LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Moily

Discussion in 'Politics & Society' started by happy, Feb 11, 2014.

  1. happy

    happy Senior Member Senior Member

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    LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Moily and Mukesh Ambani

    Delhi Chief Minister Arvind Kejriwal on Tuesday spoke to the media on Tuesday:

    Here are the excerpts of his press conference:

    11.15 am: Arvind Kejriwal claims Delhi government got a complaint by four people against Reliance Industries.

    “Reliance Industries is making windfall gain by charging double for gas from KG Basin,” he says.

    11.17 am: Kejriwal orders anti-corruption bureau to file FIR against Murli Deora, Veerappa Moily, Mukesh Ambani, Reliance Industries and others.

    11.20 am: AAP leader Yogendra Yadav tweets: “Delhi CM announces filing of FIR against Deora, Moily, V K Sibbal and Mukesh Ambani on KG basin scam. Big step in fight against corruption.”

    11.25 am: Kejriwal says those who don’t have any alliance with Mukesh Ambani should stand with us in this fight.

    LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Moily and Mukesh Ambani | The Indian Express
     
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  3. happy

    happy Senior Member Senior Member

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    That RIL has inflated gas price and shortage is a known long ago. Finally, somebody could take the matter to court. Remains to be seen if they can produce clinching evidence.
     
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  4. Ray

    Ray The Chairman Defence Professionals Moderator

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    Is this connected with piped gas to Delhi?
     
  5. happy

    happy Senior Member Senior Member

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    I am not sure about Delhi, but this is very much the reason behind RILs enemity with the Late YSR.
     
  6. SajeevJino

    SajeevJino Long walk Elite Member

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    .


    Gang War :truestory:
     
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  7. pkroyal

    pkroyal Regular Member

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    Moily has a reputation to defend, not for nothing he was known as oily moily
    Ambani & co are chip of the old block, Dhirubhai had a permanent IAS(retd) level senior officer to work the system in Delhi to know the budget details beforehand.
    Milind owes his survival to Rahul Gandhi.

    An unholy axis of evil .

     
  8. Ray

    Ray The Chairman Defence Professionals Moderator

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    I asked if it is about piped Gas to Delhi from the KG Basin because I have not understood the connection between the Delhi Govt and the KG Basin.

    Or is it that the Delhi Govt is to take on all ills of the country on its own?
     
  9. Singh

    Singh Phat Cat Administrator

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    He has not filed a case of his own volition.

    2 IAS officers, 1 Admiral and 1 Sr SC lawyer complained re: Gas Scam to Oil Ministry, PM, CM etc.

    CM took cognizance, because the pricing mechanism was fixed in Delhi. He has ordered ACB of DP which has same jurisdiction as CBI to investigate.

    In a criminal case, you don't need to be an interested party to investigate or order an investigation.
     
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  10. Singh

    Singh Phat Cat Administrator

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    Sir,

    1. Pricing fixing happened in Delhi

    2. You don't need a locus, to file criminal complaints.
     
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  11. A chauhan

    A chauhan "अहिंसा परमो धर्मः धर्म हिंसा तथैव च: l" Senior Member

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    If they are guilty then ok, but the last statement of Kejriwal @ 11.25am makes it clear that it's a political decision and Ambani is going to be used to speak against Modi.
     
  12. happy

    happy Senior Member Senior Member

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    Axis of Evil Indeed !!

    The main reason behind gas shortage in India is RIL. India should make a resolution that all natural resources belong to the nation and the govt should have all rights over them, including deciding the prices at which they will be distributed to the public. In fact the govt should have a say in each and every matter related to these natural resources.

    If RIL hadn't created the artificial shortage, we wouldn't have witnessed the Aadhar linkage to buy gas and the rates would not have skyrocketed. Also, the Gas Power Plants would have produced electricity throughout last year which witnessed heavy power cuts for days at each stretch sometimes.
     
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  13. Singh

    Singh Phat Cat Administrator

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    Henry Hub Natural Gas Spot Price (Dollars per Million Btu) - Global Spot Rates @ the moment is 2014 Feb- 3 to Feb- 7 5.04 $

    Reliance is being paid 8$ for long term contracts to supply gas. And this gas belongs to the Govt of India.
     
