Yesterday my wife pointed out to me an excellent article in Gujarati News Paper - Janmabhoomi Pravasi - about a convocation speech given by film actor Balraj Sahni in 1972. I wondered, what would an actor - however great his acting would have been - would say which would help any one to learn something new or encourage new graduates to go out and conquer the world. I remembered great convocation speech by Subrato Bagchi - 'Go kiss the world' and few more.
It was only after I read the condensed speech and supporting material that I realised how great a person had been Balraj Sahni - ordinarily known as a good film actor. I told my wife that his speech reminds me of speeches by past President, Shri Abdul Kalam. Also, I was reminded of great articles written by Salim Khan, an actor and father of famous hero Salman Khan from Bollywood.
Balraj Sahni was a post graduate in English literature and taught English and Hindi at Shantiniketan and served as a radio announcer in BBC at London before he forayed in to acting.
The speech is rather long and is reproduced below. For impatient readers, I would like to high light few points that touched my heart:
1. He spoke from his heart and that too only about those things that he had thought and experienced himself.
2. Excessively busy people tend to get cut off from all the currents of life and not only does he sacrifice the pleasures of normal family life, but he also has to ignore his intellectual and spiritual needs. (Most busy and successful people do not realise this and most part of their life passes away like a flash of light and suddenly they find themselves at the end of road, veiling that they did not look after their own intellectual and spiritual needs. Too sad.)
3. Although days are slavery have been over more than half an century ago, Indian mind is still enslaved. It has to break free and learn to think independently. (Particularly I feel very sad when I see thousands of young, bright and energetic people who have become slaves of overseas MNCs and our pathetic educational and political system.)
4. Even after lapse of 40 years after he gave this speech, situation has not changed much. What he said is still true today. Isn't a great shame?
I won't take much of your time. Time to read the entire speech.
Balraj Sahni's Convocation Address at Jawaharlal Nehru University
New Delhi, 1972
About twenty years ago, the Calcutta Film Journalists' Association decided to honour the late Bimal Roy, the maker of Do Bigha Zameen and us, his colleagues. It was a simple but tasteful ceremony. Many good speeches were made, but the listeners were waiting anxiously to hear Bimal Roy. We were all sitting on the floor, and I was next to Bimal Da. I could see that as his turn approached he became increasingly nervous and restless. And when his turn came he got up, folded his hands and said, “Whatever I have to my I say if in my films. I have nothing more to say,” and sat down.
There is a lot in what Bimal Da did, and at this moment my greatest temptation is to follow his example. The fact that I am not doing so is due solely to the profound regard I have for the name which this august institution bears; and the regard I have for yet another person, Shri P.C. Joshi, who is associated with your university. I owe to him some of the greatest moments of my life, a debt which I can never repay. That is why when I received an invitation to speak on this occasion, I found it impossible to refuse. If you had invited me to sweep your doorstep I would have felt equally happy and honoured. Perhaps that service would have been more equal to my merit.
Please do not misunderstand me. I am not trying to be modest. Whatever I said was from my heart and whatever I shall say further on will also be from my heart, whether you find it agreeable and in accordance with the tradition and spirit of such occasions or otherwise. As you may know, I have been out of touch with the academic world for more than a quarter of a century. I have never addressed a University Convocation before.
It would not be out of place to mention that the severance of my contact with your world has not been voluntary. It has been due to the special conditions of film making in our country. Our little film world either offers the actor too little work, forcing him to eat his heart out in idleness; or gives him too much --so much that he gets cut off from all other currents of life. Not only does he sacrifice the pleasures of normal family life, but he also has to ignore his intellectual and spiritual needs.
In the last twenty-five years have worked in more than one hundred and twenty five films. In the same period a contemporary European or American actor would have done thirty or thirty-five. From this you can imagine what a large part of my life lies buried in strips of celluloid. A vast number of books which I should have read I have not been able to read. So many events I should have taken part in have passed me by. Sometimes I feel terribly left behind. And the frustration increases when I ask myself how many of these one hundred and twenty-five films had anything significant in them? How many have any claim to be remembered? Perhaps a few. They could be counted on the fingers of one hand. And even they have either been forgotten already or will be, quite soon.
That is why I said I was not being modest. I was only giving a warning, so that in the event of my disappointing you, you should be able to forgive me. Bimal Roy was right. The artist's domain is his work. So, since I must speak, I must confine myself to my own experience to what I have observed and felt, and wish to communicate. To go outside that would be pompous and foolish.
I'd like to tell you about an incident which took place in my college days and which I have never been able to forget. It has left a permanent impression on my mind.
I was going by bus from Rawalpindi to Kashmir with my family to enjoy the summer vacation. Half-way through we were halted because a big chunk of the road had been swept away by a landslide caused by rain the previous night. We joined the long queues of buses and cars on either side of the landslide. Impatiently we waited for the road to clear. It was a difficulty job for the P.W.D. and it took some days before they could cut a passage through. During all this time the passengers and the drivers of vehicles made a difficult situation even more difficult by their impatience and constant demonstration. Even the villagers nearby got fed up with the high-handed behaviour of the city-walas.
One morning the overseer declared the road open. The green- flag was waved to the drivers. But we saw a strange sight. No driver was willing to be the first to cross. They just. stood and stared at each other from either side. No doubt the road was a make-shift one and even dangerous. A mountain on one side, and a deep gorge and the river below. Both were forbidding. The overseer had made a careful inspection and had opened the road with a full sense of responsibility. But nobody was prepared to trust his judgment, although these very people had, till yesterday, I accused him and his department of laziness and incompetence. Half an hour passed by in dumb silence. Nobody moved.
Suddenly we saw a small green sports car approaching. An Englishman was driving it; sitting all by himself. He was a bit surprised to see so many parked vehicles and the crowd there. I was rather conspicuous, wearing my smart jacket and trousers. "What's happened?" he asked me.
I told him the whole story. He laughed loudly, blew the horn and went straight ahead, crossing the dangerous portion without the least hesitation.
And now the pendulum swung the other way. Every body was so eager to cross that they got into each other's way and created a new-confusion for some time. The noise of hundreds of engines and hundreds of horns was unbearable.
That day I saw with my own eyes the difference in attitudes between a man brought up in a free country and a man brought up in an enslaved one. A free man has the power to think, decide, and act for himself. But the slave loses that power. He always borrows his thinking from others, wavers in his decisions, and more often than not only takes the trodden path.
I learnt a lesson from this incident, which has been valuable to me. I made it a test for my own life. In the course of my life, whenever I have been able to make my own crucial decisions, I have been happy. I have felt the breath 'of freedom on my face. I have called myself a free man. My spirit has soared high and I have enjoyed life because I have felt there is meaning to life.
But, to be frank, such occasions have been too few. More often, than not I had lost courage at the crucial moment, and taken shelter under the wisdom of other people. I had taken the safer path. I made decisions which were expected of me by my family, by the bourgeois class to which I belonged, and the set of values upheld by them. I thought one way but acted in another. For this reason, afterwards I have felt rotten.
Some decisions have proved ruinous in terms of human happiness. Whenever I lost courage, my life became a meaningless burden.
I told you about an Englishman. 1 think that in itself is symptomatic of the sense of inferiority that I felt at that time. I could have given you the example of Sardar Bhagat Singh who went to the gallows the same year. I could have given you the example of Mahatma Gandhi who always had the courage to decide for himself. I remember how my college professors and the wise respectable people of my home town shook their heads over the folly of Mahatma Gandhi, who thought he could defeat the most powerful empire on earth with his Utopian principles of truth and non-violence. I think less than one per cent of the people of my city dreamt that they would see India free in their lifetime. But Mahatma Gandhi had faith in himself, in his country, and his people. Some of you may have seen a painting of Gandhiji done by Nandlal Bose. It is the picture of a man who has the courage to think and act for himself.
During my college days I was not influenced by Bhagat Singh or Mahatma Gandhi. I was doing my M.A. in English literature from the most magnificent educational institution in the Punjab-the Government College in Lahore. Only the very best students were admitted to that college. After independence my fellow students have achieved the highest positions in India and Pakistan, both in the government and society. But, to gain admission to this college we had to give a written undertaking that we would take no interest in any political movement-which at that time meant the freedom movement.
This year we are celebrating the twenty-fifth anniversary of our independence. But can we honestly say that we have got rid of our slavish mentality--our inferiority complex?
Can we claim that at the personal, social, or institutional level, our thinking, our decisions, or even our actions are our own and not borrowed? Are we really free in the spiritual sense? Can we dare to think and act for ourselves, or do we merely pretend to do so-merely make a superficial show of independence.
I should like to draw your attention to the film industry to which I belong. I know a great many of our films are such that the very mention of them would raise a laugh among you. In the eyes of educated intelligent people, Hindi films are nothing but a tamasha. Their stories are childish, unreal, and illogical. But their worst fault, you will agree with me, is that their plots, their technique, their songs and dances, betray blind, unimaginative, and unabashed copying of films from the west. There have been Hindi films which have been copied in every detail from some foreign film. No wonder that you young people laugh at us, even though some of you may dream of becoming stars yourselves.
It is not easy for me to laugh at Hindi films. I earn my bread from them. They have brought me plenty of fame and wealth. To some extent at least, I owe to Hindi films the high honour which you have given me today.
When I was a student like you, our teachers, both English and Non-English, tried to convince us in diverse ways that the fine arts were a prerogative of white people. Great films, great drama, great acting, great painting, etc., were only possible in Europe and America. The Indian people, their language and culture, were as yet too crude and backward for real artistic expression. We used to feel bitter about this and we resented it outwardly: but inwardly we could not help accepting this judgment.
The picture has changed vastly since then. After independence India has made a tremendous recovery in every branch of the arts. In the field of film making, names like Satyajit Ray and Bimal Roy stand out as international personalities. Many of our artistes, cameramen and technicians compare with the best anywhere in the world. Before independence we hardly made ten or fifteen films worth the name. Today we are the biggest film producing country in the world. Not only are our films immensely popular with the masses in our own country, but also in Pakistan, Afghanistan, Iran, the Eastern Republics of the Soviet Union; Egypt, and other Arab countries in the Far East and many African countries. We have broken the monopoly of Hollywood in this field.
Even from the aspect of social responsibility, our Indian films have not yet degenerated to the low level to which some of the western countries have descended. The film producer in India has not yet exploited sex and crime for the sake of profit to the extent that his American counterpart has been doing for years and years-thus creating a serious social problem for that country.
But all these assets are negated by our one overwhelming fault-that we are imitators and copyists. This one fault makes us the laughing stock of intelligent people everywhere. We make films according to borrowed, outdated formulas. We do not have the courage to strike out on our own, to get to grips with the reality of our own country, to present it convincingly and according to our own genius.
I say this not only in relation to the usual Hindi or Tamil box office films. I make this complaint against our so-called progressive and experimental films also, whether they be in Bengali, Hindi, or Malayalam. I do not lag behind anyone else in admiring the work of Satyajit Ray, Mrinal Sen, Sukhdev, Basu Bhattacharjee, or Rajinder Singh Bedi. I know they are highly and deservingly respected;but even then I cannot help saying that the winds of fashion in Italy, France, Sweden, Poland, or Czechoslovakia have an immediate effect on their work. They do break new ground, but only after someone else has broken it.
In the literary world, in which I have considerable interest, I see the same picture. Our novelists, story writers, and poets are carried away with the greatest of ease by the currents of fashion in Europe, although Europe, with the exception of the Soviet Union perhaps, is not yet even aware of Indian writing. For example, in my own province of the Punjab there is a wave of protest among young poets against the existing social order. Their poetry exhorts the people to rebel against it, to shatter it and build a better world free from corruption, injustice, and exploitation. One cannot but endorse that spirit wholeheartedly, because, without question, the present social order needs changing.
