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Contents

FOREWORD PREFACE CHAPTER

I:

MY EXPERIENCES

Section

l- :
2
.)
A

Military Accounts Department'


L943-47

: : : :

IAS in Orissa,1947-64 IAS atthe Centte, 1964-1972


Chief SecretarY, Orissa L972-1974 Secretary, ShiPPing & TransPort,
r974-1977

9 55 79 85

: 7 : 1 : 2 : 1 : 2 :

Deputy Governor, RBI 1978-1983 Post-retirement, 1983 onwards

101

tt1
rz5

CHAPTER II : SIVARAMAN'S EXAMPLE

Section

Career in ICS, 1934-1970

Q5

Post-retirement, 1971 onwards

t43
r47

CHAPTERIII: OURTIMES

Section

Orissa New Delhi, l-964 onwards

t49
185

t
CHAPTER IV: MY REFLECTIONS
209 2TT 223
233

Section

1,

Ad ministratir,le Ethics

L J
/l

Administratirie Methods Administrative Structures Administrative Leadership

265 ?43

Administratois & Policy-making

Foreword

indeThe civil service system of India at the time of tndian Behind it lay an pendence was uniu"rsaily acclaimed for its quality' added by the ancient tradition with the competitive examination smooth transition from Bri.tish. There is little doubt that ihe relatively greatly.possible British imperial rule to independent India was made
- the Indian Civil Service' by the civiiservice system especially the I'C'S'

as Cabinet The last of the I.C.S. Mr' Nirmal Mukarji retired works at the Secretary in 1980. Coincidentally Mr' Mukarji currently Professor' Centr" fo, Policy Research as a Honorary Visiting
successor The Indian Administrative Service was started as the The first batch ofdirect recruits service to the ICS after independence' period was thus an interface for a considerable

i"i""Jit
b"t*e"n

out' the ICS and the IAS before the ICS got phased

1948. There

an able IAS Mr. M. Ramakrishnayya who distinguished himself as one of the ablest tCS official worked closely with Mr' B' Sivaraman' published Mr' official India ever produced' The CPR has already

is a comSiuuru.un', autobiography. The present autobiography

at length of the pariion volume in which Mr. Ramakrishnayya has dwclt made from the ICS nature of the interaction and how the transitionwas to the lAS.

The volume would be of considerable use to the yorrnger generation of civil servanrs especiallyin rhe IAS. It
use to students d^J evolution. and ^.,^r,-ri -

will

oflndian administration

ah;;Joi"oo.la".*f"

hnd its post_coloniat transition

Centre for Policy Research

NewDelhi
June 1992

VJA'

PAI PANAI\DIKER Director

Preface

Being of the first batch of IAS, created in 1947 in place of ICS, I had many occasions to observe and interact with the seniors of the latter service. Of them, Mr. B. Sivaraman of the Orissa cadre exercised a great influence on me. This book is an attempt to bring on record my experiences in the practice of public administration, highlighting the lessons I learnt from Mr. Sivaraman and the interactions with other personalities including ICS officers. A chapter has been added on the political environment in which Mr. Sivaraman and I worked, so that the readers will have a proper perspective. The book closes with my reflections on some important aspects of public administration such as ethics, methods, structures, leadership and policy-making. These thoughts are offered in the hope that they will be of some use to the
succeeding generations of administrators.

A word on the origin of the book. In May


Sivaraman

1989,

met Mr.

in Madras with a view to persuade him to record his

reminiscences. When I found him reluctant, I proposed that I would attempt a book on his life and times, if he agreed to help by recalling important past events and his experiences. To my joy, he agreed. Later, after a month or two, he informed me that on reconsideration, he changed his mind and had begun to work ou his own book. It was my turn to help him in verifying some facts and details with reference to official records, etc. While this joint venture resulted in the publication of his book, Bittet Sweet in 1991by Ashish Publishing Co., New Delhi, I allowed myself to be persuaded by Mr. Sivaraman to pe rsist

with my proposed book with an altered scope. This book is the


outcome.

While writing this book, I have sgught and obtained the assistance of friends and others who have had bpportunities of interacting with me and Mr Sivaraman. Wherever po$sible, I have acknowledged their help in the text itself. Here I shall record my appreciation of the assistance rendered by the Government of Orissa in tracing some old records and supplying copies of official documents. I am grateful to R.K. Misra, chief secretary and his colleagues for the courtesy and consideration shown to me during rhy visit to Bhubaneswar in May 1990. J.S. Sarma, who as economic adviser in agriculture ministry and secretary to the National Commissipn on Agriculture observed Mr Sivaraman closely deserves my thanks for putting me in touch with some foreign admirers of Mr Sivaranlan. I am particularly thankful to Dr S.K. Rau who read the manuscript and offered useful suggestions. To Dr. V.A. Pai Panandiker and the Centre for Policy Research

owe special thanks for eKending fina{rcial support for this venture and for making available other services to see the book through the press.

Mr R. Venkateswararao, my stenogfapher
conte{.

deserves mention in this

M. Ramakrishnalrya

CHAPTER.I

MY EXPERIENCES

Military Accounts DePartment


L943-47

became an administrator not because I studied public administration in college, or perceived ahy flair for it in me after graduation. The real reason was that I was attracted by the prestige, prospects and above all the security offered by the Indian Civil Service. I set my heart on the ICS after passing the B.A. (Hons) examination of the Madras University in 1940, in first class and with the second rank' For a poor boy, orphaned at the tender age of seven and educdted through scholarships and small charitable donations, but alerted early to a bright future repeatedly by a loving guardian uncle and other wellwishers, it did not appear to be overly ambitious. However' my progress towards the goal was neither smooth nor straight.

