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Return to king coal for urea... Noble nonagenarians... Where is Rajaji? Cutting the nose to spite the face Fuel for thought Fortune for Indian Airlines There was flood of milk. Reason: no milk commissioner! A yen for wastage… Valli, they are more marginalised The Gulf aviation boom Kinetic Karnataka Focus on quality of power - its only around 170-180V Lalu’s envy, India’s pride Why land prices zoom in TN? Muffled voices for merit… Music happens Sweet news for TN sugar mills Welcome focus on core competence Robber barons everywhere Auto components surge… Discoms deserve better… The Jan Dhan bonanza Solar, solar everywhere … EEC at the National Media Centre Streamlining mandatory third party cover The sea- saw battle continues... Liberal imports idling indigenous capacities Shipping woes of Chennai companies The Ports’ Pasha expands into Tamil Nadu L&T: focus on infrastructure and more infrastructure… Wanted: a second airport for Chennai Vibrant Gujarat Preserving for the future An informal presentation - analytical, forward locking... Odisha: spectacular win by Naveen Patnaik to the lack of interest on the part of these to focus on original research. This despite the much lower costs of such research in India. The industry which thrived on the protection of a closed economy and the advantage of a vast domestic market, has failed to organise its evolution on healthy lines A welcome initiative by the judiciary Polls and promises TN accounts for the largest recruits by the IT sector Parliament in paralysis... IPL type auction for VCs? The brown list of Venkitaramanan Tribute – M V Murugappan Kulandai was a giant A more liberated TN… Fall in crude prices help in oil sector reform Medical costs hit the roof... Bihar – Nitish Kumar adopts the Lalu model Building loyalty through the stomach Whistle-Stop Tour of Raghuram Rajan Kudos to NDTV... Increasing non co-operation of state leaders Another Indian music maestro at the UN A think tank for Chennai TIAM turns a full cycle Air Asia India will set new benchmarks for budget travel Secularism and anti-Hinduism Godspeed, Chief Minister JJ Welcome changes that testify to Jayalalithaa’s return to health More heat than light Boy, can you beat these? CII projects higher growth… Telangana in top gear… Tatas moving out of urea production... Tihar, Puzhal not different from Parappana Agrahara Remembering Indira Sivasailam... How Air-India loses customs... …and of a popular trade leader A proud Madrasi Sweeter prospects for sugar Poor representation for Kerala and TN in Cabinet The nuclear option IPL - no surprise this scam GM Technology at last! Make standards certification mandatory... Why this malaise in medical education? Inflation: are we emulating Argentina and Brazil? Dr C Rangarajan returns to Chennai Multi-faceted Venkat This scant respect for Law TELANGANA at last…BUT Five star activism stalls development activity A Grand Finale for SN’s MS centenary at the US… Delhi Chalo... More Shakti to resource mobilisation... London, London Narayan Align crops to agro climate endowments… B H Kothari - a tribute The why of tax incentives Strengthen the base... Limit foreign borrowings to hi-tech, export potential projects... Wise Presidents S Ramanathan – a versatile musician, musicologist No engine for this car Small units prefers to remain small... Adapt Vajpayee dinner diplomacy Protest masters... Bihar elections - the Rajaji formula worked SoA @ 80 CRS, a jewel among managers, is no more. Modi and the lady Fortune 500 review Computation of GDP – conundrums continue Gas is the way forward The ‘Jayanthi Tax.’ The rise and rise of KCP A C Muthiah – his munificent bequeaths to science Revving up the manufacturing sector Delhi returns to BJP The balancing act Padma Bhushan for A Ramakrishna Marketing expert Balagopal is no more Varuna (rain) in 2015; Vaayu (air) in 2016. Chennai devastated Engineering seats go abegging Quality silica from Neyveli ONGC at KG Basin A professional at the helm of IRDA... Diamond jubilee of Egmore Samskrt School No mega rail project for Tamil Nadu Shale gas and its shallow future Editor's Notes Tribute – Manikam Ramaswami GNS - 100: our first subscriber MHC should not return to its old indisciplined ways Permanent secretariat for TN GIM The few handicaps... Tough task taking states together Recognition to role of NBFCs.... The star of Spencers is no more When TN politicians can emulate Kerala's F C Kohli - his concerns all embracing Poor quality of university VCs Intellectual of rare qualities TN – agglomerate land holdings without alienating ownership Sri Lanka votes for change Maximising the micro pricing … Haul over the coal Come elections, come advertisements... Plummeting profits of PSBs When online building permits work…. IAS invades NDDB... Like Hinduism: many paths to reach God... Russi Mody – a tribute Tatas moving out of urea production... Shanti and Sadhana through Music Eternal support for capitalisation of PS banks Where a state respects its litterateurs… Don’t seem to feel the pulse… Convulsions in The Hindu A rich pool of talent not utilised…. Paytm karo... TGS- The king storyteller Tribute – UCAL Selvan… A friendly business group Towards speedy justice Tribute Should we change the official year? Making ‘my Amaravati’... PC’s preference for professionals The rise and fall of Annamalai University Measuring roof tops in terms of KW/MW WTO Meet: resolved to meet again Moily’s bold thrust Solar thermal shines… Road development slows down Quality education through the PPP mode A Grand Finale for SN’s MS centenary at the US… West Bengal: mindless malignancy China invests in India When Ratan Tata visited SRM He saved millions from starvation... Things happen by accident and not by design... Modi storms Silicon Valley Infrastructure funding – lessons learnt Online not in line with brick and mortar businesses... More tributes to GR CSR and CMI: promise of another Srinivasan Ramanujan... R Sridhar steps down as CEO of Shriram Capital An enemy’s enemy is a friend No Maha Koottani in TN... Editor's Says Delhi is distant… Lesson from Chandrababu Naidu Breaththrough in malaria control Cement prices continue to rise… Cleaning Ganga – relocate tanneries and install electric crematoria TN-leverage strength of BHEL, NLC... Shaming of Tamils by Tamil farmers at Delhi More Shakthi to Das’ elbow Waning interest in public discussions… Rahman at CIC Of course, Gujarat is vibrant Naidu’s return augurs well for Seemandhra The Swadeshi Trump Nuclear power at the nucleus Banning booze... All eyes on Sankara Nethralaya Alexa – Talking Wikipedia Put expensive assets created to use... Build close rapport with business leaders An inexplicable neglect Silver Years of Madras Musings Land reclamation from sea appears cheaper! When small is no larger beautiful.. PPP mode for upgrading Corporation Hospitals Mu Sigma – is no more L&T- the specialty of special purpose vehicles Demise of a media baron... The power-full Hindujas EVM is tamper-proof Revive development banks... When the President was rendered homeless… Roaring Ro-Ro facility Pharma – overdose of copying For whom the MIDS bell tolls? Scientists urged to take up farmer-oriented research Adharma of opposition politics Funding the un-funded New IT products of Ramco in the pipeline… Naidu will soon build a new Hyderabad Chennai and Kolkata miss opportunity to grow as Delhi and Mumbai For whom the bell tolls? He continues the focus on social amelioration Colour-Chem’s colourful KRVS Welcome GST Mersal magnified Which side are you, Montek? Rs.1600 crore paper board plant of TNPL Excel Generators provide the vital back-up Readers' Mail A glass full of corruption Gay abandon in pricing The ‘Ayyo-yes’ is no more Tax agriculture CIPET hqrs to stay at Guindy – for the present? Not just in-laws (and outlaws); they’ve renowned academics at the helm! Reliance’s TV – 18 ready to launch Tamil News Channel Delhi is distant Insurance companies bleeding, yet no decision on increasing FDI limit! Contrarian cousins S V Raju – a ‘good’ true liberal When nations steal growth from one another… Welcome thrust on trade in Modi’s foreign visits... Airlines in India: cost and space
 
