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Tuesday 21 June 2011

The Super Rich Sabotage The Arab Revolutions

By Shamus Cooke

20 June, 2011
Countercurrents.org

With revolutions sweeping the Arab world and bubbling-up across Europe, aging tyrants or discredited governments are doing their best to cling to power. It's hard to over-exaggerate the importance of these events: the global political and economic status-quo is in deep crisis. If pro-democracy or anti-austerity movements emerge victorious, they'll have an immediate problem to solve -- how to pay for their vision of a better world. The experiences thus far in Egypt and Greece are proof enough that money matters. The wealthy nations holding the purse strings are still able to influence the unfolding of events from afar, subjecting humiliating conditions on those countries undergoing profound social change.

This strategy is being ruthlessly deployed in the Arab world. Take for example Egypt, where the U.S. and Europe are quietly supporting the military dictatorship that replaced the dictatorship of Hosni Mubarak. Now Mubarak's generals rule the country. The people of Egypt, however, still want real change, not a mere shuffling at the top; a strike wave and mass demonstrations are testing the power of the new military dictatorship.

A strike wave implies that Egyptians want better wages and working conditions; and economic opportunity was one of the central demands of the revolutionaries who toppled Mubarak. But revolutions tend to have a temporarily negative effect on a nation's economy. This is mainly because those who dominate the economy, the rich, do their best to sabotage any social change.

One defining feature of revolutions is the exodus of the rich, who correctly assume their wealth will be targeted for redistribution. This is often referred to as "capital flight.” Also, rich foreign investors stop investing money in the revolutionary country, not knowing if the company they're investing in will remain privately owned, or if the government they're investing in will strategically default and choose not to pay back foreign investors. Lastly, workers demand higher wages in revolutions, and many owners would rather shut down -- if they don't flee -- than operate for small profits. All of this hurts the economy overall.

The New York Times reports:

"The 18-day [Egyptian] revolt stopped new foreign investment and decimated the pivotal tourist industry... The revolution has inspired new demands for more jobs and higher wages that are fast colliding with the economy's diminished capacity...Strikes by workers demanding their share of the revolution's spoils continue to snarl industry... The main sources of capital in this country have either been arrested, escaped or are too afraid to engage in any business..." (June 10, 2011).

Understanding this dynamic, the rich G8 nations are doing their best to exploit it. Knowing that any governments that emerge from the Arab revolutions will be instantly cash-starved, the G8 is dangling $20 billion with strings attached. The strings in this case are demands that the Arab countries pursue only "open market" policies, i.e., business-friendly reforms, such as privatizations, elimination of food and gas subsidies, and allowing foreign banks and corporations better access to the economy. A separate New York Times article addressed the subject with the misleading title, Aid Pledge by Group of 8 Seeks to Bolster Arab Democracy:

"Democracy, the [G8] leaders said, could be rooted only in economic reforms that created open markets ...The [$20 billion] pledge, an aide to President Obama said, was “not a blank check” but “an envelope that could be achieved in the context of suitable [economic] reform efforts.” (May 28, 2011).

The G8 policy towards the Arab world is thus the same policy the International Monetary Fund (IMF) and World Bank have pursued against weaker nations that have run into economic problems. The cure is always worse than the disease, since "open market" reforms always lead to the national wealth being siphoned into the hands of fewer and fewer people as public entities are privatized, making the rich even richer, while social services are eliminated, making the poor even poorer. Also, the open door to foreign investors evolves into a speculative bubble that inevitably bursts; the investors flee an economically devastated country. It is no accident that many former IMF "beneficiary" countries have paid off their debts and denounced their benefactors, swearing never to return.

Nations that refuse the conditions imposed by the G8 or IMF are thus cut off from the capital that any country would need to maintain itself and expand amid a time of social change. The rich nations proclaim victory in both instances: either the poorer nation asks for help and becomes economically penetrated by western corporations, or the poor country is economically and politically isolated, punished and used as an example of what becomes of those countries that attempt a non-capitalist route to development.

