Monday, September 30, 2013

What exactly is the 'fodder scam'?

Lalu Prasad Yadav has been convicted by a CBI court in what is infamously termed as the 'fodder scam'. The scam is all about the politicians of Bihar - across the political spectrum - having connived with their bureaucrats to siphon off huge funds meant for expenses on livestock, including provision of fodder. Let's try to make some sense of the drama that was played.

(a) During the period between 1993 and '96, the then Bihar government had approved Rs.10.5 crores to buy the following:-
           
       (i) Pigs         5,664
      (ii) Hens      40,000
     (iii) Goats       1,577
     (iv) Sheep         995

(b) VS Dubey, as the state's Finance Commissioner, stumbled on the scam while reviewing the performance of the different departments in Dec '95. While studying the resources vs expenses of the Animal Husbandry department over the previous years, he found the following anomalies:-

       (i) withdrawals were the highest in the department.
      (ii) expenditure was incurred under non-plan items.
     (iii) withdrawals had been beyond sanctioned amounts.
     (iv) supporting vouchers claimed that goats, pigs and hens were purchased under a welfare scheme for
           the dalits, the tribals and the poor.
     (v) supporting vouchers of expenses claimed that money had been paid for transporting the
          cattle, even on motorcycles and mopeds!
     (vi) and the purchase of 500 kgs of mustard oil to polish the horns of buffaloes and pigs from Ludhiana
           @ Rs.15 lakhs by RK Rana, an Animal Husbandry officer who rose to become an RJD MLA
           and later, MP! He'd famously claimed, during the investigations, that half the pigs had died near
           Varanasi during the process of transportation!!

(c) And the money that was swindled was to the tune of over Rs.600 crores, as follows:-

      (i) Rs. 255.53 crores from different treasuries for the same purchase.
     (ii) Rs. 409.62 crores withdrawn from the treasuries spread all across the state - Ranchi,
          Chaibasa, Dumka, Gumla and Jamshedpur(now, in the state of Jharkhand)!

A typical Indian 'rags-to-riches' story where Laloo Prasad Yadav, a milkman's son rose from clerk to chief minister to railway minister!


Tailpiece.

1. 18 years later, nemesis seems to have finally caught up with the frauds. It's now left for us to see as to how they carry out their punishments - already, Jagannath Mishra one of the convicts, has moved into a hospital on grounds of ill health! Some drama!!

2. And yes, based on the fraud, I'm now convinced that 'pigs can fly'!


     

       

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