  14. Singh

    Singh Phat Cat Administrator

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    That is already the case.

    1. Coal, Iron Ore, Petroleum, Gas etc. are national wealth.
    2. Gas pricing is to be decided by Govt.

    Massive bungling has occurred here.
     
  15. Ray

    Ray The Chairman Defence Professionals Moderator

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    At this rate, Mamata Bannerjee, on behalf of Bengal, will file cases in Calcutta over preferential treatment to others or some such stuff as per her whims.

    Is it not necessary that one has to be affected by some aspect to file a case?

    Can a govt file PILs?
     
  16. Singh

    Singh Phat Cat Administrator

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    1. Depends. If its a criminal act, and she receives a complaint. She can ask the Police to investigate.

    2. Not in case of a criminal act as per SC.

    3. I don't think so. It would be redundant. Govt can make a law instead of a PIL.
     
  17. bose

    bose Senior Member Senior Member

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    All will be lost for Kejriwal if he is unable to prove that he is the only honest politician in the country... This mission accomplishement has to be done before 2014 election... have to be !!
     
  18. happy

    happy Senior Member Senior Member

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    UPA and dodgy gas pricing: Sadly Kejriwal is saying nothing new | Firstpost

    If Arvind Kejriwal is making strong allegations against how gas prices are being fixed, and how Reliance may be benefitting at the cost of the economy, the UPA government has largely itself to blame.

    In announcing a dubious way of fixing gas prices last year, the government made itself vulnerable to such charges. As we noted in Firstpost last year, there was no tearing hurry to announce a decision for 2014 back then, when a government may change, and the entire global energy scenario may be different. Not only has the UPA tied down the next government to a seriously flawed decision, but its motives in doing so are also suspect.

    Real reform is what the US did with shale gas, which is to free exploration and domestic pricing. You don't fix prices through a government and call it reform. If you fix prices, instead of letting the market determine the price, you are likely to be accused of collusion with businessmen. You have handed a propaganda coup to Kejriwal - whose remedies are unlikely to help reduce energy prices either.

    Among the follies announced last year were the decision to fix KG gas prices at around $8 per mmBtu based on a complex formula. There is no reason why pricing should be announced in dollars. Remember the criticism of the Enron deal? Why price power in dollars when the revenues are all in rupee? The same logic should apply to the Indian gas pricing scene. Why should the Indian consumer, and possibly the taxpayer, take on the exchange risk of India-produced gas?

    Moreover, how can a committee - or bureaucrat-decided price - be called reform? Do bureaucrats know better than the market? If the logic for allowing a price increase is that import prices are higher currently, one wonders what would happen if global prices crash? The only move that can be called reform is market-based pricing - where businesses take both the risks and rewards of global and domestic price movements.

    The pricing decision announced last June, and especially the explanation given by Finance Minister P Chidambaram, involved gas output prices and not input prices for user industries - which meant the government had decided how much money gas producers, ONGC and Reliance among them, will make, but not how much gas users (power, fertiliser consumers) should pay. This is utter stupidity.

    Chidambaram said: "At the moment we are fixing only output prices, the price payable to gas producers. This will indeed have an impact on the consumer, but those prices are not being fixed today.....What is the price at which it should be supplied to a power plant, to a fertiliser plant, in order to make power affordable, fertiliser affordable... that can still be decided between now and April 1 (2014)."

    This begs the question: if input prices for power and fertiliser can be decided later, why rush to decide output prices nearly a year in advance? When the two are inter-linked, it's like trying to have your cake today, and leaving the job of cleaning up the mess to someone else in 2014.

    Then, any fixing of input at a lower price than output price will mean a bloating of subsidies. Who will pay this? The taxpayer, or somebody else? In the case of oil subsidies, both taxpayers and public sector oil companies have carried the can for the government's political decisions. Will the same happen with gas now? Will ONGC and GAIL bear the subsidies? This would be a disaster, and a clear case of misgovernance. ONGC shareholders should be suing the government if that happens.

