WILL HER CHAIR ALSO TRAVEL?

Date : 01 June 2014.

Madam Jayalalitha is travelling to Delhi to meet P.M. Narendra Modi on 3rd June. Good. Also good that notwithstanding her earlier claims that Tamil Nadu under her has progressed better than Gujerat under Modi, Also good that she has now extended “issue based support” to the NDA govt. at Delhi, even while she sticks to her parochial stand on Sri Lanka.

She has discovered a new sure fire formula for protecting her chair. “Take it with you wherever you go!”. When she came to meet the then Karnatka Chief Minister Jagdish Shettar over the Cauvery waters issue, her chair had reached Vidhan Soudha in advance for her to be seated on it for the meeting! I should imagine that history would repeat itself in Delhi too, when she calls on Narendra Modi! This is not all. Some years ago, when she visited Delhi for the famous tea party meeting with Sonia Gandhi, even her car was flown to Delhi! As it did at the referred Bangalore meet!

“{Purachi Thalaivar”, Amma, Dr.J.Jayalalitha, is no ordinary mortal. She is the Empress of Tamil Nadu, with visions of ruling over the whole of India that is Bharat. “Travelling Chair” and “Flying Car” are small luxuries no mortal should grudge her!

N.Narasimhan.

The Ironic tragedy of Congress

17th April, 2014.
The ironic tragedy of the Indian National Congress is that it was founded in 1885 by a foreigner, a grandson of an East India Company director and educated at East India Company College, Haileybury, Allan Octavian Hume, a prominent member of the Theosophical Society, is now being destroyed by another foreigner, with many Indians who have traditionally fattened themselves on being its “leaders”, being mute, voiceless witnesses to its destruction .
N.Narasimhan

THESE POLITICIANS BETTER GO AND CLIMB A GUM TREE & STAY ON TOP OF IT!

26.03.2014.

In Karnataka, which elects its next Lok Sabha members on 17th April, the competition to treat voters as fools, is being staged by BJP, Congress and JD(S) on a neck to neck basis, unabashedly. Even as the BJP at the state level, took the initiative a couple of days ago to induct the fire eating Ram Sena chief Pramod Muthalik, the Congress at the same state level at Mangalore, inducted D.Shetty, Muthalik’s No.2, and legal eagle of Ram Sena, into its fold. Both the inductees were thrown out hours later by the respective party’s national level leaders, ostensibly, because, at the the leadership was outraged at the type of people inducted! Hoping in the process that the public at large believed that principles prevailin these parties! It is a different matter that at the same national level, BJP decided to induct and also give the party’s Bellary ticket to Sriramulu, the founder of the BSR Congress, ignoring the fact that what Hanuman is to Rama, he is to the disgraced and jailed mining baron and former Minister Janardhana Reddy. Look at the “principle” joke, “We admit Sriramulu but will not merge his party with BJP!” I am surprised that Janardhana Reddy was himself not inducted into BJP and given a ticket to contest! When Jagadish Shettar was to join as Dy. Chief Minister, in the Yeddi cabinet, one of his demands was that Janardhan Reddy and his brother be also inducted again as Ministers! Like the Congress, at the national level admits Ashok Chavan indicted for his involvement in the Adarsh scam, and will possibly fight the election in Maharashtra on a Congress ticket, ignoring the fact that a CBI Court rejected the CBI plea to discharge him from the case. In the same breath Congress touts as its commitment to principles, the fact that it has not fielded Suresh Kalmadi of Commonwealth Games ill fame

The JD(S) trumpeted the possibility of the 83 year old disgruntled Jaffer Shariff joining it, as something that would give it the strength of an elephant, forgetting that such an old elephant can only add to its burden! Shariff himself spoke to his god on his pilgrimage, who told him not to defect and also not to contest, causing an elephant sized embarrassment to the JDS leadership! The JDS supremo Deve Gowda, accompanied by his eldest son Revanna, his astrologer, and a crowd, visited 4 temples on the 25th morning in his constituency offered pujas and ‘homas’, making a grand entry to the concerned Election Officer’s chambers, on the dot of the astrologically appointed time, to hand over in an astrologically prescribed south facing direction, his 4 sets of nomination papers!
If these politicians and their ilk are going to change Karnataka and India for the better, I would tell them to go and climb the gun tree and stay on top if it!

N.Narasimhan.

India Proves Wilson right.

