Tuesday, March 28, 2006

Did you jump the gun, Mr Narayana Murthy?

Yes, none other than Mr Narayana Murthy has uttered those words of praise. The man who has contributed significantly in making a brand out of 'Bangalore', one who has taught thousands that dreams can turn into reality, the simple guy with his head firmly on shoulders despite his phenomenal success, has declared that the new Chief Minister is well on his way to making Bangalore a better city!
So, could there be no substance at all when a leader of his stature makes so positive a statement? Perhaps, there is substance in it. He must be seeing things from a different angle from what an ordinary blog like Clearway sees. And that possibly is the reason why I'm not convinced if the new government really deserves the dose of optimism that comprises his comment! For someone like me, there needs to be concrete evidence right in front of my eyes that things have taken a turn for the better. That, probably, is the reason why I'm not yet where he is!
Still, what has actually been done to evoke such an upbeat response from the Infosys guy? Is it Kumaraswamy's promise to turn Bangalore around in 3 months when the Siemens Chief decided to put his expansion plans on the back burner? Or, is it the way Kumaraswamy and his better half enjoyed a ride in the Metro Rails of New Delhi and asserted that Metro was precisely what the Doctor ordered? Or, is it, to quote Narayana Murthy himself, that he was "grateful to the government for approving the Infosys proposal to acquire land at Sarjapur. We will soon buy land through KIADB, at market rates. We are looking at around 845 acres” that made Mr Murthy an exalted person?
Well, I'm confused. But Clearway is pretty sure it's the last of the three reasons - for the simple reason, that the two quotes were from the same man, spoken at the same occassion. And Mr Murthy was the victim when a peasant called Deve Gowda made him quit his post over the land issue. Is it not only natural that Murthy feels pacified with the goodwill gestures by the new Government?
Rightly so. Murthy has every reason to be jubilant. But, to attribute the gesture to a "reformed face" of a government that has let the roads overflow with vehicles and fill with smoke before mulling over an alternative form of public transport, with the Chief Minister still in his Probation period, might just be a bit too much to digest! Of course, as has already been stated (almost akin to a disclaimer), Mr Murthy might be seeing things from a different perspective from Clearway's and hence might be viewing a different picture - but Clearway is NOT Infosys and it adamantly has an opinion that is different from that of the IT giant's mentor!


Mridula said...

Good reasoning.

Bhupesh said...

Software industry does not require an integrated environment like a large manufacturing plant or like steel plant or a dam/power project. Even when these industries are given land those are in mostly in very remote area. So why so much land for Infosys that is also very near to city.

What is market price? Why Govt should assist Infosys in occupying land?

Always this reason is given that if they are doing on Market price what' the problem.

What is market price? See off market large deals of Pantaloon (Big bazaar) shares, they are at 25% premium to market price. If more demand come price will further move up. Getting bulk land through govt acquisition will not happen on true market price. If tomorrow Govt come to Infy founders and says Warren Buffet want to invest in India please sell your 10-12% (whatever) shares to him on market price. It will bring some $$ for infrastructure projects to India. Will they be willing to sell their shares on market price.

Land is also a natural resource all have equatable right on that.

There is not only one company Infy who has done India proud. There are other like TCS (see big deals which TCS is able to do), Satyam, Wipro. Only difference is they are not media savy.

Any way politician are hope less and greedy people on this earth.

If still Infy feels they require land and that because of infrastructure problem. I propose following solution.

*Govt float a 30 year bond in market. (Insurance companies will be interested buying big share of these bonds).
*Buy land from this money with a premium to market price and allocate a part of bonds to land owners.
*Give land to companies to build township and office complex on BOT concept (Build Operate Transfer concept). Let them use it for 25 - 30 years and then transfer it to Govt in phases. That time this property can be auctioned/rented to pay for bonds.

This scheme ensure:
development not land grabbing as 25 year time start when land is allocated.
opportunity to all.