Many Arab countries are especially appetizing to foreign corporations hungry for new investments, since large state-run industries remain in place to help the working-class populations, a tradition begun under the socialist-inspired Egyptian President, Gamal Abdel Nasser that spread across the Arab world. If Egypt falls victim to an Iraq-like privatization frenzy, Egypt's working people and poor will pay higher prices for food, gas, and other basic necessities. This is one reason, other than oil, that many U.S. corporations would also like to invade Iran.

The social turmoil in the Arab world and Europe have fully exposed the domination that wealthy investors and corporations have over the politics of nations. All over Europe "bailouts" are being discussed for poorer nations facing economic crises. The terms of these bailout loans are ruthless and are dictated by nothing more than the desire to maximize profits. In Greece, for example, the profit-motive of the lenders is obvious to everyone, helping to create a social movement that might reach Arab proportions. The New York Times reports:

"The new [Greece bailout] loans, however, will only be forthcoming if more austerity measures are introduced...Along with faster progress on privatization, Europe and the [IMF] fund have been demanding that Greece finally begin cutting public sector jobs and closing down unprofitable entities." (June 1, 2011).

This same phenomenon is happening all over Europe, from England to Spain, as working people are told that social programs must be slashed, public jobs eliminated, and state industries privatized. The U.S. is also deeply affected, with daily media threats about the "vigilante bond holders" [rich investors] who will stop buying U.S. debt if Social Security, Medicare, and other social services are not eliminated.

Never before has the global market economy been so damningly exposed as biased and dominated by the super-wealthy. These consciousness-raising experiences cannot be easily siphoned into politicians promising "democracy,” since democracy is precisely the problem: a tiny minority of super-rich individuals have dictatorial power due to their enormous wealth, which they use to threaten governments who don't cater to their every whim. Money is thus given to subservient governments and taken away from independent ones, while the western media never questions these often sudden shifts in policy, which can instantly transform a longtime U.S. ally into a "dictator" or vice-versa.

The toppling of dictators in the Arab world has immediately raised the question of, "What next"? The economic demands of working people cannot be satisfied while giant corporations dominate the economy, since higher wages mean lower corporate profits, while better social services require that the rich pay higher taxes. These fundamental conflicts lay just beneath the social upheavals all over the world, which came into maturity with the global recession and will continue to dominate social life for years to come. The outcome of this prolonged struggle will determine what type of society emerges from the political tumult, and will meet either the demands of working people or serve the needs of rich investors and giant corporations.

Shamus Cooke is a social service worker, trade unionist, and writer for Workers Action ( www.workerscompass.org ) He can be reached at shamuscooke@gmail.com

Monday 20 June 2011

What's it costing British taxpayers to bomb Libya?

The UK government has shrouded the financial cost of bombing Gaddafi in secrecy and obfuscation

Ian Katz

guardian.co.uk, Sunday 19 June 2011 22.00 BST



This weekend provided sobering reminders of the human and financial cost of the three-month bombing campaign against Muammar Gaddafi's regime: in Tripoli several civilians appeared to have been killed by a Nato strike; while in London the Treasury chief secretary, Danny Alexander, admitted that the bill for Britain's contribution could run to "hundreds of millions of pounds".

Until now the UK government has shrouded the issue of how much taxpayers are spending on bombing Libya in the sort of secrecy and obfuscation you'd expect if you asked the current location of all its Trident submarines.

By contrast, here are a few things I can tell you about how much the US's contribution to the preposterously named Operation Unified Protector is costing: as of 3 June, Washington had spent $715.9m on its military operation and associated humanitarian assistance, $398.3m on bombs and missiles alone. The Pentagon sent 120,000 halal meals ready to eat (MREs) to Benghazi at a cost of $1.3m. And by 30 September it reckons its Libya bill will have risen to $1.1bn. I know all this because it was laid out in a document produced by the Obama administration for Congress last week.

On Friday I tried to find out some equivalent figures for Britain's involvement. I called the Ministry of Defence, where a spokeswoman told me the Treasury was "doing an assessment", but no "actual figures" were available yet. She mentioned a month-old estimate "sort of within the region of £100m", but conceded that since the deployment of Apache helicopters the figure was probably significantly higher.

