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Showing posts with label question. Show all posts
Showing posts with label question. Show all posts

Thursday 16 June 2022

Why we trust fraudsters

From Enron to Wirecard, elaborate scams can remain undetected long after the warning signs appear. What are investors missing? Tom Straw in The FT

In March 2020, the star English fund manager Alexander Darwall spoke admiringly to the chief executive at one of the largest investments in his award-winning portfolio. “The last set of numbers are fantastic,” he gushed, adding: “This is a crazy situation. People should be looking at your company and saying ‘wow’. I’m delighted, I’m delighted to be a shareholder.” 

Seated in a swivel chair at his personal conference table, Markus Braun sounded relaxed. The billionaire technologist was dressed all in black, a turtleneck under his suit like some distant Austrian cousin of the late Steve Jobs, and he had little to say about swirling allegations the company had faked its profits for years. “I am very optimistic,” he offered, when Darwall voiced his hope that the controversy would amount to nothing more than growing pains at a fast expanding company. 

“I haven’t sold a single share,” Darwall assured him, doing most of the talking, while also acknowledging how precarious the situation was. The Financial Times had reported in October 2019 that large portions of Wirecard’s sales and profits were fraudulent, and published internal company documents stuffed with the names of fake clients. A six-month “special audit” by the accounting firm KPMG was approaching completion. “If it shows anything that senior people misled, that would be a disaster,” Darwall said. 

His assessment proved correct. Three months later the company collapsed like a house of cards, punctuated by a final lie: that €1.9bn of its cash was “missing”. In fact, the money never existed and Wirecard had for years relied on a fraud that was almost farcical in its simplicity: a few friends of the company claimed to manage huge amounts of business for Wirecard, with all the vast profits from these partners said to be collected in special bank accounts overseen by a Manila-based lawyer with a YouTube following. Braun, who claims to be a victim of a protégé with security services connections who masterminded the scheme and then absconded to Belarus, faces a trial this autumn alongside two subordinates that will examine how the final years of the fraud were accomplished. 

Left behind in the ashes, however, is a much larger question, one which haunts all victims of such scams: how on earth did they get away with it for so long? Wirecard faces serious questions about the integrity of its accounts since at least 2010. Estimates for losses run to more than €20bn, never mind the reputation of Frankfurt as a financial centre. Why did so many inside and outside the company — a long list of investors, bankers, regulators, prosecutors, auditors and analysts — look at the evidence that Wirecard was too good to be true and decide to trust Braun? 

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In 2019 I worked with whistleblowers to expose Wirecard, using internal documents to show the true source of its spellbinding growth in sales and profit. As I faced Twitter vitriol and accusations I was corrupt, the retired American short-seller Marc Cohodes regularly rang me from wine country on the US west coast to deliver pep talks and describe his own attempts to persuade German journalists to see Wirecard’s true colours. “Keep going Dan. I always say, ‘there’s never just one cockroach in the kitchen’.” 

He was right on that point: find one lie and another soon follows. But short-sellers who search for overvalued companies to bet against are unusual, because they go looking for fraud and skulduggery. Most investors are not prosecutors fitting facts into a pattern of guilt: they don’t see a cockroach at all. 

Think of Elizabeth Holmes, another aficionado of the black turtleneck, who persuaded a group of experts and well-known investors to back or advise her company, Theranos, based on the claim it had technology able to deliver medical results from an improbably small pinprick of blood. The involvement of reputable people and institutions — including retired general James Mattis, former secretary of state Henry Kissinger and former Wells Fargo chief executive Richard Kovacevich as board members — seemed to confirm that all was well. 

Another problem is that complex frauds have a dark magic that is different to, say, “Count” Victor Lustig personally persuading two scrap metal dealers he could sell them a decaying Eiffel Tower in 1925. As Dan Davies wrote in his history of financial scams, Lying for Money, “the way in which most white-collar crime works is by manipulating institutional psychology. That means creating something that looks as much as possible like a normal set of transactions. The drama comes much later, when it all unwinds.”  

What such frauds exploit is the highly valuable character of trust in modern economies. We go through life assuming the businesses we encounter are real, confident that there are institutions and processes in place to check that food standards are met or accounts are prepared correctly. Horse meat smugglers, Enron and Wirecard all abused trust in complex systems as a whole. To doubt them was to doubt the entire structure, which is what makes their impact so insidious; frauds degrade faith in the whole system. 

Trust means not wasting time on pointless checks. Most deceptions would generally have been caught early on by basic due diligence, “but nobody does confirm the facts. There are just too bloody many of them”, wrote Davies. It makes as much sense for a banker to visit every outpost of a company requiring a loan as it would for the buyer of a pint of milk to inquire after the health of the cow. For instance, by the time John Paulson, one of the world’s most famous and successful hedge fund managers, became the largest shareholder in Canadian-listed Sino Forest, its shares had traded for 15 years. Until the group’s 2011 collapse, few thought of travelling to China to see if its woodlands were there. 

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Yet what stands out in the case of Wirecard are the many attempts to check the actual facts. In 2015 a young American investigator, Susannah Kroeber, tried to knock on the doors at several remote Wirecard locations. Between 2010 and 2015 the company claimed to have grown in a series of leaps and bounds by buying businesses all over Asia for tens of millions of euros apiece. In Laos she found nothing at all, in Cambodia only traces. Wirecard’s reception area in Vietnam was like a school lunchroom; the only furniture was a picnic table for six and an open bicycle lock hung from one of the internal doors, a common security measure usually removed at a business expecting visitors. The inside was dim, with only a handful of people visible and many desks empty. She knew something wasn’t right, but she also told me that while she went half mad looking for non-existent addresses on heat-baked Southeast Asian dirt roads, she had an epiphany: “Who in their right mind would go to these lengths just to check out a stock investment?” 

Even when Kroeber’s snapshots of empty offices were gathered into a report for her employer, J Capital Research, and presented to Wirecard investors, the response reflected preconceived expectations: these are reputable people, EY is a good auditor, why would they be lying? The short seller Leo Perry described attending an investor meeting where the report was discussed. A French fund manager responded by reporting his own due diligence. He’d asked his secretary to call Wirecard’s Singapore office, the site of its Asian headquarters, and could happily report that someone there had picked up the phone. 

