31 October 2012

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Arvind Kejriwal Expose 23 Facts Reliance Gas Price Congress BJP Nexus

Arvind Kejriwal Expose  23 Facts Reliance Gas Price  Congress BJP Nexus

Today addressing the nation and media Arvind Kejriwal said that
all governments have been working under corporate pressure.

Kejriwal also questioned Reliance Industries chief Mukesh Ambani for his role in influencing Congress party's decisions.

Kejriwal said: "Will expose industrialist-politician nexus."

Kejriwal Played the tapes in Press briefing.

After playing the Ratan Tata – Radia tapes, Kejriwal wastes no time in naming his next Corporate target: Reliance Industries and Mukesh Ambani. He alleges that in 2000, NDA had favoured Mukesh Ambani’s Reliance in gas pricing, with Prashant Bhushan adding that both the Congress and BJP are in ‘Mukesh Ambani’s pockets’.

Kejriwal played a recorded clip of conversation between Niira Radia and Ranjan Bhattacharya (Atal Behari Vajpayee's son-in-law) and Niira Radia during 2008-09.

Ranjan Bhattacharya is boasting of a close relationship with Cong leader Ghulam Nabi Azad.

"Bhattacharya: Have a great line to Ghulam Nabi for what it counts. Is Mukesh Happy?       
Radia: Very happy....
Bhattacharya: Congress to apni dukan hai - he quotes Mukesh Ambani"

Arvind Kejriwal said that whoever opposed the Reliance, their demands he was transferred under the Reliance Pressure.

Arvind Kejriwal said, "Jaipal Reddy was replaced with Veerappa Moily to increase gas prices,"

Kejriwal said that in 2000, NDA favored Mukesh Ambani’s Reliance in gas pricing.

“Why did the government favor Reliance?" Kejriwal asked. "Reliance must have filled some ministers pocket”, thundered Kejriwal," he said.

Arvind Kejriwal further said that

'Ambani runs the country, not Manmohan Singh,'
'Even the PM was very sympathetic to RIL. And as a result, Reliance has gained more than Rs 1 lakh crore, that the country lost',

'Reliance went to various ministers including Reddy and other ministries to increase prices of gas.
After being rejected by all, Mukesh Ambani went to the PM who agreed to increase the prices immediately', said Kejriwal.

Prashant Bhushan said that both Congress and BJP are in "Mukesh Ambani’s pockets".

Prashant Bhushan said that What we are exposing today is not on an individual but on the working system of the country. Crony capitalism has spread its tentacles far and wide in the country,"

Bhushan speaking further on the Govt-RIL deal on KG-D6, said that the fall out from this instance of ‘crony capitalism’ was similar to the Robert Vadra-DLF deal. He then called for the cancellation of all the contracts on natural resources that have been given away, including coal block allocations.

“What is the rationale of the govt for handing our natural resources like coal, iron & bauxite which belong to people to corporates? The time has come for the people of this country to reclaim their resources”, he said.

“Can this kind of crony capitalism be allowed in this country that like a Frankenstein monster eat on the country’s resources?”, he added.

Kejriwal demands the cancellation of all the contracts on natural resources to Reliance.

23 Allegations made by the IAC Arvind Kejriwal

In 2006, Mani Shankar Iyer was removed and Murli Deora brought in to increase RIL capex from $ 2.39 billion to $ 8.8 billion and to increase gas price from $2.34  per mmBTU to $ 4.2 per mmBTU

In 2012, Jaipal Reddy has been removed and Moily brought in to increase gas prices from $ 4.2 per mmBTU to $ 14.2 mmBTU and to condone RIL’s blackmailing of reducing gas production

Both BJP and Congress involved. BJP signed a sweet deal with RIL in 2000. Congress faithfully implemented it

If RIL demand of increasing the gas price to $ 14.2 is accepted, it would lead to shut down of several gas-based power plants and increase in power and fertilizer prices. By this deal, RIL would benefit by an additional Rs. 43,000 crore

In Nira Radiia tapes, Ranjan Bhattacharya (Vajpayee’s son in law) is heard telling Nira that Mukesh Ambani told him –“Congress to ab apni dukaan hai”

Huge benefits given to RIL in last one decade despite flagrant violations of various agreements by RIL. Benefits to RIL causing serious price rise in the country.