She thought the Treasury might be able to provide more detail, which did not amuse the Treasury spokesman I reached: "It is currently not possible to pull together real-time figures. Apparently the MoD are working on a breakdown but that's not ready to be released."

Perhaps the Foreign Office could help? Not likely: "The foreign secretary has made clear that we will present accurate costings to parliament in due course. We will not be providing a running commentary."

This from the government that trumpets its commitment on the Downing Street website to being "the most open and transparent in the world".

Fortunately, we do know a little more about the likely bill for Britain's part in the conflict from other sources. This month Nick Harvey, the armed forces minister, said in answer to a parliamentary question that Britain was targeting Libya with £6m worth of munitions a week. A Guardian report in May quoted defence experts who suggested the total bill by autumn is likely to be £400m-£1bn.

Public spending comparisons can be glib, but in times of slashed budgets and brutal choices it is hard – perhaps even irresponsible – to avoid making them. So here are a few striking ones: taking the most conservative estimate, the cost to the UK taxpayer of bombing Gaddafi for six months is four times the cut to the arts budget; three times the sum saved by Ken Clark's controversial sentencing reforms; more than the proposed cuts to the legal aid budget; about the same as the savings from ending the education maintenance allowance (EMA); or three times the amount saved by scrapping the disability living allowance.

Are these reasons to conclude Britain should stop bombing Gaddafi? Of course not: any decision to go to war is a complex equation of morality, risk and national interest, in which financial cost is just one, frequently trumped, consideration. But are they relevant to forming an intelligent view on whether Britain should be involved? Surely.

Yet when it comes to military action there is a curious reluctance to apply the same scrutiny to the bottom line as we do to every other area of public spending. As the New Yorker's Amy Davidson puts it: "There is something almost pathological about the way we don't talk about budgets when we talk about war … as if brave men don't think about things like money."

Anyone who has the temerity to ask how much Britain's Libya campaign is costing is reassured that it is all being paid for from Treasury reserves, so we needn't worry our pretty little heads. But anyone who has lost their EMA or disability living allowance could quite justifiably wonder why cash can be found for bombs but not for them.

At the very least, a democracy ought to ventilate the choices it is making. Ed Miliband has been reluctant to rock the boat over Libya, perhaps because the Labour leader can see no better option. But it's time his party started asking difficult questions about our third war in a decade. And if David Cameron is serious about transparency, he needs to show he can be as open about inconvenient facts as he has been about inconsequential ones.

Decent housing is not just a wish, it is a human right

The former US president says we are morally obligated to act, and should do so more urgently and effectively

Jimmy Carter

Guardian Professional, Monday 20 June 2011 08.30 BST


In order to create true, sweeping changes in providing decent housing, we must begin to talk about this human necessity as a basic human right. This is not something that families around the world can only wish to have, not something that only the luckiest can hope to realise, but something that everyone should have an opportunity to achieve.

When we understand the magnitude of housing needs and their different forms in communities worldwide, we will recognise that as more fortunate people we are morally obligated to act. Once we view the issue of housing in these appropriately urgent terms, we will begin to act in concert more effectively.

A good first step is to make sure we are personally engaged in striving together to achieve specific goals. There are many unified and well-proven advocacy efforts that we can support. We need to raise awareness so that our fellow citizens will join us in providing solutions for those who are struggling to overcome the obstacles that prevent their families from having a decent home. We can take an active role, from participating in large-scale efforts such as the UN-designated World Habitat Day, to joining local organisations that meet housing needs and provide funding for projects in our own towns and neighbourhoods.

Creating safe and decent places to live can have incredibly positive effects on a family's health, on study habits of students, and on a neighbourhood's overall attractiveness and stability. With so much at stake, it is time for our definition of decent housing to expand to include a spectrum of solutions: new construction, repair and renovation, housing finance, infrastructure development, secure land tenure. It is time for us to plan and build together.

