Modi doled out huge concessions to Gujarat tycoons by "creating" mechanism for legalised corruption: Ex-BJP CM

Modi enjoying camel ride at Sharadotsav

By A Representative
Starting with 2005, Prime Minister Narendra Modi, as Gujarat chief minister, created a well-oiled mechanism, under which he made top tycoons to fund, and also politically support, his well-publicized festivals and business meetings, including the biennial Vibrant Gujarat world business summits, and in return doled away huge concessions to them.
Calling it "legalised corruption", former BJP chief minister and industries minister under Modi in 2001-02, Suresh Mehta, who resigned from BJP in 2007, told media in Ahmedabad that this unique "Gujarat model" took shape starting with an August 5, 2005 government resolution (GR), which allowed state officials to open a separate account for the money received from business houses and use it in festivities.
"In complete violation of the Constitution, which bars any funds to be used for official purposes if they are not permitted by the legislature, the GR formed a committee consisting of ministers and government officials, which at its two formal meetings on August 16 and 22 asked district collector, Kutch, Pradeep Sharma, to open an account with State Bank of India (SBI), where the funds received for the first such festival, Rannotsav, held later that year, was kept", Mehta said.
Claiming to have received the information under the Right to Information (RTI) Act after "frequent denials" to show official records, for which he had to make several appeals, Mehta, who is not associated with any political party, said, "The records which I have received show that 453 big and small companies, private individuals, cooperative banks, cinema houses, petrol pumps, business associations, etc. were were made to fund the Sharadotsav."

Modi with Kutch collector Pradeep Sharma

"What is shocking is that, in this effort for Modi's officially-sponsored festival even village panchayats were not spared. As many as 136 of them, many extremely poor, were forced to give money for Sharadotsav. If they refused, they were forced to give just about Rs 500", Mehta said, handing over documents in support of his claims.
Pointing out that the total funds thus collected in the SBI account No of 090310007623 of Bhuj, Kutch district headquarter, was Rs 2.39 crore, Mehta said, "Officials wrote letters to business houses to fund the festival. Thus, the district collector wrote a letter to the Adani Port Ltd in Mundra, Kutch, to provide Rs 50 lakh. As against this, it sent across a cheque of Rs 25 lakh. Another business house, Welspun, gave Rs 55 lakh in four instalments."
Claiming that this "coincided" with tycoons being offered "huge" concessions, Mehta said, "For instance, soon after this, Welspun was given 48 acres of land in Kutch for kickstarting an industrial unit at the rate of Rs 15 per metre, while the actual market rate was Rs 200 per metre. Even the assessment government rate, called jantri, was Rs 78 per metre."
Revealing that the SBI account opened for receiving money from different sources till date has not been closed, and has gone into dormant, Mehta added, "According to my information, Welspun, which owns 1,600 acres of land in Kutch, has so far been given away concessions worth Rs 21,000 crore."
Noting how the money collected from different sources, especially business houses, was used, Mehta said, "Information received under RTI shows that Modi ate a Gujarati sweet dish made of milk and rice, doodh pauva, for Rs 12,270, rode on a camel cart whose beds and pillows cost 15,625, and a private individual, said to have been the guest of Modi, Mansi Soni, was paid Rs 5,153 against her mobile recharge and petrol."

Comments

Gram sabha as reformer: Mandla’s quiet challenge to the liquor economy

By Raj Kumar Sinha* This year, the Union Ministry of Panchayati Raj is organising a two-day PESA Mahotsav in Visakhapatnam, Andhra Pradesh, on 23–24 December 2025. The event marks the passage of the Panchayats (Extension to Scheduled Areas) Act, 1996 (PESA), enacted by Parliament on 24 December 1996 to establish self-governance in Fifth Schedule areas. Scheduled Areas are those notified by the President of India under Article 244(1) read with the Fifth Schedule of the Constitution, which provides for a distinct framework of governance recognising the autonomy of tribal regions. At present, Fifth Schedule areas exist in ten states: Andhra Pradesh, Chhattisgarh, Gujarat, Himachal Pradesh, Jharkhand, Madhya Pradesh, Maharashtra, Odisha, Rajasthan and Telangana. The PESA Act, 1996 empowers Gram Sabhas—the village assemblies—as the foundation of self-rule in these areas. Among the many powers devolved to them is the authority to take decisions on local matters, including the regulation...