Readers' Mail
“It’s Raghuram Rajan’s duty to set right the financial position of banks. Evidently he didn’t,” says lawyer C Ramakrishna.

Senior advocate of the Madras High Court,C Ramakrishna (CR), has varied interests. These range from taking up intricate legal issues before the Court, to experiments in horticulture, to poverty eradication and to economic and judicial issues. In recent mails, he has referred to the huge loss suffered by the Punjab National Bank and wonders whether the regulator RBI had not discharged its function effectively: “what was the position of the banks when Raghuram Rajan took charge as Governor of RBI? I think it is his duty to set right the financial position of banks. Evidently, he didn’t. Otherwise it should not have seen this level of loss.”

From Dr. Subramanian Swamy to several others, there are complaints about Rajan’s stewardship of RBI. I notice a facile attempt to blame the RBI for the sluggish economic growth and inadequate job creation too! These are in the domain of the fiscal administrators in Delhi and also caused by systemic deficiencies that have not been attended for long.

Bad loans of banks are largely the result of government’s profligacy, especially of finance ministers P Chidambaram and Pranab Mukherjee, who opted to go for massive borrowings, hoping to prime the economy. The UPA II government announced massive projects for the infrastructure sector - mining, ports, power, roads, transport… without proper linkages of raw materials, tight construction schedules through timely clearances and adequate funding.  Dozens of companies plunged into projects without detailed preparation and plans. Government, keen to show development through spending and with its control over the PS banks, breezily advised the banks to lend large. These landed the public sector banks in serious crisis. N Vaghul provides a lucid explanation of this (IE March 2016).

IE has also pointed to the banks going for settlement of hundreds of loans taken by corporate borrowers at heavy discounts, often on pressure from higher ups to the bank boards.

To be fair to Rajan, through the last three years he has brought about a dramatic, welcome drop in inflation. He took a bold and extremely tough decision to clean the balance sheets of banks by directing them to report honestly the extent of non-performing assets and for making adequate provisions. It was thus that the public sector banks and the SBI, have been showing depressing balance sheets. Thanks to Rajan there is a hope on more scrupulous administration.

There is also a welcome reform related to appointment of chairmen and CEOs of PSBs: the induction of reputed professional bankers as CEOs and renowned professionals of proven merit as non-executive chairmen is also a help in  banks sprucing up their functioning.


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