The content of this poetry is most admirable, but the form is not indigenous. It is borrowed from the west. The west has discarded meter and rhyme, so our Punjabi poet must also discard it. He must also use involved and ultra-radical imagery. The result is that the sound and fury remains only on paper, confined to small, mutually admiring literary circles. The people, the workers and the peasants who are being exhorted to revolution, cannot make head or tail of this kind of poetry. It just leaves them cold and per The content of this poetry is most admirable, but the form is not indigenous. It is borrowed from the west. The west has discarded meter and rhyme, so our Punjabi poet must also discard it. He must also use involved and ultra-radical imagery. The result is that the sound and fury remains only on paper, confined to small, mutually admiring literary circles. The people, the workers and the peasants who are being exhorted to revolution, cannot make head or tail of this kind of poetry. It just leaves them cold and perplexed. I don't think I am wrong if I say that other Indian languages too are in the grip of "new wave" poetry.
I know next to nothing about painting. I can't judge a good one from a bad one. But I have noticed that in this sphere also our painters conform to current fashions abroad. Very few have the courage to swim against the tide.
And what about the academic world? I invite you to I look into the mirror. If you laugh at Hindi films, maybe you are tempted to laugh at yourselves.
This year my own province honoured me by nominating me to the senate of Guru Nanak university. When the invitation to attend the first meeting came, I happened to be in the Punjab, wandering around in some villages near Preet Nagar-the cultural centre founded by our great writer S. Gurbakhsh Singh. During the evening's gossip I told my villager friends that I was to go to Amritsar to attend this meeting and if anyone wanted a lift in my car he was welcome. At this one of the company said, "Here among us you go about dressed in tehmat-kurta, peasant fashion; but tomorrow you will put on your suit and become Sahib Bahadur again." "Why," I said laughingly, "if you want I will go dressed just like this." "You will never dare," another one said. "Our sarpanch Sahib here removes his tehmat and puts on a pyjama whenever he has to go to the city on official work. He has to do it, otherwise, he says, he is not respected. How can yon go peasant-fashion to such a big university?" A jawan who had come home on leave for the rice sowing added, "Our sarpanch is a coward. In cities even girls go about wearing lungis these days. Why should he not be respected?"
The gossip went on, and, as if to accept their challenge, I did make my appearance in the Senate meeting in tehmat-kurta. The sensation I created was beyond my expectation. The officer-perhaps, professor-who was handing out the gowns in the vestibule could not recognize me at first. When he did he could not hide his amusement, "Mr Sahni, with the tehmat you should have worn khosas-not shoes," he said, while putting the gown over my shoulders. "I shall be careful next time," I said apologetically and moved on. But a moment later I asked myself, was it not bad manners for the professor to notice or comment on my dress? Why did I not point this out to him? T felt peeved' over my slow-wittedness.
After the meeting we went over to meet the students. Their amusement was even greater and more eloquent. Many of them could not help laughing at the fact that I was wearing shoes with a tehmat. That they were wearing chappals with trousers seemed nothing extraordinary to them.
You must wonder why I am wasting your time narrating such trivial incidents. But look at it from the point of view of the Punjabi peasant. We are all full of admiration for his contribution to the green revolution. He is the backbone of our armed forces. How must he feel when his dress or his way of life is treated as a matter of amusement?
It is well-known in the Punjab that as soon as a village lad receives college education he becomes indifferent to the village. He begins to consider himself superior and different, as if belonging to a separate world altogether. His one ambition is to somehow leave the village and run to a city. Is this not a slur on the academic world?
I agree that all places are not alike. I know perfectly well that no complex against the native dress exists in Tamil Nadu or Bengal. Anyone from a peasant to a professor can go about in a dhoti on any occasion. But I submit that the habit of borrowed and idealized thinking is present over there too. It is present everywhere, in some form or degree. Even twenty-five years after independence we are blissfully carrying on with the same system of education which was designed by Macaulay and Co. to breed clerks and mental slaves. Slaves who would be incapable of thinking independently of their British masters; slaves who would admire everything about the masters, even while hating them; slaves who would consider it an honour to be standing by the side, of the masters, to speak the language of the masters, to dress like the masters, to sing and dance like the masters; slaves, who would hate their own people and would be available .to preach the gospel of hatred among their own people. Can we then be surprised if the large majority of students in universities are losing faith in this system of education?
Let me go back to trivialities again. Ten years ago, if you asked a fashionable student in Delhi to wear a kurta with trousers he would have laughed at you. Today, by the grace of the hippies and the Hare Rama Hare Krishna cult, not only has the kurta-trousers combination become legitimate, but even the word kurta has changed to guru-shirt. The sitar became a star instrument with us only after the Americans gave a big welcome to Ravi Shankar, just as fifty years ago Tagore became Gurudev all over India only after he received the Nobel Prize from Sweden.
Can you dare to ask a college student to shave his head, moustache, and beard when the fashion is to put the barbers out of business? But if tomorrow under the influence of Yoga the students of Europe begin to shave their heads arid faces, I can assure you that you will begin to see a crop of shaven skulls all over Connaught Circus the next day. Yoga has to get a certificate from Europe before it can influence the home of its birth.
Let me give another example-a less trivial one.
I work in Hindi films, but it is an open secret that the songs and dialogues of these Hindi films are mostly written in Urdu. Eminent Urdu writers and poets-Krishan Chandar, Rajinder Singh Bedi, K. A. Abbas, Gulshan Nanda Sahir Ludhianwi, Majrooh Sultanpuri, and Kaifi Azmi are associated with this work.
Now, if a film written in Urdu can be called a Hindi film, it is logical to conclude that Hindi and Urdu are one and, the same language. But no, our British masters declared them two separate languages in their time. Therefore, even twenty-five years after independence, our government,: our universities, and our intellectuals insist on treating them as two separate and independent languages. Pakistan radio goes on ruining the beauty of this language by thrusting into it as many Persian and Arabic words as possible; and All India Radio knocks it out of all shape by pouring the entire Sanskrit dictionary into it. In this way they carry out the wish of the Master, to separate the inseparable. Can anything be more absurd than that? If the British told us that white was black, would we go on calling white black for ever and ever? My film colleague Johnny Walker remarked the other day, "They should not announce 'Ab Hindi mein samachar suniye' they should say, 'Ab Samachar mein Hindi suniye.'
I have discussed this funny situation with many Hindi and Urdu writers-the so-called progressive as well as non progressive; I have tried to convince them of the urgency to do some fresh thinking on the subject. But so far it has been like striking one's head against a stone wall. We film people call it the "ignorance of the learned." Are we wrong?
Lastly, I would like to tell you about a hunch I have, even at the risk of boring you. A hunch is something you can't help having. It just comes. Ultimately it may prove right or wrong. May be mine is wrong. But there it is. It may even prove right-who knows?
Pandit Jawaharlal Nehru has admitted in his autobiography that our freedom movement, led by the Indian National Congress, was always dominated by the propertied classes-the capitalists and landlords. It was logical, therefore, that these very classes should hold the reigns of power even after independence. Today it is obvious to everyone that in the last twenty-five years the rich have been growing 'richer' and the poor have been growing poorer. Pandit Nehru wanted to change this state of affairs, but he couldn't. I don't blame him, because he had to face very heavy odds all along. Today our Prime Minister, Indira Gandhi, pledges herself to take the country towards the goal of socialism. How far she will be successful, I can't say. Politics is not my line. For our present purposes it is enough if you agree with me that in today's India the propertied classes dominate the government as well as society.
I think you will also agree that the British used the English language with remarkable success for strengthening their imperial hold on our country.
Now, which language in your opinion would their successors, the present rulers of India, choose to strengthen their own domination? Rashtrabhasha Hindi? By heavens, no. My hunch is that their interests too are served by English and English alone. But since they have to keep up a show of patriotism they make a lot of noise about Rashtrabhasha Hindi so that the mind of the public remains diverted.
Men of property may believe in a thousand different gods, but they worship only one-the God of profit. From the point of view of profit the advantages of retaining English to the capitalist class in this period of rapid industrialization and technological revolution are obvious. But the social advantages are even greater. From that point of view English is a God sent gift to our ruling classes.
Why? For the simple reason that the English language is beyond the reach of the toiling millions of our country. In olden times Sanskrit and Persian were beyond the reach of the toiling masses. That is why the rulers of those times had given them the status of state language. Through Sanskrit and Persian the masses were made to feel ignorant, inferior, uncivilized, and unfit to rule themselves. Sanskrit and Persian helped to enslave their minds, and when the mind is enslaved bondage is eternal.
It suits our present ruling classes to preserve and maintain the social order that they have inherited from the British. They have a privileged position; but they cannot admit it openly. That is why a lot of hoo-haw is made about Hindi as the Rashtrabhasha. They know very well that this Sanskrit-laden, artificial language, deprived of all modern scientific and technical terms, is too weak and insipid to challenge the supremacy of English. It will always remain a show piece, and what is more, a convenient tool to keep the masses fighting among themselves. We film people get a regular flow of fan mail from young people studying in schools and colleges. I get my share of it and these letters reveal quite clearly what a storehouse of torture the English language is to the vast majority of Indian students. How abysmally low the levels of teaching and learning have reached! That is why, I am told preferential treatment is being given to boys and girls who come from public schools i.e. schools to which only the children of privileged classes can go.
It is not necessary for me to comment on the efforts being made to strengthen English in every sphere of life, despite assurances to the contrary. They are all too obvious. It is admitted that English is too alien and hence too difficult to learn for the average Indian. And yet, it helps the capitalists and industrialists to consolidate their position on an all-India scale. That one consideration is more important than any other. According to them whatever serves their interest automatically serves national interest too. They are hopeful that in the not too distant future the people themselves will endorse their stand-that English should retain its present status for ever.
This was my hunch and I confided it one day to a friend of mine who is a labour leader. I told him that if we are serious about doing away with capitalism and bringing in socialism, we have to help the working class to consolidate itself on an all-India scale with the same energy as the capitalist class is doing. We have to help the working class achieve a leading role in society. And that can only be done by breaking the domination of English and replacing it with a people's language.
My friend listened to me carefully and largely agreed with me. "You have analyzed the situation very well," he said, "but what is the remedy?"
"The remedy is to retain the English script and kick out the English language," I replied.
"But how?"
"A rough and ready type of Hindustani is used by the working masses all over India. They make practical use of it by discarding all academic and grammatical flourishes. In this type of Hindustani, "Larka bhi jata hei" and "Larki bhi jata hei." There is an atmosphere of rare freedom in this patois and even the intellectuals indulge in it when they want to relax. And actually this is in the best tradition of Hindustani. This is how it was born, made progress, and acquired currency all over India. In the old days it was contemptuously called Urdu-or the language of the camps or bazaars.
Today in this bazaari Hindustani the word university becomes univrasti-a much better word than vishwa vidyalaya, lantern becomes laltain, the chasis of a car becomes chesi, spanner becomes pana, i.e. anything and everything is possible. The string with which the soldier cleans his rifle is called "pullthrough" in English. In Roman Hindustani it becomes fultroo–a beautiful word. "Barn-door" is the term the Hollywood lights man uses for a particular type of two blade' cover. The Bombay film worker has changed it to bandar, an excellent transformation. This Hindustani has untold and unlimited possibilities. It can absorb the international scientific and technological vocabulary with the greatest of ease. It can take words from every source and enrich itself. One has no need to run only to the Sanskrit dictionary."
"But why the Roman script?" my friend asked.
