.

The Congress-led UPAgovernment on 22 December 2011,ahead of the key assembly polls inthe five states including UP inFebruary-March 2012, hadannounced the 4.5 per cent sub-quota for socially andeducationally backward minoritycommunities. It envisaged carvingthis sub-quota out of the existing27 per cent quota for OtherBackward Classes (OBCs). On 28May 2012, an Andhra PradeshHigh Court’s division bench hadstruck down the government’s sub-




quota for minorities, and held thatthe Centre acted in a “casualmanner”. The High Court said thatthe government OfficeMemorandum (OM) creating thesub-quota was based on religiousgrounds and not on any otherintelligible consideration.

RS. 1,500-CR. PLAN FOR CENSUS

TOWNS

If a rural area boasts a highpopulation — well above 5,000,sometimes as high as 20,000 —with most of its workforce in non-farm jobs, is it a village or a town?For almost 4,000 such areas, thedefinition is unclear: the censuscalls them towns, but since theyhave gram panchayats rather thanmunicipal corporations, thegovernment seems to consider themrural. The government has nowlaunched a Rs. 1,500-crore revampof the PURA (Provision of UrbanAmenities for Rural Areas) schemeto bring basic infrastructure tothese areas that are falling throughthe cracks of the rural-urban divide.

BIG PHENOMENON

“This is the big phenomenonof the 2011 Census,” says RuralDevelopment Minister JairamRamesh. “The number of statutorytowns [with a municipalcorporation] has stayed almost thesame from 2001. The number ofvillages is almost the same. But thenumber of so-called census townshas grown from just 1,362 in 2001to 3,894 now.” A census town isdefined as a place with a

population of over 5,000, apopulation density of more than400 per square kilometre, withthree-fourths of its male workforceemployed in non-agricultural jobs.“We have schemes for ruralinfrastructure, and schemes forurban infrastructure, but neither ofthem apply for these trishanku —caught in the middle areas,” addedMr. Ramesh. The PlanningCommission has now agreed togrant Rs. 1,500 crore during the12th Five Year Plan period to funda public-private partnershipscheme to bring water supply,sewerage, drainage, solid wastemanagement and street lighting tosuch unofficial urban clusters,mostly in the six States — UttarPradesh, Tamil Nadu, West Bengal,Andhra Pradesh, Maharashtra andKerala — which have seen thehighest growth of census towns.

KALAM SCHEME REVISITED

The scheme is a revamp of theformer President A.P.J. AbdulKalam’s brainchild, PURA, whichwas initially aimed at providingcity amenities tovillages. In its latestavatar, PURA 2.0 isfocussing on thedevelopment of 50to 60 potentialgrowth centressuch as censustowns. Initial pilotprojects have begunin Kerala, with eightother projectsawaiting final

approvals from State governments.Earlier this week, the RuralDevelopment Ministry invitedexpressions of interest for 10 to 15more projects. Under the scheme,the Central government will grantRs. 40 crore for each project withthe private player expected to investRs. 20-30 crore. Another Rs. 80crore is expected to come from theconvergence of existing schemes.Gram panchayats will signagreements with private players tobuild and maintain theinfrastructure for a 10-year periodduring which they can recoup theirinvestment, says the Ministry’sadvertisement.

ON IMPLEMENTATION OF

DHARMADHIKARI COMMITTEE REPORT

A PANEL CONSTITUTED

The Union Government ofIndia on 1 June 2012 announced toconstitute an implementation panelto look into the ways ofimplementing the Dharmadhikaricommittee report on Air India anderstwhile Indian Airlines merger.The implementation panel will




suggest the government of ways toimplement the recommendationsof Dharmadhikari Committee onissues including pay, allowancesand career progression structure.The implementation committeewill submit its report within 45days of its constitution. Thecommittee will also be given thetask of ‘level mapping’ ofemployees of Air India anderstwhile Indian Airlines.

The four-memberDharmadhikari committee onintegration of nearly 29000employees of Air India and IndianAirlines was headed by formerSupreme Court judge Justice D. M.Dharmadhikari. The committeehad submitted its report in January2012. The committee had consultedall the concerned parties includingpilots and management staffsbefore submitting its findings. Thecommittee was constituted in

March 2011. Some of the majorrecommendations of Dharma-dhikari committee are as follows:

• Air India should continue tomaintain two separate lines ofseniority for pilots belongingto the pre-merger IndianAirlines and Air India

• Pilots of both erstwhilecarriers must be allowed to flyaircraft of all types

• A 10-15 per cent salary cut forpilots and engineers to bringtheir salaries on par withindustry standards

• Uniform salaries for both setsof pilots

• Cross-utilisation of pilots,which means Indian Airlinespilots can fly Dreamliners,and Air India pilots can flyAirbus aircraft after obtainingrequisite endorsements andtraining

The Government of India in2007 announced the merger of AirIndia with Indian Airlines.Subsequently a new companycalled the National AviationCompany of India Limited (NACIL)was established, into which bothAir India (along with Air IndiaExpress) and Indian Airlines(along with Alliance Air) wasmerged. On 27 February 2011, AirIndia and Indian Airlines mergedalong with their subsidiaries toform Air India Limited. The mergerdid not go down well with thenational carrier as it got trappedunder a huge debt of 10 billiondollar.

Besides the post merger dayshave also been marred with thereports of controversies and riftsamong the management. The pilotsof Air India have been on indefinitestrike since 8 May 2012.


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International IssuesPAKISTAN PRIME MINISTER YUSUF

RAJA GILANI DEBARRED FROM

OFFICE

The SC of Pakistan on 19 June2012, debarred Pakistan PrimeMinister Yusuf Raja Gilani from hisoffice. The court’s ruling alsodisqualified Gilani as the memberof the National Assembly, the lowerhouse of the Majlis-e-Shoora(Parliament). Gilani was convictedfor violating the article 63(1) (g)(contempt of court) of theconstitution of Pakistan on 26 April2012 by the Supreme Court. Thecourt’s verdict came followingGilani’s refusal to probe cases ofcorruption against PakistanPresident Asif Ali Zardari. Thethree-judge Bench of the apexPakistani court headed by ChiefJustice Iftikhar MuhammadChaudhry held Gilani, Pakistan’slongest serving Prime Minister,

ineligible for the post since 26 April2012 when the court awarded hima symbolic 30-second sentence forthe contempt of court. The courtalso instructed the President to take

necessary measures under theConstitution to ensurecontinuation of the democraticprocess through the parliamentarysystem of government.




Earlier the Speaker ofPakistan’s National Assembly,Fehmida Mirza had ruled thatGilani can’t be disqualified as thePM of the country as the convictionfor the contempt of court awardedto him does not meritDisqualification. Born on 9 June1952, Yusuf Raja Gilani, had beenthe member of Pakistan’s NationalAssembly from Multan-IVconstituency since 1988. In 2008general elections he led PakistanPeople Party (PPP) to a victory, totake over as the 16th Prime Ministerof the Islamic Republic of Pakistan.

THE CASE AGAINST GILANI

The Supreme Court ofPakistan had instructed the PrimeMinster Yusuf Raja Gilani to askSwiss authorities to reopen casesof multi-million dollar graft casesagainst the President Asif AliZardari, which the Prime Ministerrefused to follow, citingconstitutional immunity enjoyedby the president as the reason. AsifAli Zardari was accused oflaundering an estimated 12 milliondollar, received as the kickback bythe companies looking for customsinspection contracts, to his SwissBank account, when his wifeBenazir Ali Bhutto was the PrimeMinister of the country during1990s.

ANTONIS SAMARA SWORN IN AS THE

PRIME MINISTER OF GREECE

Antonis Samara, the NewDemocracy Party leader sworn inas the Prime Minister of Greece on

20 June 2012. Samaras’s centre-right New Democracy partybagged 129 seats of 300 in theparliamentary elections held on 17June 2012. The New DemocracyParty formed the new governmentwith the support of socialist partyPasok (with 33 seats) and theDemocratic Left party (with 17seats). The fresh elections were heldin Greece following the politicalparties failure to reach anagreement on the results of the firstelection held on 6 May 2012.

Greece has been passingthrough the severe economic crisiswhich started in 2008. The countrywhich makes nearly 2 per cent ofthe gross economic output of theEuro zone has seriously beencontemplating the option of pullingout of the group. The exit of Greecefrom the eurozone raises a seriousquestion over the future ofEuropean Union as many largerEuropean economies such asSpain, Italy, Potugal are also likelyto follow in the steps of Greece. Torescue Greece out of the economiccrisis the European Union andInternational Monetary Fund hadgranted a 110 billion Euro packageto the country in 2010, followed bya 130 billion Euro package in 2012.

THE GREECE CRISIS

Greece over the past ten yearstook a massive amount of loan fromdifferent sources, to keep itsnumerous public expenditure andsocial security programs going. Buthit hard by the 2008-09 economicrecession the country failed to payback its loan to lenders.

s

Hence, it defaulted in itsmandatory loan repayments. Sincethe country is the part of Eurozone,the economic catastrophe which hitthe nation, directly affected theentire Eurozone economy. Though,Germany and France, the twolargest economies of Eurozone,bailed Greece out in 2010 it againslipped in the same situationforcing other EU nations to plananother bailout for the nation.

PAKISTAN TEST FIRED NUCLEAR

CAPABLE BABUR MISSILE

Pakistan successfully test-fired the indigenously developedHatf-VII (Babur) cruise missile on5 June 2012. Hatf-VII is capable ofcarrying both nuclear andconventional warheads. Themissile is highly accurate Pakistani-developed cruise missile with arange of 700 km. According to anInter-Services Public Relations(ISPR) statement, the missile was




launched from a multi-tube MissileLaunch Vehicle (MLV). The missilesignificantly enhances thetargeting and employment optionsof the Babur weapon system in boththe conventional and nuclearmodes.

President Asif Ali Zardariand Prime Minister Yousuf RazaGilani praised the scientists for thesuccessful test. Earlier on 29 May2012 Pakistan had successfullycarried out the test of indigenouslydeveloped Short Range Surface toSurface Multi Tube Missile Hatf IX(NASR) followed by the test ofnuclear-capable cruise missileHatf-VIII (Ra’ad) whose test wasconducted on 31 May 2012.

AUNG SAAN SUU KYI VISITED

THAILAND

Myanmar’s pro-democracyleader Aung Saan Suu Kyi carriedout her first trip outside the countrysince 1988. Suu Kyi, who is alsoMyanmar’s principal oppositionleader, visited Thailand as her firstforeign visit after she was electedto the country’s parliamentfollowing the by-elections. TheNobel laureate arrived Thailand on29 May 2012 on a six-day visit.During her visit to the neighboringcountry Suu Kyi addressed theworld leaders at the World

Economic Forum. She also visiteda sprawling camp on Thailand’sborder which is home to up to140000 ethnic Karen refugees.

After her trip to Thailand shewould visit to Europe in June 2012.During her visit to Europe, she isalso intended to formally receiveher Nobel Prize which she hadwon in 1991. Suu Kyi will also visither family residing in the UK. Sheis also scheduled to address theBritish parliament on 21 June 2012.Earlier Suu Kyi had refused to leavethe country during brief periods offreedom as she was afraid that shewould not be allowed to return tothe country again. Suu Kyi, whohad been a political prisoner fornearly 15 years went on to becomethe Myanmar’s most revered leaderin past 25 years after shespearheaded a tough battle againstthe tyranny of the autocraticgovernment of the country. Globallyacclaimed pro-democracy leader,Suu Kyi was at the forefront ofMyanmar’s quest for democracy asshe relentlessly fought to bring outthe much needed political reformsin nthe country. Her persistentstriving for the democracy in thecountry drew the attention of theworld community and got her theglobal support in the struggleagainst the Junta government. SuuKyi’s life long battle for democracydid not prove worthless as themilitary controlled governmentfinally gave in to her demand andannounced the political reforms inthe country. Suu Kyi’s victory in theby-elections, held in April 2012

was consisdered to be one of thebiggest milestones achieved by thecountry. Although the country isstill being ruled by the militarycontrolled government, the recentpolitical developments hold a greatsignificance and being consiseredas the revolutionary step towardsthe complete democracy.

NEPAL SC ISSUED SHOW CAUSE

NOTICE TO GOVERNMENT

Nepal’s Supreme Courtissued a show cause notice to thegovernment over the dissolution ofthe Constituent Assembly and theannouncement of fresh elections(scheduled to take place on 22November 2012). The bench alsocalled for written clarification fromthe government within ten days.The single bench of the Apex courtof Justice Tahir Ali Ansari ruledthat a special bench should hearthe matter as it bore seriousconstitutional questions and publicconcern. The political parties calledfor fresh elections after they failedto promulgate a new constitutionby the 27 May 2012 deadline.

MOHAMMED MURSI WON THE

EGYPTIAN PRESIDENTIAL ELECTION

Mohammed Mursi, leader ofthe Freedom and Justice Party (FJP),on 24 June 2012 was declaredvictorious in Egypt’s historicalpresidential election. Mursi bagged51.73 per cent of the total 13.23million votes cast, while his closestrival Ahmed Shafiq, the formerEgyptian PM and the independentcandidate, polled 48.3 per cent




votes. The FJP is an independentpolitical party, which enjoys astrong political support from theMuslim Brotherhood, the largestand best-organized political groupin Egypt.

The first Presidential election,which was alo the first freeelections in the history of thecountry, was held on 23 and 24 May2012 followed by the main election,held on 16 and 17 June 2012. Thepresidential election 2012 was thefirst presidential election in thecountry after the 2011 Egyptianrevolution during the Arab Spring,which ousted the autocraticpresident Hosne Mubarak from theoffice.

THE TIMELINE

Egypt, which was officiallynamed the Arab Republic of Egypton 18 June 1953, has remainedunder constant autocratic rulesince 1967 (barring the 18-monthbreak in 1980). Between 1981 and2011, the country was governed byauthoritarian ruler MohamedHosni Mubarak, who rose to powerfollowing the assassination ofPresident Mohammed Anwar El-Sadat. But the thunderous ArabUprising in 2011, which led to awide spread movement fordemocracy in Egypt and severalother Arab states, forced Mubarakto step down after reining in thecountry for 30 years. Mubarak, whostepped down on 11 February 2011,entrusted the power to the army ledby Field Marshal Hussein Tantawi.The 18-day unrest in the country

claimed lives of about 850 people.After taking the rein of the country,the Army scrapped the constitutionand dissolved parliament. It alsopromised to reinstate democracy inthe country by holding anationwide Presidential election.But a long delay from the militarygovernment’s side in setting up thedemocratic government, causedthousands of people resume theprotest against the government. On29 June 2011, in a violent protestheld at Tehrir Square of Cairo, theplace which symbolized the ArabUprising, more than 1000 peoplewere left wounded and score othersleft dead.

On 28 and 29 November,Egypt held its first post-uprisingparliamentary election, which sawIslamist parties claiming thevictory on nearly 75 per cent ofseats. On 23 and 24 May 2012 thecountry held its first its first freepresidential election followed bythe main election which was heldon 16 and 17 June 2012. Putting anend to the 18-month long politicalturmoil in the country the MuslimBrotherhood affiliated Freedomand Justice Party leaderMohammed Mursi won theelection.

IMPACT OF THE MOHAMMAD MURSI’SVICTORY

The victory of MuslimBrotherhood candidateMohammad Mursi has virtuallydelighted the entire Arab world.Being the first Islamic President ofthe country, Mursi is expected to

cooperate in a better manner withother Islamic nations in the region.The victory of Mursi also holds alarger significance in the context ofArab- Israel conflict.

The poll verdict, whichappeared highly satisfactory for thePalestinians, caused the sameamount of anxiety among theIsraeli establishment. Islamistleader’s rise to power certainlyperturbed the Israel and its alliesin the world, which had long beenat loggerheads with Arab countries.Given the fact that Palestinianorganization Hamas is popularlycalled the daughter of the MuslimBrotherhood and has alwaysshared a warm tie with the motherorganization, the two countries arelikely to team up against Isreal onregional issues which willapparently intensify the hatredpolitics in the middle-east.

SEVENTH G20 SUMMIT HELD IN LOS

CABOS, MEXICO

The 7th G20 summit took placeon 18,19 June 2012.Mexico chairedthe summit. The summit took placein the city of Los Cabos in Mexico.It is a twenty member brigade, the summit includes countries, SouthAfrica, Canada, India, Mexico,United States, China, Japan, SouthKorea, Russia, Turkey, Argentina,




Brazil, India, Indonesia, SaudiArabia, European Union, France,Germany, Italy, United Kingdom,Australia. The objectives andhighlights of the summit is asfollows :

THE G 20 DECLARATION

• The leaders of the world’slargest economies will help inboosting growth and jobcreation to repair thewounded global economybecause of the Europeanfinancial crisis.

• The statement also includedthe importance of easing theSpanish Crisis.

• The Summit declaration alsoincluded investment ininfrastructure in thedeveloping countries, thisdecision would help inachieving global growthwhich was hauled due to the falling state of the worldeconomy and the Eurozonecrisis.

• All the Euro members of the G20 will indulge in necessarypolicy measures to not onlysafe guard the integrity, butalso stabilize the whole area.This would be done only bybreaking the feedback loopbetween the sovereigns andthe banks.

• The summit has alsorecognized the progress madeby China in market-determined exchanged rates.

• The summit has singled outSaudi Arabia, by bringing ina Saudi pledge to keep the oilprices at bay and low. This isa step to ensure globaleconomic well being.

• European CommissionPresident Jose ManuelBarroso and EuropeanCouncil President HermanVan Rompuy asked markets tofocus on a European summitat the end of the month. Itwould eventually help thecontinent move deeper andhelp the economic and

political integration to matchits single currency.

• The 14-page statementemphasized the need forgrowth because this is theonly way they will solve thedebt problem of the Eurozone.

• The non-European membersof the G20 have sent a messageto Europe that it has to find away that the Eurozone’sfinances can be supervised bya triumvirate comprising theEuropean Central Bank, theIMF and the EU.

INDIA’S CONTRIBUTION

• Owing to the debt loaded 17nation Euro zone, India on 19June 2012 announced a $10Billion contribution to thealready existing IMF’s $430Billion financial money.

• The announcement was madeby Manmohan Singh, PrimeMinister, India in the SeventhSummit, G 20 , Mexico.

• The amount was contributedto the International MonetaryFund (IMF) for the bailoutfund, that would help themease off a little burden from thedebt scenario.

SEVENTH G 20 AND G 20’S HISTORY

• The seventh G 20 take tookplace in the Mexican resort ofLos Cabos. The seventhsummit was headed by Mexico’s President, Felipe deJesús Calderón Hinojosa.




• The G 20 comprises the headsof the State or theGovernment.

• The G 20 was first proposedby former Prime Minister ofCanada, Paul Martin.

• The next G20 Summit isscheduled in 2013 withRussia as the new chair.

The Group of Twenty, or G20,is the premier forum forinternational cooperation on themost important aspects of theinternational economic andfinancial agenda. It brings togetherthe world’s major advanced andemerging economies.The G20includes 19 country members andthe European Union, whichtogether represent around 90% ofglobal GDP, 80% of global trade andtwo-thirds of the world’spopulation.The G 20 started in theyear 1999, but it has been regularonly since 2008.

HOSNI MUBARAK SERVED WITH LIFE

TERM

An Egyptian court awardedformer President Hosni Mubarakwith life imprisonment on 2 June2012. The former autocrat wasconvicted given his involvement inthe murder of protesters during theuprising which dethroned him in2011.

Mubarak’s former interiorminister Habib al-Adly was alsoawarded with the life sentence. Thecourt, however, acquittedMubarak’s son Alaa and Gamal,due to the expiry of a statute oflimitations. They were beingprosecuted in a case of corruption.Mubarak was also acquitted in oneof the corruption cases. The trialagainst Mubarak began in August2011.

Mubarak was the onlyautocrat who was dethroned fromhis post during the Arab Spring.The former president along withformer interior minister Habib al-Adly and six others were chargedwith the killing of nearly 850 peopleduring the 18-day Egyptianuprising in early 2011. HosniMubarak served as the fourthPresident of Egypt from 1981 to2011. Before being escalated to thepost of president he also served asthe deputy of President Anwar ElSadat from 1975 to 1981. Followingthe assassination of PresidentAnwar El Sadat in 1981 Mubarakbecame the President of Egypt andremained on the position for nearly30 years, making him the longestserving president of Egypt.

FATOU BENSOUDA APPOINTED CHIEF

PROSECUTOR OF INTERNATIONAL

CRIMINAL COURT

Gambian lawyer FatouBensouda was sworn in on 15 June2012 as the International CriminalCourt’s new chief prosecutor.Bensouda was elected at the latestsession of the Assembly of States

Parties to the Rome Statute (ASP)in December 2011 for a nine-yearterm.

Born on 31 January 1961 inGambia, Bensouda is the firstwoman and the first African to beappointed as the chief prosecutorof the International Criminal Court,which is investigating 15 cases inseven countries, all of themAfrican. She also served as aDeputy Prosecutor in charge of theProsecutions Division of the ICCsince 2004.

Bensouda is the recipient ofthe ICJ International Jurists Award(2009), which was conferred on herby President of India PratibhaDevisingh Patil. Bensouda wasgiven this award for hercontributions to criminal law bothat the national and Internationallevel.

INTERNATIONAL CRIMINAL COURT

The International CriminalCourt (ICC) is an independentinternational organisation, whichhas been set up to prosecuteindividuals for genocide, crimesagainst humanity, war crimes. TheCourt is is governed by the RomeStatute. The Rome statute wasadopted on 17 July 1998 by120States for establishing the




permanent International CriminalCourt. The Statute entered into forceon 1 July 2002 after ratification by60 countries. Separate from theUnited Nations system it is the firstpermanent, treaty based,international criminal courtestablished to prosecute theperpetrators of the most seriouscrimes of concern to theinternational community.

The court has its permanantseating at The Hague in theNetherlands. The Court’s expensesare funded primarily by its 120member States. It also receivesvoluntary contributions fromgovernments, internationalorganisations, individuals,corporations and other entities.

SCO SUMMIT 2012 CONCLUDED INBEIJING

The Shanghai CooperationOrganization (SCO) 2012concluded in Beijing on 7 June2012, with member states agreeingto further cooperation in a varietyof fields. Chinese President Hu JinTao, Russian President VladimirPutin, Kazakh President

Nursultan Nazarbayev, KyrgyzPresident Almazbek Atambayev,Tajik President Emomali Rahmonand Uzbek President IslamKarimov, Turkmenistan PresidentGurbanguly Berdymukhamedovand Afghan President HamidKarzai wer among the top leaderswho attended the summit.

Leaders and officials from thefour SCO observer countries ofMongolia, Iran, Pakistan and Indiawere also present at the summit.Leaders across the participatingnations held a broader discussionover the issues like Afghanistancrisis and the Iranian nuclearprogramme. The member states ofthe SCO adopted 10 agreements onthe concluding day of the summit.The agreement includes theDeclaration on Building a Regionwith Lasting Peace and CommonProsperity, the Strategic Plan for theMedium-Term Development of theSCO, and the SCO Regulations onPolitical and Diplomatic Measuresand Mechanism of Response toEvents Jeopardizing RegionalPeace, Security and Stability. TheSCO also decided to grantAfghanistan observer status andaccept Turkey as a dialoguepartner.

Chinese President Hu Jintaooffered a 10 billion U.S. dollars loanto the SCO which will be used beused to promote the developmentof SCO members. The SCO, anintergovernmental mutual securityorganization, was founded inShanghai on 15 June 2001. Thegroup has six full time members atpresent namely China,Kazakhstan, Kyrgyzstan, Russia,Tajikistan and Uzbekistan. TheCentral Asian nation Kyrgyzstanwill host the 2013 summit of SCO.

BOEING MD83 AIRCRAFT CRASHED

IN NIGERIA

A boeing MD83 aircraftcrashed in Lagos, the largestNigerian city on 3 June 2012. All153 people on board were killed inthe worst air disaster of Nigeria innearly past two decades. The flightwas traveling from Nigeria’scentral capital of Abuja to Lagos inthe nation’s southwest. Scoresothers were killed and injured onthe ground where the plane wascrashed.

President Goodluck Jonathanlater declared three days of nationalmourning in Nigeria. The recentcrash is the worst for Nigeria sinceSeptember 1992, when a militarytransport plane crashed shortlyafter takeoff from Lagos, killing




nearly 163 army soldiers, relativesand crew members on board.

Nigeria, home to more than160 million people, is Africa’s mostpopulous nation. The oil-richnation has long been strugglingwith widespread state-sponsoredcorruption and malpractices.Barring past twenty years, thenation has time and again sufferedfrom horrible aviation disasters. InAugust 2010, the U.S. had givenNigeria the Federal AviationAdministration’s Category 1status, its top safety rating, whichpermits the Nigerian’s airliners tohave a direct flight to the U.S.

CHINA AND BHUTAN MET TO

ESTABLISH DIPLOMATIC TIES

Chinese Premier of the StateCouncil of the People’s Republic ofChina, Wen Jiabao and hisBhutanese counterpart Jigmi YThinley had a meet at Rio de Janeiroon 21 June 2012. The talks were onthe sidelines of the Rio plus twentysummit. Both the parties expresseddesire to establish diplomaticrelations between each other.

The meeting between both thePrime Ministers was for the firsttime. Bhutan has had a strainedrelation with China sourced in a

boundary feud over which both thecountries have held nineteenround of talks in the past. Thoughneighbours for a while, both thecountries have not yet establisheddiplomatic relations as Bhutan, astrongly ally of India, remainedaloof after China took control ofTibet, which formed borders withBhutan.

INDIAN CONNECTION

Apparently, any settlement inthe Bhutan-China border talk issignificant to India. Chumbi Valley,a vital tri-junction between all threecountries is almost five hundredkm away from the Siliguri Corridorand connects India to the NorthEast states and Nepal to Bhutan.The Valley is of ‘geo-strategic’importance to China as it shares itsborders with Sikkim and Tibet.

Ideally, the developmentshould have been a cause ofconcern for India, as Bhutan isIndia’s closest ally, but thedevelopment had come withIndia’s knowledge and approval.It is imperative to understand thatIndia plays a pivotal role in allianceto Bhutan as they share diplomaticties themselves, however India hasnodded in affirmation and has notshown any issue for Bhutan andChina’s diplomatic ties.

BACKGROUND

Both China and Bhutan sharea four seventy kilometers longborder. In the past, both thecountries have held several rounds

of dialogue to resolve their borderdispute. The first agreement wassigned in the year 1998 and the lastround of border talks were held inThimphu in January 2010.

THE STRATEGIC PARTNERSHIP

AGREEMENT BETWEEN AFGHANISTAN

AND NORWAY

Afghanistan and Norway on27 June 2012 finalized the draft ofthe strategic partnershipagreement between the twocountries. The two countries willsign the draft in September 2012.Norwegian forces are posted inFaryab province of northernAfghanistan.

The strategic partnershipagreement provides the long-termframework for the relationshipbetween Afghanistan and theNorway after the withdrawal offorces. Afghanistan has alreadysigned strategic partnershipagreements with the US, Britain,India, Germany, France and Italy.

AL-QAIDA’S SECOND-IN-COMMAND

ABU YAHYA AL-LIBI KILLED

A US drone strike in northwestPakistan killed al-Qaida’s second-in-command Abu Yahya al-Libi on5 June 2012. The killing of al-Libi isthe most significant victory for theUS forces since the death of Osamabin Laden.




The Libyan-born al-Libi wasconsidered charismatic leader withreligious credentials who washelping preside over thetransformation of a secretive groupbased in Pakistan and Afghanistaninto a global movement. Earlier theUS had captured al-Libi a decadeago but he managed to flee from theUS’ captivity in 2005 in anembarrassing security breach. Hewas a regular in Al Qaeda videosin which he talked about thelessons he learned while watchinghis captors, whom he described ascowardly, lost and alienated. Al-Libi was promoted to al-Qaida’sNo. 2 spot after Ayman al-Zawahrireplaced bin Laden as al-Qaida’stopmost leader. As al-Qaida’s no.2, he was responsible for runningthe group’s day-to-day operationsin Pakistan’s tribal areas andmanaged outreach to al-Qaida’sregional affiliates. He wasinfluential and popular within al-Qaida given his scholarlycredentials, street cred from havingescaped from Bagram, charismaand his easygoing, tribal speakingstyle.

EMERGENCY DECLARED IN WEST

MYANMAR

Myanmar President TheinSein declared emergency in WestMyanmar on 10 June 2012. Thegovernment’s move came followinga wave of sectarian violencebetween the Buddhists andMuslims in the past week whichleft seven people dead andhundreds of properties ravaged in

Rakhine state of west Myanmar.Conflict in troubled Rakhine stateblazed after a Buddhist womanwas killed in May 2012, followedby an attack on a bus carryingMuslims. The clashes began on 4June 2012 when a violent mobattacked a bus in Taungup, Rakhineprovince, apparently mistakenlybelieving some of the passengerswere responsible for the earlier rapeand murder of a Buddhist woman.

Rakhine state is named afterthe ethnic Rakhine Buddhistcommunity, which is in themajority in the state. The state alsohas a sizeable Muslim population,including the Rohingya minority.The Rohingya are a Muslim ethnicgroup and are considered to be therefugees who have illegallyentered Myanmar fromneighboring Bangladesh.The state emergencyimposed in the western statecan upset the country’sinitiatives taken in thedirection of democracy. Theformer military ruledcountry has been trudging

the path ofp o l i t i c a lr e f o r m sover thepast twoyears.

T h eprocess ofp o l i t i c a lr e f o r m sa c c e l e r -ated inMyanmar

after Thein Sein’s Union Solidarityand Development Party stormed tothe power in March 2011after itsmassive victory in the election heldin the country after 20 years.Despite largely being controlled bythe military, the Thein Sein’sgovernment showcased enoughwillingness to introduce realpolitical reforms in the country. Ina reconciliatory move thegovernment had releasedhundreds of prisoners from the jailin January 2012. The move wasfollowed by a by-elections in thestate in April 2012, whichwitnessed pro democracy leaderAung San Suu Kyi’s party NLD forthe first time since 1990 capturing43 out of 45 seats.




India and the WorldINDIA AND CHINA

India and China on 21 June2012 agreed to increase theirdefence and security dialogue andwork to take steps to ensure thatthe two countries achieve a 100billion dollars trade target by 2015.The decision was taken on thesidelines of the Ri0+ 20 summit atRio De Janeiro.India also raised theborder issue during the talks. Indiaand China agreed that they wouldcontinue political dialogue at thepolitical level. India and Chinaalso decided that the specialrepresentatives would work forpreparing the joint record of theirwork so far, which was alreadyannounced in January 2012 andgive directions for the future co-ordination between the twocountries. The specialrepresentatives of India and Chinawould submit a report on the

developments so far by January2013. India would setup inter-ministerial group on its side whileChina would have an official teamthat would periodically exchangeviews on maritime issues relatingto trade and security.

INDIA AND USA

US defense secretary LeonPanetta arrived India on a two-dayvisit on 5 June 2012. The visit wasaimed ats t r e n g t h e n i n gbilateral strategicand defensec o o p e r a t i o nbetween the twonations. USspecified theIndian role in theworld politics andits significance asa link betweenEast and West

Asia and how the United Statesviews India as a net provider ofsecurity from the Indian Ocean toAfghanistan and beyond. Panettavisited India as the part of his week-long visit to Asia to formulate a newUS defense strategy to allies andpartners in the region. The strategy,which was released in January2012, calls for a shift in US strategicfocus to the Asia-Pacific. India overthe past one decade has emerged




as the key US ally in the Asiancontinent. As the time for thewithdrawal of US troops fromAfghanistan is nearing, Americaseeks to establish a strongerstrategic and defense tie with India,so that it could keep a tab on theregion’s geopolitics even after thewithdrawal of its troops. Thegrowing Chinese hegemony in theregion has also prompted the twodistant nations to come together inorder to tackle any possible threatfrom the communist China. Manyanalysts believe that the Panetta’svisit is the part of Pentagon’s policyto team up with India against thegrowing Chinese assertiveness inthe global politics. But manyforeign policy experts are of thecontrary view as they felt that Indiahas always opted for a policy ofnon-alignment and this time tooIndia will not compromise with thefundamental principles of itsforeign policy.

There may be some starklydiffering voices among the expertsover the India’s future course, butone thing that remains very clearthat India’s interest lie with bothChina and US and given thepresent circumstances in the worldpolitics it can not risk itsrelationship with any of them.Hence, It will be wise for India topursue a neutral and non-confrontational outlook withrespect to both the super powers.

INDIA AND US

In what came as a majordisappointment for the Bhopal gas

tragedy victims, a US Federal Courton 27 June 2012 absolved UnionCarbide Corporation and its formerchairman Warren Anderson of theBhopal gas tragedy case. In hisruling US district Court Judge JohnF. Keenan concluded that UCC isneither directly nor as anagent of UnionCarbideI n d i aLimited( U C I L )liable fort h em i s h a p .W h i l epronouncingits verdict thecourt invoked a 1 9 9 8court verdict in a case involvingKFC, in which the court hadobserved that legally the mereassertion that a corporate parent isor was involved in the decision-making process of its subsidiary, orthat it controlled the legitimatepolicies of its subsidiary, will notshift liabilities among distinctcorporate entities.

Nearly 25000 people had losttheir life in Bhopal Gas Tragedy, oneof the worst industrial disasters ofthe world history. The disasteroccured following the leakage ofpoisonous methyl isocyanate gasfrom Union Carbide India Limited’spesticides factory in Bhopal on 2-3December 1984. The catastrophicgas leak, immediately claimed thelife of 3000 people, while theaftermath of the disaster hadproved to be far more horrifying as

thousands of people diedsubsequently due to ill-effects of thetoxic waste in the environment. Theenormity of the damage can wellbe assessed by the fact that eventoday, after 27 years of the

incident, thepeople ofBhopal arefacing thewrath of thetragedy.

In atestimonyto thel o n g

l a s t i n gcatastrophic impact of

the gas leak, a test conducted by theBBC in 2009 found that the waterof the affected region contain 1000times the World HealthOrganization’s recommendedmaximum amount of carbontetrachloride, a carcinogenic toxin.The US court verdict, came in thefavor of UCC, has substantiated itslong held stance over the Bhopalgas tragedy. The company has longbeen in denial of all the chargesmade against it by the victims ofthe tragedy.

INDIA AND ISRAEL

India and Israel inked amemorandum of understanding(MoU) to expand the bilateralrelation in the tourism sector on 24June 2012. Israel, under the MoU,will open a tourism office inMumbai and increase thefrequency of flights to India. TheMoU was signed between Israeli




Tourism Minister StasMisezhnikov and his Indiancounterpart Minister Subodh KantSahai in Jerusalam in Israel. Israelis also set to invest 660000 dollarto draw more Indian tourists to thecountry. The MoU also set thefoundation to establish a tourismdevelopment forum, which willseek the advice from variousstakeholders including travelagents, hoteliers, tour operatorsand from the media, to expandtourism market in both thecountries. The two countries havea great scope of tourismdevelopment by engaging intomutual cooperation as nearly40000 Indian tourists visit Israelevery year, and the same number ofIsraeli citizens come to Indiaannually.

INDIA AND PAKISTAN

The Defence Secretary leveltalks between Pakistan and Indiaand on Siachen were held at theMinistry of Defence, Rawalpindion 11 – 12 June 2012. The talks wereheld in a cordial and friendlyatmosphere. The conclusion of the

talks was that both nationsreaffirmed their resolve to makeserious, sustained and resultoriented efforts for seeking anamicable resolution of Siachen. Itwas agreed to continue dialogue onSiachen. Both countriesacknowledged that the ceasefirewas holding since 2003. It wasagreed that the next round of talkson Siachen will be held in NewDelhi on mutually convenientdates, to be fixed throughdiplomatic channels. Both Indiaand Pakistan want to demilitarizeSiachen, the world’s highestbattlefield. However, they havedifferences over the modalities.India wants the Actual GroundPosition Line to be authenticatedbefore withdrawal of troops fromSiachen while Pakistan wantsdemilitarization first.

India on 8 June 2012announced to allow foreign directinvestment from Pakistan. Themove is aimed at strengthening thebilateral economic relationsbetween the two countries. Thedecision will also facilitate theeconomic integration in the South

A s i a nregion. TheU n i o nF i n a n c eM i n i s t r yh a dreceived aproposal byt h eDepartmentof IndustrialPolicy and

Promotion (DIPP) seeking changesin Foreign Exchange ManagementAct (FEMA) to allow FDI fromPakistan. Under the present FDIpolicy, a Pakistani citizen or anentity incorporated in there is notallowed to invest in India. TheGovernment had earlier allowedinvestments from Bangladeshunder the FIPB route. The bilateraltrade between India and Pakistanfor the year 2010-11 stood at 2.7billion dollar. With 2.32 billiondollar exports, India dominated thetrade, which grew at a rate of 47per cent and also approachingforward to occupy 1 per cent shareof Indian global exports.

A nine-member Pakistanidelegation has arrived in India tolearn from its experience of polioeradication. Pakistan saw amanifold rise in polio cases thisyear, and is one of the threecountries, along with Afghanistanand Nigeria, where the infectiousviral disease is still prevalent. Indiabecame polio-free in January thisyear, after one full year without asingle case being reported. It hassubsequently been removed fromthe WHO list of polio-endemiccountries. Led by Shahnaz WazirAli, Prime Minister Yusuf RazaGilani’s special assistant on polio,the Pakistan team will call onofficials of the Union HealthMinistry here on Thursday.

The delegation, comprisinghealth officials of districts alongthe Indian border, will also visit apolio camp. Altaf Bosan, NationalCoordinator of the Prime Minister




on Polio, will accompany the team.Meanwhile, the World HealthOrganisation, in a resolution, hasimpressed on member-states withpolio virus transmission to declareit a “national public healthemergency,” making polio viruseradication a national priorityprogramme, requiring thedevelopment and fullimplementation of emergencyaction plans, to be updated everysix months, till such time the virustransmission has been interrupted.

The resolution declarescompletion of polio viruseradication a programmaticemergency for global public health,requiring full implementation ofthe existing and new eradicationstrategies, the institution of strongnational oversight, andaccountability mechanisms for allareas affected with the virus. Themembers have been asked toeliminate unimmunised areas andmaintain very high populationimmunity against polio virusesthrough routine immunisation.Where necessary, they shouldsupplement immunisationactivities, maintain vigil for poliovirus importation and emergenceof circulating vaccine-derived polioviruses, and to make availableurgently the financial resourcesrequired for the full and continuedimplementation, till 2013, of thestrategic approaches to interruptpolio virus transmission globally,and to initiate planning forfinancing to the end of 2018 thepolio endgame strategy.

More importantly, theresolution asks the WH Director-General to undertake thedevelopment, scientific vetting andrapid finalisation of acomprehensive eradication andendgame strategy, and inform themember-states of the potentialtiming of a switch from the trivalentto bivalent oral polio virus vaccinefor all routine immunisationprogrammes, and to coordinatewith all partners includingmanufacturers to promote research,production and supply of vaccinesto enhance their affordability,effectiveness and accessibility.

INDIA AND DUBAI

India emerged as the largesttrading partner of Dubai in the firstquarter of 2012-13. The latest dataof Dubai foreign trade released bythe Dubai Customs in the thirdweek of June 2012, shows the tradevolume in the first quarter betweenIndia and Dubai to be worth 13billion US Dollars. India was thenumber one exporting country witha volume worth 7 billion dollars.In terms of imports, India camesecond at 6 billion dollars afterChina. Dubai’s oil foreign traderegistered a significant growth of6.6 per cent in the first quarter of2012-2013, which reflects theresilience and diversity of theeconomy. Gold was the number oneproduct to be exported from Dubaiin the first quarter of 2012-13.