The IAC says: "In order to pressurize the government, RIL substantially reduced its production of natural gas.

Total consumption of natural gas in the country is 156 mmscmd. According to agreement, RIL was supposed to produce 80mmscmd (more than 50% of the total demand) from 2009."

"RIL got this contract during NDA regime in the year 2000. The contract was meant to favor RIL right from the beginning. In any business, increase in costs means decrease in profits."

4 times, cost escalation within 2 years from $ 2.39 billion in 2004 to $ 8.8 billion in 2006.

Increase in gas price from $ 2.34 per mmBTU in 2004 to $ 4.2 per mmBTU in 2007 to the present demand of $ 14.2 per mmBTU.

Capacity created for producing 80 mmscmd after incurring such a huge cost ends up producing just 27 mmscmd after 12 years.

31 oil wells should have been in production till now. Out of them, just 13 are functional.

this scam is on similar lines as Coal block allocation scam. Coal blocks were given away saying that coal production was less in the country and private sector participation would increase coal production. Rather than produce coal, the private parties hoarded coal blocks to sell them at appropriate time in future.

"PM was very sympathetic to RIL. PM requested Ministry of Petroleum to seek AG its opinion on whether gas prices could be increased midway as demanded by Reliance. It is strange why did the PM not show similar concern when NTPC was forced to accept higher gas price from RIL?

Why is the PM not pulling up Reliance for not producing 80-mmscmd gas as per their commitment?

Why did the PM not seek legal opinion when country is interests were at stake?

Why is PM showing so much interest when RIL interests are at stake?"

"This episode explains the real reasons for price rise in the country. The government seems to be succumbing to illegitimate demands of some powerful corporates in the country (like RIL in this case). Benefits provided to RIL in this case contributed to price rise in power and fertilizer sectors.

Similarly, on one hand, government says that they do not have Rs. 35,000 crores to provide LPG subsidy to the people, on the other hand, the government bends backwards to provide benefits to these corporate."

RIL was supposed to supply gas at $4.25 per unit for 17 yrs. within 2 years they started asking for revision of this rate”, he said, adding that the NTPC had signed an agreement with RIL where it was supposed to supply gas to the government at the rate $2.25 per unit but said that they charged $4. 25/unit instead. Kejriwal says that this was subsequently approved by a GoM headed by Pranab Mukherjee.

“When NTPC was asked to pay $4.25/unit, why did the PM not consult Attorney General?”, he asks, adding that the KG-D6 deal with RIL should be scrapped immediately

a performance audit by CAG held immediately regarding all deals.

Reality views by sm –

Wednesday, October 31, 2012

Tags – Reliance Congress Gas Scam Coal Scam


रविकर October 31, 2012  

अस्वाभाविक ग्रोथ का, सीधा सरल निचोड़ |
आम जनों के रक्त से, करते जमा करोड़ |

करते जमा करोड़, जुगाड़ी जुगल जोड़ियाँ |
करें अशर्फी जमा, बड़ी दमदार कौडियाँ |

मूत रहे ये आग, बड़ा साम्राज्य खडा है |
हाड़ मांस की नींव, आदमी दबा पड़ा है ||

Destination Infinity October 31, 2012  

I am just not able to understand what is going on! I hope something will improve due to these exposes.

Destination Infinity

Kirtivasan Ganesan November 01, 2012  

Seshan wrote a book. One correspondent(a Bengali guy) commented "He has lifted the covers of dustbin and said it is dirty". Maybe true. But the fact is people like to say things are dirty.
Amartya Sen is different. He is relatively more positive.
We must look at the positive side of India. But Kejriwal is planning to be a politician and is speaking their language.

MEcoy November 02, 2012  

nice post as usual sm