Wednesday, December 12, 2012

Take your pick [347/365]

When the Supreme Court ordered the Indian business conglomerate to pay $3 billion back to investors it raised fraudulently, we knew this wouldn't end well. A few days ago, the Court ruled that the group must deposit whatever remained out of the payout with the country stock market regulatory.

What astounds me is the magnitude of the payout. I doubt if the 'investors' will ever get their money back. I suspect the government intentions and the court's urgency in getting the company to kneel before it. While I definitely know that Sahara has sullied its reputation amongst poor and middle-class investors, I think this is a sign of a much larger scam. Its just the tip of an iceberg.

We all know how companies that have favored major political parties have grown over the years. Reliance is a wonderful example of the importance of knowing the right people at the top. Closer scrutiny into its business practices will open a Pandora's box that none of us really want. In a country like ours, I can't imagine of a single company who would've resisted the urge to 'do favors'.

Corporate scams are never new and in a year from now, no one will remember this. Sahara would've have tightened its purse strings and we will move on to the next big scandal. While it does please the ears that we have the ground to grow, what continues to worry me is how many of our companies are unregulated.
Special Economic Zones across the country have seen the like of Oracle, Intel, IBM and Microsoft driving productivity and churning creativity almost like slave masters in buildings that may never pass local municipal building regulations let alone corporate sensibilities.

Employees are treated with as much disdain as the roaches in the kitchen.
So what exactly is our country's corporate mission? To penalize every company that does not grease the ministerial hands?
Or is it to let the ones who do, survive and flourish?

Take your pick.

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