"Because no one has any prejudice against it," I said. "It is the only script which has already gained all-India currency. In north, south, east and west, you can see shop signs and film poster in this script. We use this script for writing addresses on envelopes and post cards. The army has been using it for the last thirty years at least."
My friend, the labour leader, kept silent for some time. Then he smiled indulgently and said, "Comrade, Europe also experimented with Esperanto. A great intellectual like Bernard Shaw tried his best to popularize the Basic English. But all these schemes failed miserably, for the simple reason that languages cannot be evolved mechanically; they grow spontaneously."
I was deeply shocked. I said, "Comrade, Esperanto is just that Rashtrabhasha which the Hindi Pandits are manufacturing in their studies, from the pages of some Sanskrit dictionary. I am talking of the language which is growing all round you, through the action of the people."
But I couldn't convince him. I gave more arguments, including the one that Netaji Subhash Bose and Jawaharlal Nehru were both strong advocates of Roman Hindustani, but that too failed to convince him. The question is not whether the comrade or I was right. Perhaps, I was wrong. Perhaps, my thinking was utopian, or "mechanical"-as he called it. As I said before, you can never say whether a hunch is going to be right or wrong. But the fun lies in having it, because to have a hunch is a sign of independent thinking. The comrade should have been able to appreciate that, but he couldn't, because it was difficult for him to get out of the grooves of orthodox thinking.
No country can progress unless it becomes conscious of its being-its mind and body. It has to learn to exercise its own muscles. It has to learn to find out and solve its own problems in its own way. But whichever way I turn I find that even after twenty-five years of independence, we are like a bird which has been let out of its cage after a prolonged imprisonment-unable to know what to do with its freedom. It has wings, but is afraid to fly into the open air. It longs to remain within defined limits, as in the cage.
Individually and collectively, we resemble Walter Mitty. Our inner lives are different from our outer lives. Our thoughts and actions are poles apart. We want to change this state of affairs, but we lack the courage to do anything different from what we have been doing all along-or different from what others expect us to do.
I am sure there must be some police officers in this country who in their hearts want to be regarded as friends rather than enemies of the public. They must be aware that in England the behaviour of the police towards the public is polite and helpful. But the tradition in which they have been trained is not the one which the British set for their own country but the one which they set for their colonies. So, the policeman is helpless. According to this colonial tradition, it is his duty to strike terror into anyone who enters his office, to be as obstructive and unhelpful as possible. This is the tradition which pervades every government office, from the chaparasi to the minister.
One of our young and enterprising producers made an experimental film and approached the Government for tax exemption. The minister concerned was being sworn into office the next day. He invited the producer to attend the ceremony, after which he would meet him and discuss the matter. The producer went, impressed by the informality with which the minister had treated him. As the minister was being sworn in, promising to serve the people truly, faithfully, and honestly, his secretary started explaining to the young producer how much he would have to pay in black money to the minister and how much to the others if he wanted the tax exemption.
The producer got so shocked and angry that he wanted to put this scene in his next film. But his financiers had already suffered a loss with the first one. They told him categorically not to make an ass of himself. In any case, if he had insisted in making an ass of himself the censors would never have passed the film, because it is an unwritten law that no policeman or minister is corrupt in our country.
But there is something which strikes me as being even funnier. Those same people who scream against ministers every day cannot themselves hold a single function without some minister inaugurating it, or presiding over it, or being the chief guest. Sometimes the minister is the chief guest and a film star is the president, or else the film star is the chief guest and the minister is the president. Some big personality has to be there, because it is the age old colonial tradition.
During the last war, I spent four years in England as a Hindustani announcer at the B.B.C. During those four years of extreme crisis I never even once set my eyes on a member of the British cabinet, including Prime Minister Churchill. But since independence I have seen nothing else but ministers in India, all over the place.
When Gandhiji went to the Round Table Conference in 1930, he remarked to British journalists that the Indian people regarded the guns and bullets of their empire in the same way as their children regarded the crackers and phatakas on Diwali day. He could make that claim because he had driven the fear of the British out of Indian minds. He had taught them to ignore and boycott the British officers instead of kowtowing to them.
Similarly, if we want socialism in our country we have firstly to drive out the fear of money, position, and power from the minds of our people. Are we doing anything in that direction? In our society today who is respected most -the man with talent or the man with money? Who is admired most-the man with talent or the man with power? Can we ever hope to usher in socialism under such conditions? Before socialism can come we have to create an atmosphere in which possession of wealth and riches should invite disrespect rather than respect. We have to create an atmosphere in which the highest respect is given to labour whether it be physical or mental; to talent, to skill, to art, and to inventiveness. This requires, new thinking; and the courage to discard old ways of thinking. Are we anywhere near this revolution of the mind?
Perhaps, today we need a messiah to give us the courage to abandon our slavishness and to create values befitting the human beings of a free and independent country so that we may have the courage to link our destinies to the ones being ruled, and not the rulers-to the exploited and not to the exploiters.
A great saint of the Punjab, Guru Arjun Dev, said,
Jan ki tehl sanbhaionhah jan
Uthan bithan jan kaisanga
Jan char raj mukh mathai laagi
Aasa pooran anant taranga.
It is my earnest hope and prayer that you, graduates of Jawaharlal Nehru University may succeed where I and so many others of my generation have failed.
Monday, May 02, 2011
Tuesday, February 01, 2011
Seven questions to a Cloud computing Vendor
I'm really surprised by the hype created around Cloud computing. I just fail to understand how can any one give his data in the hand of a faceless vendor?
I've following seven questions to any one who is offering Cloud services:
1. If data is stolen - how does the Cloud vendor compensate the customer?
2. What's cost and effort involved in switching to another vendor along with my existing data?
3. What happens if vendor decides to change terms of his services at a later date; or worst, decides to close his service offering after say 1 year's notice e.g., Cisco, Microsoft as per their contract terms?
4. What remedy is there for a customer if vendor does not answer customer's service calls satisfactorily?
5. What kind of legal protection is there for a customer when data is compromised or he gets un-satisfactory service from the vendor?
6. Are cyber laws simple enough to indict the vendor and get legal remedy without spending great money, effort and time?
7. If there is a data loss due to accident, human error, bug in application, application error, power outage, virus/malware attack, hacker attack - how will I get my data basck and in how do I compensated for the loss?
Latest news from PC World (3 Feb 2011):
"Just this week there have been two significant events that call the virtues of cloud storage into question. First, Mozy dropped its unlimited storage option--signaling an end to infinite online storage. Second, online photo service Flickr accidentally deleted a user's account--and along with it 4,000 photos and years of effort uploading, cataloging, organizing, and linking to them."
Latest news from Cisco (23 Feb 2011):
Cisco Systems has decided to kill its cloud-based e-mail service Cisco Mail, only 13 months after it was introduced, the company said. With the growing acceptance of cloud services, Cisco saw a chance to offer e-mail services along with its successful WebEx Conferencing service, which combines desktop sharing through a web browser with phone and video conferencing. But it seems customers weren't as interested in getting e-mail from the networking giant.
I've following seven questions to any one who is offering Cloud services:
1. If data is stolen - how does the Cloud vendor compensate the customer?
2. What's cost and effort involved in switching to another vendor along with my existing data?
3. What happens if vendor decides to change terms of his services at a later date; or worst, decides to close his service offering after say 1 year's notice e.g., Cisco, Microsoft as per their contract terms?
4. What remedy is there for a customer if vendor does not answer customer's service calls satisfactorily?
5. What kind of legal protection is there for a customer when data is compromised or he gets un-satisfactory service from the vendor?
6. Are cyber laws simple enough to indict the vendor and get legal remedy without spending great money, effort and time?
7. If there is a data loss due to accident, human error, bug in application, application error, power outage, virus/malware attack, hacker attack - how will I get my data basck and in how do I compensated for the loss?
Latest news from PC World (3 Feb 2011):
"Just this week there have been two significant events that call the virtues of cloud storage into question. First, Mozy dropped its unlimited storage option--signaling an end to infinite online storage. Second, online photo service Flickr accidentally deleted a user's account--and along with it 4,000 photos and years of effort uploading, cataloging, organizing, and linking to them."
Latest news from Cisco (23 Feb 2011):
Cisco Systems has decided to kill its cloud-based e-mail service Cisco Mail, only 13 months after it was introduced, the company said. With the growing acceptance of cloud services, Cisco saw a chance to offer e-mail services along with its successful WebEx Conferencing service, which combines desktop sharing through a web browser with phone and video conferencing. But it seems customers weren't as interested in getting e-mail from the networking giant.
Friday, November 26, 2010
Status of Income Tax Refund
There is a very useful service started by Income tax department to find out status of your Income tax refund. But useful of such an important service is marred by bad data in the Income tax database. For example see following screen-shot from the website.
Notice the text in bigger red circle. First column says "cheque has not been sent" and next column says "refund cheque is encashed".
Also, notice that refund is sent on 10-8-2006 for the Assessment Year 2007-08 i.e., Financial year ended on 31-3-2007. So, our Income tax department is so efficient and forward looking that they are able to send the refund on 10-8-2006 before year has ended on 31-3-2007!! I like this efficiency.
It clearly shows that Income tax database is in a mess. And such mess can be easily traced back to the people who enter data in to the system. So, it's a garbage in garbage out.
Recently (24-6-2010) there was a press release by Income tax that said:
“The Income Tax Department has taken the initiative to clean up the mismatched TDS data base. Many refunds are pending with the IT Department due to the mismatch of tax paid by the assessee, but the same is not being reflected in the computer software of the department.”
If you are interested in knowing reactions of citizen's of India on such public admission of failure - visit following site:
http://taxguru.in/income-tax/i-t-department-decided-to-clean-up-the-mismatched-tds-database-and-issue-income-tax-refunds.html
I am victim of above mentioned mismatched TDS database. My Income-tax return's TDS figures are no-where near to the data shown on Form AS-26 that I got from TIN website. And when I inquired Income tax department by visiting my Assessing Officer (AO) - TDS data on his computer's AS-26 for me - does not match with AS-26 that I got from the TIN website. So, I'm in a total mess because I'm trying to reconcile three different sets of TDS details viz., one that I've based on TDS certificates, second is Form 26-AS based on TIN website and third is TDS details (AS-26) that I got from AO's computer. You don't believe me? If you want proof - I'm ready to provide the same. Just write to me.
And now Income tax department has issued notices for recovery of tax. When rectification is filed u/s 154 for the correction - poor letter gets filed in AO's files. Ideally AO should do the correction in 6 months. In one of my correction dated 21-4-2003 for Assessment Year 2001-02 - no correction has been done so far and demand is still pending!! My wife has filed for correction u/s 154 on 19-5-2010 for AY 2008-09; and as on 24-11-2010 - when I appeared before her AO and inquired him if corrections were done. He said our CA should bring it to his notice by writing a letter and attaching copy of correction letter u/s 154 filed with him! In fact, as per IT rules he was bound to have done the correction in 6 months i.e., on or before 18-11-2010!
I don't have doubt that we are living in "Incredible India."
 |
| Notice that contradictory information is shown |
Also, notice that refund is sent on 10-8-2006 for the Assessment Year 2007-08 i.e., Financial year ended on 31-3-2007. So, our Income tax department is so efficient and forward looking that they are able to send the refund on 10-8-2006 before year has ended on 31-3-2007!! I like this efficiency.
It clearly shows that Income tax database is in a mess. And such mess can be easily traced back to the people who enter data in to the system. So, it's a garbage in garbage out.
Recently (24-6-2010) there was a press release by Income tax that said:
“The Income Tax Department has taken the initiative to clean up the mismatched TDS data base. Many refunds are pending with the IT Department due to the mismatch of tax paid by the assessee, but the same is not being reflected in the computer software of the department.”
