Coal scam: CII warns govt against sullying image of businessmen

Also warned against creating fear psychosis in decision making

Industry chamber CII today cautioned the government against building a fear psychosis into the decision-making and against tarnishing reputation of businessmen, breaking its silence over the FIR filed by Central Bureau of Investigation against business tycoon and chief of the $40 billion Aditya Birla group empire, Kumar Mangalam Birla. The FIR was filed for alleged criminal conspiracy and graft in the Rs 1.88 lakh crore coal block allocation scam. 

 

"Every effort should be made to ensure that there is no atmosphere of fear created,  when it comes  to decision making. Swift decisions and transparent policy environment are pre-requisites of an enabling business climate,"CII President Kris Gopalakrishnan said. 

 

He said while CBI is absolutely within its rights to proceed against any person to ensure that the law of the land is preserved, irrespective of the stature of of the person, it is desirable to ensure that all facts of the case are upheld upfront before proceeding  against respected and reputed individuals. 

 

The CII president said there is no one mehtod which applies to all natural resources,  when it comes  to pricing and allocation. "However, every effort must be made to ensure that the process followed for a particular kind of natural resource ensures that there is no human discretion possible, even while ensuring that the national interests are given supremacy.

 

"The process of coal block allocation has to be such  that there is no scope for discretionary decision making,"he said. 

 

Kris said reputations  of institutions and individuals take  years  to build  and therefore, extreme caution needs to be exercised before any action is taken. 

 

He said swift decisions and transparent policy environment are pre-requisites of  an enabling business climate. This  is  best done if the government and industry work together. Industry should not feel discouraged to interface with senior government functionaries on issues that need attention of the government, Kris said.