Microfinance Institutions' dubious ploy!

DESARAJU SURYA

Hyderabad: Having been caught on the wrong side of the law for adopting “illegal and inhuman business practices” in Andhra Pradesh, the microfinance institutions (MFIs) are now trying to “legitimize” their activities by seeking to join hands with the state government “to provide sustainable financial services to poor women” even as the Union Finance Ministry is said to be keen on involving the money-lending agencies in the government’s anti-poverty programmes. Though the Government of India has not taken a formal decision in this regard yet, it has informally sounded the state governments much before the current controversy involving the MFIs broke out in Andhra Pradesh, highly-placed official sources said. “In fact, such a proposal first came from the external funding agencies like World Bank and International Fund for Agricultural Development (IFAD). The World Bank and the IFAD recommended to the states, which have been borrowing money from them, to involve MFIs in poverty reduction programmes. The Government of India is probably trying to implement the World Bank agenda,” a top bureaucrat pointed out. But, IAS officer V P Jauhari, who retired as Special Chief Secretary to government and led an inquiry into the activities of MFIs in the state, cautioned in his report against involving MFIs in government programmes. In fact, he suggested that the state government alert the Government of India as well as the Reserve Bank of India about the “illegal and unethical practices” being adopted by the MFIs. “This will help other states learn from the sad experiences of AP,” he added. It was during former Chief Minister Y S Rajasekhara Reddy’s tenure that the World Bank first came up with the proposal when the state government was desperately seeking funds from the Bank for the ambitious Jalayagnam (irrigation projects) programme. “Andhra Pradesh is one of the major borrowers from the World Bank. One of the recommendations, apart from a few pre-conditions of the World Bank, was enhancing the role of MFIs in rural credit distribution and their involvement in government programmes. Though the government did not concede the demand immediately for involving the MFIs in its programmes, it did help them expand their operations rapidly in the last few years,” the bureaucrat said. Micro Finance Institutions Network president Vijay Mahajan wrote a letter to the state Principal Secretary (Rural Development) R Subrahmanyam promising to “extend all cooperation to the Government of Andhra Pradesh’s efforts to provide credit to rural poor women.” One of the proposals mooted by the MFIN is the establishment of a state-wide health insurance programme in concert with the state government’s Society for Elimination of Rural Poverty. “This programme will be complementary to the Rajiv Aarogyasri health insurance scheme (of the state government),” Vijay Mahajan said in the letter. Official sources said the government has not yet taken a decision in this regard. “We are considering the proposals put forth by MFIN but our main focus now is on regulating the MFIs’ activities and rescuing the hapless borrowers,” a senior official of the Rural Development Department said.

Hyderabad Runners for Athens Marathon

DESARAJU SURYA
Hyderabad: “Hyderabad Runners” have headed for Athens, the ancient Greek city, to take part in the historic Athens Classic Marathon on October 31. The 2010 Athens Classic Marathon celebrates its 28 years, along with the celebration of the 2,500th anniversary of the Marathon Battle that marks the victory of the Greeks against the Persians during the Marathon Battle in 490 BC. The event is being held in the city of Marathonas to commemorate the historic occasion. More than 15,000 runners from across the globe have registered for the event this year, given the historic significance. Of the 34 runners registered from India, 18 are from Hyderabad alone. Individual runners from Bengaluru, Chennai, Ahmedabad, Mumbai and New Delhi are also going to take part in the event. The Hyderabad Runners have left for Athens in the last two days to reach Athens in time for the event and also get acclimatised to the local conditions. The marathoners from the city, most of them amateurs, have formed into the “Hyderabad Runners” group that promotes running in an injury-free and safe environment. While the average age of those taking part in the Athens Classic Marathon from Hyderabad is 36, the oldest of them is 63-year-old Hariharan who works with Sriram Life Insurance, followed by 62-year-old retired chartered accountant Anand. Four women, including 48-year-old home-maker Rama Vijaya and 40-year-old fitness trainer Sunita Tummalapalli, are also among the group. All of them will run the full marathon of 42.19 km. “I have taken part earlier in the Puducherry marathon and the Athens one will be my first international event,” Sunita said in excitement. She, along with other members of the group, has practiced rigorously for over three months to get ready for the big event. Superintendent of Police M Ramesh, TransDyne chief executive officer Raghu Adusumilli and a senior executive Rajesh Vetcha are some of the other participants. “It’s a great feeling taking part in a historic international event. This will be my first marathon race,” Raghu said. In fact, Raghu and Rajesh encouraged many to take up running “which is a form of meditation.” “Next year, we are going to organise a half marathon (21-km run) in Hyderabad to encourage people to run,” Raghu said. Already the Hyderabad Runners group has about 70 people who did a full marathon. “We have started this informally mostly with amateurs. Now everyone is taking it seriously and more people are joining. Our endeavour is to create a safe and injury-free environment for all the runners,” Rajesh said.
ALL THE BEST, HYDERABAD RUNNERS.

