SCAMS IN INDIA

uone by
o||t|c|ansGovt off|c|a|scorporate nonchos
W loJlo oeeJs to Jeol wltb tbe mollce of
cottoptloo ooJ lmptove qovetoooce lo
Aslos tbltJlotqest ecooomy
utMoomoboo 5loqb
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W 9ollLlcal and bureaucraLlc corrupLlon ln ndla are
ma[or concerns A 2003 sLudy conducLed
by @ransparency nLernaLlonal ln ndla found LhaL
more Lhan 13 of ndlans had flrsLhand
experlence of paylng brlbes or lnfluence
peddllng Lo successfully compleLe [obs ln publlc
offlce
W n 2010 ndla was ranked 87
Lh
ouL of
178
Lh
counLrles ln @ransparency
nLernaLlonals CorrupLlon 9ercepLlons ndex
rom 1948 Lhrough 2008 ndla losL a LoLal of
b||||on ln llllclL flnanclal flows (or lllegal caplLal
fllghL) @hese llllclL flnanclal flows were generally
Lhe producL of corrupLlon brlbery and klckbacks
crlmlnal acLlvlLles and efforLs Lo shelLer wealLh
from a counLrys Lax auLhorlLles (31)
W Accordlng Lo Lhe daLa provlded by Lhe Swlss
8anklng AssoclaLlon eporL (2006) ndla has
more black money Lhan Lhe resL of Lhe world
comblned
S-CL -u9L-uL-CL
W !eep 9urchase(1948)
W Cycle mporLs(1931)
W 8Pu funds(1936)
W Mundhra Scandal(1937)
W @e[a loans scam(1960)
W kalron scam(1963)
W 9aLnalk's own goal(1963)
W MaruLl Scandal(1974)
W kuo oll deal(1976)
W AnLulay @rusL(1981)
W PuW commlsslons(1987)
W 8ofors payoff(1987)
W SL klLLs forgery(1989)
W Alr bus Scandal(1990)
W SecurlLles Scam(1992)
A@L 1991
W 1992 Parshad MehLa Scam was worLh s 3000 Crores
1994 Sugar mporL Scam was worLh s 630 Crores
1993 9referenLlal AlloLmenL Scam was worLh s 3000
Crores
1993 ?ugoslav ulnar scam was worLh s 400 Crores
1993 Meghalay oresL Scam was worLh s 300Crores
1996 erLlllsers mporL Scam was worLh 1300 Crores
1997 Sukhram Lelecom Scam was worLh s 400 Crores
1997 Lavalln 9ower pro[ecL Scam was worLh s 374 Crores
1997 8lhar Land Scam was worLh 1200 Crores
1997 C 8hansall sLock scam was worLh s 1200 Crores
1998 @eak 9lanLaLlon Scam was worLh rs 8000 Crores
2001 u@ Scam was s 4800 Crores
W 2001 keLan 9arekh securlLy scam was worLh s 1230 Crores
2002 San[ay Agarwal Pome @rade Scam was worLh s 600
Crores
2003 @elgl SLamp paper Scam was worLh s 172 Crores
2003 9 uemaL Scam was worLh s 146 Crores
2003 8lhar food rellef Scam was worLh 17 crores
2003 Scorpene submarlne Scam was worLh s 18978 crores
2006 9un[ab's clLy cenLre pro[ecL scam
2006 @a[ Corrldor Scam was worLh 173 Crores
2008 9une 8llllonalre Pasan All Lax defaulL scam was worLh s
30000 crores
2008 SaLyam Scam was worLh s14000Crores
W 2008 Army aLlon 9llferage Scam was worLh s 3000 crore
2008 2C SpecLrum Scam was worLh s 176 lakh Crore
2008 llegal money ln Swlss 8ank ls worLh s 7100000 Crore
2009 !harkhand Medlcal equlpmenL scam was worLh s 130
Crore
2009 lce exporL scam was worLh s 2300 crore
2009 rlssa Mlne scam was worLh s 7000 crore
2009 Madhu koda scam was worLh s 4000 crore
2010 9L fraud lnvolvlng LallL Modl
2010 CommonwealLh Cames looL ls worLh 8000 crore
!eep 9urchase(1948)
W ree ndlas corrupLlon graph beglns v k
krlshna Menon Lhen Lhe ndlan hlgh