My first attempt to enter ICS through the All- India competitive examination of January L942 failed' My rank being 32nd, I was consoled by iny well-wishers that mine was a good performance for a first attempt and that I should persevere. But I did not appear at the next examination of January L943, as by then the government had announced that 50 per cbnt ofthe vacancies were reserved for war service candidates and that not more than one person would be appointed from anong the exarninees of 1943. I felt it was not worth the effort and turned my attention to the other competitive examination for entry to central services like Indian Audit and Accounts Service, Military

Accgunts Department, etc. I appeaied at the examination held in Madfas in December 1942. Blt succ(ss eluded me. My rank was 18 and the recruitment stopped at the nunfber 17, due again to a reduction in the vacancies on account of war service reservation.
Fortunately for me, the need for Sfoung officers in the expanding war departments brought me two offert: that of a civil gazetted offrcer in the ordinance department and a pi$bationary officer of the Emergency Cadre of the Superior Service of the Military Accounts Department. As the latter was similar to the one for which I aspired at the competitive examination, I accepted it and joined as a probationer in Meerut on JuJy'23,1943. After six months of training, I was posted to the office of Field Controller of Milltary Accounts, Pune. There I served till March 1947, when I was appointed to the A1l India Administrative Service, which replaced the ICS.

The All India ddministrative Se4vice (later reaamed IAS) was started withwar service candidates who were found fit for appointment to the reserved vacancies in the ICS. I was one of them and thereby hqngs a tale worth recording. ln l9M, some colleagues and I made representations to the Military Accountant General (MAG), requesting that our service in the Emergency Cadre should be declared as war service and thus made eligible for qonsideration for the reserved vacancies to be frlled after the war. The justification was that we were on contract to serve anywhere in Indi4 and Burma, the latter having been declared a war theatre. This request was turned down. But sometime in January 1946, I came to know that a colleague of mine called Martin, who by virtue of a higher rank in the 1942 examination was appointed against the regular vacancies in the Superior Service, had sent an application to the Federal Public Service Commission (FPSC), for consideration against a war service vacancy in the ICS. I approached him for clariffcation as to how his service could be categorised as war service in face of MAG's reply referred to above. He showed me, somewhat reluctantly, the letter he had received from the FPSC containing the single sentedce: "Temporary service in the Military Accounts Department is covered by the term war service." Although I' took note of the reference number of the lettsr and collected the application form from a friend, I was not convinced of the validity of that letter and the competence of the FPSC to give such a

Mititary Accounts Department, 1943'47 privilege of government in the ruling. Everyone knew that it was the ;;#t"di-"nt to make such declarations' This apart' the iast date already fo, ,uUtoirti"g upplications against war service vacancies,was from an application frled ou.r. t *u, no't .*e if any good would come to my 18-year-old wife' at that stage. When I conveyed this dilemma was any harm if I applied' I ri" *t"Jr"""cently whetier there reason indi,r"r*"ify ."pfi"d that there would be no harm although own loving she in her cated that it wouldbe a waste of time. Thereupon, stronger *uy tot""a me to apply. Perhaps, her faith i" Tyj::tTl*as interpreter of ;h?t;;;*". I had to swallow'my pride as an infallibleof my superiors ,ot"r.lurt U"fore this event, I hadwon the appreciation Bombay for my stand in a controversy with the Accountant-General' to the Indian Medical Service' relating o"n ,fr" in,"rpr"tation of a ruie -"ttp,t"rf"r and Auditor-General upheld my viel' My pride in ifr" on insolence' My my intafect was always very high, almost bordering beyond *if" b.ooght me down to earth and made me aware of forces
the ken of man.

AccountantIt was indeed providential that Pearlby, the Military petition for recognition of Ceneral, who had earlier turned down our as he was a as war service, held back Martin's application' ;;;* comments to the iJgufu, uppoiotee and forwarded mine with adverse

effectthathewasnotawareoftheinclusionoftemporaryservicein receipt of ii" *fft".y accounts department as war service' On should notthe be why it uoofi"utioo, FPSC called me to show cause I replied' tongueili'*i.J""tl" ground that it was too late' To this'

i"l"i""t, ,ft" f .ltumitted

the application within six months of the date of my service as war of the Commission's letter declaring the eligibility

time limit in the original ofanother condition of eligibility' viz.' age' sovernment order inrespect ilJai",fy, ,ft" aommission's office was satisfied with my explanationIn the middle of and i was called to attend the selection prc'cedures' military accounts department iSqA,rh.temporary clerical staff of the for Jro"t *o.t tirrouihout the country in support of their demand After some hesitation' i""ogrritiot of thelh service as war service' notificaaccepted the demand and issued the necessary ;;;;;;" months later some iion. Thus, when I appearedbefore the Commission I thought I was in a fairly comfortable position' ior inl nnuf int"rview,

."J"", ti" months being the prescribed

Two Administraton : trnteraction Bettveen ICS and

IAS

when the notification was issued in August or so.