If you are interested in knowing reactions of citizen's of India on such public admission of failure - visit following site:
http://taxguru.in/income-tax/i-t-department-decided-to-clean-up-the-mismatched-tds-database-and-issue-income-tax-refunds.html
I am victim of above mentioned mismatched TDS database. My Income-tax return's TDS figures are no-where near to the data shown on Form AS-26 that I got from TIN website. And when I inquired Income tax department by visiting my Assessing Officer (AO) - TDS data on his computer's AS-26 for me - does not match with AS-26 that I got from the TIN website. So, I'm in a total mess because I'm trying to reconcile three different sets of TDS details viz., one that I've based on TDS certificates, second is Form 26-AS based on TIN website and third is TDS details (AS-26) that I got from AO's computer. You don't believe me? If you want proof - I'm ready to provide the same. Just write to me.
And now Income tax department has issued notices for recovery of tax. When rectification is filed u/s 154 for the correction - poor letter gets filed in AO's files. Ideally AO should do the correction in 6 months. In one of my correction dated 21-4-2003 for Assessment Year 2001-02 - no correction has been done so far and demand is still pending!! My wife has filed for correction u/s 154 on 19-5-2010 for AY 2008-09; and as on 24-11-2010 - when I appeared before her AO and inquired him if corrections were done. He said our CA should bring it to his notice by writing a letter and attaching copy of correction letter u/s 154 filed with him! In fact, as per IT rules he was bound to have done the correction in 6 months i.e., on or before 18-11-2010!
I don't have doubt that we are living in "Incredible India."
Tuesday, November 16, 2010
Understanding IT Software Business Model in view of tax confusion
ISODA's writ petition demanding removal of Service tax on Packaged Software got dismissed by the Madras high court on 24th August 2010. The order said that government has right to levy Service tax on IT Software and is well within the rights conferred to it by the Indian Constitution. It further confirmed that software is 'goods' but transaction involving transfer of right to use - between ISODA member (software reseller) and End user could be 'sale' or 'service' depending upon what is written in the End User License Agreement (EULA) from the software developer / copyright owner.
Tax experts concurred that interpretation of order could pose serious difficulty to the business operations of the software resellers - as would be difficult to read EULA of each Packaged Software license and determine whether the transaction is a 'sale' or 'service' or combination of the two. Doing so would be subject to the interpretation of a legal agreement - which is not within capacity of an ordinary end user or a software reseller or a field level government officer. But order did anticipate such problems and said that ISODA member could resist the tax demand when made; and could approach the court for clarification.
I feel that it is almost impossible for an average person to find out whether the transaction is a 'sale' or 'service' by merely reading the text of the EULA due to its complicated legal language and its interpretation. Due to this difficulty, it is likely that each government officer would interpret the EULA in a way convenient to his department. So, one can foresee a slow but sure build-up of numerous disputes and litigations over sale v/s service interpretation all over India.
Supreme court had opined in the TCS case that EULA is only a mechanism to enforce copyright protection i.e., restrict usage with certain terms and conditions. So, to read and interpret EULA to determine nature of transaction may not turn out to be a practical solution.
Upon doing the fine reading of the order and slight reflection, I came to conclusion that only handful of people understand business model of IT software properly. And all tax confusion is because of lack of this perspective. If one understands nature and characteristics IT software with its different modes of delivery - it is easy for any one to come to the understanding that one may not have to read EULA to determine nature of transaction between the End User and the software developer.
When we say that business of Packaged Software is an industry worth billions of dollars, there has to be a common thread that makes it as one big industry. Currently there is an urgent need to identify such commonality of characteristics and quickly establish nature of IT software transactions. For example, it is established by courts well that sale of Electricity is 'goods', providing Telephony services is a 'service', sale of mobile SIM cards is a 'service' for first transaction and 'goods' subsequently. It is simply not practical to keep reading and interpreting EULA of each packaged product. But, million dollar question is who will do this for the IT software industry in India?
So, I set out to put down basic ground realities of IT software business on a piece of paper for the sake of better understanding. In the piece below I have tried to draw the picture and you may decide - if it adds to your understanding of the nature of software transactions.
Information Technology Software vis-a-vis other types of software
Electronics has brought revolution to the modern world beyond what a men could have ever imagined just 150 years back. Over last 40 years a new branch of Electronics emerged with general purpose or programmable electronic devices called Computers and Programmable Logic Controllers (PLCs). Computers were found useful in business and PLCs were found useful in Industries for automation. This general purpose Computers and its network became very popular and started being used widely all over the world. This branch of Electronics popularly came to be known as Information Technology. While PLCs and other special purpose Electronic items also progressed at a fast pace. But among them except for Smart Mobile Phones most of the electronic items remained an item performing one specific function for which it was designed.
So, Information Technology (IT) is a branch of Electronics with attendant Hardware device, Software and network of such devices using Telecommunication Networks. Other programmable electronic items are known as PLCs, CNC machines, Industrial Robots etc.; and special purpose electronic items like Television sets, Audio-Video Players and Recorders, Digital Cameras, Telephone Instruments including Mobile phones, Automobile electronics, Rail Electronics, Satellite Electronics, Home gadget Electronics for Washing Machines, Microwave Ovens, Cooking Stoves etc. All of these electronic devices are run by great piece of software inside it but it's not IT software. In fact, TV programs recorded in studios for telecast on TV channels is called TV software! And we are not talking about it either, here.
Technical Nitti-gritty
Each of this electronic item is made up of two parts - popularly known as hardware and software. Software is of two type - embedded and programmable. Generally speaking, embedded software is hard-coded i.e., non-changeable software and is integral and essential part for working of the electronic device; it is considered part and parcel of hardware. While programmable software is modifiable and replaceable in nature - although non-essential many a times - but could make important contribution to the usefulness of the electronic device. So, when IT software is referred to - we are referring to programmable software used by computers or network of computers.
Such IT software is developed by a Software Developer using certain type of software called Development tools which include various type of Software languages like C, Java, Cobol, Pascal, Assembly, Fortran etc. and development tools like Visual Studio, Eclipse; and Databases like Oracle, DB2, Informix, Sybase etc.
IT Software developer would develop a software using above mentioned development tools for a specific client based on his specific requirement - called Customized Software; or develop a general purpose software - designed and developed keeping in mind needs of many users having similar requirement - called Packaged Software.
Packaged Software Business
Development of Packaged software is a business with great risks and great rewards. Few outstanding examples of this business model are Microsoft, Symantec, Adobe, McAfee, Autodesk etc. Software development, Manufacturing and Distribution of Packaged software is internationally a big business running in to billions of Dollars. In India, this business size is estimated to be Rs.10,000 crore a year.
Diagram below depicts the licensing and distribution model of Packaged IT Software.
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| IT Software Licensing and Distribution Model |
Vendor provides his packaged software in the market to various types of customers like Replicators & Distribution companies, End users including companies/organizations, hardware vendors on OEM basis and other independent software vendors/developers - by packaging it differently through various license agreements. And Vendor receives money for the same from various customers depending upon terms of the license agreements.
Typically it's a two tier model - where an intermediate company is given license to replicate and distribute. It is essentially a license to do the "production" or "manufacturing"; and the resulting product is sold or distributed in the market to reach the end user via a traditional distribution channel or via eCommerce transaction.
Packaged Software delivered in many different forms
One important point to be noted here is that packaged software is delivered to end user in various forms of delivery viz., Media (CD/DVD/Storage device), Internet Download, Network Delivery, Backup Media/Storage Device etc. How packaged software is delivered to the end user does not matter or alter the nature of transaction. Even one of the explanatory notes released by Tax Research Unit said following:
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D.O. F. No.334/1/2008-TRU Date: 29-2-2008
..
4.1.5 Software and upgrades of software are also supplied electronically, known as digital delivery. Taxation is to be neutral and should not depend on forms of delivery. Such supply of IT software electronically shall be covered within the scope of the proposed service.
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On this point of forms of delivery there has been lot of confusion in the mind of various people - so this point requires careful consideration while deciding on nature of transaction.
Resell of Packaged Services
In the above diagram, one more point to be noted is that in this model - "Subscription License" which involves some kind of service for 1 or 2 year period - is productized (or packaged - in other words). So here, a service (if any) is packaged and sold, resold and distributed like a product. It is important to recognize this unique distribution model of "service" - as its improper understanding may pose some difficulty with respect to taxation issues. I would like to call it as a "resell of a service".
So, in the context of IT software - government should recognize and accept that "resell and distribution of service" should be treated as trading transaction i.e., "sale" - as there is no element of "service" provided by the reseller. Also, the transaction should not be subjected to TDS (Tax Deducted at Source) because its only a "sale" or "trading" transaction. In all these transactions, actual service provider is the software developer and actual service recipient is end user. And reseller is only facilitating the transaction by trading/sale of a productized service.
Given below is the tabular depiction of the Business and Distribution Model of IT Software.
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| Business and Distribution Model of IT Software |
Current taxation structure for ISODA members is depicted below:
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| Various Taxes on IT Software distribution in India |
So, say when Sachin Tendulkar buys say Microsoft Office 2010 Home and Business Edition box pack with DVD by paying say Rs.10,000/- from a store he get a copy of software developed by Microsoft Corporation,USA, manufactured by Microsoft Operations Pte Ltd, Singapore (MO) and sold to Croma through an Indian distributor like Ingram Micro India Ltd (IMIL) via Microsoft Regional Sales Corporation, Singapore (MRSC). So, distribution path is MC --> MO --> MRSC --> IMIL --> Croma --> Sachin Tendulkar.
Similarly when Coal India Ltd (CIL) purchases say 10 licenses of Microsoft Office 2010 Std by paying Rs.15,000/- per license - they get a piece of paper authorising them to use Microsoft Office 2010 Std on 10 PCs. CIL can install the software on 10 PCs from a media pack (DVD) purchased from the reseller at Rs.1,500/- per piece - which could be one time purchase. For the sake of simplicity - we shall assume that CIL had this media pack from its earlier purchase. Note that this paper license also follows same distribution route as shrink wrap box purchased by Sachin Tendulkar.
But Sachin Tendulkar pays VAT @5% on Rs.10,000/- i.e., Rs.10,500/-; and CIL pays Service Tax @10% on Rs.1,50,000/- i.e., cost of paper license; and VAT at 5% on the total viz., 1,65,000/-, taking total payment to Rs.1,73,000/- (rounded off). And while making payment to the reseller - CIL deducts TDS at 10% and pays the balance amount viz., 1,55,700/- to the reseller.
Assuming reseller's purchase price of each Microsoft Office 2010 Std to be Rs.14,000/-; he would had paid (Rs.14,000/- x 10 no.s + 10% Service tax) x 5% VAT = Rs.1,61,700/- to the distributor IMIL. Of course, he would also deduct 10% TDS and pay only balance to the distributor. But he will have to deposit TDS amount with Income tax immediately. So, while reseller made a profit of Rs.10,000/- in books of accounts; he lost Rs.6,000/- from his cash flow. So, net effect of Service tax and TDS on reseller is that reseller keeps on depositing more than 60% of his gross margin to Income tax department.
As far as reseller is concerned he just takes an order from CIL at Rs.15,000/- per license, places it on IMIL at Rs.14,000/- per license, who in turn purchases it from MRSC at say USD 290/- (Rs.45/USD= Rs.13,000/-) per license. And MRSC procures it from MO at say USD 260/- per license. And MO pays say USD 200/- per license as royalty to Microsoft under its replication and distribution agreement.