The shareholders reacted at an emotional level, showing how fraud exploits human behaviour. “When you’re invested in the success of something, you want to see it be the best it can be, you don’t pay attention to the finer details that are inconsistent”, says Martina Dove, author of The Psychology of Fraud, Persuasion and Scam Techniques. She adds that social proof and deference to authority, such as expert accounting firms, were powerful forces when used to spread the lies of crooks: “If a friend recommends a builder, you trust that builder because you trust your friend.” 

Wirecard’s response, in addition to taking analysts on a tour of hastily well-staffed offices in Asia, was to drape itself in complexity. Like WeWork, the office space provider that presented itself as a technology company (and which wasn’t accused of fraud), Wirecard waved a wand of innovation to make an ordinary business appear extraordinary. 

At heart, Wirecard’s legitimate operations processed credit and debit card payments for retailers all over the world. It was a competitive field with many rivals, but Wirecard claimed to have become a European PayPal and more, outpacing the competition with profit margins few could match. Wirecard was “a technology company with a bank as a daughter”, Braun said, one using artificial intelligence and cutting-edge security. As the share price rose, so did Braun’s standing as a technologist who heralded the arrival of a cashless society. Who were mere investors to suggest that the results of this whirligig, with operations in 40 countries, were too good to be true? 

It seems to me Wirecard used a similar tactic to the founder of software group Autonomy, Mike Lynch, who charged that critics simply didn’t understand the business. (Lynch has lost a civil fraud trial relating to the $11bn sale of the group, denied any wrongdoing, said he will appeal, and is fighting extradition to the US to face fraud charges. Autonomy’s former CFO was convicted of fraud in separate American proceedings.) 

When this publication presented internal documents describing a book cooking operation in Singapore, Wirecard focused on the amounts at stake, which were initially small, rather than the unpunished practices of forgery and money laundering, which were damning. 

Then there was the thrall of German officials. Three times, in 2008, 2017, and 2019, the financial market regulator BaFin publicly investigated critics of Wirecard, taken by observers as a signal of support. Indeed, BaFin fell for the big lie when faced with an unenviable choice of circumstances: either foreign journalists and speculators were conspiring to attack Germany’s new technology champion using the pages of a prominent newspaper; or senior executives at a DAX 30 company were lying to prosecutors, as well as some of Germany’s most prestigious banks and investment houses. Acting on a claim by Wirecard that traders knew about an FT story before publication, regulators suspended short selling of the stock to protect the integrity of financial markets. 

Proximity to the subject won out, but the German authorities were hardly the first to fail in this way. Their US counterparts ignored the urging of Harry Markopolos to investigate the Ponzi schemer Bernard Madoff, a former chairman of the Nasdaq whose imaginary $65bn fund sent out account statements run off a dot matrix printer. 

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For some long-term investors, to doubt Wirecard was surely to doubt themselves. Darwall first invested in 2007, when the share price was around €9. As it rose more than tenfold, his investment prowess was recognised accordingly, attracting money to the funds he ran for Jupiter Asset Management, and fame. He knew the Wirecard staff, they had provided advice on taking payments for his wife’s holiday rental. Naturally he trusted Braun. 

Darwall did not respond to requests for comment made to his firm, Devon Equity Management. 

In the buildings beyond the shades of Braun’s office, staff rationalised what didn’t fit. Wirecard was a tech company, yet in early 2016 it suffered a tech disaster. On a quiet Saturday afternoon, running down a list of routine maintenance, a tech guy made a typo. He entered the wrong command when decommissioning a Linux server. Instead of taking out the one machine, he watched with rising panic as it killed all of them, pulling the plug on almost the entire company’s operations without warning. 

Customers were in the dark, as email was offline and Wirecard had no weekend helpline, and it took days for services to recover. Following the incident, a small but notable proportion of clients left and new business was put on hold as teams placated those they already had, staff recalled. Yet the pace of growth in the published numbers remained strong. 

Martin Osterloh, a salesman at Wirecard for 15 years, put the mismatch between claims and capabilities down to spin. Only after the fall was the extent of Wirecard’s hackers, private detectives, intimidation and legal threats exposed to the light. Haphazard lines of communication, disorganisation and poor record keeping created excuses for middle-ranking Wirecard staff and its supervisory board, stories to tell themselves about a failure to integrate and start-up’s culture of experimentation. 

It was perhaps not as hard to believe as we might think. Facebook, which has probed the legal boundaries of surveillance capitalism, famously encouraged staff to “move fast and break things”. Business questions often shade grey before they turn black. As Andrew Fastow said of his own career as a fraudster, “I wasn’t the chief finance officer at Enron, I was the chief loophole officer.” 

Braun’s protégé was chief operating officer Jan Marsalek, a mercurial Austrian who constantly travelled and struck deals, with no real team to speak of. Boasting that he only slept “in the air”, he would appear at headquarters from one flight with a copy of Sun-Tzu’s The Art of War tucked under an arm, then leave a few hours later for the next. Questions were met with a shrug, that strange arrangements reflected Marsalek’s “chaotic genius”. As scrutiny intensified in the final 18 months, the fraudulent imitation shifted to problem solving, allowing board members and staff to think they were engaged in procedures to improve governance. 

After the collapse I shared pretzels with Osterloh on a snowy day in Munich and he seemed embarrassed by events. He and thousands of others had worked on a real business, until they were summarily fired and learned it lost money hand over fist. Osterloh spoke for many when he said: “I’m like the idiot guy in a movie, I got to meet all these guys. The question arises, why were we so naive? And I can’t really answer that question.”  

Sunday 5 July 2020

The ‘Yes sir!’ society

THERE are two lessons from the tragic PIA crash in Karachi, and if we don’t learn from them, the almost 100 victims would have died in vain writes Irfan Husain in The Dawn.


Firstly — and more easily fixable — is the business about pilots flying on fake licences. There is nothing to suggest that the captain of the ill-fated PIA flight was one of them, but his mishandling of the aircraft is an indicator of the culture of incompetence that rules our skies.