    The UPA's intentions appear suspect and mala fide - and it didn't need a Kejriwal to tell us this. If the benefits of a gas price hike are to be had upfront and the costs will be shifted to the next government (which will have to take the painful decision of bearing more subsidies, or reducing the gas price at the output end), this is clearly a scorched-earth policy. The UPA has essentially lobbed a ticking time-bomb to the next government.

    It appears that the gas price announcement was intended to achieve two non-reform goals of the UPA: given the drastic fall in the rupee, the government needed the market to perk up in order to reverse capital outflows last year; it also needed a buoyant stock market to meet its fiscal deficit target. These targets can be met only if public sector shares can be sold to investors. In June, foreign institutional investors sold equity and debt to the tune of over Rs 40,000 crore. The gas price announcement temporarily reversed that trend. But reform cannot be about meeting these kinds of goals. Or pandering to FIIs.

    Even if gas pricing is intended to induce new investments in petrocarbon exploration, it cannot be done in isolation. The energy sector comprises oil, gas, coal, coal-bed methane and shale gas, too. If you want to reform the sector, you have to reform pricing in all of them, not just gas. By raising gas prices, and leaving other prices and sectors as they are, the government is clearly worsening its energy sector problems. The only way to reform is to let prices of fuels find their own levels, so that businesses can make a rational decision on which fuel to use for what kind of output.

    The doubling of gas prices is widely seen as a favour to gas producers. It may well be that, but in the long-term, it will actually damage the gas sector. When you double prices by fiat, the chances are that gas users will go into losses; they will have to be rescued either by the taxpayer or banks. And future demand for gas-based fertiliser and power plants will be curbed. Who will the gas producers sell to then?

    In the US, when the government decided to boost shale gas production, it did not set any price. The market did that. This brought in new investment, and competition - and today natural gas prices at the US's Henry Hub are below $4 per mmBtu. And here we are, trying to double that price and calling it reform.

    It is difficult to believe that the UPA's gas price move was at all intended to reform anything beyond putting out the fire in the economy's backyard - where the rupee was clearly going down in flames last June.

    Real reform is what the US did with shale gas.And we didn't need Kejriwal - an anti-market rabble-rouser - to remind us of this.

    Read more at: UPA and dodgy gas pricing: Sadly Kejriwal is saying nothing new | Firstpost
     
  19. Free Karma

    Free Karma Senior Member Senior Member

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    There seem to be a case in court regarding this already:

    SC finds merit in PIL against gas price hike (by some communist party guy, from jun 2013)

    the cost of international gas varies, wildy from 4$ in 2002 to 15$(in 2005) to 5$ now.

    Currently India imported gas costs about 10.5$ from the U.S, 13$ from Qatar, and 16$ from aus (this includes the world gas price + transport). LNG from US to cost GAIL India USD 10.5 per mmBtu - Economic Times

    But that shouldnt really impact local gas prices, as it's found here.

    The prices seem to have be a constant source of tension between the govt and RIL,

    The price was fixed when gas some 10 years ago I think, RIL could argue things have changed a lot since then, but Reliance has also been breaking some rules like the amount of gas production that is required of them.

    Ultimately Reliance is just doing what a comapny would do, i.e look a the price of externally acquired gas, and try to make the most of the situation, (profit), It falls upon the govt to put it's foot down on unfair pricing, depending on what it deems would be fair, which would in turn comes down to technical points and negotiations between the two parties. Or the ultimate move would be to terminate their contract, if they cant agree. Meanwhile, it can be used for publicity.
     
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  20. Singh

    Singh Phat Cat Administrator

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    Few issues:

    1. Kejriwal is taking note of the complainants and asking ACB to investigate the said claims

    2. In India, Gas is part of national wealth. RIL doesn't own the gas afaik.

    3. No idea about the contract, but ideally, Reliance should be handsomely rewarded for extracting gas and transporting it to Indian mainland. Rates ought not to reflect market prices but extraction costs.

    4. Since Reliance is only going to go in for long term contracts, it should be used to supply to critical sectors like power generation, cooking etc.

