Did the govt make us poorer by Rs 10 trillion?
In this issue:
» This shows why investing in a newbie sector can be dangerous!
» Are we at the end of the commodity supercycle?
» Jim Rogers believes 2013 will bring in lot of trouble
» A slight breather for the airline industry
» ...and more!
---------------------------- Raise your voice before this turns into yet another scam! ----------------------------
When millions don't even have food to eat, our government is thinking about bailing out multi-millionaire CEOs!
Is this government really made up of our representatives or is it on the payroll of those corporate giants?
We at Equitymaster feel strongly about this cause, and thus have started an Urgent Poll where you can read all about this and cast your vote to make your voice be heard!
We strongly recommend every Indian, who wants to make a change, to take a look at this.
Click Here to read more and cast your Vote... Before it's too late!
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A leaked draft report of the Comptroller and Auditor General has yet again revealed something very disturbing. Reportedly, it states that between 2004 and 2009, the government gave away 155 coal acreages to private and public companies for five years. The biting aspect of this entire matter is that all this was done without a proper auctioning process. In the absence of auctions, it's obvious that the corporates managed to take hold of areas in which coal could be mined for dirt cheap prices. It is estimated that due to this the government exchequer lost about Rs 10.67 trillion (approximately US$ 210 bn). In layperson's languages, the country became poorer by that quantum. It is quite distressing to know of such happenings at a time when the country is facing a shortage of coal and paying a high price for it.
If this report is true, it just exposes how the government is sacrificing the wealth of the nation to narrow interests. A natural resource like coal legally belongs to the State on behalf of the citizens. It is unacceptable that such resources fall into private hands without appropriately compensating the citizens. A proper auction would have not just ensured transparency, but would have also made sure that the price paid is appropriate.
Whether the claims of this report are true or not is a different matter. But the fact remains that our government seldom works in the interest of the larger economy. By various means, it has time and again burned holes in the pockets of the country's taxpayers and investors. Sometimes it does so by milking cash-rich PSUs. Sometime it does so by bailing out ailing companies.
The way the government is taking the country for a ride is simply outrageous. Hence unless tax payers raise their voice against this gross misuse of our country's wealth and resources, such wealth destruction will prevail. If you feel the same way as we do, then raise your voice to Ban Bailouts. Remember, every vote counts!
Here are the results so far. In just a matter of few days, more than 4,250 have taken the poll and a whopping 96% have refused the government to use their hard-earned money for bailouts.
Do you think the government is exploiting taxpayers money? Let us know your comments or post them on our Facebook page / Google+ page.
01:20 | Chart of the day | |
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Data source: Business Standard *Period of national accounts is April 1 to 31 March, for NSSO it is July 1 to June 30 |
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Unfortunately, the nightmare is still playing out for the microfinance sector and its investors. As per a business daily, one in every three borrower from MFIs has defaulted. In absolute terms, the number is close to 9.2 m customers. While regulatory upheaval hit the lenders hard, the borrowers too are not in an enviable position. They may have gotten away without paying their dues for the time being. But with their credit history tarnished, the poor borrowers, largely from the state of Andhra Pradesh, have been blacklisted from lending. This means neither banks nor MFIs would offer them loans in the future. Thus, the regulatory callousness seems to have sealed the fortunes of both the borrowers and lenders in the MFI sector.
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04:45 | Today's Investing Mantra |
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6 Responses to "Did the govt make us poorer by Rs 10 trillion?"
Amalaraj Marian
Mar 24, 2012Sometimes i wonder the people who attacked the parliment house were awarded with the death penelty. then what should the jack asses who sit inside this august house and screw the whole country should get as the penelty....... the same penelty maybe n times oveer.
manoharkantak
Mar 23, 2012The Government is more interested in its survival than the interest of the nation. It will continue the same style, as we are bound by the coalition partners, there is little scope that any change will be made. The same blackmailing tactics will continue.
The Government uses Tax Payers money, so voting right should be given only to Tax Payers, only then good leaders will be elected. Educated and dynamic people will contest the elections. Otherwise there will be tax avoidance,tax evasion and black money accumulation.Bharat Mata Ki Jai.
Vijay Bhaskar
Mar 23, 2012There has been lot of issues regarding illegal mining, but one mining has never been talked about it is the basic resource which has been misused, water, In most of the places there are private water sellers making huge money out of it by digging borewells...Needs to be given a thought
Nikhil Shah
Mar 23, 2012Please check the numbers again? Since, August 15, 1947 it must be many more trillions and not just the 10.
We are at the mercy of these rascals. No light at the end of tunnel. Tunnel is getting darker and darker.
Albert
Mar 23, 2012Do you think the government is exploiting taxpayers money?
Always have, always will. Doesn't matter which party is in power. The problem is the present UPA govt is that that it continues to squander money on bailouts, subsidies and populist social schemes (with no long-term gain for the nation) while carrying a large fiscal deficit and is also involved in all sorts of scams where good money is thrown after bad money.
"Government is a disease masquerading as its own cure."
-- Bob Lefevre
shirish patwa
Mar 25, 2012You are talking about a week old scam!Within this long period much water might have flown in Jamuna river.Neither the Government nor the public pay any heed to old matter.In this jet-set generation we crave for latest news.Now, don't tell me nothing new has cropped up in the past SEVEN days!UPA has committed to the public that they will dish up fresh scandals every day and they have kept their words so far.