When an Airblue plane crashed a few miles from Islamabad a decade ago, killing all on board, the inquiry report shone a laser on the relationship between the captain and his first officer. Although the latter informed the captain that their approach was too low, and they should pull up, he was ignored because to have agreed would have indicated that his junior knew more than the captain did.

Then there was the near-tragedy at Islamabad airport some 30 years ago when the PIA Jumbo scraped home on its belly. Initially, the pilot was praised for executing a masterful belly landing, saving many lives. It then emerged that he had switched off the sensor that warns pilots they were too close to land without lowering the undercarriage.

I’m sure there are many other examples of why PIA is considered such a dangerous airline to fly on. The powerful pilots union (Palpa) prevents any meaningful punishment for blatantly dangerous manoeuvres.

But fake licences should not surprise us: remember the recent Axact scandal where millions of dollars were coined by the Karachi-based firm selling fake degrees around the world? After a flurry of arrests and court cases, the whole affair seems to have been forgotten.

Perhaps even a dysfunctional country like Pakistan can fix the problem of fake licences. But if this happens, it’ll be due more to foreign pressure and our image abroad than any concern for the lives of Pakistani passengers.

However, it is the second problem that is far more pervasive and deeply entrenched. As the Airblue report highlighted, the rigid hierarchy, even on a three-man flight deck, was such that the first officer could not do more to convince his captain of his dangerous approach than utter emollient words like ‘Sir, are too low’. The captain was apparently too full of his authority to agree, and insisted on maintaining his course: any change would have implied that his junior officer knew more than he did.

Now multiply this attitude across our entire society. When the boss is convinced he (seldom she) knows best, you will never get the optimum outcome. Take Kargil as an example of poor planning resulting from this rigid hierarchical approach.

When Musharraf cursorily ran the broad outline of his madcap adventure past Nawaz Sharif, there were few of the obvious questions that should have been asked. The kitchen cabinet reportedly saw the prime minister’s mild approval, and kept quiet. Musharraf’s team, for their part, only spoke out against the enterprise after they had retired. They, too, were prisoners of the ‘Yes, sir! No, sir!’ syndrome. To this day, the report of the debacle has not been released, even as an internal case study, as far as I know.

But it’s not just the military that operates on this principle. When I was president of a private university, I used to call weekly meetings of the teaching staff. At these sessions, I put forth my ideas for changes, and asked my colleagues to give counter-arguments. Although these were educated, intelligent people, they almost always stayed quiet, or agreed with me.

And when I monitored classes from the back of the room, I noticed that students hardly ever asked questions. Although I hated interfering, I would almost urge them to query or criticise. Again, silence. So clearly, the senior/junior hierarchy was at work. This is why we produce so few inquiring, curious minds.

Sucking up to the boss for promotions is a global malady, but mostly, it ends at the end of work. Here, we live with it each moment of our lives.

Our brainwashing begins earlier than the classroom. Boys are deemed too inexperienced to choose their careers, so their fathers decide. Girls aren’t practical enough to choose their husbands, so their parents use force, if necessary, to select a ‘suitable’ spouse. I know things are changing for the younger generation in a certain class. But for the majority, these major decisions are still made by parents.

Much of Asia is prisoner to this paternalistic approach, and is the poorer for it. Individuality is crushed, and bad decision-making is just one result. When people end up in the wrong career, or a disastrous, abusive marriage, relations between parents and their children can be ruined for life.

I am informed by a friend that Japan Airlines trains its pilots to overcome their childhood conditioning, and stand their ground. But how do we transfer this to our entire society?

Monday 9 January 2017

Philosophy can teach children what Google can’t

Charlotte Blease in The Guardian


At the controls of driverless cars, on the end of the telephone when you call your bank or favourite retailer: we all know the robots are coming, and in many cases are already here. Back in 2013, economists at Oxford University’s Martin School estimated that in the next 20 years, more than half of all jobs would be substituted by intelligent technology. Like the prospect of robot-assisted living or hate it, it is foolish to deny that children in school today will enter a vastly different workplace tomorrow – and that’s if they’re lucky. Far from jobs being brought back from China, futurologists predict that white-collar jobs will be increasingly outsourced to digitisation as well as blue-collar ones.

How should educationalists prepare young people for civic and professional life in a digital age? Luddite hand-wringing won’t do. Redoubling investment in science, technology, engineering and maths (Stem) subjects won’t solve the problem either: hi-tech training has its imaginative limitations.

In the near future school-leavers will need other skills. In a world where technical expertise is increasingly narrow, the skills and confidence to traverse disciplines will be at a premium. We will need people who are prepared to ask, and answer, the questions that aren’t Googleable: like what are the ethical ramifications of machine automation? What are the political consequences of mass unemployment? How should we distribute wealth in a digitised society? As a society we need to be more philosophically engaged.

Amid the political uncertainties of 2016, the Irish president Michael D Higgins provided a beacon of leadership in this area. “The teaching of philosophy,” he said in November, “is one of the most powerful tools we have at our disposal to empower children into acting as free and responsible subjects in an ever more complex, interconnected, and uncertain world.” Philosophy in the classroom, he emphasised, offers a “path to a humanistic and vibrant democratic culture”.

In 2013, as Ireland struggled with the after-effects of the financial crisis, Higgins launched a nationwide initiative calling for debate about what Ireland valued as a society. The result is that for the first time philosophy was introduced into Irish schools in September.

A new optional course for 12- to 16-year-olds invites young people to reflect on questions that – until now – have been glaringly absent from school curriculums. In the UK, a network of philosophers and teachers is still lobbying hard for a GCSE equivalent. And Ireland, a nation that was once deemed “the most Catholic country”, is already exploring reforms to establish philosophy for children as a subject within primary schools.

This expansion of philosophy in the curriculum is something that Higgins and his wife Sabina, a philosophy graduate, have expressly called for. Higgins’ views are ahead of his time. If educators assume philosophy is pointless, it’s fair to say that most academic philosophers (unlike, say, mathematicians, or linguists) are still territorial, or ignorant, about the viability of their subject beyond the cloisters. If educators need to get wise, philosophers need to get over themselves.

