Global business abhors uncertainty. The ministerial-level corruption in UPA-II has slowed FDI and FIIinflows. The stock market, despite double-digit corporate profit and 8.6% GDP growth, reflects the anxiety of Indian and foreign investors. To take India's growth story forward in the 20th year of economic reforms, political reforms must catch up. Misgovernance won't do in a globalised, interconnected world.
Two kinds of political corruption blight India: episodical and ongoing. Episodical corruption - from 2G spectrum to rice exports - has cost the public exchequer possibly over Rs 1,00,000 crore this year. The sum could have wiped out a quarter of India's 2010-11 fiscal deficit of Rs 4,12,000 crore. Ongoing corruption is more insidious and, therefore, more damaging. For example, over 10% of India's installed power capacity of Rs 1,61,000 mw is stolen every year with government connivance. At least 25% and possibly up to 50% of funds allocated to MGNREGS are siphoned off by district-level officials - an estimated loss of around Rs 20,000 crore per year. Illegal mining, water theft and land allotment frauds skim several thousand more crores of public funds.
All this public theft needs a nexus: politicians, businessmen and bureaucrats form the core and an army of district officials, contractors and middlemen form the base. Judicial oversight has replaced ministerial oversight in matters that lie firmly in the domain of the executive. The Supreme Court cannot - as it has been compelled to - play the role of the PMO.
The government must implement three urgent institutional reforms. One, enact legislation to give the Lokpal at the Centre and Lokayuktas in the states suo motu powers to prosecute ministers, MPs, MLAs and IAS officers. The proposed Lokpal Bill is eyewash. It gives the Lokpal advisory powers. He cannot prosecute a minister or MP accused of corruption without government approval. The alternative civil society Lokpal Bill, which gives the Lokpal independent authority to prosecute ministers and other public servants, is the only way to attack corruption at its root. Activist Anna Hazare has launched a nationwide campaign to revise the Lokpal Bill before it is legislated in the current session of Parliament.
Two, pass a special Act of Parliament to vest the Central Bureau of Investigation (CBI) with autonomous powers like the Election Commission (EC), freeing it from government control. The CBI director should be appointed by a constituted panel of three members: the newly empowered Lokpal, the leader of the largest Opposition party in the Lok Sabha and the Chief Justice of the Supreme Court. This will allow the CBI to investigate and prosecute without fear, favour or fetter.
Three, end through a constitutional amendment the practice of 'political' governors and speakers. The moment a governor or speaker is appointed, he or she should forfeit for life the right to serve in any other public office and also cease immediately and permanently to be a member of a political party. The Bhardwaj-Buta Singh model of governership must be buried for good.
The new anti-corruption ordinance being examined by the empowered group of ministers under finance minister Pranab Mukherjee must allow for prosecution of ministers, bureaucrats and other public officials by an independent CBI and Lokpal. Land, mining and other natural resources - from spectrum to gas - must be taken out of discretionary government hands (state and central) by law, not words. Nitish Kumar's Bihar has effectively combated corruption by introducing special courts under the Bihar Special Courts Act. Under the Act, such courts headed by a sessions judge with high court approval have the power to confiscate property and cash of government officials accused in corruption cases.
The role of the EC is critical: the roots of political corruption lie in the black money used to fight elections. Candidates with criminal backgrounds buy themselves tickets while parties subvert voters with money and divisions of caste, religion and region. The EC can consider two specific measures.
First, set a high bar of candidate-vetting. Seventy-four MPs in the current Lok Sabha have serious criminal charges against them. To weed out rogue candidates, the EC can set up a judicial commission comprising three retired Supreme Court judges before every election (Lok Sabha and Vidhan Sabha) as an electoral filter. Any candidate facing ongoing criminal prosecution in a trial court would be barred from standing for election.
In order to protect candidates facing politically-motivated charges, the relevant prosecution would have to be currently 'active' to trigger the bar. What does this mean? Any prosecution pending for over one year without a hearing or adjournment would not count as a valid ground for debarring candidates. This step will filter out at least 50% of rogue candidates who today stand unhindered for elections but also provide a modicum of protection to those who face frivolous and static political charges.
Second, to improve the standard of our democracy - and the quality of candidates political parties put up - the EC must impose term limitations for all office bearers in EC-registered political parties. No individual should be permitted to hold office for more than 10 years. Internal elections to all party posts - including for party president - must be held every year.