But, by then, the Commission,seems qo have found out that accepting my application was a mistake. The c$airman confronted me with the question as to how I could apply in Jaduary, as a war service candidate,

correct the mistake byjust not selecting me. providence seems to have intervened again at that stage. Eventqally, my name appeared in the list of successful candidates. Although I applied in accordance with my wife's advice, I was not sure of success. In that mood, I consulted a palmist called Sharma. an

in them and that I was confident of getting selected for the ICS. However, it was obvious to me that the Commission could quietly

Commission's letter. He countered by saying that the letter was issued by mistake and I should know that the ltome Ministry alone could make such a declaration. He blamed it on tlte temporary staff in his office. I was taken aback, but with some presqnce of mind, said that I refused to believe that FPSC could commit mi]stakes and added that it was rrv lot too in Poona to carry on the war effort with the help of te-oor# staff and that all of us did our best in the circumstan""r. Th"."upoo. the Commission changed the subject and asked why I did not appi fo; services other than the ICS. I replied that obviously I was not irterested

cited the

upper division clerk in the FCMA dffice, whose predictions were known to have come true in the case of some friendi. He assured me of success and added that the result would be published on November 20,1946. Duly impressed with his reqdtngs of my past, such as the real date of my birth' and a silly mistakez in one of the papers of the ICS examination of L942, followed his advice to eichew cereals on Thursdays and salt on the day of the interview. I was assured that mv interview rntervrew would fall on a Thursday, my lircky day. Thursday it was tall my when the Commission grilled me as I have d0scribed. The palmist,s predicpalmist's oredic_ tion as regards the date of publication of the resulf also came true. Although these events strengthened my faith in providence and pal_ mistry, I did not like the idea of knowing the future in advance, except when placed in a real dilemma.

I must add that when I decided to apply as a war service candidate to please-nyrvife, I told some colleagues in pune to act likewise. But they did not. Perhaps their wives advised them differently. I was the only one in the military accounts depadurent to apply and jet selected.

Mililary Accounts Department, 194147

One of.my,fiiends used to say jokingly that I had hitched rnywagon to a star,,,Equal$ hurro:qustry, he describgd me .as a "gate crasher", when news of n'y succoss was,out. Two othe-rs reacted:differently. One wrote a letter. to the E ditor, Bombay Chronrcle ingrqotost,eg*i.'st a 'ikite-flier" being selected. Another sent a represeatation to govemment, requesting that either'a fresh opportunity be given to the;lites of me to apply and be selected or rry selection should be caacelled' I later'learnt that all the facts relating to my application and selection had to be placed before Sardar Patel, the Home Minister, for final orders.in March 1947' He ruled that it was not practical to allow others to apply at that stage and reconstitute the special selection boards and that there was no case for cancellation of my selection as Independent India needed the servies of many young officers like me. It is interesting to note how diverse were the reactions of ftiends and colleagues.

Although my selection was notified on November 20, 1946, as predicted by the palmist, the letter, appointing rne to the All India Administrative Service and allotting me to the Orissa cadre, arrived towards the end of February 1947. The uncertainty led my wife and mother-in-iaw to invoke divine intervention by promising my first
monthts salary to god Venkateswara and a pilgrimage to his shrine at Tirupati. The delay, we later knew, was due to the decision of the Inteiim Government headed by Pandit Nehu to close down the ICS and constitute a new service in its place. This required consultation with provincial governments. Bengal and Punjab, which were then ruled:by Muslim League governments, did not aglee to the creation of a rrew All-India service. Some of the Congess-ruled provinces were also.not very enthusiastic in their support. It was entirely due to the foresight, administrative wisdom, tact and persuasive skill of Sardar Patel, the central Home Minister that a consensus could be hammered out at the ionference held at Nagpur in December 1'946. It was decided that the ploposed new service should be created, leaving out of its

scope the dissenting provinces under the control of the Muslim League. Accordingly. the war service candidates selected for the ICS frorn the participating provinces only were appointed to the All India Administrative Service and directed to undergo training in Metcalfe
House, Dclhi.

Between ICS and IAS

Notes :

1.

I was born on May 2, I9?Lblt my uncle got my date of birth recorded as February 2, on the advice of his fellowteaqhers when I was in the fifth forrh. They feared that I would be barred from appearing for the SSLC examination in March 1935 if my age was allowed to remain lesb than fourteen. They thought that the incumbent District Educational Officer. known to be a strict man, would not be persuade{ to grant condonation under his special power. Whatever migdt have been the reasons that
prompted my uncle to back- date mf birth, I decided to live by this

lie throughout my career. When ifr 1972, Government .of India


gave an opportunity to its officers tO change their recorded dates of birth by producing fresh evidence, I did not fall to the temptation, because I had great respect for my uncle under whose loving care and expert guidance I glew up, having lost my mother at five and my father at seven. I also belifved in the adage, "God does

everything for our own good". In fact, my recorded date of birth made me senior to V.S. Mathews of the same year of allotment, in the Orissa cadre of IAS and proved iuseful when the latter with his political clout tried to claim promotion as Commissioner before
me in 1960.

The mistake was to answer all thie ten questions when I was expected to answer six only, thereby diluting the quality of every answer and earning a low mark for Oach of them.