Thinking and the desire to understand don’t come naturally – contrary to what Aristotle believed. Unlike, say, sex and gossip, philosophy is not a universal interest. Bertrand Russell came closer when he said, “Most people would rather die than think; many do.” While we may all have the capacity for philosophy, it is a capacity that requires training and cultural nudges. If the pursuit of science requires some cognitive scaffolding, as American philosopher Robert McCauley argues, then the same is true of philosophy.




Robots are leaving the factory floor and heading for your desk – and your job


Philosophy is difficult. It encompasses the double demand of strenuous labour under a stern overseer. It requires us to overcome personal biases and pitfalls in reasoning. This necessitates tolerant dialogue, and imagining divergent views while weighing them up. Philosophy helps kids – and adults – to articulate questions and explore answers not easily drawn out by introspection or Twitter. At its best, philosophy puts ideas, not egos, front and centre. And it is the very fragility – the unnaturalness – of philosophy that requires it to be embedded, not just in schools, but in public spaces.

Philosophy won’t bring back the jobs. It isn’t a cure-all for the world’s current or future woes. But it can build immunity against careless judgments, and unentitled certitude. Philosophy in our classrooms would better equip us all to perceive and to challenge the conventional wisdoms of our age. Perhaps it is not surprising that the president of Ireland, a country that was once a sub-theocracy, understands this.

Saturday 20 February 2016

Be Warned, the Assault on JNU is Part of a Pattern


Romilla Thapar in Outlook India


There is by now little doubt that we are currently being governed by those that seem to have an anti-intellectual mind-set. This spells trouble for universities that are concerned with high standards of teaching and research.



JNU students and teachers protest the police action against JNUSU president Kanhaiya Kumar. Credit: Shome Basu

Recent events at JNU raise many questions pertinent to us as citizens of India. The questions have become imperative because it is apparent that many who govern us have little sensitivity to understanding the fundamental issues crucial to governance. For example, what are the necessary aspects of a democratic system, or how essential are equality and human rights as components of democracy to be taught and nurtured in educational institutions. Every articulation of thought and action is judged these days by its immediate political implications and seldom by the wider context of ethics, society and citizenship.

A recent example was the discussion on capital punishment where a handful of students had gathered on the JNU campus. Obviously the names of those recently given this punishment cropped up in the discussion, and very soon this became the dominant political aspect and the sole consideration, setting aside all other questions. Slogans took over in a confused fashion as happens in such situations and the serious issue of capital punishment was lost. Capital punishment is not just an issue of concern to nationalism alone. It involves aspects of ethics, morality, religion as well as the context of the punishment, and it is not in the least bit surprising that opinions differ on all these issues. The logical follow-up could have been a more extended discussion of the subject, from other perspectives, rather than the insistence by some of those present that this was an anti-national issue, and their then proceeding to have the government intervene and clamp down on it.

Sedition and secession

As has been said by almost everyone who has written on this event, the terms that the government uses in its charges against the JNU students are problematic and cannot be bandied about in a casual way. Charges of sedition, extremely serious as they are, nevertheless are slapped on anyone for virtually any critical opinion about the country. Even the dictionary meaning of sedition is enticement to violence and the overthrow of the state/government. As others have pointed out, there is a considerable difference between advocacy of violent methods and actual incitement to violence. But such distinctions seem to be beyond the comprehension of most politicians.

To maintain that a statement made about the possibility of a segment of the Indian nation breaking away is sedition, shows neither an understanding of the word nor knowledge of the historical occasions in the last half century when such statements were made with reference to other parts of India. This is not the first time that Kashmir has been mentioned as part of such a suggestion. There have been earlier threats of secession from other parts of the nation, such as Nagaland and Tamil Nadu, and the intention of establishing the Sikh state of Khalistan to mention just a few. Some others are not completely silent even in present times. Threats of secession are in part the way in which nationalisms play out in nations that extend over large territories and multiple cultures. It has to be understood as a process of change and debated rather than being silenced by calling it sedition.

The debate on sedition goes back to the early years of independence when the attempt to silence free speech was successfully resisted by the Supreme Court, (Brij Bhushan vs. State of Delhi and Romesh Thapar vs. Union of India). Nehru was in favour of expunging sedition as unconstitutional. Those were the days when democracy was valued and was nurtured. We should familiarise ourselves with the many occasions when sedition has been objected to and on valid grounds, and therefore consider its removal from the body of laws. Laws that can be easily misused should be reconsidered. Governance does imply taking an intelligent interest in the debates on the laws by which we are meant to be governed.

The first foray

Then there are those who, because they are critical of some aspects of the nation, are immediately condemned as anti-national. Taken literally this adjective would apply to a large number of Indians who are critical of various aspects of events in India. Governments turn by turn have described people as anti-national but the frequency of this accusation has increased in the last couple of years. It has been applied so often by the BJP that the word has become virtually meaningless, but not harmless, because it can be used to politically persecute a person. The ancestor to the BJP – the Jan Sangh party, when it was part of the government of Morarji Desai, subsequent to the Emergency – criticized the history textbooks written by some of us and published by the NCERT. We were accused of being anti-Indian and anti-national for the views we held on ancient Indian history. The government demanded that our books be proscribed. But in the election that followed the government fell, so the books survived.

Almost 25 years later, in the first NDA government the matter was taken up again. The then education minister, Murli Manohar Joshi and his BJP cohorts referred to the authors of the textbooks – and I was included in this – as not only anti-Hindu but also anti-national, anti-Indian, and academic terrorists of the worst kind. Enthusiastic politicians demanded that we should be arrested and punished for writing these books. Fortunately, the first NDA government did not take itself too seriously and did not go around arresting many teachers and students for being anti-national, largely because their definition of what was anti-national became a matter for ridicule. Anti-national for them was in effect a limited term, namely anti-Hindu.

Pathetic attempt

In the latest move of the BJP-RSS government pertaining to universities, the student union president who was arrested at JNU has been accused of being anti-national and indulging in sedition. He has been accused of raising slogans on independence for Kashmir and praise of Pakistan. The irony is that the student union president who was doing just the opposite of what would be regarded as anti-national and seditious and was trying to close the discussion, was the one who was arrested.