INDIA AND BAHRAIN

India and Bahrain, on 31 May2012 inked a Tax Information

Exchange Agreement to promoteeconomic cooperation and jointinvestment between the twocountries. The agreement is aimedat increasing bilateral trade thatstands at 1.7 billion dollar. Theagreement with its provision foreffective exchange of informationbetween the two countries, willhelp in reducing tax evasion andtax avoidance. The agreement wassigned by Indian Minister of Statefor Finance Namo Narain Meenaand Bahrain’s Minister ofTransportation and Acting ChiefExecutive of EconomicDevelopment Board Kamal Ahmedin New Delhi. The Bahraindelegation was led by PrinceSalman Bin HamadAl-Khalifa, theCrown Prince of Bahrain andchairman of the Bahrain EconomicDevelopment Board. The twocountries also inked aMemorandum of Understanding(MoU) to make the ties ontechnological front more effective.Under the newly signed MoU Indiawill provide technical assistance toBahrain and help it to develop itsown IT sector in Bahrain. BesidesTax Information ExchangeAgreement, several othercommercial and economiccooperation agreements were alsosigned. A memorandum ofunderstanding (MoU) to developbusiness and commercial wassigned between the industrialbodies of two countries. The twocountries historically enjoy anintimate and friendly relation witheach other. Indian Diasporaconstitutes nearly a quarter ofBahrain’s entire 1.2 millionpopulation.




NEW TELECOM POLICY 2012APPROVED

The Union cabinet in ameeting presided over by the PrimeMinister Manmohan Singhapproved a new telecom policy2012 which seeks to do away withroaming charges across thecountry. The newpolicy called NationalTelecom Policy-2012will replace more thana decade oldlegislation. The newTelecom Policy alsosimplifies the licencingpolicy. The new policyalso seeks to provide apredictable and stablepolicy regime for aperiod of nearly 10years. The policy aimsat providing secure,reliable, affordable and

high quality convergedtelecommunication servicesanytime, anywhere for anaccelerated inclusive socio-economic development. The policyemphasized on the multiplier effectand transformational impact ofsuch services on the overalleconomy. Detailed guidelines, as

may be considered appropriate areto be introduced from t from time totime for operational purposes.

National Telecom Policy isexpected to enable smoothimplementation of the policies forproviding an efficienttelecommunication infrastructure

taking into account theprimary objective ofmaximising public goodby empowering thepeople of India. Also thepolicy will enable takingof facilitatory measuresto encourage existingservice providers torapidly migrate to thenew regime in auniformly liberalisedenvironment with a levelplaying field. NewTelecom Policy-2012Highlights

Economy




• Increase rural teledensity fromthe current level of around 39to 70 by the year 2017 and 100by the year 2020

• Repositioning of Mobilephone as an instrument ofempowerment

• Broadband -”’Broadband forAll” at a minimum downloadspeed of 2 Mbps

• Domestic Manufacturing -Making India a global hub

The policy also provides fornational number portabilityHowever in this respect too notimeline was provided. The NewTelecom Policy also mentioned thatcloud computing, next generationnetworks, IPV6 and Voice overInternet Protocol (VoIP) to be thrust.The union cabinet also approvedintroduction of unified licence andauthorised the Department ofTelecommunications to finalise thenew unified licensing regime withthe approval of minister ofcommunications and IT.

NEW TRADE POLICY TO BOOST

INDIA’S EXPORT

The Union Government ofIndia on 5 June 2012 announceda new trade policyaimed atachieving 20 per cent increase inexports to 360 billion dollar in thefiscal year 2012-13. India’s exportsgrew by 21 per cent and touched303.7 billion dollar in 2011-12,while the trade deficit during thesame period expanded to 185billion dollar. The government alsoannounced to come out with new

guidelines to restore SpecialEconomic Zones (SEZ) and ExportOriented Unit (EOU) schemes tofurther boost the shipments.

As the part of the new tradepolicy, the Union CommerceMinistry had added seven newmarkets to the focus market scheme(FMS) and an equal number of newmarkets to the special FMS.Countries like Algeria, Aruba,Austria, Cambodia, Myanmar, theNetherland Antilles and Ukrainehave been added to FMS; whilecountries including Belize, Chile,El Salvador, Guatemala,Honduras, Morocco and Uruguayhave been added to special FMS.The FMS and SFMS scheme willhelp India to explore new marketsand promote the productdiversification. The highlights ofthe new trade policy are as follows:

• Government set the exporttarget for 2012-13 at 20 per cent

• 2 per cent interest subsidyscheme extended till March2013

• Government to announce new

guidelines to promote SEZs

• Incentives for exports fromnorth-eastern states

• Shipments from Delhi,Mumbai through post, courieror e-commerce to get exportbenefits

• Foreign Trade Policydocument to be more userfriendly

• 13 shows abroad to promoteBrand India

• Single revolving bankguarantee for different exportdeals

• Seven new markets added toFocus Market Scheme

• Market linked focus productscheme extended tillMarch’13 for apparel exportto USA and EU

GAS ALLOCATION OF DMICDCDISCARDED

The Petroleum and NaturalGas Ministry on 25 June 2012discarded Gas allocation of Delhi-Mumbai Industrial CorridorDevelopment Corporation(DMICDC). The gas allocation wasof 8 million metric standard cubicmetres per day (mmscmd) gas fromtwo of DMICDC power projects, toprovide gas at reasonable rate. Therequest was neglected because asper Petroleum Ministry there isadditional demand of fertilizerabout 22 mmscmd and anyallocation of gas to DMICDCprojects was not possible. Delhi-Mumbai Industrial Corridor




Development Corporation(DMICDC) is a mega infra-structureproject of 90 billion dollar. It hasthe financial & technical help ofJapan. It is covering the length of1483km between Delhi andMumbai. DMICDC strains onexpanding the manufacturing andservices base and to develop DMICas the Global Manufacturing andTrading Hub.

NOMURA SLASHED INDIA’S GDPPROJECTION

Nomura, the global financialservices firm, on 26 June 2012slashed the country’s growthforecast for the fiscal year 2012-13to 5.8 per cent, from 6.7 per centearlier. Nomura also cut downIndia’s GDP forecast for 2013-14 to6.6 per cent from the earlier 6.9 per

cent. Thegovernment in itsb u d g e t a r yprojection of GDPgrowth, estimatedthe growth rate tobe around 7.6 percent in the fiscalyear 2012-13.India’s economicgrowth rate

slipped to 6.5 per cent in 2011-12,while it had registered 8.4 per centgrowth in the previous twofinancial years. The globalfinancial services firm also hikedfiscal deficit forecast for India to 5.8per cent of GDP in the current fiscalfrom 5.2 per cent. Government inits budget projections aimed fiscaldeficit to bring down to 5.1 per centin 2012-13 from 5.76 per cent in theprevious fiscal.

SEBI NOTIFIED NORMS FOR LISTING

OF STOCK EXCHANGE

Capital markets regulatorSecurities and Exchange Board ofIndia (SEBI) on 21 June 2012notified new rules for ownershipand governance of stock exchangesto encourage the setting up of new

bourses and enableexchanges to get listed.The amendments wereannounced followingthe legal tussle betweenthe regulator and MCXStock Exchange, whichhad earlier soughtapproval to start anequity platform. Thenew norms require the

recognised stock exchange to havea minimum net worth of Rs 100crore at all times and at least 51 percent of stake has to be held bypublic. The ownership of a singleinvestor was capped at 5% with anexemption for stock exchanges,depositories, insurance andbanking companies and publicfinancial institutions, which hasbeen permitted to hold up to 15 percent. The shareholders who holdstake in excess of the new limitswould have to comply with newnorms within a period to be decidedby SEBI and such period could beof up to three years.

SEBI also specified that directand indirect exposure to any stockexchange will be considered whilecalculating the prescribedshareholding limit. The new rulespermits stock exchanges to list onany recognised stock exchangeother than itself and its associatedstock exchanges, within threeyears of commencing operations. Itwas highlighted that for a stockexchange that is not listed, an FIImay acquire shares throughtransactions outside of arecognised stock exchangeprovided it is not an initialallotment of shares. For listed




bourses, the FIIs can transactthrough the exchange where theshares are listed. The marketregulator had earlier in April 2012approved changes to the Mannerof Increasing and MaintainingPublic Shareholding (MIMPS) inrecognised stock exchanges at aboard meeting.

SEBI is currently in the processof formulating minimum listingstandards for listing of companieson stock exchanges. A ConflictsResolution Committee or CRC willbe formed by SEBI with a majorityof external and independentmembers to deal with all issuesconcerning conflicts of interest withrespect to listing of companies. TheCRC will first consider matters ofpolicy and guidelines involvingconflict issues and thenrecommend standards relevant tothe areas of potential conflict inexchanges. With respect to listingthe market regulator mentionedthat a recognised stock exchangemay apply for listing of itssecurities on any bourse other thanitself and its associated stockexchange, provided they complywith the new regulations ofownership and governance andalso has completed three years ofcontinuous trading operations andhas got SEBI’s approval.

The shares of a recognisedstock exchange and a recognisedclearing corporation is required tobe in demat form, while clearingcorporation cannot hold any right,stake or interest in an exchange.

THE RUPEE PLUNGED TO A RECORD

LOW OF 56.90

Indian Rupee plunged to anall time low of 56.90 rupees againstthe US dollar on 22 June 2012 onglobal risk aversion and demandfor dollar. India’s slippingdomestic growth, decliningindustrial output figure, RBI’sstringent monetary policy stance,persistent high rate of inflation andcredit rating downgrade byinternational rating agencies likeFitch and Standard and Poor’shave prompted the worsening ofIndian rupee against the dollar.Given the current economic andpolitical situation of the country,rupee may fall further at 57-58levels in June 2012. Rupee, givenits current trading status, is provingto be Asia’s worst performingcurrency. The currency has alsobeen the poorest performer amongthe all Asian currencies this week,on a 5-day basis. So far the Indiancurrency had tumbled 6.7 per centin the year 2012.

INDIAN ECONOMY TO GROW BY 6.9PER CENT

The World Bank in its reportnamed Global EconomicProspects released on 12 June 2012,projected Indian economy to growby 6.9% in the financial year 2012-13. The World Bank reportpredicted India’s growthincreasing to 6.9 per cent, 7.2 percent and 7.4 per cent in fiscal years2012-13, 2013-14 and 2014-15,respectively. Blaming fragile

monetary policy, long pausedreforms, persistent inflation andwidening fiscal deficit for thecountry’s poor growth in 2011, themulti-lateral agency advised Indiato take some corrective measures toimprove the sinking growth. Indianeconomy grew by 6.5 per cent in2011-12, the lowest in the past nineyears. The economy had registeredan impressive 8.4 per cent growthin the previous two years. TheIndian government had projectedthe economy to grow at 7.6 per centin the fiscal year 2012-13, but giventhe prevailing economic andpolitical situations in the country,the projected growth rate could behard to achieve. The World Bankreport estimated the globaleconomy to expand 2.5% in thefiscal year 2012-13. The multi-lateral agency also cautioned thedeveloping nations of the bumpyride ahead.

US HEALTH CARE LAW HELD

CONSTITUTIONAL

The US Supreme Court on 28June 2012, upheld the US PresidentBarack Obama’s most ambitioussocial legislation, the Health CareLaw (The Patient Protection andAffordable Care Act). The courtverdict came in the favor oflegislation, made it mandatory forall American citizens to havehealth insurance or pay a penalty.The health care legislation mainlyaims at covering more than 30million Americans who have notbeen insured. The 9-judge US ApexCourt bench headed by Chief




Justice John Robert held the rulingas constitutional in a 5-4 ruling.Chief Justice John Robert’s voteproved to be crucial while decidingthe fate of the bill. With the SupremeCourt ruling came in the favor oflegislation, the country is set to jointhe league of developed nationswhich provide mandatory healthcare assurance to all its citizens.

US President Barack Obamasigned the Patient Protection andAffordable Care Act (ACA) into lawin March 2010. The legislationfaced severe protest asRepublicans, the NationalFederation of IndependentBusinesses and several individualscame in the opposition of it andpushed the demand to repeal thelaw. Nearly 25 states came forwardopposing the bill as they arguedthat the health care legislationwould add to the national debt,and proved to job-killer.

MOODY’S ‘STABLE’ CREDIT RATING

OUTLOOK FOR INDIA

In a big respite to the troubledIndian economy, Moody’s

Investors Service, the leading creditratings provider, on 25 June 2012reinstated the stable credit ratingoutlook for India. The Moody’sdecision mirrors its view that theprevailing economic slowdown inIndia is not going to last longer andthe country will soon come out ofthe gloomy economic state.Moody’s in its latest reportnamed Frequently asked questionsabout India’s sovereignrating pointed out that India’s Baa3rating already compriseschallenges including a weak fiscalperformance of the government,high inflation and an uncertaininvestment policy environment,which have characterized theeconomy for decades.

The other credit ratingagencies Standard & Poor’s andFitch had earlier revised India’scredit outlook to negative in theirseparate report on country’ssovereign credit rating. TheStandard & Poor’s move came on24 April 2012, followed by Fitchwhich had downgraded India’srating to negative on 18 June 2012.

In its latest report the Standard &Poor’s had threatened to put Indiainto the junk (speculative) categoryfrom investment category.

What does Sovereign rating Baameans?

Sovereign rating Baa arejudged to be medium-grade ratingand subject to moderate credit riskand possess certain speculativecharacteristics.

INDIA’S FDI SLIPPED 41% IN APRIL

2012

According to the latest datareleased by the Reserve Bank ofIndia (RBI) on 19 June 2012, theforeign direct investment (FDI)inflows in India dipped nearly 8per cent to 7.8 billion dollar duringJanuary-April 2012. In the monthof April 2012, India registered adecline of 41 per cent to 1.85 billiondollar in its FDI inflow. The countryhad attracted FDI worth 3.12billion dollar in April, 2011. Thedecline in FDI was largelyattributed to policy paralysis on theside of government whichapparently stalled several policyreforms in the country. Legislationslike retrospective tax laws andpersistent inflation only added tothe anxiety of global investors, whoonce considered India as a countrywith immense economicpossibilities.

Services sector with a total of449 million dollar inflow toppedthe list of sectors which receivedthe maximum FDI inflow in April2012.The sector was followed by




pharmaceuticals sector at 359million dollar FDI, constructionsector at 120 million dollar FDI andpower sector at 68 million dollarFDI.

The country received thehighest-ever monthly FDI inflow of8.1 billion dollar in March 2012.Earlier, the highest figure was 5.65billion dollar which came in June2011. Entire FDI inflows for thefiscal 2011-12 clocked 36.50 billiondollar. In the fiscal year 2010-11 thecountry had registered 19.42 billiondollar FDI, down from 25.83 billiondollar in 2009-10. In a move thatsignifies investors’ erodingconfidence in India, theinternational credit rating agenciesStandard and Poor’s and Fitchlowered India’s credit outlook tonegative from stable.

DIFFERENCE BETWEEN FDI & FII

FDI and FII both the terms arerelated to investment in a foreigncountry. FDI is an investment thata company makes in a foreigncountry while, FII is an investmentmade by an investor in the stockmarkets of a foreign nation.

In FII, the companies onlyneed to get registered in the stockexchange to make investmentswhile, in FDI the investors makeinvestment in a foreign nation.

BIHAR TOPPED IN GSDP

According to data released byMinistry of Statistics of India on 1June 2012, Bihar emerged as thestate with highest economic growth

rate in the country. The state whichuntil recently was synonymouswith poverty, recorded animpressive 13.1 per cent growth in2011-12. Bihar topped the list forsecond consecutive year. The state’seconomy even surpassed thePunjab on the back of four years ofdouble-digit growth. The state wasclosely followed by Delhi andPuducherry. Chhattisgadh andGoa were the other two states in thelist of top five states. Tamil Naduand Gujarat, the two highlyindustrialized states registered thegrowth of 9.4 per cent and 9.1 percent respectively in the fiscal year2011-12.

Punjab, leading food grainproducing state of India, AndhraPradesh and Karnataka, both theheart of the IT sector of the country,and Uttar Pradesh, the country’smost populous state, registeredgrowth of 6.5% in 2011-12, lowerthan India’s GDP growth. With theBihar government takingnumerous measures to attractinvestment in the state, the result isquite visible with the growthnumber rising on constant basis.An improved law and ordersituation and developinginfrastructure in the state areapparently boosting the investmentsentiments of the industrial housesin the country which are nowcoming ahead with proposals to setup factory in the state. Agriculturalproductivity has also taken aquantum jump in the stateapparently contributing to theoverall growth of the state. A slew

of development measures have alsobeen put into place by thegovernment to ensure enhancededucation and medical facilities inthe state.

INDIA’S FISCAL DEFICIT FOR APRIL-MAY PERIOD STOOD AT 1.41 LAKH

CRORE RUPEES

As per the latest data releasedby the Controller General ofAccounts (CGA), India’s fiscaldeficit during the April-May, thefirst two months of the fiscal year2012-13 stood at 1.41 lakh crorerupees, 27 per cent of the budgetestimates. The increased fiscaldeficit figure came despite revenuereceipt witnessing a substantialhike and stood at 47897 crorerupees, which was 5.1 per cent ofthe budget estimates. Totalexpenditure of the government inthe first two months of fiscal year2012-13 was 1.90 lakh crore rupees,or 12.8 per cent of the budgetestimates. For the fiscal year 2012-13, the government has pegged thefiscal deficit target at 5.13 lakh crorerupees, or 5.1 per cent of GDP. Inthe corresponding period duringthe last fiscal year, the fiscal deficitwas 32 per cent of the budgetestimate amounting 1.3 lakh crorerupees.

E-VOTING MADE MANDATORY BY

SEBI FOR TOP 500 LISTED

COMPANIES OF BSE & NSE

The capital market regulatorSecurities and Exchange Board ofIndia (SEBI) on 26 June 2012 madeit mandatory for top 500 listed




companies to hold e-voting with anobjective to widen shareholderparticipation in key decisions.SEBI’s decision on e-voting is to beimplemented in a phased manner.The implementation will begin bysubjecting the top 500 listedcompanies at the Bombay StockExchange and the National StockExchange based on marketcapitalization to e-voting. Thestructural changes like scrutiny ofaudit reports as well as e-voting areexpected to benefit the capitalmarket in the medium term.

SEBI also decided to create aQualified Audit Report reviewCommittee (QARC) represented byaccounting regulator ICAI (Instituteof Chartered Accountants of India)and stock exchanges. Thecommittee would be responsible forprocessing qualified annual auditreports filed by the listed entitieswith stock exchanges. Thecommittee will be expected to studyreports where accountingirregularities have been pointed outby Financial Reporting ReviewBoard of the Institute of CharteredAccountants of India (ICAI-FRRB).

The regulator relaxed normsfor Offer For Sale (OFS). OFS is anew route introduced by SEBI inearly 2012 to help companiesincrease their public shareholding.A minimum gap of two weeksbetween two OFS issuances waspermitted by SEBI.

SEBI made it easier forpromoters of listed companies todilute their stake and comply withpublic holding rules by 2013.As

specified by SEBI, private sectorcompanies and also the state-owned corporations is required tohave a minimum public holding of25% by August 2013.

In the SEBI board meeting, theregulator also announced a simplershare auction mechanism thatwould help listed companies toattract investors. It providedinstitutional investors with theoption of applying for shares eitherwith 100% margin or with a lessermargin to be fixed by stockexchanges. However in case of thelesser margin being fixed by thestock exchange the bids cannot bechanged.

With regards to fulfillingpublic holding norms, the boarddecided that issuers will berequired to disclose the floor pricea day before the share auction. Thefloor price may or may not be a partof the notice given by companieson the offer. Investors were barredfrom modifying or cancelling bidsduring the last 60 minutes from theclose of the bidding session in theauction. Exchanges are required todisplay the indicative price duringthe last 60 minutes of the close ofbidding session irrespective of thebook being built.

RBI KEPT KEY POLICY RATES

UNCHANGED

The Reserve Bank of India inits mid-quarterly monetary policyreview on 18 June 2012, decided tokeep the cash reserve ratio and thepolicy repo rate unchanged at 4.75per cent and 8.0 per cent

respectively. The reverse repo rateremain unchanged at 7.0 per cent.The marginal standing facility rateand the Bank Rate is to stand at 9.0per cent. Further reduction in thepolicy rate at the time when theinflation is still above the comfortlevel of the people is likely toaggravate the inflationarypressures. The RBI whileannouncing its monetary policyopined that there are several otherfactors other than policy rates,which are affecting the growth andinvestment activities in the country.

The slowing pace of theeconomy (India’s March quartereconomic growth stood at 5.3 percent, lowest in past 9 years) andweakening investment sentimentshad prompted industry leaders tourge RBI to take a call on policy ratecuts. International credit ratingagency Standard & Poor ’s hadwarned that India could be the firstBRIC nation to lose its investment-level credit rating due to its fragileoutlook of economy and frozenpolicy reforms.

The RBI did not however paymuch heed to the industry’sconcerns of sinking growth andconcentrated on taming theunrelenting inflation. Indiawitnessed inflation figure rose to7.55 percent in May 2012, which isthe highest among industrialisedcountries and the BRIC group ofnations. The central bank hadearlier reduced the key policy ratesby 50 basis points in its quarterlyreview of monetary policy on April2012.




INDIA’S EXPORTS REGISTERED A

GROWTH OF 3.2 %

According to data released bythe Commerce Ministry in NewDelhi on 1 June 2012 India’sexports registered a growth of 3.2per cent on year-on-year basis to24.4 billion dollar in April 2012.Exports figure in April 2011 stoodat 23.6 billion dollar. The slumpingexport figures are largely attributedto the slowing global demand ofgoods. Imports during the sameperiod witnessed a growth of 3.8per cent to 37.9 billion dollar,creating a trade deficit of 13.4billion dollar. In April 2012, thecountry’s oil imports grew about 7per cent to 13.9 billion dollarcompared to the same period in2011. Non-oil imports expanded 2per cent on year-on-year basis to 24billion dollar during April the firstmonth of fiscal year 2012-13.

On an annual basis Indianexports expanded 21 per cent to303.7 billion dollar in the fiscal year2011-12. The imports during thesame period grew 32.2 per cent to488.6 billion dollar. The tradedeficit for the full fiscal year was184.9 billion dollar. A higher tradedeficit will have an adverse impactover already ailing Indianeconomy. The broadening tradedeficit could worsen the currentaccount balance of the country andfurther weaken the rupee.

RBI HIKED FOREIGN INVESTMENT

LIMIT IN GOVERNMENT BONDS BY 5BILLION DOLLAR

In a move aimed at arrestingthe unrelenting fall of Indian rupee,

India’s central bank the ReserveBank of India on 25 June 2012 hikedthe limit of foreign investment ingovernment bonds by 5 billiondollar to 20 billion dollar. The bankalso raised limit of externalcommercial borrowing (ECB) to 10bilion dollar. Currently, foreigninstitutional investors (FIIs) areallowed to invest upto 20 billiondollar in Indian corporate bonds.While the limit in governmentbonds is at 15 billion dollar, FIIs arebarred to invest in infrastructurebonds upto 25 billion dollar. Thecentral bank also cut down the timeperiod for the maturity ofgovernment securities (g-secs) tothree years from earlier five years.

What is ECB ?

External CommercialBorrowings (ECB) refer tocommercial loans [in the form ofbank loans, buyers’ credit,suppliers’ credit, securitisedinstruments (e.g. floating rate notesand fixed rate bonds)] availed fromnon-resident lenders withminimum average maturity of 3years.

What are Government bonds orGovernment securities?

Government bonds are thebonds issued by the Governmentof a country in its own currency.The bond helps the government toraise money which is used tofinance various activities likebuilding roads, hospitals,infrastructure etc. Hence, thegovernment bonds are a kind ofloan against which the government

of a country receives a certainamount of money, for a certainamount of time, on a certain interestrate.

FITCH RATING AGENCY REVISED

OUTLOOK ON INDIA’S FINANCIAL

INSTITUTIONS TO NEGATIVE

Ratings agency Fitch on 20June 2012 revised the outlook onIndia’s financial institutions tonegative from stable. The outlookof six government banks, twoprivate banks, two wholly ownedgovernment institutions and oneinfrastructure finance companywas lowered by the rating agency.The financial entities which facedthe axe are as follows: Bank ofBaroda (BoB) and its overseassubsidiary Bank of Baroda (NewZealand), Canara Bank, IDBI Bankand Axis Bank, Export-ImportBank of India, Hudco, IDFC andIndian Railway FinanceCorporation. The downwardrevision in outlook is likely to resultin increased cost of fund fromoverseas. Major public sectorlender, State Bank of India whichrecently announced its plans toraise $2 billion from overseasmarkets will be hit the most by therevision.

In the report by Fitch, therating agency listed high customerdeposit base, established domesticfranchises and adequatecapitalisation as the strengths ofbanks. On the other hand it alsomentioned that non-bankinginstitutions are at greater riskbecause they lack the funding




advantage. It also mentioned thatin case sovereign long-term IDR isdowngraded, banks with viabilityrating (VR) of BBB- would also beaffected because of these linkages.VR is designed to represent its viewas to the intrinsic creditworthinessof an issuer.

The rating agency had earlieron 18 June 2012 also revised India’ssovereign outlook to negative.Following the downward revisionof the sovereign outlook, outlook ofseven PSUs including NTPC, SAIL,IOC, PFC, GAIL, REC and NHPCwas lowered to negative. The Fitchaction thus affected 19 Indianentities in all. The rating agencyfurther opined that weakeningeconomic and fiscal outlook,slowing business reforms as wellas inflationary pressures is likelyto further put pressure on the futureasset quality of the entities.

INDIA’S EXPORTS DROPPED BY 4.16PER CENT AT 25.68 BILLION

DOLLAR IN MAY 2012

As per the export-import datareleased by the Commerce Ministryon 14 June 2012, India’s exportdropped by 4.16 per cent at 25.68billion dollar in May 2012. Thefalling exports figure was largelyattributed to slump in globaldemand of goods and contractedindustrial growth in the country.Imports also registered a decline of7.36 per cent at 41.9 billion dollar.The trade deficit figure also shrankto 16.3 billion dollar during theMay 2012, from 18.5 billion dollarin May 2011. On the export side

petroleum products, engineeringgoods, gems and jewellery, andreadymade garments witnessed aslump, while on the import front,gold and silver was down by about51 per cent, while plant andmachinery dropped by 8 per cent.However, imports of crude oil wereup 14 per cent. Gloomy economicoutlook in the western countries,particularly in eurozoneeconomies, which had been aconventional market for Indiangoods, badly hurt the exports of thecountry.

GROWTH RATE OF EIGHT CORE

INFRASTRUCTURE INDUSTRIES DIPPED

TO 2.2% IN APRIL 2012

As per the official datareleased on 31 May 2012, thegrowth rate of eight coreinfrastructure industries dipped to2.2 per cent in April 2012 from 4.2per cent in April 2011. The eightcore sectors — crude oil, petroleumrefinery products, coal, electricity,cement and finished steel has aweight of 37.9 per cent in the Indexof Industrial Production (IIP). Thedip in the growth of the core sectorindustries was attributed to poorperformance by sectors such asnatural gas, crude oil and

fertilizers. The overallinfrastructure sector growth forMarch 2012 was reviseddownwards to 2.2 per cent ascompared to a healthier 6.5 per centexpansion witnessed in the samemonth last year. Also, thecumulative growth of infrastructureindustries was found to haveslipped to 4.4 per cent, which issignificantly lower than the 6.6 percent increase seen in 2010-11.

As per the data released by theCSO, natural gas and crude oiloutput during April 2012 fell by11.3 per cent and 1.3 per cent,respectively. Petroleum refineryproducts and fertiliser productionalso witnessed negative growthrates, contracting by 2.8 per centand 9.3 per cent in April 2012.Slowdown in electricity generationwas also witnessed in April.Electricity generation grew at alower pace of 4.6 per cent duringthe month as compared to 6.4 percent in April 2011. However, threesectors- coal, steel and cement werenoted to have fared better ascompared to 2011. While coalproduction went up by 3.8 per centin April 2012 as compared to anincrease of 2.7 per cent witnessed

in April 2011, the output ofsteel and cement grew by ahealthy 5.8 per cent and 8.6per cent during April 2012 ascompared to negative growthrates of (-) 2.9 per cent and (-) 0.1 per cent witnessed by thetwo sectors in thecorresponding period of2011.




NASA’S NUCLEAR SPECTROSCOPIC

TELESCOPE ARRAY LAUNCHED

National Aeronautics andSpace Administration (NASA) on13 May 2012 launched NuclearSpectroscopic TelescopeArray (NuSTAR) on a Pegasusrocket. The jet was launched fromKwajalein Atoll in the MarshallIslands. NuSTAR will helpscientists find the most subtle andenergetic black holes, which willenable them to understand the

structure of the universe. Theproject aims to study energeticphenomena such as clusters ofgalaxies, black holes and theexplosions of massive stars. It willalso study the Sun’s atmosphere forhints on how it is heated. TheNuSTAR will work in coordinationwith other telescopes in space,including NASA’s Chandra X-rayObservatory, which observeslower-energy X-rays. The projectwill open a new avenue on the

universe and willp r o v i d ecomplementarydata to NASA’slarger missionsincluding Fermi,C h a n d r a ,Hubble andSpitzer. The totalbudget of theproject isestimated to be

180 million dollar, including thecost of development, the launchvehicle and two years of in-orbitoperations. The entire projectincluding the telescope andPegasus launcher was developedby Orbital Sciences Corp.

WHAT IS BLACK HOLE ?

A black hole is a place in spacewhere gravity pulls so much thateven light can not get out. Thegravity is so strong because matterhas been squeezed into a tinyspace. This can happen when astar is dying.

HOW MOSQUITOES FLY IN RAIN

Even though a single raindropcan weigh 50 times more than amosquito, the insect can still fly inthe rain. They found the mosquito’sstrong exoskeleton and low massrender it impervious to falling

Science and Technology




raindrops. The research team, ledby Assistant Professor ofMechanical Engineering David Huand his doctoral student AndrewDickerson, found that mosquitoesreceive low impact forces fromraindrops because the mass ofmosquitoes causes raindrops to loselittle momentum upon impact. Tostudy how mosquitoes fly in therain, the research team constructeda flight arena consisting of a smallacrylic cage covered with mesh tocontain the mosquitoes but permitentry of water drops. They used awater jet to simulate rain streamvelocity and observed sixmosquitoes flying into the stream.All the mosquitoes survived thecollision.

“The collision force mustequal the resistance applied by theinsect. Mosquitoes don’t resist atall, but simply go with the flow,”Hu said. The team also filmed free-flying mosquitoes that weresubjected to rain drops. They foundthat upon impact the mosquito isadhered to the front of the drop forup to 20 body lengths. “To survive,the mosquito must eventuallyseparate from the front of the drop.The mosquito accomplishes this byusing its long legs and wings,whose drag forces act to rotate themosquito off the point of contact.This is necessary, otherwise themosquito will be thrown into theground at the speed of a fallingraindrop,” Hu said. The results ofthe research will appear in the latestissue of the Proceedings of theNational Academy of Sciences.

‘GREEN RUST’ COULD SCRAPE

TOXIC METALS

A rare kind of mineral knownas “green rust”, which could beused to scrape toxic metals andradioactive species from theenvironment, also played a similarand crucial role early in Earth’shistory. Research suggests for thefirst time that ‘green rust’ was likelywidespread in ancient oceans andmay have played a vital role in thecreation of our early atmosphere.Led by Newcastle University, thestudy shows that during thePrecambrian period, green rust‘scavenged’ heavy metals such asnickel out of the water, thejournal Geology reports.

HIGHLY REACTIVE

Only discovered last decade,green rust is a highly reactive ironmineral which experts hope couldbe used to clean up metal pollutionand even radioactive waste,according to a Newcastlestatement. Newcastle University’sSimon Poulton, professor, said thislatest discovery proved theeffectiveness of green rust as anenvironmental cleaner. “Because itis so reactive, green rust has hardlyever been found before in natureand never in a water system likethis,” explains Poulton, who led theresearch team involving expertsfrom the Universities of Newcastle,Nancy, Southern Denmark, Leeds,Brussels and Kansas, and theCanadian Light Source andIndonesian Institute of Sciences.

“The discovery of green rust in LakeMatano, Indonesia, where wecarried out our experiments showsfor the first time what a key role itplayed in our ancient oceans —scavenging dissolved nickel, a keymicronutrient formethanogenesis.”

Sequoia is the FastestComputer in the World

Sequoia, the US supercomputer, was crowned the fastestcomputer in the world on 17 June2012. Situated at LawrenceLivermore National Laboratory inCalifornia, Sequoia is able to make16.32 quadrillion calculations persecond (16.32 petaflops/s).Developed by IBM, thesupercomputer belongs from IBM’sBlueGene family, which runs onPower processors, chips that aremade at IBM’s plant in East Fishkill.The powerful SupercomputingSystem Sequoia help the UnitedStates keep its nuclear stockpilesafe, secure and effective withoutthe need for underground testing.

The U.S. is the top consumerof high-performance systems. With253 of 500 systems US holds thehighest share of world’s fastestcomputers. Asia holds 121 systems,with China (68 systems) and Japan(34 systems) leading in that region.Europe has 107 systems with theU.K. (25), France (22) and Germany(20) in a tight race.

Top 500 systems also appearin scattered countries such as Israel,Canada, United Arab Emirates andAustralia.




The top 10 PowerfulSupercomputers of the world:

1. Sequoia at LawrenceLivermore NationalLaboratory in California - US

2. K Computer at RIKENAdvanced Institute forComputational Sciencecampus in Kobe - Japan

3. Mira at Argonne NationalLaboratory in Illinois - US

4. SuperMUC at LeibnizSupercomputing Centre inGarching - Germany

5. Tianhe-1A at NationalSupercomputing Center inTianjin - China

6. Jaguar at Oak Ridge NationalLaboratory in Tennessee - US

7. Fermi at CINECA in Bologna -Italy

8. JuQueen at Forschungsz-entrum Juelich in Julich -Germany

9. Curie thin nodes at CEA/TGCC-GENCI in Bruyeres-le-Chatel - France

10. Nebulae at NationalSupercomputing Centre inShenzhen - China

As per the June 2012 Top 500Supercomputers list (it ispublished twice in a year) twosupercomputers from India figuredin the top 100. The CSIR Centre forMathematical Modeling andComputer Simulation (C-MMACS),ranked 58, while SAGA-220,developed by the Indian SpaceResearch Organisation (Isro) andthe IISc, ranked 86. Earlier in

November 2007, India had got ninesupercomputers in the Top 500 list.Eka’s, developed by theComputational ResearchLaboratories Ltd (CRL), a unit ofTata Sons, the Hewlett-Packard(HP) system was ranked theworld’s fourth-largestsupercomputer. The system costaround 30 million dollar(around165 crore rupees ) and was built injust six weeks. It was the first timethat an Indian supercomputerfigured among the world’s top 10.Though the system now ranks 129in the top 500 list. PARAM 8000 isbroadly considered as India’s firstsupercomputer. It was built by theCentre for Development ofAdvanced Computing (C-DAC)with Russian collaboration. TheUniversity of Mannheim, LawrenceBerkeley National Laboratory, andthe University of Tennessee inKnoxville every year prepares thelist of TOP 500 supercomputers inthe world.

HUMAN ANCESTORS ORIGINATED IN

ASIA

The earliest ancestors ofmodern human may haveoriginated in Asia and not Africaas widely believed,according to a new studybased on fossil discoveryin Myanmar. Previousfossil finds have longsuggested that Africa wasthe cradle for anthropoids,which include monkeys,apes and humans. Now,an international team in

Myanmar has found the tooth of apre-human ancestor which mayprove that anthropoids originatedin Asia. The findings, published inthe journal Proceedings of theNational Academy of Sciences , couldshed light on a pivotal step inprimate and human evolution, theresearchers said. The four teeth ofthe prehistoric human —called afrasia djijidae as it forms amissing link between Africa andAsia — were recovered after sixyears of hard work. They date backto 37 million years and resemblethose of another anthropoid, the38-million-year-old Afrotarsiuslibycus , recently found in theSahara Desert of Libya, LiveScience reported. The anthropoidsin Libya were far more diverse atthat early time in Africa thanscientists had thought, suggestingthey actually originated elsewhere.And the close similaritybetween Afrasia and Afrotarsius nowsuggests that early anthropoidscolonised Africa from Asia, theteam said.

This migration from Asiaultimately helps set the stage for thelater evolution of apes and humansin Africa. “Africa is the place of




origin of man, and Asia is the placeof origins of our far ancestors,”researcher Jean-Jacques Jaeger, apalaeontologist at University ofPoitiers in France, said. However,the researchers said that itremained an open question howearly anthropoids actuallymigrated from Asia to Africa. Backthen, the two continents wereseparated by a more extensiveversion of the modernMediterranean Sea, called theTethys Sea. Early anthropoids, theteam believes, may have eitherswum from island to island fromAsia to Africa, or possibly havebeen carried on naturally occurringrafts of logs and other materialwashed out to sea by floods andstorms. “Around 34 million yearsago, there was a dramatic glacialevent that cooled the world climateand affected Asia more than Africa.“During that crisis, we supposethat all primitive Asiananthropoids disappeared,” Jaegersaid. The anthropoids we see inAsia now, such as gibbons andorangutans, “immigrated fromAfrica some 20 million years ago,”Jaeger added.

ARTIFICIAL BRAIN WITH BILLION

CONNECTIONS

Google has done theunthinkable — the creation of an‘artificial brain’ from 16,000computer processors, with morethan a billion connections. Theteam led by Google’s Jeff Dean thenfed it random images culled from10 million YouTube videos — and

let it ‘learn’ by itself. Surprisingly,the machine focused in on cats.“We never told it during thetraining ‘this is a cat’,” said Dean.“It basically invented the conceptof a cat.”

“Contrary to what appears tobe a widely-held intuition, ourexperimental results reveal that itis possible to train a face detectorwithout having to label images ascontaining a face or not,” says theteam. “We also find that the samenetwork is sensitive to other high-level concepts such as cat faces andhuman bodies.” “Starting withthese learned features, we trainedour network to obtain 15.8 per centaccuracy in recognising 20,000object categories from ImageNet, aleap of 70 per cent relativeimprovement over the previousstate-of-the-art,” it said, DailyMail reports. The ‘brain’ was acreation of the company’s ‘blue skyideas’ lab, Google X, reportedlylocated in Google’s Mountain View,California, headquarters — knownas ‘the Googleplex.’ Engineers arefree to work on projects such asconnected fridges that ordergroceries when they run low — oreven tableware that can connect tosocial networks. Other Googleengineers have reportedlyresearched ideas as far-out aselevators to space.

MANAGEMENT OF POWDERY MILDEW

IN SUNFLOWER

Sunflower is one of the largestproduced oilseed crops in thecountry annually. Though it is

grown on a large scale for oilseedproduction in India the crop suffershuge losses due to many pest anddisease outbreaks. Especiallyduring the flowering and grainformation stages sudden outbreakof diseases like the powderymildew infects crop growth andyield.

The disease produces whitepowdery growth on the leaves.White to grey mildew appears onthe upper surface of older leaves.As plants mature black pin headsized are visible in white mildewareas. Infested leaves lose lustre,curl, become pale in colour and die.The disease appears on the uppersurface of leaves in the form of paleyellow or pale brown minutediscoloured specks from whichpowdery mass radiates to all sides

of leaves. Heavily infested leavesdry and shed prematurely. Soonthese specks get covered withwhitish powdery mycelial growthwhich increase in size and developto cover much of the plant area withwhite powdery growth. Gradually,the infection spreads to other partsof the plant. The disease isprevalent more under dryconditions especially at the end ofthe winter months.




Management

— Reducing the likelihood of adisease outbreak is moreeffective than trying to controlthe disease once it isestablished.

— Avoid growing crops insituations of high humidity.

— Morning watering limits thebuild-up of humidity in thecrop overnight.

— Avoid high plant densitieswhich leads to heavyinfection.

— Application of sulphur dustat 25-30kg/ha or calixin 1 ml/litre is found effective inreducing the diseaseincidences.

— Under high incidencesspraying of difenoconazole1ml/litre is very effective.

