Monday, 30 November 2015

WHOLE TRUTH , PLEASE !

Headlines in this morning's News papers are :


With GDP growth rate of 7.4 % in july-sept quarter , India overtakes China  !


No doubt , true :

But only half - truth  !


The whole truth is :

With base GDP figure of $ 2,000 Billion , India would have managed to add to its GDP , $ 158 Billion @ 7.4 % ( for a whole year , of course )

Whereas ,

With a base GDP of $ 10,000 Billion , China would add to its GDP , $ 640 Billion @ 6.4 %

Let us be proud of our achievements ,

without ever forgetting that our economy is just ONE FIFTH that of China's  !

We have a lot of catching-up to do 

As Amitabh Kant ( Secretary - DIPP ) keeps drilling in our ears :

India must continue to grow at 9-10 % per year for next 30 years , to pull its 400 million people above the poverty line

-------------------------------------------------------------------------------

hemen  parekh

01 Dec  2015

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Saturday, 28 November 2015

GST / GIVE AND TAKE




Dear Shri Modiji / Shrimati Soniaji :


It was statesperson like for you, to reach out to each other last evening , in order to arrive at an agreement on GST

All negotiations have two , initially opposing , parties

No agreement can be arrived at , on the " Terms " of only one of the parties

A customer sold against his will , ceases to be a customer  !

Agreements imposed through numerical strength of membership , are bound to get sabotaged

To arrive at a " Lasting Solution " , there must be give and take


Here is my suggestion :


NDA  GIVE  / OPPOSITION  TAKE  :


*    Accept a cap of 18 % for GST in the Constitutional Amendment Bill


OPPOSITION   GIVE /  NDA   TAKE  :


*    A provision in Bill to enable the Government of the day , to raise the GST % in
     subsequent years , through an enabling provision
     
     This provision ( not mandatory ) , will allow the Government to raise the GST %
    through the Annual Central Budget each year

      ( anyway , Union Budget has to be passed in Lok Sabha , each year )



*   The amount by which GST " may " get raised , to be calculated as follows :

     #    Starting GST %   =    18 %

    #     Assume that , in 2016-17 , CPI rises by 10 %

    #     Take  5 %  of that 10 % rise in CPI .   That works out to 0.5 %

    #     So , in 2017-18 , GST may be raised by 0.5 % , to become 18.5 %

    #     This is the UPPER LIMIT . Government may choose to revise GST to any
           figure less than 18.5 %


This is a perfect  FACE SAVING  FORMULA / a WIN-WIN situation for both  !

This is not a matter of , " WHO is right ? "

This is a question of ,   " WHAT is right ? "


Carpe  Diem !  Cease this moment to strike a deal by today evening  !


Good Luck  !

---------------------------------------------------------------------------------------------
hemen  parekh

28  Nov  2015

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Thursday, 26 November 2015

SURROGATE COW FARMS ?




Speaking at a Start-Up event at San Jose ( California ) on 27th Sept, PM Shri Modi said :


"  When each of the 500 odd towns produce 10 Start-Ups and each of our 600,000 villages produce six small businesses , on a regular basis , we will create an enormous economic momentum and generate a large number of jobs in our country

I want to see the idea and spirit of Start Ups light up the economies and the fortunes of people in rural India  "


Entirely doable . Consider the following suggestion :


*  Chinese biotechnology firm BoyaLife and South Korea's Sooam Biotech , are constructing in China, World's largest animal cloning factory

*  Production will start next year , with an initial capacity for one lakh cattle embryos a year , growing to one million per year

*  Dog , racehorse and COW embryos  will be produced


Obviously , BoyaLife will need to " rent out " cow-wombs , to grow / nurture these embryos

And that is THE OPPORTUNITY , to be seized by our rural Start-Ups  !

By setting up , " Surrogate Cow Farms " of 10 cows each

Then renting out these cow-wombs to BoyaLife , for $ 1,000 per surrogacy ( In city of Anand - Gujarat , human wombs can be rented out for $ 15,000 )

One million cow-wombs will earn these rural Start Ups , $ 1,000 million / year  !

At 10 cows per Start Ups , 100,000 Start Ups will be born  !

Raising our EXPORT earnings by $ 1,000 million  !

And nothing should stop these rural Start Ups from importing embryos of Dogs and Racehorses , and then re-exporting fully grown pets to Europe / America  !

I only hope , some MORAL POLICEMEN do not start a controversy by shouting :

"  How can we allow our holy Indian cows , to bear the unholy Chinese cattle embryos in their wombs , when we just banned our surrogate human mothers to carry the embryos of Foreign citizens  ? "


Of course , it is another story that these very same " moralists " have no love lost for the prostitutes who are forced to " rent out " their very human bodies , in order to survive  !