IAS in Orissa, L947't964


1'947' Soon my colleagues had seen active service' I found, that barring a few, all by the Our joy at getting the appointments was, however, tempered pay fixed for the new service' di.appointtiettt at the lower scales of the So-e gave exp.ession to the injustice and invidiousness implicit in its possible different levels of remuneration for the same work and would deleterious effect on the morale of the members of AIAS, who sensed have to work with ICS officers who had stayed on' Some others understood the compulsions of the leaders the mood of the time and

I reported to the AIAS Training School on March 20,

with Independence' Some ' tunities and chailenges that had opened up

issue' ofthe freedom movement. The latter advised not to make this an of us rejoiced at the vista of opporThis view finally prevailed' All

could ask of us (and I was oni of them) had the idealistic streak and more work for less pay rhetorically, who was more noble, he who did I or he who iook more pay for the same work' In retrospect, however' and the would permit myself ihe thought that the lower emoluments responunconscionable delay in making corrections for inflation were for the fall in standards that the old mandarins of sible, at least in part, hard India and otheri often lament. I know from my experience what a to stand firm against the temptations struggle it was for honest officers uod!."rsu."s of the corrupt and the powerful and how the idealistic wife streak alorre sustained them in the struggle' I was lucky in having a and refrained from making children who respected my values

and

10

Two Adntinistrators : Intaruction Between ICS and

IAS

unreasonable demands on me. Itwas recognised that a good administration made some improvements in pay and

in the eighties that the nation


an

appropriate price tag and

on,

I value my days in the Training Sch


and criminal law

I gained and the

officers from different provinces and Urdu, which was at first compulsory for announcement ofPartition, as parJ ofthe

for the knowledge of civil ity I got for mixing with ith different backsxounds.
was dropped soon after the

ion ofindependence. I remember heaving a sigh of relief, with others, at the dropping of Urdu. The riots that broke out in i and Puniab in the wake of Partition put an abrupt end to our traini4g schedule. We were drafted

for special duty as magistrates. After ave;y short stint at the Paharganj police station in Delhi, I was posted, alorig with four others at Kurukshetra, under the overall supervision cif the deputy commissioner, Karnal (East Punjab). To receive the large influx of refugees daily, provide rations and shelter to them and maintain law and order were ourtasks. The district administration was under great strain and could come to our assistance only intermittently. The resources at our command were grossly inadequate and we had to improvise. As we had no formal designation we began to call ourselves Assistant Refugee Commissioners. At the instance of our Principal, M.J. Desai, who was also additional secretary in the home ministry we used to send fortnightly reports. I was in charge of writing them. We made use of these reports to convey frankly our difficulties, the problems ofrefugees, our efforts at improvisation and the need for a massive programme and better administrative arrangements. Desai sharedour reportswiththecentral Ministry of Refugees and Rehabilitation. Minister K.C. Niyogi and Secretary Kripalani took our observatidns seriously, visited Kurukshetra, saw for themselves the'dark spots'hitherto played downby the

dcputy commissioner, Karnal but highlighted by us, and initiated


remedial measures immediately. As part of our duties, we had to face iiowds eager for shelter and.impatient at the slow pace of the erection of tents. Persuasion and public relations were the only instruments at our disposal. One of us, who had a sten gun and loved to display it, was made to hide it, lest it should lead to provocation. We had to contend against human frailties such as petty thefb and false claims for woollen blanke ts. We dispensed quick justice for petty crimes. To ensure that

IAS in Oissa" 1947-1964

woollen blankets would go to the needy we ventured out at night to identify the really deserving persons and gave them slips of entitlement. On one occasion, one of my colleagues was assaulted due to a misunderstanding of his mission. We also found some refugees dissimulating in anticipation of our visits. Indeed, it was not easy to do good to the deserving. These early experiences of coping with difficult situations without adequate resources and back-up support, through impiovisation and frank reporting to higher echelons, taught me useful l-essons for the future. I leatnt that to play down difficulties in the field and to highlight a few good points for the sake of presenting a good
face for the occasion, would be very wrong and indeed unprofessional. I began to attach great importance to the fortnightly report as a means

years, I tried to introduce this kind of reporting wherever it did not exist. I also encouraged field officers to write frankly without any inhibitions. The last such occasion was in the Reserv Bank oflndia, where there was no previous practice ofbranch managers located at state capitals communicating with headquarters

of communication. In later

about their problems and the economic situation.

scenes

I remembered Kurukshetra for a long time as the heart-rending I saw used to haunt me even in my dreams. The words 'nikl<e

nikke baclrche' used to resound in my ears for months, even after I left Kurukshetra in December 1.947. Further, it was here that I met Dr Ushaben, the daughter of K.M. Munshi, a famous Congressleader. She came to do social work and fell in love with K.S" Raghupati, one of my colleagues. They married some years later. Raghupati was also a member of the Orissa cadre, and over the years I developed a great regard for Ushaben. To her I owe tle opportunity of meeting Mahatma Gandhi in Birla House, New Delhi, just before leaving for Orissa. The few moments I spent with him and his blessings have always remained fresh in my memory.

In the middle of Dec:mber 1-947, I was relieved of the special duty in Punjab and was ordered to join as assistant collector, Cuttack in
Orissa for field training. The collector, B. Mukherji, was an ICS officer. My colleagues and I hoped to benefit from his guidance and make up for the time lost in Punjab. But the collector made it clear at the very first meeting that he had no time for us and that we should pick up the ropes from his subordinates. This was completely contrary to what we

12

were told at Metcalfe House to expect.

we had to train ourselves,

and went to and from the The roads were in an awful state. Droves of mosquitoes attacked us night till we retreated to the safety of the nets. After a few days I was to Puri. The reason perhaps was that the government was in of rooms for their visiting guests. T ife at Puri was better as there wq less mosquitoes and I could

We were all put up at the Circuit Ho collectorate in a buggy drawn by two

find a house and bring my family. in Puri. Although the deputy collector, did not provide many opportunities for i with him personally, I was given criminal cases to try and a revenue petition for local enquiry. The latter, I remem[ier had something to do $ith the Orissa Private Forests Act. Panchanan Tripathy, a deputy who was later posted as secretary tq the chief minister and to IAS, taught me the intricacies of treasury work. B.K. Patro, the district and sessions judge who was elevated to the High Court in hue course let me watch the proceedings in a sessions case and helped me complete the mandatory case record. I used the spare time available for studying the Criminal Procedure Code, the Indian Penal CodF and various laws bearing on revenue administration. This was in preparation for the departmental examination and the imminent postidg as subdivisional officer. I mastered some of the fine points of crirhinal law as was evident from the reaction of R.L. Narasimhan, the examiner to an answer of mine in the viva voce. He enquired if I had a law desree. As regards training I made good district magistrate P. K. Das, a