Through my international work with the Carter Centre and 28 years of volunteering to build homes with Habitat for Humanity, I have seen that the best, most sustainable results achieved when communities and families are deeply involved in orchestrating their own changes.

In locations around the world, from South Africa to South Korea, my wife Rosalynn and I have had the privilege of building simple Habitat homes alongside the parents, grandparents, and neighbours who will inhabit them. We have experienced the very real difference that a strong roof and sturdy walls can make to a family that has never known the security of either, and we have come away with a lasting impression of achievement and gratification.

Efforts that invite families into the process of improving their own lives and their own homes ensure that those individuals have the materials, assistance, and skills they need to lay all the right foundations. People sometimes just need a little help to transform their lives, and community-based efforts work best. So does creating an opportunity for people from all backgrounds to come together in a common cause to help each other; because that's exactly what happens.

When we work alongside families and play a part in helping them achieve what we consider to be a basic human right, we participate in a potentially world-changing result. Their lives aren't the only ones that change. So do ours.

Former US president Jimmy Carter is a volunteer for Habitat for Humanity International.

Eight million gallons of water drained from reservoir after man urinates in it

by Nick Allen in The Telegraph

The operation is costing the state's taxpayers $36,000 (£22,000) and was ordered after Joshua Seater, 21, was caught on a security camera relieving himself in the pristine lake.

Health experts said the incident would not have caused any harm to people in the city of Portland, who are supplied with drinking water from the reservoir.

They said the average human bladder holds only six to eight ounces, and the urine would have been vastly diluted.

But David Shaff, an administrator at the Portland Water Bureau, defended the decision to empty the lake.

"There are people who will say it's an over reaction. I don't think so. I think what you have to deal with here is the 'yuck' factor," he said.

"I can imagine how many people would be saying 'I made orange juice with that water this morning.' "Do you want to drink pee? Most people are going to be pretty damn squeamish about that."

Mr Seater had been out drinking with friends when he decided to relieve himself in the open air reservoir at 1.30am.

He has not been arrested or charged with a crime, but may ultimately face a fine.

He apologised publicly for his behaviour, adding: "It was a stupid thing to do. I didn't know it was a water supply, I thought it was a sewage plant.

"I wouldn't mind paying for it but I don't have a job right now. I'm willing to do community service to clean up the place because I feel bad and feel pretty stupid." Sergeant Pete Simpson, of Portland Police, said: "It's really an unfortunate incident that probably could have been avoided if he had just chosen a bush."

Don't worry Kate, there will never be a royal expenses row

Independent.co.uk
Yasmin Alibhai-Brown:

The entourage to Canada and the US will be 'humble' with only seven adults accompanying the couple. The national self-delusion is now untreatable

Monday, 20 June 2011

Pictures of Kate Middleton appear daily on the front pages. Last week, she showcased clothes costing £12,000. Didn't she look lovely? She smiled and waved too – such an exhausting job, who would want it? All the aspirational young women lining up to apply to St Andrews where Katie bagged her prince. The university is about to team up with the elite American William and Mary College in Virginia (note the monarchist moniker) to charge £18,000 a year for a joint BA degree. Perhaps the next Mrs Simpson will also come from there – rich North Americans love aristocratic connections and all things royal. And this summer they are in for the biggest treat.

The Duke and Duchess of Cambridge (what do these titles mean? Is a duke higher than a prince? Who bloody cares?) are preparing to visit Canada and the US for their first official overseas tour starting 30 June. Expect a flood of images, nauseating sycophancy, endless smiles and airhead fashionista commentaries. The entourage will be "humble", say loyal watchers, with only seven adults accompanying the couple. So no lackey to put toothpaste on to a toothbrush, something Prince Charles must have. More modest still, no dresser or Lady in Waiting. And the people are lapping it all up, like hungry cats round a cream bowl. The downturn? Economic hard times? Cuts and public sector strikes? All the people need are the diverting accounts of the undeserving rich to get by. Only the really curmudgeonly or perfidious Commies would say otherwise. Those of us who can't stand the circus are made to feel treacherous outsiders – a cold place to be.

