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expose-corruptionTHMB.jpg Corrupt babus make life miserable for SMEs

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Bikky Khosla | 25 Jan, 2011
Taking cue from the tremendous response we received from our members on whether rampant corruption has dented the country's global image, we tried to find out whether small and medium enterprises (SMEs) were affected by corruption or not. Startling facts have come to light with most SMEs admitting that at one point or another, they have encountered a corrupt babu asking for bribes to get things done.  

Bribery is one of the most worrisome issues for small and medium enterprises (SMEs), who feel powerless in the face of demands for bribes. They (SMEs) feel that bribery to get things done is a part of their business practice. Since SMEs lack the financial and human resources to counter bribery, they have today, become easy targets for corrupt demands and extortion. Moreover, bribery in the circles of SMEs happen in small amounts and usually go unnoticed.

We are all aware that with limited business opportunities, tough competition and having to work under financial constraints, SMEs feel that paying a small sum to get their work done is okay if it means getting the job done. With no active ant-corruption agency or laws, SMEs are unaware as to whom to approach if they face such a situation where they are asked for bribes.

Today in India, corruption has imposed additional burden on SMEs who have to bear an indirect burden when dishonest government officials ask for bribes. Corruption impacts adversely on the pricing strategy of SMEs because the payment of bribes to get odd jobs done increases the cost of doing business and consequently reduces the competitiveness of the product in the global markets.

Corruption in India has thus not only decreased the efficiency of public spending and budget revenues, raising budget deficit and hindering Foreign Direct Investment, but it also has had very harmful effects on the development of Indian SMEs.

Upcoming entrepreneurs many a time are dissuaded from going ahead with their plans due to red tapism, inspector raj, and officials asking for hefty bribes. What is more worrying is the fact that SMEs, in the face of demands for bribes, are often unaware that bribery can be resisted or of the ways of tackling a situation where the propagation of their business lies in the hands of corrupt officials.

In the light of the limited information on the scale of the problem of corruption, SMEs feel that what India needs today is a leadership which can motivate and enrich government officials with an enhanced sense of public service and responsibility. Probably it will be a long wait! Till then we are at the mercy of a handful of corrupt babus.
 
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Lunatic ESIC inspectors and its Dept.,@
Alex | Sat Sep 17 09:51:58 2016
Whether workmen are getting benefitted or not. Dept. Officials are making good money by way of infectious inspections and while getting favourable orders by their deputy directors and directors. These people all gang together to harass and fleece in the name of coverage, inspections etc. The scheme formulated by Govt, of India is totally being mid usued. This an total rip off dept. Who cheat workmen and employers alike. Coverage and non coverage gets them big money. Because of the complex rules and without any appellate redressed in case of disputes embolden these officers to keep slapping notices without going through Tapal with letter numbering etc or put some assumed letter numbers on their own. Apparently these scheme is applied all over India without any exception. That is a good news to ESIC inspectors and directors. Even dept., advocates also will be happy and celebrate as their business likely to go towards north. Silly litigations and big time fees for them.


100 Modijis also cannot save this Corrupt Country
Naidu M.S | Fri Sep 16 13:59:19 2016
Corruption is very huge in VAT, ESIC,EPF and Labour depts. God save SMES and MSMES from corrupt officials of the dept, mentioned above. ESIC and EPF dept officials are highly corrupt and high handed. They resort to exortion in the name of inspection and survey!!!!!


How to resist ESIC inspectors who black mail of prosecution
Manish | Fri Sep 16 13:23:17 2016
ESIC inspectors are demons and not human beings. They are totally Corrupt, argument ice and quarrelsome. They have learnt the art of extortion by invoking many Of the draconian provisions of the ESIC to exort.


Power corrtupts and absolute powers without proper rules and checkmated bring lot of miseries and candidates for huge Exortion
Juniod | Fri Sep 16 13:16:19 2016
Corruption is very huge and organised in ESI. Exortion and litigation is very common in ESIC dept. ESIC inspectors mislead courts by giving fudged documents and bogus documents. They do not do proper work according to their Conscious but are driven by Greed and rip off mentality. It just an low grade insurance for this why should these corrupt inspectors prefer Bommasandra ,Pernya or Whitefield. All due to durable corruption to the tunes of Lakhs. Bommasandra ESIC office is full of lunatics and Corrupt ESIC inspectors. Jail these corrupt inspectors.


Corrupt and High ,Handed ,,ESIC Inspectors
Habib | Fri Sep 16 13:04:29 2016
Please google corrupt esi inspectors Or Corrupt Nagarajas and gajananans To know the scum about the dept. This dept. Does not honour any court orders to please It's battery of advocates to feed them Lakhs of rupees. Courts should slap contempt notices and send few officers to Jails.


THE BASIC COMMANDMENTS FOLLOWED BY THE CORRUPT AND RISING HIGH
col BP Kamal | Sat Sep 15 04:21:12 2012
THE BASIC COMMANDMENTS FOLLOWED BY THE CORRUPT AND RISING HIGH • Throw away the morals as they only bring trouble. • Easy money, booze, luxuries, pleasure and enjoyment is the motto of life. • Do not have feeling or emotions when you ask for the bribe which is your birth right. • Do everything except your work. • In public be a saint and in private be a maverick. • Your subordinates are the stepping stones in your life. • Never speak the truth. • Success is what counts, rest is all balls as no one has the time to find out the means adopted to achieve the grand success. • Be away from good company as they might poison you to sober down or tread the righteous path. • Sell off whatever you lay your hands on in official or authoritative capacity as you might not get the chance again. • Never pay your bills, tells someone else to do it for you from their own pocket. • Treat the property you hold or suppose to be taking care of as per your appointment as your personal one and the others as the property lent on interest by you. • Remember if you do not ask for bribe someone else will ask it on your name. • Spiritualism is a slow poison which makes you know the true worth of life. Never let it dominate your thinking. • Religion, caste, colour, sex, divided humanity are the means and channels available to you when you fail everywhere and caught red handed. •


Corrupt BABUS AND CORRUPTIONS
Rippubai | Wed Feb 9 06:12:44 2011
When you talk about corrupt babus and corruptions, have you ever thought that you yourself is glorifying CORRUPT BABUS AND CORRUPTIONS in a bigway like a Bollywood publicity.Stop crying and telling your tales. Instead EXPOSE THE CORRUPT BABUS WITH THE CORRUPTIONS outside the Department building in the Public giving all the details about that corrupt babu, his designation, his department, his job work, if possible his nexus-connections with corrupt co-workers, collegues, high ups, his home address, his business undertakings, his family because behind a corrupt babu his has his corrupt family members and everything you can about him. This will shake his department and in the long run the Administration at large. SEE HOW SOON CORRUPT BABUS, CORRUPTIONS AND SLEEPING GOVERNMENT VANISHES. By talking nothing will be done and General Public as usual will suffer, because General Public are the stupid pawns in the hands of the corrupt babus and Corrupt Government Officials at large. So wake up yourself and act yourself. When you start such noble cause, all the suffered massess will soon join with you and help erradicate corruptions, corrupt babus and corrupt government. Nothing is impossible with the General Public at large, all it is required is to START NOW. You never know what you can do unless you try for it. Start exposing corrupt babus, corruptions and its tenticals now and see the difference for yourself.


Corruption
Kanwal | Sat Feb 5 13:09:55 2011
Yes, corruption is indeed a menace, every day we face a lot of corrupt officials,transport truckers are the most affected we have to pay bribes to each and ever police man ,district transport officer,regional transport officer to move let us get together and eradicate this menace in all offices


Corruption is Slow Poison for SMEs
Vijay Sharma | Fri Feb 4 06:07:50 2011
Do not pay extra you can not work in india


classic case of corruption
Anurag Jain | Wed Feb 2 05:17:11 2011
I am an owner of an startup in high technology area, with limited finances. I bougyht a land in Govt SEZ few years ago, for around 25 lacs, out of which I had to pay Rs 7-8 Lacs as bribes. needless to say, it really dented my budget to such an extend that even today I have not able to construct any thing on ot, and the govt officials need more bribe to offset panelties and which have accumulated because of delay in construction. such is the result of coruption, and definitely our comopany has suffered.