I recollect
college.

by Sriramachandia Dash, one of the staff members. He was known as an orator and a stormy petrel. Speaking on the social and political problems of Orissa, he made some astoutrding statements. He referred to the recent assasination of Mahatma Gandhi and warned that the leaders of Orissa might meet with a similar fate, if they did not heed the signs of the time. He satirically referred to me as 'the official background' when I tried to caution hfm against straying from the
subject. In my concluding remarks, I hadlto counter his arguments, put the various issues in proper perspective dnd advise the students against

an incident in connection with a function in the Puri

was invited

to preside ovor a lecture to be given

adopting extremist attitudes.

At that

tlime,

was not aware of his

IAS in Oissa, 1947-1964

1J

unsavoury associations. After the rneeting, I was surprised when the college siaff formed a ring round me to escort me safely to my home' A fei days later, the government called for a report on the meeting, as in the meantime, Dash had misbehaved with his colleagues and created details a furore on some othet matter, of which I donlt remember the he was transferred to Koraput now. I learnt, after some months, that district on the basis of my report. Dash lived to become the head of the department of politics ut th" Utk"l University. He lost the chance of being appointei to the IAS, though selected in the interview held under not the s'pecial recruitment scheme, due to some indiscretion' I did have much to do with him during the rest of my career in Orissa'

My first posting was

as subdivisional officer, Khurda,

in the Puri

district. I was there for about six months only' The periodwas uneventful, except for the visit of Governor Asaf Ali who seemed to have carried igood impression of rne and conveyed it to the chief minister' Here it was that I became confident of disposing of seemingly difficult

cases under Section 107 and 145 Cr. P.C' and large numbers of mutation cases on the revenue side. I recollect two instances' In one case under Section 145 Cr. P.C., the evidence was such that the cbnclusion was not apparent and the judgement had to be rewritten

in more than once. I was gratified when on the reading of the order jubilation and open court, the winning party broke out in spontaneous confirmed my conclusion' I had a habit of keeping the final order unwritten till ihe last hour or so, to prevent it being leaked and to thwart claimed he the widely rumoured tendency of a member of the bar who and made money on that basis' could infiuence the magistrate
recall another criminal case in which I committed Gangadhar Paikaray, a prominent communist and his colleagues to the Sessions of arson and rioting during a tenants' agitation' I Cou.t or, "hu.g", order that I was doing so, only because it was the made it clear in the prerogative of the Sessions Judge to evaluate the recorded evidence' ihe niagistrate's duty endedwith recording it and the finding that there was a pr-ima facie case. Although my sympathy for the tenants and their communist champions was transparent, I could not help committing them in view of the le$al position. This earned me the friendship of Gangadharbabu. When I compare this with the.reactions of a more co--rr.rist leader of the seventies to similar well- meaning and

"*ul6d

14

Two Administraton : Interaction Bitween ICS and

IAS

correct actions of mine, I feel sad at and discrimination among the leftists. Iater.

loss of the sense of propriety ore about that exalted leader

the satbarakai system Sarbarakars were farmers of revenue. In their place, government servants with the title of Naib Tahsildars were appointed for a group of villages to co ect the land revenue directly

time I took . . By the abolished. charge of the sub{ivision, had been

under hindu law, two senior lawyers from Cuttack apea.ed io ory gi-p court. In the-beginning, they seemed to be sceptical about my under_ standing of the law and looked at me, a vbry ju;ior offrcer of ihe IAS, in a rather indulgent xnd sondssssa.ting -uoo"r. After the hearing,

ment was sent to the handwriting expert, who confirmed my lay opinion, whereupon I took criminal action on the party for using the forged document. In another revenue case involvini s,rLssion r-ights

through inheritance or sales had also to be recorded. The proceedings as mutation cases in revenue law. I undertook a specill drive to dispose of about a thousand pending cases through camp courts. To do so I had to tour the subdivision extensively. I realised how easy and satisfuing it was to do justice to the people by visiting the villages, and hearing the affected parties direcily in t"ai of through touts and mukhtiars or petty legal practigners. I recall a long_pending mutation, case, in which my homework tolil me that the thumb impression on the crucial document was forged and the intricate arguments of law of no consequence. The lawyer would not concede. The docuwere referred to

problemg a large nurnber of mutation had been pending, to rv rY----o, the great inconvenience of the tenants. llhe promulgation of Tenants Relief Act accentuated this problem. Fcjrr, under thJAct, the share of bhagchasis or sharecroppers was raised ito 3/5 from U2 and the enforcement of this provision led to a lot of resi and unrest. It thus very important for all concernod to establish beyond doubt lec_ame their rights to tlie land records. Most nf the sharecroppers were Mncri of tt . .r....*^-cultivating on the basis of oral leases. Those in long term possession but on oral lease as well as those with written leases wlre keen to record their rights. Similarly, tenants of landlofds were also anxious to get their rights regularised through entries in revenue records. Transfers

from the tenants and maintain land pecords. Due to transitional

IAS in Oissa" 1947-1964

15

however, they stayed to convey their appreciation and we became friends. One of them, Harihar Mahapatra, became a High CourtJudge. As this rvas my first contact with people in different walks of life, I was keen on establishiug a reputation for fair dealing and incorruptibility. I went to great lengths in this pursuit. In the first two months, I had no car of my own. I travelled by bus, refixing to use cars offered by the ricliresidents ofKhurda.I soonbought a second-hand Chewolet of 1942 vintage at Calcutta for Rs 5,500. The normal car advance
sanctioned by government was not sufficient' I had to supplement it by selling a small piece of agricultural land I had inherited frommyfather.