After the euphoria of the wedding, the phenomenal success of The King's Speech, the honeyed tributes to rude Prince Philip on his 90th birthday, I feel almost defeated. We republicans are losing the battle. There were moments when it seemed as if the nation was shaking, shuddering with righteous indignation at appalling royal behaviour. That fever went down, and we are back to the status quo.

In our flawed democracy, some are born to lord it over us, even if they are stupid, unattractive (in all senses), immoral, badly behaved, drunk, spoilt, adulterous, callous and irresponsible. Examples can be provided for all of these within the present lot of royals. Going back, the list would get more colourful still, with a long line of serious miscreants and corrupt blue-bloods. The point though is that even if they are perfect, they were handed status and wealth at birth and that is wrong. This Queen certainly deserves respect for her diplomacy and for embodying the transition from the British Empire to post-colonial nationhood. But she heads a morally indefensible institution and can't see the harm that does. This year, just after it was revealed that Prince Andrew, the wastrel "helicopter prince", was flying around doing deals with dodgy dictators, his mum stuck more medals on him and later on their irascible dad too, just a birthday present.

But, alas this country's not for turning. A cunningly managed restoration of popularity has ensured the future of the monarchy. Charles will be King; then William. Kate, the millionaires' daughter, will beget an heir and they will live happily ever after. And the people will happily pay for them. There is never going to be a royals expenses row. They are exempt from the Freedom of Information Act, though they cost us millions, including their tax-free allowances and gargantuan security costs. It still isn't enough. In 2010, the Queen tried to get money for palace repairs from a state fund set aside for energy-saving changes to homes and hospitals. "Relative poverty" took on a whole new meaning then, as does the "relative" frugality of the coming Canadian trip.

Defenders of the family say their palaces attract tourists. In India after independence, they got rid of their Maharajahs and Maharanis but retained the opulent residences. Tell me the country gets fewer tourists because they don't have real royals any more. And anyway, only a small part of our tourism industry (one fifth) comes from overseas visitors – the sector as a whole makes up about 9 per cent of GDP. Legoland in Windsor has more visitors by far than Windsor castle. Supporters also exaggerate the effectiveness of British royals. The Queen's remarkable visit to Ireland, her undoubted dignity and moving speech, are given as an example. Was the Irish President Mary McAleese any less dignified or impressive? If they believe that, the national self-delusion is now untreatable.

One Quebec legislator, Amir Khadir, denounced the visit of the "parasites" and the Canadian premier quickly intervened, affirming that his people hold the couple "in very great esteem". That esteem should come only when the couple show they understand what so many of their people are going through. Britain is barely recovering from economic depths it reached last year. More than 100,000 disabled children will no longer receive extra money to help them cope; many families are already living below the poverty line and more will join them as new rules are passed. Kate, meanwhile, wears a gown costing nearly £5,000 to raise money for charity. A fat donation without the costly extravaganza would have done more good and appeared less self-serving.

Why aren't people more angry? They were with expense-claiming MPs who do long hours and put themselves up for tortuous elections. Even in Swaziland, where the King and his many wives rule absolutely, the women of the nation came out in 2008 to demonstrate against the outrageous royal lifestyles. Think about that.

The furious brigade will send off missives about how I have no right to criticise "their" Queen. Let them remember she was my Queen when I was born under the imperial sun. Previously her ancestors declared themselves rulers in India and elsewhere, without popular consent. Here, though, most of the people consent to the most blatant symbol of inequality and celebrate it. Kate has given them more reason and the jubilee next year gives them another boost.

Republicanism may well come to Swaziland one day. But not here. Not ever. Game, set and match to the wasteful Windsors.

Europe's top industrial firms have a cache of 240m pollution permits

European Commission estimates energy-intensive sector will have accumulated allowances worth €7-12bn by the end of 2012

Damian Carrington
guardian.co.uk, Sunday 19 June 2011 15.38 BST
larger | smaller

ArcelorMittal steel worker
Steel producer ArcelorMittal tops the list of firms with surplus of emissions trading permits, according to thinktank Sandbag. Photograph AP

Some of Europe's largest industrial companies gained billions of euros from the carbon emission rules they lobbied fiercely against, new analysis reveals today.