27 Jan 2014.
ames Harold Wilson, for whom running against time was a habit, especially during his four terms as the British Party MP and two terms as Prime Minister of United Kingdom, (1964 to 1970 and 1974 to 1976), once said significantly “One week is too long a time in politics ”, when faced with what seemed an impossible situation. And came on tops again, thanks to the extraordinary political skill he was known for.
As the AAP govt. of Arvind Kejriwal completes one month in Delhi on the 28th Jan., it is good to recall this statement. From derisive enthusiasm and cascading popular support on which it rode to power then, to the pathetic self destruction of that very massive, trusting base in just a month, is a sad commentary of what Wilson said and meant! A month ago, AAP was fervently looked upon as the hope at last, from misrule by the UPA or NDA. Now I look at it as a dangerous public nuisance, deserving to be thrown out at the earliest. AAP has expelled Binny. It should go a step further and expel Arvin d Kejriwal! Himself. There is no other parallel of something destroying itself at such breakneck speed! What better good luck could come the way of Narendra Modi?
N.Narasimhan

AAP IS GOD’S APPLYING BRAKES ON THE MAD MODI MARCH!

28th Dec. 2013.

We should wish God speed to Arvind Kejriwal and his team, to emerge as the alternative to the Modi mania in the rest of the country. If that happens, it will truly be yet another well deserved case of God intervening to save the country. Modi in his bleat of a blog on his assumed role of the victim of Gujarat riots (when he is the perpetrator of that horrendous genocide), has fooled no one but himself into believing that he can keep fooling all people all the time.

Remember Vajpayee’s comment borne out of anguish, that being the Chief Minister of Gujarat at that time, he should have owned up the the moral responsibility and at least offered to resign? Also remember Atal Bihari Vajpayee’s niece Karuna Shukla, who quit the BJP party, openly criticised Narendra Modi saying that he can’t wash his hands off Godhra and that he was the wrong choice for PM candidate in an exclusive interview to NDTV? Those in BJP will rue the day that Modi does succeed in hoodwinking peopld and becoming Prime Minister, because in achieving that status, he would have destroyed his party itself, by reducing a zombiedom of “yes men” and ”yes woman”!

The BJP victory in the recent elections in Chattisgarh and Madhya Pradesh are entirely because of the track record of performance of its good incumbent chief ministers there. In Rajasthan, it was the stupidity of the games that BJP national leadership played against her before the 2008 elections, that so rubbed Vasundara Raje that almost made her resign from the party itself. This time, the major contribution of the BJP national leadership in Rajasthan ,was to give a free hand to Vasundara Raje, and she has proved her mettle again. In all these three states, Modi had no role to play in the election victory, except for his unimaginative drone of anti congress speeches packed with hatred and falsehood. His role was no more than that of the helicopter which Sonia used for election campaign in earlier years – which attracted curious crowds!

So much has been spoken about his standing in Gujarat. People forget that even in the 2012 Assy. Elections in Gujarat, despite all the unprecedented hype about Modi rule in Gujarat , BJP won 2 seats less (115 seats, against the 117 seats it had won in the 2007 elections)!

The AAP movement’s biggest contribution to democracy in India is not that it has shown the place to Congress, but what it has done to BJP and Narendra Modi.
N.Narasimhan

INDIAN ELECTION RESULTS WILL HAVE LIMITED BEARING ON SENSEX AND ECONOMY.

07 Dec. 2013.
Was the India’s Sensex collapse during 2008 from the high of 20873.33 (closing) on 08-01-2008, to the low of 8451.01 (closing) 11 months later on 20-11-2008, a collapse due to the political turmoil in India? Now there is euphoria that if BJP comes to power in 4 of the 5 states that went to polls recently, and if this is followed by that party winning the Lok Sabha elections a few months later, Sensex will zoom higher from the present level of around 21000. These are in my view, predictions that are immature.

It was not the BJP or NDA coming to power in 2004 at the Centre, but the sagacious and visionary leadership of Vijapayee, the massive infrastructure spending and such like measures that he initiated, that inspired and gave a good push to the economy, for the major part of that regime. Even so, it must be recognised that people at large became disillusioned with declining authority of that administration, in the later part of that regime, which was also marked by galloping corruption and scandals. These made voters bring in UPA-I and UPA-II five years later, into power. For some years now, Vajpayee has himself all but merged into history, and there is no one anywhere comparable to him in stature and capacity to inspire confidence among people and in the economy, especially Modi.