Summary and Recommendation
So, following points are very clear from the business model described above:
1. Once Packaged software is manufactured by the replication and distribution licensee it assumes nature of a product i.e., goods.
2. In the hand of distributor and reseller the product is sold as it is - without any service addition from his side. So, there is no element of service provided by the distributor or a reseller to the end user. So, it may not be correct to levy 10% service tax on a packaged software product from the reseller/distributor.
3. Since distributor / reseller is not providing any service to the customer, it may not be correct to deduct 10% TDS on his payment.
I hope careful reading of above three diagrams will clear most of the misunderstanding that is prevalent among Government Officials, Judiciary and Politicians; and help them to devise, design and interpret IT Software taxation structure in proper context with reasonable clarity.
In summary, it is easy to understand for any one that transaction related to a Packaged IT Software is essentially a sale / trading activity as far as software reseller is concerned. So, sale and distribution of Packaged IT Software should be treated as trading i.e., sale/purchase of goods/services and should be liable to taxes under Excise/Customs duty, VAT and as Business Income under Income tax.
Bringing supply of Packaged IT Software products under Service tax / Royalty regime has brought unnecessary complexities to the sun-rise industry. If government decides to continue taxing this industry with complex taxation laws, Packaged Software industry will die a slow but certain death. It's time we all wake up and take corrective action.
Tryst with Medical Fraternity
My mother aged 72 years had a fall because a young child crossed her way while playing. She sat down on the ground and could not get up. She was brought home by some helpful people.
Upon simple visual examination we did not find any visible signs of a fracture like swelling or unbearable pain. Of course, she found it difficult to move right leg and had pain it was moved. So, a young physiotherapist was called in. She examined her and said that possibly there is no fracture and few sessions would do good to her. She started with some mild treatment on first day. But next day my mother sensed more pain compared to the previous day. So, we stopped her treatment - fearing that exercise may aggravate the pain and some experienced person should be called in.
Our friendly neighbour suggested a local bone-setter (hadd-vaidya) whose 3 generations have been curing ailments related to bones and setting bones. One young man arrived quickly and applied some oil and with a wooden massage aid and did some massage. My mother felt relief after the massage. He asked her to do Ice massage every few hours and apply a ayurvedic concoction (llap) every alternate day. He opined that hip joint ball is safe and fracture is not there. Even if it is there it could be hair line fracture. He suggested X-ray after few days of massage therapy - when things would get normal.
Next day we noticed a small red patch on the upper thigh. Next day it became bigger in size. When we inquired about it the young man said it's a good sign. He said, there is an injury inside (near bone) and blood oozing from there is now coming to the surface. It will become bigger and slowly fade in color and disperse. True to his explanation - the red patch became bigger and slowly started fading. But recovery was not good i.e., pain persisted after few massages also.
In the mean time, we contacted few clinics for a portable X-ray unit. We could locate one in our locality and contacted them. They said technician is on leave due to Diwali festival and he would return only after Diwali. We could not find any other lab with portable X-ray equipment.
So we called in the senior bone-setter. He found one leg to be shorter than other; and did some settings in his own way. He even moved the right leg up to the chest slowly; and there was not much pain. He also opined that possibly there is no fracture and she would become normal in about 10-15 days. My mother felt better after the visit. But after 2-3 days thing were back to old pain; and Diwali also came to an end.
On the first day after the Diwali, we called in the technician with portable X-ray machine. He promptly came and within half hour called saying there is a fracture in the hip joint requiring possibly an operation. My wife rushed to an Orthopaedic Surgeon and showed the report. He suggested surgical operation to fix the fractured bone with the help of a plate and screws. He mentioned his fees for operation and suggested that operation be done in some other hospital with ICU unit because of my mother's old age. He said all other charges for the hospitalisation will be extra. Upon inquiry he said cost of the Medicines, Operation theater and Anesthesiologist fees will be extra. Fine. He suggested two hospitals.
We inquired and settled with one because other one was almost full with only one vacant bed. I got contact of an Ambulance operator from the hospital. Contacted him to get Ambulance with a Wheel Chair. Rates quoted were higher than indicated by the hospital staff. So, after a negotiation we settled for Rs.550/- for a 500 meter ride to hospital!
Next day ambulance came one hour late after half a dozen phone calls. A young boy came in with a folded wheel chair. He did not know even how to open the folded wheel chair. After some struggle he managed and then put my mother in it and took it to the ambulance. The wheel-chair was lifted by 3 people to put inside the ambulance. But the wheel chair won't go inside because space between two cots was not enough to accommodate it. So, they lifted my mother and put her on one of the cots and made her sit there. Thus we reached the hospital. Ambulance guy had not brought the Bill for ambulance and demanded full money with promise to bring Bill by same day evening. After one week's follow-up we got the bill. I vowed not to call this Ambulance Service again and even gave feedback to the hospital about the service we got from them.
Experience at Hospital was good. Hospital insisted and made us sign a letter which stated that we will purchase all medicines from their own medical shop at Maximum Retail Price. Admission staff was naive and in-experienced but nursing staff was adequate in numbers and was of good quality. They were very prompt and gave required services with smile and speed. I paid the required deposit to the hospital by cheque first time on the day of the admission and second time just after the operation.
Just before the operation was to be commence Orthopaedic Surgeon inquired if we want to put 'steel' plate costing Rs.10,000/- or titanium plate costing Rs.17,000/-. This was a googly. He had not even informed us that cost of plate was not included in his fee for operation! My sister and brother-in-law, both of them doctors - who were present there - had no clue. So, we arbitrarily decided for one of them in absence of much information. We wish we had known about this earlier and could have taken an informed decision.
Operation went on well. Then after two days my mother was found fit to be discharged from the hospital. I had done some rough calculations of all expenses and made cash withdrawal from the bank with some extra amount. And we were presented with the rough bill. It turned out to be much higher than my rough calculations. So, upon getting detailed break-up of various items I learnt that they had included following items which I was unaware:
a. Doctor's visit fees for 5 visits at Rs.1,000/- each. One involved short walk with a walker, second involved dressing, other 3 just to inquire if everything was fine.
b. Handling fee charged by hospital at 10% of the cost of the plate that was fixed during the operation.
c. Cost of monitoring equipment used by the Surgeon during the operation was charged extra. We were not informed about its charge earlier.
d. Service Charges at 5% of the total hospital bill including cost of plate and consumables used during the operation.
Upon inquiry I learnt from my insurance agent that Service Charges would not be reimbursed by the insurance company unless proper description of service is given in writing. Upon inquiry I was asked to meet senior administrative staff about details of Service charge. Accounts department had only one person on duty; and she had no clue about description or rationale of service charge; but she knew that insurance company don't pay Service Charge to the patients.
After few days I called up and inquired about it with a senior person (Director - Medical). He said they charge only 5% against 10 to 12% charged by many other hospitals. He explained that it is towards nursing and other services rendered by the hospital to the patient. I requested him to give this explanation about Service charge in writing so that I can check with insurance company for reimbursement of the same. Also, I asked him if is fair to levy this charge on the Doctor's Operation and Visit fees - as I had never factored the same - while agreeing on Doctors fees. Also, I suggested to him that hospital should display notice about this at few prominent places. He promised to look in to it and get back in 2-3 days.
Any way, I paid the balance amount by Credit Card. And brought my mother back home. Now, she is recovering and will take about 1 month with walker; and two more month to get back to normal health.
Summary:
Have medical insurance cover with adequate financial limit. When there is a need to go for hospitalization for a medical treatment be sure of following charges while deciding on hospital and doctor's fees:
1. Surgeon's fee including consultation fee, operation fee, cost of post operative treatment like dressing, physio therapy etc. Ask cost of Implants (if any) for various options available.
2. Fees for Anesthesiologist. Typically it is 20% of the surgeon's operation fee.
3. If patient is aged i.e., above 60 years then Physician's medical medical fitness certificate along with various tests like Blood Sugar, X-Ray, Cardiogram etc. will be there.
4. Hospitalization fees e.g., Room Charges, Operation Theater charges, Cost of monitoring equipments, Cost of Implants with handling fee, Cost of various medical tests, Cost of medicines, Service charges on entire amount (typically 5 to 12%).
5. Cost of Ambulance including wheel chair and other equipments.
If you have medical insurance then cost of room per day is typically 1% of the insurance cover. Try to select a room around this amount. If you decide to go for a higher price room then keep in mind that most of the costs (medical tests, doctor's fees etc.) will go up proportionately. Also, if you are not careful you may end up calling dietitian advising you what to eat during and after operation; with accompanying consultation fee bill.
Upon simple visual examination we did not find any visible signs of a fracture like swelling or unbearable pain. Of course, she found it difficult to move right leg and had pain it was moved. So, a young physiotherapist was called in. She examined her and said that possibly there is no fracture and few sessions would do good to her. She started with some mild treatment on first day. But next day my mother sensed more pain compared to the previous day. So, we stopped her treatment - fearing that exercise may aggravate the pain and some experienced person should be called in.
Our friendly neighbour suggested a local bone-setter (hadd-vaidya) whose 3 generations have been curing ailments related to bones and setting bones. One young man arrived quickly and applied some oil and with a wooden massage aid and did some massage. My mother felt relief after the massage. He asked her to do Ice massage every few hours and apply a ayurvedic concoction (llap) every alternate day. He opined that hip joint ball is safe and fracture is not there. Even if it is there it could be hair line fracture. He suggested X-ray after few days of massage therapy - when things would get normal.
Next day we noticed a small red patch on the upper thigh. Next day it became bigger in size. When we inquired about it the young man said it's a good sign. He said, there is an injury inside (near bone) and blood oozing from there is now coming to the surface. It will become bigger and slowly fade in color and disperse. True to his explanation - the red patch became bigger and slowly started fading. But recovery was not good i.e., pain persisted after few massages also.
In the mean time, we contacted few clinics for a portable X-ray unit. We could locate one in our locality and contacted them. They said technician is on leave due to Diwali festival and he would return only after Diwali. We could not find any other lab with portable X-ray equipment.
So we called in the senior bone-setter. He found one leg to be shorter than other; and did some settings in his own way. He even moved the right leg up to the chest slowly; and there was not much pain. He also opined that possibly there is no fracture and she would become normal in about 10-15 days. My mother felt better after the visit. But after 2-3 days thing were back to old pain; and Diwali also came to an end.
On the first day after the Diwali, we called in the technician with portable X-ray machine. He promptly came and within half hour called saying there is a fracture in the hip joint requiring possibly an operation. My wife rushed to an Orthopaedic Surgeon and showed the report. He suggested surgical operation to fix the fractured bone with the help of a plate and screws. He mentioned his fees for operation and suggested that operation be done in some other hospital with ICU unit because of my mother's old age. He said all other charges for the hospitalisation will be extra. Upon inquiry he said cost of the Medicines, Operation theater and Anesthesiologist fees will be extra. Fine. He suggested two hospitals.
We inquired and settled with one because other one was almost full with only one vacant bed. I got contact of an Ambulance operator from the hospital. Contacted him to get Ambulance with a Wheel Chair. Rates quoted were higher than indicated by the hospital staff. So, after a negotiation we settled for Rs.550/- for a 500 meter ride to hospital!
Next day ambulance came one hour late after half a dozen phone calls. A young boy came in with a folded wheel chair. He did not know even how to open the folded wheel chair. After some struggle he managed and then put my mother in it and took it to the ambulance. The wheel-chair was lifted by 3 people to put inside the ambulance. But the wheel chair won't go inside because space between two cots was not enough to accommodate it. So, they lifted my mother and put her on one of the cots and made her sit there. Thus we reached the hospital. Ambulance guy had not brought the Bill for ambulance and demanded full money with promise to bring Bill by same day evening. After one week's follow-up we got the bill. I vowed not to call this Ambulance Service again and even gave feedback to the hospital about the service we got from them.
