Political meddling to financial impropriety – it is all going wrong at Amul

out today, the second — and concluding — part of our report on how Kaira Union, the Amul Dairy set up by Verghese Kurien and Tirbhuvandas Patel is doing.

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Amul federation could be soured by corruption charges against its oldest cooperative in Gujarat

On March 31, K Rathnam abruptly resigned as managing director of the Kaira Union, the oldest of the 18 cooperatives that market their products under the Amul brand name.

The announcement came shortly after some board members of the union, including vice chairman Rajendrasinh Parmar, alleged a Rs 450-crore scam during Rathnam’s three-year stint running the cooperative.

For their part, Rathnam and Ramsinh Parmar, the long-standing chairman of the Kaira Union, said the resignation was a routine matter. Rathnam, 55, told The Indian Express, “I have given Amul 22 years of my life. Now, I wish to spend time with my family that is settled in Tamil Nadu and America.” Both said talk of corruption was politically motivated.

Two weeks later, as public attention has gradually moved away, the contradiction between these claims and counter claims has not been discussed much in the media. In the process, urgent questions about the functioning not just of the Kaira Union but also the Gujarat Cooperative Milk Marketing Federation, which coordinates the Amul cooperatives, are slipping under the radar.

Part two of the report, out tomorrow.

The Amul story: How politics is hurting the economics of Gujarat’s milk cooperatives

In the winter of 2013, the inner workings of Amul briefly became public. A boardroom putsch was underway. The directors of no less than 14 of the 17 district milk cooperatives that were then part of the Gujarat Cooperative Milk Marketing Federation, which owns the Amul brand, had turned against chairman Vipul Chaudhary. A member of the Bharatiya Janata Party, Chaudhary was part of the Shanker Singh Vaghela-faction that had branched out as a separate party in 1996 and formed a shortlived government with Congress support. Chaudhary had since then returned to the BJP, but in 2013, others in the Amul federation suspected him of cosying up to the United Progressive Alliance government at the Centre. This cost him the support of BJP-controlled district milk cooperatives, news reports said.

In the course of the power struggle, serious accusations of financial impropriety surfaced against Chaudhary, who was also the chairman of the milk cooperative at Mehsana. Board members charged him with selling 7,000 tonnes of milk powder at low rates to private buyers, resulting in losses for the Mehsana dairy. It was also alleged that Chaudhary had created excess manufacturing capacities without taking permission from the federation. This had led to a higher interest and depreciation burden, resulting in huge losses, alleged RS Sodhi, the managing director of the federation.

But with public attention focused elsewhere – the 2014 national election was already creating headlines – Amul’s boardroom battle did not get the attention it deserved. In January 2014, the dissidents won. Chaudhary was removed. Amul found itself a new chairman and vice-chairman. A curtain dropped on its functioning all over again.

This year, in August, the curtain parted briefly when Ramsinh Parmar, the MLA from Thasra constituency, left the Congress to join the BJP. Parmar wasn’t just one more MLA deserting the Congress before state assembly elections. As the chairman of the Kaira milk cooperative, he was the last standing non-BJP chairman in the federation.

What we talk about when we talk about Bihar

A wrap of all our #EarToTheGround reportage from Bihar is finally out.

The arsenic crisis is not the only problem area where the state’s response has been weak and underwhelming. Bihar has improved on law and order, roads and power, but as the previous stories in Scroll.in’s Ear To The Ground series have reported, its performance on matters crucial for the poor – preventing infectious diseases, implementing the Mahatma Gandhi National Rural Employment Guarantee Scheme that promises all rural households 100 days of employment in a year, pushing land redistribution, providing quality education – remains abysmal.

This needs to be understood….

Do read.

PS: Our previous wraps, here. Tamil Nadu. Punjab. Odisha. Mizoram. And, this one, at the halfway stage.

Caste Calculus: How the BJP is expanding its footprint in Bihar

In a hamlet between Badlapura and Chirandgaon villages near Chhapra, Bihar, a small temple is packed with about 40 women. Unmindful of the summer afternoon heat, they are absorbed in worshipping the Hindu god Shiva.

It is a Shiv Charcha, Ajay Pandey, the priest of a nearby temple, explained. The women live in five villages surrounding the temple and get together for three or four hours of prayer every afternoon. Crucially, they belong to different jaatis, or sub-castes.

Shiv Charchas are a recent addition to religious life in Saran district. “These started in our area three or four years ago,” said Arun Kumar Das, a Dalit activist from a nearby village, Baniyapur. What sets these apart from other such religious practices, Das said, is the focus on Dalit women.

Shiv Charchas were apparently introduced to Bihar about five years ago by one Harendra Bhai. He was born into the Bhumihar caste in Bihar’s Siwan, according to Pandey, and he and his wife Neelam set up Shiv Charchas in Jharkhand before moving back to Bihar.

It isn’t clear whether the Shiv Charchas are affiliated to the Sangh Parivar, the network of organisations that espouse Hindutva, but they are aiding the electoral prospects of the Bharatiya Janata Party in the state.

Part 2. Note the bit about whether only casteism can beat communalism too.

Fear and loathing in Chhapra: How a peaceful Bihar town became a communal tinderbox

Over the past four years, religious tension has steadily increased in Chhapra, Bihar.

For evidence, see how this once peaceful town in Saran district now celebrates Ram Navmi or Maha Shivaratri: the high point of the festivities is large processions of young men wearing saffron headbands brandishing swords and shouting “Jai Shri Ram” to a soundtrack of techno music.

Most chants, though, are not remotely religious, said Jeelani Mobin, the Rashtriya Janata Dal’s head of Chhapra Zilla Parishad. “Doodh maango, kheer dengay. Kashmir maango cheer dengay,” goes one slogan. “Ask for milk and we’ll give you kheer. Ask for Kashmir and we will cut you down.”

In such a charged atmosphere, even petty disputes take on communal overtones. “Recently, a Muslim boy killed a monkey that had been biting passersby,” Mobin offered an example. “A village headman began saying ‘Hanuman has been killed’ and a mob quickly took shape.”

In Wajidpur, a small village about half an hour from Chhapra, Mohammad Shamsher, 22, was stabbed by a group of Hindu boys on the day of Holi, March 13. Shamsher died on the way to hospital. Two days later, his family told Scroll.in they still did not know why he had been murdered. But what had transpired just after the stabbing was telling.

Over the last four or five years, the Bajrang Dal, the muscle of the Hindutva network known as the Sangh Parivar, has established itself firmly in this part of Bihar. If there is any incident involving Muslims, its members quickly reach the spot. This is what happened on March 13. Shamsher was stabbed at half past six in the evening. At around eight, a Bajrang Dal posse assembled in the lane leading to the 25-odd Muslim houses and the mosque.

Go to a state. Urgently ask about the biggest, newest changes. And sometimes you find really ugly stuff. As in Bihar. Five months in that state and the biggest development seemed to be this abrupt spike in communal tensions. It was a puzzling spike too. One that did not fit into the state’s past history of communal violence — the triggers, the nature of violence, they are both different.

This is Part One. Do read.