Corruption
Anil Kumar Vasu | Mon Jan 31 16:31:13 2011
In Kochi, Kerala corruption is initiated from the Health Department. To start any business you need to get sanction from the health department. Since it is the first step in approaching the Govt. dept. the health dept. babus sit on your file. When I first approached the Health Dept. for my first company, the corporation guys charged me a lumpsum of Rs. 2000. My yearly renewal fees was Rs. 100. Second Time around, for my another company, I decided not to pay bribe. Result my corporation yearly fees was 1000/- for my new company. For my first company I end up paying Rs. 1900/- bribe & 100 yearly renewal fees. So for a period of 5 years, I end up paying 1500/- Whereas for my new company, where I decided not to pay a bribe & be a model citizen, I end up paying 1000 x 5 years = Rs. 5000!!! Moral of the story: Pay one time bribe & keep your yearly renewal fees low.


Corrupt babus make life miserable for SMEs
Aslam | Mon Jan 31 09:00:14 2011
Increase salary .. or jail them


No one can eradicate corruption in India
Speak My Mind | Sun Jan 30 16:41:21 2011
No one can eradicate corruption in India. Unless the people become more educated and understand the implications behind it. I think no one is benefited in the process of taking or giving bribe. The ill gotten money will be spent only for bad things. The person who is giving bribe should have had some spare money through some ill gotten ways. it will not do good for anyone or for the country. The Food & Fuel prices are going to go up due to inflation in the Indian currency. The future generations will suffer for all the mistakes were are doing now. There will be social imbalance in terms of wealth. The human instinct of survival " do anything to get food " will thrive and would lead to high crime rate. No one will feel safe to live. There will be fear in every aspect of your life. We think we are making money for future generations to live happily, but it is not true. the suffering will only increase. hope all the people realize that soon, both those giving bribes and the ones taking it. i know there are a lot of people who are well educated and want to come back to India are shying away taking citizenship in other parts of the world. corruption is the primary cause for that. Hope we think about the future more than the present and stride forward. let us get together to make this country a better place for our future generations to live. Whatever i have added here may not add any business value, but i think business community in India should lead the way.


corruption has made life miserable for SME's
Arun Kuthiala | Sat Jan 29 16:24:40 2011
How can the average small enterpreneur fight organised corruption in offices and day to day life. They feel helpless and most times take the short way out-pay and get your job done in time. Even if you wish to complain the one you complain to is also par to f te same set up. Let our political parties decide that corruption at all levels should be faught with a heavy hand and justice should be fast and exemplery. The property of the concerned officials should be confiscated and the official not suspended but dismissed from service with restrictions on their siblings to join government dervice. The political will is lacking. Today if this menace can be eradicated India will progress at a faster pace and lead the comity of nations.


Corruption- The way out
Shantanu Tiwari | Sat Jan 29 07:22:30 2011
Having a company of my own since 1989, I have come across many corrupt practices and have even handled corrupt businessmen as well as government officials. The real challenge is getting the things done fast as we all have limited time and resources. It would be really wonderful to have some sort of committee with representatives of public and administration in those departments where the possibilities of corrupt practices are more i.e. electricity dept., water dept. , food distribution dept. etc. Having this committee in place may be the common people will feel comfortable lodging their complain to them and get the required addressal. Secondly, the campaign on public strength and their rights should be made aggressively to get them aware. These commitees should also be made in such a manner that no one satys for more than one year.


Methods to resist coruption
KIRIT CHAUDHARI | Fri Jan 28 15:27:21 2011
READ THE RULES/LAWS FOR WHAT YOU DO ROUTINELY.ASK ANY BABU TO ASK YOU QUESTIONS IN BLACK AND WHITE.PREPARE IN ADVANCE.LEARN THE PENALTY AND FORM GROUPS.UNITY IS STRENGTH.IF FAULTY PAY THE PENALTY AND NOT THE BRIBE.MEET THE NEXT HIGHER AUTHORITY AND DISCUSS THE MATTER.LEARN MORE ON THE MATTTER FROM SAME LEVEL OFFICER IN NEARBY SIMILAR OFFICE.


paying the price for offencing bribe
shitansh patel | Fri Jan 28 12:50:33 2011
I have never given bribe to excise inspector, now they charges official penelty for services tax of rs. 1200.00


Corruption in Govt Offices
Mane | Fri Jan 28 12:34:24 2011
Presently we have to give bribe for each and every work. Suppose for some work, Govt fees is Rs 100, we have to give Rs. 10000 as bribe then only work will start. Thease persons are backed by Politicians. Where it will stop? I have startes SSI unit in Pune brfore 2 years, and I have to pay bribe for every thing like plan sanction, tax related works, loans, etc etc. Some time I think that,I am working for babus only.


Coruption...at last and indeed.
Kailash | Fri Jan 28 12:26:41 2011
wheather it's a private or public life the illegal practices have becom presidential precedent to live in INDIA,to demand BRIBE has becom 'FUNDAMENTAL RIGHT'. This coming Winter Session of Parliament will see a Constitutional amendment incorporating 'BRIBE'as a fundamental right under Artical-21 of the constitution... 1) To keep educated and literat Indian Society away from discussing about corruption, 2) To allow Sonia Gandhi and her family's black money which was syphoned to swiss bank need not be brought back to India, 3)To allow Sonia's tout Pranab Mukharji,kapil sibal,Manmohan Singh, A.Raja,M.Karunanidhi to open Accounts in Swiss Bank, 4) To allow the entire Oppsition to share the Booty, 5) To Allow to 'DEMAND'BRIBE, 6) To allow LALU PRASAD YADAV to DEMAND BRIBE FROM COWS AND BUFFELOWS AND DONKEYS.


curruption
Jayakumar | Fri Jan 28 07:44:23 2011
we all are corrupt.right from the childhood we have been taught to accept bribe.if we don't go to school we were give sweets and coins.when in college a bike and so on.root cause is here.


Corrupt babu make Industry seak
Narendra Jain | Thu Jan 27 15:59:04 2011
SME has lot of pressure of work with there enterprises, Industry & at the same time office burdan. At the same time govt. office formalities are so much & because of that there efficiancy & ultimately production suffer a lot. Due to this corrupt babu we suffer lot.For there unjustied demand, some time we become in so tension. realy some time I feel that I close my enterprises infrom of this BABUS demand. I got national award 2008 by MSME department. I also export to USA, Westarn Austalia Due to this babu raj my export suffer lot & inspite of my clear working I funished lot, bacause I have not given RISHWAT as per there requirment. I know we cannot fight with the system, otherwise we will do only one work ,fight with them & our work stop. They are so powerfull, thay can point out our many mistake & we cannot survive. Govt should libralise the official working, otherwise all will suffer lot. rest in next


Extremely delay in delivery of EMS speed post parcels sent by overseas manufacturers
Pankaj Shah | Thu Jan 27 12:33:53 2011
With reference to above we want to draw kind attention of all, towards wrongly harassement by the postal and custom departments at Foreign post office- Mumbai. If matter will be investigated many EMS parcels will be found lying uncleared since very very long time and will come to know, how citizens are being harassed by both the departments.


corrupt babus in our country
Siddharth | Thu Jan 27 12:04:24 2011
We all the citizens should unite against this practise which is destroying the image of our beautyful & lonely country in the minds of the whole world.


Corruption
D T Sampat | Thu Jan 27 11:19:04 2011
As mentioned in the editorial, not only babus are corrupted, but this menace has been encroached into full system. top to bottom government office bearers including ministers resort to this. so what can you expect from these babus?. In short it is a reflection of the society itself. those who elect and send these people is to look after their own interest instead of serving the nation. We got independance at what cost? our own country men do not hesitate to kill their own brethens for their selfish motives. Whole system is infected with such selfish people


Corruption - No way out - My experience
Haider Ali | Thu Jan 27 10:32:38 2011
I started my carrier as officer in civil services.It was difficult to survive honestly, pressure was too much from corrupt businessmen and salary was too little to live decently. I resigned 12 years back and have SSI unit. On other side I found it is even more difficult to live and earn honestly as SSI. Not for any special favour nor for any speed up, just to get things done what is legal and your right you have to pay. Struggled and tried to the extend possible... to the extend lost all the investment and livelihood .. finally gave the struggle. I feel ashamed of myself as person who has to bribe babus to run business. The only thing I was able to do was to save my children from this rubbish life and I am trying that they may be settled somewhere far from this miserable life. Most important and only way to save my country is death sentence to all corrupt people.


CORRUPT BABUS
D K MENDIRATTA | Thu Jan 27 08:47:23 2011
We are all faced with corruption in every sphere of our life every day. The definition of Corruption needs to be reviewed. It's in fact much broader than what we presume it to be. As a common man we presume corruption to be exchange of monetary favours only which is the biggest sin we commit while viewing corruption. The magnitude of corruption is beyond what we see, hear or experience every day. Broad discussion is the need of hour. Only writing few lines & cribbing will not bring about any solution to this menace. A concrete action plan has to be designed with a determination to eradicate corruption from India. Wake up masses..We are very late to act ...those who think NOTHING CAN HAPPEN...may please shut up.