It is now being held, very much as an after thought, that the group that held the meeting were instigated by the Lashkar-e-Tayyaba. This is at best a rather pathetic attempt to institute a charge of terrorism with no other evidence but a dubious tweet. Does government evidence rely on tweets? And are dubious tweets enough to accuse a person of sedition ? This is not just a case of the government and the police being adamant, but it appears to be a well-planned strategy to destabilise JNU. There was just too much unusual alacrity in the way events moved. One can’t help but feel that somewhere along the line, the present government has lost its initial confidence in itself and is now resorting to unpleasant tactics. An example of this was the way in which JNU faculty and students and some media people were beaten up at the Patiala House Courtby a bunch of lawyers, said to be of the BJP, when there was to be a hearing of the case against the student union president. Are the courts of law now going to have to resort to fisticuffs?

Education as catechism

The ideology central to the BJP-RSS has no space or use for liberal thought. Education for such organisations means only what can be called a kind of catechism. This is a memorisation of a narrow set of questions rooted in faith and belief and an equally narrow set of answers that prohibit any doubt or deviation. The same technique applies to all subjects. Therefore educational centres that allow questioning and discussion are anathema and have to be dismantled.

Since what is referred to as Hinduism does not confine itself to a single sacred book, nor is there exclusive worship of a single monotheistic God, the notion of blasphemy so crucial to the Christian and Islamic religions has little application to the Hindu religion. However, in the Hindutva version of Hinduism, aimed at establishing a Hindu Rashtra – a state where Hindus are the primary citizens and the purpose of governance is to uphold Hindu principles – the notion of a kind of blasphemy is applied to those that are critical of Hindutva that is equated with the Hindu Rashtra. This is then equated with the nation. Criticism of it is described as anti-nationalism so such criticism can be silenced. To call criticism as “hurt sentiment” is now much too mild. It has to be treated as blasphemy/anti-nationalism, and treated as a serious crime. This helps to convert a secular state into a religious state, which ultimately is the aim of the RSS.

The BJP-RSS government currently in power is unable to have a dialogue with an institution such as the JNU and other similar universities such as the Hyderabad Central University. The emphasis from the start in such universities has been on questioning existing knowledge, exploring new knowledge and relating knowledge to the existing reality. This is the very opposite of merely handing down selected information without questioning it. This is a problem that the BJP-RSS government has to face with a number of pace-setting prestigious centres of learning that do not substitute catechism for learning, and instead demand the right to debate a subject that may be thought to be blasphemous to the nation as defined by Hindutva. So the alternative is to try and dismantle such centres of learning by creating disturbances. This will eventually prevent them from functioning as they are intended to do.

Method in the madness

There seems to be something of a pattern in the organisation of such disturbances, since there is a repetition of the same procedure in each case. The similarities are curious. The first step is to ensure that the person appointed in a position of authority in the institution is relatively unknown, as have been many of the directors, chairmen, and vice-chancellors appointed in the last 18 months in various institutions. They are relied upon to follow the orders of the government. The next step is to locate a group preferably debating contemporary issues, and instruct the local AVBP cadres to create a confrontation with such a group in the course of the meeting, and the confrontation could even result in some violence. This allows the ABVP to claim that they were attacked first and for a complaint to be made to the local BJP politician, readily to hand, who then takes it up with the minister, and who then orders the authority concerned to rusticate the students, to bring the police into the premises and arrest the non-AVBP students, irrespective of whether or not they were involved in the confrontation.

The normal university reaction in the past has been not to allow police on the campus or to make arrests. The exception was during the Emergency. Generally, a committee of enquiry is appointed by the university. It is treated as an internal matter of the institution. Police action can only be permitted if there is a serious breach of law. A group of students shouting slogans is not a serious breach of law. What was done in the JNU reminds me of the saying “to bring a sledge-hammer to crack an egg.” The intention was obviously not just to crack the egg but to smash it completely. But it looks as if the egg is now on the face of the government.

One might well ask why the BJP-RSS is so bent on dismantling institutions of learning and converting them into teaching shops. Is it the premium on conformity and out-of-date knowledge that the BJP-RSS would like to define as education? Is it the kind of education that is given in the shishu–mandirs and madrassas that is seen as ideal in form? Interestingly the institutions that come under attack are those that are associated with freedom of thought, the asking of questions, the advancing of knowledge. Those that conform to education as learning by rote and providing supervised answers are not interfered with all that much, since this pattern of learning fits into a catechism style.

There is by now little doubt that we are currently being governed by those that seem to have an anti-intellectual mind-set. This spells trouble for universities that are concerned with high standards of teaching and research, and it would seem beyond the comprehension of those governing. One can only ask why the government is so apprehensive of intellectuals? Is the government being ham-handed with universities because from the minister down they fear the potential power of those universities that encourage their students to think independently? Or is this a deliberate way of creating a general ambience of fear in the institutions? The existence of such a fear would make it easier to impose syllabi, courses and methods of teaching emanating from the think tanks of the RSS. Not to mention that it makes those employed in universities more pliant.

A culture worth fighting for

For those of us who were among the founding members of JNU, the events of the last few days at the university is a moment of a far bigger intellectual and emotional crisis than has ever happened before in its history. JNU was founded on the principles of democratic functioning, both administratively and in the content of the education it imparted. It meant a generally positive relationship between teacher and student, and a frequency of free discussion both on matters academic and on the world we live in. It meant more rigorous training in the subjects taught and this experience improved the work both of teachers and students, and all of which was underlined by an insistence on critical enquiry. We were conscious of stretching our minds to beyond what was readily known and in encouraging students to look beyond the obvious. It was these factors that made it into a prestigious university, a trend-setter in many subjects that were taught in other Indian universities. It was again these factors that gave it international recognition, on par in many subjects with the best universities outside India.