A WEARABLE ROBOT HELPS DISABLED

PEOPLE WALK

“It’s a nice feeling to beupright, to walk and to have peopleat eye level,” said a beaming PeterKossmehl at the PotsdamRehabilitation Centre in Germany.The 40-year-old from the Germanstate of Brandenburg had just triedout a bionic exoskeleton — awearable, battery-powered robot —that enables paraplegics to take afew steps again. The rehab centreis one of the first facilities in Europeto test the robot, called Ekso andmade by Ekso Bionics. TheCalifornia-based companyintroduced Ekso in the fall of 2011.Now it is to be tested worldwide

on paraplegics, stroke and multiplesclerosis patients and other peoplewith lower-extremity paralysis orweakness. “In Germany, onlypatients in Aachen have tested therobot Ekso so far — that was a fewweeks ago,” said companyspokesman Bastian Schink. Afterthem, eight people in Potsdamstrapped on and tried out theapproximately 23-kilogramexoskeleton. With the help ofsensors in its foot units, weightshifts are converted into steps.

“I’d like to give my patientsthe opportunity to stand erect againas soon as possible,” said BettinaQuentin, director of physiotherapyat the rehab centre south of Berlin.But Quentin, like many experts,warns against excessiveexpectations. “People whofunction well with their wheelchairwill always be faster in them thanwith the exoskeleton,” said JanSchwab, head of spinal cord injuryresearch at the Charite University

Hospital’s Department ofExperimental Neurology in Berlin.“The psychological benefits of apatient standing upright shouldn’tbe underestimated, though.” Thereactions of the Potsdam patientsappeared to confirm this. “I’m notwalking by myself,” he remarked.“It’s only passive walking.”Kossmehl, too, thinks moredevelopment work is needed. “Butit’s just the right aid for the rehabcentre,” he said. In the view ofRuediger Rupp, director of theDepartment of ExperimentalNeurorehabilitation in theParaplegiology Clinic atHeidelberg University Hospital, therobot is no substitute for awheelchair, especially consideringthat it is not suitable for all patients.There are about 60,000 paraplegicsin Germany, “of whom fewer than10 per cent are candidates (for therobot),” he said. “That’s a veryselect group.” Someone who canhardly move his or her torso, forexample, would have greatdifficulties with the robot.

A UNIQUE OBSERVATORY TO STUDY

QUAKES IN KOYNA-WARNA AREA

What kind of physical andchemical changes take place in theearth’s crust during anearthquake? How does thetemperature change and will therebe some melting of the rock?Answers to such fundamentalquestions are expected from theresults of a unique Rs.300-croreproject under which scientists willdrill a seven-km deep borehole into




an earthquake zone for an on-the-spot measurement of variousphysical and chemical changes.Under the project — Deep ScientificDrilling into Earthquake zone ofKoyna-Warna region(Maharashtra) — seismologistsand other scientists from theNational Geophysical ResearchInstitute (CSIR-NGRI) plan toestablish a deep boreholeobservatory in the seismically-active intra-plate fault zone inKoyna-Warna region. Former NGRIDirector and currently a member ofthe National Disaster ManagementAuthority (NDMA), Prof. Harsh K.Gupta is the advisor of the project.

Continuous monitoring of thisborehole at seven-km depth wouldenable measurement of physicaland mechanical properties ofrocks, hydrology, temperature andother parameters in the near-fieldof earthquakes before, during andafter their occurrence. “It isexpected to lead to a betterunderstanding of the mechanics of

earthquake faulting and thephysics of reservoir triggermechanism” said the project leader,Dr. N. Purnachandra Rao. He saidthe Koyna-Warna deep drill holewould be the first of its kind in theworld to directly investigateearthquakes in a stable continentalcrust, unlike the deep boreholedrilled on a plate boundary faultIn San Andreas Fault in California.Besides, that was up to a depth ofthree km, “whereas what we aregoing to get here is therepresentative earthquakes of theregion within a depth of sevenkilometres,” Dr. Rao added.

Pointing out that Koyna-Warna region was known forReservoir Triggered Seismicity(RTS), he said that triggeredearthquakes have been occurringregularly in an area of 20 x 30 sq.kmever since the impounding inKoyna reservoir in 1962. While thelargest earthquake in that regionwas of 6.3 magnitude on Richterscale, hundreds of others of varying

magnitude have been recorded.“Since there is no other source ofseismic activity within 50 km of theKoyna-Warna region, it forms anexcellent natural laboratory forearthquake studies,” Dr. Rao said.Explaining the importance of theproject, he said so far scientistshave been drawing indirectinference from measurements onthe surface of the earth. “We havebeen measuring from the surfaceand trying to understand what ishappening inside. But now we willmeasure right at the spot.”

This would be extremelyvaluable knowledge for wholeworld and has the potential tofacilitate earthquake forecasts infuture. A seismic network of 15sensors operating in the region forthe last six years helped thescientists to precisely locate the areawhere the earthquakes areoccurring. “This would help us toplan the exact location for drilling”,Dr. Rao said. While earthquakesnormally occur in the crust downto 35 km depth, the drilling couldbe done only up to a depth of 12 kmwith the present technology. Dr.Rao said that most of theearthquakes in that region wereoccurring within 7 km and therewas no need to go beyond thatdepth. Besides, they would bedrilling into hard granite rock andthe cost of the drilling would go upexponentially as they godown further.

Koyna-Warna region was likea laboratory where earthquakeswere constantly occurring within




a shallow depth range. “It makes itfeasible for drilling and setting upan observatory for earthquakestudies,” he added. Dr. Rao saidNGRI would be installingseismometers, temperature loggers,strain meters (to measuredeformities in the rock) and someinstruments to measure physicalparameters like density all alongthe borehole at different depths upto seven km. He observed that inplate boundary zones where theearthquakes were usuallyextensive and deeper, it would bedifficult to pinpoint an area fordrilling. In a bid to supplementthese studies, a new institute,Seismological Research Laboratorywas being established by theMinistry of Earth Sciences at Karad,Maharashtra. It is planned todevelop into a centre of excellencein earthquake and related studies.

NEW TECHNIQUE FOR THE EARLY

DETECTION OF AUTISM

In a path breakingdevelopment, a team of scientistsat Boston Children’s Hospitalinvented an easy technique, thatwill help doctors to diagnosesautism in children earlier. Thepioneering technique will pave theway for an early detection andbetter treatment of the braindisorder in young children. Thework detail of the new techniquewas published in journal BMCMedicine on 26 June 2012. Thetechnique, uses EEG scalpscanning equipment used fordecades to diagnose epilepsy to

spot weaknesses in the brain’swiring. The researchers whocarried out tests on more than 1000children aged between two and 12years found that it was up to 90 percent accurate in detecting thedisease. Every two in 1000 childrenworldwide is suffering fromAutism.

The symptoms of the diseasevary from child to child, however,the disease have some verycommon and invariablecharacteristics like difficulty withsocial interaction, difficulty withcommunication and a need forroutine and repetitive behaviour.Since there is no permanent cure ofthe disease, patients are usuallytreated by a combination of speech,behavioural and other therapies.Diagnosis of autism is more often alengthy and complicated processand the average child is notdiagnosed until the age of five anda half.

LABOUR SAVING TOOL FOR

SUGARCANE CULTIVATION

Periodical pruning ofbranches in fruit trees is importantfor getting a good yield. In cropslike cotton, castor, sesame, thepractice of nipping is essential forenhancing the number of branches.

Similarly in sugarcane,pruning of the mother shoot is animportant practice to be followedby farmers.

Scarce labour

Though this practice is beingadvocated, many farmers are notfollowing this due to labourscarcity. But some of them use asickle or other available farm tools




to prune the main shoot. Existingtools available today are not muchpopular because the user needs tobend down and hold the stem toprune the sugarcane. While doingso the probabilities of injuring thehands due to presence of sharpspines on the stem or the serratedmargin of the leaves pose aproblem.

Practical problem

These make labourers slowdown the operation. To addressthese practical problems thePlanning and Monitoringdepartment, Tamil NaduAgricultural University,Coimbatore has fabricated a tool.Named cane seedling pruner, thedevice has two parts, one a handleand another hook with an internalknife. The upper portion of the hookhas a two inch length pipe to holdthe handle stick. A labourer canhandle the tool with the help of thehandle and place the main shootin the inner portion of the knife.With just one pull, the stem can bepruned. Using this tool a personcan cover an entire sugarcane fieldwithout bending his body.

Advantages

According to Dr. G.Kathiresan, Director, Planning andMonitoring department the farmercan save the two thirds of moneyrequired for pruning, it is easy touse, aids growth of more tillers fromthe pruned cane seedlings, can beused to harvest fruits like papaya,drumstick, sapota and the like, bychanging the length of the handle.

A WAY TO KEEP METAL SURFACES ICE,FROST FREE

Harvard researchers haveinvented a way to keep any metalsurface free of ice and frost — adiscovery that will prove beneficialin refrigeration systems, windturbines and the constructionindustry. The surfaces treated withthe chemical quickly shed eventiny, condensation droplets or frost.The technology prevents ice sheetsfrom developing on surfaces — andany ice that does form, slides offeffortlessly. The group, led byJoanna Aizenberg, professor ofmaterials science at the HarvardSchool of Engineering and AppliedSciences (SEAS), previouslyintroduced the idea that it waspossible to create a surface thatcompletely prevented ice with ice-repellent coatings, inspired by thewater repellent lotus leaf, thejournal ACS Nano reports.

Yet thistechniquecan failu n d e rh i g hhumidityas thes u r f a c et e x t u r e sb e c o m ecoated withcondensation a n dfrost. To combat this problem,researchers recently invented aradically different technology thatis suited for both high humidityand extreme pressure, called SLIPS(Slippery Liquid Infused Porous

Surfaces). “Unlike lotus leaf-inspired icephobic surfaces, whichfail under high humidityconditions, SLIPS-based icephobic(non-stick) materials, as our resultssuggest, can completely prevent iceformation at temperatures slightlybelow zero degree Celsius whiledramatically reducing iceaccumulation and adhesion underdeep freezing, frost-formingconditions,” said Aizenberg.

GENOMES OF TOMATO SEQUENCED

Scientists at the TomatoGenome Consortium (TGC)successfully sequenced thegenomes of tomato. It will increasethe vegetable’s productionworldwide and decrease its price.It took seven years for the scientiststo crack the genome. Indianscientists were also the part of theresearch. N a t i o n a l

R e s e a r c hCentre onP l a n tBiotechnology,N a t i o n a lInstitute ofP l a n tG e n o m eResearch,T h e

University ofDelhi (South Campus) and

the Indian Agriculture ResearchInstitute under the auspices of theIndian Initiative on TomatoGenome Sequencing participated inthe TGC.

At present, Indian scientistsare trying to develop tomatoes that




can remain fresh for 15-30 days innormal weather conditions.Thesequences provide a detailedoverview of the tomato genome,revealing the orientation, order,types and relative positions of their35000 genes. The sequences willhelp scientists decode therelationships between tomatogenes and traits. It will also increasetheir understanding of genetic andenvironmental factors that play animportant role to determine a fieldcrop’s health and viability. TheDepartment of Biotechnologyfunded the Indian initiative and itwas supported by the IndianCouncil for Agricultural Research.

CO-4 GRASS USED AS FODDER

INCREASES MILK YIELD CONSIDERABLY

In Kerala, even though 60 percent of the milk requirement is metby procurement from other stateslike Tamil Nadu, Karnataka and

Maharashtra, cattle rearing is fastdeclining due to high cost ofproduction, labour shortage andshrinking land. Heavy dependenceon other states for raw materialspushes up the cost of concentratefeeds. “Dry straw (hay) used to feedcattle has become scarce due todecline in area under ricecultivation. It becomes a direnecessity for dairy farmers to startgrowing green fodder (grass) if theydesire to run their unit profitably,”says Dr.S. Prabhu Kumar, ZonalProject Director, ICAR, ZonalProject Directorate, Bangalore.

GROW OWN FODDER

He adds that mere distributionof milch animals by theGovernment is of no use to farmers.Along with the animals they mustbe also made aware of theimportance of growing their ownfodder for the animals. Buying

several commercial feeds availablein the markets today is notprofitable for a small farmer and issure to burn a hole in their pocket,according to him. Take the case ofthe Koipuram Milk societyestablished on the banks of riverPampa nearly 20 years back by oneMr. Gopalakrishnan Nair toprevent dairy farmers from beingexploited by middlemen who werenot providing timely price for themilk supplied. During peakproduction time farmers used to getonly Rs.2.40 per litre of milk whilethe market price was Rs. 6 per liter.The society was initially startedwith 400 members and 1,500 litresof milk was sent daily to the milkmarketing federation of Kerala forfurther processing and sales. Theprice was fixed by the society.

CULTIVATED ACREAGE

Since 1995 the societyencouraged fodder production forits members and introduceddifferent fodder grasses like CongoSignal, Gunnie grass, HybridNapier like CO1, CO2 and CO3 inthe area. By 2009, 150 hectares inthe region were brought underdifferent types of foddercultivation. “We brought four




cuttings of CO4 Hybrid Napiergrass from Tamil Nadu AgricultureUniversity Coimbatore, andmultiplied it in our KVK farm.“Today our farmers are selling thisfodder to several private farms inKollam, Allapuzha, Kottayam andIdukki Districts. On an average800-1,200 Kg of green fodder isbeing sold today by the farmers ofthis society,” says Dr. C. P. Robert,Programme Co-ordinator, CARD-KVK (Christian agency for ruraldevelopment- Krishi VigyanKendra), Pathanamthitta district,Kerala. CARD KVK has been in theforefront of fodder promotion in thePathanamthitta district and hasbeen conducting many trials toidentify suitable forage varieties forthe district. Dairy farmers are giventraining on scientific foddermanagement practices as andwhen the need arises.

FEEDING RATIO

“Feeding one bundle (15Kg) ofCO4 grass has been found toincrease milk yield by almost 200ml per cow. Seeing this superiorgrowth characteristic, farmers arereplanting CO4 variety today andit has almost replaced the previousCO3 variety,” says Dr.Robert. Tilldate several lakh cuttings of thisgrass have been sold to differentagriculture project areas in Kerala.

MARKETING

Farmers are selling this fodderfor Rs1.30 a kg and are able toharvest 7-8 cuttings a year (thecuttings may vary with the

availability of water). Many areable to get an average yield of 270tonnes per hectare and earn Rs.15,000 as net profit annually. Thesociety also generates 300 days ofemployment through this activitya year, according to Dr. Robert.

DRONES TO COMBAT POACHERS

Conservationists in Nepal areto send drone aircraft into the skiesin the battle to save the Himalayannation’s endangered tigers andrhinos from poachers. WWF Nepalsaid it had successfully tested twounmanned “conservation drones”earlier this month in ChitwanNational Park, in Nepal’s southernplains, the home of a number of theworld’s rarest animals. The remote-controlled aircraft, being used forthe first time in Nepal, wouldmonitor the animals and poachersvia cameras and GPS to captureimages and video, the organisationsaid in a statement earlier thisweek.

The aircraft, with a two-metrewing span and a range of 25kilometres can stay in the air for 45

minutes, flying at an altitude of upto 200 metres. “WWF Nepal hasbeen introducing new science andtechnology to aid ongoingconservation efforts in Nepal. Theconservation drones are the latestaddition,” said Anil Manandhar,the organisation’s representativein Kathmandu. “We believe thatthis technology will beinstrumental in monitoringNepal’s flagship species andcurbing illegal wildlife trade.”Thousands of tigers and greaterone-horned rhinos, also known asthe Indian rhinoceros, once roamedNepal and northern India but theirnumbers plunged over the lastcentury due to poaching andhuman encroachment on theirhabitat.

MINOR PLANET NAMED AFTER

CHINESE SCIENTIST

A minor planet that wasdiscovered by Chineseastronomers, has been named aftera well-known late Chinese scientistand educator Yan Jici, the ChineseAcademy of Sciences (CAS). The




minor planet, known as No 10611,was discovered by the BeijingSchmidt CCD Asteroid Programunder the National AstronomicalObservatories with the CAS in1997, and was bestowed with thename in memory of Yan, Xinhuaquoted CAS as saying. Yan, aveteran Chinese scientist, was thehonorary chairman of the CentralCommittee of the Jiu San Societyand vice-chairman of the Sixth andSeventh National People’sCongress Standing Committee. Hewas also one of the initiators ofUniversity of Science andTechnology of China, one ofChina’s top universities. Hecultivated young experts in scienceand technology. Yan died of illnessin Beijing in 1996, at the age of 96.

REAL-TIME TRAIN RUNNING

INFORMATION SYSTEM

A joint team of Indianrailways and IIT-Kanpurdeveloped the real-time train

running information system, atechnology which will help amobile user to get the informationabout the exact location of a train.Under the new technology the userwill have to type the train numberand SMS it to 09415139139 or09664139139 for getting the exactlocation of a train on real-timebasis. The satelite-based traintracking system was jointlydeveloped by the Centre ForRailway Information Systems(CRIS), the IT arm of Indianrailways and Indian Institute ofTechnology (IIT), Kanpur toovercome the limitations of theexisting Train Running

Information System. At present thereal-time train runninginformation system service covers36 pairs of premier trains. Some ofthe trains which have beenprovided with the new technologyinclude Mumbai Rajdhani,Howrah Rajdhani, DibrugarhRajdhani, Sealdah Duronto andShatabdi trains for Bhopal, Kanpurand Amritsar. The Indian Railwayhas allocated 121 crore rupees forthe project and the service is likelyto be extended to all major trainsover the next 18 months. The IndianRailways has received thepermission from the Indian SpaceResearch Organisation (ISRO) tooperate the system through itssatellite. The railways department,however, sought fresh order fromISRO, to extend the facility to othermajor trains.

ANGER SHOWS UP IN BRAIN SCAN

A new brain scan shows whatit looks like when a person runs outof patience or loses self-control.

The study could also modifyprevious thinking that consideredself-control to be like amuscle.University of Iowaneuroscientist William Hedgcockconfirms previous studies that

show self-control is a finitecommodity that is depleted by use.




But Hedgcock’s study is the first toactually show it happening in thebrain, using Functional MagneticResonance Imaging (FMRI) imagesthat scan people as they performself-control tasks, the Journal ofConsumer Psychology reports. Theimages show the anterior cingulatecortex (ACC) fires with equalintensity throughout the task. ACCis the part of the brain thatrecognises a situation in which self-control is needed and says: “Headsup, there are multiple responses tothis situation and some might notbe good.”

However, the dorsolateralprefrontal cortex (DLPFC) fires withless intensity after prior exertion ofself-control. DLPFC is the part ofthe brain that manages self-controland says: “I really want to do thedumb thing, but I should overcomethat impulse and do the smartthing”. Hedgcock said that loss ofactivity in the DLPFC might be theperson’s self-control drainingaway. The stable activity in theACC suggests people have noproblem recognising a temptation.Although they keep fighting, theyhave a harder and harder time notgiving in.

DEVELOPING A NOVEL SEARCH

ENGINE

A new project to develop asearch engine which will draw itsresults from sensors is beingundertaken by computer scientistsat the University of Glasgow. TheEuropean-funded project, knownas SMART, for “Search engine for

Multimedia Environmentgenerated content”, aims todevelop and implement a systemto allow internet users to searchand analyse data from thesesensors, a university release said.By matching search queries withinformation from sensors andcross-referencing data from socialnetworks such as Twitter, userswill be able to receive detailedresponses to questions such as“What part of the city hosts livemusic events which my friendshave been to recently?” or “Howbusy is the city centre?”

Currently, standard searchengines such as Google are not ableto answer search queries of thistype, the release added. Dr IadhOunis, of the University of Glasgowsaid: “The SMART engine will beable to answer high-level queriesby automatically identifyingcameras, microphones and othersensors that can contribute to thequery, then synthesising resultsstemming from distributed sourcesin an intelligent way.” SMART islikely to be tested in a real city by2014.

THE SOLAR TRANSIT OF VENUS

PRESENTED A SPECTACULAR SHOW

IN THE SPACE

In a rare space event, Venus,the second closest planet from thesun, passed in front of the sun on 5June 2012. The rare planetarydisplay began shortly after 2200GMT on 5 June 2012 in parts ofNorth America. Subsequently, itwas visible in Central America,

and the northern part of SouthAmerica. The view at the time theVenus was crossing though theSun was incredible, as a tiny blackdot appeared on the solar surface.Venus is 100th of the diameter ofthe sun so while moving acrossfrom one side to the other, just ablack spot placed over on the discof the sun. The celestialphenomenon which repeats itselfin more than 100 year, will now berewitnessed only in 2117. Thespace phenomenon is seen whenthe Venus passes between the Sunand the Earth. It occurs in intervalsof 8, 121½, 8 and 105½ years. Thelast Transit of Venus occurred on 8June 2004 and was visible acrossIndia. The transit which took placeon 5 June 2012, completes the pairof 2004-12. The latest Venus transitis only the eighth since theinvention of the telescope, and thelast until 10-11 December 2117.

WHAT IS THE TRANSIT OF VENUS?

The Transit of Venus occurswhen it comes between the sun andearth. Venus is significantlysmaller in size than the sun andhence appears like a small dot on abig plate.




DINOSAURS’ WEIGHT REVISED

One of the heftiest dinosaursthat strode the Earth may haveweighed as much as six buses lessthan thought, according to a newformula that will also place otherdinosaurs in a lower weight class.TheBerlin Brachiosaur waspreviously estimated to weigh asmuch as 80 tonnes. But a newcalculation of its mass, publishedby scientists recently, suggests itwould have tipped the scales at arelatively featherweight 23 tonnes.“Our results would suggest thatmany of the previous estimates (forall dinosaurs) are indeed tooheavy,” study author Bill Sellerstold AFP.

For most dinosaurs, thediscrepancy would not be as big asthat for the Brachiosaurus, “butcertainly we would suggest thatlighter estimates are likely to becorrect.” The team of biologistsused 14 large-framed modernmammals to devise a new methodof estimating body mass using only

the skeleton. “It’s a mathematicaltechnique that effectively wraps askin as tightly as it can around thebones,” explained Sellers of theUniversity of Manchester. “Thisgives us a ‘skin and bones’ model(from) which we can measure thevolume.” The study revealed thatthe weight of modern-day animalswas 21 per cent more than the so-called “wrapping volume” —which equation was then appliedto the dinosaur bones.

OLDEST ROCK ART FOUND

An archaeologist says hefound the oldest piece of rock art inAustralia and one of the oldest inthe world- an Aboriginal workcreated 28,000 years ago in anOutback cave. The dating of one ofthe thousands of images in theNorthern Territory rock shelterknown as Nawarla Gabarnmangwill be published in the next editionof the Journal of ArchaeologicalScience . University of SouthernQueensland archaeologist BryceBarker said Monday that he foundthe rock in June last year but onlyrecently had it dated at NewZealand’s University of Waikatoradiocarbon laboratory.“It’s theo l d e s tunequivocallyd a t e drock art inAustralia”and amongthe oldest inthe world,Barker said.

STEM COLOUR

The stem of all plants is greendue to the presence of hypodermalchlorenchyma in its cortex. Butwhen the stem axis, especially thedicot stem axis, ceases to elongateand undergoes secondary growth,its green colour disappears andbecomes pale or dark brown incolour. The secondary growth is notonly responsible for change insurface colour but also contributesto the thickness of the axis due tothe formation of periderm. This iseffected in the cortex by a lateralmeristem called phellogen and theformation of secondary vasculartissues (secondary xylem andsecondary phloem), which iseffected in the stele (vascularcylinder) by the vascular cambium.Among these two tissue gains dueto secondary growth, the peridermis responsible for the change instem surface colour.

The periderm is the protectivetissue of secondary originreplacing the primary structure ofthe young stem, the epidermis. Itconsists of the phellogen (corkcambium), the meristem that

produces the periderm;the phellem (commonlycalled cork), theprotective tissue formedoutwardly by thep h e l l o g e n .The phelloderm , aliving parenchymatissue, is formed

inwardly by the phellogen. Ina stem, the periderm is mostcommonly formed in the sub-




epidermal layer. In some species,however, the first periderm appearsrather deep within the stem. All theliving tissues above the peridermdie due to the insertion of thenonliving cork between thesetissues and the living inner tissuesof the plant. Now the stem surfaceis exposed by the cork cells. Thewalls of the cork cells may becoloured brown, yellow or thelumen of these cells may containresinous or tanniferous materials.That is why the older stems exhibitbrown colouration on their surface.

CHINA LAUNCHED SHENZHOU-9 INTO

SPACE

China on 16 June 2012launched its fourth humanspaceflight Shenzhou-9 from theJiuquan satellite launch centre innorth-western Gansu state. The30.3 feet long and 9.1 feet diameter,Shenzhou -9 spacecraft willconduct the first manned dockingmission and set the foundation forChinese plans to build a spacestation by 2020. Shenzhou-9 isexpected to take at least 20 days tocomplete its space mission. In thecourse of the mission the crew willaccomplish automated docking

procedure followed by scientificexperiments, technical tests andphysical exercises conducted in thespace lab. The crew will conductmanual docking with theTiangong-1 or heavenly palacespace laboratory module, whichhas been orbiting the earth since 29September 2011.

China, notwithstanding itsassurance given to the worldcommunity that it will not getindulged in space warfare, isspending billions of dollars toaccomplish its ambitious spaceprogrammes. China, in December2011, had revealed a five-year spaceprogramme, in which it vowed toset up a space lab and collectsample from the moon by 2016.Earlier, the Chinesegovernment hadundertaken a missionto get to the moon andset up a manned spacestation by year 2020.

China, launched itsmanned space programmein year 1999 with the launchof Shenzhou-1 with no crewon board. In 2001, Shenzhou-2 wasblasted off with small animals

aboard, and in 2003,China launched itsfirst manned spacecraft. Since then, it hascompleted a spacewalk in 2008 and anunmanned dockingbetween a moduleand rocket in 2011.The launch ofShenzhou-9 is a

testimony to China’sdetermination to develop itstechnological competence vis-a-visUnited States and Russia.

FIRST CHINESE WOMAN IN SPACE

One of two female fighterpilots will become the first Chinesewoman in space later this month,after the two were short-listed for aplace in the three-person team thatwill blast off in the Shenzhou-9spacecraft, the state news agencyXinhua said. Chinese mediadescribed Major Liu Yang, fromHenan, as a “hero pilot” whoachieved a successful emergencylanding after a dramaticbird-strike

incidentspattered the

windshield of her plane withblood. Meanwhile, her rival,Captain Wang Yaping, fromShandong, is said to have flownrescue missions during theSichuan earthquake and piloted acloud-seeding plane to help clearthe skies of rain for the BeijingOlympics in 2008. “They areselected as members of the firstbatch of female astronauts in Chinabecause of their excellent flightskills and psychological quality,”said Xinhua.




This month’s mission isregarded as an important stage inChina’s ambitious spaceprogramme. “The Shenzhou-9 willperform our country’s first mannedspace docking mission with theorbiting Tiangong-1 space labmodule,” Zhou Jianping, chiefdesigner of the manned spaceprogram, told state media. “Thiswill be a significant step in China’smanned space flight history,” hesaid. China will be the eighthcountry to see one of its femalecitizens go into space, and only thethird to put one there itself.Valentina Tereshkova of the SovietUnion became the first woman togo into space in 1963. Both thewomen short-listed are in their 30sand have one child: Chineseauthorities have decreed that onlymothers can train as astronauts,apparently because of their concernthat spaceflight might affectwomen’s fertility. Earlier this year,the deputy editor-in-chief of anofficial magazine said womenastronauts should also have noscars — which might open andbleed in space — nor body odour.“They even must not have decayedteeth because any small flaw mightcause great trouble or a disaster inspace,” said Pan Zhihao of SpaceInternational , published by theChina Academy of SpaceTechnology.

But he also told China Dailythat female astronauts tend to bemore “keen and sensitive withbetter communication skills thantheir male counterparts.”

EARLIEST EVIDENCE OF DAIRYING

PRACTICES IN SAHARA FOUND

Researchers from theUniversity of Bristol and otherinstitutions have found the “firstunequivocal” chemical evidence ofdairying practices by Saharanpeople about 5,000 years ago — ata time when the region was in ahumid phase and had plenty ofplant cover. Researching the earliestevidence of dairying has so far beenconfined to Europe, Near East andEurasia. This is the first time anattempt is made to study Africansamples. The results are publishedtoday (June 21) in Nature. Till dateevidence of domestication of cattle,sheep and goats came from faunalsamples. But faunal remains havebeen “highly fragmentary andpoorly preserved.” Reconstructingevidence of herding has thereforebeen difficult. Even indirectevidence of dairying is “missing.”Of course, rock paintings andengravings have provided some

compelling indirect evidence. Theresearchers therefore turned tomolecular and isotope analysis ofabsorbed food residues found onpotsherds to know the details. Therationale is simple: analysing foodresidues is a sure way ofunderstanding diet andsubsistence practices of humans afew thousand years ago.

Making the study possiblehas been the exemplarypreservation of absorbed organicresidues, particularly lipids, onpotsherds. This is unlike in the caseof European sites where only 40 percent of potsherds provided anyevidence of lipids, and that to atvery low concentrations. “Thisremarkable preservation [in thecase of African samples] is likely tobe related to the extremely aridconditions prevailing in the region”in the last hundreds of years. Theresearchers used carbon 13isotopic ratios to study the majoralkanoic acids of milk fat. The lipids




belonged to three categories —“high abundance” of C16:0 andC18:0 (lipid numbers) fatty acidsderived from degraded animalsfats. There were carbon isotopes(C13 to C18) which aredemonstrative of “bacterial origin”and diagnostic of “ruminantanimal fats.” In the secondcategory, the carbon isotopes foundwere diagnostic of plant oils and acertain kind of wax of vascularplants. The third type of residueindicates the “drying reaction ofplant oils,” and reflects either“processing of both plant andanimal products in the same vesselor the multiuse of the vessels.”

Of the three types, only thoseindicative of degraded animal fatswere taken up for detailed analysis.Compared with present day animalfats, about 50 per cent of lipidsamples recovered from thepotsherds fall within or on the edgeof isotopic range of dairy fats. About33 per cent fall within the isotoperange for ruminant adipose fats.“The unambiguous conclusion isthat the appearance of dairy fatscorrelates with the abundantpresence of cattle bones in the cavedeposits, suggesting a full pastoraleconomy,” they write. They alsofound unequivocal evidence for“extensive processing of dairyingproducts” in pottery in the LibyanSahara between 5,200-3,800 yearsago. This confirms that “milkplayed an important part in the dietof these prehistoric pastoralpeople.” This is quite surprisingconsidering the fact that these

people were able to consume milkdespite suffering from lactoseintolerance. The study thusprovides a window to the“evolutionary context for theemergence of lactase persistence inAfrica.”

ICRISAT, ICAR JOINTLY TO FIGHT

CLIMATE CHANGE

The International CropsResearch Institute for the Semi-AridTropics (ICRISAT) and the IndianCouncil of Agricultural Research(ICAR) have joined forces to adaptnew measures to tackle thegrowing climate related risks andconstraints that prevail in ruralareas. The two organizations andtheir partners emphasizedadoption of a different perspectiveand approach by listening,observing and learning from thepeople that they are supposed tohelp with research findings,technology and knowhow.According to a press release fromICRISAT, Director General ofICRISAT Dr William D Dar hadmentioned in his keynote addressthat they would hold themselvesaccountable. “We will measureresults and stay focused on cleargoals: boosting farmers’ incomesand over the next decade helping50 million men, women andchildren lift themselves out ofpoverty,” he had said, according tothe release.

As is well known, smallholderfarmers living in the semi-aridtropics and coastal areas are mostvulnerable to changes brought

about by climate change. DirectorGeneral of ICAR Dr S Ayyappanwas also present at the meeting. Inhis opening address he had saidthat the collaboration of the twoinstitutions was not recent butdated back a few decades. Thecollaboration has been beneficial,particularly in addressing thefarmers’ problems. “As far asclimate change is concerned, it is aglobal phenomenon. The increasein the atmospheric temperature dueto rising greenhouse gas levelssuch as carbon dioxide, methaneand nitrous oxide has been theprime driver of climate change.

During the deliberations, itwas reported that the early signs ofincreasing climatic variability aregradually becoming more visible inthe form of increasing melting ofHimalayan glaciers, flash floods,and intense rainfall over shortperiods. In the case of India, climatechange would manifest itself inmany ways. For one, it wouldincrease the already existingstresses thereby increasing thevulnerability of food productionand livelihoods of the farmingcommunity. And predictably, thesmall and marginal farmers aremost vulnerable to the vagaries ofclimate change.

Why do all metals turn red whenheated?

Materially, many of the hardmetals are considered as‘blackbodies’. All those materialsthat are perfect absorbers of allwavelengths of light when they are




cool and emitters of all wavelengthsof light when they are heated, areknown as blackbodies. However,the wavelength (or colour) of thelight they emit with greatestefficiency (maximum lightthroughput) varies with thetemperature that they are heated toor maintained at. Let us know thiswavelength as ‘lambda max’. Thismeans that a blackbody bodyheated to a particular temperaturewould appear in the colour of thelambda max wavelength becauseit is at that wavelength that theoptical energy is emitted from thebody with maximum throughput.The ‘lambda max’ and thetemperature at which theblackbody is heated to are inverselyrelated; the hotter the black bodythe lower is the lambda max. Thisis a universal law, known as‘Wien’s Displacement Law’ and isindependent of the chemicalcomposition and physical fabric ofthe solid body as long as the bodybehaves as a blackbody whenheated.

In other words, themathematical product of thelambda max and the absolutetemperature of the body is auniversal constant, known asWien’s Constant with a value ofabout 2.9x10{+-}{+3}mK whenwavelength is taken in metres (m)and the temperature in Kelvin scale(K). Accordingly, metals, behavinglike blackbodies, would appear inred colour (wavelength of about700 nanometres) when heated toabout 3,800 K (or about 3,500o C). It

is on this basis (Wien’sDisplacement Law) that metalsturn red when heated (to about3,500o C). It is also the reason whymetal objects exposed toblacksmith’s kiln change theirappearance from red to yellow viaorange because of gradually raisingtemperature of the kiln. Finally, itis worthwhile to know that thesurface temperatures of the distantstars and heavenly bodies areestimated on the basis of thespectrometric measurement of thelambda max they emit (afteraccounting for the Doppler Shift).Since Sun appears yellow, itssurface temperature is estimated tobe about 5,500o C.

INDIAN SCIENTIST GOT US PATENT

FOR CANCER TREATMENT

In a pioneering innovation,the nanotechnology scientist, RaoPapineni and his colleaguesinvented a cancer treatment systemin which a nano-particle carries thepayload of anti-cancer drug andreleases it only in the cancerouscell, thus protecting healthy cellsaround. The newly invented systemgot patented in the USA on 19 June2012. The title of the patent is ‘HighCapacity Non-Viral Vectors.’ Thenon-viral vectors are nano-

particles. The nano-particles willallow the drug particle to targetthe diseased site with pinpointprecision. The nano-particles willallow the drug to be releasedinside the diseased cell. They willenhance the function of the drug.The nano-particles will carry thedrug precisely with minimalcollateral damage to healthytissue. Papineni, along with hisfellow researchers applied for thepatent in 2009. Papineni ispresently the chief scientist andsenior principal investigator inmedical applications ofnanotechnology at CarestreamHealth, Inc USA.

WORLD IPV6 LAUNCH DAY

ORGANIZED BY INTERNET SOCIETY

World IPv6 (Internet Protocolversion 6) Launch Day heldglobally on 6 June 2012. All themajor Internet Service Providers,networking equipmentmanufacturers and webcompanies around the worldcame together on the occasion, topermanently enable IPv6 for theirproducts and services. The day,organized by Internet Society,represents a major milestone in theglobal deployment of IPv6.Previous year the World IPv6 Daywas observed on 8 June wherein ,top websites and Internet ServiceProviders around the world, hadjoined together for a successful 24-hour global-scale trial of the newInternet Protocol, IPv6. World IPv6Day 2012 was an event sponsoredand organized by the Internet




Society and several large contentproviders to test public IPv6deployment. It was announced on12 January 2011 with fiveanchoring companies: Facebook,Google, Yahoo, AkamaiTechnologies, and LimelightNetworks.

WHAT IS IPV6 ?

IPv6 (Internet Protocol version6) is a latest version of the InternetProtocol (IP) which will succeedIPv4, the communications protocolwhich is currently being used todirect almost all Internet traffic.IPv6 will allow the Internet tosupport many more devices bygreatly increasing the number ofpossible addresses.

PROBIOTICS CAN REDUCE

OCCURRENCE OF DIARRHEA

Probiotics when consumedregularly may be able to preventmany acute diarrhoea cases inchildren. In 2010, diarrhoea killedmore than 210,000 children agedless than five years in India, TheL a n c e t r e p o r t e drecently . The mortalityfigures were nearly19,000 in neonates and193,000 in children aged1-59 months. The Foodand AgricultureOrganisation (FAO) andWorld HealthOrganisation (WHO)describe probiotics as“microorganisms that

exhibit beneficial health effects forhosts when a sufficient amount ofthem are ingested.” MasanobuNanno, Associate Director ofYakult Central Institute forMicrobiology Research, YakultHonsha Co Ltd, Tokyo, told a groupof journalists that a clinical trialusing the company’s probioticdrink — Lactobacillus casei strainShirota (LcS) — in an urban slumcommunity in Kolkata showedpromise.

The clinical trial, funded bythe company, was conducted bythe Kolkata-based NationalInstitute of Cholera and EntericDiseases. “The funding agencyhad no role in the design, datacollection, data analysis, datainterpretation or writing thereport,” the paper noted. The trialwas community-based,randomised, double-blind andplacebo-controlled involving 3,758children aged 1-5 years from ward66 in Kolkata MunicipalCorporation. While 608 subjects inthe study group consumed thecompany’s probiotic drink everyday for 12 weeks, the control group




(674 children) received a placebo.The children were followed up fora further 12 weeks.

At the end of the 24-weekstudy period, the group thatreceived the probiotic drinkshowed reduced occurrence ofacute diarrhea. “The level ofprotective efficacy for the probioticgroup was 14 per cent,” stated thepaper published in thejournal Epidemiology and Infection.But the authors warn that there isinsufficient evidence for“extrapolation of these results forglobal recommendation.” Besidesgood sanitation and safe drinkingwater, probiotics may probablyhave a role in preventing manydeaths caused by diarrhea. The 25to 35-feet-long gastrointestinal tractof an adult human has about 100trillion bacteria — good, neutraland pathogenic microorganisms.This is approximately ten times thetotal number of cells in the humanbody. In all, the digestive tract hassome 400 different types of bacteriathat keep the harmful bacteriaunder check. The intestinalepithelium by itself acts as aphysical barrier to the pathogenicbacteria. However, when thenumber of good bacteria declines,pathogenic micro-organisms candestroy the integrity of the intestinalwall and cause many illnesses,diarrhea included. The rationale ofthe study was therefore to populatethe digestive tract with goodbacteria using the drink richin Lactobacilli casei strain Shirota.“It is reasonably well established

that probiotics can shorten theduration of diarrhea by half-a-day,” said Dr. B.S. Ramakrishna,Professor and Head ofGastroenterology, CMC, Vellore. “Ina community the incidence ofregular diarrhea can come down by15 per cent.” Similar benefits havebeen seen in other two types ofdiarrhea as well — travellers’diarrhea and antibiotic-induceddiarrhea. “Probiotics has shownsome beneficial effects in the caseof travellers’ diarrhea,” Dr.Ramakrishna said. “There is clearevidence of prevention andshortening of duration by half-a-day in the case of antibiotic-induced diarrhea.”

The effectiveness of probioticsin preventing and even reducingthe duration of diarrhea has beenreported in several studies. Forinstance, a 2006 meta-analysisfound probiotics as “safe andeffective for both treatment andprevention of acute pediatricdiarrhea.” The study waspublished in the InternationalJournal of Probiotics and Prebiotics .A 2002 study published inthe European Journal of ClinicalNutrition found Lactobacilli casei to“significantly reduce the duration ofdiarrhea in children.” The study wascarried out on 75 subjects at the DelhiUniversity College Hospital andanother 75 in a resettlement colony inEast Delhi. “Probiotics are generallybeneficial in treatment and preventionof gastrointestinal diseases,” noted a2012 PLoS ONE paper. It went on tostate that “the type of disease and

probiotic species (strain) are the mostimportant factors to take intoconsideration” when choosing to useprobiotics for treatment or preventionof gastrointestinal disease.