This was my only patrimony. To avoid embarrassing situations, I cautioned my wife not to accept anything in my absence, without my permission. As a result, she did not touch the bag of vegetables I sent home during one of my tours. I had bought the vegetables as they were cheaper than in Khurda, but by the time I returned home they had
perishe d. Similarly, wHen during Diwlrli, the mer.chants of Khurda tov/n brought me baskets of fruits and packets of sweets, I accepted a few

'

only in token of my appreciation and returned the rest, to their great surprise. In doing so, I was rteither nervous nor defensive. I'was determined to be correct, even at the risk of being labelled a faddist. It was in the same bold spirit that I turned down the application of the

wife of the collector, P.K. Das for a plot near the railway station in
Bubaneswar, which was expected to appreciate several times in value shortly as a result of the decision to locate the new capital of Orissa in the adjacent forest area. Such caution was more important later when other and more sophisticated peddlers of corruption carne my way.

Six months later, in November 1.948, I was relieved by G.C.L. Joneja, to become additional under secretary in the Supply and . Transport department. Although a war service eandidate gnd my seirior by two years, he was not with me in the Training School. As he was from the Punjab, his appointment had to wait till,after Independence and Partition. I found him somewhat boisterous and overconfident. Although innocent like me of active service, he chose to greet me at our first meeting, in the army slang as 'old boy'. Having discovered the size of my family, he a father of two girls and a son proceeded to lecture me, a father of four girls, about family planning. I replied with the adage, he laughs best who laughs last. I was already

Two Adrninistrators : Interaction Between ICS and

IAS

aware that at least some of mV were tributes to the efficacy and availabilitv of the familv devices of the time. After eieht months or so, I met him as collector, $olangir and had the pleasure of congratulating him on the imminend arrival of his fourth child. He confessed that the die was cast on thb very night of his entry into the subdivisional offi cer's bunsalow at The ironv was that he went on scoring in this game, While my remained four (with the loss of a daughter in 1949 and the birth of A son in 1950) his rose to five. My wife and I had suffered great grief in 1949 when our fourth daughter died of liver disease. Her birth had my appointment to IAS and her death coincided with my pr to the senior scale. I have often blamed mvself for mv in the early days ofher disease,

and my failure, due to financial

to send her to the liver

specialist in Madras who had earlier oured my eldest daughter.

At first, I was reluctant to join dt Cuttack, as I was not sure of getting suitable accommodation immediately. But Sivaraman broke down my hesitation by promising me ag early allotment of a Wadia hut (the name given to asbestos-roofed holses designed by ChiefEngineer Wadia) and by offering to put me up tlll then. He did not bat an eyelid when I informed him that my family consisted of my wife, four young children and a dog. When I actually arrived by train one afternoon, he showed me the extraordinary courtesy. of sending his car to the station and personally receiving us at his houge. We stayed with him for more than two weeks. He would not let me shift till he had satisfied himself that the allotted house was suitable and essential items like coal had been stored. We were treated most affectionately by him and his wife. I benefited a lot from our informal conversations. Even after we shifted to our house, we used to call on him bn Sundays and sometimes stay for lunch. There were occasions when I made bold to borrow small amounts from him and his response vrfas always positive and friendly. Thus were the foundations laid for a lasting personal friendship between the two families. In later years; it became customary for us to
share the evening meal whenever one of us was on a visit to the other's town. After the meal we would talk late into the night, exchanging ideas

and experiences.

At that time, there were four IC$ officers in Orissa.The seniormost was Nilamani Senapati, the revBnue commissioner. The pride

MS in Oissq 1947-1964

of the Oriyas, he was a perfect gentleman, who, aided by his amiable daughter Dolly, kept open house. Hewas not known to be very effective in administration, although correct and kind-hearted in his dealings with the people as well as colleagues. The second in order was B.C' Mukherjee, the chief secretary who despite his romantic image and attitude ofaloofness was considered an able officer and sound adviser' The third was R.L. Narasimhan" the law secretary, who became ajudge of the Orissa High Court and went on to preside over the Bihar High Court. Despite his air of bonhomie he was quite conscious of being a member of the ICS and was inclined to treat IAS officers as less than equal. On one occasion, when he talked decisively about the procedure
through which war service candidates had been selected, I had to retort that the procedure was devised to select leaders of men only as there was no provision to transfer some of the selectees to the judicial side, if found wanting. Sivaraman was the fourth. He enjoyed a high reputation for his competence in civil supplies administration, his lack of snobbery and his unassuming ways. V. Ramanathan was the fifth and
v/as holding charge of the development department. Known to be a good ma4 he kept a low profile. B.Mukherjee was the juniormost' I

have noted that as collector, Cuttack, he took no interest in the youngsters of the IAS. There was a big gap between B. Mukherjee and ihe siniormost IAS officer, A.K. Barren of L940, not to speak of me, whose year of allotment was 1944. Soon, a lar$e number of senior deputy collectors were tobe promoted to the IAS and fitted in between A.k. Barren and G.C.L. Joneja of 1-942' Meanwhile, I was the only IAS officer in the secretariat at Cuttack. Against this background, it is not surprising that close contact with Sivaraman in office and outside had a profound effect on me

