Skip to main content

What's Rs 90 lakh worth for top Rly Board post? A babu 'collected' Rs 50 lakh for that!

By Rathin Das

“Just Rs 90 lakhs?! That’s not a big price to get such a high post in the Railway Board”, many in bureaucracy would scream. They know Indian republic has a long history of having price tags for several posts that involve interactions with contractors -- first awarding them projects and later clearing their inflated bills, to say the least. The payment made for procuring the post is recovered through kickbacks received from contractors and suppliers, the beneficiaries of the projects at the cost of the exchequer.
No questions are asked about the source and destination of the slush money as the bureaucracy-contractor nexus has for long perfected the system of ‘regulating’ the flow of public money back to the coffers of the officers. In this case of Rs 90 lakhs paid to the nephew of the Railway Minister for securing the coveted post, the officer must have relied on the contractors who would be returned the favour by way of speedy payments of over-rated bills.
But the business-savvy state of Gujarat has one unique example of an officer borrowing from industry owners for paying to get a far-away posting that was of no consequence to their business interests.
A Gujarat cadre IAS officer in the early 1990s had sought “loans” totalling Rs 50 lakhs from industrialists in the district where he was the collector.
Towards the end of his stint as collector, the IAS officer became entitled for a deputation to a posting in his native Andhra Pradesh. He told the small and medium industry owners in the district that he “required” Rs 50 lakhs to get the coveted post of chairman in the Vishakhapatnam Port Trust, the most important port in Andhra Pradesh.
The IAS officer had only asked for “loans” from the industry owners -- Rs three lakhs to Rs five lakhs each -- in order to raise the money he “required” to get the post of Chairman in the Vizag Port Trust.
Knowing fully what a “loan” to an IAS officer actually means, the small and medium industry owners had coughed up some money each as per their individual capacities.
Though the industry owners had no stake in the IAS officer becoming the Chairman of the Vizag Port Trust, they had no option to say no to the “loan” request as they knew he would be back in Gujarat after few years, definitely at a higher post in the State Secretariat.
Despite going to his native Andhra Pradesh with the Rs 50 lakhs collected as “loan” from the industrialists in Bharuch, the IAS officer could become only the Deputy Chairman of the Vizag Port Trust.
But the industrialists in Bharuch had a pleasant surprise as the IAS officer had actually refunded about Rs 45 lakhs within a year-and-half of going to Vizag, though only as the Deputy Chairman of the port there.
Two decades later, a vigilance inquiry found him guilty of embezzlement during his tenure at the Vishakhapatnam Port Trust (VPT) following which he was suspended from service.
But the irony of the Indian system is that no one ever asked who had demanded the Rs 50 lakhs the IAS officer “required” to get the coveted post at the Vishakhapatnam Port Trust.Guj IAS took loan to be port trust chief.
---
Rathin Das is a senior journalist, based in Ahmedabad

Comments

TRENDING

When democracy becomes a performance: The Tibetan exile experience

By Tseten Lhundup*  I was born in Bylakuppe, one of the largest Tibetan settlements in southern India. From childhood, I grew up in simple barracks, along muddy roads, and in fields with limited resources. Over the years, I have watched our democratic system slowly erode. Observing the recent budget session of the 17th Tibetan Parliament-in-Exile, these “democratic procedures” appear grand and orderly on the surface, yet in reality they amount to little more than empty formalities. The parliamentarians seem largely disconnected from the everyday struggles faced by ordinary exiled Tibetans like us.

Study links sanctions to 500,000 deaths annually leading to rise in global backlash

By Bharat Dogra  International opinion is increasingly turning against the expanding burden of sanctions imposed on a growing number of countries. These measures are contributing to humanitarian crises, intensifying domestic discord, and heightening international tensions, thereby increasing the risks of conflicts and wars. 

Dhurandhar: The Revenge — Blurring the line between fiction and political narrative

By Mohd. Ziyaullah Khan*  "Dhurandhar: The Revenge" does not wait to be remembered; it arrives almost on the heels of its predecessor, released on March 19, 2026, just months after the first film’s December 2025 debut. The speed of its arrival feels less like creative urgency and more like calculated timing—cinema responding not to storytelling rhythm but to the emotional climate of its audience. Director Aditya Dhar, along with actor Yami Gautam, appears acutely aware of this moment and how to harness it.

Beyond the island: Top mythologist reorients the geography of the Ramayana

By Jag Jivan   In a compelling new analysis that challenges conventional geographical assumptions about the ancient epic, writer and mythologist Devdutt Pattanaik has traced the roots of the Ramayana to the forests and river systems of Central and Eastern India, rather than the peninsular south or the modern island nation of Sri Lanka.

BJP accounts for 99% of political donations in Gujarat: Corporate giants dominate

By Jag Jivan   An analysis of the official data on donations received by national parties from Gujarat during the Financial Year 2024-25 reveals a staggering concentration of funding, with the Bharatiya Janata Party (BJP) accounting for nearly the entirety of the contributions. The data, compiled in a document titled "National Parties donations received from Gujarat during FY-2024-25," lists thousands of transactions, painting a detailed picture of the financial backing for political parties from one of India’s most industrially significant states.

Alarming decline in India's repair culture threatens circular economy goals: Study

By Jag Jivan  A comprehensive new study by environmental research and advocacy organisation Toxics Link has painted a worrying picture of India's fading repair culture, warning that the trend towards replacement over repair is accelerating the country's already critical e-waste crisis.

Captains extraordinaire: Ranking cricket’s most influential skippers

By Harsh Thakor*  Ranking the greatest cricket captains is a subjective exercise, often sparking passionate debate among fans. The following list is not merely a tally of wins and losses; it is an assessment of leadership’s deeper impact. My criteria fuse a captain’s playing record with their tactical skill, placing the highest consideration on their ability to reshape a team’s fortunes and inspire those around them. A captain who inherited a dominant empire is judged differently from one who resurrected a nation’s cricket from the doldrums. With that in mind, here is my perspective on the finest leaders the game has ever seen.

Swami Vivekananda's views on caste and sexuality were 'painfully' regressive

By Bhaskar Sur* Swami Vivekananda now belongs more to the modern Hindu mythology than reality. It makes a daunting job to discover the real human being who knew unemployment, humiliation of losing a teaching job for 'incompetence', longed in vain for the bliss of a happy conjugal life only to suffer the consequent frustration.

‘No merit’ in Chakraborty’s claims: Personal ethics talk sans details raises questions

By Jag Jivan  A recent opinion piece published in The Quint by Subhash Chandra Garg has raised questions over the circumstances surrounding the resignation of Atanu Chakraborty from HDFC Bank , with Garg stating that the exit “raises doubts about his own ‘ethics’.” Garg, currently Chief Policy Advisor at Subhanjali and former Secretary of the Department of Economic Affairs, Government of India, writes that the Reserve Bank of India ( RBI ) appears to find no substance in Chakraborty’s claims, noting, “It is clear the RBI sees no merit in Atanu Chakraborty’s wild and vague assertions.”