Corruption
M.Dinakar Shetty | Thu Jan 27 07:59:31 2011
The information in the subject article is written as if they have found a new thing which public are not aware till now. I am part of a SME. As an enterprise, I cannot avoid corruption to get my work done at each and every stage. Forget about SMEs, as an individual, I have to bribe people even to meet domestic needs - gas dealer to get the re-fill cylinder, meter reader for monthly reading of electric consumption, official who comes for scrutiny of family members for issue of ration card, RTO officials who have to renew the driving license which is held for 35 years and many more things which my memory fails to remember while writing this message. I don't attach any importance to your article on corruption being faced by SMEs. It is part of life for us.


Day to day corruption
G.C.Mishra | Thu Jan 27 07:38:24 2011
No doubt today the the demon called corruption has become a routine way of life. Be it a routine clearance of map for alteration/addition in infrastructure,Deposit of Employees state Insurance premium,withdrawal,refund of ST etc. , you name any trivial requirement, nothing moves without consideration. Situation is so bad that SMEs have accepted it as part of SYSTEM

  Re: Day to day corruption
yash | Thu Jan 27 09:50:58 2011
yes


Corrupt babus make life miserable for SMEs
Tarun Arora | Thu Jan 27 07:20:17 2011
Just by making a law against curruption does not effect the working style of a govt babu. I believe if the officer is not professional, honest and willing to serve it is very difficult to get the work done from them even after implementing the anti corruption laws.They don't sign a document because they requested for pen which was still not allotted to them.They ask you for so many documents that you will be in their feet that please take bribe and do this work. I also felt in my experiences that an unprofessional officer at a higher rank who does not take bribe is harassing the people much more and up to such an extent that people wish that he would also be corrupt and at least do my work. so when we have a law against curruption we must also have laws which could eliminate "afsarshahi" and they are forced to complete their work in specified time. Just in case you are to be scrutinised by an Income tax officer he will ask you for so many documents and you will have to go to him so many times that you will be forced to offer him bribe just get out of the trouble. if you import something at Indira Gandhi International airport. The officer will not need to ask you for bribe he will just delay the process on the screen and he has to give no answer for this up to 7 days and you will be suffering demurrages so you r forced India is growing for human Rights, India is growing for consumer Rights but no body ever talks about the Traders/ smes Rights.

  Re: Corrupt babus make life miserable for SMEs
D T Sampat | Thu Jan 27 11:29:23 2011
This menace of corruption takes shape at schooling level itself. to study one has to pay a hefty sums to so called education institutions, to get admissions itself asks for trouble, then to get a job, one pays off from nose. this all accumulates and the person thinks of getting back this amount as soon as he acquires some authoritative seat somewhere. Another root cause is the reservation policy. time has gone back long that this practice should be put to an end. instead of economic reservation, this one is caste based now. Person who does not deserve to be on an important post just gets it due to the reservation policy. Has anybody analyzed mentality and ability of these people? All these menaces can be curbed only by bringing in a uniform civil code without any caste based or other reservations. Totaly merit should be the criteria of selection of government officials, with a scrutiny of their background and lifestyle also considered while giving them such jobs. and what is happening now? just pay hefty sum to someone and get hold of such jobs. Shame on these people

  Re: Corrupt babus make life miserable for SMEs
Ashwani panchkula | Sun Jan 30 08:17:05 2011
They are terrorists with pen. Indians must not afraid of terrorists across the border, but from these kale angrejs.


Scams, Scams & more Scams
Vikram Budhiraja | Thu Jan 27 06:38:45 2011
India is a "Scamdinavian" nation !


Corrupt Indian Babus
Ketan | Thu Jan 27 05:29:11 2011
Very well written- sufferings of SME sector.


Corruption- Miserable!!
Emmanuel Praveen | Thu Jan 27 04:48:24 2011
Corruption is making live miserable for small and medium units that are often left to fight their own battles in getting clearances and conducting day-to-day operations, according to a survey.”Almost all Small and medium enterprises have been victims to corrupt babus at least once,” revealed the survey conducted by tradeindia.com, a leading Indian busines-to-business (B2B) portal. “Small and medium enterprises may feel powerless in the face of demands for bribes and are often unaware bribery can be resisted or how to go about it in a situation where the propagation of business lies on the hands of corrupt officials,” it added. More than 90 percent of the respondents believe the government must take a more holistic approach toward corruption and initiatives taken in other policy areas to complement the efforts to improve law enforcement. “Corruption in this country is at its rampant best and, perhaps, not a single section of industry has been spared from it. Bribery, the most common form of corruption most small enterprises face, is more difficult to monitor and control,” a respondent said. Asked whom they would like to turn to for advice when faced with bribery and corruption issue, almost half the respondents felt they would contact their lawyers and 19 percent of them said they would call their accountants.


Bribes In India
sadeesh Babu | Thu Jan 27 04:43:35 2011
Urea Scam in Punjab Fodder Scam in Bihar Mahanto scam in Assam Land deals in West Bengal IT Corridors In Andra Pradesh Asian Games In Delhi Document Sales/Telgi Scam of 50000 Crores Mehta scam in Shares 2G scam in Telecom Pitroda/Telecom Scam in Minostry All does not given any Answer Hence I dont want to say a single word on bribes or scams . What the rule say Those who have power they rule the Country. Money Powwer is so Strong. Sadeesh


Corruption is encouraging dishonest business practices
Director of an SME | Thu Jan 27 04:22:35 2011
I completely agree. It is extremely pitiful. Such rampant corruption encourages business owners to cheat and be dishonest and the entire business community is becoming less and less ethical - which is not a good foundation for a growing economy. Our system encourages you to be dishonest rather than honest - the honest ones have a far higher price to pay.


Things working against corruption, it is easy & safe too :)
Sandeep | Thu Jan 27 04:14:44 2011
Hi, I am running the small unit and found every where corruption in taxes department, i.e. sales tax, excise etc. Even for small amount say 100/- or so they hold the work and we are suffering. how to manage this ? If we complaint to seneior, it dealy our work to be done, even seneior started to ask, give me some thing :P. and we are business men, we want our work, first than this small - small issue. generally we are used to give the bribe. I found simple solution for this and i even tried few times, it is working with no side effect. below mention how to do .. ok. 1. Want to work done... give the bribe because, without this you can't go ahead. but note down the name of the person and offical address of the govt. agencies. note down the other senior officers name and address, genrally it is very easy to get. Write a small postcard with least details about your experiance, give the name of that babu etc and copy to all other persons. even you can write the Sonia Maa address too.. :P After few days, you will find that babu is not on the seat, transfered. It is safe and no issue about your identification. Best of Luck


Corruption
S Chitra | Thu Jan 27 03:18:38 2011

Every sme need to obtain licenses,clearances from various govt. outfits: worse, sometimes, district collector himself join hands with these bodies in a invisible way to collect money: if u r unwilling to pay what they need, well u need to wait for endless season to get ur clearances: writing letter to superior will be a super comedy!

S Chitra owner of a SME 



Corrupt babus make life miserable for SME
RS Yadav | Thu Jan 27 02:37:31 2011
I do not understand why Govt cannot bring the Indian wealth deposited in Foreign banks. If this menace can not be controlled all others are smaller one. Country at top level must give an example that no nonsense will be tolerated. Helplessness of Govt like this has never been observed. There appears to be bigger corruption level than Indian Govt is capable of tackling. It may lead to Civil war ultimately. Let us rise above selfishness and support the Govt machinery to tackle all this.An honest PM and economist is finding helplessness which is not correct signal as the condition of honest ordinary person will be miserable.


Licence Raj by Babus in Local and State level are more piching
SSP.Rao | Wed Jan 26 17:38:45 2011
Not just with me,it is widely prevalent through out at local and State level Inspection Raj,without bribing it is impossible to get either Municipal approval for building plans or water connection or electricity connection or trade license or shops & Establishments Act or a vehicle permit or vehicle registration or driving license in the context of not only commoners but also SMEs. The modus operandus is either through brokers or by agreeing to share the booty in connivance with the victim. Particularly for job holders or for businessmen where time is money agreeing to indirect demand 'HINTS'of the officials is the easiest option and hence bribing has become a beaten track.That is why, the obvious mad craze for a Govt. job. those in the officialdom no wonder, are prepared to bribe in huge amounts for transfers to certain "Specified " postings.Bribings start right with election contestants even at Panchayat level.