One last request to the concerned Ministers / Secretaries in NDA government :

Please , include these " Surrogate Cow Farms " in your definition of Start Ups in your proposed 

" Start Up Policy Document "

It is another matter that , each and every jobless individual ( not earning a salary from some other individual or organization ) , and struggling to become self-employed , qualifies as a Start Up

-----------------------------------------------------------------------------------------

hemen  parekh

27  Nov  2015

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THEFTS CAN BE OBSOLETE !




Yesterday ( 26 Nov 2015 ) , a Cash Van driver in Delhi , escaped with Rs 22 Crores worth of cash

Obviously this heist consisted of currency notes in denominations of Rs 500  and  Rs 1,000

Now such thefts would become a thing of the past if my following suggestion (  sent to Central Ministers /  Secretaries  /  NITI Aayog members  etc  ) , were to be implemented :

-----------------------------------------------------------------------------------------

#   Internet of Things ( IoT )

     As each currency note of Rs 500 / 1000 , is getting printed , embed it with microscopic
     RFID chips

     Besides communicating with each other , these chips will also transmit their existence
     location , through internet , to cloud-based servers of Income Tax Department

     This will form a " NETWORK  OF  CURRENCY  NOTES ( NoC ) "

     You may like to call this Internet of Currency ( IoC ) , a sub-set of IoT  !



#   Internet Protocol Address System ( IP V 6.0 )

     Each Rs 500 / 1000 currency note must be assigned ( at the time of printing ) , its own
     unique Internet Address , using IP V 6.0

     This IP address should be linked with the unique Serial Number printed on each note.

     Since IP V 6.0 , will be capable of assigning   " 2 * 10 to the power of 128 ", no of  IP
     addresses , there is no danger of running out of addresses , even if we decide to extend
     this idea to Rs 100 currency notes !


Here are the most important BYE - PRODUCTs :


*   No more possibility of fake / forged / counterfeit , currency notes !


*   Plastic currency notes will last 10 times longer !

    
    
This reform will enable the Central Government / Income Tax Department , to :

*    Continuously trace the movement of each of these higher denomination currency notes

*    Instantly locate any place ( using Google Map based GPS ) , where there is an
     accumulation of more than Rs 1 Crore worth of currency notes

     Such accumulation will be made to appear as a TAG CLOUD on the web site of IT Dept,
     like thousands of balloons floating on a map of India , capable of being drilled down to
     within 1 Sq Meter  !

     On each balloon , will appear a number announcing , " Amount of Cash here - Rs " !

     This will vastly simplify the task of Anti Corruption Dept / Enforcement Dept etc
Of course , RBI will need to allow 6 month's time to the owners of current paper currency notes of Rs 500 / 1000 , to get these exchanged with new plastic notes before withdrawal of the old notes from circulation


Now , would not that distribute the hidden , unaccounted wealth ! - a welcome fall out  !

But then such transparency might lead to break-down of social order / chaos

It may be a better / safer / saner solution for such balloons / tag clouds to appear , on a secret Mobile App , available only to the officers of Enforcement Department ( ED )


You may want to call this app ,  " BLACK-MAIL "  !

-----------------------------------------------------------------------------------------

hemen   parekh

27  Nov   2015

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Sunday, 22 November 2015

Thank You , Policy Makers !




Dear  Policy  Makers :


I just came across following news report:

------------------------------------------------------------------------------------------------------


Financial Intelligence Unit to generate reports on black money suspects in 72 hours 

( Source : Economic Times / 22 Nov 2015 )




NEW DELHI:

Government has bolstered the capabilities of the elite Financial Intelligence Unit (FIU), which can now dish out volumes of data on suspicious transactions in 72-hours flat and gain access to

   " secret database of offenders maintained by various law
    enforcement agencies in the country. "

Earlier, when an agency wanted to get any information on financial transactions and other similar details on entities on its scanner the time taken used to be between a fortnight to 20 days.

The elite financial snoop wing under the Union Finance Ministry has switched to

 full electronic mode for exchange of data,

 from the earlier existing paper-based pattern, with all probe and enforcement agencies of the country like the Income Tax department, CBI, ED, DRI and Intelligence Bureau among others, beginning November 1. 

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Thank you for listening - and acting on my following suggestion , sent to you sometime back

(  Source : www.hemenparekh.in > Blogs  /   E - Governance   /   03 April 2014  )







E - Governance ?



Can e-Governance help eliminate corruption  ?