‘SCIENCE EXPRESS’ FLAGGED OFF

Science Express — a train forpromoting scientific tempers —began its fifth journey, this time toraise awareness about thecountry’s unique biodiversity. The‘Science Express — BiodiversitySpecial (SEBS)’ was flagged off.

It will be stationed atHyderabad from October 9-19when the city would host the 11thmeeting of the Conference of Partiesto the Convention on BiologicalDiversity. The train will culminatefor the year at Gandhinagar. Of the16 coaches comprising the SEBS,eight are dedicated to showcasingbiodiversity spread across thevarious bio-geographical zones.

4,000-YEAR-OLD TOMB FOUND

Archaeologists havediscovered a 4,000-year-old tomb inEgypt that contains a sarcophagusinscribed with ancient funeral textsas well as ritual objects. The tombdates from ancient Egypt’s FirstIntermediate period (2181-2055




Powerful new approach todisable flu virus

A new protein that can combatdeadly flu epidemics has beendeveloped. The research,says Nature Biotechnology ,shows ways to use manufacturedgenes as antivirals, which disablekey functions of the flu virus.

Key heart cells fromtransformed stem cells

In the Proceedings of theNational Academy of Sciences ,a team of scientists describes a wayto transform human stem cells intocritical heart muscle cells by simplemanipulation of one keydevelopmental pathway.

Hidden flower features arecrucial for bees

Scientists at the Universities ofCambridge and Bristol studyingspecial plant petal cells have foundthat the velcro-like cells play acrucial role in helping bees gripflowers — especially when the windgets up.

Many applications ofcopper-nickel nanowires

Films made with copper-nickelnanowires are stable andinexpensive, suitable for printedelectronics, electronic paper, smartpackaging and interactive clothing.

Marine reserves can restocknearby reefs

The first conclusive evidence,reported in the journal CurrentBiology, that marine reserves canhelp restock exploited fishpopulations on neighbouring reefswhich are open to fishing has beenfound.

Most comprehensive geneticanalysis of corn

An interdisciplinary team, led byresearchers at Cornell Universityhas just published the mostcomprehensive analysis to date ofthe corn genome, which could leadto improved varieties of the crop.

Tuatara shows chewing isnot just for mammals

An Anatomical Record papershows how the reptile, tuatara, slicesits food like a ‘steak knife.’ Thecomplex chewing technique raisesdoubts about the supposed linkbetween chewing and highmetabolism in mammals.

Splitting the unsplittable

Researchers from the University ofBonn have just shown how a singleatom can be split into its two halves,pulled apart and put back togetheragain.

Faster, more sensitivephotodetector

Researchers have developed ahighly sensitive detector of infraredlight that can be used in detectionof chemical and biochemicalweapons from a distance.

Will banning large sodahelp in obesity battle?

In an effort to combat obesity in NewYork City, its mayor has proposeda ban on the sale of large sodas. Butexperts at the University ofAlabama at Birmingham sayfocusing on one product is notenough.

Antioxidant as treatmentfor autism

A specific antioxidant supplementmay be an effective therapy for somefeatures of autism, according to apilot trial.

Giant insects exited withevolution of birds

Giant insects ruled the skies whenEarth’s atmosphere was rich inoxygen. Then came the birds. Afterthat, insects got smaller despiterising oxygen levels, says a newstudy at the University ofCalifornia, Santa Cruz.

B.C.). Very little archaeologicalevidence survives from thisperiod. Ritual objects made fromalabaster copper, terracotta andother materials were found in thetomb in Deir al-Barsha area inal-Minya province, around 250km from Cairo.




Controlling the wettingbehaviour of liquids

Fraunhofer Institute has developeda computer simulation thatoptimises and designs surfaces sothat as little liquid as possible sticksto them. The goal: to betterunderstand and control the wettingbehaviour of liquids.

Cells at origin of cervicalcancer found

Researchers have found the cells atthe origin of cervical cancer, in adiscovery that could offer new waysto prevent and treat the disease.

Earth recovered slowly frommass extinction

Earth’s life was nearly wiped out250 million years ago. It took some10 million years for Earth to recoverfrom the greatest mass extinction ofall time, says a new study in NatureGeoscience .

Search engine based on thebehaviour of ants

An algorithm published in thejournal Applied Intelligence is basedon ants’ behaviour when they aresearching for food, which acceleratesthe search for relationships presentin social networks.

For female butterflies,flashier is better

While female butterflies areprogrammed to identify males oftheir species by the patterns of spotson their wings, a Yale Universitystudy has found that they learn tolike the flashier ones more.

Largest database ofMartian impact craters

A University of Colorado Boulderteam recently finished counting,outlining and cataloguing 635,000impact craters on Mars — the singlelargest database ever compiled ofimpacts on a planet in our solarsystem.

March 7 solar flare isstrongest eruption, yet

The powerful March 7 solar flare,which earned a classification ofX5.4 based on the peak intensity ofits X-rays, is the strongest eruptionso far observed by Fermi’s LargeArea Telescope (LAT).

Testing in artificial gravity

NASA will expand its capabilitiesfor plant and animal tissueinvestigations on the ISS with thedelivery of a new centrifuge thissummer.

Cardiac muscle patchescreated from stem cells

A cutting-edge method developed atthe University of Michigan Centerfor Arrhythmia Researchsuccessfully uses stem cells to createheart cells capable of mimicking theheart’s crucial squeezing action.

Cambodia, last vulturebastion in SE Asia

In face of a precipitous slide towardextinction across the Asiancontinent, the vultures of Cambodiahave persisted, givingconservationists hope, according toauthors from the WildlifeConservation Society.

Excessive endurancetraining can be harmful

A new study in Mayo ClinicProceedings outlines in detail themechanisms, pathophysiology, andclinical manifestations ofcardiovascular injury from toomuch endurance exercise, due topathologic changes in the heart.

Climate, habitat, man killedmammoths

Rising temperatures, changingvegetation and the spread of humansall contributed to the extinction ofthe woolly mammoth, according toa new study.

Mapping forests to combatclimate change

Countries like Brazil are using datafrom NASA satellites to track andmeasure their forests in advance ofa United Nations effort to reduceclimate change by providing ‘carboncredits’ for protected land.

Slimmer, more efficient andcheaper solar cells

Researchers from North CarolinaState University have created asolar cell with an active layer ofamorphous silicon that is only 70nanometres thick without sacrificingthe cells’ ability to absorb solarenergy.

$257 billion investment inrenewable energy

Despite tough competition formanufacturers, global investment inrenewable power last year increasedto a record $257 billion, say reportsby the United Nations EnvironmentProgramme (UNEP).




Nanoparticles linked tomajor health problems

Exposure to nanoparticles inpollution and nanotechnologyproducts can have a serious impacton health, linking it to rheumatoidarthritis and other serious autoimmunediseases, says Nanomedicine .

Key part of plants’ rapidresponse system

Some plant enzymes are cellularstop/go switches that turn hormoneresponses on and off to deal withchanges in temperature,precipitation, soil nutrients ordefend the plant from pathogenattack, says a study in Science .

Sifting through a trillionelectrons

Supercomputers, particle colliders,and telescopes are generating somuch data, so fast, scientists fear theywill not keep up with the deluge.

Cassini’s images shed lighton Saturn’s jets

In a new study in the journal Icarus ,scientists used images collected overseveral years by NASA’s Cassinispacecraft to discover that the heatfrom within Saturn powers theplanet’s jet streams, churning eastand west.

Prescience derived frompast experiences

A study has found how a part of thebrain helps predict future eventsfrom past experiences, sheddinglight on the function of thefrontopolar cortex.

More oil from algae byfeeding them carbon

Findings in Plant and CellPhysiology show that ramping upalgaes’ overall metabolism byfeeding them more carbon increasesoil production as the organismscontinue to grow.

Clues to nervous systemfrom sponges

Sponges have all the same genes likehigher organisms to build neuronalsynapses. But a mechanism thatcoordinates the expression of gene ismissing in sponges, a study inPNAS journal revealed.

Lab-on-a-chip detects toxicvapours

A lab-on-a-chip technology thatmeasures trace amounts of aircontaminants was successfullyfield-tested in homes near Utah AirForce Base.

Math formula leads tosource of pollution

The leaking of environmentallydamaging pollutants into our watersand atmosphere could soon becounteracted by a simplemathematical algorithm, accordingto research published in thejournal Inverse Problems .

Greenhouse gases’ role inocean warming

New research in Nature ClimateChange shows that the observedocean warming over the last 50years in climate models shouldinclude the impacts of increases ingreenhouse gases during the 20thcentury.

Global second warmest Maymonth on record

The globally-averaged temperaturefor May 2012 marked the secondwarmest May since record keepingbegan in 1880. The temperatureswere measured over global land andocean surfaces.

NuSTAR can now seehighest energy X-rays

NASA’s Nuclear SpectroscopicTelescope Array, or NuSTAR, hassuccessfully deployed its lengthymast, giving it the ability to see thehighest energy X-rays in ouruniverse, a step closer in the huntfor black holes.


Help Line No. 011- 45151781





MAHENDRA SINGH DHONI

APPOINTED BRAND AMBASSADOR

Indian Criket CaptainMahendra Singh Dhoni wasappointed as a brand ambassadorof Nepal Cricket Association,Nepal on 17 June 2012.Theannouncement was made by PostaBahadur Bogati, Minister forTourism and Civil Aviation ofNepal. Dhoni will promote anddevelop cricket in Nepal. Dhonialso advised Nepal cricket officials

to get permission fromInternational Cricket Council toconstruct a stadium. The stadiumwould likely to promote cricket inthe country. Mahendra SinghDhoni was born on 7 July 1981 inRanchi, Bihar. At present, he is thecaptain of the Indian ODI,Twenty20 team and Indian Testteam. India won the 2011 CricketWorld Cup under his captaincy.

DANISH KANERIA WAS BANNED BY

ECB

Pakistani Cricket playerDanish Kaneria was banned byEngland and Wales Cricket Boardon 21 June 2012. He was given alifetime ban because he was foundguilty for corruption. He is the thirdPakistani player who is bannedbecause of match fixing. Inaddition, in the year 2000 Salim

Malik and Ata-ur-rehman werebanned for lifetime from Cricketbecause of match-fixing. Moreover,Salman Butt, Mohammad Aamerand Mohammad Asif were bannedby the International Cricket

CRICKET

Sports




Council and jailed by the court ofUnited Kingdom in the year 2010for fixing specific parts of a Testmatch. Danish Kaneria is 31 yearsold. He took 261 wickets in 61 Testsfor Pakistan. He had taken 15wickets in 18 one-dayinternationals.

KEVIN PIETERSEN ANNOUNCED

RETIREMENT

Ace England Batsman KevinPietersen announced to retire fromlimited-overs edition ofInternational cricket. He, however,will continue to play test cricket forthe country. Pietersen who had

made his international debut in2004 has played a total of 127 one-day internationals and 36Twenty20 internationals. SouthAfrica-born Pietersen has scored4184 one-day international runs at

an average of 48.14.He is the sixthhighest rungetterfrom England. With176 runs at 37 he isalso the onlyEngland player tocross four-digitmark in the T20format of the game.Pietersen decided to

retire as the England Cricket Boardhad put forth a selection policyunder which any player decidingto retire from either of the one-dayformats, will be considered retirefrom both formats.

FRENCH OPEN

Rafael Nadal won French OpenMen’s Singles Title

Spaniard Rafael Nadal on 11June 2012 defeated Serbian NovakDjokovic to clinch French OpenSingles Title 2012. Second seededNadal beat top seed Djokovic in afinal clash which lasted four sets.With this victory the Spaniard alsosurpassed the Legend Bjorn Borg’s6 French Open title feat. EarlierNadal had defeated David Ferrerin the Semi Finals to make to thefinals of the tournament; While

TENNIS

Djokovic had overwhelmed SwissRoger Federer. The French Opentitle marked his 11th Gand Slam ina career marked by 16 Grand Slamfinals. Currently he is one short offRoy Emerson, three off PeteSampras and five title away fromthe arch rival Roger Federer ’srecord 16 grand slam titles.

MARIA YURYEVNA SHARAPOVA WON

FRENCH OPEN WOMEN’S SINGLES

TITLE

Maria Yuryevna Sharapovawon French Open 2012 on 9 June2012. She defeated Saria Erani fromItaly by 6-3 and 6-2. Sharapova is aRussian Lawn Tennis Player. Shewon French open for the first timein her career. French open was heldat Rolland Garros in Paris. Thetournament was run by theInternational Tennis Federation(ITF). French Open 2012 was a

sixteen-day long tournament. Thetournament consists of both men’sand women’s singles and doublesand as well as a mixed doublesevents. Moreover Sharapova wasthe winner of Wimbledon in 2004,

the US Open in 2006 and theAustralian Open in 2008.

SANIA MIRZA AND MAHESH

BHUPATHI WON MIXED DOUBLES

TITLE

Sania Mirza and MaheshBhupathi on 7 June 2012 won theirsecond Grand Slam title togetherand first French Open trophy afterbeating Santiago Gonzalez of




Mexico and Klaudia Jans Ignacikof Poland in the mixed doublesfinal, in Paris. Playing their thirdGrand Slam final together, theseventh seeded Indian pair scoreda 7-6, 6-1 win over the Polish-Mexican pair in one hour and 13minutes at the Court PhilippeChatrier. It is the second careerGrand Slam title for Sania, whilethe 12th Major trophy for Bhupathi,who now has won eight mixeddoubles trophies. Sania andBhupathi had won the 2009Australia Open and it is their firstGrand Slam title since then. Saniahad become the first woman tennisplayer from India to win a GrandSlam with that Australian Opentrophy.

DRESS CODE INTRODUCED IN

WIMBLEDON FIRST TIME

Dress Code was introducedfor the first time in Wimbledon bythe organiser All England Club on24 June 2012. All England Club hasbeen hosting tennis

championships from last 150years. The guidelines for the dresscode were escorted by the pictureof a male and female model. Thepictures would likely to

differentiate in between acceptabledress and unacceptable dress. TheAcceptable dresses were loungesuit or tailored jacket, shirt, tie,trousers and dress shoes. Boysunder 11were not required to weara jacket or a tie. Ladies would wearthe similar standard dress. The

Unacceptable dresses were T-shirts, jeans and trainers, baremidriffs, jeans and flip flops. ForWomen, Strapless tops and shorts,zipper jackets, casual or scuffedshoes, hoodies, pumps and shortskirts.

AITA ANNOUNCED TWO TEAMS FOR

MEN’S DOUBLES FOR LONDON

OLYMPICS 2012

The All Indian TennisAssociation (AITA) on 21 June 2012announced to send two men’sdoubles team for London Olympics2012. The team involves top playerLeander Paes with low-rankedVishnu Vardhan and secondranked Mahesh Bhupathi withthird ranked Rohan Bopanna. Thehassle started when AITA decided

to send two teams inLondon Olympics 2012which were not acceptableby Paes. Earlier, AITAannounced Leander Paesand Mahesh Bhupathi asa team for India’s doublesentry for the LondonOlympics 2012. ButBhupathi refused to playwith Paes because ofdifferences of theiropinions. He appealed tobe paired with Rohan

Bopanna. Bhupathi and Bopannashowed their strong hope to playtogether. Moreover, AITAannounced Paes to play withTennis player Sania Mirza in themixed doubles tournament at theOlympics. Sania Mirza will get thewildcard entry on 28 June 2012.




INTERNATIONAL JUNIOR SHOOTING

CHAMPIONSHIP

Tejaswini Mule won Silvermedal at International JuniorShooting Championship in Suhl,Germany on 17 June 2012. She wonthe silver medal in the 50 metre rifleprone women’s event. She shotaround 592 and was occupied in athree-way tie with Jaqueline Orthof Germany and JenniferMessaggiero of Italy. Tejaswini wascloser to 10 shots and won silvermedal. The gold medal was wonby Jolyn Beer of Germany and Orthwon bronze medal.

INDONESIA OPEN

Ace Indian badminton playerSaina Nehwal clinched her thirdIndonesia Open Super Series titleafter beating China’s Xuerui Li intitle clash in Jakarta on 17June 2012. With this victory,the fifth seed, Saina took thetotal number of her title in thecalendar year 2012 to 3. TheOlympic-bound shuttler hadwon the Thailand Open on 9June 2012. 22-year-old Sainahad earlier claimed theIndonesia Open title in 2009and 2010. Prior to the finalclash of Indonesia OpenSaina had suffered defeat at thehands of Xuerui Li on fouroccassions and had registeredvictory on just one occassion in year2010.

THAILAND OPEN

Ace Indian Badminton playerSaina Nehwal clinched her 16thcareer title as she defeatedThailand’s Ratchanok Inathon in

the Thailand Open Grand Prix Goldtitle in Bangkok on 10 June 2012.The Thailand Open Grand Prix isSaina’s second title in the year2012. Earlier, in April 2012 she had

SHOOTING/ARCHERY

BADMINTON

won the Swiss Open Title. TheWorld No. 5 Saina Nehwal isIndia’s one of the biggest hopes forthe London Olympics 2012. Sainahad reached the women singles

quarterfinals round atthe Beijing Olympics in2008, which made herthe first Indian womanshuttler to reach thesingles quarterfinals atthe Olympics. She is alsothe first Indian to winthe World JuniorB a d m i n t o nChampionships. SainaNehwal created a historyon 21 June 2009, when

she became the first Indian to wina Super Series tournament, byclinching the Indonesia Open Titlein Jakarta.




FIDE WORLD CHESS TITLE

Ace Indian chess playerVishwanathan Anand claimed theFIDE ( Federation Internationaledes Echec) World Chess Title for therecord fifth time. The defendingchampion Anand beat Israeliopponent Boris Gelfand in a rapid-chess tie-breaker. Anand received1.5 million dollar as the winningamount, while rival Gelfandbagged 1 million dollar. The worldtitle is Anand’s fourth in a row ashe had also claimed the title in2007, 2008, and 2010. The 42-year-old had claimed his maiden worldtitle in 2000 after beating LatvianAlexei Shirov in Tehran. He is alsothe first Asian to win the FIDEworld chess championship.

Born on 11 December 1969 inMadras, Anand’s breakthroughsuccess in professional chess camein 1983 when he won the IndianUnder-16 and Under-19

championships successively andwent on to win a place in thecountry’s adult championships. In1985, at the age of 16, Anand wascrowned as an InternationalMaster, the youngest Asian playerto hold this title. In 1986 he wonthe Indian adult championship,and in 1987, at his fourth attempt,he won the Under-20 WorldChampionship. Anand had wonhis first world title in 2000 andreining over the championshipsince 2007.

FIDE

FIDE, the internationalfederation for chess, was foundedin Paris on 20 July 1924, and gotrecognition by the InternationalOlympic Committee as anInternational Sports Federation in1999. The federation with a total of170 members is among the biggestsports organizations in the world.

It organizes over forty officialchampionships world over foryoungsters, men, women andseniors.

VISWANATHAN ANAND ROPED AS

BRAND AMBASSADOR OF TVH

Real estate developer TrueValue Homes (TVH) on 26 June2012 signed World ChessChampion Viswanathan Anand asbrand ambassador for all its newprojects for promoting its projectacross the World. TVH will be thefirst South Indian company to beassociated with Anand. Previously, Anand was connectedwith NIIT from last 13 years. TVShas number of projects for Chennaiand Coimbatore which wasexpanding Viswanathan presencein the south. The new project ofTVH Quadrant was launched on25 June 2012 by Ravichandran,chairman of TVH. Quadrant is 600crore rupees super premium 18-storied project at Advar. It consistsof 100 units with 2.2 acres. Theproject would likely to becompleted in 3 years.The projecthas the separate sports facilities forchess and other games. Thecompany is also planning to takechess to schools and organiseannual tournaments. ViswanathanAnand is the current World ChessChampion. He was awarded byPadma Vibhushan in 2007. He alsoawarded by Rajiv Gandhi KhelRatna Award in 1991-92. He wasthe first player in chess historywho won the World Championshipin three different formats: knockout,tournament and match.

CHESS




SULTAN AZLAN SHAH CUP HOCKEY

TOURNAMENT

New Zealand beat Argentina1-0 to win Sultan Azlan Shah Cuphockey tournament at Ipoh,Malaysia on 3 June 2012. AndyHayward scored the only goal forNew Zeland in the summit clash,which prevented Argentina, the2008 winner, to reclaim the trophy.In a clash for the third spot andbronze medal, India defeated GreatBritain 3-1. From Indian sideShivendra Singh, Sandeep Singhand Tushar Khandekar scoredgoals at 42nd minute, 52nd minuteand 69th minute respectively.Ashley Jackson struck the only goalfor the Great Britain at 35th minuteof the game. Earlier the Great Britainhad outshined the Indian squad intheir round robin league encounter.In another clash for the fifthposition the South Korean teamdefeated hosts Malaysia 3-2 to earnthe fifth position. Pakistan for thefirst time in the history of thetournament ended with the 7th

position, bottom most the in thetable. While the Fairplay Trophywas given to Great Britain, SardarSingh of India was awarded withthe trophy of the Best Player ofTournament. Kyle Pontifex of NewZealand was chosen the BestGoalkeeper for the tournament.Kyle Pontifex of New Zealand wasawarded with the Man of the Finaltrophy. Ashley Jackson of GreatBritain emerged the top scorer of thetournament

FINAL TABLE

1. New Zealand

2. Argentina

3. India

4. Great Britain

5. South Korea

6. Malaysia

7. Pakistan

INDIAN HOCKEY GOALKEEPER

D’SOUZA SUSPENDED FOR 1 YEAR

Indian Hockey GoalkeeperAdrin D’Souza was suspended on

HOCKEY

18 June 2012 for his anti- dopingrule violation during World SeriesHockey (WSH) tournament2012.The sample was collected on21 March 2012 after WSH match inbetween Mumbai Marines andSher-E-Punjab at Jalandhar. Hewas the captain of MumbaiMarines. In the test, D’Souza wastested positive for tetrahydroc-annabinol (THC). THC is ametabolite of marijuana. Accordingto the statement of Kaithavalappil,D’Souza had smoked cigaretteswhich were binded with marijuanaand he offered the same cigarettesto the players as well. Adrian AlbertD’souza was born 24 March 1984in Mumbai. He is a field hockeyIndian goalkeeper. He madeinternational debut for Men’sNational Team in January 2004during the Sultan Azlam ShahHockey Tournament in KualaLumpur, Malaysia.

He also represented India atthe FIH World Cup 2006 inMonchengladbach, Germany andIndia at the Doha Asian Games2006 in Doha, Qatar. World SeriesHockey (WSH) is an association forhockey competition in India. It isorganized by Indian HockeyFederation and Nimbus Sports.There were 8 teams participated inthe tournament. WSH is the firsthockey tournament to live all thematches online on Google videoand You Tube.




ASIAN JUNIOR WRESTLING

CHAMPIONSHIP 2012

Indu Chaudhary and SakshiMalik won gold Medals in AsianJunior Wrestling Championship2012 at Almaty, Kazakhstan on 13June 2012. Indu Chaudhay andSakshi Malik are from UttarPradesh and Haryana respectively.The former won the gold medal in44 Kg and latter in 63 kg.

In addition, Pooja Danda wonthe silver by lifting 59kg of weight.In addition, Lalit, Seema, RubyChaudhry, Ritu and Kiran wonbronze medals by lifting the weightof 51 kg, 67 Kg, 48 Kg, 55 Kg and 72Kg respectively. In the freestylesection of boys Satender, Bajrangand Somveer won the silver medalsby lifting the weights of 120kg, 60kg

and 84kg respectively. Whereas,the bronze medal won by DeviSingh, Praveen Rana, Deepak andYudhvir by 50kg , 66kg, 74kg and96kg respectively.

Asian Junior WrestlingChampionship 2012 held atchampionship held at Kazakhstanfrom 30 May 2012 to 3 June 2012.

WRESTLING

ATHLETICS

ATHLETICS NATIONAL CHAMPIONSHIP

Indian Athlete SiddhanthThingalaya marked an IndianRecord on 18 June 2012 at BelgiumAthletics National Championshipin Brussels. He marked the recordin 110 metre hurdles with a timingof 13.65 seconds. At Beligum, whenhe approached the ninth hurdle on18 June 2012 he felt pain in thehamstring. The pain placed himbehind the Adrien Deghelt ofBelgium with a timing of 13.64seconds.

He was disqualified for theOlympic 2012, as the Olympicqualification mark of 13.60 seconds

and Siddhanth took 13.65 secondsto finish the championship. Hewas disqualified for Olympics2012 qualification by fivehundredth second. After 1964, hewas the first Indian hurdler tocompete in Olympics Games.Siddhanth Thingalaya is 21 yearsold athlete from Mumbai. Heimproved his own national recordof 13.77 seconds marked at Kolkatameet in September 2011.

NATIONAL INTER-STATE SENIOR

ALTHLETIC CHAMPIONSHIP

Athletic Tintu Luka wonGreenko 52nd National Inter-StateSenior Althletic Championship on

24 June 2012 by defeating hercompetitor Sinimole Paulose. Shewon the championship inwomen’s 800 meters. She is India’sbest athletic in the two-lap race.Tintu timing was 2m 01.36s. Thetiming was near to her Nationalrecord of 1m 59.17s, which was setin Brussels in 2010.Sinimole wonsilver with the timing of 2:03.71where S R Bindu was third in2:09.53.

Athlete Tintu Luka is theNational Record Holder in 800meter race. She is trained byP.T.Usha at Usha School ofAthletics which is holded byOlympics Gold Quest.

MOTOR RACING/F1

EUROPEAN GRAND PIX 2012

Formula One (F1) racerSebastian Vettel defeated LewisHamilton by 1minute 38.086seconds and won European GrandPix 2012, Valencia on 24 June 2012.

Vettel became the first F1 repeatwinner of the season. Vettel is fromRed Bull’s team and Hamilton isfrom McLaren. There were 57numbers of Laps on the ValenciaStreet Circuit in European GrandPix 2012. The circuit length was




5.419 km had the race distance of308.883 km. There were 12 teamsparticipated in European GrandPix 2012. Sebastian Vettel is aGerman Formula One racer. He wasborn on 3 July 1987. He won theWorld Championship in 2012 and2011. Vettel also won youngest-everWorld Drivers’ championshiprunner-up. He also secured RedBull’s first pole position and racewin in the team’s history.

MONACO GRAND PRIX

Mark Webber of Red Bullraced ahead to emerge victoriousin the Monaco Grand Prix on 27

May 2012. He won the MonacoGrand Prix for the second time. Hehad first won the Monaco race in2010. His second victory at Monacohelped him to surpass Australianicon Sir Jack Brabham on the streetsof Monaco who won the MonacoGrand Prix once. With his secondvictory Webber thus became the firstAustralian to win the famousMonaco Grand Prix twice.

Webber’s victory at Monaco wasthe eighth victory of his career. Alsowith his victory he won Red Bullthe team’s third victory in a row.The victory enabled him to join thelikes of Niki Lauda, DavidCoulthard and Juan ManuelFangio, all of who have twoMonaco Grand Prix victory to theircredit. Germany’s Nico Rosbergfinished second for Mercedes,while Ferrari’s Fernando Alonsowas third. Mark Webber made hisdebut in 2002. He had won the firstFI race in 2006. In the British GrandPrix 2011, Webber won theHawthorn Memorial Trophy for2010.

TABLE TENNIS

BRAZIL OPEN TABLE TENNIS

Harmeet Desai won Under- 21Men’s Final Brazil Open TableTennis on 17 June 2012. He haddefeated Belgian Cedric Nuytin by4-2 and won gold medal. Hebecame first Indian to achieve suchan accomplishment. Desai won by11-3, 6-11, 11-6, 11-9, 5-11, 11-6.Previously, the fourth seed haddefeated his compatriot SoumyajitGhosh by 10-12, 11-8, 6-11, 11-1, 11-

4, 11-4 in thes e m i - f i n a l .After that hewas competedwith withNuytin. Desaiwas up to hisrival tricks inthe deciderand won thetitle with threestraight points.

GOLF

MEMORIAL TOURNAMENT

Former world no. 1 golfer TigerWoods defeated Spencer Levin andRory Sabbatini to win his 73rd PGATour title by two shots at theMemorial tournament on 4 June2012. The Memorial tournamentvictory is Wood’s second PGA Tour

victory in the current season. Nowthe ace golfer will be seencompeting in the US Open from 14-17 June 2012. Born on 30 December1975, Woods started hisprofessional golf career in 1996. Hisfirst major victory came in 1997when he claimed the 1997 Masters

Tournament. He first reached thetop of the world rankings in June1997. Wood’s present worldranking is 4. Considered to be theall time great of golf, he has beenawarded PGA Player of the Year arecord ten times.




Awards and PrizesWORLD FOOD PRIZE 2012

Daniel Hillel won World FoodPrize 2012 on 13 June 2012. He is ascientist from Israel. The work andmotivation of Daniel Hillel built thebridge between the divisions andto promote peace andunderstanding in the Middle East

by advancing a breakthroughachievement. His work is relevantfor agriculture-dominatedeconomies. He applied the methodof micro-irrigation, whichmaximizes the efficiency of waterusage in agriculture. World FoodPrize is an international award.

This awardrecognizes theimportance ofwater fora g r i c u l t u r a lpurposes.

Dr. Hillel willbe formallypresented with thecash prize of250000 dollaraward in October2012 at UnitedStates. This awardwas recognized byNorman Borlaugin 1987. This

award indicates to that person whois pioneer in radical innovativeway of bringing water to crops inarid and dry-land regions. NormanBorlaug is a Nobal Prize winnerand champion in GreenRevolution. The World Food Prizeaward is chaired by M.S.Swaminathan. He is Indianagricultural scientist Professor andthe first World Food Prize laureate.Norman Ernest Borlaug was anAmerican agronomist,humanitarian and also known asthe the father of the GreenRevolution. He won PadmaVibhushan which is the India’ssecond highest civilian honour.

WISDEN INDIA OUTSTANDING

ACHIEVEMENT AWARD

India’s Batting great SachinTendulkar was conferred upon theWisden India OutstandingAchievement award for completing




a century of 100 internationalhundreds, in Dubai on 11 June2012. The legendary batsman waspresented a trophy at an eventorganised by FidelisWorld. Thetrophy was made from crystal, itresembles a cricket ball resting onthe open pages of a book.

Tendulakar achieved theincredible feat while playingagainst Bangladesh in the AsiaCup in March 2012. The battinggenius has total 49 One-DayInternational centuries and 51 Testcenturies to his credit. Tendulkar,while receiving the award spoke on

range ofaspects of hiscareer, like hisf a v o u r i t einnings, them a t c h -w i n n i n gfourth inningsh u n d r e da g a i n s tEngland atChennai inD e c e m b e r

2008, balancing play and personallife, and the influence that his latefather had in shaping his career.

ONDAATJE PRIZE 2012

Rahul Bhattacharya, the Delhi-based author, on 29 May 2012 wonthe prestigious Ondaatje Prize 2012for his book The Sly Company ofPeople Who Care. He is the firstIndian author to have received theaward. Bhattacharya was alsoconferred with the Hindu LiteraryPrize for Best Fiction, 2011 for thesame book. The 10000 pounds

award is conferred by the RoyalSociety of Literature every year torecognize a work of fiction, non-fiction or poetry which evokes thespirit of a place. The award ispresented to the author who is acitizen of or who has been residentin the Commonwealth or Ireland. The other authors whose workwere shortlisted for the prizeinclude Julia Blackburn’s ‘ThinPaths’, Teju Cole’s ‘Open City’,Paul Farley and Michael SymmonsRoberts’ ‘Edgelands’, OliviaLaing’s ‘To the River ’ and TimRobinson’s ‘Connemara’.


UPSCPORTAL’S

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In the News

RAJA PARVEZ ASHRAF

Raja Parvez Ashraf, the seniorPakistan People’s Party leader, wasappointed the 17th Prime Ministerof Pakistan on 22 June 2012. In apoll held in the Pakistan’s

National Assembly to elect newPrime Minister, Raja received 211votes of the total 342 votes while

the Opposition PML (N) candidate,Sardar Mehtab Abbasi, baggedonly 89 votes. Pakistan PresidentAsif Ali Zardari administered oathto the new Prime Ministerat in aspecial oath taking ceremony heldat the Presidency at Islamabad inPakistan. Ashraf was elected as thePrime Minister following theSupreme Court’s verdict to debarYousaf Raza Gilani from his officeon 19 June 2012 in a contempt ofcourt case.

Born on 26 December 1950, inSanghar town in Sindh province,Ashraf completed his highereducation from Sindh University inPakistan in 1970. A successful realestate businessman Ashraf isconsidered as a key PPP leader inthe Rawalpindi region. He wastwice elected to the National

Assembly of Pakistan from GujarKhan constituency of RawalpindiDistrict. Before being elected as thePrime Minister of the country, heserved as the federal minister forwater and power, and informationand technology in the cabinetheaded by former prime ministerYousuf Raza Gilani.

MOHAMMED MORSI

Mohammed Morsi won 2012Presidential Election of Egypt on 24June 2012. He was the candidatefrom Muslim Brotherhood

APPOINTED




(Freedom and Justice Party).Mohammed Morsi defeatedAhmed Shafiq by 3.4% of votes.Mohammed Morsi got 51.7 per centof votes whereas, Ahmed Shafiq got48.3 per cent of votes. The victoryof Mohammed Morsi is set to vibrateWest Asia and North Africa, whereLibya is heading for elections innext month and the moderateIslamists are exemplifyingTurkey’s Justice and DevelopmentParty. Mohammed Morsi is 60 yearsold. He is a trained Americanengineer and former lawmaker. Heis the first Islamist elected as thehead of an Arab state. He becamethe fifth president of Egypt and thefirst president from outside themilitary.

VEERAVALLI SUNDARAM SAMPATH

President Pratibha Patilappointed senior-most ElectionCommissioner VeeravalliSundaram Sampath as the 18thChief Election Commissioner (CEC)of India. He replaced S.Y. Quraishion the constitutional position,whose term as the CEC is comingto an end on 10 June 2012. Born atVellore in Tamil Nadu on 16January 1950, VS Sampath joinedthe elite Indian AdministrativeService in 1973 as the officer ofAndhra Pradesh cadre. He tookover as Election Commissioner on21 April 2009. He will carry out histerm till 16 January 2015. ElectionCommissioner is appointed eitherfor six years in the Commission ortill the age of 65, whichever comesearlier. H.S. Brahma is the other

E l e c t i o nCommissioner.Chief ElectionCommissioner isthe head of thethree-membere l e c t i o nc o m m i s s i o n ,which is aconst i tut ionalentity responsiblefor conductingfree and fairs elections in thecountry. Article 324 of the Indianconstitution provides for theinstitution of Election Commissionof India. The commission was setup on 25 January 1950 with an aimto make electoral process in theworld’s largest democracy moretransparent and free from anyexternal interference. Sukumar Senwas the first ElectionCommissioner of India.

The Election Commissionwas originally a one-member bodywhen it started functioning but thenumber was later expanded to 3 on16 October 1989. But the other twomembers in the body had a veryshort tenure as they left the officeon 1 January 1990. Subsequently,on 1 October 1993 two additionalElection Commissioners wereappointed. The concept of multi-member Commission has been inoperation since then, with decisionmaking power by majority vote. Thethree-member body is headed by theChief Election Commissioner whois appointed by the President ofIndia. The Chief ElectionCommissioner along with two

other Election Commissionersenjoy the official status, salary andperks equivalent to judges of theSupreme Court of India. The ChiefElection Commissioner can beremoved only throughimpeachment by the Parliament. Inorder of precedence the ChiefElection Commissioner stands at9th position along with the judgesof the Supreme Court of India,Comptroller and Auditor Generalof India, Chief ElectionCommissioner of India , Chairmanof Union Public ServiceCommission.

VICE ADMIRAL DK JOSHI

Government of India on 5 June2012 nominated Vice AdmiralDevender Kumar Joshi as the newNavy chief. Joshi will assume thecharge after Admiral Nirmal Vermaretires on 31August 2012.Joshi, 58 iscurrently theFlag OfficerCommanding-in-Chief of theW e s t e r n




Naval Command, the IndianNavy’s sword arm. DK Joshi hasbeen awarded the Param VishistSeva Medal, the Ati Vishist Sevamedal, Yudh Seva Medal, NauSena Medal and the Vishist SevaMedal.

Born on 4 July 1954, Joshijoined Indian Navy on 1 April1974. In a career spanning nearly40 years, Joshi served the IndianNavy in various capacities. Priorto his current appointment, Joshiserved as the navy’s deputy chief,Commander-in-Chief of theAndaman and Nicobar Commandand Chief of the Integrated DefenceStaff. A graduate of the prestigiousUS Naval War College and analumnus of Mumbi’s College ofNaval Warfare, and New Delhi’sNational Defence College, Joshialso served as defence advisor inthe Indian High Commission inSingapore 1996-99.

GENERAL BIKRAM SINGH

General Bikram Singh, aveteran infantry officer, assumedthe charge as the 25th Chief of theIndian Army. He succeededGeneral V K Singh whose 26-month tenure came to end on 31May 2012. Bikram Singh, 59, willremain at the top position for nexttwo years and three months. Priorto his appointment to the top post,General Bikram served ascommanding officer of the EasternArmy Command. He is the secondSikh to reach the top notch position,the first having been General JJSingh. In his 40-year-long

illustrious career with the Indianarmy, General Bikram Singh held anumber of vital positions incounter insurgency areas as theCorps Commander of Srinagar-based 15 Corps and Akhnoor-based 10 Division as MajorGeneral.

]

The officer joined the SikhLight Infantry regiment on 31March 1972 after attending theprestigious IndianMilitaryAcademy (IMA). At theIMA, he held the appointment ofbattalion cadet adjutant and wasawarded the Jammu and KashmirRifles gold medal for ‘tactics andleadership’ and the ShriganeshTrophy. The officer was in chargeof media briefing during the Kargilwar. At Military OperationsDirectorate in Kargil he wasassigned with the task to brief themedia about the developmentstaking place in the war. Singhattended the US Army War Collegein Pennsylvania and has servedwith the United Nations peaceforce in Central America and as thedeputy force commander and GOCof Eastern Division in theDemocratic Republic of Congo.

SHEKHAR BASU

Shekhar Basu was appointedas the Director of Bhabha AtomicResearch Centre (BARC) on 19 June2012. Basu, who earlier served asthe Chief Executive of NuclearRecycle Board of the BhabhaAtomic Research Centre (BARC),Trombay succeeded Ratan KumarSinha on the top position. Sinhawas appointed as the Chairman ofthe Atomic Energy Commission on30 April 2012. 59-year-old Basu, anengineering graduate from VictoriaJubilee Technical Institute (VJTI),joined BARC Training School in1974.

During his 38-year service atBARC, Basu served in variouscapacities including the ChiefExecutive of Nuclear RecycleBoard. Basu was the ProjectDirector of the PlutoniumRecycling Project at Kalpakkam,which built India’s first indigenousPressurised Water Reactor (PWR)which is powered by enricheduranium.




JUSTICE MADAN BHIMARAO LOKUR

Justice Madan BhimaraoLokur took the oath as the SupremeCourt judge on 4 June 2012. Priorto his elevation to the apex court hewas serving as the chief justice ofthe Andhra Pradesh High Court.The joining of Justice Lokur hastaken the total number of the apexcourt judge to 26, which is still fiveshort of the total strength of 31judges. Supreme Court Chief JusticeS.H. Kapadia administered theoath to Justice Lokur. This is the firsttime in the history of the apex courtthat a judge has sworn in duringthe summer vacation.

Born on 31 December 1953,Justice Lokur became AdditionalJudge of Delhi High Court on 19February 1999 and PermanentJudge of the high court on 5 July1999. He was appointed as ChiefJustice of Guahati High Court on

24 June 2010. He took over as chiefjustice of the Andhra Pradesh HighCourt on 15 November 2011. In oneof his landmark verdicts as chiefjustice of the Andhra Pradesh HighCourt, Justice Lokur had voided theUnion government’s decision toprovide 4.5 percent reservation ineducational institutions andgovernment jobs for Muslimswithin the existing reservationquota.