Corrupt Babus
A.j Angre | Wed Jan 26 17:33:23 2011
I am a business consultant working for few SMEs in business management and I am always appalled to see corrupt officials visiting regularly all SMEs for their share on the account of some laws not being followed by the SME. Everyone knows, the SMEs operate under tremendous limitations while struggling to do business in this highly competitive world today. Just to start up a business and setting it up, it takes a long time for all permissions and approvals. By then the entrepreneur loses lot of finances. When business actually starts running, the challenges are enormous faced by SMEs. Such as marketing, and most importantly, looking for buyers to run it successfully. The competition is fierce and to survive in this tough conditions, SMEs struggle with their meager finances. I am writing all this here because, these are the very conditions that do not make things easy for SMEs to meet every condition of the government authorities. Agreed, all the conditions must be met while establishing your set up but it is not done by many SMEs at initial times simply because more focus is on building up business. This situation offers a perfect ground for the corrupt babus to make a fast buck knowing, the penalties or legal actions can put SME into serious trouble. On the other hand, SME wants to conduct business smoothly because business is at stake. What choice do they have? The business, money and their future is at stake.It is a fact, you are at their mercy so can't fight and lose.


High Interest Rates for SMEs
Vijay | Wed Jan 26 16:19:33 2011
Babus are no doubt a big impediment for SMEs but I think the bigger challange facing SMEs is increasing interest rates. Banks charge as high as 14-15% interest rates presuming SMEs make hefty profits. At such high interest rates, an SME has to make operating margin in excess of 30-35% in order to sustain. This is precisely what is making them in competative in market and thus most of these either close down or go bankrupt. This not only causes loss to exchequer but also results in loss of employements for many, which is more critical. SMEs help in mitigating the migration of workers to non-native areas and they must be supported in the most favourable way in order to make India a truly Equal Opportunity Country.


Corrupt babus make life miserable for SMEs: Red Tapism
Dr J K Nigam | Wed Jan 26 16:10:19 2011

I fully agree that Corrupt babus make life miserable for SMEs. I think it is mainly due to so much Govt. formalities. Initially new entrepreneurs have low finance and unknown to all formalities. At this time they have to make balance between low finance/working capital, over head cost and profitability. Being a new entrepreneur, I know that It's how much tough to cut the cost and show profitability to the investors to retain him with us and to attract others. Most of Our Indian investors want baby in just 9 days instead of 9 month. They forget the brand value of business developer over a years. A no. of talents/Idea waiting to get shape and so many entrepreneurs dying due to these unbearable formalities in initial stage. A no. of experienced professionals want to quit their job and turn entrepreneur, but helpless. If Govt is really serious to encourage entrepreneurship, Govt. formalities must be relaxed (except on product quality), at least for first two years. All of we know that business show profitability and sustainability only after two to three years.

Regards.



Bribery
Ravi Khemka | Wed Jan 26 16:09:37 2011
I do not think this is entirely true. There is rampant corruption but as the age old cliche goes- it takes two to tango. most of the business people are corrupt themselves (including the likes of big business houses as is evident from the recent Radia tapes). most of the people are also looking at ways how to avoid paying taxes which are considered high (although they are far more tolerable than most of the developed countries)and in the process find a compromise where they prefer to share the loot with the government officials rather than government. it is a win win situation. who suffers most are the genuine tax payers. i would love to find out how many are there like that who dont cook up their books to avoid paying taxes. if everyone follows the law the scenario will change. at least i know that it has worked for me. giving chai-pani money is still ok as there is no consideration. of course there are different types of bribery. i am speaking about bribery in SMEs.


Stop Corruption
Anil Patel | Wed Jan 26 15:41:47 2011
We shall fight against corruption. There shall be a agency which include the local people to stop corruption. like CBI we shall make our own agency, lets start it and fight against corruption.


CORRUPTION
C.Bhaskaran | Wed Jan 26 14:43:15 2011
My name is C. Bhaskaran and i am one of the directors of mediam scale industry at Trichy. I am having only one son and he was inclined to pursue higher studies at USA and we want to dissuade him not to do so. In order to pin him down here when he was studying 3 rd year we started a small company so that as soon as he come out of the college he can take over and expand it and run it.As we expected he came out of college he took over the company and ran it for two years and he shifted the factory to new premises. For that when he contacted the factory inspector and genuinely asked him to guide him what to do and informed him as a true citizen that he does not want to deviate any of the rules.It appears that the inspector of factories informed him that forget about the rules and asked him to give 2000 rupees so that he can give license.On hearing the above he was so heart broken and he came and told me that the factory inspector is his fathers age and with out same he is asking 2000 rupees that too from young engineer who wants to run industry with all genuinity instead of teaching young people how to be good citizen of the country and that point itself he decided that this is the not country where young people can learn any thing good for the life and immediately closed the unit and left USA.Now he is occupying very good position in one of the biggest corporation at USA in relatively young stage.hence these people of corrupt spoiling the whole future of the country

  Re: CORRUPTION
RAMESH SHETTY | Sun Jul 12 18:22:49 2015
I AM AGREE WITH C.BHASKARAN.BECAUSE OF SOME OFFICERS, NEW GENERATION FEDUP WITH THE SYSTEM AND THEY WILL LOOSE LOVE AND AFFECTION ON OUR OWN COUNTRY.ORDINARY PEOPLE CAN'T DO ANYTHING.OTHERWISE THEY WILL SUFFER.BY IMPLEMENTING STRICT RULE,IT IS POSSIBLE.


MSEs
Surender | Wed Jan 26 13:54:07 2011
None can mend the corrupt who since come to stay BETTER THAN THE SUFFERERS - most being Micro / Small Entrepreneurs; Time-frame if monitored by some non-corrupt of these Babus could be a ray a hope - if at all ? May Almighty guide some of these sixth pay commission's benefitted bubus - no more that greedy if some of whom might have taken to spiritualism in any way ? They have to realise that this current human-body is only for this present birth while they (as Souls) are immortal and would carry their sins or good deeds to the next birth and so on ! MAY GOD guide all Souls to be NOBLE without any fear as being thrust by present day priests for these humans to mechanically take to praying rituals etc. ALL SOULS SHOULD SEEK TO CREATE CREDIT OF GOOD DEEDS AND REMEMBER ONLY GOD TO DECREASE EARLIER DEBITS OF ILL-DEEDS; THAT MAY FINALLY HELP THEM BIRTH AFTER BIRTH RATHER THAN CONTINUING TO BE THE SAME TYPE OF CORRUPT BABUS ETC. OM SHANTI !


corruption
Subhash Gupta | Wed Jan 26 13:43:03 2011
You have rightly pointed out the damage caused by corruption. I think two steps, if taken, can greatly reduce corruption. First step is to increase the funding for the courts so that more judges can be hired and the system made more efficient. Sll corruption cases must be tried by fast track courts. Second step is to make the organization such as CBI independent or the government. The CBI director may be appointed for a term of 4 years and he should not be allowed to hold any post after his retirement from CBI.


CURRUPTION
PRAMOD | Wed Jan 26 13:18:42 2011
DO NOT PAY BRIBES USE RTI 2005 FOR GETTING THINGS DONE. TO BE MORE ELECTIVE COMPLAIN TO HIGHEST AUTHORITIES