Y S JAGAN "estranged"

DESARAJU SURYA
Hyderabad: Exactly a year after his father and former Chief Minister Y S Rajasekhara Reddy’s death, Kadapa MP Y S Jaganmohan Reddy is facing a political dilemma as he is left “estranged” from ministers and MLAs in Andhra Pradesh.
He has no real supporters, except two, in the Andhra Pradesh Council of Ministers while not more than 20 MLAs are publicly backing him.
The Cabinet Ministers who vowed to forego their posts if Jagan was not made the Chief Minister, immediately after Rajasekhara Reddy’s death in a helicopter crash on September 2 last year, have now virtually deserted him.
“I will not only quit my Cabinet post but also split the Congress party in the state if Jagan is not made the Chief Minister,” Forest Minister Peddireddy Ramachandra Reddy thundered as he entered the Samatha block in the Secretariat for an extraordinary Cabinet meeting on September 3 last year.
Home Minister P Sabita Reddy, Information Technology Minister Komatireddy Venkata Reddy, Health Minister Danam Nagender, Secondary Education Minister Dokka Manikya Vara Prasada Rao, Rural Water Supply Minister P Viswaroop and many other ministers spoke in a similar tone.
In fact, Vara Prasada Rao announced that he made it to the state Legislative Assembly only due to Jagan and, as such, would not continue in the Cabinet without the latter heading it.
Only Konda Surekha, who held the Women Development and Child Welfare portfolio in the Rajasekhara Reddy Cabinet, stuck to her word and quit her post as the Congress high command firmly backed K Rosaiah for the Chief Minister’s job.
One year down the line, the ministers fell silent and have distanced themselves from the Kadapa MP who has been constantly defying the party high command. Now, the ministers are not even raising the demand for Jagan’s appointment as the Chief Minister as they are more worried about securing their jobs.
Only Social Welfare Minister Pilli Subhash Chandra Bose and Mines Minister Balineni Srinivasa Reddy have affirmed their loyalty to Jagan and continued to sail with him.
For a couple of months after Rajasekhara Reddy’s death, almost every minister, barring the likes of Botsa Satyanarayana, used to call on Jagan everyday whenever he was in the state capital. They even skipped their official duties and jumped over each other to keep Jagan in good humour.
Gradually the ministers stopped meeting the rebellious MP and even started talking against his defiant postures. “The Congress high command is the supreme. Everyone has to strictly respect it,” has been the ministers’ refrain even as they advised Jagan to fall in line, following the controversy over the Odarpu Yatra.
Sticking to the party line, ministers stayed away from the MP’s condolence tour in their respective districts. Only Subhash Chandra Bose accompanied Jagan on the tour in East Godavari district while Srinivasa Reddy vowed to do so in Prakasam district.
Interestingly, in his own Kadapa district, local minister Md Ahmadullah stayed away when Jagan went on the condolence tour for two days in Pulivendula constituency late last month.
On September 3 last year, when Rajasekhara Reddy’s death was officially announced, government Chief Whip Mallu Bhatti Vikramarka led a campaign and collected signatures of more than 150 out of the 157 Congress MLAs demanding that Jagan be immediately appointed YSR’s successor.
As things stand, not more than 20 MLAs are on Jagan’s side.
What fate befalls the 37-year-old industrialist-turned-politician is curiously awaited as he embarks on the next leg of his controversial Odarpu Yatra in Prakasam district from tomorrow, overlooking the high command’s counsel.

