C.V.O. CA's News & Views > Editorial

"Jungle of Laws" that is how India is known and earned international defame. Strictest laws are seldom implemented and lenient ones are seldom observed. To safeguard the national interest, either new laws are proclaimed or existing ones amended with utter disregard to the governed ones' and many a times just to create deterrent effect inspired due to unscrupulous ways and means adopted either to interpret or by pass the law by only few ones but the burnt is felt by all governed and the administrators get powerful weapon in their hands to keep the community on toes and succumb to their corrupt needs. The methodology should be that culprit be identified quickly, the proceedings be completed uninterruptedly and right decision be declared within reasonable time. It is barely six months completed post 11th September Terrorists' attack on WTC in New York. The excited local native developed hatred against Asians and killed an Indian and an another Asian in the process. The developed country like USA never tolerate such a barbaric reaction. He has been awarded capital punishment, for which he thanked the judge and no further appeal to higher court or the president for mercy. Whereas Indira Gandhi, the siting Prime Minister's killers having openly shot her dead, were punished after more than 6 years' trial resulting in waste of precious human hours on the part of courts, pleaders, anxious Indians and thousands of tonnes of news print everyday reporting the progress in the matter with ultimately no concrete motive to be served.

For failures of administration to tackle the situation, Enquiry Commissions are set up mainly under the chairmanship of retired judges, which to our misfortune prove to be time and scares national resource wasting exercise. The blame known to the public is just confirmed and the gravity of matter dilutes with passage of time or some new quack of greater magnitude coming to surface.

Corporates and entities having to prepare financial statements, whether audited or to be used by Govt. departments for tax assessments, or by finance providers for ascertaining creditworthiness of borrower/ guarantor

or by other semi-govt. bodies like export promotion councils to assess the credentials of their members, have to be governed by more than two dozen Accounting Standards, their disclosures, effect and measurement, which are so technical and prone to subjectivity of erring governed one that user may not get desired output at the same time sincere management will be loaded with additional burden of having to engage professionals, disclose to them secret information and pay their hefty remuneration only to create pressure on their profitability. Question arises will such exercises serve the critical/ peculiar interest of the end user of the financial statements ?.

Another glaring negative effect is seen in the exodus of listed MNCs living the stock markets in a row. We should not forget that more than a quarter decade back, the equity cult was developed and floodgates opened for raising huge public capitals on account of indianisation of MNCs who divested almost half of their holdings in favour of Indian shareholders. It was the quality of their stock which attracted millions of investors to the stock market. The unproductive controls of watchdogs like SEBI, DCA and other bodies have become causes of burden for them without corresponding benefit. "Thurst upon" transparencies have limits and if stretched beyond tolerance, the ultimate common man loses more. Such companies' foreign managements have been deciding to buy back public holdings at a one time "above market price" offer but to get relieved of various burdens forever.

Over dose of governance, in the absence of sincere administration, voluntarily implementable rules, education that changes mind set of governed ones, gives birth to otherwise law abiding citizen to retaliate in various ways - may be by indulging into corrupt practices, removing otherwise good local arm of ruling party by negative voting in general elections and bringing in even a worse ruler or indulge into Terrorism either in the diguise of Jehadi or communal riotor or gangster and so on. One wonders when shall we became open to receive and implement good ideas of desired and rational governance from rest of the developed and developing world ?.