CORRUPTION
SUDHANVA PATANKAR | Wed Jan 26 12:24:20 2011
2 YRS BACK AT IMC MEET I TOLD DY SEC FORGN MNSTRY, GOI THAT INDIAN EXPORTERS R SUPERIOR TO PT USHA AS SHE KNOWS THE NO. & HT OF EACH HURDLE IN ADVANCE BEFORE THE RACE. STILL WHEN SHE WINS HURDLES RACE SHE GETS HUGE AWARDS!! WE EXPORTERS DO NOT SEE ANY HURDLE IN ADVANCE. OUR GOVT GIVES LOT OF ASSURANCES TO EXPORTERS OF EXPORT INCENTIVES & PROMOTIONS ETC BUT IN PRACTICE ENTIRE GOVT MACHINERY CREATES LOT OF HURDLES IN OUR WAY & WORKS TO SEE THAT WE CANT EXPORT. WE COME TO KNOW ABOUT THE HURDLES ONLY WHEN WE GET STUCK AT EVERY HURDLE CREATED BY GOVT OFFICERS. STILL DUE TO GUTS & EFFORTS OF INDIAN EXPORTERS OUR EXPORTS ARE GROWING EVERY YEAR. BUT WHEN WE REACH THE END WE DO NOT GET ANY AWARD, WE HAVE LOST ALMOST ENTIRE PROFIT. IMAGINE IF INDIAN GOVT OFFICERS LIKE EXCISE, OCTROI, VAT, CUSTOMS, DGFT ETC START WORKING TOWARDS HELPING EXPORTERS IN EXPORTS, LIKE IN OTHER DECENT COUNTRIES, WHAT WILL BE THE SCENARIO OF OUR EXPORT ACHIEVEMENTS, OUR FE RESERVES, OUR FINANCIAL SUPREMACY AS COMPARED TO THE OTHER DEVELOPED COUNTRIES! OUR INDIA SHALL BECOME THE SUPER-MOST POWER IN THE WORLD. BUT CANCER OF CORRUPTION RIGHT FROM A PEON TO CORPORATES, FROM CORPORATERS TO MPS FROM POLICEMAN TO HOME MINISTER, FROM MINISTERS TO PM, FROM PARTY WORKERS TO PARTY PRESIDENTS HAS MADE OUR ENTIRE NATION A GREATEST CANCER PATIENT IN THE WORLD & ERODED OUR PRIDE & SELF RESPECT. WE ALL NEED TO UNITE AGAINST THIS CANCER AT EVERY LEVEL TO BRING BACK OUR PREHISTORIC POSITION OF JAGATGURU. JUST DO IT !!!!!!


How much money as bribe
Sudhir Kumar | Wed Jan 26 09:56:33 2011
Mr. Editor, Compared to size of business and earnings, bribery is amounting to extortion. Gone are the days of speed money, which used to be small amount. Now even a small government officer dreams to drive Audi car. His demands are increasing day by day. Corruption at top has worsened the situation of SME, who are helpless and submit to demands of these extortionists.


Corruption
Raul | Wed Jan 26 09:56:16 2011
Coruption has become a way of for us Indians! I run a SME unit and my experience is that it is better to pay a bribe and get you job done by the end of the day rather than being trying to be Honest. I know very well that i do not pay a bribe, the sufferer will be me as I will have to run from pillar to post to get my job done for which most of SMEs do not have the strength or manpower. We are dependent on antique laws which are either full of loopholes or very ambiguous and open to different interpretations. The Babu's cannot touch MNCs because they are very strict in these matters and the Babus know very well they cannot even get a water. What is the way out???

  Re: Corruption
Sandeep | Thu Jan 27 05:13:06 2011
Hi, Well said, but we can do something, it is better than nothing. see the example at heading "Things working against corruption, it is easy & safe too :)"


Why SME's may not voice their woes...
Atul Kotkar | Wed Jan 26 09:50:03 2011
It's a fortunate omen for India that SME TIMES is focusing on a subject which is generally a taboo to discuss publicly. Though I am spontaneously putting some thoughts here, due to time-space constraint, not saying everything at one go; thus this is not a complete view. I feel that, though you have provided an excellent forum - you may not get a lot of response from SME's initially, because -
1) SME's are overwhelmed with issues that they face; and are usually on tenterhooks to keep their businesses going, against all odds; and therefore possibly do not have the time & energy left for this.
2) They may have a fear of individual exposure and repercussions thereby - such are the long-reaching arms of (no not law, but the) 'politicians-babus-mafia' nexus that engages itself nefarious activities for self-gratification to no length and go to any extent for their objectives.
3) SMEs may be so much ingrained with the all-pervading culture of corruption around them, that they may keep suffering, not having much of a choice due to the 'System', not realizing the gross damage that every small act of corruption does to the social and economic development of the country; and the cognizance required to the need for eliminating this demonic disease that the country is afflicted with. All SMEs may not be facing corruption issues, but largely are affected; over the decades. The proportions are demonic today. We need to help clean, just, righteous politicians & administrative officers.


Corrupt babus make life miserable for SMEs
R S Nambi | Wed Jan 26 09:40:36 2011

Why not delink government administration from Politicians in whom we are not able to find any values moral, ethical or others. But these people can be good critics and governors/ President can be the moderator.

R S Nambi Consultant-World Bank  

 



Corrupt babus
Staridli | Wed Jan 26 09:40:07 2011
Corrupt officials and politicians have stashed away colosal amounts of black money in Swiss and other numered accounts, yet government wishes to catch and punish businessmen who did the same, but to a much lower tune. Small fry are caught in the net while big game escapes unaffected.


Muncipal Corporation Corruption
Pankaj | Wed Jan 26 09:27:03 2011
We were informed our rented office space to be converted residential to commercial. fees was 1640 And finally we paid 2500 for the financial year. I think its grt. Demand was actually Rs40000.


Corruptions in Govt Dept.
Arjun Daga | Wed Jan 26 09:24:58 2011
SMEs need to get in contact with Govt Dept for their all needs of compiling legal requirements pertaining to their business activities.As the officers are entrusted wide powers they can relive you with in minutes if they are satisfied or otherwise the can spoil your several days. A small example " I am a medium size businessman having consignment agency a co.For sales tax assessment of two years I appeared to the dept. and produced the books which okay and regular payments of tax were made.After verifying the records by the inspector he produced before the officer for final hearing.Officer given me the hint about the amount I need to pay for the order.I offered my inability to satisfy his demand.The officer instructed to the inspector to go into the details.There was nothing to check major,he asked me to produce copies of credit notes as per the list given, of which some were missing for one year,I requested to give another date to get copies from the co, but he did not agree, even my request letter that copies of all C/N for both the years shall be given on the date of hearing of next year. The assessment order for the year was passed same day with a demand of approx.Rs.25000/-and made me to go for the appeal.I submitted all papers on next hearing but were not accepted, however he passed regular order for next year.It took a long time to get the order from the applet officer and had suffer a lot being alone to look after,which could have been avoided by satisfying demand


Corrupt babus make life miserable for SMEs
Shailendra | Wed Jan 26 08:22:48 2011
I Agree, but what's the solution...?

  Re: Corrupt babus make life miserable for SMEs
Sandeep | Thu Jan 27 05:13:47 2011
See the example at heading "Things working against corruption, it is easy & safe too :)"


Corruption and India
Anees Hashim | Wed Jan 26 08:07:16 2011
Bold, sir. For an Indian firm to write that. It takes courage & vision. I just saw light at the end of the tunnel. Keep up the great work. With immense respect, I wish to say a few lines humbly, that we Indians, ass the buck. No doubt the entire Indian bureaucracy stinks. But, they only represent the general Indian attitude. Being selfish to achieve one's goals with least regards to society or nation's pride. A glance at the Mad Traffic on Indian roads will tell any right minded person, how cultured we are (or we are not), on the face of great claims. Fact is, we simply do not have any civic sense. One doesn't have to be rich to be good. That's where culture comes in. Culture to me is being goodfollowing Qs, giving way to others esp. elderly, women, sick and children, stopping for a pedestrian to cross, following lanes while driving, not spitting on the road, being honest, helpful and fair while following rules & norms. Here, it is confused with kutchupidi, bharatnatyam, gazal etc. which are art forms. Most babus are corrupt because society is corrupt. They want to make houses too, marry off their girls too!! Hence see nothing wrong in taking bribe even from a rare good businessman. Who also is forced to flout rules to compete with other Indians who generally don't follow any rules. Its like chicken & egg. Whether babus or society that should change first. I think acknowledging that there is problem, would be a good start. Like u have done. Thank you.


Corrupt babus
DR. BHARAT MANDLIK | Wed Jan 26 07:36:51 2011

who is responsible for that ? we are ? our system ? or our thughts ? our new generation culture ? or last but not list our education system.