This of course is the opposite of the rather pathetic BJP-RSS version of what is meant by education at any level, judging by the views of the HRD ministry. To see the BJP-RSS government trying to annul what we have achieved in JNU and reduce the university to a pedestrian teaching shop, is like having to see the work on one’s lifetime being systematically destroyed. Many of us chose to work in JNU rather than take up lucrative positions in universities abroad, because we had a vision that we could make it among the best academic centres located in India. And that excellence it has experienced. As one academic who lived a substantial part of my life working in the JNU, and contributing to this vision, the hostility of the current government to the JNU leaves me with a sense of despair and sadness for the future of universities in India. However, I must add that experiencing the protest of the JNU community against the attack that has been mounted on it, does make me feel that perhaps the values that we had tried to inculcate in its early years have taken root. When JNU recovers from the trauma of this attack it is likely to be even more committed to the values for which it was created – excellence not only in intellectual enterprise but also in endorsing a humane and open society upholding the rights of every Indian citizen.

Thursday 26 March 2015

Why Hawk-Eye still cannot be trusted

Russell Jackson in Cricinfo

Imran Tahir's appeal against Martin Guptill looked straightforward but Hawk-Eye differed © AFP
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I don't trust the data. Don't worry, this isn't another Peter Moores thinkpiece. It's Hawk-Eye or ball-tracker or whatever you want to call it. I don't trust it. I don't trust the readings it gives.
This isn't a flat-earth theory, though flat earth does come into it, I suppose. How on earth can six cameras really predict the movement of a ball (a non-perfect sphere prone to going out of shape at that) on a surface that is neither flat nor stable? A ball that's imparted with constantly changing amounts of torque, grip, flight, speed and spin, not to mention moisture.
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When Hawk-Eye, a prediction system with a known and well-publicised propensity for minor error (2.2 millimetres is the most recent publicly available figure) shows a fraction less than a half of the ball clipping leg stump after an lbw appeal, can we take that information on face value and make a decision based upon it?
During Tuesday's World Cup semi-final, my long-held conspiracy theory bubbled over. How, I wondered, could the ball that Imran Tahir bowled to Martin Guptill in the sixth over - the turned-down lbw shout from which the bowler called for a review - have passed as far above the stumps as the TV ball-tracker indicated? To the naked eye it looked wrong. The predicted bounce on the Hawk-Eye reading looked far too extravagant.
Worse, why upon seeing that projection did every single person in the pub I was in "ooh" and "aah" as though what they were seeing was as definitive and irrefutable an event as a ball sticking in a fieldsman's hands, or the literal rattle of ball on stumps? Have we just completely stopped questioning the authority of the technology and the data?
Later I checked the ball-by-ball commentary on ESPNcricinfo. Here's what it said: "This is a flighted legbreak, he looks to sweep it, and is beaten. Umpire Rod Tucker thinks it might be turning past the off stump. This has pitched leg, turned past the bat, hit him in front of middle, but is bouncing over, according to the Hawkeye. That has surprised everybody. That height has come into play here. It stays not-out."

Why don't we question the authority of a technology that has a well-publicised margin of error?  © Getty Images
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It surprised me, but did it surprise everybody? Probably not. More TV viewers seemed to accept the call than question it. When you've watched enough cricket though, some things just look a little off. To me this one didn't add up. Guptill made another 28 runs, not a trifling matter in the context of the game.
A disclaimer: though I distrust it for lbw decisions, I'm not saying that Hawk-Eye is all bad. It's great for "grouping" maps to show you where certain bowlers are pitching the ball, because tracking where a ball lands is simple. What happens next I'm not so sure on, particularly when the spinners are bowling.
To be fair, Hawk-Eye's inventor Paul Hawkins was a true pioneer and has arguably made a greater contribution to the entertainment factor of watching cricket on TV than many actual players manage. That's the thing though: it's entertainment. In 2001, barely two years after Hawkins had developed the idea it had won a BAFTA for its use in Channel 4's Ashes coverage that year. It wasn't until 2008 - seven years later - that it was added as a component of the Decision Review System. Quite a lag, that.
On their website, admittedly not the place to look for frank and fearless appraisal of the technology, Hawk-Eye (now owned by Sony) claim that the fact TV viewers now expect a reading on every lbw shout is "a testimony to Hawk-Eye's reputation for accuracy and reliability". But it's not, is it? All that it really tells us is that we are lemmings who have been conditioned to accept the reading as irrefutable fact upon which an umpiring decision can be made. But it's a prediction.
Not even Hawk-Eye themselves would call it a faultless system. Last December the company admitted they had got a reading completely wrongwhen Pakistan's Shan Masood was dismissed by Trent Boult during the Dubai Test. In this instance, the use of only four cameras at the ground (Hawk-Eye requires six) resulted in the operator making an input error. Why it was even being used under those conditions is more a question for the ICC, I suppose.

It's not all bad: Hawke-Eye gives great insight into where bowlers are pitching their deliveries  © Hawk-Eye
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The Masood debacle highlights an interesting issue with regards to the cameras though. Understandably given the pay cheques at stake and that Hawk-Eye is a valuable component of their coverage, TV commentators rarely question the readings even in cases as puzzling as the Masood verdict. Mike Haysman is one who stuck his neck out in a 2011 Supersport article. Firstly, Haysman echoed my earlier thought: "The entertainment factor was the exact reason they were originally introduced. Precise decision-making was not part of the initial creative masterplan." The technology has doubtless improved since, but the point remains.
More worryingly though, Haysman shone a light on the issue with the cameras upon which Hawk-Eye depends. At that point an Ashes Test, for instance, might have had bestowed upon it a battalion of deluxe 250 frame-per-second cameras, whereas a so-called lesser fixture might use ones that captured as few as 25 frames-per-second. Remember: the higher the frame rate the more accurate the reading. Put plainly, for the past five years the production budget of the rights holder for any given game, as well as that game's level of perceived importance, has had an impact on the reliability of Hawk-Eye readings. Absurd.
As a general rule, the more you research the technology used in DRS calls, the more you worry. In one 2013 interview about his new goal-line technology for football, Paul Hawkins decried the lack of testing the ICC had done to verify the accuracy of DRS technologies. "What cricket hasn't done as much as other sports is test anything," he started. "This [football's Goal Decision System] has been very, very heavily tested whereas cricket's hasn't really undergone any testing." Any? Then this: "It's almost like it has tested it in live conditions so they are inheriting broadcast technology rather than developing officiating technology." Does that fill you with confidence?
Hawkins and science-minded cricket fans might bray at the suggestion that Hawk-Eye can't be taken as law, but in lieu of any explanation of its formulas, machinations and the way it's operated (also known as proprietary information) it's hard for some of us to shake the doubt that what we're seeing with our eyes differs significantly from the reading of a computer.