commlssloner Lo 8rlLaln bypassed proLocol Lo
slgn a deal worLh s 80 lakh wlLh a forelgn
flrm for Lhe purchase of army [eeps @he case
was closed ln 1933 and soon afLer Menon
[olned Lhe -ehru cablneL
Mundhra Scandal(1937)
W L was Lhe medla LhaL flrsL hlnLed Lhere mlghL be a scam
lnvolvlng Lhe sale of shares Lo LC eroz Candhl sources Lhe
confldenLlal correspondence beLween Lhe Lhen lnance
MlnlsLer @@
W krlshnamacharl and hls prlnclpal flnance secreLary and ralsed
a quesLlon ln 9arllamenL on Lhe sale of fraudulenL shares Lo
LC by a CalcuLLabased Marwarl buslnessman named Parldas
Mundhra
W Concluded LhaL Mundhra had sold flcLlLlous shares Lo LC
Lhereby defraudlng Lhe lnsurance behemoLh Lo Lhe Lune of s
123 crore Mundhra was senLenced Lo 22 years ln prlson @he
scam also forced Lhe reslgnaLlon of @@krlshnamacharl
8ofors scam
W 9M a[lv Candhl and several oLhers lncludlng a powerful -
famlly named Lhe Plndu[as were accused of recelvlng
klckbacks from 8ofors A8 for wlnnlng a bld Lo supply ndla's
133 mm fleld howlLzer
W @he Swedlsh SLaLe adlo had broadcasL a sLarLllng reporL
abouL an undercover operaLlon carrled ouL by 8ofors
Sweden's blggesL arms manufacLurer whereby $16 mllllon
were allegedly pald Lo members of 9M a[lv Candhl's
Congress
W @he name of Lhe mlddleman assoclaLed wlLh Lhe scandal
was LLavlo CuaLLrocchl an Lallan buslnessman who
represenLed Lhe peLrochemlcals flrm SnamprogeLLl
CuaLLrocchl was reporLedly close Lo Lhe famlly of 9rlme
MlnlsLer a[lv Candhl and emerged as a powerful broker ln
Lhe 1980s beLween blg buslnesses and Lhe ndlan
governmenL
LLavlo CuaLLrocchl
A uelhl courL dlscharged CuaLLrocchl from Lhe case as Lhere was no
credlble evldence agalnsL hlm on 4 March 2011
@he Pawala scandal
W @he Pawala Scandal @he Pawala case Lo Lhe Lune of
$18 mllllon brlbery scandal whlch came ln Lhe open ln
1996 lnvolved paymenLs allegedly recelved by
counLry's leadlng pollLlclans Lhrough hawala brokers
rom Lhe llsL of Lhose accused also lncluded Lal krlshna
Advanl who was Lhen Lhe Leader of pposlLlon @hus
for Lhe flrsL Llme ln ndlan pollLlcs lL gave a feellng of
open looL all around Lhe publlc lnvolvlng all Lhe ma[or
pollLlcal players belng accused of havlng accepLed
brlbes and also alleged connecLlons abouL paymenLs
belng channelled Lo Plzbul Mu[ahldeen mlllLanLs ln
kashmlr
@elgl Scam
W Abdul karlm @elgl had masLered Lhe arL of forgery ln
prlnLlng dupllcaLe sLamp papers and sold Lhem Lo
banks and oLher lnsLlLuLlons @he LenLacles of Lhe fake
sLamp and sLamp paper case had peneLraLed 12 sLaLes
W Pe began prlnLlng fake sLamp paper Pe appolnLed 300
people as agenLs who sold Lhe fakes Lo bulk
purchasers lncludlng banks s lnsurance companles
and sharebroklng flrms Pls monLhly proflLs have been
esLlmaLed as belng ln Lhe nelghbourhood of s 202
crore (sllghLly more Lhan uS $40 mllllon)
W @he slze of Lhe scam was esLlmaLed Lo be more
Lhan 43000 crore (uS$933 bllllon)

SaLyam scam
W Satyam is the biggest Iraud in the corporate
history to the tune oI Rs. 14000 crore .
