Skip to main content

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

TRENDING

Academics urge Azim Premji University to drop FIR against Student Reading Circle

  By A Representative   A group of academics and civil society members has issued an open letter to the leadership of Azim Premji University expressing concern over the filing of a police complaint that led to an FIR against a student-run reading circle following a recent incident of violence on campus. The signatories state that they hold the university in high regard for its commitment to constitutional values, critical inquiry and ethical public engagement, and argue that it is precisely because of this reputation that the present development is troubling.

Nepal votes amid regional rivalry: Why New Delhi is watching closely

By Nava Thakuria*  As Nepal holds an early national election on Thursday (5 March 2026), the people of northeast India, along with other regional observers, are watching the proceedings closely. The vote was necessitated after the government of Prime Minister Khadga Prasad Sharma Oli collapsed in September 2025 following widespread anti-government protests. The election will determine the composition of the 275-member House of Representatives, originally scheduled for 2027, under the stewardship of an interim government led by former Supreme Court justice Sushila Karki.

'Policy long overdue': Coalition of 29 experts tells JP Nadda to act on SC warning label order

By A Representative   In a significant development for public health, the Supreme Court of India has directed the Food Safety and Standards Authority of India (FSSAI) to seriously consider implementing mandatory front-of-pack warning labels on pre-packaged food products. The order, passed by a bench of Justices J.B. Pardiwala and K.V. Viswanathan on February 10, 2026, comes as the Court expressed dissatisfaction with the regulatory body's progress on the issue.

Vaccination vs screening: Policy questions raised on cervical cancer strategy

By A Representative   A public policy expert has written to Union Health Minister J. P. Nadda raising a series of concerns regarding the national Human Papillomavirus (HPV) vaccination campaign launched on February 28 for 14-year-old girls.

From plagiarism to proxy exams: Galgotias and systemic failure in education

By Sandeep Pandey*   Shock is being expressed at Galgotias University being found presenting a Chinese-made robotic dog and a South Korean-made soccer-playing drone as its own creations at the recently held India AI Impact Summit 2026, a global event in New Delhi. Earlier, a UGC-listed journal had published a paper from the university titled “Corona Virus Killed by Sound Vibrations Produced by Thali or Ghanti: A Potential Hypothesis,” which became the subject of widespread ridicule. Following the robotic dog controversy coming to light, the university has withdrawn the paper. These incidents are symptoms of deeper problems afflicting the Indian education system in general. Galgotias merely bit off more than it could chew.

Development vs community: New coal politics and old conflicts in Madhya Pradesh

By Deepmala Patel*  The Singrauli region of Madhya Pradesh, often described as “India’s energy capital,” has for decades been a hub of coal mining and thermal power generation. Today, the Dhirouli coal mine project in this district has triggered widespread protests among local communities. In recent years, the project has generated intense controversy, public opposition, and significant legal and social questions. This is not merely a dispute over one mine; it raises a larger question—who pays the price for energy development? Large corporate beneficiaries or the survival of local communities?

The new anti-national certificate: If Arundhati Roy is the benchmark, count me in

By Dr. Mansee Bal Bhargava*   Dear MANIT Alumni Network Committee, “Are you anti-national?” I encountered this fascinating—some may say intimidating—question from an elderly woman I barely know, an alumna of Maulana Azad College of Technology (MACT, now Maulana Azad National Institute of Technology - MANIT), Bhopal, and apparently one of the founders of the MACT (now MANIT) Alumni Network. The authority with which she posed the question was striking. “How much anti-national are you? What have you done for the Alumni Network Committee to identify you as anti-national?” When I asked what “anti-national” meant to her and who was busy certifying me as such, the response came in counter-questions.

Minority concerns mount: RTI reveals govt funded Delhi religious meet in December

By Syed Ali Mujtaba*  Indian Muslims have expressed deep concern over what they describe as rising hate speech and hostility against their community under the BJP-led government in India. A recent flashpoint was the event organised by Sanatan Sanstha titled “Sanatan Rashtra Shankhnad Mahotsav” in New Delhi on 13–14 December 2025.

From neglect to progress: The story of Ranavara’s community-led development

By Bharat Dogra   Visitors to Ranavara, a remote village in Kherwara block of Udaipur district, are often surprised by its multi-dimensional progress. The village today is known for its impressive school building, regenerated pastures, expanded tree cover, and extensive water conservation and supply works. These achievements are the outcome of sustained community efforts over several years, demonstrating how small, consistent initiatives can lead to significant change.