    ==
     
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  21. Singh

    Singh Phat Cat Administrator

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    Re: LIVE: Arvind Kejriwal orders FIR against Milind Deora, Veerappa Mo

    RIL refuses to share Rs 25,000 crore expenditure details with CAG

    Pradeep Thakur, TNN | Feb 19, 2013, 05.38AM IST
    NEW DELHI: Comptroller and Auditor General (CAG) Vinod Rai has sought government's intervention to ensure that it gets to investigate Reliance Industries Limited's (RIL) claim to have spent more than Rs 25,000 crore for developing the D-6 gas fields in the Krishna-Godavari basin.

    Rai last week wrote a letter to petroleum minister Veerappa Moily pointing out that a CAG team deputed to audit RIL's expenditure claim was not allowed access to the company's books. The private sector giant remained engaged with the CAG audit team, but refused to share details of the equipment worth thousands of crore it claims to have procured for developing the gas field since early 2007.

    RIL justified the denial of documents and details by arguing that the top federal auditor did not have the mandate to ask for "propriety expenditure" of a private concern. CAG had wanted to know the sources from where RIL procured the machinery. When asked about it, the petroleum minister sought to play the standoff down. Speaking on the sidelines of a GAIL function in Bengaluru, Moily said: "RIL is not the only party involved. They will do their job, CAG will do its job and the ministry will do its work."

    Rai's letter to the petroleum ministry renews a running feud between the CAG and RIL over the former's jurisdiction to review the expenses that the corporate behemoth says it has incurred for developing the gas reserves in K-G basin. RIL has justified its stand by saying that it was a private concern and, consequently, outside the CAG's purview.

    However, CAG has asserted its right to inspect the accounts by saying that they pertain to a production-sharing contract where government is a partner. It has also argued that under the production-sharing agreement, RIL is supposed to be reimbursed for the capital expenses, and this is taken into account while determining government's share of gas revenue. Anti-corruption activists like Prashant Bhushan and Arvind Kejriwal have alleged that RIL inflates its cost — "gold plating" in business parlance — in order to maximize its profits at the cost of public exchequer.

    The matter had taken a political overtone when the removal of S Jaipal Reddy from the petroleum ministry was attributed to RIL's machinations. Reddy had sided with the view that CAG had the jurisdiction to examine the veracity of RIL's capital expenditure claim, and had stopped them from making further investments until they had submitted to the auditor's scrutiny.

    Anti-graft activists released documents to say that Reddy lost his job because he refused to ignore the allegations that RIL was engaged in gold plating.

    Sources said 90% of receipts from the D-6 are going towards reimbursing the RIL's capital expenses. And 9% of the remainder goes to RIL, leaving only 1% for the government.

    "The government is losing out on 90% of the proceeds from the sale of gas as they are being shown as expenditure. As representative of the government we should know where these expenditures have been made," said an official. The RIL is believed to have offered only an account statement showing expenditures and receipts, but refused to elaborate.

    The six-member audit team had its first meeting at Mumbai with RIL officials on January 9 and returned last week empty handed. The feud has flared up afresh just as Rai's tenure expires in May.

    CAG has told Moily that unless the audit team is furnished with all the details of procurement from where such purchases were made it would not be possible to make a proper audit observation.

    When contacted, RIL refused to comment. While the CAG team was still sitting at its Mumbai office, the RIL on January 29 wrote to the petroleum ministry saying, "although differences have arisen as to the basis and scope of the audit after the January 9 meeting, we are making all efforts to co-operate with CAG by providing records."

    However, it said that CAG audit as per the production sharing contract "do not make any reference to a performance audit or propriety audit or challenge the reasonableness of any expenditure incurred."

    While making it clear that it would not share with the auditor any "propriety" expenditure details, the RIL in its letter to the petroleum ministry said that "non-furnishing of documents, which are not required for the purpose of audit under Section 1.9 (of the PSC) but are sought by CAG, cannot constitute a breach of the PSC".

    RIL refuses to share Rs 25,000 crore expenditure details with CAG - The Times of India
     
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