Ten steel and cement companies have amassed 240m carbon pollution permits from generous allocations, according to a report by Sandbag, the carbon trading thinktank, seen by the Guardian.

The free permits, granted to companies with a market value of €4bn (£3.5bn), can be sold or kept for future use. The European commission estimates that the entire energy-intensive sector will have accumulated allowances worth €7bn-€12bn by the end of 2012.

"More and more businesses see that Europe's future lies in a highly efficient economy with low pollution," Baroness Worthington, Sandbag's founding director, said. "But a small group of carbon fat-cat companies are trying to stop this, in spite of making billions from a windfall of free pollution permits."

The steelmaker ArcelorMittal leads the list of companies in the report, with a current surplus valued at €1.7bn, followed by Lafarge, the cement group.

Tata Steel, in third place with a surplus valued at €393m, last month announced 1,500 job losses at its plants in Lincolnshire and Teesside, blaming emissions regulations as well as the economic downturn. Karl-Ulrich Köhler, chief executive of Tata Steel Europe, said at the time: "EU carbon legislation threatens to impose huge additional costs on the steel industry." Tata Steel declined to comment on the report.

The European Union emissions trading scheme (ETS) puts a cap on the carbon pollution emitted by energy and industrial companies. Those reducing their emissions can sell their spare permits to those who do not. But a combination of initial over-allocation by national governments and the economic decline has left the steel, cement, chemical, ceramic and paper sectors with many more permits than they need. The industries have lobbied hard against calls from governments including the UK for the tightening of the ETS and other emissions targets.

Eurofer, the lobby group representing all of Europe's steelmakers, said last month: "To remain competitive in the free, global steel markets, European steel needs … legislation that does not harm its competitiveness. But we are gravely concerned that EU climate change policy will do precisely that."

Cembureau, which lobbies for the cement industry, takes a similar line, stating: "It would be irresponsible to shift the [emissions] goalposts."

In the UK, the government has proposed incentivising low-carbon innovation by setting a British floor price for carbon from 2013. But this is opposed by the CBI. John Cridland, the director general of the employers' group, said: "It risks tipping energy-intensive industries over the edge."

The government has made some concessions, promising to produce plans later in 2011 to compensate businesses for any competitive disadvantage.

However, independent analysis by Bloomberg New Energy Finance found that the carbon permits held by the steel industry would cover its emissions for the next 12 years. "If the steel sector [on aggregate] did not sell any of its surplus, it would not have a need to purchase emissions until 2023," said Guy Turner at Bloomberg NEF.

The Sandbag report, based on public data, also found that nine of the 10 "carbon fat cats" bought between them 24.4m permits from the cheaper international market, mainly from companies in China and India. These can be used within the EU's trading scheme, enabling companies to retain the more valuable European ETS permits. Furthermore, despite the European companies claiming that tougher emissions rules would drive business overseas, some were paying overseas steel and cement companies for their international carbon permits.

"Purchasing carbon offsets from foreign competitors would not seem to be the actions of businesses genuinely concerned that the ETS will drive business abroad," said Worthington.

Not all companies are resisting the tightening of the European ETS. Five major energy groups, including Britain's Scottish and Southern Energy, last week called for spare permits to be withdrawn, a proposal supported by Sandbag.

"Failure to do so could severely hamper business incentives to invest in low-carbon technologies, as the price signal will be skewed in favour of fossil-based solutions," their statement said.

The Guardian contacted all the companies named by Sandbag. Those who responded argued that the surplus permits arose from decreased production and might be needed when the economy recovered. They said that without protection, steel and cement making would be driven to countries with less CO2-efficient manufacturing practices. Many called for global regulation of emissions

A spokesperson for ArcelorMittal said: "As part of our corporate responsibility strategy, we have decided that any sale of such surplus allowances will be reinvested into projects aimed at the improvement of our energy efficiency footprint, as this will help to reduce our overall CO2 emissions."