Experience at Hospital was good. Hospital insisted and made us sign a letter which stated that we will purchase all medicines from their own medical shop at Maximum Retail Price. Admission staff was naive and in-experienced but nursing staff was adequate in numbers and was of good quality. They were very prompt and gave required services with smile and speed. I paid the required deposit to the hospital by cheque first time on the day of the admission and second time just after the operation.
Just before the operation was to be commence Orthopaedic Surgeon inquired if we want to put 'steel' plate costing Rs.10,000/- or titanium plate costing Rs.17,000/-. This was a googly. He had not even informed us that cost of plate was not included in his fee for operation! My sister and brother-in-law, both of them doctors - who were present there - had no clue. So, we arbitrarily decided for one of them in absence of much information. We wish we had known about this earlier and could have taken an informed decision.
Operation went on well. Then after two days my mother was found fit to be discharged from the hospital. I had done some rough calculations of all expenses and made cash withdrawal from the bank with some extra amount. And we were presented with the rough bill. It turned out to be much higher than my rough calculations. So, upon getting detailed break-up of various items I learnt that they had included following items which I was unaware:
a. Doctor's visit fees for 5 visits at Rs.1,000/- each. One involved short walk with a walker, second involved dressing, other 3 just to inquire if everything was fine.
b. Handling fee charged by hospital at 10% of the cost of the plate that was fixed during the operation.
c. Cost of monitoring equipment used by the Surgeon during the operation was charged extra. We were not informed about its charge earlier.
d. Service Charges at 5% of the total hospital bill including cost of plate and consumables used during the operation.
Upon inquiry I learnt from my insurance agent that Service Charges would not be reimbursed by the insurance company unless proper description of service is given in writing. Upon inquiry I was asked to meet senior administrative staff about details of Service charge. Accounts department had only one person on duty; and she had no clue about description or rationale of service charge; but she knew that insurance company don't pay Service Charge to the patients.
After few days I called up and inquired about it with a senior person (Director - Medical). He said they charge only 5% against 10 to 12% charged by many other hospitals. He explained that it is towards nursing and other services rendered by the hospital to the patient. I requested him to give this explanation about Service charge in writing so that I can check with insurance company for reimbursement of the same. Also, I asked him if is fair to levy this charge on the Doctor's Operation and Visit fees - as I had never factored the same - while agreeing on Doctors fees. Also, I suggested to him that hospital should display notice about this at few prominent places. He promised to look in to it and get back in 2-3 days.
Any way, I paid the balance amount by Credit Card. And brought my mother back home. Now, she is recovering and will take about 1 month with walker; and two more month to get back to normal health.
Summary:
Have medical insurance cover with adequate financial limit. When there is a need to go for hospitalization for a medical treatment be sure of following charges while deciding on hospital and doctor's fees:
1. Surgeon's fee including consultation fee, operation fee, cost of post operative treatment like dressing, physio therapy etc. Ask cost of Implants (if any) for various options available.
2. Fees for Anesthesiologist. Typically it is 20% of the surgeon's operation fee.
3. If patient is aged i.e., above 60 years then Physician's medical medical fitness certificate along with various tests like Blood Sugar, X-Ray, Cardiogram etc. will be there.
4. Hospitalization fees e.g., Room Charges, Operation Theater charges, Cost of monitoring equipments, Cost of Implants with handling fee, Cost of various medical tests, Cost of medicines, Service charges on entire amount (typically 5 to 12%).
5. Cost of Ambulance including wheel chair and other equipments.
If you have medical insurance then cost of room per day is typically 1% of the insurance cover. Try to select a room around this amount. If you decide to go for a higher price room then keep in mind that most of the costs (medical tests, doctor's fees etc.) will go up proportionately. Also, if you are not careful you may end up calling dietitian advising you what to eat during and after operation; with accompanying consultation fee bill.
Wednesday, October 13, 2010
Sleeping dog guarding Ghatkopar Post Office
Two weeks back I visited Ghatkopar West Post office in the morning early hours for some work. And I noticed an interesting sight of a sleeping dog on the first floor of the post office.
I'm sure dog's service (if any) are free of charge.
Always Green traffic light
Currently a new Metro line is being constructed between Ghatkopar and Andheri. Due to this new development - at a main junction of Ghatkopar Station Road and LBS Road - near Sarvoday Hospital Junction - the traffic signal has become almost non-functional. This is because road going towards Ghatkopar Stations on west side is completely closed.
On this junction - the traffic signal has been in such a state of neglect that it has developed green cover completely. See the picture below. Please note that traffic lights still function i.e, they turn Red to Amber to Green and vice versa but one can hardly notice. Enjoy 'Always Green Traffic Signal' of Mumbai.
On this junction - the traffic signal has been in such a state of neglect that it has developed green cover completely. See the picture below. Please note that traffic lights still function i.e, they turn Red to Amber to Green and vice versa but one can hardly notice. Enjoy 'Always Green Traffic Signal' of Mumbai.
Saturday, August 21, 2010
How to detect tempering of a Milk Pouch
Second time in last 1 year, my wife suspected that milk supplied to us was not same as regular milk. It is easy for us to find out because we regularly remove cream from the milk and make ghee (butter). In fact, such home made ghee meets our ghee requirement and we never purchase ghee from outside. So, the reduction in quantity of cream is a direct indication of mixing of water in the milk.
Whenever she complained it our supplier, he merely said that I'm not aware - I'm just purchasing it from abc (whom we know for many years). We did not bother to cross check with abc because we don't have his contact number and he is living little far away from our place.
But one of our neighbour suggested that we purchase it from another supplier. And this is what we learnt. Here is a picture of Milk Pouch that is intact i.e., unopened before delivery to us.
Whenever she complained it our supplier, he merely said that I'm not aware - I'm just purchasing it from abc (whom we know for many years). We did not bother to cross check with abc because we don't have his contact number and he is living little far away from our place.
But one of our neighbour suggested that we purchase it from another supplier. And this is what we learnt. Here is a picture of Milk Pouch that is intact i.e., unopened before delivery to us.
 |
| Unopened Milk Pouch |
Here is a picture of opened and sealed Milk Pouch. (Note: Click on the Picture to expand the view.)
 |
| Milk Pouch is opened and sealed on left hand side |
So, little visual inspection is enough to find out if your supplier is mixing water in Milk Pouch or not. It is difficult to believe that this happened in spite of severe warning given to same person about 6 months back when we had suspected same mischief. And he had started supplying regular milk. But after 6 months - same mischief. What's way out? Keep on changing suppliers?
Wednesday, August 18, 2010
Saw movie - Pipli [Live]
We had gone with great expectation but returned empty hearted. What a shame, Amir Khan has brought to himself.
We are seeing this drama played by hollow politicians and media every day. What's novel about it? Tell me what was it about? About farmers and their life? No, it was about how irresponsible politicians and media are. We know it very well perhaps better than Amir has depicted in his film.
What a botch up of a potentially powerful subject of farmers. With little ingenuity and good research it has potential to make a Oscar winner. Amir Khan did not hit the bull's eye. In fact, he missed it by a kilometre.
Possibly he wanted to make a low budget film with good ROI. Best of luck in his new money making business.
We are seeing this drama played by hollow politicians and media every day. What's novel about it? Tell me what was it about? About farmers and their life? No, it was about how irresponsible politicians and media are. We know it very well perhaps better than Amir has depicted in his film.
What a botch up of a potentially powerful subject of farmers. With little ingenuity and good research it has potential to make a Oscar winner. Amir Khan did not hit the bull's eye. In fact, he missed it by a kilometre.
Possibly he wanted to make a low budget film with good ROI. Best of luck in his new money making business.
Saturday, August 07, 2010
The Chief Belief Officer says "Within infinite myths lies eternal truth.."
Very nicely depicting the way occidental and oriental people think and behave.
Saturday, May 15, 2010
Leh Ladakh Tour
End of April, my son pointed out an advertisement in a local news paper saying visit Leh Ladakh for 4 nights / 5 days at Rs.22,000/- per person including Air Fare; and get family discount of Rs.2,000/-. Offer looked fabulous.
I thought there must a catch. Any way, I visited Make My Trip website and filled in a web inquiry form. Next day I got a call from Ahmedabad and lady on the other end said - seats are limited. I asked for available dates and checked on date in the first week of May. Paid advance booking amount of Rs.3,000/- per person through credit card using IVR (Interactive Voice Response). Of course, I got few nervous moments because my usual Credit Card could not be used - since it was expiring by April and new card could not be used because it would become active only in May! So, I tried 2 other cards and both would not go beyond the credit card number. Lady on the other end volunteered to enter the credit card number but again system would not accept valid up to date or CVV. So, I called up one bank and learnt that wrong CVV was entered. That's impossible - so I concluded that MakeMyTrip's IVR system had some noise or problem or they were up to some trick! Any way after few attempts I could manage to make payment through credit card.
Immediately I got an email giving booking number. I was told that I should make balance payment in 3-4 days. Then I just looked around to find out how reliable MakeMyTrip (MMT) people are. To my horror I found that on one popular web site (GupShup) 80% people had written negative feedback about them. So, I spent some time studying the details and I was relieved to note that most were dissatisfied with service they received for air tickets. Only one feedback was there for their tours saying - time management was poor and restaurants were not good. So, I should give them benefit of doubt because they could be better at tours.
So, I paid them the balance amount through Credit card - which had failed in CVV verification earlier - after having some trouble - as usual by now.
On the appointed day we all started for Delhi. Reached airport after braving the incredible traffic jam on Western Express highway. I had already done the web check-in for all 9 of us so that we could get some extra points from the airline. Before doing the same I had called up MMT to find out if I should do web check-in with 5 more people travelling with us on the same booking number. They were clue less and advised me not to do it. I asked for their phone number but they refused. So, I went ahead and did the web check-in for all - as group booking tickets don't allow individual web check-ins. Of course, before taking this step I made several calls to Kingfisher's group booking people. But to put it in nut-shell, experience was bad - first they were not picking up calls - when picked up found number had changed - again did not pick up - when picked up said I should call up branch group booking as they were handling national group booking queries - branch people said it's not in their hand to issue separate booking number for a part of a group - what a waste of time!!
Any way, we boarded the aircraft 2 hours later because incoming flight was delayed. We reached Delhi around 12.30 am. After coming out of airport after about 5 min of search we found the MMT representative. He was there with 3 cars. By the time we reached nearby hotel (Lohmod) it was 1.30 am. We quickly filled in Hotel Register, gave driving license for photocopy, collected room key, reached the room. It was 2.15 am. My son's complained that TV is not working! I found that his rooms intercom phone was not working. We complained but nothing happened. We did not care and tried to sleep for 2 hours in a noisy AC environment - as we had to catch early morning flight of 6 am. We had tea and biscuits. Found there were only 2 cars for 9 of us. All left except me and my wife with 2 bags in hand. Fortunately 3rd car came after 10 min and we could catch the flight.
At airport there was a chaotic long queue. But our web check-in came to our rescue. We got out boarding passes out of turn and quickly ran through the security check and just reached in time to catch the flight. We reached Leh after a comfortable flight with a light break fast.
Leh is a small town at a height of 3,500 meters with hardly any tourists - even in peak season! One needs to take rest for 24 hours (at least) before one ventures out - even for a walk! Oxygen is just 15% in Air compared to 21% at Sea level. So, one's system requires 24 hours to get used to it. Also, it is recommended to take 1 tablet of Dyamox one day before and one on arrival. But, we were not told by MMT! This happened in spite of my calling them and specifically asking them about travel trips, pre-cautions etc. Even their website has an article on acclimatisation but not a word about this medicine!