DR. BHARAT MANDLIK MD M PHILL MSW  PGDHHM 

 



Reason for corruption
Vijay Goyal | Wed Jan 26 07:35:20 2011
Please replace word babus by Govt. officers (both Central Gornment & state goverment).The only reason of incrasing curruption in public sector is 1.their Job security.2.they are not anserable to public.3.lack of accountiblity 4.Big Dealy in Justice system (say 15-20 Years).5.Why the enturpenur have to take permission to start new industry/bussiness from govt. why not the system to inform the govt. about that they has started this industry/bussiness is introduced. The only solution to minimise coruption is the make online system of licesnces, returns,and work should be done in a given time frame If it is not done in time it should be treated at seanctioned. crroption starts from higer to lower but always peopule blaminging only babus. TRy to mimimise personal contact of public in govt. offices. 2 To decentralise the govt work. for example previously Making of PAN CARD take two to three years but this job is given to out side agency NSDL it takes max. ten days to reach the PAN card to your home (Now have you heard any case of bribing to make PAN card). so please seriously think to decenterlise the Job Highest correption center in india 1. Making a Driving Licence from RTO 2.Home layout approval from Town & Contry planing 3.Taking a Bonafide residant certifice trom tahsildar/Collector 4.Realse of any payment of contract work done by any contractor by state/ central Govt. I suggest to teach how to file compalint againt corupt puple to student is nessaearry


Corrupt babus make life miserable for SMEs
Indrajit | Wed Jan 26 07:28:55 2011
Even after paying the bribes, they do not work for which they get salary. For signing a paper after fulfilling all their needs (including bribe), they take 60-90 days which is hardly a day's work. Due to this, the project gets delayed and the SME pays the cost of delayed project.


this is a true
Chintan Gandhi | Wed Jan 26 07:07:31 2011
I have faced regular, because, I am working with a central government department


Corrupt babus make life miserable for SMEs
M L Agarwal | Wed Jan 26 07:06:46 2011
The Major Source of Corruption is the archaic Old laws the Governments are persisting with. One needs to have reduction and simplification of Laws governing business. There are too many agencies that interact with SMEs and as rightly said in the article SMEs lack the resources to tackle all of them, and hence are easy prey for the bureaucrats administering these laws.


Let's Think of a Solution
Susan Raj | Wed Jan 26 07:06:32 2011
We are aware of the problems for too long. Many have banged their heads against the wall and either died or left the country. Existence of corruption is there in all the nations but in small pockets which do not affect the day to life of common man and SMEs. TATA handle them in such a way that it does not affect the day to day functioning of the company. Can we come together to become so powerful that SMEs/ NGOs as Social enterprises do not need to deal with corruption? Can we create a shell around SMEs which will bounce the corruption and allow people to do their business? Coming together is the only solution for SMEs.This forum must create immunity against corruption with anti-corruption Policy implementation.


Opinion
SK Jain | Wed Jan 26 06:39:00 2011
In my opinion the benefit to SME as exposure given by the Govt have not been given to SME by any department and bank. Some example are given below: 1. All SSI Unit registered with NSIC or DGS&D are generally exempted to deposit the Tender fees, EMD and Security Deposit. This exemption does not applied in state Govt department. This exemption is allowed only in a few department in Central Govt Departments. 2. NSIC regd.SME unit suppose to give price prefrence to the tune of 15% in govt purchase programme but not even a single department of Central and State Govt extended this facilities to SME. And we think that this rule is existing since more than 40 years. 3. One other points is regarding delayed payment act for SME. Payment are generally delayed by all department for the materials supplied by SME but there is no way for SME and there is no rule of court for their greivences.


Regarding bribe of SME babu
SK Jain | Wed Jan 26 06:23:57 2011
SME concerned department such as DI, NSIC inspector and babu does not follow the Govt regulation when their interest for accepting bribe is present. Even after taking bribe the offcials of NSIC even issue registration certificate to any applicat who have no manufacturing facilities for the item for registration have done. There are many example


Corrupt babu
SK Jaib | Wed Jan 26 06:17:28 2011
It is a routine work for the babus dealing with SME demanding bribe. They even set aside the Govt regulation if they not received the bribe. Some examples are given below:- 1. That EM Number to SSI unit suppose to issue accross the table within few time by the DI of respective state department. But no EM number/registration are being done without taking the bribe even your application being pending for several days. One other experience I have faced recently that renewal of NSIC certificate form NSIC Okhla Branch is not a easy way. We have applied the renewal just before more that 60 days before expiry of the validity but still date they have not issued the same. This is due to their offer of Raw Materials assistant against Bank Guarantee. They have issued the NSIC renewal unless we avail this facilities and it means that this is not also a method of bribe in other way. We have not bank guarantee limit and same have told by us several times.


Corrupt babus make life miserable for SMEs
Kuldip Gupta | Wed Jan 26 06:11:45 2011
SME's are children of "Lesser God".Their voices are seldom heard in the corridors of Power.In the said circumstance they do not have any option but to yield to the Babus will/whims.


Case of corruption
Vijay Singh Paliwal | Wed Jan 26 05:33:32 2011
Sir, I'm fighting a very highlighted and famous case against corruption in KOTA.Though i've got the case registered under sec 420 of IPC against Sh Ashok Jain [former Tehsildar Ladpura,Kota] now an ADM and Tehsildar Bhawani Singh Chauhan through Vigilance Committee[comprising of many IAS,IPS and MLA's] but the Govt Officials[In Collector-ate] and revenue dept not cooperating with investigating officer [An SI] in spite of directives from Lok Ayukta,CMO, and almost all higher authorities becoz both of them are still occupying office and are having top political and bureaucratic connections. This is a ridiculous mockery of an investigation because in spite of many many letters,instructions and orders the SI says that he hasn't got access to the records needed for the investigation. It's a pity that those officer are still holding very important and influential positions in spite of such sensitive case of corruption and clearly they are still misusing their influence and authority to impact the investigations. Its also surprising that many cases of corruption are still pending against them but instead of suspending/APO to initiate a fair and clean inquiry,they've got promotions and even been honored. I sincerely request for concrete action against such corrupt officers and also urge that please instruct your officials to make available the required record to investigating officer and ensure that proper actions must be taken,when vigilance committees after holding inquiry for more


A more detailed approach
A harassed vendor | Wed Jan 26 05:29:18 2011
The government has now introduced the MSMED Act in 2006, now being implemented by almost all government agencies. Under this customer are bound to pay companies covered under this act within a certain period of time. But now we have for example a company like MSEB (MSPGCL), which says payment shall be made within 30days of Stores receipt note...so it is making of the stores receipt note that leaves scope for corruption from the inspecting, storing, auditing and cashing authorities. They must also make it mandatory to proces ie accept or reject materials within a time frame ofreceipt. else make itdeemed accepted. the provision exists but not implemented strictly.


Corrupts would pay some day
AKN | Wed Jan 26 05:24:57 2011
Sick and tired of babus and ppl under adhikaris asking for bribes, even for issuance of simple license meeting all the difficult fomalities, still bribe is require as they tend to point us flaws in our applications for the licences,, be it any department of the govt, the more powerful the department, more is their bribe Money a very good article, also there should be a discussion board and case study of such topics so ppl who r affected should discuss and tell their own stories we really need to look forward to this matter as being a new generation entrepreneur I feel like doing JOB instead of doing Business.


Corrupt babus make life miserable for SMEs
Sandeep Jain | Wed Jan 26 05:23:34 2011
Today Bhrashtachar has become Shishtachar . First of all we have to change ourselves and then blame the govt officials . We pay bribes because we are not fully correct or obey the law . We have to pay the bribe because the corrupt officials know the loopholes of the system and they get our work done in lieu of bribe . See a small example of a traffic havaldar . If he catches us without a licence or some other reason ,the first thing he does is takes out a receipt book and asks to pay the fine . Now if the fine is rs 100 , we insist him " saab kayko receipt banate hain , aapko kya milega , " and he ends up paying rs 50 to him and is happy that he has saved rs 50 ... It is very difficult in the sme sector to survive by following all the govt laws as they are very difficult to follow in practical situations and if someone starts to follow it the competition does not follow and the person cannot compete .. So dear friends to eradicate corruption first we have to change ourselves , it seems difficult now , but your lovely child will enjoy the fruit ...


Surprise
kumar | Wed Jan 26 05:14:07 2011
I am surprised that the author of this article is startled with the results. For long, it has been the way of life that almost all SMEs are hounded by corrupt politicians and systems. There is absolutely no protection for a small businessman. I speak out of bitter experiences.


Corruption
Radha Krishna | Wed Jan 26 05:07:12 2011

Corruption is like a spoil blood in india's body. though everybody are against this but nobody could do anything to decrease this or even remove this. it is spread from roots to the leaves of this tree. like minded aducated people have to make a technique how it can be eradicated step by step.

Regards

Radha Krishna, D K Enterprises 



Corrption in govt ofices and banks
AHP Rao | Wed Jan 26 04:54:39 2011
Yes it is a fact that many small scale enterprises closed down due to non cooperation due to corrupt practices,from govt officials and bank officials and the investors are living like beggars now by loosing all their resources.


Corruption - MSME sector
Ram Mohan Nair, G | Wed Jan 26 04:20:02 2011
As a consultant to new entrepreneurs, I constantly come across stories of corrupt officials nipping at the buds of enthusiasm of such youth. The entrepreneur is afraid to fight since he may not be able to start the Enterprise at all. Hence What we can do is to start some NGOs who can send some Bogus applicants to such Corrupt Babus and trap them .


