Click to play videoThe DLF Indian Premier League (IPL) conducted the much-hyped auction of top international players in Mumbai on Wednesday. A total of Rs 163 crore was bid. Not only was the money on big glamorous display but also Indian cricket’s revolution now signalled a deeper cultural shift.
The question that was brought up at CNN-IBN show, Face The Nation was: Are Indians no longer hypocritical about money?
On the panel to try and answer the question was Chairman, UB Group, Dr Vijay Mallya, social activist, Medha Patkar and managing partner at Counselage, Suhel Seth.
Show me the money
Given the social dimension of the IPL bidding that was an open display of big money and since he was seen as someone who was called ‘a living advertisement for India’s upperly mobile ambitions’ did Dr Vijay Mallya feel that in all the display of money thoughts of the other India that loved on $2 or less than $2 a day was being lost?
Dr Vijay Mallya said that having money in India was like a crime. “You have to apologise to be rich. In other countries in the world, if you are successful and wealthy it is appreciated. The western media used to often say that there is a divide between wealthy Indians and terribly poor Indians,” Dr Mallya said.
He however, keenly observed that the Indian media had also jumped on the bandwagon which was unfortunate.
“We all know that we have social issues of the underprivileged in our country but I am sure all of us have a responsibility and a soft spot for the need to do something quickly to address the issues,” said Dr Mallya.
He justified that there is nothing wrong in earning money, being wealthy and equally spending money whether it was measured in lakh or crores.
But why should activists hate the rich? When wealth was generated there was a trickle down effect, wealth is generated at lower levels as well and there is a productive potential in the generation of wealth so why should there be an artificial negative discourse between the poor rural areas and the richer urban centres?
Medha Patkar specified that the principle position of social activists was not to hate the rich but loathe the disparity .
“When there is a vulgar display of wealth which is neither Constitutional or justifiable, you cannot distinguish it from the rest of the world’s problems. Wealth is limited but it produces things that are valued. When values get distorted and perverted maintaining a wide unjustifiable divide becomes impossible and poverty is made by the richness of a few,” said Patkar.
Patkar also said that the poor were not even poor due to the toil but due to the exploitation of the toil.
Earn more, spend more?
The display of wealth in a country like India is an insult to India’s poor. Given the disparities, could an auction be considered acceptable?
“Just because there are 100 fakirs it is not logical not to have one badshaah, said Suhel Seth.
Seth agreed with Dr Mallya when he said that India had for far too long been apologetic and the rich had been looked down upon but every economy that went through a revolution had a trickled down affect.
“So while you appreciate, empathise and do something about the poor of this country you cannot decry the progress that the country should make as that will alleviate the poverty. We are being hypocritical for far too long. We have born Nehruvian socialism on our sleeves. We haven’t worn it in our hearts,” said Seth.
Seth strongly emphasised that the time had now come to prepare a ‘give list’. He however, said the IPL auction didn’t put a value to individuals but put a value to talent.
Hinting on Patkar, Seth said that she had protested for progress so we had to take a cue from her and do the same.
Patkar on the other hand, said that the her motive was not to substitute progress but redefine progress because of the vulgar disparity, displacement and destitution that progress was bringing in.
At that point Seth asked Patkar as to where did she get her funding from?
She said that she got it from the people. The Ministries had inquired into her funding.
Seth again raised a point saying that her funds came from the people who had money.
She on her defence said that she would have liked to be funded by ‘smaller people’.
So was the corporate sector responsible for the disparity and displacement that existed within India? Would it be able to socially ameliorate the wealth in the country?
Mallya was of the opinion that disparity was always there in India, and categorically there were the rich, independent and the poor.
“And there was no point in challenging the fact 60 years later. Had India not progressed and there was no aspiration then the Prime Minister would not to go on record to applaud Indian companies going global and cheer in Indian industries to be going truly global,” said Dr Mallya.
The indisputable fact was that if people earned more money then they would spend more money.
The show after acquiring full momentum shifted to tax. Tax collection had surged upwards because of the tax cut by the liberalisation regime. Seven per cent of the GDP are taxes and Rs 300, 0000 crore have been generated by the taxes paid by the rich. It was up to the government to put it into rural reconstruction and public schemes.
Patkar said that at the same time the Government exchequer was also getting emptied. “The exchequer that is full of natural resources like oil that was going to Ambani to a worthless value,” she said
She reckoned that it was within constitutional set up to control this kind of disparity by having the right kind of equitable rate policy and reasonable taxes.
So was wealth generation beneficial for the few or was it is a productive force for the entire economy?
Suhel said that wealth generation only benefited the few peripherally and superficially they became icons of the symbols but there was always a trickle-down effect.
One thing that he wanted to clearly state was that 67 per cent of Tata Sons was owned by a trust and there were several other corporations who were giving back to society.
His humble plea to Patkar was to stop protesting, criticising and talking about the negativity. “For once let the country applaud the progress made by millions!” said Seth.
Patkar’s response was, “There are millions of protesters and I battle with survivors.”
Final SMS poll results: Are Indians no longer hypocritical about money?
Yes: 66 per cent
No: 34 per cent
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