Most certainly


Look at the following , partial list of Central and State Agencies set up to fight fraud , money-laundering , corruption , tax-evasion , economic crimes etc :



*    Public Accounts Committee           (  PAC  )


*    Central Vigilance Commission        (  CVC  )


*    Central Information Commission     (  CIC  )


*    Research and Analysis Wing           (  RAW  )


*    Serious Fraud Investigation Office   (  SFIO  )


*    Information Bureau                        (  IB   )


*    Economic Offence Wing                   (  EOW  )


*    Central Bureau of Investigation        (  CBI  )


*    Department of Revenue Intelligence (  DIR  )


*    Comptroller and Auditor General       (  CAG  )


*    Anti Corruption Bureaus ( States )     (  ACB  )


*    Enforcement Directorate                    (  ED   )


*    Lok  Ayukts                                      (  States   )


*    Lok Pal                                             ( Central  )




Despite such an army of Agencies , how do corrupt manage to get away  ?


Or , in case caught , manage to delay delivery of punishment for years  ?


No doubt , there must be several reasons , including , inter - agency rivalry to get credit - something difficult to eliminate altogether


But , I believe , the most important reason is :



Lack of a  COMMON  / COMPUTERIZED  database of all offences / cases / persons being investigated,

- which is readily " Accessible " to all of these Agencies , all over the country ( 24 * 365 )



Already , every Agency compiles huge dossiers on " Suspects " in its own 
" Departmental Database " , which is never shared with other Agencies ,
leading to ,


*   Huge amount of duplication of efforts / information


*   Fractured / scattered profiles of " Suspects "


*   Enormous waste of time / resources



What will help  ?



*     Dismantling of individual departmental databases


*     Merging of all Agency-wise databases into a SINGLE / UNIQUE database


*     All Agencies to enter their findings / data / info into this COMMON
       database , with nothing preserved on local computers


*     All data-entry  FORMS   to be   ONLINE  .  No paper forms at all


*     All local computers connected to ultra-secure Network ( Encrypted )


*    " Access Rights " to individuals , based on Biometric Identification




Will BJP want to make this , a prominent promise in their Poll-Manifesto , likely to be released on 7th April  ?  ( Congress /  AAP missed this boat  ! )


It is high time political parties stop talking of motherhood in vague terms and start telling the voters ,


" If you vote us to power , this is precisely what we will do , to bring about E-GOVERNANCE  -  and do it within 6 months of assuming power  "



*  hemen  parekh  (  04  April  2014  /  Mumbai  ) ..www.hemenparekh.in > Blogs

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hemen  parekh
23  Nov  2015
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Thursday, 19 November 2015

Making Molehill out of Mountain ?



Yes , you read it right  !

How else can you describe the following ?

*   Gold Monetization Scheme managed to garner 400 gms of Gold in first 15 days

     Extrapolate to 100 Kg in a year ( give benefit of doubt )

     How many years to attract all of 20,000 TONNES , estimated to have been hoarded by
     Indian citizens  ? ( Valued at Rs 52 LAKH*CRORES )

     Correct answer : 200,000 years


*  SIT appointed by Govt , managed to uncover ( not get back ) , Rs 10,000 Crores worth of
    black money , illegally stashed abroad by Indians ( approx $ 2 Billion ) , in one year.

    How many years will it take to bring out into open , $ 2000 Billion worth of domestically
    hidden black money ( Gold / Land / benami assets etc )  ?

    Correct answer : NEVER


Why this ignominy  ?  -  this miserable failure  ?


Simple . There is no power / law on Earth , which can vanquish " Human Greed "

But there is a way to bridge the divide between " Greed " and " Goodwill "

By harnessing the " GREED " to lead India to " GREATNESS  "

By :

*   Abolishing Personal Income Tax ( Revenue loss of Rs 2.4 Lakh*Crores )

*   No questions asked for any amount of cash deposited in Jan Dhan Yojana bank accounts

*   By launching  SPVs for , Infrastructure / Health / Education / Renewable Energy /
     Electric Transport  /  Green Cover Forestry / Affordable Housing / Smart Cities etc

*   No questions asked as to the source of funds invested in such SPVs ( Amnesty Scheme )

*   Dividend / Interest from such SPVs to be directly credited to Jan Dhan bank accounts

*   Introduction of Bank Transaction Tax ( BTT ) @ 2% to yield revenue of Rs 15 lakh*crore

*   2 % ( out of 27 % ) of GST , to be directly deposited in the PPF a/c of the buyer

    ( This will ensure that all citizens have PPF account )

 *   This 2 % to be used to pay the premium for that person's health insurance


This is , in my opinion , the surest / fastest / least controversial method to :

#   Solve the problem of BLACK MONEY for ever

#   Put that $ 2000 Billion worth of BLACK MONEY to productive use

#   Generate 100 million jobs in 5 years (to take care of addition of 12 million to workforce )

#   Raise GDP to 10 % by 2016-17


Best feature of my proposal :

No need to beg the opposition to pass any BILL in
Rajya Sabha
  !


-------------------------------------------------------------------------------------------------------

hemen  parekh

20  Nov  2015

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