Erwin Schneider, at the steelmaker ThyssenKrupp, said: "Companies make decisions based on expected future developments. Any earnings from the past will either have been reinvested already or paid out to shareholders. Therefore it seems to be very misleading to use historic numbers to address our future position."

Sunday 19 June 2011

Who Is Undermining Parliament? Civil Society or Government?

Who Is Undermining Parliament? Civil Society or Government?

By Tapas Ranjan Saha

19 June, 2011
Countercurrents.org

A debate is raging on the role of civil society and popular movements, and their impact on democracy. In a recent statement, Home Minister P Chidambaram said “Elected members cannot yield to civil society” since this might undermine “parliamentary democracy.” A beleaguered UPA Government is increasingly trying to discredit mass movements against corruption by declaring that civil society cannot usurp the right to legislate – a right which, in a democracy, is the exclusive preserve of elected representatives. This argument needs to be examined closely, because on the face of it, it seems to be premised on well-accepted principles of democracy. Are civil society activists and mass movements really holding Parliamentary democracy to ransom? Or is there a deeper, more shadowy threat to democracy that is kept hidden, with a skilful sleight of hand, by Chidambaram and his colleagues?

In the first place, the accusation that civil society activists are seeking to replace Parliament does not hold water. Civil society activists are seeking to shape the draft of laws, and they also seek to mobilise opinion on the content of the laws and hold elected representatives accountable to such opinion. In the process, common people are more closely informed and involved about specific clauses of laws and specific debates surrounding them, than ever before. But the actual task of enacting the laws still rests with MPs in Parliament; though it is true as a result of the civil society efforts at public participation, the debates within Parliament are more likely to be scrutinised intelligently and alertly by citizens.

Chidambaram and the Congress party seem to be uncomfortable with this continuous process of public participation and scrutiny of the trajectory of laws before they reach Parliament. In an article, Congress spokesperson Manish Tiwari warned against street protests, which he equated with ‘street coercion' and fascism. Chidambaram criticised civil society members for challenging the Finance Minister to a televised debate, saying that after all, Parliamentary debates are televised and “voters exercise their franchise from time-to-time.” What the Government seems to be suggesting is that democracy is restricted to voters' right to elect representatives “from time-to-time.” Once people cast their vote, do they cede away their policy-shaping rights for the next five years to the representatives they elect? In other words, is the government suggesting that democracy be available to the citizens only once in five years? Do the people have no right to tell those representatives, through street protests when necessary, exactly what kind of laws they want enacted, especially when those laws often tend to have irrevocable consequences on their lives?

It is strange that the Govt which does not want civil society to dictate to Parliament, has no qualms about corporate CEOs and lobbyists as well as foreign powers dictating laws, policies and even Ministerial appointments. A glaring example was the Radia tapes revelation of how Mukesh Ambani and his lobbyist could even manage to dictate what stand the chief Opposition party will take in Parliament on a key question of energy policy. Wikileaks revealed the close scrutiny and immense influence exerted on India 's parliamentary processes, choice of Ministers (remember the Wikileaks revelation that Murli Deora's appointment as Petroleum Minister was influenced by the US ), foreign policy stances, economic policies and laws by the US . How come the Government does not consider such influence to be a threat to the sovereignty of India 's parliamentary democracy, but resents the scrutiny and influence by India 's own citizens?

Interestingly, the Government, which is raising its eyebrows about the role of civil society activists on the Lokpal panel, is itself appointing un-elected individuals – almost always corporate CEOs - in extremely strategic policy-making positions in ways that seriously undermine Parliament as well as people's right to know. A crucial instance is that of the National Intelligence Grid (NATGRID) – which has recently secured “in-principle” approval from the Cabinet Committee on Security. NATGRID's CEO is one Captain Raghu Raman, former CEO of Mahindra Special Services Group. Through what parliamentary or democratic process was he appointed? People are in the dark about why he was hand-picked by the Home Minister. Moreover his views and stances are not known to the public.