We must not fail to recognise that in economies including Indian, that are getting globalised, international events reflect themselves on local economies. This is primarily what happened in 2008 which substantially also contributed to the Indian Sensex heartache. On the world scale, things are happening to lift up sentiments as never before. The incredible agreement brokered by 6 European powers between Iran and US on gradual lifting of sanctions (which bring a drastic reduction in India’s oil import bill and reduction of CAD), the very positive BALI Round of WTO talks which again brighten the economic scene for India, the non-happening of US bombing of Syria, thanks to the successful Russian intervention, to name some. In fact, huge credit goes to US President Obama, who, in not bombing Syria even after obtaining Senate approval, and in agreeing to the US Iran accord, has himself suffered an image decline back home. He displayed extra ordinary statesmanship, in the interest of furthering world peace and all round economic progress. The powerful defence lobby in the US which has manipulated many an American President to toe its line, has failed to push Obama around.

Journalist Srinivasa Raghavan had once analysed in an article in “Business Standard” on when the Recession cycle is at its peak, had convincingly concluded that every American Presidential election year is a year of recession peaking! Next November, the US Presidential elections are due. Rather than being over joyed that BJP or NDA could be in power in India at the Centre, and in some states, we have therefore reason to be cautious on at least two counts. One, as I mentioned earlier, next November is the American Presidential election and two, barring rare exceptions, whenever BJP or non Congress parties have come to power, they have conducted themselves in such a manner, that they have soon enough convinced people that Congress was better! If you have any doubt, recall how BJP’s Yeddiyurappa worked hard to bring Congress back to power in Karnataka . a recent event at that! In fact, the unveiling political scenario could be the beginning of ridding the Congress of its most serious and chronic malady – dynastic succession, which would be an immeasurable contribution to the development of Indian democracy. –Sure, the forthcoming election results will have some – and passing – bearing on the Indian economy including the stock markets, but it is wrong to say that it will have a “door die” impact.

N.Narasimhan

SHIFTING GOLE POSTS PUNCTURES INVESTORS CONFIDENCE

06 Nov. 2013

Mr.Madhivanan Balakrishnan, who along with a team had joined the company as its MD & CEO of 3i Info in the first quarter of FY13, had correctly observed “We are exploring ways and means to emerge out of the high-cost debt situation, which would help us reduce the cost of borrowings”
As part of the CDR to restructure Rs.1300 (of the then about Rs.2300 crores) loans from Indian banks Mr.Balakrishnan had also mentioned that 3 i Info is in talks with four foreign banks to borrow about $250-270 million, which was expected to flow in in the first quarter of this financial year.

He had indicated that as a result, the crippling interest burden would come down considerably. To further ensure that this happens, he had indicated selling 3i stake in its Hyderabad-based subsidiary Locus Enterprise Solutions during this financial year to pay some high interest bearing loans. “Our internal objective is the third quarter and this would depend on our ability to replace the CDR. If we replace the debt this quarter, we will target a turnaround by Q3. The worst case scenario would be Q4.” He had assured.

It is with these expectations that 3 i Info increased its Equity Capital from Rs. 191.99 crores in March 2012 qtr., to Rs. 434.26 in June 2012 qtr., and gradually to Rs. 571.94 crores by Sept. 2013 qtr.

He had said in an interview on i, May 15: that 3i Infotech, “expects to emerge out of the debt crisis in the current quarter (1st qtr) and turnaround by the third quarter of FY14.

To emerge out of the high-cost debt situation, he had mentioned “selling stake in subsidiaries and other cost-cutting measures” 3i Info continues to be dragged down by its subsidiaries, which have mushroomed over the years, even while its income has remained static or has been dipping now and then. If the 3i Info top brass thought of a picnic for the Managing Directors of all its subsidiaries, they would be a bus full! Apparently the adage “a family with many children is a poor family”, is yet to soak in, among those at its helm!. 27 when last counted, the cause of morass in which 3i Info has been wading through for years now, perhaps lies here.

Close to 50% of 3i Info equity is held by public, FIIs and Life Insurance Corporation of India among others.

Its Executive Director and Group Chief Financial Officer Charanjit Attra (name does not ring a bell!) in an interview to Hindu Business after the Sep. 2013 qtr. results were out, has shifted the turnaround goal post now to the 1st qtr. of 2014-15. Shifting goal posts punctures investors’ confidence.

As pointed out by Mr.Charanjit Attra, perhaps the only silver lining (if it can be called that), is the reduction of staff strength by 550, (to 8,950 from 9,500), replacing “high-cost staff”, shifting offices out from high cost regions – in Mumbai, Bangalore and Chennai – to low-cost areas. He may mean this as an example of “operational efficiencies and due to our cost reduction and workforce rationalisation efforts,”, but I would rather describe these as examples of shop keeper’s mentality!