W Overstated quarterly revenues Ior the period
ending 30 September 2008 by 28 and overstated
earnings by $125m.
W n accrued interest oI Rs 376 crore, which
was non-existent.
W n understated liability oI Rs 1,230 crore on
account oI Iunds.
W n overstated debtor`s position oI Rs 490
crore (as against Rs 2,651 reIlected in the
books).
OMMONWE% GMES SM
W Llquld Soap ulspensers renLed for s 9379 a
plece or $206!
W peraLlng Lxpenses escalaLlng from s 399 crore
ln uecember 2002 Lo s 1628 crore flnally
W Medlcal equlpmenL lncludlng Lread mllls have
been boughL or renLed aL 67 Llmes Lhelr orlglnal
prlce
W AllegaLlons LhaL funds meanL for ndlas mosL
deprlved secLlons Lhe SC/S@ have been
dlverLed Lo Lhe games funds
Adarsh scam
W %he Adarsh Housing Society is a 27 storeyed cooperative
society apartment Building, %he Ilats were reserved Ior the war
widows and veterans oI the Kargil War.
W ormer rmy hieIs General Deepak Kapoor and N Vij had
several Ilats in it.
W It Overlooked a Naval ir Station in olaba
W 900 rore oss .
W Orders Ior demolition passed.
nASSAN ALI knAN SCANDAL
W Stud arm Owner Irom Pune,whose net worth is
8Billion $,most oI which is unaccounted.
We has 800 Million dollars in oreign banks in
US,Switzerland and Singapore
We earned 1.1 akh rore Rs in 8 years and Owes
50000 rore worth oI %axes to the Government.
LLC@ SCAMS - LC-M?
@ota| scam money |n Ind|a 7
(Seventy @hree Lakh Crore)
@he tota| Scam money of our country |s 7
more than the GD of our country
PealLh Care
24 crore prlmary healLhcare cenLers @haL's aL leasL 3 for every vlllage aL
a cosL of s 30 lakh each
LducaLlon
241 lakh kendrlya vldyalayas aL a cosL of s 302 crore each wlLh Lwo
secLlons from Class v Lo x
Pouslng 146 crore lowcosL houses assumlng a cosL of s 3 lakh a unlL
nfrasLrucLure
2703 coalbased power planLs of 600 MW each Lach cosLs s 2700
crore
Supply 12 lakh CL bulbs @haL's enough llghL for each of ndla's 6 lakh vlllages
Clean up
30 ma[or rlvers for Lhe nexL 121 years aL s 1200 crore a rlver every
year
@ransporL
146 lakh km of Lwolane hlghways @haL's a road around ndla's
perlmeLer 97 Llmes over
9ubllc Welfare
Schemes
W90 -LCAsLyle schemes each worLh roughly s 81111 crore
W121 more loan walver schemes All of Lhem worLh s 60000 crore
Pand uL
W608 crore @aLa -anos Lo 608 crore people r four Llmes as many
lapLops
Ws 36000 Lo every ndlan Lven beLLer glve s 182 lakh Lo 40 crore
ndlans llvlng 89L
uefence
WCan provlde all our soldlers Lechnologles llke nlghL vlslon bulleL proof
[ackeL and oLher safeLy equlpmenL
!A- Lk9AL 8LL
W %he Jan okpal Bill (itizen's ombudsman Bill) is
a draIt anti-corruption bill.
W n independent body that would investigate
corruption cases.
W %he cases would be solved within 2 years.
W It will have Police Powers and will have powers
to Prosecute.
W ll Public Servants to be Included.