Although Sivararnan left the department on promotion.about six months after I joined, he became my friend' philosopher and guide'
S

aying that knowledge was power, he encouraged me to study throughty itre sublects entrusted to my care. Thus it was that I came to study company law so as to be able to dr.aft the Memorandum and Articles

Association of the Orissa Road Transport Company (ORTC)' Sivaraman would go through the drafts I prepared and make useful comments. Later, I turned my attention to constitutional law, when I had to face a writ in the High Court challenging nationalisation of

of

18

Tw:-',4&itittistraton : lnteraction Beween ICS and IAS

passeqgqr.transpclttby road. The leghl knowledge I acquired so early iir my career and the habit of studying carefully new subjects allotted to mc stood mc i.ngood stead in later fears when I cane to face.bigger responsibilities. I believe that one of the reasons in recent years for the derisive desciiption of IAS officers as mere generalists is the failure of several of 'them to appreciate and act on the dictum that knowledge is power. Mahatab was the chief minister at that time. I did not have much contact with hirrr as I was only an under secretary in a department uqder the control of another minister, Sadashiv Tripathy. One occasion, hgwever, has remained fresh,in rny memory. One Himmatsinghka was introduced to me by the chief minister personally, asking :m to olerE, his proposal e4peditiously, Himmatsinghkh, an associati
of tha .Birlas and the sole agent the supply of 5alt t6 Assam, wanted a sirqilai monopolyrin Orissa..He tried to influence me with the usual

fo

.techniques of a .trusinessman calling at my house with prcsents and offering to look after rne during my visits to Calcutta. I rebuffed his app roaches and recommended not odly against the monopoly but also against choosing him for the agency. On receipt of my strong note, Mahatab sent for me. He appeared anmyed and tried to bully me on one point or another. But when I stood my ground and explained the adverse political repercussions of the induction of a non-Oriya into such a sensitive are4 he accepted my apvice and dropped the proposal. His method made an impression on my young and inexperienced mind and strengthened my resolve to render advice without fear or favour.

When I joined the department, Sivaraman told me that my main


tasks were to streamline the operations of the state transport service

with headquarters at Bolangir and to nationalise the passenger road


transport system of the coastal dislricts in accordance with the special law passed by the Orissa Assembly in 1946, My accounts background seems to have led to my selection for thejob. Nabakrishna Chaudhuri, who succeeded Mahatab in 1950, was the person mainly responsible for the law during his previous tenur@ as transport minister. Even as CM, he took a lot of interest in this matter. I therefore came in close contact with him and he stood by me despite insinuations by vested interests and aggrieved persons. Somc of them depicte{ me as a wily Andhra out to destroy Oriya enterprise. The reference was to the Oriya

IAS in Oissa. 1947-19&

19

private transport operators of Ganjam district which had a substantial Telugu speaking population. In a press confereace I was asked how many Telugus had been employed. At that time, I could fend off the question by taking a high moral tone that one should be ashamed to ask such a question, as it would inevitably lead to asking what was the caste composition, particularly the nurnber of Karans and Brahmins. Luckily, my interlocutors became silent. I was, of course, careftrl to maintain a proper balance in recruitment. With the support of my minister Tripathy and the CM, as well as my own hard work and tactftrl behaviour, I succeeded in winning the confidence of all concerned. I was particularly gratffied at the confidence placed in me by R.N. Panda and Hyder Sheriff, the two prominent displaced operators of Ganjam, in regard to the valuation of the vehicles and properties taken over by
the government. The Act of 19t16 referred to above envisaged the establishment of a joint stock company in collaboiation with the trndian Railways in the

interest of rail-road coordination. So, the Orissa Road Transport


Company was formed. The state government and the South Eastern

Railway together held 51 percent of the shares. The displaced operators were also allotted shares as well as seats on the board of directors. Later, at the instance of the socialis!-lM, employees too were allotted shares. Almost single-handed, I framed the rules under the Act, drafted the Articles of Associaticn of the company, worked out the details, built up the necessary infrastructure, reorganised the
routes and services and facilitated a smooth transition from private to public operation. Promoted as deputy secretary in March L949, I was made chairman of the company. L.N. Sahu, AMIE as special officer gave me invaluable support in technical matters.
was indeed a joyful experience when the CM inaugurated it in January l-950 in Berhampur and the travelling public expressed appreciation ofthe systematic public announcement of arrival and departure of buses on the mike, as in airports, instead of being pulled about

It

by their shirt sleeves by touts of rival operators. However, I found to my surprise that the main critics of the company's operation were the government servants, particularly the police and postal staff. Both had lost some of their perquisites, as the drivers and conductors of the nationalised service, who thought they too now were government