NEERAJ KUMAR

The Union Home Ministryappointed Neeraj Kumar, the 1976-batch Indian Police Service (IPS)officer, as the 18th Commissionerof Delhi Police on 28 June 2012.

Neeraj Kumar succeeded B KGupta who got his tenure as theDelhi Police Commissionercompleted on 30 June 2012. Kumar,

who was earlier serving as theDirector General of Tihar Jail,assumed the new charge on 1 July2012. An AGMUT (Arunachal-Goa-Mizoram and other UnionTerritories) cadre IPS officer, Kumarjoined the coveted Indian PoliceService in 1976. He completed hisgraduation and post-graduationfrom St Stephen’s College in Delhi.

The Government of India in1966 constituted the Delhi PoliceCommission headed by JusticeG.D.Khosla. The commission in itsreport recommended theintroduction of PoliceCommissioner System, which wasfinally adopted by the governmentfrom 1 July 1978. In compliancewith the recommendations made byKhosla Commission the DelhiPolice was also reorganized in fourPolice districts, namely, North,Central, South and New Delhi. Atpresent, there are 3 ranges, 9districts and 180 police stations inDelhi. Delhi Police with its presentstrength of above 76000 personnelis perhaps the largest metropolitanpolice in the world, larger thanLondon, Paris, New York andTokyo.

DEATH

MEHDI HASSAN

Pakistani ghazal maestroMehdi Hassan passed away inKarachi on 13 June 2012 followinga prolonged illness. The legendaryghazal singer had not been well forlast several years. He was sufferingfrom suffering from lung, chest and

urinary tract ailments.Born into a family oftraditional musicians on18 July 1927 in Luna inRajasthan, Mehdi Hassanhad migrated to Pakistanwith his family in 1947 atthe time of partition.

Belonging from theKalawant clan oftraditional classicalmusicians, herepresented the 18thgeneration of thefamily. He had beenpresented with




numerous honours includingTamgha-e-Imtiaz, Pride ofPerformance and Hilal-e-Imtiaz bythe Government of Pakistan, SaigalAward in India and GorkhaDakshina Bahu by the Governmentof Nepal.

Mehdi Hassan learntdhrupad and kheyal from hisfather Ustad Azeem Khan anduncle Ustad Ismail Khan who wereboth renowned Dhrupad singers.Hassan started to perform at ayoung age of eight and sang inmore than 325 films. He got his firstopportunity to sing on RadioPakistan in 1957. From there heearned a name for him within themusical fraternity. Once dubbed asthe voice of God by LataMangeshkar, Hassan had a hugefan following both in India andPakistan. The singer who was alsofondly called the ShehenshaheGhazal by his fans, gave his voiceto nearly 5000 songs including filmsongs, ghazals, thumri, dadra etc.His most popular film numberscame in the movies like Dard,Bharosa, Jab Jab Phool Khile,Insaaf Aur Qanoon, Daman AurChingari and Aaina. Aaj tu ghairsahi from the film Dahleez was hislast big hit.

RADHA VINOD RAJU

Radha Vinod Raju, thefounding director of NationalInvestigation Agency (NIA) died atthe age of 62 on 21 June 2012. Rajuwas also a key member of thespecial investigation team whichinvestigated the assassination of

former Prime Minister RajivGandhi. Born in Kochi on 27 July1949 Raju started his career as anofficer in the Bank of India.Subsequently, in 1975, he joined theJ&K cadre of Indian Police Service.In his long illustrious career as anIPS officer, Raju served on varioustop positions such as, seniorsuperintendent of police of Jammudistrict, deputy inspector general ofSouth Kashmir Range andinspector general of Jammu.

Raju also headed the specialinvestigation team (SIT) whichprobed the assassination of formerIndian Prime Minister RajivGandhi in May 1991. The SITheaded by him, held LTTE culpritof the assassination of RajivGandhi. Raju was awarded withnumerous medals and awardsduring his service with the IPS.Most coveted of the awards that hereceived includes the Police Medalfor Meritorious Service in 1992, thePresident’s Police Medal forDistinguished Service in 1999, a

Director-General’s CommendationCertificate in January 2000 and theSher-e-Kashmir Medal forMeritorious Services in 2003.

NATIONAL INVESTIGATION AGENCY

(NIA)

National InvestigationAgency (NIA), the counter terrorismlaw enforcement agency of India,was founded on 31 December2008. The agency was foundedamidst the growing incidents ofterror attacks in India. The dreadfulMumbai terror attack of 26November 2011, prompted theGovernment of India to take someconcrete measure to prevent anysuch incident in the future. Thegovernment, consequently,proposed to enact a legislation, toset up the NIA. The agency isentirely dedicated to inspect theacts of terror in the country. SeniorIPS officer SC Sinha is the presentDirector General of NIA.

DIPANKAR MUKHERJEE

Dipankar Mukherjee,National Secretary of Centre of




Indian Trade Union (CITU), passedaway on 18 June 2012 in New Delhiat the age of 69. DipankarMukherjee was born in June 1943at Calcutta in West Bengal. A brilliant student throughout hisstudent life, he graduated inelectrical engineering from BanarasHindu University and started hiscareer as an engineer with BHELin Bhopal. He also held highposition in Hindustan FertiliserCorporation and Haldia Fertilisers.Mukharjee joined CITU as its fulltime member in 1991 and activelyparticipated in trade unionmovement since then. He waselected National Secretary of CITUin 2003 and represented CITU invarious forums. He was CITUrepresentative in Central Board ofTrustees of Employees ProvidentFund Organisation till his demise.He was elected to the Rajya Sabha,the upper house of the IndianParliament, in April 1994 from WestBengal as a CPI(M) member. Duringhis 12-year stint as the Rajya Sabhamember, Mukharjee played a vitalrole in intervening effectively on allcrucial economic and industrialpolicy related issues.

Centre of Indian Trade Union(CITU) is one of India’s largestassociations of workers. Foundedin 1970, the union is politicallyassociated with the CommunistParty of India (Marxist).

B.K.ROY BURMAN

B.K.Roy Burman passed awayon 26 June 2012. He wasanthropologist and social scientist.

B.K. Roy was born in Bangladeshin the year 1922. He served asDirector of the Tribal ResearchInstitute. He was the former visitingfaculty of Jawaharlal NehruUniversity and Centre for the Studyof Developing Societies. He was theProfessor at Visva-BharatiUniversity. He was an ex-officioDirector of the Council of SocialDevelopment. Prof. Burman served

on Special Duty . He was the headof the Social Studies Division of theRegistrar- General of India. Hechaired the Union PlanningCommission’s Study Group onLand Holding Systems of Tribalsand the Union Home Ministry’sCommittee on Forest and TribalsBackward Classes Unit.

ABID HUSSAIN

Former Indian ambassador toUS Abid Hussain passed away atthe age of 85 in London on 21 June2012. Hussain, a member of IndianAdministrative Service (IAS), wasone of those very few officers whoserved the Indian Foreign Servicedespite not being the member of thecoveted service. In his illustriouscareer with the IndianAdministrative Service, Hussainserved in various capacities suchas the Secretary of Ministry ofHeavy Industries, CommerceSecretary and Chairman IIFT. In1985, he was appointed theMember of Planning Commissionof India. Subsequently, he served asAmbassador to the US between

as the chairman of numerousinternational, national and State-level committees. He wasassociated with non-governmentorganizations and worked for theScheduled Tribes. In addition, hehad worked as the chairman of theFutorology Commission of theInternational Union ofAnthropological and EthnologicalSciences. In addition, he was thefounder-president of the Networkof Practicing Anthropologists andhe had served as Deputy Registrar-General of the Census and Officer




1990 and 1992. In 1988, Hussainwas awarded with PadmaBhushan, the third highest civilianaward given by the IndianGovernment. Hussain in his longstanding career oversaw severalimportant assignments. Some of hisnotable assignments include, theMember of International Panel onDemocracy & Development ofUNESCO, Special Rapporteur toUN on Freedom of Opinion andExpression for 9 years, Member ofthe Constitution ReviewCommission of India, Member of thePrasar Bharati Board, Member ofthe Council on Foreign Relations,New York and U.N Adviser onTurkey on CommunityDevelopment.

TEOFILO STEVENSON

Legendary Cuban BoxerTeofilo Stevenson died of heartattack on 13 June 2012 at the age of60. An amateur boxer he neverturned professional in his 14-yearlong career. Stevenson, who won

his first gold at the 1972 MunichGames, and went on to win twomore golds at the 1976 Montrealand 1980 Moscow Games, ruledthe game for nearly 14 years. Hewas the first fighter to win theOlympic gold medal in the samedivision three times. Stevenson wasdenied a chance of a fourth medalafter Cuba joinedthe Soviet boycott ofthe 1984 LosAngeles Games.

The legendaryboxer, who quit thegame in 1986, hademerged victoriousin a record 302bouts out of 321that he played.Subsequently, heserved as a trainerand official withCuban boxingf e d e r a t i o nmentoring FelixSavon, who alsolike his trainer went

on to win three Olympic golds(1992, 1996, 2000). A fervent patriot,Stevenson refused to contest ahighly lucrative bout against then-world heavyweight championMuhammad Ali after the 1976Montreal Games. He was offered 1million dollar for that bout, but hedid not give up his amateur status.

ACCUSED/RESIGNED/CONTROVERSY

PRANAB MUKHERJEE

Pranab Mukherjee, who hasbeen nominated the rulingCongress Party candidate for thePresidential Elections 2012,resigned as the Union FinanceMinister on 26 June 2012.Mukherjee tendered hisresignation to Prime MinisterManmohan Singh. A veteranCongress party leader, Mukherjeewas appointed the Union Finance

Minister on 24 January 2009,during the UPA I government. Thevictory of UPA in 2009 generalelections saw him again occupyingthe finance portfolio in the UPA IIGovernment. Mukherjee was firstappointed as the Finance ministerof India during the Indira Gandhigovernment in 1982 and he got hismaiden annual budget presentedin the Parliament in 1982-83.Mukherjee was first elected to the

Rajya Sabha, the upper house of theIndian Parliament in 1969 fromWest Bengal. He was re-elected in1975, 1981, 1993 and 1999. His first




stint as the Union Minister startedin 1973, when he was appointedthe Union Deputy Minister forIndustrial Development in theIndira Gandhi government. He wasfirst elected to the Loksabha, thelower house of the IndianParliament, in 2004 from Jangipurconstituency in West Bengal.Mukherjee served in variouscapacities under three differentPrime Ministers including IndiraGandhi, PV Narsimha Rao andManmohan Singh. In aParliamentary career spanningmore than four decades, Mukherjeeheld various key positions such asthe Union Minister of ExternalAffairs and Union Minister ofDefence in various Congressgovernments. As the DeputyChairman of PlanningCommission during PV NarsimhaRao government from 24 June 1991to 15 May 1996, he wasinstrumental in the growth ofIndian economy in the posteconomic reform era. A key figureof the Congress led UPAgovernment, Mukherjee washeading nearly a dozenEmpowered Group of Ministers(EGoM) on various crucial issuessuch as telecom, divestment, foodsecurity, water issues, gas pricingand large power projects, amongothers. His candidature for thePresidential Elections also madehim to quit as the head ofnumerous EGoM.

YUSUF RAZA GILANI

The Supreme Court ofPakistan on 19 June 2012

disqualified Yusuf Raza Gilani,Pakistan’s 16th Prime Minister,from his office. The court also heldhim ineligible to be the member ofNational Assembly, the lowerhouse of the Pakistan’s Majlis-e-Shoora (Parliament). Gilani wasconvicted for violating the article63(1) (g) (contempt of court) of theconstitution of Pakistan on 26 April2012 by the Supreme Court. Thecourt’s verdict came followingGilani’s refusal to probe cases ofcorruption against PakistanPresident Asif Ali Zardari.

Born on 9 June 1952, YusufRaza Gilani, had been the memberof Pakistan’s National Assemblyfrom Multan-IV constituency since1988. In 2008 general elections heled Pakistan People Party (PPP) toa victory, to took over as the 16thPrime Minister of the IslamicRepublic of Pakistan. Gilaniobtained his Bachelor inJournalism in 1970 followed by aMasters in Political Journalismfrom the University of the Punjabin 1976. Subsequently he joined politics in 1978 under the militarygovernment of General Zia-ul-Haq.His father Makhdoom AlamdarHussain Gilani was a former

politician who played a significantrole in the Pakistan Movement.Gilani, who was initiallyassociated with the PakistanMuslim League (PML), was firstelected to the Parliament in the non-party elections of 1985, and wasappointed minister for housingand works, and later railways. But,political differences with the PMLleadership soon prompted him tojoin the PPP. Gilani also servedprison for five years during the ruleof former President PervezMusharraf after being convicted bya military-controlled anti-corruption agency for misusing hisauthority when he was the Speakerof the Parliament from 1993 to 1997.

VRS NATARAJAN

The Union Government ofIndia on 11 June 2012 suspendedVRS Natarajan, the head of thestate-run defence enterprise BharatEarth Movers Limited (BEML). Thegovernment’s move came in thewake of CBI’s recommendations toremove him from his position givenhis role in the controversial Tatratruck deal. The investigatingagency had accused Natarajan oftrying to influence theinvestigation against him. TheBangalore based BEML suppliesTatra trucks to the Army. FormerArmy Chief VK Singh had accusedthat he was offered a 14 crore rupeeskickback to approve the purchaseof 600 sub-standard Tatara trucksfor the Army. The government hadordered a CBI inquiry in the ArmyChief’s allegations. The CBI is




investigating whether the defencepublic sector unit violatedguidelines in buying andsupplying the trucks to the Army.

Natarajan, as the head of theBEML had maintained that theArmy Chief’s assessment of thetrucks was grossly wrong. Thelegal cell of the CriminalInvestigations Department inHyderabad had also recommendedthe prosecution of Natarajan forcheating, criminal breach of trust,and falsification of accounts in thesame case.

VIRBHADRA SINGH

Union Minister VirbhadraSingh resigned on Tuesday in thewake of a Himachal Pradesh courtframing corruption charges againsthim. He is the third minister in theUPA-II to quit on similar grounds.A five-time Chief Minister of

Himachal Pradesh, the 78-year-oldMr. Singh, the Union Minister forMicro, Small and MediumEnterprises, met Prime MinisterManmohan Singh at his residencebefore announcing his resignation.“The President of India, as advisedby the Prime Minister, has acceptedthe resignation of Virbhadra Singhfrom the Union Council ofMinisters, with immediate effect,”the Rashtrapati Bhavanspokesperson said.

Mr. Singh’s decision came aday after the Himachal courtframed charges of corruption andcriminal misconduct against himand his wife Pratibha Singh in a23-year-old case, saying there wassufficient evidence to proceedagainst them.

DANISH KANERIA

Pakistani Cricket playerDanish Kaneria was banned byEngland and Wales Cricket Boardon 21 June 2012. He was given alifetime ban because he was foundguilty for corruption.

He is the third Pakistaniplayer who is banned because ofmatch fixing. In addition, in theyear 2000 Salim Malik and Ata-ur-rehman were banned for lifetimefrom Cricket because of match-fixing. Moreover, Salman Butt,Mohammad Aamer andMohammad Asif were banned bythe International Cricket Counciland jailed by the court of UnitedKingdom in the year 2010 for fixingspecific parts of a Test match.Danish Kaneria is 31 years old. Hetook 261 wickets in 61 Tests forPakistan. He had taken 15 wicketsin 18 one-day internationals.

VARIOUS

ANJANI JAIN

The Yale School ofManagement on 18 June2012announced the appointmentof Indian American professorAnjani Jain as senior associatedean for the full-time MBAprogramme as part of the school’s

expansion programme. He willcontribute to the Yale SOMcurriculum as a senior lecturer.Anjani Jain a graduate from theIndian Institute of Management,Ahmedabad will join Yale on 1 July2012. He holds a PhD. from theUniversity of California, LosAngeles, Graduate School of

Management. Jain spent the last 26years at Wharton and served as asvice dean of its full-time MBAprogramme for ten years. He alsoworked in the capacity of the vicedean of the MBA programme forexecutives. He in the past served inmultiple leadership roles at theWharton School of the, University




of Pennsylvania. He taught a rangeof courses and conductedimportant research in productionand operations management. Jainwas recognized for hiscontributions to African-Americanstudents with the Howard E.Mitchell Award. Within the scopeof a senior associate dean for thefull-time MBA programme, Jainwill focus on Yale’s flagship full-time MBA programme. He will beexpected to assume leadresponsibility for admissions,career development, and studentand academic services. The YaleSchool of Management introduceda Master of Advanced Managementprogramme and participated in thelaunch of the Global Network forAdvanced Management, acollective effort by 21 internationalbusiness schools to understand thechallenges posed by complexglobal markets.

RAO PAPINENI

Rao Papineni got theapproval for patent Application forcancer treatment on 19 June 2012.He is a nanotechnology scientist.The title of the patent is HighCapacity Non-Viral Vectors. It willhelp the nano particles to allow thedrug to be released inside thediseased cell. This will improve thefunction of the drug. Dr. Papineniand Alan Pollack is the chairmanof the Department of RadiationOncology, University of Miami. Inaddition, Dr. Papineni is exploringthe ability of nano-particlestargeted as a drug carrier. Dr.

Papineni is a chief scientist andsenior principal investigator inmedical applications ofnanotechnology at CarestreamHealth, Inc USA.

SHAKEEL AFRIDI

Shakeel Afridi, the manbehind the killing of Al-Qaedaleader Osama bin Laden inAbottabad in Pakistan on 2 May2011 sentenced to 33 yearsimprisonment under the colonialvintage Frontier Crimes Regulation(FCR) on 23 May 2012. ShakeelAfridi, had helped the CIA collectthe DNA sample of bin Laden byconducting a fake vaccination drivein the Abbottabad area.

The sample helped the the U.S.intelligence agency to confirm hispresence in the fortified house.Afridi was produced before a four-member tribal court and sentencedto 33 years of imprisonment. Apenalty of 320000 Pakistani Rupeeswas also imposed on the doctor. Hewas charged with high treasonafter he was picked up by the ISIsoon after the Abbottabad raid.Earlier this year, senior U.S.administration officials confirmedthat he had helped them trackdown bin Laden and called for hisrelease.

NIK WALLENDA

American Stuntman NikWallenda became the first personto walk across Niagara Falls on atightrope on 15 June 2012.Wallenda took more than 25minutes to complete his 1800-feetlong precarious journey. No personin the past 100 years hasaccomplished this daredevilry act.Wallenda started the walk from theU.S. side of the falls and finished itto the Canadian side. Born atFlorida in US on 24 January 1979Wallenda describes himself as anaerialist, high wire artist, acrobatand daredevil.

The six-time Guinness WorldRecord holder Wallenda has to hiscredit the world record for thelongest distance and greatestheight ever travelled by bicycle ona high wire, the record which hecreated during a stunt in NewJersey in year 2008. Stunts of anysort were legally prohibited onNiagara Falls for more than 100years. Nik Wallenda had towrangled with the US andCanadian authorities for two yearsto get the permission to perform thedaredevil task.

On 23 September 2011, NewYork Governor Andrew Cuomosigned a bill giving Nik Wallendafinal permission to cross NiagraFalls on a tightrope.




SACHIN TENDULKAR

Legendary Indian cricketerSachin Ramesh Tendulkar swornin as the member of the RajyaSabha, the upper house of theParliament on 4 June 2012. Sachinalong with hindi film actressRekha and business woman AnuAga was nominated by thePresident of India as Rajya SabhaMP on 27 April 2012. SinceParliament is not in session, Sachinwas administered the oath in the

chamber of the Rajya Sabhachairman Hamid Ansari. The VicePresident administered him theoath. He took oath in Hindi. Sachin,39, is the first active cricketer whohas been nominated to Rajya Sabhafor 6-year term. The President ofIndia under article 80 of the Indianconstitution nominates 12members belonging from thevarious fields like art, literature,business, sports to the 250-memberRajya Sabha.




India and China agreed toincrease their defense and securitydialogue and work to take steps toensure that the two countriesachieve a 100 billion dollars tradetarget by 2015. The decision wastaken on the sidelines of the Ri0+20 summit at Rio de Janeiro. Indiaalso raised the border issue duringthe talks. India and China agreedthat they would continue politicaldialogue at the political level. Indiaand China also decided that thespecial representatives wouldwork for preparing the joint recordof their work so far, which wasalready announced in January2012 and give directions for thefuture co-ordination between thetwo countries. The specialrepresentatives of India and Chinawould submit a report on thedevelopments so far by January2013. India would setup inter-ministerial group on its side while

China would have an official teamthat would periodically exchangeviews on maritime issues relatingto trade and security.

It was trade that helped Chinaand India to take their political-military relationships out of woodsbeginning with late eighties andenabled them to keep sweepingtensions under the friendship rug.In the process, the phenomenondebunked the traditional logic of‘trade following the flag’ and theprimacy of politics in bilateral andinternational relations. However,recently there have been frictionsderailing the entire progress in theSino – Indian relations.

The return of Hong Kong toChina has strengthened the Chinalink of India’s business community,many of whom have lived andthrived in Hong Kong for over onehundred years. Juxtaposed with

China’s emerging privateenterprises, these new trends haveprovided new momentum forChina-India trade relations. It isespecially this economicengagement between their non-state sectors that has now begun toprovide steam to the China-Indiapolitical rapprochement,promising to gradually emerge asan important force in moulding thenature and magnitude of China-India trade relations. Nevertheless,given the multifaceted challengesfor their economic engagement, thehope lies in the two being able tocontinuously innovative tostrengthen and evolve theirbilateral trade on the basis ofmutual understanding and mutualconfidence.

On the question of boundarydispute between the two countries,the two leaders said the SpecialRepresentatives of India and China




have been asked to prepare detailsof the joint work done so far. Chinaalso agreed to look into the issuebalance of trade which is heavilyin its favour. “The Prime Ministerraised the issue of Indian tradedeficit and the Chinese agreed towork with India in addressing thefact that India has a large tradedeficit. They mentioned in factspecifically that they are arrangingtrade missions to India to improveaccess of Indian exports into theChinese market. They areorganizing commodity fairs. Andthey noted for example one of thechanges which has happenedrecently is that rice exports fromIndia to China will now becommencing,”Mathai told therepresentatives of Indian mediaorganisations covering the Rio+20summits.

Now, Indian exporters cansoon begin sending basmati rice toChina after both countries agree ona mutually satisfactory quarantineprotocol. China has alreadycleared Indian exports of basmatirice following six-year processduring which many hurdles thatbar the entry of Indian rice into theChinese market were overcome.Negotiations on the issue of riceexports were on since 2006, whenPresident Hu Jintao visited India.Finally, it was given a concreteshape during Hu’s visit to NewDelhi for the BRICS summit inMarch.

China and India todayrepresent Asia’s two largest andmost dynamic societies which are

emerging as new trend setters ininternational relations. Especially,with their annual GDP growth ratesstanding respectively at 9.1% and8.5% for 2003 and at 9.5% and 6.9%for 2004, China and India havesince come to be recognised as thefastest growing economies.According to World Bankestimates, and assessed on thebasis of purchasing power parity,China and India have alreadybecome respectively the second andfourth largest economies of theworld surpassing developedcountries. This boom in trade hasalso introduced new trends. Thetwo states are no longer onlyrecipients on foreign directinvestment but have entered into anew phase of being investors, bothmutually as in other regions. In thisnew context, the increasing deficitin the energy sector and thecompetition to capture newmarkets present major challengesto sustaining this boom in theirbilateral trade.

Viewed in the context of SouthAsia, China’s trade with India havewitnessed impressive increasesdefying all suspicions aboutChina’s special relationship withPakistan or China’s encirclementof India. To highlight some otherstrong fundamentals that promiseto sustain their current trade boom,while China continues to enjoy ahuge favorable balance of trade vis-à-vis most other smaller states ofthe South Asian region, it is onlythe China-India trade that hasremained to be China’s most

balanced trade in South Asia andoften the balance has been in favorof India. This clearly reflects strongmutual stakes which promise tosustain this trade boom at least inthe short term. Indeed, the twoseem to be becoming increasinglyrelaxed about their bilateral tiesand are now thinking of buildingjoint strategies towards theirregional and global initiatives. No-one today talks of a China-Indiaclash in South-East Asia whereboth have built flourishingengagement without any mutualfriction or skepticism. While so farthey have not allowed this tobecome a major stumbling block yettheir intensifying search for energysources abroad is lately seen as onearea that could post a seriouschallenge for their economicengagement.

From the global perspective,China and India today representtwo unique new players—presenting an extraordinarycombination of a very large GDPand still with significant povertyand pockets of unrest and a verylow per capita income and livingstandards. This uniquecombination raises severalquestions about their becomingmajor drivers in internationaleconomic trends. However, in thepolitico-strategic sphere, theirrecent economic success hasresulted in both seeking anexpanded space in regional as wellas international decision-making,something that is becoming amatter for worldwide concern.




China’s foreign trade stood at US $3.64 trillion for 2011. India’s foreigntrade, by comparison, reached onlyabout US $ 1 trillion for 2011.

India’s growing trade deficitwith China—an estimated $27billion in 2011—has become asource of anguish in Indian policycircles. Bilateral trade between thetwo emerging giants grew to $73billion in 2011, up from $63 billionin 2010 and less than $3 billion in2000. The Indian side, though, isbecoming increasingly alarmedover the growing trade balance inChina’s favor, which amounted toa Chinese surplus of $23.9 billionlast year. In December, India’sNational Security CouncilSecretariat, the apex agencyresponsible for economic andstrategic security, even circulated anote to various ministries detailingits concerns and backing a possiblemove by the country’s Departmentof Commerce to start restrictingimports from China. Unfortunately,much of the public discussion onthis subject has tended to beshallow. Few people seem tounderstand the trade deficit’sunderlying causes, its implicationsfor India’s economy, and whatIndia should do to create a betterbalance.

There’s no question thatIndia’s overall merchandise tradedeficit is soaring, growing from $13billion in 2000 to $103 billion in2010 and an estimated $150 billionin 2011. At more than 6 percent ofthe GDP, India’s trade gap is huge.The trade deficit has grown even

though India over the past 10 yearshas been the fastest-growingexporter among the world’s top 10economies. From 2000 to 2010,India’s exports grew at an annualrate of 19.3 percent—more thantwice the rate of the 9 percentgrowth in world trade and aboutthe same as the 20.1 percentaverage annual growth in China’sexports.

The opening of Nathu La inIndia’s Sikkim province for tradebetween the two countries has alsonot been a successful experimentso far, despite over five years ofexistence. The trade has beenlimited both in the number of itemsthat can be cross-exchanged andthe volume that is a forgettablefigure in the overall bilateral trade.Apparently, the infrastructurebottlenecks are the main hurdle.Also, post-1962 period, thetrajectory of the erstwhile tradethrough Nathu La has shifted toother routes and it is indeed adifficult task to reorient the same.Today, the pass that was oncewitness to a significant amount ofIndo – Tibetan trade, is beingincreasingly doubted if it will everregain its old posture and serve asan economic bridge between Chinaand India.

Even if the trade deficit withChina were magically to vanish, itwould do little to address thecountry’s trade imbalance. Thedeficit with China accounts for lessthan 20 percent of the country’stotal trade deficit, with Indiaimporting Made-in-China toys,

consumer electronics,telecommunications gear, andpower equipment. More damagingto India’s trade numbers, though,is the reliance on imported oil, gas,and coal from such places as SaudiArabia, Iran, Australia, andIndonesia. Energy accounts formore than 65 percent of the tradedeficit. In sum, the primary tradechallenge for India is rooted in itsrapidly growing need for energycoupled with the rapidlyincreasing price of energyresources.

Let’s now look at theunderlying causes of India’s tradedeficit with China. Children’s toysmay be a highly visible symbol ofChina’s seeming invasion of India.They account for less than 1percent, however, of India’s importsfrom China. Of China’s total 2010exports of more than $40 billion toIndia, more than 60 percent camefrom capital goods, such aselectrical machinery, nuclearreactors, boilers, iron and steelproducts, ships and boats, andproject goods.

What would happen if theIndian government were to restrictimports of Chinese capital goodsinto the country? Yes, the tradedeficit with China would comedown, but the country’s overalltrade deficit would become evenbigger. To see why, look at the $8.29billion order that India’s ReliancePower placed in 2010 withShanghai Electric to supplyequipment that would generatenearly 24 GW of electricity




annually. (That’s equal to about afifth of India’s total electricityproduction.) The agreementincluded a financing deal with aconsortium of Chinese banks, suchas Bank of China and ChinaDevelopment Bank, providing low-cost financing. If Reliance Powerhad purchased this equipmentfrom non-Chinese suppliers, theprice would have been a few billiondollars higher and the companywould have faced difficultiesfiguring out how to pay for thepurchase.

Starting in 2007, India’spolitical leaders finally began aserious effort to address thecountry’s massive infrastructuredeficit. This has meant rapidgrowth in investment in sectorssuch as power,telecommunications, ports, roadsand highways. Since India’sdomestic producers have beenunable to keep up with the growingneed for machinery and othercapital goods, the country has nochoice but to import equipment.With prices 30 percent or morebelow those offered by suppliers inthe U.S., Europe, or Japan, Chinesecompanies have been the natural

beneficiaries of India’s growingappetite for capital goods. Indiadoes have some things that Chinawants: India is one of the world’slargest producers of iron ore andcotton, and China is a majorcustomer. Not surprisingly, as theworld’s largest cotton importer,China has complained aboutIndia’s recent moves to ban cottonexports. Given pressure also fromIndia’s cotton farmers, thegovernment has now decidedpartially to reverse the ban.

It can be said that the goodthing about the entire Sino – Indiantrade friction is that India is not theonly country that is at the receivingend of Chinese export-orientedeconomic domination. Mostcountries that have vibrant traderelations with China are sufferingtrade deficits, including the US.Exports apart, China’s economicsuperiority would be complete innext 20-25 years and all countrieswould have to live in China’sshadow or make friends with it.The US has institutionalised aneconomic strategic dialogue toresolve its trade concerns withChina and the two countries havemade decent progress in talking out

mutual trade concerns. Beijing isincreasingly responsive toWashington’s allegation of ‘unfairtrade practices’, primarily as aresult of these talks.

As a neighbour with barrageof other frictional issues withChina, India can ill-afford to leteconomic and trade relations slipbeyond manageable limits andopen another front for heatedexchanges between the twocountries. New Delhi can takelessons from the US – Chinaexample to avoid any futureeconomic conflict with Beijing. Thejust-launched economic strategicdialogue should be exploited as aprimary mechanism for resolvingall outstanding trade concernswith China and explore bilateralcooperation in new areas.Concurrently, it must not shy awayfrom implementing the proposed‘strategic action plan’ forcontaining the trade deficit withChina. However, New Delhi mustconsolidate its domesticmanufacturing sector for resilienceagainst Chinese imports. Then onlyIndia can negotiate from a positionof strength in the future rounds ofthe economic strategic dialogue.

Amit Kumar




5.

In what came as a majordisappointment for the Bhopal gastragedy victims, a US Federal Courton 27 June 2012 absolved UnionCarbide Corporation and its formerchairman Warren Anderson of theBhopal gas tragedy case. In hisruling US district Court Judge JohnF. Keenan concluded that UCC isneither directly nor as an agent ofUnion Carbide India Limited(UCIL) liable for the mishap. Whilepronouncing its verdict the courtinvoked a 1998 court verdict in acase involving KFC, in which thecourt had observed that legally themere assertion that a corporateparent is or was involved in thedecision-making process of itssubsidiary, or that it controlled thelegitimate policies of its subsidiary,will not shift liabilities amongdistinct corporate entities. The UScourt verdict, came in the favor ofUCC, has substantiated its long

held stance over the Bhopal gastragedy. The company has longbeen in denial of all the chargesmade against it by the victims ofthe tragedy. Below we arepresenting the time line of theBhopal Gas Tragedy anddevelopments related to it.

Nearly 25000 people had losttheir life in Bhopal Gas Tragedy, oneof the worst industrial disasters ofthe world history. The disasteroccurred following the leakage ofpoisonous Methyl Iso Cyanate gasfrom Union Carbide India Limited’s(UCIL) , now a subsidiary of DowChemical Company, resulting in theexposure of over 500,000 people,pesticides factory in Bhopal on 2-3December 1984. The catastrophicgas leak immediately claimed thelife of 3000 people, while theaftermath of the disaster hadproved to be far more horrifying asthousands of people died

subsequently due to ill-effects of thetoxic waste in the environment. Theenormity of the damage can wellbe assessed by the fact that eventoday, after 28 years of the incident;the people of Bhopal are facing thewrath of the tragedy. Poor safetynorms of UCIL are one of theprominent reasons for this tragedy.In a testimony to the long lastingcatastrophic impact of the gas leak,a test conducted by the BBC in 2009found that the water of the affectedregion contain 1000 times theWorld Health Organization’srecommended maximum amountof carbon tetrachloride, acarcinogenic toxin.

Following is the Timeline ofBHOPAL GAS TRAGEDY:

December 3, 1984: ToxicMethyl Iso Cyanate (MIC) gasreleases from Union CarbideIndia Ltd’s (UCIL) pesticideplant in Bhopal killing about




15,000 people and injuring atleast five lakh others. Millionswere left sick and the affectedpassed on the harmful effectsof the gas to the nextgenerations.December 4, 1984: WarrenAnderson, the chairman ofUnion Carbide, is among ninepeople arrested. But he wasfreed on bail of $ 2,000, upona promise to return. UnionCarbide is named as the 10thaccused in a criminal casecharged with culpablehomicide.February, 1985: Indiangovernment files claim for $3.3 billion from UnionCarbide in a US court.1986: US District Court judgetransfers all Bhopal litigationto India.December 1987: CBI filescharge sheet against WarrenAnderson and other accused,including UCC (USA), UnionCarbide (Eastern) Hong Kong,and UCIL. Summons servedon Anderson and UCC oncharges of culpable homicide.February 1989: CJM, Bhopal,issues non-bailable warrant ofarrest against WarrenAnderson for repeatedlyignoring summons.February 1989: Indiangovernment and UnionCarbide strike an out-of-courtdeal and compensation of $470 million is given by UnionCarbide.February – March 1989:Public protest against theunjust settlement followed byfiling of a number of review

and writ petitions against thesettlement in the SupremeCourt by the Bhopal GasPeedith Mahila UdyogSangatan (BGPMUS), theBhopal Gas Peedith SangarshSahayog Samiti (BGPSSS) andother concerned groups.October 3, 1991: The SupremeCourt revokes criminalimmunity to the firm and itsofficials.November 11, 1991: Criminalcases against all accusedrevived in the chief judicialmagistrate’s court at Bhopal.1992: Part of $ 470 million isdisbursed by the governmentamong Bhopal gas victims.February 1992: Andersondeclared fugitive by law forignoring court summons.November 1994: Despitenumerous petitions bysurvivors’ groups, theSupreme Court allows UnionCarbide to sell stake in UCILto McLeod Russell (India) Ltdof Calcutta.September 1996: SupremeCourt dilutes charges againstIndian officials of UnionCarbide India Limited -subsidiary, majority owned byUnion Carbide Corporation[UCC] – partly on groundsthat culpability lies with UCC.August 1999: Union Carbideannounces merger with US-based Dow Chemicals.November 1999: Internat-ional environment watchdogGreenpeace tests soil,groundwater and wells in andaround the derelict UnionCarbide factory and finds 12

volatile organic chemicalsand mercury in quantities upto six million times higherthan expected.November 1999: Severalvictims and survivors’organisations file an actionsuit against Union Carbideand its former CEO, WarrenAnderson, in federal court ofNew York, charging Carbidewith violating internationalhuman rights law,environmental law, andinternational criminal law.February 2001: UnionCarbide refuses to takeresponsibility for UCIL’sliabilities in India.January 2002: A study bySrishti and Toxics Links findslead and mercury in breastmilk of nursing mothers incommunities near the plant.June 2002: Bhopal gas tragedysurvivors launch a protest inNew Delhi when they hearthe Indian government plansto drop charges againstAnderson.August 2002: Charges ofculpable homicide aremaintained against Andersonby Indian court, whichdemands his extradition tostand trial. Meanwhile, aBritish newspaper reports thatAnderson is in New York afterUS authorities say they areunable to locate him.October 2002: Protests toclean up former UCIL factorysite in Bhopal that activistssay contains thousands oftonnes of toxic waste.May 2003: The Indian




government formally conveysits request for extradition ofAnderson to the US.March 2004: A US court saysit could order Dow Chemicalsto clean soil and ground waterin the abandoned factory siteif the Indian governmentprovides a no objectioncertificate. The Indiangovernment forwards thecertificate to the United States.June 2004: The US rejectsIndia’s request for extraditionof Anderson saying therequest does not “meetrequirements of certainprovisions” of the bilateralextradition treaty.July 19, 2004: India’s SupremeCourt orders the Central Bankto pay out more than 15 billionrupees, part of the original $470 million received ascompensation kept in theaccount since 1992.October 25, 2004: Bhopal gasvictims protest the failure ofthe government to payvictim’s compensation.October 26, 2004: India’sSupreme Court sets deadlineof November 15 to pay out therest of $ 470 million paid byUnion Carbide ascompensation.June 7, 2010: All eight accused,including the then Chairmanof Union Carbide KeshubMahindra, in the Bhopal Gasdisaster case convicted by acourt.June 27, 2012: US FederalCourt on 27 June 2012absolved Union CarbideCorporation and its former

chairman Warren Andersonof the Bhopal gas tragedy case.Activists and victims of the

Bhopal Gas tragedy case, who werefighting for justice, received a majorblow when a US court held thatneither Union Carbide nor itsformer chairman Warren Andersonwere liable for environmentalremediation or pollution-relatedclaims at the firm’s former chemicalplant in Bhopal. However, activistsfighting for justice in the case havestated that the court’s decision inthe case was not startling and thatthey would appeal again as thereare enough evidence to nailAnderson. The appeals forcompensation have been rejectedthrice.

With more than 15,000 peoplekilled and 25 years after the horrificincident only eight people havebeen held guilty and that with apunishment of 2 years. To top it allthe main accused in the caseWarren Anderson, the then chief ofUnion Carbide, is living at his plushmansion in the United States. Nowonder the media and newsheadlines are once again floodedwith the Bhopal Gas verdict andhow easily the Indian Governmentbent over backwards to ensure thatAnderson was allowed to leave thecountry after the incident. What isfurther embarrassing is that aformer top CBI officer, who wassupervising the investigations, isnow on record saying how he wasunder pressure to allow Andersonto leave the country.

The Bhopal Gas tragedyverdict which has been in the newsheadlines these past few days hasonce again proved the old saying

that justice delayed is indeed justicedenied...but in this case it is rathera mockery of the country’s entirejudicial system, it is rather the caseof Justice delayed & Justice denied.Entire issue is not just about thepunishment to the UCIL or anyother authority responsible for thetragedy. It’s all about the Justice tothe victims and all the peopleaffected by that tragedy.Thousands of people lost their lives,thousands of people’s health istremendously affected even now.What is the value given to theHuman Lives? Why is that it takenthese many years to give theverdict? And after so many yearsthey got discharged, Isn’t it the caseof Justice delayed & Justice denied?

Apart from this, as the newsreports day after day have beensuggesting, we also need to havehighly accountable system whereboth the investigators and thepublic prosecutors should be maderesponsible if the case is not able toresult in adequate conviction incourt. Media has been highlightingthis issue for quite some time nowas to how even though the workoutpercentage in most cases by policeor CBI is very high, their convictionrate is very poor. This means thecases fall flat in court perhaps dueto connivance of the prosecutorsand the investigating officers. Soeven though the media isaggressively highlighting themockery that has come in form ofthe Bhopal Gas tragedy verdict, theGovernment definitely needs totake note of it and come out withcorrective measures sooner thanlater.

Pankaj Kumar




Politics without policyThe French sociologist and columnist Raymond

Aron had pointed out that in English, there are twodifferent terms, “politics” and “policy” whereas in his ownlanguage there is only one single term, “La politique,” tocover both. It is the same in German as in French, for thesame German word, “politik,” covers both policy andpolitics. We should make use of the resources of theEnglish language to reflect on a distinction that hasacquired crucial importance in the present phase of ourdemocratic system.