If the 10-year time limitation rule is violated, de-recognition of the party would automatically follow. This will mitigate the feudal structures of our dynastic political parties and strengthen India's democratic institutions. The restoration of global business confidence in India will be a natural corollary.
Two kinds of political corruption blight India: episodical and ongoing. Episodical corruption - from 2G spectrum to rice exports - has cost the public exchequer possibly over Rs 1,00,000 crore this year. The sum could have wiped out a quarter of India's 2010-11 fiscal deficit of Rs 4,12,000 crore. Ongoing corruption is more insidious and, therefore, more damaging. For example, over 10% of India's installed power capacity of Rs 1,61,000 mw is stolen every year with government connivance. At least 25% and possibly up to 50% of funds allocated to MGNREGS are siphoned off by district-level officials - an estimated loss of around Rs 20,000 crore per year. Illegal mining, water theft and land allotment frauds skim several thousand more crores of public funds.
All this public theft needs a nexus: politicians, businessmen and bureaucrats form the core and an army of district officials, contractors and middlemen form the base. Judicial oversight has replaced ministerial oversight in matters that lie firmly in the domain of the executive. The Supreme Court cannot - as it has been compelled to - play the role of the PMO.
The government must implement three urgent institutional reforms. One, enact legislation to give the Lokpal at the Centre and Lokayuktas in the states suo motu powers to prosecute ministers, MPs, MLAs and IAS officers. The proposed Lokpal Bill is eyewash. It gives the Lokpal advisory powers. He cannot prosecute a minister or MP accused of corruption without government approval. The alternative civil society Lokpal Bill, which gives the Lokpal independent authority to prosecute ministers and other public servants, is the only way to attack corruption at its root. Activist Anna Hazare has launched a nationwide campaign to revise the Lokpal Bill before it is legislated in the current session of Parliament.
Two, pass a special Act of Parliament to vest the Central Bureau of Investigation (CBI) with autonomous powers like the Election Commission (EC), freeing it from government control. The CBI director should be appointed by a constituted panel of three members: the newly empowered Lokpal, the leader of the largest Opposition party in the Lok Sabha and the Chief Justice of the Supreme Court. This will allow the CBI to investigate and prosecute without fear, favour or fetter.
Three, end through a constitutional amendment the practice of 'political' governors and speakers. The moment a governor or speaker is appointed, he or she should forfeit for life the right to serve in any other public office and also cease immediately and permanently to be a member of a political party. The Bhardwaj-Buta Singh model of governership must be buried for good.
The new anti-corruption ordinance being examined by the empowered group of ministers under finance minister Pranab Mukherjee must allow for prosecution of ministers, bureaucrats and other public officials by an independent CBI and Lokpal. Land, mining and other natural resources - from spectrum to gas - must be taken out of discretionary government hands (state and central) by law, not words. Nitish Kumar's Bihar has effectively combated corruption by introducing special courts under the Bihar Special Courts Act. Under the Act, such courts headed by a sessions judge with high court approval have the power to confiscate property and cash of government officials accused in corruption cases.
The role of the EC is critical: the roots of political corruption lie in the black money used to fight elections. Candidates with criminal backgrounds buy themselves tickets while parties subvert voters with money and divisions of caste, religion and region. The EC can consider two specific measures.
First, set a high bar of candidate-vetting. Seventy-four MPs in the current Lok Sabha have serious criminal charges against them. To weed out rogue candidates, the EC can set up a judicial commission comprising three retired Supreme Court judges before every election (Lok Sabha and Vidhan Sabha) as an electoral filter. Any candidate facing ongoing criminal prosecution in a trial court would be barred from standing for election.
In order to protect candidates facing politically-motivated charges, the relevant prosecution would have to be currently 'active' to trigger the bar. What does this mean? Any prosecution pending for over one year without a hearing or adjournment would not count as a valid ground for debarring candidates. This step will filter out at least 50% of rogue candidates who today stand unhindered for elections but also provide a modicum of protection to those who face frivolous and static political charges.
Second, to improve the standard of our democracy - and the quality of candidates political parties put up - the EC must impose term limitations for all office bearers in EC-registered political parties. No individual should be permitted to hold office for more than 10 years. Internal elections to all party posts - including for party president - must be held every year.
If the 10-year time limitation rule is violated, de-recognition of the party would automatically follow. This will mitigate the feudal structures of our dynastic political parties and strengthen India's democratic institutions. The restoration of global business confidence in India will be a natural corollary.
No comments:
Post a Comment