Thursday 16 October 2014

Oxford University tutors finally open up about admissions interviews

Oxford marks undergraduate application deadline by publishing selection of interview questions including ‘How much of the past can you count?’

Peckwater Quadrangle, Christ Church, Oxford University, Oxford, Oxfordshire, England, UK
The questions published by Oxford confirm the stereotype of the contrary and offbeat, satirised by The History Boys. Photograph: Robert Harding World Imagery/Alamy

The mysteries of the Oxford admissions interview have been laid bare by the university, in an effort to explain the questions at the core of the fraught 20 minutes in an office that can change the course of a life.
To mark the deadline for 2015 undergraduate admissions, the university asked admissions tutors to open up about the interviews that all UK undergraduate applicants are subjected to – and what the admissions officers are looking for.
But rather than shine a spotlight on a process criticised for admitting a disproportionate number from independent schools, the questions published by Oxford instead confirm the stereotype of the contrary and offbeat, satirised by the Oxbridge applicants of Alan Bennett’s play The History Boys.
A question from Nick Yeung, an admissions tutor for psychology at University College, asks: Why are Welsh speakers worse at remembering phone numbers than English speakers?
“This question is meant to be deliberately provocative, in that I hope that it engages candidates’ intuitions that Welsh people aren’t simply less clever than English people,” Yeung said.
“The key point is that numbers are spelled differently and are longer in Welsh than in English, and it turns out that memory and arithmetic depend on how easily pronounced the words are. I would hope the student would pick out this connection between memory and how easy to spell or pronounce a word is.”
Other questions published by Oxford included: How much of the past can you count? “In this case, the question gets at all sorts of issues relating to historical evidence,” said Stephen Tuck, a fellow at Pembroke College.
“Of course, much of the interview would be taken up with discussing in depth the history courses the students have studied – the interview is not all about unusual questions.”
Samina Khan, Oxford’s acting director of undergraduate admissions, said for many students the interview is the most daunting part.
“We know there are still lots of myths about the Oxford interview, so we put as much information as possible out there to allow students to see behind the hype to the reality of the process,” Khan said.
But a former admissions tutor at a Russell Group university said that while the questions were reasonable, Oxford’s over-reliance on interviews to select undergraduates was part of its problem.
“It seems to me though that by revealing the mysteries of the interview, Oxford is continuing the fetishisation. It is Oxford, not interviews, that is weird,” he said.
The university interviews more than 10,000 applicants over two weeks in December, for around 3,200 undergraduate places.
Applicants to read biology might be asked ‘Why do some habitats support higher biodiversity than others?’ while prospective art history students are shown a painting and asked if they recognise it. “It is the only question for which there is a single, correct answer, which is ‘no’,” said Geraldine Johnson of Christ Church, explaining that she wants applicants to discuss works they haven’t seen before.

Monday 25 August 2014

I envy the Scots. If only we English could also shake up our democracy


With its independence vote Scotland is able to ask big questions about its destiny. I have no idea what that feels like
Independence supporters attend an announcement to mark a million signatures to the Yes Declaration.
'I do not know what it is to be Scottish and feel utterly disconnected from Westminster politics. I only know what it is to be English and feel like that.' Photograph: Jeff J Mitchell/Getty Images
Imagine having a say, an actual say, in how your country is run. You might even consider big questions, like the distribution of wealth, the dividing up of resources, your tiny country’s place in the big bad world. You may go down the pub and argue with your friends about what your identity actually means, you may be already certain and slag off those who think differently on Twitter, you may be wavering on several issues. You may be just 16 and able to vote for the fist time in your life.
This may or may not be my business, depending of course which way Scotland votes in a few weeks time, but as this referendum hoves into view with another televised debate tonight, my main emotion is perhaps pathetically English. It is one of envy.
This conversation, this questioning about who you are, how you are to live and who is to be in charge, shows the essential internal organs of a political system being openly tested and examined. Here in Albion, there appears to be only stubbornly undiagnosed organ failure. I do not know what it is to be Scottish and feel utterly disconnected from Westminster politics. I only know what it is to be English and feel like that.
Every time I voice that, inevitably, I am told that somehow I should vote more. When and where exactly? Instead I see that power clusters in ever closer elites at the top of society. These closed shops hug themselves tighter than David Cameron’s wetsuit. The problem, we are told, is that Cameron surrounds himself with yes men. And the trouble with Ed Miliband is that he surrounds himself with people who are very similar to him, and so it goes on until the only real alternatives on offer are Nigel Farage or Boris Johnson. Some choice.
As I see it the Scots are always patronised by talking about independence in terms ofmarriage, divorce, and breaking up the CD collection. Yet I wonder what kind of relationship ever existed in the first place. It has long been apparent that what has gone on in the south-east, and in the City of London in particular, has clearly not been faithful to any of the values of a fairly basic social democracy. It has been about strident privatisation and the dismantling of the welfare state. Scotland at least gets the chance to reject this, English people don’t.
Because many of us have never lived in a United Kingdom. These words mean nothing to me.
Whatever the Scots decide, England will shake. And it needs shaking. If England is actually a Tory land and needs Scotland as a Labour colony, then England should face up to itself, and its demons.
Independence is also often framed in terms of maturity. Is Scotland ready for independence? Surely it is the other way round. Is England grown-up enough to see itself the way it actually is? For that, we would have to be seen and heard, reconnected to the democratic processes, and be far more honest with ourselves than we are often prepared to be.
The best debates about Scottish independence have asked big questions and often there are no easy answers. There is a truthfulness in that. Imagine if England could ask the same questions of itself instead of assuming that all was settled long ago. Imagine if we could do this without ceding to Ukip-style regression.
Scotland will do whatever it does. As I watch from afar, I cant help thinking for us English, chance would be a fine thing.