The central concern of politics, as I understand it, isthe pursuit of power. In a democracy the contest forpower is never free from uncertainty and anxiety, andIndian politics is now marked by increasing turmoil.Those who make politics their career become accustomedto its turbulence and some even take a peculiar pleasurein it.

Policy, on the other hand, is a matter of setting cleargoals and working methodically towards their attainment.It is, in Max Weber’s famous phrase, “a slow boring ofhard boards.” Policymaking requires a calm and settledenvironment, and a clear and even temper in thepolicymaker. Politicians are expected to play to thegalleries and to gather public applause for theireloquence. Policy cannot be made under continuous publicgaze, although it can hardly be effective without passingthe test of political approval.

Although politics and policy follow distinctcompulsions and have different orientations, they neednot act against each other. In the last 10 to 15 years politicshas taken such a turn in India that it not only unsettles theenvironment required for making viable policies butopenly subverts attempts to reach workable solutions todifficult practical problems.

KIND OF DUUMVIRATE

The relations between government and oppositionhave become increasingly acrimonious over the years.Even where there is broad agreement over, let us say,foreign policy or economic policy, each side maintains anadversarial relationship with the other, fearing that therewill be a loss of face if not a loss of support from itsconstituents if it appears conciliatory. The habitually

confrontationist conduct of both government andopposition is complicated by the fact that neither the onenor the other speaks in a single voice. This may be a goodthing where it serves to defuse tension but it is notconducive to deliberations on policy.

The present system in India has settled intooperating as a kind of duumvirate with its own distinctivefeatures. It has done so without starting with any clearplan to be what it has become. A division of responsibilityand power has emerged between the Prime Minister andthe head of the ruling party who is also the head of theruling coalition. It corresponds neither to the Westminstermodel nor to the Leninist model favoured by Communistparties throughout the world. In the former the primeminister enjoys clear pre-eminence while in the latterpower rests with the head of the party. Should we bedisheartened that Indian democracy is following a path ofits own?

The general belief among both allies and opponentsis that the relationship between the Prime Minister and thehead of the Congress party is an unequal relationship inwhich the former has to act at the behest of the latter,which would make it closer to the Leninist than theWestminster model. This, I think, is a mistaken belief.Whatever may have been the equation between Ms SoniaGandhi and Dr. Manmohan Singh in 2004, that equationhas changed with the passage of time. It is true that Dr.Singh cannot do without Ms Gandhi, but it is equally truethat Ms Gandhi cannot do without Dr. Singh. This truthbecomes more and more evident as we recognise thatboth the Prime Minister and the head of the Congressparty have to contend with alliance partners whose suddendemands can unsettle the most reasonable agreements onpolicy.

DISTINCTIVE PARTY SYSTEM

The political party has emerged as an importantinstitution in modern democratic nations. India hasdeveloped its own distinctive party system. It is neither atwo-party system nor a multi-party system with three,four or even half-a-dozen parties of the kind commonlyfound in continental Europe. It is a system with amultiplicity of parties. This multiplicity is a reflection of thesize and diversity of our social and political order.Attention to the demands of coalition partners requires

Selected Articles from variousNews Paper




accommodation of the claims of patronage as well as ofpersonal vanity. Any action that may be construed as anaffront or a slight by the leader of even a minor ally cancause a major political upheaval. The demands of this kindof political management deflect attention away from thelong-term requirements of policy. In the 21st centurydevising effective policy calls for technical skills for whichsound political instincts cannot be a substitute.

The government that Dr. Singh heads would notwork if the Congress party and the United ProgressiveAlliance (UPA) did not hold together. For all hisintelligence, hard work and probity, it is doubtful that hewould be able to hold the alliance and even his own partytogether all by himself.

To say that the relationship between the head of thegovernment and the head of the UPA has acquired a kindof stability is not to maintain that it can be madepermanent or given an institutional form. Indiandemocracy has moved a long way since the countrybecame independent and adopted a republicanconstitution more than 60 years ago. It has created newpolitical arrangements as it has faced new politicalchallenges. It has shown considerable resilience and insome ways strengthened itself even while setting aside oldarrangements and established ways of thought andaction.

Jawaharlal Nehru, the first Prime Minister ofindependent India took charge of both politics and policy.His pre-eminence within the Congress party, particularlyafter the passing of Sardar Patel and the withdrawal ofRajaji, was widely, if not universally acknowledged. Buthis mastery of policy was also widely acknowledged, atleast within his own party. It would be unrealistic to expectthe present head of the Congress party to have the kindof grasp of policy matters that Nehru had or Dr. Singh has.It would be equally unrealistic to expect the present PrimeMinister to deal with party matters with Nehru’s self-assurance.

We cannot go back to Nehru’s age, or to the dawnof independence which began with great, some wouldnow say unrealistic expectations from our leaders ofgovernment and politics. Nor should we be beguiled bythe hope that a new leader will soon emerge, a truestatesman who will combine in himself all the virtues thatwe expected in our political leaders at the time when thenew republic came into being. We have to make the bestof what we have achieved and what we have which is notinconsiderable. Indian democracy may be disorderly butit is also vibrant and, like any living system it undergoescontinuous change. It is easy to lose heart in the face of somuch disorder, but democracy advances by facingdisorder, not turning its back on it.

Courtesy-The Hindu

Dealing with the Devil’sExcrement

In coming years, India will become evermoredependent on oil from an evermore troubled region.

“Ten years from now”, the man who founded OPECtold a young graduate student during a 1976 interview,“twenty years from now, you will see: oil will bring usruin”. India’s strategic community ought to reflect onthose words: little-noticed but seismic shifts in oilgeopolitics mean the country is staring at a strategicchallenge of a magnitude it is utterly unprepared for.

From a peak of more than five billion barrels in 2005,the United States’ crude oil and refined products importsfell to 4.14 billion barrels last year [See Table 1]. Importsfrom Saudi Arabia and the volatile Persian Gulf have beenin slow but steady decline for years. In 2011, over 23 percent of all U.S. crude oil and refined products came fromCanada — over twice as much as from Saudi Arabia, sixtimes as much as Iraq and 20 times as much as Libya. If a$7-billion pipeline linking Canada’s oilfields to refiners inthe U.S. passes environmental hurdles, the country couldeven end up being a net exporter of oil.

In time, the U.S. might draw back from the MiddleEast on this receding tide of oil — a nightmare for Indiaand other growing Asian powers. Ever since 1947, theU.S. has used guns and cash to impose order across theMiddle East. Now, India could be left needing evermoreoil from a region that is ever-less stable. India, like China,has watched helplessly as Western-led policies in theMiddle East have led oil-producing Iraq and Libya intoquasi-anarchy. Iran’s nuclear programme could,conceivably, spark-off murderous regional confrontation.

Emerging, oil-thirsty Asia, the United States EnergyInformation Administration has estimated, will beconsuming some 33.6 million barrels per day [mpd] of oilby 2025 — more than double its demand at the turn of thecentury. It won’t be able to get it, though, without orderin the Middle East. For India, there is another peril. Indianpolicies on Pakistan have long rested on the assumptionthat the U.S. would push its troublesome ally away fromthe brink. The reason the U.S. locked itself into an alliancewith Pakistan in the first place, though, was to protect thePersian Gulf and Saudi Arabia — and the future, couldcare less about regional security.

THE UNSTABLE PETRO-STATE

OPEC’s founder, Juan Peréz Alfonzo, had warned ofoil’s exceptionally toxic political properties back in 1976:“we are drowning”, he famously said, “in the Devil’sExcrement”. The petro-states on which growingeconomies like India rely to fuel their search forprosperity, he had realised, simply cannot be stable. In themid-1970s, when Mr. Alfonzo had made his darkprophecy about ruin to scholar Terry Lynn Karl, thecorrosive character of the Devil’s Excrement was littleunderstood. Instead, it appeared to have made the rulerof every petro-state a Midas. The Shah of Iran promisedhis people a “great civilisation”; Carlos Andrés Pérez,Venezuela’s President, imagined a future where“Americans will be driving cars built by our workers in ourmodern factories”.

In a seminal 1999 article, since fleshed out by othereconomists, Dr. Karl explained why the souring of the




dream could not just be attributed to mismanagement orcorruption. Instead of building infrastructure andindustries, she noted, the cash available drove petro-states’rulers to establish patronage networks that ensured thesurvival of their regimes. There were no incentives toengage in economic reforms, and easy cash killedentrepreneurship. In time, generous handouts led entire“polities to develop an addiction to petrodollars”.

Few took oil-pessimists seriously — in spite of theclear warning signs that emerged from the 1979 revolutionin Iran. From the outside, Libya’s economy grew at six percent in 2007, winning it applause from the World Bank.Bahrain has a per-capita income not dissimilar to NewZealand. Egypt grew at 4.7 per cent in 2007. Bahrain andLibya built their future by pumping the seeminglyexhaustible pool of cash from the ground beneath theirfeet. Tunisia, Egypt and Yemen exported their owninexhaustible pool of low-wage workers to the petro-states.

But the growth rates masked a less happy reality:the apparent prosperity didn’t drive industrialisation orgenerate productive jobs. Half the population in the arc ofnations running from Nigeria to Pakistan is less than 25years old, but unemployment is at record levels.

THE PETRO PARADOX

There’s a simple reason why the world’s economy ispowered by such a politically toxic fuel. Bizarre as it mightsound at a time when petrol costs Indians well over Rs.70a litre, the Devil’s Excrement is relatively cheap [See Table2]. From 1946 to 1973, the price of crude in the U.S. stoodat just over $20 per barrel, measured at 2012 prices. In thewake of OPEC’s efforts to ramp up oil prices, and theIranian revolution, it surged to over $100. Then, the datashow, oil prices again hovered around the pre-1973historical average until 2001, when 9/11 ushered in a newera of war. But even now, crude oil is cheaper in real termsthan in 1980.

Even more important is this: incomes in the U.S., theworld’s largest consumer of oil, have risen faster than oilprices. In 1929, an average American would have had topay 1.49 per cent of her or his annual income of $84.90 tobuy a barrel of crude oil, which then sold for $1.27. Fiftyyears later, in the wake of the Iranian revolution, oil pricessoared to $31.61. But the annual earning of the averageAmerican had risen even more sharply, to $7,956. Thatmeant that a barrel of oil would cost them just 0.39 percent of their earnings — a quarter of what it did in 1929.In 2008, oil prices soared to $96.91. The average Americanearned $35,931 that year, which means a barrel of oilwould cost them 0.26 per cent of their earnings. Now,consumers in the world’s great economies are payingmore than ever for oil — but those who sell it aren’tprospering, either. Barring Norway, the world’s largest oilexporters are now poorer, relative to the world’s greateconomies, than they were five decades ago. “Theconclusion must be,” the commentator Amir Taheri wrotein 2006, “that those who buy oil get rich and those whosell it do not.”

BIG OIL AND GREAT POWER

For geostrategic experts, though, it has long beenclear that cheap oil comes at a high price. Ever since 1947,the U.S. purchased stability in the Middle East by fundingclient regimes, and setting up a string of bases stretchingfrom the Persian Gulf to Turkey. In the next six years,though, U.S. defence spending will decline by as much as$477 billion — a consequence of wrenching economicpressures which also means there may be less to spend onpropping up pliant governments. Given the country’sdeclining interest in Middle East oil, there will also be lessand less reason to do so.

There is no doubt the U.S. will remain the mostsignificant military force on the planet for decades: itsmilitary spending accounts for 43 per cent of globalmilitary expenditure, against China’s estimated 7.3 percent and Russia’s 3.6 per cent. The U.S. has 11 aircraftcarriers to the rest of the world’s eight — and its airpower is a generation ahead of the competition. However,the cuts will mean U.S. resources will be more narrowlyfocused: targeting potential Chinese expansion in thePacific, and using intelligence-led operations to containterrorism-related threats. The days of grand expeditionarywarfare in the Middle East are at an end.

India can’t say it wasn’t warned: for years now, theU.S. has been doing so. In his 2006 State of the Unionaddress, President George W. Bush set America on a newcourse towards oil independence. “America is addicted tooil,” he warned. He vowed to “make our dependence onMiddle Eastern oil a thing of the past.” Few paid attention,because past Presidents like Jimmy Carter had said muchthe same thing, to little avail — but the figures show it isnow happening.

“Persian oil,” as Franklin D. Roosevelt said to aBritish diplomat in 1944, “is yours. We share the oil ofIraq and Kuwait. As for Saudi Arabian oil, it’s ours.” Tothat end, the West propped up tyrannies — giving birthto a host of political obscenities. India, China and the otherAsian powers whose future prosperity depends on accessto the Devil’s Excrement are the future inheritors of thedisorder western withdrawal will leave behind. They mustbegin to together prepare for the fallout, or together paythe price.

Courtesy-The Hindu

India is not a global powerPower in inter-state relations is the capacity as well

as the political will to use that capacity, of one country tomake another country do something which, left to itself,it would not do or would not want to do. “Soft” powershould not be considered a component of the concept ofpower since it is not relevant to modifying the behaviourof another country; it can and does serve as a model andindirectly — and over a period of time — to earn goodwillamong sections of society of other countries for its culture.But it has no place in the discussion of power as a meansto bring about a change in the attitude of another country.India has a genuine attraction for many in the Middle East




because of its pluralism combined with a functioningdemocracy; however, it does not give any “power” toIndia to influence decision-making in those countries.When we talk of power, we are thinking of military,economic and diplomatic clout, not of Bollywood or yoga.

SPHERES OF INFLUENCE

The 20th century offers many examples of theexercise of power by states mostly in neighbouringcountries or countries regarded as forming a part of theirspheres of influence. There were at least 10 cases ofAmerican intervention, starting with Cuba when the Plattamendment was adopted in the Senate which gave virtualcontrol over Cuba to the U.S. as well as provided theframework for the lease of Guantánamo Bay. Otherexamples are Panama in 1903, Nicaragua in 1912, Haiti in1915, the Bay of Pigs fiasco in 1961, Chile in 1973, etc. Anexample of the blatant exercise of power was the Anglo-French-Israeli joint attack on the Suez Canal zone in 1956.The Soviet Union used brute force to restore itsdomination of Hungary in 1956 and Czechoslovakia in1968. There was of course the Soviet intervention inAfghanistan in 1979 which had a lot to do with theeventual collapse of the Soviet empire.

The establishment of the United Nations in 1945 andthe evolution of international law since then havecompletely changed the rules of the game of the exerciseof power by the introduction of the concept of legitimacy.It is universally recognised that there are only twoscenarios of the legitimate use of force: pursuant to theSecurity Council authorisation or in the exercise of theright of self-defence. The latter has been severelycircumscribed by the Charter which lays down that theright of self-defence can be exercised only in response toan attack by another state, thus rejecting the “pre-emptive” right of self-defence. The one case of unilateraluse of force in the 21st century was the Americanintervention in Iraq in 2003 which the internationalcommunity refused to recognise as legitimate since it didnot have the imprimatur of Security Council approval norwas it accepted as having been in the exercise of the rightof self-defence. United States/NATO intervention inAfghanistan, on the other hand, was sanctioned by theU.N.

Of the three constituent elements of “power” —military, economic and diplomatic — the economic iscrucial. This is self-evident and does not need elaboration.One important reason why the Soviet Union lost the ColdWar was the mismatch between its bloated military andthe inability of its economy to support and sustain it.

Is there a “superpower” in the contemporary world?The answer is clearly in the negative. America has globalreach, and its military is no doubt the strongest in theworld. But this does not confer on it the capability toimpose its will on others. To be fair to it, the U.S. does notask others to recognise it as a superpower, though it doesnot protest when the rest of the world describes it as one.The Americans would rather prefer to be recognised asthe “exceptional” power. The capacity of its military as well

as the will of its political leadership to deploy anywhereat any time without worrying about adverse political ordiplomatic reaction remains, but it is severely hobbled byits increasing economic weakness. To that extent, it is aglobal power. But it lacks in other attributes of power. Themost embarrassing moment for American diplomacy wasin March 2003 when it failed to persuade enoughmembers of the Security Council, including some of itsclose allies, to support the “second resolution” on Iraqwhich would have legitimised its intervention in Iraq; onlyfour countries promised support. More and moremembers in the U.N. vote in favour of the resolutioncriticising American sanctions against Cuba. The U.S. hasnot had much success in getting countries such as India tofall in line with its Iran policy. Getting its nominee electedpresident of the World Bank has less to do with itsdiplomatic strength and more to do with the votingadvantage that it and its allies enjoy as also to the lack ofunity among the challengers for the job.

America is without doubt a super “soft” power. Itsmovies, television series, popular music, and, most of all,its espousal of democratic values have immenseresonance among the youth of the world, especially in theArab and Muslim world. But these do not translate into“power.”

ABOUT CHINA

China is portrayed as a legitimate claimant for thetitle of global power. China’s economy has been theprincipal engine of growth of the world economy but isnow slowing down and facing the prospect of a realitybubble, political instability and huge corruption scandals.It is now not clear when, if ever, it will become the biggesteconomy in the world. Its military capability is nowhereclose to America’s. In R&D and labour productivity, it isway behind the U.S. China has increased its militaryprofile, especially its navy. But the neighbours, whiledistrustful, are not afraid of China because of theAmerican “pivot” or other factors. Much weakercountries, such as the Philippines, refuse to be intimidatedby Chinese threats.

If the U.S. and China can be eliminated as candidatesfor “superpower” status, there is no need to consider anyother state for the position.

INDIA’S CASE

Is India at least a “regional” power? The mostconspicuous example of the exercise of power by Indiawas the operation in 1971 in former East Pakistan. India’sintervention was not authorised by the U.N.; India justifiedit on the ground of self-defence since Pakistan had earlierattacked several Indian Air Force bases as also on the onethat Pakistan had in fact invaded India in the form of 10million refugees. There is also the case of the interventionin the Seychelles in 1986, and one case of ill-advisedmilitary intervention, in Sri Lanka in the late 1980s whichhad disastrous consequences for India. There was talk ofIndia sending a brigade to Iraq in 2003, but wiser counselprevailed. As a general rule, Indian participation in




military operations has been as a part of U.N.-mandatedpeace-keeping operations, with the exceptions mentioned.

The global powers of yesteryear became such forconcrete reasons: control over sources of raw materialsincluding oil and gas and protection of the interests oftheir corporations, e.g. the case of the United FruitCompany in Guatemala in the 1950s, an Americancompany in which the then CIA director was ashareholder.

Why do some analysts in India feel enamoured ofthe prospect of India being called a global or a regionalpower? Is it because of the sense of self-importance orprestige? Will such a “title” give India a place at the hightable in international diplomacy? Others sometimes usethis adjective for us for one or both of these reasons: toflatter us — and we are the most flattery-prone people inthe world — and/or to make us take foreign policy stepswhich would serve the objectives of those flattering us.Will the label of regional power help ameliorate the livesof the poor in our country, which is and should continueto be the guiding principle of our domestic as well asexternal policy? Further, while we have soft power ofdoubtful practical utility, we definitely are or have becomeor are becoming a super “soft state.” India’s neighbourshave the full measure of its will, or lack thereof, to usewhatever hard power it has. One criterion of militarypower ought to be, not the unlimited capacity to pay forimports of hardware, but how much of it is the countryable to manufacture domestically; India fares poorly in thisrespect. The possession of nuclear weapons does notchange anything. Pakistan too has them. And, our nuclearweapons did not deter Pakistan from indulging in theKargil adventure, but Pakistan’s nuclear weaponsapparently deterred us from crossing the Line of Control(LoC) at that time, and restrained us after 26/11. Theboom years of India’s economy seem to be over at leastfor the short term. Our forex reserves have ceased togrow and are likely to dwindle, with the rising energy billand diminished exports. A reduction in interest ratesmight at some stage induce NRIs to start pulling out theirdeposits as it happened in 1990-91. A declining economymakes for a poor case for acceptance as a “power” of anykind.

In today’s world, the concepts of super or global oreven regional power do not make sense. We should notwaste our time or energy over this non-issue. Fortunately,the Indian government does not seem to be muchpreoccupied about such recognition.

Courtesy-The Hindu

The injustice of delayedjustice

Out of sheer interest, and enjoying the considerableleisure time at my disposal, I was reading the book, ‘ TheLaw is an Ass’ , compiled by Ronald Irving. It had aninteresting passage on the law’s delays:

“My Lord; my clients have great reason to complainof the great injury suffered by them in consequences of

these causes not keeping their situation at the head ofyour lordship’s paper, agreeably to your lordship’s orderrepeatedly given in my hearing. It is now nearly sevenyears since they have been waiting for your lordship’sjudgment; and upwards of two years and a half ago, theyhad arrived at the top of the paper; at which I humblyentreat they may, until you decide upon them, remain.There is a fund in Court of Pounds 10,000 and upwards,locked up until your lordship decides on those causes, andit is therefore a matter of great importance to myunfortunate clients that your lordship’s decision may notbe delayed by the circumstances to which I have abovealluded. It is painful to me to state to your lordship, that Ihave learnt from authority, which I have no reason todoubt, that the infant, for whose benefit these suits wereinstituted twenty years ago, died of a broken heart, onaccount of being kept out of his property; and that I haveto contend against the bitter feelings of his relations.Under the distressing circumstances, knowing that yourlordship will pardon the liberty I have taken in thusaddressing you, and which nothing but the imperiousnecessity of the case could have induced me to have done,I have the honour, etc.”

— Solicitor ’s letter to Lord Eldon, the LordChanceller, July 15, 1820

The Law has its majesty elsewhere, but often notwhere it must have it. Rightly, a reference is made byTheHindu in its editorial “Settle election disputes quickly”(June 8) to how “Section 86 (6) of the Representation of thePeople Act, 1951 enjoins High Courts to hold trials ‘fromday to day’ until their conclusion. And subsection 86(7)declares that ‘every election petition shall be tried asexpeditiously as possible and endeavour shall be made toconclude the trial within six months from the date onwhich the election petition is presented to the High Courton trial.’”

PAINFUL FACT

It is surprising and somewhat painful that electionpetitions are not being disposed of, on the basis of day-to-day proceedings, within six months from the date offiling. Is the law to remain shallow?

Without appearing to blow one’s own trumpet, Iwould like to narrate something that happened in myown court when I was Puisne Judge of the Madras HighCourt. Today, of course, it is not uncommon to comeacross instances where political battles are waged in thecourt of law.

One day, a petition challenging the election to theTamil Nadu Assembly of M.G. Ramachandran fromAndipatti constituency, suddenly appeared in my courtlist. The challenge was based on the fact that, while beingconfined to a hospital bed in Boston, M.G. Ramachandranhad not signed the required forms, nor was he consciousas to the happenings. These points were argued with allthe vehemence that the senior counsel concerned couldsummon. Therefore, a request was made that the case betaken up immediately. I acceded to the request of thesenior member of the Bar. However, I emphatically told




him, drawing his attention to Section 86(6) and 87 of theRepresentation of the People Act, that once the case wastaken up for trial, it would go on from day to day; and onno account would there be any adjournment. Counselreadily agreed. But on the third day of hearing, herequested an adjournment on the ground of “personalinconvenience.” I had to ask, with a certain amount offirmness, as to what the understanding between counseland court was before the case was taken up for trial.

I had to deny the request, and told him that a seniorcounsel was assisted by an equally senior advocate, andthe case would go on with his help. The case went on. Theelection petition was disposed of within 21 days, includingthe day the judgment was delivered.

It is the judicial edifice that lends real dignity andcharm to a nation. Therefore, it has to be reared with careand caution, devotion and determination. The ultimateprogress of a land depends on the intellectual and moralstandards of the people that comprise it.

The various parts that make up the edifice have tobe strong and secure, resting on solid foundations, so thatthe structure may be a judicial Mahal, a powerhouseradiating wisdom, happiness and peace. A spirit of efficientand dedicated service is the foundation on which thereputation of the court rests. It is not so much genius asit is earnestness that is required. Faith is in the sanctity ofthe calling, a burning passion to give the very best tolitigants. A steadfast determination to train suchpractitioners of law on healthy lines is the need of thehour.

Remember the words of Cicero: “How invincible isjustice if it be well spoken.”

Courtesy-The Hindu

ONE SIMPLE STEP TO INCREASE OUR GDPIn America, 12 per cent of the population is counted

as disabled, the corresponding percentage in England is 18and in Germany, nine. In India, government statistics claimit is two per cent. Javed Abidi of the National Centre forPromotion of Employment for Disabled People has avery poignant question with regard to the abovenumbers: what is so amazing about the Indianenvironment or climate or gene pool that we have onlya tenth or a fifth of the number of persons with disabilitieswhen compared to other countries? Or is it that somethingis wrong with our counting?

Until the year 2000 — 53 years after Independence— the Census did not record a single disabled person inIndia! In other words, in the minds of the people makingpolicy, taking decisions and allocating funds, the disableddid not exist. And if they did not exist, obviously we didnot do much for them. So in the first 53 years ofIndependence, while we were building the infrastructureof our country, we did little or nothing to include them inour thoughts and actions. Therefore, the bulk of ourinfrastructure is not disabled-friendly, leaving them furthermarginalised, and disabling them further.

How we behave with the disabled among us tells uswhat kind of a people we are.

Ketan Kothari, another expert, explains how, by andlarge, we have two kinds of reactions to disabled people:one, that they must have done something wrong in theirprevious birth and therefore deserve what they got; two,let us use them as a ticket to heaven — make a donationto an organisation working for the disabled, or givemoney to a disabled person asking for alms, and scoresome brownie points with God. If this is how many of usbehave towards the disabled, it is a sorry picture that wepaint of ourselves.

Time to change, guys.So where and how should this change begin?

Education.The Sarva Shiksha Abhiyan programme and the

Right to Education Act say that every child in India isguaranteed an education. Despite that, most regularschools in India deny admission to children withdisabilities. They cite lack of infrastructure and trainedspecial educators. They are probably right. But what stopsso many schools across India from becoming inclusive anddisabled-friendly? Who is putting a gun to their heads, notallowing them to do this? I’m afraid it is our own lack ofthought, application of mind, and maybe of heart. Let’schange that. If we start today, each school (if it really wantsto) can become a truly integrated school within a periodof two, or at most three, years. Let each school make thisits target.

Currently, an alarmingly low percentage of childrenwith disabilities are educated. Without the foundation ofa strong education, no child can reach his or her potentialin life. By denying children with disabilities admission inregular schools, we are denying them their right toeducation and, therefore, their right to make their livesproductive.We are also denying other children the right tointermingle with, learn from, and grow up with friendswith disabilities, and vice versa . With education for ourpersons with disabilities, we can prepare them to beproductive, look after themselves, and their families.

The government says two per cent of ourpopulation is disabled. Various experts and NGOs say it issix per cent. I think it is safe to assume that the number issomewhere between six and 10 per cent — let’s say eight.Now eight per cent of 1.2 billion is 96 million. That ismore than the population of England (51 million), France(65 million) and Germany (80 million). As Mr. Abidi putsit, what we as society need to decide is, do we want 96million of our population to be uneducated, unemployed,unproductive and left with no choice but to be a weightthat the rest of us carry? Or do we want them to beeducated, employed, productive, able to look afterthemselves and their families, contributing to the growthand wealth of our nation? If we want the latter then wesimply cannot achieve that without including them in ourmainstream education system. That’s the bottom line.

Courtesy-The Hindu

REFORMS YES, BUT OF THE RIGHT TYPE

Slowdown in the growth of gross domestic product(GDP), a virtual stagnation in industrial production and




the risk of losing investment grade rating by internationalrating agencies like Standard and Poor’s has rattled thegovernment, industry and policymakers. The dominantview — as expressed by influential members of thegovernment and other policymakers — favours theintroduction of major liberalisation policies aimed atfacilitating the entry of foreign direct investment (FDI) inservice sectors like retail trade, insurance, legal and otherservices as a means of reversing the slowdown. In myopinion, such an approach is flawed. Sustained growth isnot possible without a healthy and growingmanufacturing sector; attracting FDI in the services sectorwould at best play only a minor role. Indeed, India’soverdependence on the service sector and the neglect ofits manufacturing sector is partly responsible for thedeceleration in growth. Results from most researchstudies show that for India, the service sector cannot bethe engine for a sustained growth of income andemployment. Like China, India should also concentrateon the manufacturing sector, for, in the long run, thegrowth of the service sector would also depend on themanufacturing base.

REAL CONSTRAINTS

Research studies, by and large, zero in on two setsof constraints that stand in the way of the developmentof Indian manufacturing sector: physical and governmentinfrastructure. These two are, in a way, related and couldreinforce each other. In the last few years, India has notinvested sufficiently in physical infrastructure likeelectricity, roads, ports and railways. This has resulted inhuge shortages in electricity supply relative to demand,leading to long hours of load shedding, power holidaysand even closure of several manufacturing units. Some ofthe large enterprises have opted for captive electricitygenerating plants, resulting in high costs and making theirproducts globally non-competitive. Small and mediumenterprises cannot afford captive power units and they arethe main victims of power shortage.

Likewise investments in roads and railways havebeen inadequate, hampering the development of themanufacturing sector by increasing the cost oftransportation. The presence of corruption and badgovernance has made the situation worse. It is commonknowledge that only a fraction of the investments onroads and other infrastructure projects actually reach thetargeted projects as the leakages are large. This leads tothe second set of constraints for manufacturing growth,namely, governance infrastructure.

Numerous studies show a strong relationshipbetween good (corruption free) governance andinvestment climate. In the current globalised investmentand trade regime, the same set of variables influencesboth foreign and domestic investment. At present, facedwith 0.1 per cent growth rate in the industrial sector, thegovernment is planning to offer interest rate and fiscalincentives to reduce costs and stimulate investment. In thiscontext, it is important to note that corruption is also likea tax that pushes up the costs — the only difference being

the sums collected through bribes do not go to thegovernment but to private individuals. Thus, given thehigh levels of corruption, merely reducing interest ratesmight not be effective in making Indian enterprises morecompetitive.

High levels of corruption, in addition to pushing upcosts, also adversely affect the quality of investment. It isnow fairly well established that corrupt countries mainlyreceive investments from other corrupt countries, whichdoes not result in technology transfer leading to globalcompetitiveness. Thus, bad governance affects both thequantity and quality of investment. Moreover, evenmedium sized Indian enterprises are now investing inother countries and import products from their foreignunits into India. Last year, the FDI outflow from India wasmore than 60 per cent of the FDI inflow into India.Newspaper reports indicate that this year FDI outflowsfrom India could be equal to or even exceed FDI inflowsinto India. Indian enterprises find it difficult to do businessin the current Indian environment and prefer to set upunits in other countries and import the products into India.Furthermore, while the manufacturing sector dominatesIndian investments abroad, foreign investments in Indiaare mainly in the service sector, construction activities andreal estate. This alarming situation cannot be reversedwithout major reforms that target good governance andremoval of corruption.

SCAMS AND REFORMS

In the last few years, major scams have broken outin resources sectors that are mainly owned by thegovernment — like real estate, mining and ores, andspectrum.

Quite a lot of individuals who have obtainedgovernment permission to enter and exploit these resourcesectors have amassed billions of rupees. In other words,under the existing business environment, the path toamass wealth is not through manufacturing but throughexploitation of resources under government ownership.This needs to change. It is alleged that as a result of thesescams, decision-making in the government has come to astandstill as bureaucrats are afraid to take decisions. It isstrange that officials have been vested with manydiscretionary powers which they now rightly refuse toexercise. Corruption mainly takes place where importantdiscretionary powers are vested with the decision makerand where rules are not clear-cut and decision making isnot transparent. The way out of the mess is to reform thedecision-making process by making it transparent andrule-based and by drastically reducing the discretionarypowers of officials. So far, despite brave declarations ofintent, no serious attempt has been made in this directionof administrative reforms.

In addition to administrative reforms, thegovernment should also introduce rules and laws todrastically discourage cash transactions and cash holdings.Corruption cannot be reduced so long as cash transactionsdominate. Newspapers frequently report police andincome tax raids and the discovery of huge amounts of




cash kept at home, offices and lockers. Subsequently, inmany instances, the cases are dropped as the individualssucceed in explaining the source of their cash holdings. Inthis context, it is vital to introduce laws that discouragecash transactions. Drastic situations need drastic remedies.To discourage cash transactions, the government couldplace a limit on cash transactions. For example thegovernment could declare that any transaction, say, aboveRs. 5000 should be a bank or credit card transaction andnot a cash transaction. This will bring huge expenditureson items like consumer durables, hotels and resorts underbank transactions and increase accountability. Likewise, thegovernment could place a limit to cash holdings at homes,offices and lockers. The limit could be as low as one or twolakh rupees.

To conclude, a high growth rate for the Indianeconomy cannot be sustained without a vibrant andgrowing manufacturing sector. A policy aimed at GDPgrowth based mainly on attracting investment in theservices sector will not succeed. Moreover, a thrivingmanufacturing sector is vital for employment generation.Under these circumstances, reforms should be aimed atgood governance, transparent and time bound decision-making, reduction of currency transactions and holdings,and the rule of law.

Courtesy-The Hindu

FIRST TEST FOR NEW MYANMAR

Along-festering wound in Myanmar has burst and ifnot attended to swiftly could pose a threat to the nascentprocess of political reform in that country. Decades of racialand religious animosity between the Buddhist communityand Rohingyas in Rakhine, formerly Arakan, on thecountry’s western coast, erupted in serious clashes that leftat least 20 people dead over the past week. The trigger forthe violence was the gang rape and murder of a Buddhistwoman, and it has led to ‘retaliatory’ killings and callsamong the Rakhine Buddhist community for theexpulsion of the Rohingyas from Myanmar. The RohingyaMuslims have for centuries lived in Rakhine, where theirnumber is estimated at 750,000. But Myanmar has deniedthem citizenship, and treats them as illegal immigrantsfrom Bangladesh. During the long years of military rulein Myanmar, thousands of Rohingyas fled to Bangladeshfearing persecution. Dhaka does not recognise them as itsown either. Indeed, not wanting any “transboundaryspillover” from the present round of violence, Bangladeshhas turned away hundreds of stateless Rohingyas tryingto flee to its shores in boatloads over the weekend. ForIndia, the violence is of particular concern as it is in an areathat is key to its plan to build connectivity with Myanmarand the rest of South-East Asia.

The troubles in Rakhine are a challenge to thegradual process of national reconciliation that PresidentThein Sein has set in motion since 2010. The process hasbeen two-fold: democratic reforms in partnership withAung San Suu Kyi, the leader of Myanmar ’s pro-democracy movement; and, peace-building with the manyethnic insurgencies on the country’s borders with India,

China and Thailand. In fact, the entire process is really oneof delayed nation-building. But it would remainincomplete without the inclusion of the Rohingyas. Thedanger is that sections of the military that are unconvincedabout the need for reforms may use the Rakhine incidentsto advocate a roll-back. Rakhine has been placed underemergency laws already. Beyond the restoration of lawand order, Myanmar’s pro-democracy movement, whichhas a big stake in the reforms, must take the lead inpushing the demand for addressing the issues thatunderlie the problems in Rakhine. Ms Suu Kyi and theNational League for Democracy kept away from theRohingya cause all these years, perhaps because ofconcerns that it might not appeal to the majority Buddhistpopulation. But that is no longer an option for a politicalparty that is now seen as playing an important role inshaping a new Myanmar.

Courtesy-The Hindu

THIS RENAISSANCE IS JUST A FAIRY TALE

For a professed proponent of liberalisation and freetrade, Prime Minister Manmohan Singh’s penchant for atechnology that cannot float without subsidies is telling.Nuclear power’s unfavourable economics are not lost onDr. Singh.

Recently, Westinghouse Electric and Nuclear PowerCorporation of India Limited (NPCIL) signed aMemorandum of Understanding (MoU) to negotiate thesetting up of AP1000 reactors in Gujarat, ending a slumpin interest from the Toshiba subsidiary in India’s nuclearmarket. For Toshiba’s Westinghouse and other nuclearequipment suppliers, the Civil Nuclear Liability Act’sclause on supplier liability was the key hurdle to investingin India. The companies wanted the Indian government toinsulate them from the financial fallouts of any potentialdisaster caused by their technology by spreading thatliability among taxpayers. The recent MoU suggests someprogress in moving towards this goal.

More obstacles remain, though. Nuclear projects areun-bankable. The government may deploy mental healthspecialists to deal with the fears of Kudankulam protestors.But those shrinks are unlikely to be able to allay the fearsof financiers or nuclear equipment suppliers.

According to nuclear energy expert Peter Bradford,“The most implacable enemy of nuclear power in the past30 years has been the risk not to public health but toinvestors’ wallets. No nuclear power project has ever bidsuccessfully in a competitive energy market anywhere inthe world.” Mr. Bradford was member of the U.S. NuclearRegulatory Commission and chair of the New York andMaine electricity regulatory commissions. He teaches acourse on nuclear power at the Vermont Law School.

SECOND THOUGHTS

Unpredictable financial implications associated withconstructing, running, decommissioning plants andhandling nuclear risks are causing a rethink on nuclearenergy worldwide. But these developments seem to slipby India without so much as causing a ripple.




Germany and Switzerland have decided to phaseout nuclear power, despite their substantial dependence onit. Israel abandoned its year-old civilian nuclearprogramme after Fukushima. Belgium revived a pre-Fukushima decision to phase out nuclear power, using theJapanese disaster as a reminder. Italy and Kuwait gave uptheir nuclear debut by abandoning plans for 10 and fourplants respectively. Mexico dropped plans for constructing10 plants. All of Japan’s 54 reactors are now closed, andplans for 14 new reactors killed.

The story of nuclear energy’s unviability is told notjust by the actions of naysayers, but also by theexperiences of those — like Egypt, Saudi Arabia, Jordan,Iran, Turkey, Vietnam and South Africa — pursuingnuclear programmes. All of them want the nuclearoption, but have no idea how they will finance it.

If the U.S. is Dr. Singh’s inspiration, then the so-callednuclear renaissance’s trajectory in that country gives evenmore cause for despair. In 2009, the U.S. declared a nuclearrevival with promises of more than 30 new reactors.Today, most of these projects are doomed. Evencandidates for federal loan guarantees such as the SouthTexas project, and the Calvert Cliffs-3 project in Maryland,have been mothballed.

State governments in the U.S. do not seem to sharethe Federal Government’s enthusiasm for nukes. Bills toreverse moratoria on nuclear plants in Minnesota,Kentucky and Wisconsin failed last year. In Missouri,North Carolina and Iowa, legislators defeated bills tocharge electricity consumers in advance to financereactors.

“At the time of Fukushima, only four countries —China, Russia, India and South Korea — were buildingmore than two reactors. In these four nations, citizens payfor the new reactors the government chooses to buildthrough direct subsidies or energy price hikes,” Bradfordnotes.

Finland was among the few that reiterated itscommitment to nuclear power after the Fukushimadisaster. The 1,600 MW Olkiluoto nuclear plant usesFrench company Areva’s technology. Areva’s modulardesign was expected to make it faster and cheaper to build.But 11 years later, the project is behind schedule and its$4.2 billion budget is up now by 50 per cent. AfterFukushima, Areva admits that the same plant would cost$8 billion. Even Areva’s home project, in Flamanville,France, has suffered a $4 billion cost overrun and a fouryear delay. Indeed, 31 out of 45 reactors that were beingconstructed globally around 2009 were either delayed ordid not have official dates for commissioning, says areport for the German Government by consultant MycleSchneider.

IN INDIA

In Kalpakkam, meanwhile, the Prototype FastBreeder Reactor was slotted to contribute to the grid inMarch 2012. In 2005, Baldev Raj, Director of the IndiraGandhi Centre for Atomic Research, Kalpakkam, boastedthat the 500 MW unit will be completed in 2010, 18 months

before schedule. Till date, there is no sign of thishappening. The Kudankulam plant, which is now 23 yearsold since conception, lost only eight months due toprotestors.

In Jaitapur too, the government has more to worryabout than local protestors. Areva, the technologysupplier, is in trouble. Last year, it announced losses of•1.6 billion, and the sacking of 1,200 workers in Germany.Last June, it decided to suspend production at a Virginiareactor component plant due to declining marketprospects. Its expansion plans in France, the UnitedKingdom, and the U.S. may never materialise. Arevaexpected to sell 50 nuclear reactors this decade. It has notreceived a single order since 2007.