And, one of our fellow traveller - who gave us this information and tablets also - said he learnt about it from an email sent to him by MMT. Clearly MMT does not have well trained staff to take care of tours.
After taking one tablet, after about 5 or 6 hours, I started experiencing vibrations on my face - particularly in cheek and forehead area. It vanished after a night's sleep. It was like a small helicopter running inside my head! It was definitely due to the tablet because for next two days I did not take the tablet and I was back to normal health. And, I took one tablet on 4th day and experience repeated. One doctor said may be I needed potassium and should take coconut water. But we got this advice around 8 pm and we could not find any open shops - since all shops close around 7 pm.
We heard that people who were to come in the next day missed their flight at Delhi. Due to some problem their booking was lost and had to stay in Delhi for 1 more day and take flight the next day. Saving grace was that MMT arranged a free tour to Taj Mahal (Agra) for them and they arrived one day late.
Leh does not have any greenery. It's largest district of India - with 55,000 sq.km area and population of 2 lakhs! All hotels except one (Grand Dragon) close down after 4 months of peak season! It's a dreary desert land with un-predictable weather with heavy winds. I felts Wind farms can be set-up here to provide electricity to entire India - due to its vast expanse.
Pangong lake was too good but we could spend only 30 min - as it takes 5 hours to reach there and 5 hours to return and road condition is not good. Its beauty simply can't be described. It's a 130 km long and 5 km wide salt water lake with no fish inside. It completely freezes in winter. Around 60% of its area is owned by China. Boating is not allowed. Some locals claim to have seen Chinese submarine few year's back in the lake! It's that deep!
On last day we had come back just before reaching the highest motorable road.
More later.
I thought there must a catch. Any way, I visited Make My Trip website and filled in a web inquiry form. Next day I got a call from Ahmedabad and lady on the other end said - seats are limited. I asked for available dates and checked on date in the first week of May. Paid advance booking amount of Rs.3,000/- per person through credit card using IVR (Interactive Voice Response). Of course, I got few nervous moments because my usual Credit Card could not be used - since it was expiring by April and new card could not be used because it would become active only in May! So, I tried 2 other cards and both would not go beyond the credit card number. Lady on the other end volunteered to enter the credit card number but again system would not accept valid up to date or CVV. So, I called up one bank and learnt that wrong CVV was entered. That's impossible - so I concluded that MakeMyTrip's IVR system had some noise or problem or they were up to some trick! Any way after few attempts I could manage to make payment through credit card.
Immediately I got an email giving booking number. I was told that I should make balance payment in 3-4 days. Then I just looked around to find out how reliable MakeMyTrip (MMT) people are. To my horror I found that on one popular web site (GupShup) 80% people had written negative feedback about them. So, I spent some time studying the details and I was relieved to note that most were dissatisfied with service they received for air tickets. Only one feedback was there for their tours saying - time management was poor and restaurants were not good. So, I should give them benefit of doubt because they could be better at tours.
So, I paid them the balance amount through Credit card - which had failed in CVV verification earlier - after having some trouble - as usual by now.
On the appointed day we all started for Delhi. Reached airport after braving the incredible traffic jam on Western Express highway. I had already done the web check-in for all 9 of us so that we could get some extra points from the airline. Before doing the same I had called up MMT to find out if I should do web check-in with 5 more people travelling with us on the same booking number. They were clue less and advised me not to do it. I asked for their phone number but they refused. So, I went ahead and did the web check-in for all - as group booking tickets don't allow individual web check-ins. Of course, before taking this step I made several calls to Kingfisher's group booking people. But to put it in nut-shell, experience was bad - first they were not picking up calls - when picked up found number had changed - again did not pick up - when picked up said I should call up branch group booking as they were handling national group booking queries - branch people said it's not in their hand to issue separate booking number for a part of a group - what a waste of time!!
Any way, we boarded the aircraft 2 hours later because incoming flight was delayed. We reached Delhi around 12.30 am. After coming out of airport after about 5 min of search we found the MMT representative. He was there with 3 cars. By the time we reached nearby hotel (Lohmod) it was 1.30 am. We quickly filled in Hotel Register, gave driving license for photocopy, collected room key, reached the room. It was 2.15 am. My son's complained that TV is not working! I found that his rooms intercom phone was not working. We complained but nothing happened. We did not care and tried to sleep for 2 hours in a noisy AC environment - as we had to catch early morning flight of 6 am. We had tea and biscuits. Found there were only 2 cars for 9 of us. All left except me and my wife with 2 bags in hand. Fortunately 3rd car came after 10 min and we could catch the flight.
At airport there was a chaotic long queue. But our web check-in came to our rescue. We got out boarding passes out of turn and quickly ran through the security check and just reached in time to catch the flight. We reached Leh after a comfortable flight with a light break fast.
Leh is a small town at a height of 3,500 meters with hardly any tourists - even in peak season! One needs to take rest for 24 hours (at least) before one ventures out - even for a walk! Oxygen is just 15% in Air compared to 21% at Sea level. So, one's system requires 24 hours to get used to it. Also, it is recommended to take 1 tablet of Dyamox one day before and one on arrival. But, we were not told by MMT! This happened in spite of my calling them and specifically asking them about travel trips, pre-cautions etc. Even their website has an article on acclimatisation but not a word about this medicine!
And, one of our fellow traveller - who gave us this information and tablets also - said he learnt about it from an email sent to him by MMT. Clearly MMT does not have well trained staff to take care of tours.
After taking one tablet, after about 5 or 6 hours, I started experiencing vibrations on my face - particularly in cheek and forehead area. It vanished after a night's sleep. It was like a small helicopter running inside my head! It was definitely due to the tablet because for next two days I did not take the tablet and I was back to normal health. And, I took one tablet on 4th day and experience repeated. One doctor said may be I needed potassium and should take coconut water. But we got this advice around 8 pm and we could not find any open shops - since all shops close around 7 pm.
We heard that people who were to come in the next day missed their flight at Delhi. Due to some problem their booking was lost and had to stay in Delhi for 1 more day and take flight the next day. Saving grace was that MMT arranged a free tour to Taj Mahal (Agra) for them and they arrived one day late.
Leh does not have any greenery. It's largest district of India - with 55,000 sq.km area and population of 2 lakhs! All hotels except one (Grand Dragon) close down after 4 months of peak season! It's a dreary desert land with un-predictable weather with heavy winds. I felts Wind farms can be set-up here to provide electricity to entire India - due to its vast expanse.
Pangong lake was too good but we could spend only 30 min - as it takes 5 hours to reach there and 5 hours to return and road condition is not good. Its beauty simply can't be described. It's a 130 km long and 5 km wide salt water lake with no fish inside. It completely freezes in winter. Around 60% of its area is owned by China. Boating is not allowed. Some locals claim to have seen Chinese submarine few year's back in the lake! It's that deep!
On last day we had come back just before reaching the highest motorable road.
More later.
Picture Perfect Photo
Monastry
Future Buddha - Maitreya
Enjoying Snow fall at 15,000 ft
Thursday, April 29, 2010
How can IT dept collect TDS when they can't give credit for the same to us?
Today we received Intimation u/s 143(1) for my wife from Income tax department for the year ended on 31-3-2008. Major source of her Income is salary and interest from deposits.
To our horror we noticed that although we had paid full tax (Advance tax, TDS deductions and Self Assessment tax) - she was served notice for payment for Income tax along with interest!!!
The delivery staff told me - "Do not worry, sir. There have been some doubts about TDS claims and as a precautionary measure department has not given credit of TDS. Ask your CA (Chartered Accountant) and show all original TDS certificates and you will get the correct order."
Upon simple inspection of the Assessment Order we noticed that except for the Returned Income figure none of the figures on the Assessment Order matched with the filed Return. Upon a short telephonic discussion with CA, we were advised to approach the Income Tax department directly - as there are too many such cases and they are unable to cope up!
Wonderful. Isn't it? Would any one care to join the party?
As far as TDS is concerned we poor citizens have no say. At the end of the year we collect the TDS certificate from the deductor; and claim credit while filing the Return. And we expect that it will go smoothly because TDS information is available online on Internet - for any one to see and check. But in India, it does not work that way.
What's the way out? Meet the CA or some tax expert personally, decipher every word written on the Assessment Order, write a letter to the Assessment Officer, submit it to the Assessing Officer - show original TDS certificates; and wait for the revised assessment order!
How a salaried class person is expected to do all this? Who will compensate citizens for all this un-necessary extra work?
I have never managed to understand rationale behind Tax Deducted at Source - particularly when we are regularly paying Income tax every year. If Government is not able to give credit for the collected TDS then it has no moral right to continue with the TDS collection.
I hereby urge every citizens of India to demand abolition of TDS. At least, it should be done for the regular tax payers.
What do you think?
To our horror we noticed that although we had paid full tax (Advance tax, TDS deductions and Self Assessment tax) - she was served notice for payment for Income tax along with interest!!!
The delivery staff told me - "Do not worry, sir. There have been some doubts about TDS claims and as a precautionary measure department has not given credit of TDS. Ask your CA (Chartered Accountant) and show all original TDS certificates and you will get the correct order."
Upon simple inspection of the Assessment Order we noticed that except for the Returned Income figure none of the figures on the Assessment Order matched with the filed Return. Upon a short telephonic discussion with CA, we were advised to approach the Income Tax department directly - as there are too many such cases and they are unable to cope up!
Wonderful. Isn't it? Would any one care to join the party?
As far as TDS is concerned we poor citizens have no say. At the end of the year we collect the TDS certificate from the deductor; and claim credit while filing the Return. And we expect that it will go smoothly because TDS information is available online on Internet - for any one to see and check. But in India, it does not work that way.
What's the way out? Meet the CA or some tax expert personally, decipher every word written on the Assessment Order, write a letter to the Assessment Officer, submit it to the Assessing Officer - show original TDS certificates; and wait for the revised assessment order!
How a salaried class person is expected to do all this? Who will compensate citizens for all this un-necessary extra work?
I have never managed to understand rationale behind Tax Deducted at Source - particularly when we are regularly paying Income tax every year. If Government is not able to give credit for the collected TDS then it has no moral right to continue with the TDS collection.
I hereby urge every citizens of India to demand abolition of TDS. At least, it should be done for the regular tax payers.
What do you think?
Tuesday, March 23, 2010
Cost of outsourced work
For last few years outsourcing work is routinely adopted by companies to reduce costs. Now a days we see various non-core activities like after sales service, salary payments, marketing activities, claim processing, event management, house-keeping, physical security of premises and so on - are routinely handled by outside agencies. While cost reduction may be true in short run - there is a cost that a company pays for outsourcing its activities.
For example, look at the quality of service provided by outsourced agencies for After Sales Service. Is there any credible proof that outsourced agencies can offer to its customers that their customer's are served well and are happy with their service? I doubt.
Take this instance of a leading software product vendor who routinely outsources its Dealer Incentive scheme management to third parties. Yesterday we learnt about a dealer scheme from this vendor's newsletter and clicked on the link to register for the same. And we got a Google advisory saying:
I brought this to the notice of the Agency who was administering this scheme with copy to Partner Account Manager of the software vendor. In about 1 hour I got a telephone call from the Agency - a girl told me not worry - as we were pre-registered for the scheme!! When I asked her about Free Malware given out to the dealers upon registration - she feigned ignorance and said she will check up. There is no response from software vendor yet.