Civil society activists are public figures, whose ideas are ever open to public scrutiny and debate. We may not agree with everything that Anna Hazare proposes – but his ideas are out there in the open for us to criticize or assess on our own. But things are very different with the likes of Captain Raghu Raman. How many people are aware, for instance, of his views on national security and India 's democracy? When he was the Mahindra SSG boss, he penned an article titled ‘ A Nation of Numb People' in which he opined, “Enterprises would need to raise their own protection units…The idea is to … have private protection units that can work in close cooperation with law enforcement agencies. Think of it as a private territorial army . If the commercial czars don't begin protecting their empires now, they may find the lines of control cutting across those very empires.”

Can Chidambaram tell us why a man who thinks of corporations as ‘czars' with private ‘territories' with the right to command ‘private armies' to wage war on India's citizens is heading the most sensitive, all-compassing intelligence institution in our country? Are India 's Parliament and people aware that NATGRID is headed by a man whose worldview matches those of the worst banana republics?

Another instance Parliament being undermined is in the case of the UID Project. The UID Authority of India headed by Nandan Nilekani – another former CEO - UIDAI came into being without approval in Parliament, let alone wider debate in civil society. The National Identification Authority of India (NIAI) Bill, 2010 has been introduced in the Rajya Sabha, but is yet to be debated or passed, and it is yet to have been placed in the Lok Sabha. With a mere Cabinet approval as its basis, UIDAI headed by Nilekani has already signed MOUs in most states with a range of private agencies and government ministries, and UID cards are already being distributed. Does this not undermine Parliamentary democracy?

What are the credentials of individuals like Raghu Raman or Nilekani? They are not elected parliamentarians. They are not even politicians, who at any rate have to face elections periodically? Neither are they bureaucrats, bound to certain regulations and obligations. They are simply corporate CEOs, accountable only to protecting the interests of corporate profits! Yet we see they are being chosen through sheer discretion and positioned in strategic places to make far-reaching critical changes in our country's policy – that bode disastrous and irreparable implications for country's democracy and citizens' rights.

In a debate on a TV channel, responding to the issue of India signing on the UN Convention on Corruption, Congress spokesperson Manish Tiwari declared piously that even a municipal law would take precedence over international laws if the former was contradicted by the latter. Such respect for India 's democratic institutions and sovereignty is commendable – but one wonders where it evaporates when it comes to economic policies dictated by the WTO? In those cases, why does the Indian Government argue that its hands are tied and it has no choice but to amend India 's laws in keeping with WTO directives? It seems the Government invokes the principles of Parliamentary democracy and sovereignty only according to convenience.

The processes initiated by mass movements and civil society activists – whether we agree with all their views or not – strengthen democracy. Citizens do have a right to tell their elected representatives what kind of laws they want enacted and what laws they want changed or scrapped. The SEZ Act was passed by Parliament without a word of dissent. But when implemented, it became clear that those citizens it would affect most – farmers – would not accept it. Would it not have been far more democratic that farmers should have had a right to scrutinise such a law before it was passed in Parliament? Now, farmers' mass protests against land grab are forcing governments to consider their opinions on existing laws on land acquisition and rehabilitation. Opinion is building in the country against the sedition law; earlier, mass protests have forced a debate on laws like AFSPA. These are all processes that are essential to a healthy democracy – and the Government only exposes its authoritarian impulse by trying to discredit such participative processes.

One reader's comment on the web page of a leading English daily that carried the news story – ‘Elected members cannot yield to civil society – Chidambaram' ( http://www.indianexpress.com/news/elected-members-cannot-yield-to-civil-society-chidambaram/800964/ ) hit the nail on the head. This reader has commented caustically, “Yes, they should yield only to corporates and plunderers of the nation.” It seems the UPA Government's bluster is able to convince fewer people every day, as the corporate-dictated corruption under its aegis becomes more and more obvious.

(The author teaches Economics at Sri Aurobindo College (Eve.), Delhi University )