Corruption in Education
Zamarud Zargar J | Wed Jan 26 03:57:33 2011
Here in J&K I have come to new situation where teachers serving in government institutions have crossed the limits of corruption. Here only those students are declared successful who take private tuition from the teachers and others have to face the wrath of the morally degraded teachers. This is a chain of nexus between the administrators in education department and the teachers. Every year only those students are declared successful who are well up and more than 70% students are suffering because of the bad position of their parents purses. This menace is ruining the lives of already downtrodden more. Builders of the nation are destroyers of the nation. This corruption is weakening the foundation of the nation at large. After going through your article, I came to conclusion that the corruption of babu's is not too much grave as compare to the corruption of teachers who are call builders of the nation, society.


True
Rajesh Savlani | Wed Jan 26 03:57:28 2011
The curse has reached a point of frustration. Killing the entrprenural skills and will.


Corruption in ternder business
Ravi | Wed Jan 26 03:46:57 2011
I am in healthcare business. The corruption in health care tender business is rampant. From the laying down of specs, tender requirements, formation of committees for evaluation, benefitting the 'select' vendor in the justification fo soem clause, pricing alteration, limited tender system ( only one party with 3 names) is very common. Result is total 'mafia type' supply patterns in hospital with one vendor having total control and serving with low quality product at very high values. Entry for new products, new vendor is pratically closed. post tender, more htan half of the tendered quantity of goods comes out in teh market as pilferage, accoutned as duplicate supply, bills , etc. Most of the MS , incharge purchase are vocal for demanding?


Corruption to the core
Vinay | Wed Jan 26 03:34:10 2011
Hi..I am vinay. I have done my MBA from Marshall Univ, USA. I am from Karnataka. Our family is into edible oil manufacturing for past 50 years. I wanted to start something new on my own. I applied for a Bharat Petroleum dealership and secured highest marks and was awarded the dealership in oct 2009.I was very happy as after lot of hardwork I got the dealership. For opening a BPCL outlet you need to get NOC's from seven department and you have to apply for change of land use. After I was alloted the outlet till date I am running behind Tashildars, Deputy director, Town planning officer, surveyor, Police department etc.. I was very reluctant to bribe any government official in the beginning as It is against my moral or whatever.. I just hate it. And this the reason for all the delay. No one will touch your file until you pay some thing. In the last three months almost everything has come to an end as I have learnt to deal with gov. officials. You should feel happy if he says there is some problem with your case..that means he is giving you a hint that he is expecting something. After one year now i know whom to give what n how to get the things moving. If you want to do business in India especially in Karnataka then go with the system do not try to change it. Otherwise you will lose lot of time and energy running behind useless fellows..avoid unnecessary tension frustration. After one year now I feel I can go and setup any business in India after this experience.its practical:)


Corrupt Babus
Anil Pandey | Wed Jan 26 03:09:46 2011
Root cause of All the corruption is red tapist Laws of the Government who has barrowed from the English Government. Thier laws was to rule on us but our Govt. is ruling again on thier owen people. Govnt should do free very good Educatoin instead protection every where. Look after only infrastructuter in all segment by the Buismens ( SME or Large, M national). Motivation can't changed needs of the people. Yes Leadership is required who can do all above. Thanks and Regards, Ist generation Business man)earlier an employee now employer.


Re: India Corruption
Prof. Vinod Chintamani Malshe | Wed Jan 26 03:00:45 2011
Sir, No one closely associated with SMEs can deny a word of what you have said. There are several agencies the worst being excise, sales tax and octroi and Income Tax. Others like weight and measure, FDA, ESIC, MIDC, PF,Factory inspectors have relatively less demands. It is not just the babus. Virtually every one coming in contact with the owners is expecting some form of bribe.I was a professor in UDCT. I warned all my students wanting to start their own manufacturing not to expect any co operation from a government servant without a bribe. Those who still started, are facing the problem. You did say at the end that it will be a long wait. Yes I do agree. It might take us about 250 years before a government with any character can be established in this country.


Corruption to purity......fighting to use of wisdom/transformation/understanding ourselves/communicating wisdom/wisdom based education..
Sushil Jain, 9811568625 | Wed Jan 26 02:54:04 2011
Corruption is of two types - one is mutual and the other is extortionist type. Both are equally widespread. Fighting corruption is a short term solution. How many times one can fight and how many, do we want to keep fighting, who will manage the Lok Pal system, has RTI eradicated corruption, what about the millions of children getting education today and coming to main stream civil society every year with different mind sets, do we need to fight them too, there is a lot of suffering and sacrifice since people on both sides tend to get angry/violent/ aggressive/defensive/desperate/... For a long term preventive impact, which will also bring true happiness in people's lives, is wisdom based education, knowing ourselves, use of wisdom by understanding the following: What do we want/wish for all the time in doing whatever we do? How to get what we wish for all the time? How does the human model work? Input-process-output where input is the belief system or reference points developed by our minds over the years, process is the attitude, and output is the resultant outcome/behaviour. Wisdom/principles/truth of life The above (one can call this value education or wisdom based education or else) is all that needs to be understood experientially. All this is scientific, no theories, no philosophies. Everything could be experimented and experienced with little effort. It could be easily communicated interactively, in schools, colleges, training institutes.


India is not alone
Jon Bovi | Wed Jan 26 02:32:42 2011
The situation you have masterfully explained is worthy of praise and must be available to more consumer noticeboards. One thing to add is that India is not alone . It seems prevalent everywhere around the world and MNC's from Europe and the U.S seem to know about it but pretend they do not . Hence the MNC's too have to be congnizant that they too are seen as 'parties' to this evil.


Scam
Y.C.Chiu | Wed Jan 26 02:09:37 2011
We are a SME in Hong Kong. It was the first time we did business with a Plastic Scrap supplier in New Delhi. We placed an order and remitted 30% cash deposit but unfortunately the supplier ran away. We have tried to call for help from the bank in New Delhi, the Interpol, the India Consulate in Shanghai. All didn't help. Frankly speaking, I am very cautious or even try not to do business referred to me by the B2B platform, particularly suppliers from India. Looks like it is also a platform for scammer to search target. By chance today,I have the oppoetunity to vote in a Poll on Scam. It hurts seriously on India's business image and I was reminded now repeatedly not to do business with SME in India.


Corruption
Peter Palms | Wed Jan 26 01:54:59 2011
That's kilometers not miles. \ By 2008, outlays of the federal government were one-fourth of the nation’s economy. More people now work for government than for all manufacturing companies in the private sector. There are more bank regulators than bankers, more farm-bureau workers than farmers, more welfare administrators than recipients. More citizens receive government checks than those who pay income taxes. By 2010 the average federal worker was earning 60% more than the average worker in the private sector. By 1992 more than half of all federal outlays went for entitlements Normally with contracts for future obligations like private insurance company pension plans, annuities, life insurance, the issuer is required by law to accumulate money into a fund to make sure that there will be enough available to make the payments when future payments become due. The federal government does not does not abide by those laws. The funds exist on paper only. The money that comes in for future obligations is immediately spent and replaced by government IOU. So as those future payments become due, all the money must come from revenue being collected at that time.


Corruption
Vinod Kanwar | Wed Jan 26 01:51:17 2011
Your editorial about SME facing corruption is right.I have run a SME for 45 years before retiring.I have not seen a single official,clerk peon in any govt.,semi-govt municipal who is not corrupt.I dealt with people from municipal,sale tax,income tax, excise they will do nothing without money. Over the years the amount have become biger and biger.I have seen in municipal office they maintain ledger for these amount collected,you may forget what you paid them but they will show you from the ledger how much and when you paid. It was only during the emergency all this had stoped,even if you asked them they would shiver.This is the reason I feel Emergency was best period for a common man All sevices including train were running on time. Surprisingly a few times that i have been to Police stations,nobody ever asked me for money. Of course the RTO people were as corrupt as other govt. officials.