Few days back I had written to the same vendor's Senior Manager asking him if any quality checks are in place to ensure that all dealers are informed about the "schemes" launched by them and agency informs and distributes the incentives in time? After a reminder I got a email saying all distributors are advised to include my email id in all their communications to dealers! I asked him why have I not received the Incentive after 10 weeks of scheme closure - I've yet to receive any reply. Of course, I did not ask him about the schemes - which we did not know about - and lost out on incentives in this period of 4 to 5 months.
Take another example, recently we got cheque of more than Rs.1,00,000/- from one of customer through their outsourced agency - a bank - who makes payment to vendors on behalf of this party. Can you believe that this payment was already made to us few months back - as an advance payment after deducting TDS? When we pointed this out to the customer they asked for the cheque back by courier. Not a word of appreciation or complaint! Is this a routine? I believe so. Else how can you explain customer behaviour as noticed by us?
Believe me, this incident is not an isolated incident. We see about 1 or 2 incidents every year like this and return the cheques.
For example, look at the quality of service provided by outsourced agencies for After Sales Service. Is there any credible proof that outsourced agencies can offer to its customers that their customer's are served well and are happy with their service? I doubt.
Take this instance of a leading software product vendor who routinely outsources its Dealer Incentive scheme management to third parties. Yesterday we learnt about a dealer scheme from this vendor's newsletter and clicked on the link to register for the same. And we got a Google advisory saying:
Site is listed as suspicious - visiting this web site may harm your computer.
Part of this site was listed for suspicious activity 1 time(s) over the past 90 days.
What happened when Google visited this site?
Of the 2 pages we tested on the site over the past 90 days, 2 page(s) resulted in malicious software being downloaded and installed without user consent. The last time Google visited this site was on 2010-03-13, and the last time suspicious content was found on this site was on 2010-03-13.
Malicious software is hosted on 2 domain(s), including waimaighaiphahxi.in/ , weedshop.org/ .
I brought this to the notice of the Agency who was administering this scheme with copy to Partner Account Manager of the software vendor. In about 1 hour I got a telephone call from the Agency - a girl told me not worry - as we were pre-registered for the scheme!! When I asked her about Free Malware given out to the dealers upon registration - she feigned ignorance and said she will check up. There is no response from software vendor yet.
Few days back I had written to the same vendor's Senior Manager asking him if any quality checks are in place to ensure that all dealers are informed about the "schemes" launched by them and agency informs and distributes the incentives in time? After a reminder I got a email saying all distributors are advised to include my email id in all their communications to dealers! I asked him why have I not received the Incentive after 10 weeks of scheme closure - I've yet to receive any reply. Of course, I did not ask him about the schemes - which we did not know about - and lost out on incentives in this period of 4 to 5 months.
Take another example, recently we got cheque of more than Rs.1,00,000/- from one of customer through their outsourced agency - a bank - who makes payment to vendors on behalf of this party. Can you believe that this payment was already made to us few months back - as an advance payment after deducting TDS? When we pointed this out to the customer they asked for the cheque back by courier. Not a word of appreciation or complaint! Is this a routine? I believe so. Else how can you explain customer behaviour as noticed by us?
Believe me, this incident is not an isolated incident. We see about 1 or 2 incidents every year like this and return the cheques.
Un-used and expired Sodexo Gift Vouchers have no value?
Sodexo is a french company allowed to issue pre-paid Gift Vouchers in India. There is a guideline given by Reserve Bank of India giving directions for their operations. It's published in April 2009 under "Issuance and Operation of Pre-paid Payment Instruments in India (Reserve Bank) Directions, 2009".
We had got this Sodexho Gift Vouchers in 2006 from one of the Vendor as an Incentive. We thought we had used it all. But recently - while clearing cupboard - my wife found unused Gift coupons worth Rs.2,600/-. They had expiry date of 31-12-2006.
When I approached Sodexo they said nothing can be done about them as everything has been accounted for so far and accounts are closed.
When I read the RBI directions- it says following:
Issuance and Operation of Pre-paid Payment Instruments in India (Reserve Bank) Directions, 2009
April 27, 2009
9. Validity
9.1 All pre-paid payment instruments issued in the country shall have a minimum validity period of six months from the date of activation/issuance to the holder.
9.2 In the case of non-reloadable pre-paid payment instruments, the transfer of outstanding amount at the expiry of the payment instrument to a new similar payment instrument of the same issuer, purchased by the holder may be permitted.
9.3 The outstanding balance against any payment instrument shall not be forfeited unless the holder is cautioned at least 15 days in advance as regards the expiry of the validity of the payment instrument.
12. Customer Protection Issue
12.1 All pre-paid payment instrument issuers shall disclose all important terms and conditions in clear and simple language (preferably in English, Hindi and the local language) comprehensible to the holders while issuing the instruments. These disclosures shall include:
i) All charges and fees associated with the use of the instrument.
ii) The expiry period and the terms and conditions pertaining to expiration of the instrument.
iii) The customer service telephone numbers and website URL.
12.2 An effective mechanism for redressal of customer complaints shall be put in place by the entity issuing pre-paid payment instruments.
So, I asked them if Sodexo had given 15 days notice to me (as holder) as per direction 9.3 and also inquired about "effective mechanism for redressal of consumer complaint". They had no answer. They noted my contact number and promised to revert. This happened about 4 days back. Before that, I had written an email to the address they have put on the web site in first week of Feb 2010. But, so far, there is no reply to my email.
I feel that such companies - who are authorised to issue pre-paid Payment Instruments i.e., Gift Vouchers must be making a lot of money due to such expired and lost Gift vouchers. But RBI guidelines is not detailed enough to stop such operations. What to do?
Update (21 April 2010): After some telephonic follow-up Sodexo agreed to issue revalidated Gift Vouchers. I've sent the original Gift Vouchers to their Mumbai Office. I should get it in 21 days.
We had got this Sodexho Gift Vouchers in 2006 from one of the Vendor as an Incentive. We thought we had used it all. But recently - while clearing cupboard - my wife found unused Gift coupons worth Rs.2,600/-. They had expiry date of 31-12-2006.
When I approached Sodexo they said nothing can be done about them as everything has been accounted for so far and accounts are closed.
When I read the RBI directions- it says following:
Issuance and Operation of Pre-paid Payment Instruments in India (Reserve Bank) Directions, 2009
April 27, 2009
9. Validity
9.1 All pre-paid payment instruments issued in the country shall have a minimum validity period of six months from the date of activation/issuance to the holder.
9.2 In the case of non-reloadable pre-paid payment instruments, the transfer of outstanding amount at the expiry of the payment instrument to a new similar payment instrument of the same issuer, purchased by the holder may be permitted.
9.3 The outstanding balance against any payment instrument shall not be forfeited unless the holder is cautioned at least 15 days in advance as regards the expiry of the validity of the payment instrument.
12. Customer Protection Issue
12.1 All pre-paid payment instrument issuers shall disclose all important terms and conditions in clear and simple language (preferably in English, Hindi and the local language) comprehensible to the holders while issuing the instruments. These disclosures shall include:
i) All charges and fees associated with the use of the instrument.
ii) The expiry period and the terms and conditions pertaining to expiration of the instrument.
iii) The customer service telephone numbers and website URL.
12.2 An effective mechanism for redressal of customer complaints shall be put in place by the entity issuing pre-paid payment instruments.
So, I asked them if Sodexo had given 15 days notice to me (as holder) as per direction 9.3 and also inquired about "effective mechanism for redressal of consumer complaint". They had no answer. They noted my contact number and promised to revert. This happened about 4 days back. Before that, I had written an email to the address they have put on the web site in first week of Feb 2010. But, so far, there is no reply to my email.
I feel that such companies - who are authorised to issue pre-paid Payment Instruments i.e., Gift Vouchers must be making a lot of money due to such expired and lost Gift vouchers. But RBI guidelines is not detailed enough to stop such operations. What to do?
Update (21 April 2010): After some telephonic follow-up Sodexo agreed to issue revalidated Gift Vouchers. I've sent the original Gift Vouchers to their Mumbai Office. I should get it in 21 days.
Excessive electricity bills paid for 10 years due to a defective electric meter
We were suspecting our electric bills to be high - so after several complaints starting from Feb 2009 - meter was taken for testing in Aug 2009 and found to be defective. Meter was found running even when mains supply was switched off. Reliance gave us 20% refund for 5 months starting from Feb 2009 based on Meter test report - which had tested meter for 10%, 20% and 100% load at Unity and 0.5 lag Power Factor. Average Percentage Error of this 6 readings was 20%.
We went to Grievance Forum - they gave order for 20% refund for additional 3 months - as per MERC regulation. But, our current (new) meter reading shows reduction in consumption of units by 61% compared to old meter. This is in spite of the fact that consumption pattern has remained unchanged - before and after the meter change.
So, we're thinking of approaching Ombudsman for the same. But problem is that of MERC regulation - which states following (relevent provisions are reproduced below):
-------------
MAHARASHTRA ELECTRICITY REGULATORY COMMISSION
Maharashtra Electricity Regulatory Commission (Electricity Supply Code and Other Conditions of Supply) Regulations, 2005
15.4 Billing in the Event of Defective Meters
15.4.1 Subject to the provisions of Part XII and Part XIV of the Act, in case of a defective meter, the amount of the consumer’s bill shall be adjusted, for a maximum period of three months prior to the month in which the dispute has arisen, in accordance with the results of the test taken subject to furnishing the test report of the meter alongwith the assessed bill.:
Provided that, in case of broken or damaged meter seal, the meter shall be tested for defectiveness or tampering. In case of defective meter, the assessment shall be carried out as per clause 15.4.1 above and, in case of tampering as per Section 126 or Section 135 of the Act, depending on the circumstances of each case.
Provided further that, in case the meter has stopped recording, the consumer will be billed for the period for which the meter has stopped recording, up to a maximum period of three months, based on the average metered consumption for twelve months immediately preceding the three months prior to the month in which the billing is contemplated.
-----------
I feel that meter was running fast since May 1999 - when we had shifted over from Single Phase to Three Phase supply.
So, problem we are wondering is from where and how to get refund for a fast running meter for almost 10 years? Any sugestions?
We went to Grievance Forum - they gave order for 20% refund for additional 3 months - as per MERC regulation. But, our current (new) meter reading shows reduction in consumption of units by 61% compared to old meter. This is in spite of the fact that consumption pattern has remained unchanged - before and after the meter change.
So, we're thinking of approaching Ombudsman for the same. But problem is that of MERC regulation - which states following (relevent provisions are reproduced below):
-------------
MAHARASHTRA ELECTRICITY REGULATORY COMMISSION
Maharashtra Electricity Regulatory Commission (Electricity Supply Code and Other Conditions of Supply) Regulations, 2005
15.4 Billing in the Event of Defective Meters
15.4.1 Subject to the provisions of Part XII and Part XIV of the Act, in case of a defective meter, the amount of the consumer’s bill shall be adjusted, for a maximum period of three months prior to the month in which the dispute has arisen, in accordance with the results of the test taken subject to furnishing the test report of the meter alongwith the assessed bill.:
Provided that, in case of broken or damaged meter seal, the meter shall be tested for defectiveness or tampering. In case of defective meter, the assessment shall be carried out as per clause 15.4.1 above and, in case of tampering as per Section 126 or Section 135 of the Act, depending on the circumstances of each case.
Provided further that, in case the meter has stopped recording, the consumer will be billed for the period for which the meter has stopped recording, up to a maximum period of three months, based on the average metered consumption for twelve months immediately preceding the three months prior to the month in which the billing is contemplated.
-----------
I feel that meter was running fast since May 1999 - when we had shifted over from Single Phase to Three Phase supply.
So, problem we are wondering is from where and how to get refund for a fast running meter for almost 10 years? Any sugestions?
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