Tuesday 22 October 2013

My best citizenship lesson: faking news and sparking riots for digital natives


Teacher Emma Chandler shares her tips on how to make reactionary students question what they read in the media
London Riots 2011
Using a fabricated news story based on the 2011 London riots sparked debate and action among Emma Chandler's citizenship pupils. Photograph: William Bloomfield/Rex Feature
Branding our young people as "digital natives" is as dangerous a label as any other in the classroom. Not only can it lead to assumptions that they have a natural talent to extract and interpret information simply because it arrives in a format they find engaging, but it can also foster a general acceptance of the idea that we need not plan as rigorously, that the students will teach us. This is just one argument for digital citizenship being the next priority in curriculum development.
Digital citizenship should equip students with the skills to question what they read and hear across the media. They should be taught to make informed choices and take positive actions for themselves. At a time when trending can be conflated with truth, this is a role that citizenship education must fill.
This lesson, from a scheme of work that focuses on campaigns, aims to help students understand the role of the media in forming opinions both personally and across society. When I share this lesson with colleagues it starts with the sentence, "I once let a class start a riot".
The class in question was a year 9 tutor group who had two lessons a week – Thursday and Friday. It's important to point out that this was a very reactionary class: they used Twitter to keep up to date with events in the world but never questioned their sources, frequently believing one celebrity or another had died or that well-known brands that were currently free were soon to start charging. They were constantly in uproar about something. This went locally too; they would often come into class claiming that a teacher was leaving or that they were about to be put in shirts and ties. As their citizenship teacher, I was constantly at pains to make them question before leaping into action.
So this lesson began with a fabricated news story. In this instance, it was a post-riots moral panic article that suggested that Oyster cards were to blame for the London riots as they enabled rioters to mobilise so quickly.
The story can be anything – in the past I have used stories claiming to ban mobile phones or the introduction of a curfew. The main thing is that the idea behind the story stands up to some initial scrutiny – it needs to have some basis in reality otherwise students will see straight through it.
In this particular lesson, students arrived to see the news story on the interactive whiteboard (IWB) and were asked to respond in pairs with a simple agree or disagree statement. During this discussion, I gave some students a reaction quote from David Cameron. Most of these actually went unread for the first five minutes of discussion because the class were so outraged about the blaming of the free travel for the riots.
Views were collected on post-its and placed on the board, arranged in an order going from agree to disagree. The question at this stage was simply how much we agreed with the story. When students showed a deeper questioning, I gave them a different coloured post-it and asked them to write down their question and stick it on another board.
Once it was established that very few students agreed with what they were seeing, I asked them to gather into groups to ask the 5 Ws:
• Who does this effect?
• What do we want to do next?
• Why is this important?
• Where can we find more information?
• When did the event occur?
During this phase, I put the reaction quote and a picture of David Cameron on the IWB. The quote outlined that the prime minister would be keen to restrict the use of the free Oyster cards to only during school hours as a way to reduce anti-social behaviour in our capital city.
The 5 Ws were revisited very quickly but this time they didn't get past the 'what'. What did they want to do about it? They were incensed at the idea that they would feel the effects of a policy designed to stop a problem that, for them, had long since ceased to be an issue. They wanted to take action and they wanted to do it now. We had previously used Twitter to share our work and they demanded now that we tell the prime minister they would riot if he tried to take their travel away – they would take him to theEuropean Court of Human Rights.
They very quickly made links to the UN Convention on the Rights of a Child and demanded I enable them. It was my responsibility they said: "You're our wellbeing teacher, how can you let them do this?" So I asked them, "what next?" "We want to riot," they said.
Every citizenship teacher knows the feeling of dread when informed and responsible action disappears from the minds of their students only to be replaced with words taken from the Human Rights Act. For this reason I always have a very large poster of Spider-man reminding us what comes with great power.
So there we were. In the middle of democracy in action. The class had voted on what they wanted to do next and they wanted to riot. They designed banners and logos, wrote chants and stood up for what they believed in. Except no one had asked that question "are we sure?" yet.
I took the different coloured post-its that students had stuck on the separate whiteboard and gently suggested to those who had come up with the idea that they might want to bring these up with their group. The results were mixed: one group listened but quickly realised that they wouldn't be able to take action or get angry if things weren't as they seemed; other groups just shouted down the idea or ignored it.
I was very careful to ensure that these students were aware I was listening and thought their questions valid and interesting. In a rights-respecting classroom it is vital that every child is heard, but this is even more important when you take a risk such as this. It would be very easy for students to learn the lesson of not speaking out again. When the lesson was over those pupils who had questioned the others were rewarded for their bravery as the single voice of reason or opposition with extra positive points for the whole class.
I find a positive to negative points recorder works really well in lessons like these to signpost what I think is working and what I think could be improved on. For this lesson, the mood was very positive – even when students weren't being listened to they were being heard and respected so it was easy to award positive points. I recall only having to record two negatives, both relating to running out of time.
To get to the final stage, I set them a research task. I gave the students one laptop per group to find out more about the story. Using the 5 Ws once again, each group set about exploring what others thought about the proposed ban of free travel for all under 18s in the UK.
It only took a few minutes for the story to unravel. They could only find the first story by using specific search terms and of course no one could find the quote from the David Cameron. A small but determined group kept digging but nothing came up. Eventually I had to reveal that tomorrow a Google search would only show everything that had happened in class today. And that's when the light bulb went off: it was a completely organic moment involving all 25 students who realised they had been duped.
The lesson was tailored for a class that I had teased and reprimanded in equal measure for months over their complete acceptance of everything they read online – and it worked. It makes it into my, albeit small, best lesson catalogue purely for the outcome alone – there are 25 students in south east London that now have a healthy distrust of all primary sources until they can be proven trustworthy. That's 25 young people that question and demand answers from anyone suggesting change that affects the way we live or, better yet, reporting that this is the case. They openly question those sources and share this knowledge with others.
As with all good lessons, they taught me something too. I hadn't planned the section with the different coloured post-its; I remember at the time wanting to tactically ignore the questions lest they bring down my house of cards. But I am glad I didn't. During my lesson reflection, many students expressed regret at not having listened to their group member who had written what we were calling the hang-on-a-minute questions. As far as unexpected outcomes go, increasing empathy and understanding for those with views different to your own is about as good as it gets.