Now, with a socialist president at the helm in France,Areva’s future looks even more uncertain. FrenchPresident François Hollande had promised voters areduction in nuclear dependence from 75 to 50 per cent,and shutdown of an aging reactor in Fessenheim.Whether or not he carries through with these promises,it appears certain that no new plants will be built orplanned during his term. Both conservative-led Germanyand socialist France will make up the shortfall from thenuclear phase-out, by investing in renewables forelectricity and new jobs. In replacing nuclear withrenewables, these nations are declaring that despite itscarbon dividend, nuclear is too risky — financially,politically and environmentally — to pursue.

Courtesy-The Hindu

A law that enablesThe National Advisory Council’s suggestions for

strengthening the draft law on the Rights of Persons WithDisabilities (PWD) is a potentially far-reachingintervention. The step is in sync with the recentnotification of a separate Department for Disabilities in theUnion Ministry of Social Justice and Empowerment, whichwas announced in the President’s 2012 address toParliament. Ever since India ratified the United NationsConvention on the rights of PWDs in 2007, the formulationof a comprehensive law became imperative and these twodevelopments suggest things are finally moving ahead.Currently, there are four separate pieces of legislationpertaining to India’s disabled population. The earliest, the1987 Mental Health Act, predates the discourse onaffirmative action for the disabled in India and, to thatextent, the status of mental illness as a disability remainsambiguous. Then, there is a separate law that deals withthe creation of qualified and trained personnel for theprovision of rehabilitation and education services for thissegment of the population. The third, the PWD Act of 1995,is underpinned by an emphasis on anti-discrimination andguarantees of equal opportunities. Although the latter wasenvisaged as a comprehensive law, it did not address fullythe conditions of persons with other equally severedisabling conditions. Hence the 1999 Act for people withautism, cerebral palsy, mental retardation and multipledisabilities.




It is hardly surprising that these four laws inthemselves have not mitigated the sense of apathy andbureaucratic red tape that hamper the creation of anenabling environment. The mechanisms and proceduresinvolved are riddled with duplication and inconsistencies,as evidenced by the evolving case law over questions ofjurisdiction and interpretation of different laws. More thana billion people around the world experience one oranother form of disability, according to the World HealthOrganisation and World Bank 2011 report. On otherestimates, about 10 per cent of the population indeveloping countries is disabled. By any reckoning, India’snumbers would be much larger than what governmentsare prepared to acknowledge, given the detrimentalinfluences of poverty, illiteracy and poor health ondisability. It follows that stepping up investments in healthand education is one of the important ways of preventingdisabilities and mitigating their impact over the long term.Requiring service providers to furnish a declaration ofconformity with the relevant laws is the other means toensure accountability and effective enforcement. Anumbrella legislation will go a long way in altering thepresent state of affairs.

Courtesy-The Hindu

Constitutionally empoweredAct

Twenty years have passed since the Act on newPanchayati Raj Institutions (PRI) was put in place by theConstitution 73rd Amendment (1992). There were highhopes of empowering rural India’s two long-neglectedsections of society — women and Dalits — throughreservation of seats in elections to panchayat bodies. Thereform was seen, understandably, as a major step in thedirection of Dalit liberation.

Yet after two decades of its functioning, many feelthat nothing much has come of this exercise. The reasonsare not far to seek. From Day One, hard-core caste Hinduopponents of Dalits seemed bent on making the systemnon-functional inasmuch as it benefited Dalits. The 1992constitutional amendment introduced systematicreservation of political positions for Dalits (besideswomen) in institutions of governance at the grass-rootslevel. This was the first time this was happening in thelong history of local bodies in the country — somethinglarge sections of caste Hindus could hardly digest.

In some places in Tamil Nadu, for instance, rich andpowerful caste Hindu groups either forced Dalit aspirantsto keep off the polls, or fielded handpicked farm workersas candidates, or ‘auctioned’ the PRI posts to the highestbidder. In many villages across the country, Dalitcandidates who manage to win are very often deniedcooperation from their caste Hindu masters elected to thepost of vice president or as panchayat members. In severalpanchayats, the clerk remains indifferent anddisrespectful, more so if he happens to be a caste Hindu.There are also instances of corrupt government officialsmisleading panchayat chiefs by taking advantage of their

many weaknesses. In five village panchayats in TamilNadu reserved for Dalits, no election could be held for twofive-year terms owing to strong resistance from casteHindu residents. The failure to conduct elections alwaysleads to tension between the two social groups in thevillages and discrimination of the worst kind against Dalits.

Instances of discrimination against Dalits have beenreported more intensely and frequently in Rajasthan,Uttar Pradesh, Madhya Pradesh, Bihar, West Bengal,Andhra Pradesh, Tamil Nadu, and Karnataka, States inwhich the Dalit population is concentrated. The 20 yearsof work in village- and district-level panchayat institutionsnotwithstanding, there is still a long way to go. When thePRIs in their amended form were launched two decadesago, governments at the Centre and in the States declaredthat the empowerment of Dalits by providing themreserved seats in PRIs would lead to the abolition of thepractice of untouchability in the years to come. But thereality is that much more has to be done to achieve this,say, by delegating more authority and giving more fundsto these institutions so as to create confidence amongpanchayat leaders. The government must revive thepractice of conducting capacity-building classes for Dalitpanchayat chiefs if it is really interested in furtherempowering elected panchayat functionaries andfacilitating the underprivileged to fulfil their commitmentsto the people. What is needed today is to equip Dalits withwhat they need to ensure the achievement of the twinobjectives of economic development and social justice.

‘MAJOR DISCRIMINATIONS PERSIST’Simon Chauchard, in his brilliant article ‘Panchayati

raj and untouchability,’ in Business Line (Opinion Page,June 6, 2012), throws new light on the subject.

Commending the government for going ahead withthe introduction of reservation of seats for ScheduledCastes and Scheduled Tribes in PRIs ignoring the protestsfrom dominant caste groups, he points out that this hasenabled the SCs and the STs to get elected to tens ofthousands of political positions. He says recent studieshave shown that “major discriminations persist.” In hisview, “while members of the SCs on average do notmaterially benefit in a significant way from an experiencewith an SC sarpanch, these reservations lay the ground forwhat may be an equally important kind of social change.”

A recent study by Evidence, a Madurai-basedorganisation working on Dalit issues, has documented aseries of discriminations against panchayat presidentsspread over 10 districts in Tamil Nadu. The study findsthat 94 per cent of the 171 Dalit panchayat presidentsstudied have not been given any training; sevenpanchayat presidents were not allowed to sit on chairs; allthe 171 panchayat chiefs have complained ofdiscrimination by caste Hindus; and 32 of them have givenin writing charges of discrimination. The study also showsthat the majority of panchayat presidents are ignorantabout the need to fight untouchability. This, if anything,tells us that real empowerment of Dalits lies not in merelyproviding constitutional status to PRIs but in




strengthening their capabilities for independent thinkingand for standing up to their oppressors. Only educationand knowledge, and pro-active interventions byemancipatory socio-political movements, can help achievethis. The media can also play a significant agenda-buildingrole in bringing this about.

Courtesy-The Hindu

Lethal ingredients in theRio+20 mocktail

Over 100 world leaders will meet in Rio de Janeirothis week for the U.N. Conference on SustainableDevelopment, popularly referred to as Rio+20 GlobalEarth Summit.

It is being held amidst “‘a world running low ondrinking water and productive land’ and set against thebackdrop of accelerating global warming, climate change,chemical contamination of air, land and water, drinkingwater depletion, extinction of forest and bio-diversityorganisms, extreme weather events, energy insecurity,ocean acidification and environmental degradation.” Thecurrent growth process has devastated natural resourcesand habitats, created environmental refugees and is,today, posing a serious threat to continuation of life onplanet earth itself. The Rio+20 meet is taking place 20 yearsafter the 1992 First Earth Summit, when more than 120heads of state met against the background of imminentecological disaster caused by a development paradigmbased on unlimited growth and industrial expansionpremised on the limitlessness of natural resources.

“Sustainable development” — growth which doesnot endanger the rights of future generations to accessand enjoyment of the same resources — came to beaccepted as the test for deciding the path of all growth anddevelopment processes. Protecting environmentalresources, empowering marginalised communities and acentral role for public institutions remained the centralpillars of the Rio 1992 approach.

The failing of the “sustainable development” modelwas that it created a false understanding that“sustainability” was possible without having to counterthe logic or model of industrial society with its paradigmof accumulation of capital. The context for the U.N.Conference on Sustainable Development Rio+20 meet isoutlined in the UNEP Document “Towards a GreenEconomy: Pathways to Sustainable Development andPoverty Eradication.” The document details the“widespread disillusionment with our prevailingeconomic paradigm, a sense of fatigue emanating fromthe many concurrent crises and market failuresexperienced during the very first decade of the newmillennium, including especially the financial andeconomic crisis of 2008.”

ECONOMIC VALUE ON NATURE

The Rio+20 document seeks to create an architectureof environmental protection by placing an economic value

on nature and natural processes. Nature would be treatedas “products” to be traded in “commodities and futures”markets, open for speculation in the “derivatives”markets. Similar to “carbon credit trading,” those whodamage nature in one region could continueenvironmentally damaging processes by growing forestsin some other part of the world to earn “natural resource”or “bio-diversity” credit.

What the new “Green Economy” is putting forwardis the notion that it is because nature and nature’sresources are not “valued” that people abuse nature. Theheart of the new UNEP “green economy” paradigm is acorporate-led, evolved and inclusive vision of the futureof the planet. This definitional paradigm is, however,destructive, dangerous and damaging.

The Green Economy proposes that a financial valuebe placed on “nature” and, what the paper calls “Nature’sServices” like clean air, water, trees, fruits and so on. Insimple words, what the Green Economy proponentspropose is that organisms like “bees, butterflies and birds”act as nature’s service providers providing “services” likepollination, fertilization, seed germination which today,they say, is done free. If these services are “priced” theycan be made available for sale in the “biodiversity”market!

Thus, once ecosystem “services” and biodiversity“goods” are priced and can be sold and purchased like anyother commodity, new markets in ecosystems andbiodiversity will be created.

Arising from this framework are a number of newspeculative, derivative based market instruments — verythoughtfully and evocatively packaged as “ecosystemservices” and “biodiversity banking.” Thus forests andrivers become “natural capital” and natural processes suchas pollination by bees become “ecosystem services”provided by the corporate entity, “Earth.”

“Benefit transfers,” “biodiversity banks” andspeculator trading in financial instruments derived fromthe artificially assigned value of ecosystems set thecontext for “forest carbon credit” markets and“biodiversity credit markets.” The outlines of this processis etched by one of the architects of the Green Economy,a former banker of Deutche Bank, Pavan Sukhdev in hisreport, “The Economic of Ecosystems and Biodiversity.”

IGNORING THE CRISIS FACTORS

The voluminous 600+ pages of the Green Economydocument pays pious homilies to the sanctity of theenvironment and the need for eco-restoration. But noteven once does the report acknowledge that today’s criseshave been caused by dangerously polluting industries, theextractive mining sector, chemical industries or industrialagriculture.

The fixation with corporate-techno-managerialsolutions presented by the UNEP report stands outagainst the poor respect and recognition given totraditional knowledge systems for governing thecommons and customary practices of managingwaterways, forests, bio-mass and seas.




Some positive proposals include “sustainable publicprocurement policies, ecological tax reform, publicinvestments in sustainable infrastructure — including inpublic transport, renewable energy or retrofitting ofexisting infrastructure and buildings for improved energy-efficiency.”

The core issue of a true green economy, however, isthe fundamental principle that all natural resources belongto the global commons and are too critical for life to becommoditised or financialised, to be determined by thefickle world of markets.

Contrary to the UNEP view that “it is a myth thatthere is a dilemma between economic progress andenvironmental sustainability,” the truth is — as a set ofconcerned world citizens put it — that “a sustainable,commons-based model cannot, in good conscience,further the myth of limitless, extractive development. Thatwould be to promote a false expectation that will lead tothe collapse of our societies and planet.”

The corporate centredness of UNEP is exposed bythe calculated manner in which it ignores examples ofalternate attempts to evolve a more holistic, integrated,equitable, inclusive paradigm. Environmentally ravagedcountries in Latin America like Bolivia and Ecuador havecome up with exciting new paradigms for development.Bolivia’s “Mother Earth” policy recognises the “right to lifeand to exist; the right to continue vital cycles andprocesses free from human alteration; the right to purewater and clean air; the right to balance; the right not tobe polluted; and the right to not have cellular structuremodified or genetically altered.” It also enshrines the rightof nature “to not be affected by mega-infrastructure anddevelopment projects that affect the balance of ecosystemsand the local inhabitant communities.”

In Ecuador there has been a vigorous movement fora “Universal Declaration of the Rights of Nature.” NotedEcuadorian economist Alberto Acosta put it eloquently,“Nature has much to say and it is high time we, itschildren, stopped playing deaf.”

The Second Earth Summit will come and go the waymany other summits have gone, with little, if any,difference to Mother Earth’s predicament. TheGovernment of India too, did not deem it necessary toconsult its citizens to ask them how, together as a nation,we should face the pressing environmental crises of ourtimes. But considering the pro-corporate dispensation ofthe UPA-II, it is not surprising at all. For India’s elite, aselsewhere too, have forgotten Mahatma Gandhi’s solemnwarning: “Earth provides enough to satisfy every man’sneed but not every man’s greed.”

Courtesy-The Hindu

Expanding strategicpartnership

The June 13 U.S.-India Strategic Dialogue left somecommentators in both countries complaining that therewas less to it than met the eye. We disagree: it seems tous to have finally — almost by stealth — begun shifting

the U.S.-India conversation toward something thatdeserves the name “strategic,” centred on policyconsultations on the world beyond South Asia.

HUGE AGENDA

Both governments emphasised the breadth of thebinational dialogue. In the week before the ministerialmeeting, the United States government hosted six otherbilateral events on health, women’s issues, education,science and technology cooperation, cyber-security, andcounter-terrorism. The full list (23 dialogues!) includessome important items, better funded than in the past —but tends to produce glazed eyeballs even amonghardened policy wonks.

The stage was set for this year ’s discussions,however, by two actions that had nothing to do with theactual meetings: the U.S. waiver of potential sanctions onIndia’s oil trade with Iran, and the memorandum betweenNuclear Power Corporation of India, Ltd. (NPCIL) andWestinghouse committing both sides to work towardsearly works agreements on things like preliminarylicensing and site development, aiming at an eventualnuclear power plant in Gujarat. Neither of these actionseliminates a problem. Secretary Clinton’s Iran waiverauthority can only be exercised for 180 days at a time.India’s nuclear liability regime remains a serious problemfor U.S. companies wanting to build power plants in India,and it is not yet clear that their concerns have been met.But both provide a sense of progress and temporary relieffrom a serious irritant. Both governments showed theywere serious about their relationship.

STRATEGIC START

The strategic significance of this year’s encounter lieselsewhere — in the increasingly serious consultation thetwo governments have undertaken on issues beyondIndia’s immediate neighbourhood. The first two topics forsuch exchanges were Indian Ocean security, probably themost important foundation stone for India-U.S. securityties, and East Asia, which the two sides have beendiscussing with considerable sophistication for the pasttwo years. The joint statement referred to an “open,balanced, and inclusive architecture” for Asia, andexpressed U.S. and Indian support for regional forumsthat include India, China, Southeast Asia, and the UnitedStates. Translation: neither side contemplates a quasi-alliance to “contain” Beijing, but both will remain engagedtogether throughout the Asia Pacific region.

These were low-hanging fruit, where the overlapbetween U.S. and Indian strategic interests was apparentto both sides. In the past year, these have beensupplemented by discussions on Afghanistan, West Asia,and Central Asia. In Afghanistan, the U.S. has longwelcomed India’s economic role, but now also looks on acarefully calibrated Indian security role as a stabilisingfactor. Both countries recognise that as the U.S. gets closerto its planned withdrawal of combat troops, it will beessential to deal both with Pakistan’s relationships insideAfghanistan and with its extreme anxiety about Indian




intentions there. This will complicate the way the U.S. andIndia deal with each other on Afghan affairs. But havingdefined important common goals, they should be able tosurface any disagreements, hopefully before they becomeimportant obstacles.

STILL MISSING

These are serious steps toward a relationship thatdeserves the name “strategic.” They do not, at least at thisstage, represent the development of joint policies by Indiaand the U.S., but they are candidates for what one mightcall parallel policies, where India and the United Statesmay be able to proceed independently in ways thatreinforce one another. This is a good way to try outselective partnership, the only kind of partnershiprealistically open to India and the U.S.

If this partnership is to grow and flower, the strategicdiscussions need to extend to subjects on which the twocountries have more serious disagreements. The topcandidate is Iran, where they need to embark on a longer-range discussion about how different contingencies in Iranwould affect the region and the world. This could beuncomfortable, but candid discussion is essential for twocountries whose vital interests are so powerfully involved.

A more difficult candidate for bilateral candour isPakistan, where India and the U.S. have some interests incommon and others that differ. Pakistan’s high suspicionsof both will be aggravated by any suggestion that theyare colluding on Pakistan policy. Finding the right formulafor a systematic discussion will require unusual delicacy.

ECONOMIC RELATIONSHIP

The economic conversation needs a different kind ofhelp. Bilateral trade in goods and services has now topped$100 million, and a substantial economic relationship hashelped to keep both governments engaged even at timeswhen speed bumps threatened the relationship. But a longlist of issues on both countries’ economic agendas neverseems to go away, as Minister Krishna acknowledged ina speech to a business group the day before the dialogue.For the U.S., these include India’s restrictions on foreigninvestment, intellectual property and, more recently,India’s apparent move away from its international taxtreaties. For India, the hardy perennials involve primarilyvisa issues. The two governments need to bite the bulletand settle some of these issues.

Finally, both governments need to find ways ofkeeping their leaders directly involved. India and the U.S.both consider themselves unique countries, and expectexceptional treatment from their friends. This makes thempeculiarly vulnerable to disappointment when eithergovernment is preoccupied by an election, anotherinternational crisis, or a domestic political challenge, as hashappened to both governments with distressingfrequency in the past year or so.

The standard technique for shoring up high levelattention is using “action-forcing events” like visits andmeetings to force decisions on stalled issues and focusleaders’ attention on a relationship that is important but

not in crisis. This is how the U.S. has made many of itsimportant decisions on U.S.-India relations in the pastcouple of years. It works, but it leaves champions of therelationship frustrated much of the time. The good news,however, is that despite our leaders’ distraction and thefrustration of their advisers, strategic convergence isgradually being worked into both countries’ policies.

Courtesy-The Hindu

Rebuilding the Afghan dreamIndia’s initiative to host the Delhi Investment

Summit on Afghanistan tomorrow is a welcome stepforward in enabling the country to achieve long-termeconomic self-reliance, in line with the key objectives ofrecent international conferences. The one-day summitintends to showcase Afghanistan’s economic potential andattract foreign investment, while exploring possibilities ofcross-country investment partnerships and collaborativeventures from within the region and beyond as a regionaland international confidence-building measure.

The daylong discussions should highlight that thewar in Afghanistan is not being waged on the battlefieldalone: if our country, Afghanistan, is to emerge as a strongand independent democracy, the campaign forAfghanistan’s economy must stand on equal footing withthe counterinsurgency campaign. In fact, they are one andthe same.

BUILDING INFRASTRUCTURE

We can’t build schools during firefights; but withoutschools, the firefights will continue. Yet a disproportionateamount of international resources — about 80 per cent ofthe aid provided by each contributing country — has beendevoted to military operations, at the cost of job creationand long-term economic development. But it is more jobs— not just more bullets — that will persuade militias to laydown their weapons.

Fortunately, Afghanistan is endowed with naturalresources — copper, iron ore, lithium — and can financeits own development, though only if the country receivesthe necessary investment and technical assistance from theinternational community.

Although Afghanistan has $3 trillion worth ofmineral wealth, we lack the transportation network toship these resources to markets.

Building the necessary infrastructure — railroads,highways, processing plants — will not only facilitate themining industry but also create jobs. A sustainablelivelihood, no matter how small, will immediately weakenthe insurgency — and its base, a destitute populace —while a modern transportation network that linksAfghanistan with its neighbours will spur long-termgrowth.

OPIUM CULTIVATION

Production of illegal drugs in Afghanistan is anotherkey problem that can be addressed by economicdevelopment. We know from international experience that




global demand for narcotics finds ready supply in nationswhere governance is weak, instability high and povertyrampant.

But if Afghanistan’s agriculture sector wererevitalised, fewer farmers would rely on opium harvesting— a dangerous enterprise to begin with — to make aliving. Instead, they could grow wheat, pomegranate,saffron and high-value crops. As agribusiness becomesprofitable and sustainable, it would drive down the costof food for the poor and raise rural incomes, which shouldin turn further weaken the insurgency in crucial provinceslike Helmand and Kandahar.

ENERGY NEEDS

Energy is another factor pivotal to earning the trustof Afghans. Without a comprehensive electricity grid,Afghanistan can hardly achieve a productive economy.

The availability of electricity can open a very largemarket for electronic goods, drastically expandingconsumer consumption. Just as importantly, the Afghanpeople could finally reap the benefits of a globalised worldthrough use of the internet — only three per cent of thepopulation has access to it.

Further, corruption can be stemmed when the abuseof power is no longer necessary as a means of economicuplift. Corruption is a symptom, not a cause, of weakgovernance, which can be strengthened only when Afghancivil servants are thoroughly trained and paid competitivesalaries on a sustainable basis. Right now, a driver at aninternational non-governmental organisation (NGO) or aUnited Nations agency earns at least five times more thana civil servant working for the Afghan government.

Nor can this situation be improved unless resourcesare channelled from aid organisations — too many tocount, really — directly toward restructuring the Afghangovernment into an efficient apparatus of resourceallocation. Former U.S. Ambassador to the U.N. John R.Bolton once argued in the Los Angeles Times that “religiousfanatics, and their grievances, do not arise from povertyor deprivation.” To the contrary, many Taliban fightersjoin the insurgency simply to earn a living. A significantnumber of these “rented” Taliban can be made to turnswords into ploughshares if they have alternativeopportunities.

Regional security is closely tied to the nascentAfghan economy. Without stability, the Taliban willcontinue to enjoy widespread support — and a base fromwhich to attack regional interests.

But if the international community relies on militarymight alone, how will the outcome in Afghanistan differfrom that of the Americans in Vietnam, the French inAlgeria or the Soviets in Afghanistan?

Militaries alone simply cannot defeat insurgencies. Courtesy-The Hindu

A crisis of leadershipAt the core of the financial crisis in Europe there is a

leadership crisis. Over the weekend, policymakers and

pundits, businessmen and bankers, investors and the laypublic waited to see what Greek voters would say aboutremaining in the eurozone. The very fact that crisismanagement has to take note of referendums and publicopinion where populist rhetoric and base nationalsentiment rather than cool reasoning would shapeperceptions and verdicts makes the world nervous aboutEurope’s leadership vacuum.

Europe is clearly adrift in this gathering storm. At ameeting of risk analysts in London this week, analystsfrom the United States were shocked to encounter whatone called a “dangerous mix of complacency and make-believe”. The decision of eurozone finance ministers tooffer a 100 billion euros bailout package to Spain is viewedas an act of both desperation and bravado. While theGreeks wonder why Spain gets so much money so easily,French and Italian leaders are expressing solidarity againstan assertive Germany, and a miffed and hurt Germanchancellor says her nation cannot bear too much more ofthe burden of the eurozone’s failure.

It all began in Greece. Few in Europe imagined theincompetence and dishonesty of Greek economicmanagers would bring the entire European project intoquestion. A mixture of German hubris and southernEuropean intransigence has snowballed into a crisis ofhistorical proportions. Few now know what to do. Asenior European leader, presently heading an internationalinstitution, told this writer that what was most frighteningwas the absence of a shared “narrative” in Europe aboutthe crisis it finds itself in. There is no shared story aboutwhy Europe is where it is. Consequently, there is nopossibility of a shared vision of not just how to move, butwhich direction to go in.

Those who still believe in the European project areviewed either as dreamers or plain crazy. A latter dayAdenauer or De Gaulle may still rescue the Union, buttoday’s leaders are no match and despite her wisdom andher patience, Chancellor Angela Merkel does not have apan-European following. What gives?

Continent-wide nations require continent-wideleaders whenever they are in crisis. The “idea of Europe”,much like the “idea of India” was the construction of suchcontinental leaders. So far, whenever India has faced anexistential crisis it has had the good fortune of having aleadership in place that was able to take a pan-Indian,national view and preserve the unity of the whole. India’semotional unity also helped in facilitating a pan-Indianresponse to different types of crises — social, economic ormilitary in origin.

For today’s India, the European situation is an earlywarning. When “national” policy becomes hostage to“regional” interests, the “federal” government becomesparalysed and would be unable to act in the largernational interest. Something like this is happening inEurope. The interests of individual member states havebecome impediments to a continent-wide response.

In other words, Europe’s crisis of confidence hasoccurred before the “idea of Europe” has been able tostrike adequately deep emotional roots. During the Cold




War, there was emotional cement holding the idea of a“European Union” together — namely the fear of theSoviet Union. As the Soviet threat weakened, a new, albeiteconomic, threat emerged to keep Europe united —namely the challenge posed by a resurgent Japan. It isoften forgotten that the EU “single market” project wasessentially a response to the economic threat from Japanin the 1980s.

One would imagine that a similar threat from Chinawould keep Europe together. However, as in the Asianfinancial crisis so too in the European debt crisis China hasarrived as the benefactor, not the threat. China holds upthe euro and offers financial help to Greece and whoeverelse wants it. At a gathering of senior business leaders ina European capital last week, this writer heard CEO afterCEO refer to China in benign terms, as being still an“opportunity” rather than a “threat”. Most still see theproblem in financial and fiscal terms. Few are as yet willingto confront the core — namely, Europe’s loss of globalcompetitiveness. So then, is the European Union history?Not yet. Despite its inability to act, in time, competentlyand with authority, the EU will continue to seek a solutionto its current economic woes within the framework of aunion. However, it has to get its sequencing right. Lastweek’s initiative of seeking a banking union amounts toplacing the cart before the horse. Without a fiscal unionand an EU-wide bailout strategy, just a banking union willhave no takers.

The challenge for the EU is to find its Ambedkar. Itneeds a constitution that will enable a continental politicalleadership to offer continent-wide solutions to a continent-wide problem. Europe needs emotional unity as much asit needs a new strategy for generating employment in aglobally competitive way. If this sounds daunting andimpossible, then the EU should return to what many inBritain prefer — a normal single market, like the SouthAsian Free Trade Area (SAFTA)! A single market withmultiple currencies and sovereign member nations.Britain’s Eurosceptics in fact advocate this course. That theEU should give up the idea of a fiscal and monetary unionand remain just a single market. But that would also implythe decline of Europe as a geopolitical power.

However, the Euro-enthusiasts, or whoever is left,still believe that a Greek exit is not going to be such amajor problem, and that the crisis can be contained ifSpain and Italy are not allowed to succumb. Europe’sgeopolitical enthusiasts will not as yet surrender to thelogic of its geo-economic decline. Hence, a Plan B, thatincludes a Greek exit and a move towards a fiscal unionthat is limited to a smaller core membership is viewed asa necessary and credible option. The problem, however,is that Europe would still desperately need a leadershipthat would carry conviction and secure support for sucha Plan B.

Courtesy-The Indian Express

HOME DISADVANTAGE

Last week, the term “growth shock” was used todescribe the unexpectedly low GDP growth of 5.3 per cent

for the last quarter (January-March) of 2012. Theconsensus estimate by most analysts was that the lastquarter would deliver more than 6 per cent growth, at thevery least. As it turned out, the GDP growth came closerto 5 per cent, a number many economists regard as theupgraded Hindu rate of growth. Just to refresh memory,the original Hindu rate of growth, as described by theeconomist Raj Krishna, was about 3-3.5 per cent, whichprevailed between 1950 and 1980. So getting close to theneo Hindu rate of growth (5 per cent), even if for aquarter, has some shock value. It is also a grim reminderthat the “rising India” story cannot be taken for grantedagainst the backdrop of global economic weakness.

Of course, the saving grace is we still managed to geta GDP growth of 6.5 per cent for the entire fiscal of 2011-12, even if the last quarter was the worst we had seen inmany years. It was also interesting that Finance MinisterPranab Mukherjee chose to mention two specific reasonsthat might have contributed to the dramatic fall in the GDPgrowth of the last quarter. One, the RBI had kept interestrates too high for too long. Industry, especially smallbusinesses, has been crying itself hoarse over the high costof capital for some time. Fresh private investment virtuallycame to a halt as the cost of capital began to make thecritical difference in the decision on making newinvestments.

The second reason cited by Mukherjee for therapidly slowing growth is the lack of mining clearances.This is borne out by fresh data suggesting a 0.9 per centnegative growth in mining output in 2011-12. The onlyother time when mining output showed negative growthwas in 1971, when it contracted by 6.9 per cent. How canyou get reasonably high growth when mining output isdeclining? For coal, iron ore, aluminium, bauxite andcopper are key industrial inputs.

To be sure, this problem has occupied the mindspaceof policymakers at the highest level for sometime now.Prime Minister Manmohan Singh suggested a year agothat if coal mining output grew at a meagre 1.5 per centthen you could not get a GDP growth of 8 per cent plus.Unfortunately, he diagnosed the problem right but did notprovide a lasting cure. Even now, several coal-miningclearances remain stalled as the new principal secretary tothe prime minister Pulok Chatterji tries hard to get theenvironment ministry to clear them. Given the vitiatedpolitical climate, even Chatterji’s efforts are comingsomewhat unstuck.

Lack of decision-making in the bureaucracy, whichbegan in the wake of various CAG-induced controversies,is something that is getting worse by the day. Now wehave a CBI inquiry on coal allocations made directly underthe PMO’s administration. This, indeed, must be seen asthe last straw on the camel’s back. If even the primeminister is perceived to be under scrutiny, the decision-making process is sure to move from the second gear tothe first, before stalling completely.

To be fair, the decline in mining output, for the firsttime since 1971, is also partly due to the large-scale closureof illegal mines in Karnataka and Goa. Goa Chief Minister




Manohar Parrikar recently told The Indian Express that hewas, in fact, planning to further reduce mining output inorder to reverse environmental damage. In Karnatakatoo, no alternative mechanism has been put in place tolegally revive mining output. These factors, until they getresolved through a judicial/ democratic process, will havea negative impact on national output.

These domestic governance issues have combinedwith fresh uncertainties in the eurozone to create a doublewhammy for the economy. The overall negativesentiment caused by both domestic and global factors ismaking businesses postpone their investments. This isbecoming a sort of self-fulfilling prophecy. For instance, innormal times, businesses start planning fresh investmentsonce they hit 90 per cent of their existing productioncapacity. Based on normal demand projections, they liketo have fresh production facility in place before theirexisting capacity reaches 100 per cent. This is also rationalbehaviour. They do this based on normal, expecteddemand growth trends.

But in times such as these, businesses tend to waiteven after hitting 100 per cent production capacity becausethey are not sure about the overall economic climate andfuture demand growth. Consequently, they hold backfresh investments. So the lack of adequate new investmentactually ends up further slowing demand growth. This ishow the self-fulfilling prophecy works. And India’s GDPgrowth is roughly 50 per cent consumption-driven and 50per cent investment-driven. It is now feared that theinvestment-led GDP growth is seriously at risk.

It was precisely this domestic investment story thatsaved India after the worst global recession in six decadesshook every economy in 2008-09. India had a GDP growthof 6.8 per cent in 2008-09 after absorbing humongousfinancial and economic shocks. So the question then to askis why has the Indian economy done worse in 2011-12,with just 6.5 per cent GDP growth, than in 2008-09, whenthe roof seemed to be caving in on us? The answer to thisquestion is simple. The domestic economy held up andshowed resilience in 2008-09. A recent RBI study says whilereal-estate prices collapsed in the Western world and evendeclined in Indian metros, the prices in Patna stayed notonly stable but increased in the year after the 2008 globalmeltdown. No wonder during 2007-09, Bihar showed anaverage GDP growth rate of close to 10 per cent. Otherrelatively laggard states such as Orissa, Chhattisgarh,Assam, Madhya Pradesh and Uttarakhand grew at nearly7 per cent in the same period. This was the resilienceshown by the underdog state economies after the globaleconomic crisis of 2008. Are we now losing thatadvantage?

While it is true that complex governance issues,loosely described as policy paralysis, have erodedconfidence in the domestic economy, one cannotunderestimate the role of the massive credit bubblecreated by most economies after the 2008 meltdown. Thecredit bubble is gradually unwinding everywhere,including in emerging markets like China, therebycausing the GDPs of most economies to decelerate by up

to 2 percentage points. This is causing a lot of pain to over-leveraged businesses whose balance sheets are soaked indebt. This trend is uniform across all emerging markets.Only India has worsened its situation a lot more by itsdomestic mismanagement of the economy. This is nowreflecting in the Indian currency falling much more againstthe dollar than most emerging market currencies over thepast year or so. From here on we can only hope thatthings improve so that we can leave the neo Hindu rateof growth behind. Courtesy-The Indian Express

SCO vs NATOFor India’s foreign policy radicals, the Shanghai

Cooperation Organisation, whose leaders are meeting thisweek in Beijing, is about an undying dream from the past— building an eastern bloc against the West.

But the SCO, as an eastern collective, is unlikely tomeasure up to the security challenges that confront itamidst the Western military retreat from Afghanistan.

Last month in Chicago, the US and its NATO alliesannounced an “irreversible” plan to end Western combatrole in Afghanistan by 2013 and withdraw all but a fewthousand troops from there by the end of 2014.

The US and NATO have indeed offered financialsupport to the maintenance of a large Afghan armed forceand continue to assist its economic development. No one,though, is betting all those promises will be kept.

With America packing its bags in Afghanistan,shouldn’t the SCO move in? Most players in the regionwith interest and influence in Afghanistan are all in theSCO.

Russia’s involvement in Afghanistan is more than acentury old. China, as the world’s second largest economyand a giant neighbour, is central to Afghanistan’s growthand

future prosperity.Although Afghanistan is not a member of the SCO,

it has been a special invitee to the recent leadershipsummits and might be inducted as an “observer” thistime.

Two SCO members — Uzbekistan and Tajikistan —share long land borders with Afghanistan. Turkmenistan,the third Central Asian nation on the northern frontiersof Afghanistan is not a member of the SCO. China ismaking amends by inviting it as a special guest for thisweek’s summit in Beijing.

Iran, Pakistan and India — three other neighbours ofAfghanistan are all observers at the SCO. Turkey, therising power in the Middle East, has long taken an interestin Afghanistan and wants to become a “dialogue partner”.

DIVIDED ON KABUL

For its part, NATO has signalled a measure ofcoherence in Chicago. On Afghanistan, the SCO isanything but united. Even a cursory look reveals themultiple fault lines.

Pakistan, which has the greatest influence inAfghanistan, is locked in a confrontation with the US and




has blocked Western supply routes into the war zone. Arethe SCO members rallying behind Islamabad? Hardly.

Russia and the Central Asian states have undercutPakistan’s leverage with the West by helping the US bydeveloping the alternative Northern Distribution Networkto move supplies for the international forces inAfghanistan. The Central Asian states have just signed a“reverse transit” agreement with Washington that wouldlet the US move out mountains of war equipmentaccumulated over the last decade.

The tensions between Kabul and Rawalpindi are ofcourse central to the current crisis in Afghanistan. ThePakistan Army’s support to the Taliban and the HaqqaniNetwork undermines the stability of Afghanistan; andKabul is desperately looking for any international support— whether from the West or the East — to foilRawalpindi’s plots against it.

CHINA PACT

The most interesting outcome from Beijing thisweek may not be the collective SCO rhetoric on regionalsecurity, but the specific national action that China mightannounce on Afghanistan.

China appears ready to end its passive approach toAfghanistan. With the West in retreat and Pakistan inchaos, China is veering towards a more direct role inAfghanistan.

Reports from Kabul say the Afghan president,Hamid Karzai, and the Chinese leader, Hu Jintao, will meeton the margins of the SCO summit and issue a declarationon establishing a “Strategic and Cooperative Partnership”.

Official sources in Kabul say the declaration will bethe first step towards the drafting of a strategicpartnership agreement of the kind that Karzai has signedwith many countries including India, the US, Britain,France, Germany and Australia.

Those in New Delhi who see the world in black andwhite or divide it between West and East might findAfghanistan confusing. Self-preservation at any cost is amajor rule in the Great Game.

If the US is unable to moderate Rawalpindi, why nottry Pakistan’s “all-weather friend”, China? After all, Chinawill still be around after the Americans are gone.

That there are no permanent friends is the other rule.Looking away from Pakistan, America wants India to playa bigger role in Afghanistan. Even as he tightens theAmerican embrace, Karzai is extending a hand to Beijing.The one missing link is an India-China bilateral dialogueon Afghanistan.


Presidential PollWhile RSS chief Mohan Bhagwat recently backed

A.P.J. Abdul Kalam’s candidature for the post of president,the Sangh Parivar’s journals have given little importanceto the presidential elections while the BJP-led NDAremains divided on its next course of action. The RSSweekly Panchjanya used the presidential elections as a

backdrop to attack the Congress president. The Organisergave prominence to an article criticising Sonia Gandhi, the“Congress high command”. Incidentally, both piecesmade personal attacks against Gandhi.

While the Organiser, in an article titled ‘UPA andunmitigated disaster for India: undermining India, Soniastyle’, attacked Sonia Gandhi, a Panchjanya editorial —‘Rahul Gandhi ke liye bichhayi Sonia ne bisat’ (Sonia setsthe chess board for Rahul Gandhi) — contended thatKalam’s role in spiking her alleged “prime ministerialambitions” after the 2004 Lok Sabha elections still“rankles” Gandhi, which is why she wants a presidentwho will “set aside all democratic norms” to facilitate herson Rahul Gandhi’s “coronation” after a fractured verdictin 2014.

While the Panchjanya editorial was written when theUPA meeting to decide upon Pranab Mukherjee’scandidature was still happening, the editorial highlightsthe crucial role of the next president in the formation ofnext government after the 2014 Lok Sabha elections.

KASHMIR AND QUOTAS

Even in the midst of the tussle over the presidentialelection, the Sangh Parivar weeklies have written aboutthe minority sub-quota and the interlocutor’s report onJammu and Kashmir, indicating their fierce opposition toboth. The Panchjanya has a front page article regardingthe Supreme Court’s refusal to stay the Andhra highcourt’s verdict striking down the 4.5 per cent minority sub-quota. Calling the SC’s refusal a “slap” on the face of thegovernment, the article reports that VHP leader PraveenTogadia demanded that the government tender anapology for instituting a sub-quota in the name of religion.The Organiser also prominently displayed Togadia’sdemand in its latest issue. The Organiser also reported RSSchief Mohan Bhagwat’s assertion that the interlocutor’sreport on J&K “spoke the language of the anti-nationalelements active in Kashmir for decades”.

ON THE RADAR

Barely three months into his tenure as the youngestchief minister of the politically crucial state of UttarPradesh, Samajwadi Party (SP) chief Mulayam SinghYadav’s son Akhilesh Yadav appears to have attracted theattention of the Sangh Parivar. A special report in theOrganiser has faulted Akhilesh for his alleged “overdriveon (the) communal agenda”. The article cites two ofAkhilesh’s moves — hosting a dinner for Imam-e-HaramSheikh Khalid Bin Ali al Ghamdi of the Ka’aba and hisdecision to seek a fresh report on the accused in theLucknow and Faizabad court blasts in 2007 — as majordevelopments that have reinforced the Sangh Parivar’sassessment of his supposedly communal agenda.


A question of trustTwo regulators read the riot act on Thursday, pulling

up companies that may have strayed from norms. The




Competition Commission of India slapped fines worth Rs6,300 crore, the highest ever, on 10 cement companies, andthe Securities and Exchange Board of India (Sebi) haswarned mutual funds that have underperformed for overthree years at a stretch. The cement companies areexpected to petition the appellate tribunal while no realsteps have been taken against mutual funds, so nothingdramatic is about to happen right away. But the messageis clear: when required, oversight agencies will speak upin the interest of the economy and the investors who driveit. Sebi has threatened to go beyond fund managers andchief executives and question even the directors ortrustees of underperforming asset managementcompanies.