MG-NREGA: A global model still waiting to be fully implemented

By Bharat Dogra When the Mahatma Gandhi National Rural Employment Guarantee Act (MG-NREGA) was introduced in India nearly two decades ago, it drew worldwide attention. The reason was evident. At a time when states across much of the world were retreating from responsibility for livelihoods and welfare, the world’s second most populous country—with nearly two-thirds of its people living in rural or semi-rural areas—committed itself to guaranteeing 100 days of employment a year to its rural population.

When a city rebuilt forgets its builders: Migrant workers’ struggle for sanitation in Bhuj

Khasra Ground site By Aseem Mishra* Access to safe drinking water and sanitation is not a privilege—it is a fundamental human right. This principle has been unequivocally recognised by the United Nations and repeatedly affirmed by the Supreme Court of India as intrinsic to the right to life and dignity under Article 21 of the Constitution. Yet, for thousands of migrant workers living in Bhuj, this right remains elusive, exposing a troubling disconnect between constitutional guarantees, policy declarations, and lived reality.

Policy changes in rural employment scheme and the politics of nomenclature

By N.S. Venkataraman* The Government of India has introduced a revised rural employment programme by fine-tuning the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), which has been in operation for nearly two decades. The MGNREGA scheme guarantees 100 days of employment annually to rural households and has primarily benefited populations in rural areas. The revised programme has been named VB-G RAM–G (Viksit Bharat Guarantee for Rozgar and Ajeevika Mission – Gramin). The government has stated that the revised scheme incorporates several structural changes, including an increase in guaranteed employment from 100 to 125 days, modifications in the financing pattern, provisions to strengthen unemployment allowances, and penalties for delays in wage payments. Given the extent of these changes, the government has argued that a new name is required to distinguish the revised programme from the existing MGNREGA framework. As has been witnessed in recent years, the introdu...

Rollback of right to work? VB–GRAM G Bill 'dilutes' statutory employment guarantee

By A Representative The Right to Food Campaign has strongly condemned the passage of the Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB–GRAM G) Bill, 2025, describing it as a major rollback of workers’ rights and a fundamental dilution of the statutory Right to Work guaranteed under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA). In a statement, the Campaign termed the repeal of MGNREGA a “dark day for workers’ rights” and accused the government of converting a legally enforceable, demand-based employment guarantee into a centralised, discretionary welfare scheme.

'Structural sabotage': Concern over sector-limited job guarantee in new employment law

By A Representative The advocacy group Centre for Financial Accountability (CFA) has raised concerns over the passage of the Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (VB–G RAM G), which was approved during the recently concluded session of Parliament amid protests by opposition members. The legislation is intended to replace the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA).

Making rigid distinctions between Indian and foreign 'historically untenable'

By A Representative Oral historian, filmmaker and cultural conservationist Sohail Hashmi has said that everyday practices related to attire, food and architecture in India reflect long histories of interaction and adaptation rather than rigid or exclusionary ideas of identity. He was speaking at a webinar organised by the Indian History Forum (IHF).

From jobless to ‘job-loss’ growth: Experts critique gig economy and fintech risks

By A Representative Leading economists and social activists gathered in the capital on Friday to launch the third edition of the State of Finance in India Report 2024-25 , issuing a stark warning that the rapid digitalization of the Indian economy is eroding welfare systems and entrenching "digital dystopia."

'Festive cheer fades': India’s housing market hits 17‑quarter slump, sales drop 16% in Q4 2025

By A Representative Housing sales across India’s nine major real estate markets fell to a 17‑quarter low in the October–December period of 2025, with overall absorption dropping 16% year‑on‑year to 98,019 units, according to NSE‑listed analytics firm PropEquity. This marks the weakest quarter since Q3 2021, despite the festive season that usually drives demand. On a sequential basis, sales slipped 2%, while new launches contracted by 4%.

Search This Blog