Letter to Chief Minister of Karnataka

 16^th December 2013
 

Dear Shri Siddaramaiah 

Sub: Bangalore suffering from corruption, misuse of funds and vested interests, not necessarily shortfall in revenue 

It is with considerable concern that I have read your statement that Bruhat Bangalore Mahanagara Palike (BBMP) has no funds to take up development projects for Bangalore. 

Bangalore as a city is vital to our state, being a gateway for investments and economic activity. Therefore, its financial health – which is the only guarantor of its sustainable and planned growth and expansion - is even more critical. BBMP is not only the symbol of political devolution in the city, but it is also the most important administrative institution that delivers public service and maintains and expands public infrastructure. And so, it is distressing and worrying to most citizens, myself included, that BBMP is teetering on financial bankruptcy. 

I reject the notion that our city - with 8 million inhabitants, million tax payers and many sources of revenue like Road tax, property tax, significant public assets like Land etc., and which contributes to 30% of the state’s GDP – is financially bankrupt. The real reason relates to misappropriation of Government funds and public assets due to rampant corruption, wasteful & unplanned expenditure and deeply entrenched vested interests that have cast their ugly shadow on Bangalore’s governance. 

This situation has come to pass because of poor Governance and corruption over the last several years continued by successive Governments. It is high time that the decline in Governance of our city is brought to a stop. It is obvious that the reasons for the current situation are: 

a.   Lack of proper long term transparent planning for the city – Bangalore needs a proper statutory long term plan, including a financial plan.

b.   Very inefficient use of financial resources with a highly corrupt and compromised contracting system that is driven more by vested interests rather than plans.  Contracting and use of money must be more transparent, competitive and efficient.

c.   Deliberate refusal to plug loopholes in revenue collection. Expand Tax coverage, establish targets and Prosecute all officials that are complicit in revenue leakages.

d.   Extremely opaque utilization of Government assets like Land and buildings – used not to maximize financial resources, instead to favour vested interests. – Land encroached by commercial interests must be taken back. Public land must only be leased or sold at market rates to maximize financial resources for city. Involve RWAs in budget and use of money.

e.   Failure to tap obvious sources of revenue. Generate additional revenues by developing Bangalore into a tourist and conference hub with events in entertainment, business to attract tourists from all over the world.

f.     Failure to attract sufficient private investments into PPPs to supplement or replace Government expenditure. Attract private investments into Urban infrastructure and services, through properly laid out contracts and commercial terms. 

The finances of Bangalore must be put back on track urgently and must include a long term sustainable financial plan. Those of us for whom Bangalore is home and are anguished about the exploitation of our city, believe you must intervene and deliver the leadership that our city deserves since Bangalore is a substantive part of your portfolio of responsibility. Compounding violations through Akrama Sakrama etc. in the guise of revenue realization is contrary to Good Governance, and instead, encourages a culture of violation and corruption. 

The citizens, resident welfare associations (RWAs) and investors are frustrated with the rampant corruption, non-transparency, flawed contracts and vested interests that is driving the city’s strategy. This must stop. If residents at grassroots and through RWAs are involved in matters of financing, budgeting and city planning / expenditure, such waste of resources will stop and public money will be used in accordance with the priorities determined by the citizens of Bangalore. 

Recent events in Delhi have shown that people are determined to get a change in how Governments govern. The citizens of Bangalore will undoubtedly respond similarly if the decline of the city continues and the city’s future continues to be driven by vested interests. Bangalore has the youngest, brightest and most committed minds in the country as residents.  Without doubt, they would be willing to work with the Government to solve such important, but simple issues of financing and rebuilding the future of our city. 

Your Government has been elected on a promise of Governance, and to make good this promise, your Government and you must urgently deliver.  This can start by making public its strategy for Governance, budgeting and expenditure of our city in a transparent manner with a commitment to remove corruption at the earliest. 

I look forward to your response at the earliest.

Yours sincerely,
RAJEEV CHANDRASEKHAR

 Shri Siddaramiah
Chief Minister
Government of Karnataka
Bangalore