Pending appeal, the cement companies standaccused of cartelising to underuse installed capacity, reduceproduction and thus make a killing in times of highdemand. It is a serious charge because there areimplications for growth and development and the apexindustry body, the Cement Manufacturers’ Association,has been pulled up for serving as a platform for the cartelinstead of blowing the whistle on it. The case ofunderperforming funds is slightly different, since investorshave competing options to turn to. However, Sebi hasnoted that 18 asset management companies have schemesroutinely performing below their benchmarks andinvesting in a manner that violates concentration normsand amounts to conflict of interest. The regulator has alsosought the government’s permission to use call recorddata as evidence in insider trading cases and is working onguidelines for IPOs to protect investors. Perhaps this isinspired by the insider trading case that has just beenclosed in New York, in which Rajat Gupta was nailed byphone records.

The Harshad Mehta and Ketan Parekh scams hadtaught the government that liberalisation would losepublic confidence in the absence of strong regulation andoversight. Now, we are perhaps entering the second phaseof regulation, with agencies trying to build up a regime ofbest practices, and doing so transparently. Antitrust andcompetition law has been a crucial enabling feature ofmarkets in the US and the EU. Targets of action haveincluded major corporations like Microsoft, AT&T,Standard Oil, France Telecom and Deutsche Post. Now,Indian agencies are not hesitating to draw attention towhat is wrong in prime sectors of the economy. It is ahealthy move that will increase investor confidence.


A new beginningFor a government with its back to the wall and

pretty much nowhere to go, it’s time to simply get on withit. Now that the Parliament’s budget session is over, thepresidential candidate has been announced and the nextround of state elections is still some way off, thegovernment is beginning to show some signs of shakingoff the policy slumber. On the issue of allowing FDI inmultibrand retail, Commerce and Industry Minister

Anand Sharma has stepped up efforts to build a broad-based consensus by writing to the chief ministers of threenon-Congress states — Uttar Pradesh, Orissa and Punjab.

The Centre is trying to emphasise the point thatwhile individual states are well within their rights to notimplement the policy in their respective jurisdictions, therights of states that find merit in this policy must berespected. While the cabinet had last year cleared theproposal to allow 51 per cent FDI in multibrand retail, stiffresistance from the Trinamool Congress put paid to thegovernment’s plans. While a broad-based consensus lookstough without taking on board key allies, the appeal fora healthy bipartisan consensus on multibrand retail makesabsolute sense as unwilling states have the option ofstaying out and watching from the sidelines how thosechoosing to implement it are faring. The commerceminister has already wrapped up consultations withstakeholders, including farmers’ associations, traders,consumer organisations, industry leaders and economists.Broadly, the battlelines have been drawn, with the kiranastores on one side and farmers and consumers on theother — the latter two seen as the biggest gainers fromthe move. Also, states such as West Bengal that areunwilling to play ball will face off against a long list ofsupporters, including opposition-ruled Gujarat and Punjabthat have indicated tacit or even overt support to theproposal. With multi-brand retail majors waiting in thewings for the sector to open up, the logical thing to do isto allow willing states to go ahead.

On balance, the benefits of further opening the retailmarket far outweigh the costs, perceived or otherwise.And a positive decision on FDI in retail could give theCentre the stomach to push through other key pendingreforms and be the trigger for the image makeover thegovernment so desperately needs.


Reimagine the examThis year’s round of college admissions have seen

cut-offs in Delhi University soaring to an incredible 99 percent for several courses. This is not surprising, given theastronomical marks that many students have scored intheir class 12 boards. But the clamour around results andadmissions throws into sharp relief the structure andcontent of an examination system that awards such marks.

The Central Board of Secondary Education (CBSE)recently announced proposals to change the format of thefinal board examinations. It wants to transform thestructure of question papers and the nature of questions.News reports mention that this is in response to theMinistry of Human Resource Development’s unhappinesswith the current system, which only encourages rotelearning. But “examination reform” has been the themesong of many official policy documents. It is thereforenecessary to view the CBSE’s move in the larger contextof testing and evaluation of school students.

Examination has become an inescapable part of oureducational life. Its place and legitimacy in education has




never been questioned. Public examinations, such as theone conducted at the end of the 12th grade, draw a mixof praise and criticism. It is argued that they provideobjective, fair, public criteria for selection. But they havealso been accused of overloading students withmemorising information, depersonalising schooling,discouraging creativity and supporting credentialism. Thefollowing observation aptly characterises the currentsystem of public examinations: “The examinations todaydictate the curriculum instead of following it, prevent anyexperimentation, hamper the proper treatment of subjectsand sound methods of teaching, foster a dull uniformityrather than originality, encourage the average pupil toconcentrate too rigidly on too narrow a field, thus helphim to develop wrong values in education. Pupils assesseducation in terms of success in examinations.” Strangethat this was stated by the Mudaliar Commission in 1952.

Reforms in the past have focused on the mechanicsof conducting examinations, not on the content andpurposes. Switching from essay type questions toobjective type questions is one such. The common refrainis that this has made the conduct of examinations abureaucratic phenomenon, not a professional one. Withfixed answers and predetermined model answers even forquestions where children have to write phrases andsentences, the job can be done mechanically, making theprofessional capability of a teacher redundant.

In reality, school boards have tried to do away withall complexities of learner evaluation. Objectivity in thepublic eye is the sole criterion. The CBSE proposal toreintroduce essay type questions and reduce dependenceon memorisation is a welcome step. Remember that thisis supposed to evaluate the learner’s accomplishments in12 long years of schooling. Ideally, one should profile thetrajectory of each student’s progress. This can be doneonly by those who teach children over the years. Will theproposed change lead the public to repose their faith againin the teachers’ ability to be objective and professional inevaluating their students?

The current proposal by the CBSE must be seen inconjunction with another reform recently introduced bythe board — Continuous and Comprehensive Evaluation(CCE), giving weightage to school-based assessment byteachers. What is intended, what is understood by theteachers and what happens in reality — the three could beat variance with one another. Synchronising the threecannot be done through official notifications. But publicexaminations and admission tests have assumed so muchimportance that schools are under pressure to prepare thestudents to face them rather than focusing on personalgrowth. Strangely, the public seems to have greaterconfidence in external examinations than in assessment byteachers. Historically, the imperial administrationorganised state-controlled examinations to project in thepublic mind an image of British justice and impartiality. Inthe system of education established by them, while Indianswere included as teachers, their role as evaluators wasgrossly underplayed. It was considered necessary to haveexaminations conducted by outsiders, preferably British.

Have we overcome this colonial hangover? Continuousundermining of the role of teachers has led to the erosionof their credibility as evaluators. Public perception of pooraccountability and teachers’ indifference has accentuatedthis. In this context, efforts like the CCE under the Rightto Education Act and the CBSE’s move to include internalassessment in the board results must be recognised. Butwill schools and teachers implement the policy sincerelyand adopt credible practices? This alone will decide thesurvival of these new initiatives.

Evaluation, like teaching, must be a human contract— between student and teacher, between society and theeducational institution. But our examination system hastaken away the human face of education. For the millionswho fail to make the grade, school or college is anexperience they would rather forget. Bringing back thishuman face requires many changes in the examinationestablishment. Examination has to become a creativephenomenon, not a routine mechanical one and teachershave to regain their role as credible evaluators.


Patent sillinessApple has won this round, as a US court blocked

Samsung’s Galaxy Tab 10.1 on the grounds that itinfringed Apple’s design patent, and held up the validityof the patent. In the last few years, companies like Apple,Samsung, Microsoft and Motorola have been warringbitterly, at great expense, across jurisdictions, over theirproducts and features. Two recent rulings had suggesteda measure of sanity in the Smartphone patent wars —federal judge Richard Posner put a decisive end to thetwo-year squabble between Apple and Motorola Mobility(now owned by Google), denying both an injunction onthe other’s sales, saying that “neither has shown thatdamages would not be an adequate remedy”. Onlyrecently, Oracle’s lawsuit against Google, for havingcloned application programme interfaces used by Java tobuild its Android platform, had been dismissed entirely.

Software qualifies for both patent and copyrightprotection — and patent-litigation has now become acumbersome, innovation-sapping exercise. Each companyamasses an arsenal of patents, and there is an entireindustry of patent trolls, whose sole occupation is to searchfor evidence of any infringement. Every tiny little feature,like “slide to unlock” or an inbuilt spell-check, has beendeclared Apple’s own, which it zealously seeks to guardfrom Samsung’s predations. While some of these may begenuinely new, the idea of owning the spell-check in thisday and age is absurd. Besides, it turns its face against thevery nature of technological advance — imitating andbettering. The patents skirmishes are, of course, businessby another name. These legal injunctions are meant tokeep the competitor’s products off the market until theylose that space altogether. For the time being, the warover intellectual property is going to be as vigorous as thecompetition to develop the next new thing.





Speedy ThoratThe six-member committee appointed by HRD

Minister Kapil Sibal to examine the content of NCERTtextbooks for “educationally inappropriate material” mayhave failed in its very purpose by delivering its report injust 45 days. After all, the institution of the committee wascreated as a procrastinatory tool to give governmentssome breathing room. Mostly, a committee is set up notto actually investigate an issue but to put it on ice until ithas faded from public memory. Yet, look closer, and itmay be understandable why the Thorat committee hasmoved with such striking efficiency. It may even be partof a larger pattern: this government, which is not exactlyfleet of foot on issues that matter, moves pretty rapidlyon questions that have an illiberal outcome.

The UPA government has gone full throttle, forinstance, for retrograde policies like retrospective taxationand draconian rules that accompany the IT Act. Itenthusiastically rushed off in the wrong direction in May,when objections were raised in Parliament about a cartoonfeaturing B.R. Ambedkar on the grounds that it allegedlyoffended caste sensibilities. The moment the cartooncontroversy was hijacked by identity politics, Kapil Sibalissued an apology in the House. Within hours, the usuallycautious Pranab Mukherjee surprised everyone bydeclaring that the cartoon should not have been includedin a school textbook. Incidentally, a group of MPs hadexpressed “strong displeasure” at many more cartoons ofpolitical figures in school texts. Now, the committee’sreport cements that illiberal position. The committee, ledby S.K. Thorat, ICSSR chairman, former UGC chairmanand an authority in Dalit studies, has recommended large-scale changes in textbooks, including the removal of over20 cartoons. The best that can be said of its exertions is thatthey have been speedy. In fact, the government has set adangerous precedent. Would it now set up a committeeevery time someone is offended? And would questionsthat ought to be discussed in Parliament and in the publicdomain be referred to committees that meet behindclosed doors? That would only deepen the silence thatcensorship seeks to produce.


The Health Care Decision:Deliverance or Disaster?The Supreme Court’s decision abounds with legal

and political ironies. Foremost, and central to the result,is the majority’s conclusion that the individual mandate isa legitimate exercise of Congress’s power to tax. Duringthe legislative debate, the President and his allies wereadamant that the mandate was absolutely not a tax. Hadthey marketed this provision as a tax, the bill would surelynot have passed. So the Supreme Court saved thesignature legislative achievement of the ObamaAdministration precisely because it was not what theAdministration said it was.

When the case got to court, the Administrationinvoked the federal Anti-Injunction Act, which bars suitsto restrain the collection of any tax. The governmentargued that this law precluded the challenge to themandate. So if the mandate was, indeed, a tax, this lawwould have made the case dead on arrival. But inexamining this provision, the court held that the mandatewas not, after all, a tax; it was just what Congress calledit, a penalty. The choice of labels, the court said, cannotcontrol as to whether the law is constitutional but doescontrol as to whether the tax anti-injunction law applies.When I use a word, the court, like Humpty Dumpty, said,it means just what I choose it to mean, neither more norless.

The magic of this dueling taxonomy of the wordmandate meant that because it is a penalty, the court couldgo forward to consider its legality, but because it is a taxand not a penalty, it is a lawful exercise of Congress’staxing power, not an unlawful regulation of commerce asthe dissenters asserted. Like Marbury v. Madison 200years ago, in which the Supreme Court held that it had thepower to decide whether laws were constitutional, thiscourt exercised that power after dispensing with aprovision that would have denied to the court the powerto do so in the first place. If it was a tax, the court couldnot have upheld the tax. But because it was a penalty, itwas lawful as a tax. Chief Justice Roberts has learned athing or two from his legendary predecessor Chief JusticeMarshall.

Yet another irony is that five Justices decided thatCongress did not have the power under the commerceclause to regulate doing nothing — not buying healthinsurance. But five Justices (only Chief Justice Roberts inboth camps) held that Congress does have the power toimpose a tax for doing the same nothing.

Our constitutional law professor President, whoinsisted that Obamacare was constitutional, was right allalong. But he was right because he was wrong. He wasright that it was constitutional because he was wrong thatit was not a tax. He either doesn’t know his constitutionallaw that well or his politics counseled not sharing thatwisdom with Congress voting on the measure.

The political irony is that the individual mandate iswidely unpopular and will become more so when smallbusinesses and individuals start to pay for it and when thetax man comes collecting the penalty (i.e., tax) from theuninsured. On the other hand, solving the health care crisisis something the public does want. If Obamacare had beenstruck down, the President’s re-election campaign wouldhave targeted the five evil Republicans on the SupremeCourt, as he signaled with his outburst challenging thecourt shortly after his team faced rough sledding in thecourt’s oral argument. His campaign was alreadyfashioning a direct challenge to Mitt Romney andRepublicans in Congress to come up with their solution tothe health care crisis before the election. A virtuallyimpossible and highly perilous political course.That avenueis now foreclosed. So by winning his case in court, thePresident now has to defend an unpopular law that he




secured by misrepresenting what it was. And he cannotattack Republicans for not offering a solution because hissolution is now the law. He got what he wished for.

So President Obama may have lost by winning andmight have won had he lost. One gets a sense from theWhite House spin after the argument that there was asecret longing that the court would take the bait and doprecisely what the President was, in a sense, daring it todo. Chief Justice Roberts did not bite.

Finally, the rejoicing by liberals may be short-lived.Their version of federal power was vindicated but only ifthey want to enact politically unpopular taxes. On theother hand, five Justices significantly reined in federalpower to regulate commerce and, in another part of thecourt’s opinion, to exercise power under the spendingclause. These authorities are much easier politically toexercise in Congress; unfunded mandates are one of thepreferred ways of taxing in sheep’s clothing. The court’sdecision, while reaffirming authority that is hard to use,restricted authority that is easier to use. Like the President,they may have lost by winning.

Courtesy-Time

Indian Plate MovementEarthquake and Tsunami

Risk ZonesThe Indian plate, separated from the Antarctic,

started moving to the north northeast about 180 millionyears ago. The present day movement of the Indian platefrom the Carlsberg spreading ridge results in collision inthe Himalaya and subduction in the Andaman-Sumatra.These plate margins, therefore are the major seismic beltsof the moving Indian plate.

The concept of plate tectonics is the most satisfyingexplanation for a majority of earthquakes. The basic ideaof plate tectonics involves earth’s outermost part, thelithosphere (100-200 km thick), which consists of severallarge and fairly stable slabs - the plates. Boundaries ofthese plates are the seismic belts of the world. At the midoceanic ridges, up welling of lava is a continual process.This molten rock creates new sea floor on either side ofthe ridge and these mid-oceanic ridges thus constitute thespreading zones of the earth or divergent plateboundaries.

Since the earth’s size remains the same over a longperiod of geological time, the moving plates must beabsorbed at some places. The burial grounds of plates -the convergent plate boundaries, are believed to be theocean trenches, where the plates plunge into the earth’sinterior. This process is known as subduction - as happensalong the Andaman-Sumatra trench, the Japan trench, theChile trench and so on (Fig 2a). The other type ofconvergent plate boundary forms the continent-continentcollision zone - as happens in the Himalaya, where theIndian plate is on a head-on collision with the Eurasianplate (Fig 2b). A third type is the transcurrent boundary,where the plates move past one another - as happens

along the San Andreas (California) fault between thePacific and the North American plate.

INDIAN PLATE MOVEMENT

The Indian plate, separated from the Antarctic,started moving towards the north northeast about 180million years ago. About 55 million years ago it madecontact with the Eurasian plate, and the head on collisionstarted (Fig 1). The present topography map shows theeffects of this head on collision with lofty, still risingHimalaya and the abyssal Andaman-Sumatra trench in theIndian oceanic plate. The present day movement of theIndian plate from the Carlsberg spreading ridge results incollision in the Himalaya and subduction in theAndaman-Sumatra. Understandably these plate marginsare the major seismic belts of the moving Indian plate.

INDIAN PLATE EARTHQUAKES

Seismic networkAfter the devastating 1897 great Shillong

earthquake, the first seismological observatory in Indiawas established in Alipore (Kolkata) in 1898 by the IndiaMeteorological Department (IMD). Substantially preciseepicentral earthquake data became available from 1964onwards with the inception of the World WideSeismograph Station Network (WWSSN) and moreseismograph stations (about 15 by 1960) in the nationalnetwork. The WWSSN was upgraded to the GlobalStandard Network (GSN) with digital instruments in the1980s. These data are available on the United StatesGeological Survey (USGS) website almost in real time. Post1993 Latur earthquake, the national network was furtherupgraded with a denser and digital seismic network. Nowabout 100 permanent stations and several telemetricnetworks are run by different organisations, institutes anduniversities in the country.

GENERAL SEISMICITY

The general seismicity map of India shows intenseseismic activity all along the Himalayan collision zone,Indo-Burma ranges and along the Andaman-Sumatrasubduction zone. It is argued that the Andaman-Sumatrasubduction zone is extends beneath the Indo-Burmaranges. The meeting zone of the Himalayan and the Indo-Burma arcs is named Assam syntaxis. The earthquakes inthe Himalayan collision zone and in the syntaxis zone areshallower (< 80 km), whereas the earthquakes in the Indo-Burma-Andaman-Sumatra subduction zone are deeper,down to 300 km within the subducted Indian plate (Kayal,2008). The earthquakes in the middle of the plate, awayfrom the plate margins, are called intra plate earthquakes;these are infrequent and much shallower (< 50 km).

LARGE AND GREAT EARTHQUAKES Locations of the large (M~7.0) and great earthquakes

(M~8.0) in the continental part of the Indian plate areshown in Fig 3. These earthquakes follow the Himalayanmountain belt and the Indo-Burma ranges; except one




great and one large intra plate earthquakes in the Kutcharea of Gujarat. Among the few intra-plate damagingstrong earthquakes (M~6.0), 1923 Satpura, 1967 Koyna,1993 Latur and 1997 Jabalpur earthquakes are worthmentioning. Two more large or strong intra plateearthquakes, 1720 Delhi and 1919 Gujarat, are reported inthe historical catalogue, but their magnitudes are not wellascertained.

SEISMIC HAZARDS AND RISK MITIGATION

Seismic hazards still fresh in their crescendo are the1993 Latur (M 6.3) and the 2001 Bhuj earthquake (M 7.7),with an enormous loss of lives of over 10,000-20,000persons. The loss of so many lives in the Latur earthquakewas also attributable to poorly built houses made ofboulders and mud. On the contrary there were nocasualties among those who lived in the bamboo-thatchand in the well built concrete houses. The lesson to belearnt is that technique and material used play a significantrole in withstanding the impact of an earthquake.

The great earthquakes (M~8.0) of the Himalayanregion, 1897 Shillong, 1905 Kangra, 1934 Bihar/Nepal and1950 Assam syntaxis and plateau resulted in the loss ofabout 30,000 lives - but if such an event were to occurtoday, it would lead to much higher casualties.Unprecedented growth of population in the Himalayacoupled with earthquake non-resistant housing are thechief drivers of this situation. For example, a largenumber of earthquake non resistant multi-storied brickhouses are being built in and around Shillong, which hasalready experienced a devastating earthquake (M~8.7) in1897. In fact, it is not the earthquake, but the poorly builthouses and ignorance that kills people.

Crustal deformation studies through improvedinstrumentation show that the Himalayan segment isready for a large/great earthquake at any time. It may bementioned here that about 30 years ago loss of lives in thedeveloped and developing countries was almost of thesame order. But today the loss of human life due to a largeearthquake in a developed country like Japan has beenminimised drastically, whereas it has been enhanced over100 times in countries like ours.

Seismic hazard or risk mitigation is a challenging taskin our disaster mitigation programme. Since successfulprediction of an earthquake with specific time, space andmagnitude is yet to be achieved or understood, the firstand foremost task to mitigate disaster should be to followthe building code based on the seismic zoning map ofIndia (Fig 4) and using available maps on microzonationin the urban cities (Fig 5). Such maps identify the mostvulnerable pockets of seismic hazards/damages,susceptible to ground amplification or liquefaction.Therefore older buildings in such pockets need retrofittingand newer ones need special construction designs (Fig. 5).Also authorities should decommission permits for makingnew habitations in danger proneas.

LARGE AND GREAT EARTHQUAKES IN THE OCEAN

A large part of the oceanic plate of India, subductingbeneath the Andaman-Sumatra trench has produced

several large and great earthquakes in the past, some ofwhich generated destructive tsunamis. Largest amongthem are the historical earthquakes that occurred in 1833(M~8.7); 1861 (M~8.5); 1881 (M 7.9) and 1941 (M 7.7) (Fig6). While these large earthquakes ruptured only a fewhundreds of kilometres (~200-300) of the plate boundary,the 2004 Sumatra mega thrust earthquake (M 9.3)ruptured more than 1300 km of the arc, stripping theregions that were ruptured in the past as well as theintervening unbroken patches, and generated thedevastating tsunami that snuffed out the lives of nearly 2lakh people living along the southern coasts of India andsoutheast Asia. The energy release of M 8.0 is equivalentto about 100 million atom bombs, while the energyrelease of an earthquake of M 9.0 is equivalent to theoccurrence of 30 great earthquakes of M 8.0 at one time.

The other tsunamigenic zone is in the Arabian Seawhere there is a record of a great earthquake (M~8.0)south of the Makran coast in 1945, at the Makransubduction zone. This event generated a destructivetsunami killing about 4,000 people along the coast ofPakistan, Iran, Oman and north western coast of India.

TSUNAMI RISK AND HAZARD MITIGATION

A tsunami warning system monitors the occurrenceof any tsunamigenic earthquake in the sea, and can predictthe arrival of the tsunami to the coast. The time intervalbetween the occurrence of earthquake and the arrival oftsunami depends on the distance from the source to thecoast, which may vary from couple of minutes at theAndaman-Sumatra islands to a few hours at the east coastof India. A tsunami warning system is now established bythe Indian National Centre for Ocean Information Services(INCOIS), Hyderabad, that records the real timetelemetric-observations of the tsunamigenic earthquakesin the sea. The tsunami warning system of the INCOIS isworking well. The other steps for the tsunami hazardmitigation could be to avoid habitation within 500 m of thecoastline, and also by mangrove plantation at the coast tobreak the sea waves.

IN CONCLUSION

The seismicity and seismic source zones in andaround the Indian plate are well understood with availableseismological data. However the data source is too limitedfor accurate space, time and magnitude prediction ofearthquakes. Although high precision instrumental databeing recorded since the last few decades will enablefuture understanding of the recurrence period of a largeor great earthquake for 100 to 1000 years depending onthe source zone and tectonic stress accumulation - itspresent window period is too narrow for prediction.

Coastal zones of India, a long stretch of the eastcoast and a small stretch of the west coast, are prone totsunami hazards. These hazards can be mitigatedefficiently with the tsunami warning system. Also generalawareness and preparedness is vital for natural hazardslike earthquakes and/or tsunamis. A case in point is ayoung girl from UK holidaying in Phuket (Thailand) who




interpreted the abnormal ebb in the sea water accuratelyon 26 December 2004 and raised the alarm to save herselfand hundreds of others. On the contrary people along theIndian coast waited to watch the sharply receding watersand lost their lives.

Natural hazards, particularly earthquakes, canneither be stopped nor be precisely predicted. In case wedo predict that a large earthquake would occur in aheavily populated city such as Delhi or Kolkata within thenext 15 days or say within a month - would that entailtotal evacuation for a month? Further, even if the loss oflives were minimised would damage to habitations betaken care of? We, therefore, should learn to live withearthquakes and combat them with disaster proofstructures coupled with preparedness.

Courtesy-Geography & You

A Stinging Indictment of India’sDrug Regulation Authority

The Central Drugs Standard Control Organisation isexpected to protect the citizen from the marketing ofharmful pharmaceuticals. The findings of the 59th reportof the Parliamentary Standing Committee on Health andFamily Welfare are an expose of the shockingly laxstandards followed by this so-called standardsorganisation, the casual approach taken in certifying drugsfor sale, and the unethical and illegal steps taken by somepharmaceutical companies and medical practitioners inpushing for the introduction of certain drugs in themarket. Can and will the government act?

The 59th Report of the Department-RelatedParliamentary Standing Committee on Health and FamilyWelfare is a stinging indictment of the state of affairs in theCentral Drugs Standard Control Organisation(CDSCO). The report deals with problems specific toregulation of modern medicine and is probably the tip ofthe iceberg.

STRUCTURAL ISSUES IN CDSCOThe status report of the CDSCO says its mission is to

“meet the aspirations… demands and requirements of thepharmaceutical industry”. The CDSCO seems to have gotall its priorities wrong: “For decades together it has beenaccording primacy to the propagation and facilitation ofthe pharma industry, due to which, unfortunately, theinterest of the biggest stakeholder, i e, the consumer hasnever been ensured” (Para 2.2 of the report).

In contrast, the stated missions of drug regulatoryauthorities of developed countries explicitly talk ofprotecting/safeguarding public health by assuring thesafety, efficacy, and security of humans involved.Disservice to the consumer and neglect of public healthgoals have a boomerang effect in the long term. Complicitin this are India’s pharmaceutical companies with theirpenchant for making unessential, harmful medicines andirrational Fixed Dose Combinations (FDCs). Also complicitin this is the medical profession. Why have the leadingelites of the medical profession been quiet – especially

those in p ositions of power? The patient has no choice inthe matter.

The report comes down heavily on “equating” BPharms with MDs in pharmacology and/or microbiology.And says that the latter, and the pool they come from,should be given preference for appointment to the job ofthe Drugs Controller General of India (DCGI). Well,Hobson’s choice really. One of the best commissioners ofthe Food and Drug Authority (FDA) in Maharashtra wasan IAS o fficer, Arun Bhatia, but shunted out soon becauseof his effectiveness. At the helm, we need persons of visionwith an understanding of the importance of evidence-based medicine in public health and curative healthcare, aswell as an understanding of the general progress of scienceof medicine, pharmacology and pharmaceutics – thesemay be found in a wide range of associated disciplines. Anunderstanding of the political economy of the pharmaindustry certainly would help. What will not help is atendency to go along with pharma industry propagandaor medical fashions. There is also a case for making theCDSCO an independent drug authority like the IndianSpace Research Organisation and the like, with the DCGIbeing given Government of I ndia secretary level status.

REGULATORY ANARCHY

The part of the report (Para 7 onwards) on issuesrelated to drug approvals and withdrawal of medicines,banned and ought to be banned, should give sleeplessnights to the CDSCO and the Ministry of Health.

The CDSCO had approved 2,167 medicines fromJanuary 2001 to 30 November 2010. Files of threemedicines – from a randomly chosen list of 42 medicinesout of the 2,000 plus recently approved medicines – werenot traceable. These medicines – pefloxacin, lomefloxacinand sparfloxacin – also happen to be controversial. Allthree medicines are sold in India but not sold in any of thecountries with well-developed regulatory bodies. Of theremaining 39 drugs, the committee found the followingproblems: In the case of 11 medicines, Phase 3 trials werenot conducted. In the case of four approved medicines,neither Phase 3 trials were conducted nor expert opinionsought. In some cases, drug trials were not conducted onthe legally r equired minimum of 100 patients. Or wereconducted only at two hospitals as against at three to foursites, the legal requirement. Out of the sample of 39approved medicines, 13 (33%) of the medicines were notpermitted for sale in the US, Canada, Britain, EU andAustralia. These 13 medicines, that included 10 irrationalFDCs, are not relevant to India’s medical needs. In thecase of 25 medicines (64%), expert medical opinion was notsought before approval. In those cases (14 out of 39)where medical opinion was sought it was restricted tothree to four experts. Medical opinion that is given, eitherfor or against, is not easily accessible let alone in the publicdomain on a website. The general public has a right toknow who said what.

Between January 2008 and October 2010, 33medicines were approved without any clinical trial. Onethus does not know anything about their safety and




efficacy. Granted that the Drugs and Cosmetics Act 1945and especially Schedule Y of the rules (especially 122A,122B, 122D, 122DA, 122DAA and 122E) contain severalclinical trial waiver clauses. But they are to be waived inthe case of emergency (say swine flu and H1N1 vaccine)or in public interest. None of these 33 medicines fell underthese categories of emergency or public interest.

The DCGI also cleared trial sites for Phase 3 withoutapplication of mind as to whether they represent theneeded ethnic diversity. The committee recommends anincrease in number of persons accordingly to take intoaccount ethnic diversity. We comment on this later.

Medical opinions sought from experts appeared tohave become a farcical exercise. Opinions were given in asubjective fashion without citation of any hard scientificevidence. Also the letters of many of the experts readalmost verbatim (Para 7.31), which leads one to suspectthat the whole process was considered a mere formalitywith the expert appending his/her signature on the draftsupplied by the pharma company, the saving grace beingthe letterheads were their own! In the case of an FDC ofacelofenac and drotaverine, not permitted in any countryin North America, a CDSCO official advised themanufacturer Themis Medicare, to select experts, get theapproval letters written and send them to the DCGI. Ofcourse they were all in identical language. The official andthe company, and the experts, in this case as in others,need to be taken to task for the unholy nexus. Doctorscomplicit in the charade of giving “opinions” may bedeprived of their degrees or right to practice for a givenperiod for violating their codes of ethics.

Experts chosen were conveniently based in Delhi, ina vast country with 7,00,000 doctors, without checkingwhether their experience was relevant to the particularclass of drugs (“One wonders whether expertise onmedicines is confined to Delhi”, Para 8.10). And of coursethere was no checking out whether there were anyconflicts of interest. Specifically the committee took theCDSCO to task for illegal approval of four drugs: Buclizineapproved without clinical trials and consideration of itseffects on children; letrozole (a breast cancer medicineapproved also for infertility in women without any Phase2 studies – since banned by the DCGI for use in fertility);FDC of flupenthixol and melitracen (Deanxit), a medicineprohibited for sale and use in Denmark in the country ofits origin and approved in India in violation of Rule 30Bof the Drugs and Cosmetics Act; and illegal approval ofnew indications of placental extract gel (new indicationsand new formulation mean it is a new drug as per Rule122E(b) but the same was not treated as a new drug –clinical trials were therefore not requisitioned). Theministry/CDSCO is expected to give a reply by 8 July onaction taken on erring officials, retired since or serving,who were responsible for approval of these four drugs.A move that is likely to deter mindless approvals for sometime at least.

OTHER RECOMMENDATIONS

The committee goes on to make other importantobservations and recommendations:

(1) Remove unauthorised FDCs (those approved bystate authorities, without clinical trials and withoutprior clearance from the CDSCO, in spite of beingnew drugs as per Rule 122E(c)). The powers in theDrugs and Cosmetics Act under Section 33P andSection 26A are sufficient to remove all such FDCs,especially ones having combination of antibacterialsthat have the possibility of increasing drug resistance(Para 9.8).

(2) Transparent criteria for selection of persons for DrugAdvisory Committees and from all over the country(Para 10.2).

(3) Remove confusion over near sounding and similarbrand names. A database of all brand namemedicines with their ingredients should be madeavailable on the CDSCO website (Para 11.2).

(4) Insist on pharma companies to send India-specificPeriodic Safety Update Reports (PSURs) as part ofpost-marketing surveillance. PSURs were availablefor only eight of the 42 medicines randomly selected(Paras 12.2 to 12.6).

(5) Phase 4 studies to be conducted for detecting adverseeffects in lieu of the ineffectiveness of pharmaco-vigilance programmes (existing and planned) (Para13.3).

(6) Constant updating of information on medicinesalready marketed. Manufacturers have obligationsas per law to provide such information and theyneed to be penalised as per rules for non- updatingof information (Para 14.3).

(7) Stringent punishment for those res ponsible forspurious and substandard drugs. And penalprovisions also for manufacturing misbranded andadulterated drugs may be considered (Para 15.6).

(8) Appropriate action on companies that haveadvertised Schedule H medicines in lay press. Sharperteeth to the Drugs and Magic Remedies (Para 16.2).

(9) Consumer information on medicines in all majorlanguages “at the click of a mouse”.

(10) Issues related to clinical trials of medicines would betaken up for separate detailed examination by thecommittee (Para 18.2).

THE ROAD AHEAD

On Quality: The report makes severalrecommendations regarding shortage of staff, laboratoryfacilities in the states, etc. We believe these are beingaddressed in the Twelfth Five-Year Plan and so we willawait implementation.

The burgeoning pharma sector generates its ownpressures on medicine regulation. No amount of increasein resources and laboratories is going to ensure qualitybecause the supply of laboratories and facilities would notbe able to keep up with the demand for regulatoryoversight. Therefore the achievement of quality must beenabled in other ways also. We would suggest that theparameters of good quality, good manufacturing practicesand good clinical and storage practices are spelt out in atransparent way that can be interpreted and implemented




without ambiguity. Second, manufacturers found willfullymaking substandard, misbranded and/or spurious drugsmust be tried in special drug courts to expedite matters ina competent manner. There is a demand for capitalpunishment in some quarters, a kind of overreach thiswriter does not agree to. There is now a provision for lifeimprisonment. That is a sufficient deterrent. These powersneed to be used in a fair and fearless manner; and any rentcollection by drug authorities or quid pro quo withmanufacturers should invite summary administrativeaction from suspension to dismissal. Action on the bribegiver and taker is necessary, as also rewards for whistle-blowers from within the CDSCO and not only for thegeneral public. Also consumers and prescribers need to beeducated on what constitutes quality in a medicine. Specialmedicine quality testing kits need to be made widelyavailable.

We may also observe in passing that qualitystandards have gone up especially of those manufacturersexporting to countries with well-functioning regulatoryagencies. It is in the manufacturer’s self-interest. Hencewide publicity to substandard medicines (apart from theodd batch failing in spite of best efforts) should discouragewilful mischief makers.

Rationalising the Workload: The CDSCO isgroaning with excess workload. Many of the problems ofwork overload of the CDSCO and the State DrugCommissionerates are self-inflicted. We have too manymedicines and far too many of them do not find mentionin standard textbooks of pharmacology. The first act ofcleaning the stables would be to remove all thosemedicines that are unnecessary, irrational and of doubtfulvalue. These would include swift weeding out of harmfulmedicines like analgin. Allow only standard dosages andformulations of the remaining which would be about 800-1,000 molecules. Weed out unauthorised FDCs usingpowers given to the CDSCO under Section 33P andSection 26A. There still would be authorised FDCs butthese would include irrational medicines. A committeemay be appointed to weed out these on broad principlesof when FDCs can be deemed rational and what kind ofFDCs would be irrational and must therefore be weededout. These measures would apply to vaccines also. Inaddition, the principle enunciated in Para 9.8 of the reportmust be used: “In general, if an FDC is not approvedanywhere in the world, it may not be cleared for use inIndia unless there is a specific disease or disorderprevalent in India, or a very specific reason backed byscientific evidence and irrefutable data applicablespecifically to India that justifies the approval of aparticular FDC.” This must be applied to any medicine.

Also strict use of Rule 30B of the Drugs andCosmetics Act prohibiting import of drugs banned in thecountry of its origin would minimise entry of unwantedand useless medicines in the country. We feelimplementation of these measures would considerablyincrease efficiency in decision-making in the CDSCO. Atthe risk of an inappropriate analogy, it is like increasingthe power avail ability in the country by cutting downtransmission losses.

Debranding: We agree with the recommendation onnear sounding brand names. But why not remove brandnames completely, “debrand” as the Pronab Sen TaskForce (2005) has recommended? India is the only countrywith significant manufacturing ability where medicinesout of patent are sold under brand names.

Drug Approvals and Ethnic Diversity: Some of themeasures recommended in the report would lead to anincrease in the clinical trial load in the country. We wouldhowever urge that before these are implemented in toto,we need to have laws in place to regulate clinical trialmisdemeanours, laws to regulate Contract ResearchOrganisations, and laws for compensation on clinical trialinjury. Whether increased requirements of clinical trials willend up increasing the tribulations of an already vulnerablepopulation – the poor, tribals, etc – need to be giventhought. The report has recommended taking intoaccount ethnic diversity of the Indian population in Phase3 clinical trial participants. Whether ethnic diversity withinIndia is a significant factor in the pharmacodynamics andpharmacokinetics of every drug, the jury is still out. There is no CDSCO guideline on the topic and it is notclear if any thinking has been done by India’s researchcommunity on this issue. But this certainly is an area thatneeds thought. But an equally important consideration isto focus on pharmacology and drug effectiveness ofundernourished populations. What is the use if much ofthe medicine is excreted by undernourished populations?We certainly know that dosages are decided on the b asisof western body weights.

Transparency, Conflict of Interests: Drug regulationin India is notoriously non-transparent: Non-transparencyin the process of approval of new medicine formulationsfor manufacture and marketing, lack of easy public accessto research data used in approval of new medicines, anddata related to all clinical trials. We also need a cleardeclaration of conflict of interest at all decision-makinglevels followed by recusal of those having conflict ofinterests. Both situations urgently need to be remedied.

A Law to Check Unethical Medicine Promotion andUpdating of Existing Laws: Unethical medicinepromotion is another way in which irrational use increasesand impoverishes patients. The CDSCO has never takencurbing unethical medicine promotion as part of itsmandate – partly because there is no clear law on thematter. This hiatus needs to be remedied quickly. Somecivil society groups have already worked on such a draftlaw.

There is a need for harmonisation of the provisionsin sections of the Drugs and Magic Remedies(Objectionable Advertisements) Act, 1954, and Rules(1955), provisions of the Drugs and Cosmetics Act(Sections 17 and 18 on misbranded, adulterated andspurious drugs), Schedule J of the Rules to the Drugs andCosmetics Act (“Diseases and ailments by whatever namedescribed which a drug may not purport to prevent orcure or make claims to prevent or cure”). These all needto be harmonised and taken into account recent medicaldevelopments such that it will deter misleadingadvertisements as well as drugs and devices making fancy




claims across the spectrum of systems of medicines. Thelaws are toothless in preventing fairness creams,presumably because this is not a specified condition in theSchedule to the Drugs and Magic Remedies (Objectionable Advertisements) Act and are neither in the list ofitems in Schedule J of the Rules to the Drugs andCosmetics Act nor are claimed in the labels or cartons foraction under the provisions of the Drugs and CosmeticsAct (Sections 17 and 18 on misbranded, adulterated andspurious drugs). Nevertheless, the drug commissionershave not made sufficient use of such powers that do exist(for instance, medicines for baldness, a specified proscribedcondition in the said provisions, are routinely advertisedwith impunity). Or even in as simple a matter asadvertisements in the lay press of Schedule H prescriptiondrugs.

Consulting the DTAB for Banning Medicines: Amatter requiring formal clarity is whether the Drug

Technical Advisory Board (DTAB) needs to be consulted inthe banning of drugs. The Report, Para 8.9, asks

… at the time of approval of drugs, the matter is notreferred to DTAB, then why should DTAB be involvedwhen drugs are to be banned? Secondly, many drugs havebeen approved by DCGI without consultations withexperts; why involve them when banning?

However it goes on to say that consultation as suchis welcome. A recent judgment of the Madras High Court,even as we write this, has opined that the centralgovernment need not consult the DTAB in the banning ofdrugs. The government’s response to the ParliamentaryCommittee Report has been to set up another committee.Hopefully this committee will not be an instrument tosweep matters under the carpet. If anything the 59thParliamentary Committee Report is an opportunity toradically clean the anarchy in drug regulation in India inthe interests of public health. Surely, “The Pharmacy ofthe World” deserves a better regulatory body.

Courtesy-Economic & Political Weekly

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