Great Maths brains assemble in Hyderabad

DESARAJU SURYA
HYDERABAD: Wizards of mathematics from the across the globe congregated at the Hyderabad International Convention Centre for the nine-day International Congress of Mathematics (ICM) that the President of India Pratibha Patil inaugurated with a call for promotion of mathematics studies among the young generation.
This is the first time that the ICM, organized every four years by the International Mathematical Union (IMU), is being held in India. More than 3,000 delegates from over 80 countries are taking part in the ICM.
The President gave away the prestigious Fields Medals, also called the Maths Nobel, to four eminent mathematicians in recognition of their contribution to the field. The four Fields Medals were presented to Elon Lindenstrauss (Israel), Ngo Bao Chau (Vietnam), Stanislav Smirnov (Russia) and Cedric Villani (France). The Rolf Nevanlinna Prize was presented to Daniel Spielman of Yale University while the Gauss Prize was given away to Yves Meyer of France.
The newly-instituted Chern Prize for lifelong achievements in mathematics was presented to Canadian Louis Nirenberg of New York University.
Andhra Pradesh Governor E S L Narasimhan, Chief Minister K Rosaiah, International Mathematical Union president L Lovasz, organizing committee chairman M S Raghunathan, secretary Rajat Tandon and others were present on the occasion.
In her inaugural address, the President noted that mathematics inculcated the habit of rational thought and promoted scientific temper. She stressed on the need for promotion of mathematics studies among the young generation.
The President said the need for understanding mathematics was necessary in all walks of life, be it engineers, scientists or those working in the industry, finance or social sciences.
Since Independence, India recognized the importance of science as a vehicle for human progress, the President said. “Mathematics, the language of science and its advancement, is an integral part of India’s science policy,” she added.
“Economics and social sciences, once impervious to mathematics, are coming increasingly under its influence. There is an aesthetic component to its pursuit and it inculcates the habit of rational thought. Its role in other human endeavours apart, we also recognize the profound cultural dimension that the study of mathematics has,” Pratibha Patil said.
Noting that India’s engagement with mathematics dated back to some three thousand years, the President said the country had a rich mathematical heritage and has been accorded a primary position among intellectual pursuits.
“Like the crest of the peacock and the jewel of the serpent, Mathematics stands at the helm of all sciences,” Pratibha said, quoting a Sanskrit verse.
She recalled the contributions of Aryabhatta and Brahmagupta to the development of Algebra and Astronomy and also that of Bhaskaracharya. “However, until the last Century, the West seems to have been unaware of Madhava, a mathematician of the 15th Century who anticipated the essentials of Calculus. It is only in recent years that the work of ‘Kerala School’ has attracted considerable attention from historians of mathematics,” Pratibha Patil pointed out.
Revival of mathematical activity in India was triggered by the advent of the extraordinary figure of Srinivasa Ramanujan in the 20th Century, she said, adding that Ramanujan’s achievements were a source of inspiration for succeeding generations.
She wished success for the initiatives of the International Mathematical Union aimed at promotion of mathematics in developing countries.
The ICM assumes significance for India as it is being held coinciding with the Centenary of the founding of Indian Mathematical Society and the Silver Jubilee year of Ramanujan Mathematical Society.
World Chess champion Viswanathan Anand will test his skills by playing chess simultaneously against 40 mathematicians on the sidelines of the mega event, Prof Govindan Rangarajan of the ICM organizing committee said.
The award winners presented their works to the delegates during the technical sessions that followed the inauguration ceremony.
Panel discussions on interesting topics like “Mathematics Education and Popularization of Mathematics” and “Mathematics in Science and Technology” will begin tomorrow. A panel discussion on how to take mathematics to high schools has also been scheduled during the event. The London Mathematical Society is organizing a discussion on August 25 on ‘Mechanisms for strengthening mathematics in developing countries’ as part of the ICM.

Bad blood between AP ministers

DESARAJU SURYA
HYDERABAD: The bad blood flowing for some time now between ministers of the Andhra Pradesh Cabinet hailing from Telangana and Andhra-Rayalaseema regions spilled in the meeting of the state Council of Ministers with the two “rival factions” seeking to cross swords.
But senior minister Gade Venkata Reddy, through his wise counsel, ensured that the acrimony did not spread.
Ironically, it was Gade who has been the main target of attack by leaders of Telangana region for submitting a report on behalf of ministers for Andhra-Rayalaseema region to the five-member Srikrishna Committee allegedly dubbing those seeking a separate state as “traitors.”
Information Technology Minister Komatireddy Venkat Reddy reportedly raised the issue at the Cabinet meeting, chaired by Chief Minister K Rosaiah, and pointed out that the Andhra-Rayalaseema ministers’ claim before the Srikrishna Committee had deeply hurt the people of Telangana.
Gade immediately intervened to assert that they had never made any such claim. “There is nothing secret about our representation to the Srikrishna Committee. Everything is in black and white. Don’t go by media reports,” Gade told Venkat Reddy and other ministers from Telangana.
The senior minister, who holds the Endowments portfolio, also noted that they were all “ministers of Andhra Pradesh” and not ministers of any particular region.
“The state is still united and as per Constitution we are ministers of Andhra Pradesh. Let us not divide ourselves even before the Centre-appointed committee submitted its report,” Gade said.
“Gade’s ‘elderly’ talk pleased everyone and there was no further discussion on the subject,” one Cabinet minister later said.
Meanwhile, Chief Minister Rosaiah reportedly conveyed to his Cabinet colleagues that they all should abide by all directives of the Congress high command. This was seen as an oblique reference to the third-leg of Kadapa MP Y S Jaganmohan Reddy’s “Odarpu Yatra” slated to begin in Prakasam district on September 3. Mines Minister and Y S Rajasekhara Reddy’s close relative Balineni Srinivasa Reddy announced that he would take part in Jagan’s yatra even as reports from New Delhi suggested that the Congress high command once again issued a directive asking elected representatives to keep away from the MP’s tour.
“Shall we pass a resolution in this regard,” Health Minister Danam Nagender sarcastically questioned Rosaiah when the latter referred about the high command’s directive.
“This is only an informal issue and not on the official agenda. How can we pass a resolution,” the Chief Minister reportedly retorted.
On the growing allegations of irregularities in the land deals by the Andhra Pradesh Industrial Infrastructure Corporation since 2004, the Cabinet felt that any further action into the issue could be decided based on the internal enquiry report of the APIIC. The APIIC appointed a three-member internal committee to look into the issue of Emaar Properties’ land deal in which the government is said to be losing thousands of crores of rupees.
Sources said a decision on the APIIC issue could be taken at the next meeting of the Cabinet.