Comment about Corruption
Peter Palms | Wed Jan 26 01:49:43 2011
Bribes are unprofessional. Campaigns are financed by private donors who then obtain favors for SME from elected officials. In due course this result in in laws which transfer through taxes. So that presently 1/6th of 1% of The Population earns 50% of the total annual national income. It took 198 years for the U.S. Government to borrow the first trillion dollars. Then, in just another 12 years, mostly under the Reagan ministration, it borrowed another three trillion. By the first year of the George W. Bush Administration, even before the attack on September 11, the federal debt had risen to over $5.8 trillion. By 2010 it had risen to $202 trillion, when all liabilities are included. It is difficult to comprehend such numbers. If you had a stack of $100 bills 101.6 centimeters high, you would be a millionaire. $202 trillion would rise over 204.343 thousand miles into space. By the time you read this, after the expenditures of subsequent administrations that stack has reached the moon Behind the ostensible government sits enthroned an invisible government owing no allegiance and acknowledging no responsibility to the people. Teddy Roosevelt To obtain justice through revolution against Their British Government, American patriots first had to become criminals


Corruption and Dishonesty
Darcy Miller | Wed Jan 26 01:43:28 2011
It is not only the Government with these problems, Indian manufacturers manufacturing for western companies can often not be trusted with designs and private tooling and too often our products end up on the open market in slightly disguised condition. It is a culture that needs to be addressed.


Corrupt babus & SMEs
Pradeep Maheshwari | Wed Jan 26 01:18:15 2011
The scene you have described above does not paint the actual harrassement that small entrepreneurs face. If it were just bribes, they would be paid and done with and the work goes on. There two sides of corruption most people rarely speak about: 1) That the babu will not directly ask for a bribe but will give excuses and pretexts to delay the process until the entrpereneur is at wit's end. Time is wasted in running around the babu while important work at the factory/office remains unattended to. There is no clear indication what is to be done to get the file moving. Finally when the level of desperation arrives, efforts are made through intermediaries to make the babu open his mouth and the fee then involves the commission taken by middlemen and no one knows what the final sum would be. 2) It is wrong to say the entrepreneur is not aware how to to tackle the problem. He very well and also knows if he takes any action he shall be penalised by other departments or later with later issues with the same department and end up being in a situation of blackmail and vindictive behavior. The Babu is not only corrupt but also a goonda.


Corruption Editorial
Arun | Wed Jan 26 00:53:38 2011
Your timely editorial is so very important if India has to make a headway as a global economic power. I am a NRI businessman. Whenever, I visit India on business, from small Babu to big Babus, I mean well paid Government Officials openly ask for bribes without any shame or fear of being caught. These people if they were China, will be shot on a public crossing.I hold our State and Central Governments responsible for this naked dance of curruption. These traitors, will be responsible for our defeat against China in economic growth.


Corruption Kills
FVF | Wed Jan 26 00:53:07 2011
1. There is no way to prove that cash was given as a bribe. 2. The file will not move if a bribe is not paid. 3. So will the government or the Nobel Prize Committee praise a person who has lost everything - gold, land, capital investment, reputation because he did not pay a bribe? 4. Because a person does not pay a bribe - he does not succeed. He attends talks by successful companies who have paid a bribe. 5. Many companies make substandard products. Licences do not curb this. Solutions: Have clusters in Industrial zones - 1. So there is no conversion of agricultural land which will lead us to hunger 10 years down the line. 2. The finance will be handled by experts and not the directors 3. The R&D will be headed by the Director. The director must be a research man. Most Directors are not educated and this is why we are substandard and corrupt. So are the politicians. 4. The best minds must run production and not the lowest salary. 5. Compliance of the rules must be by the rule maker. Ex the factory inspector or drug inspector will make the blue print. 6. No loans. No money lending. No credit card. No cash transactions. 7. The mobile phone is in an AC room and food sold over a gutter. This is our priority in the greed for fast money.


Corruption
Bill | Wed Jan 26 00:52:42 2011
If you look at those countries that are in the worse possible shape you almost always find severe corruption. It stops business at all levels and only serves the corrupt parties. If someone truly wanted to help their people the first thing they would do is eliminate the corruption.


Corruption Editorial
Arun | Wed Jan 26 00:50:37 2011
Your timely editorial is so very important if India has to make a headway as a global economic power. I am a NRI businessman. Whenever, I visit India on business, from small Babu to big Babus, I mean well paid Government Officials openly ask for bribes without any shame or fear of being caught. These people if they were China, will be shot on a public crossing.I hold our State and Central Governments responsible for this naked dance of curruption. These traitors, will be responsible for our defeat against China in economic growth.


Corrupt babus make life miserable for SMEs
R S Nambi | Wed Jan 26 00:31:12 2011

We need to have eminent politicians and good administrators(Babus who will do their duty with diligence, professionalism , utmost integrity ,honesty and commitment rather than being"yes Babus". Is it possible or will remain a dream for ever?

R S Nambi Consultant-World Bank  



SMIES ARE RESPONSIBLE FOR INCREASING CORRUPTION
KRANTIVEER | Wed Jan 26 00:23:45 2011
THE SMES ARE ALSO RESPONSIBLE THEMSELVES FOR INCREASING CORRUPTION. THE ENTER PRENURES GREASE THE PALMS OF BUREUCTRATS TO BY PASS THE LAWS OR TO MAKE FRAUDS.


curruption & how to face it
Vijayan N. Pandala | Tue Jan 25 23:53:53 2011
Corruption is every where, bribing, influence offering money and offering ladies. It become predominant after Nehru era.Now, Nehru family is linked with corruption. It can not be faced with law, there is no word corruption in our constitution. It is hidden there.Hence it has be be faced spiritually. We got a soul (atama), call out with special technique and technology converse and get the information and do needful to eliminate. Corrupt people have feeble soul, essay to call, for which its permission is not needed. I can do it if necessarily. All are afraid of losing their soul. This is the only way to stop corruption.


Coruption
Rajindar Opal | Tue Jan 25 22:32:12 2011
I am a Canadian of Indian origin. Thirty years ago I tried to setup shop in Delhi to manufacture zippers with Canadian plant and know-how. I was so disscouraged by the miss-treatment, harrassment, demands for bribes that I had to abandon it and gave back the plot of land and sold parts of my plant to local businesses and returned to Canada. In this process I suffered financial losses and lost productive time. I wish India gets rid of all corrupt officials if the country has to march successfully in the 21st. century. Rajindar Opal, (Ex. Capt. Indian Army)


corrupt babus......
nagesh | Tue Jan 25 21:03:38 2011
you have add that all parties irrespctive of power demands money from the small scale enterpenures on and off making the enterpenurship difficult to pull on and make a break thru'. it is shame `that all law makers are law breakers and colluding with politaical thugs - is this the democracy we have longed for- meare Demonacrcy...!!!!!!!! feel like hanging them by a lamp post


do you prepare
I am india | Tue Jan 25 19:55:23 2011
do SMEs have system not to pay bribe. because many SME it self is doing malpractice in their business and they have to pay bribe to babus and because of this kind of bastereds good pepole have to suffer. othrwise not paying bribe will become question of bread and butter to their family.first screw the malpractice doing SMEs bribe problem will automatically resolve.


Fighting against corruption
Ronak Patel | Tue Jan 25 19:03:41 2011
Dear Sir, Thank you for such a wonderful article.Let us fight to get rid of corruption, because it has spread like cancer, in the society. Today since last eight years I am fighting against corruption in various courts. I have got lot of evidence against that. How are cases manged by the judjes in the court & how they are forced to change the order which they have passed by writing further order.Like me there are lot of people fighting aginst corruption. There are lot of times, articles have come in leading newspaper. Recently my case is registered in CBI & it has been published in leading newspaper. Somebody has to come out to fight aginst corruption otherwise it will go on spreading.


Corrupt Babus
Nivarty Adperma | Tue Jan 25 16:43:44 2011
Practice of finding easy routes has become so much embedded into our business system that corruption is considered as inevitable as keeping the babus on almost your payroll. Our tax consultants are the first to fix up rates at the Salestax, Excise, Incometax, ESI & all such statutory offices to make their jobs simple & easy. Unless there comes up a strong political will against corruption with fears of immediate stringent punishments, we are only indulging in crying in wilderness.


Corruption
anil | Tue Jan 25 16:43:02 2011
corruption is becoming bane of this nation. it may be true that babus are corrupt but in a way or other it is us, entrepreneurs or small enterprise, who nourish the corruption or in other words stoke fire of corruption. Let me put it in other words, instead of trying to improve the quality of products, we prefer to bribe the concerned personnel to keep alive license. I am not supporting the corrupt babus but trying to say the malise lies with us too. The strategy to fight corruptiob has to be two prong(1) lets pledge we will not take short cut to keep our licenses intact and (2) lets unite and say big and affirmative no to demand of bribe by any babu.First strategy is easy to implement as it has more to do with self control. One thing is clear if this nation has to emerge stronger and vibrant nation of yore then we have to rein in corruption. It is in our interest, in the interest of nation and in the interest of free and fair society.


 
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