As between Time Period 01, (6 qtrs. from Mar. 2012 qtr to June 2013 qtr) and Time Period 02, (6 qtrs. from June 2012 qtr to Sep.2013 qtr), 3i Info continues to suffer from negative rating. It has however improved from -454.46 in Time Period 01, to -115.91 in Time Period 02, despite income from operations shrinking from Rs.84.20 crores, (Mar 12 qtr) to Rs. 78.26 crores (Sep. 2013 qtr), interest as % of total income, worsening from 56.85% to 95.27%.

There have been some significant positives during these two time periods. To cite some, P/L After Tax from Ordinary Activities has improved from Rs. -212.27 crores to Rs. -97.48 crores, Cash Profit has improved from Rs. -192.02 crores to Rs. -42.04, Ratio ‘R’ improving from -1.35 to -0.20 and EPS for 4 consec. qtrs. improving from Rs. -12.37 to Rs. -7.06.

I repeat what I have said earlier. You do not need 27 subsidiaries in 50 countries, that too with track record of bagging awards in so many countries, to have static or even declining income,. Either jack up profitable income from operations, or close down subsidiaries that are value destroyers and avoid short sighted, morale and image negative shop keepers’ measures.

N.Narasimhan

SUPREME COURT CASTIGATES STOOL PIGEONS

04 Nov. 2013.

Every right thinking person should welcome the judgement of Supreme Court, delivered on 3rd Nov. 2013, dismissing a PIL petition seeking to quash the appointment of Mr.U.K. Sinha as the Chairman of SEBI. In so doing, it has called the petitioners as “stool pigeons”, acting “to protect the vested interests of some unidentified business lobbies.” These “unidentified” establishments are big time operators in the Indian economic scene, for decades through specialising in bending rules to suit their goals. Mr.U.K. Sinha, the SEBI Chairman, has been asserting more decisively, to clean up matters, and is inconvenient to those “captains” of industry and trade, who therefore want him thrown out and manipulate the choice of a more “acceptable” successor.

The other Sinha, Mr. Ranjit Sinha, Director of CBI, against whose appointment many including BJP opposed, has proved himself a tough, very tough nut indeed, to crack. He has been asked by Supreme Court, to proceed with investigations against the “who is who” of barons who control 16% of India’a GDP.

There are growing signs that at least some of the incumbents of the nation’s premier organisations are waking up to an awareness that they are trusted with implementing the law as it is, and not on the basis of who the person it is directe3d against is. In such a pursuit of their responsibilities, these men are ensuring that the best long term interests of the economy are served. Let’s wish them God speed in their work, and ignore the “stool pigeons” and their “unidentified” masters.

N.Narasimhan

Parliament paralysis, not policy paralysis, is the real problem, as mentioned recently by Finance Minister P. Chidambaram

15 Oct. 2013.

The last time my wife and i visited Singapore zoo, we were spell bound by what we saw at the location where Ethiopian monkeys are kept. Two leader monkeys, each trying to score brownie points, were egging on their groups through loud snarling, running helter skelter ferociously menacing each other, big red eyes belching out in anger. The “show” lasted about 10-15 minutes. Reminded me of our parliament and UP assembly “debates”, which made us feel at home.

The Ethiopian monkeys proved themselves wiser than our “elected” representatives! They retreated into the foliage backdrop thereafter, for a while and emerged back into public view, as a well behaved, friendly crowd, in contrast to the never ending dog fight that our “elected representatives” indulge in. P. C. Is dead right in saying that the real problem in india is parliament paralysis induced by BJP and the opposition, rather than the policy paralysis one keeps repeating ad nauseam.

N. Narasimhan

OH GOD, REMAIN AWAKE!

11 Oct. 2013.

Looking at the Andhra scene that has been unfolding in the recent past, I am beginning to think that God not only exists, but does intervene when things go from bad to worse. The first was the helicopter crash that ended the unbelievably corrupt YSR rule. Now comes the impending threat of Phailin cyclone, the fastest ever in Indian history, which has doused the fires of the insensitive agitation, for or against creation of Telangana, pursued and funded by a handful of the self serving politicians and bureaucrats, whose real motive is not the good of Seemandhra or Royalseema and Seemandhra, but to protect their clandestine and colossal investments in and around Hyderabad, made from thousands of crores of money looted from the people.
Oh God! Thank you for waking up! I was wondering whether you had come under the spell of Kumbakarna! My prayer? Remain awake!

N.Narasimhan