servants, acted as equals and refused to oblige as before. The postal

staff had to do the loading of the Sail bags themselves, while the conductors watched, secure in their {ew-found dignity. One assistant superintendent of police enquired fro[ me whom he should prosecute in the case of an offence by ORTC, T1o this, I replied, "me, as I am the chairmaa.n Of course, no such instande arose. It shows the attifude of the lower echelons of the police at tte time. In the fust month of the compant's operations, I toured extengively to ensure that deliciencies, if any, were removed. I wanted to derjronstrate to the public as well as staff that they were assured of the attettion of the head of thb organisa, tlon. tion. At that time I was not aware of orientati orientation courses and training schools and relied entirely on persbnal exhortations, accessibility, prompt redressal of grievances and above all setting an examole to the example subordinates. I have since learnt that lhese methods are not adequate for building good and efficient organlsation and regular training and nrienfal inn courses are necessarv, orientation The operations of ORTC were frnited to the Koraput and Puri districts, The northern and western districts of Dhenkanal Sambalpur, Sundargarh, Bolangir and Kalahandi were in the jurisdiction of the state transport service run directly by goverrunent. It grew out of the nucleus of nationalised sertice that was inherited from the ex-state of Bolangir-Patna at the timg of merger. The remaining districts of Cuttack, Balasore, Keonjhar dnd Mayurbhanj continued to be
with private operaton during my time] I was not keen on spreading the nationalised services to these districts in a hurry, as the two organisations in existence had first to be stabllised and strengthened to meet the challenges oftheir areas, without s(retching their resources further. This also suited the political masters a4d their supporters in these areas of high political consciousness. Many years had to pass before the ORTC could be granted routes in theCe districts. One of my objectives in managing the two transport organisations was to link the far-flung
areas with the capital, Cuttack, and speed up communications. This was my contribution to the fulfilment qf the task of assimilation arising from the merger ofthe ex-states. For example, I introduced an all-night bus service from Bolangir via Sambalpur to Meramandali, the railhead for the train to Cuttack on the Talchet line.

'Ganjam,

IAS in Oissa 1947-1964

21

The State Transport Service, which made a profit of Rs 1.69 lakhs profit of Rs 2.64 lakhs in 1950- 51, my last year. It kept showing profits regularly very year t:Jl L973-74, The other organisation, ORTC which opened its account in L95L-52 with a profit of 0.83 lakhs, reached its peak in 1965-66 with Rs 37.23 lakhs but gradually declined to Rs 12.83 lakhs in 1973- 74, Both organisations began to show losses from 1974- 75. This unfortunate development was mainly due to rising petroleum prices,

in

19,18-49 in the first year of my stewardship, recorded a

failure to increase fares correspondingly, operation of uneconomic


routes on social considerations and the permission to private operators to run buses on nationalised routes up to certain short distances (16-24 kms).

Sivaraman and I were at that time quite enthusiastic about nationalisation of bus transport and felt gratified at the immediate improvements, such as punctuality, seating comfort, better communication, etc. In later years, however, we could not agree on the relative merits of the two organisations. Sivaraman believed that STS was preferable to ORTC as the profit of the latter was subject to income tax and Orissa was compelled to share the profits with the Centre. I countered with the argument that Orissa did not have sufficient funds of its own to expand the STS to its full potential. It would be prudent to obtain the capital contributions from the Railways under the Five Year Plans for a large expansion programme of ORTC. The state's share in the increased profit from such expansion would be larger than what it would be under a smaller expansion of STS. We agreed to differ. Eventually, Sivaraman as chief secretary had his way, and the ORTC lingered on while STS grew rather slowly. In due course, the funds available under railroad coordination policy also dried up. As Union Secretary Shipping and Transport from 197477,I tried to augment the funds but in varh. All that I could do was to streamline the State Road Transport Corporations to some extent. More about it later. In retrospect, Sivaraman has questioned in his bct-rk Biffe r Sweet, the wisdom of persisting with nationalisation, particularly when the state has proved incapable of investing adequately to meet the needs of the travelling public and raising fares to cover increasing costs. My own view on this matter is that a monopoly organisation is no longer the answer. It may not be possible to privatise the services fully and at

22

TwoAdministaton : lnteraction Between ICS and' IAS

one stroke. But the solution certainl)i lies in the direction of inviting private enterprise into this field, such as through operation by private owners under public control and throri,ing open certain routes entirely to private operators. Hasty dismantling of nationalised services will not be in the public interest.

up a reputation for profesI coptinued with my efforts to with Hindustan Motors and sionalism and integrity. While chasses and Chewolet Motors the purchase of the General discounts and the best terms the hi buses, I managed to secure as the emblem for the state possible. chose the Konarak ion. The system of sticking it transport service through open was also introduced by me, to the bus with the help of while the West Bengal transport service was painting its tiger emblem separately on every bus irt great cost and at the risk of the tigers not looking alike. I had read a note recotded by Sivaraman in one of the departmental. files on the various wdys in which officers were being corrupted. One way was to paint hotrest offrcers as corrupt through false allegations and thus destroy their urge to be honest in future' I told myself that when maneaters wero prowling in the jungle of public administration, one could not afford to be off-guard even for a moment.

Two instances of my interaction with the central government


during this,period come to my mind. One was a meeting chaired by the Railway Minister, N. Gopalaswamy Ayyangar. The subject was new railway lines. As.deputy secretary transport, I represented Orissa' I found that most of the time of the megting was being taken up by a few high-ranking officers of the Centre aad some favoured states. I refused to be overawed by the presence of so many seniors and insisted on having my say as the representative of a state government. The chairman conceded the point and my advocacy for Taicher- Sambalpur line was duly recorded. Due publicity was also given to my plea. I was indeed naive to think that Orissa wol d get the new lir:e soon. It was onlylater that I learnt how decisions on such matters were taken by the Cettre and how political pressures wpre more important than cogent arguments. The second instance wab the meeting of the Transport Advisory Council, called to consider the recommendations of the Motor Vehicles Taxation Enquiry Committee, Private transport interests were at that til lb bringing great ptessure on the Centre to lay down

IAS in Oissa" 1947-1964

23

a view to force the state governments to scale down the tax rates. Orissa had raised its rates to the level prevailing in the adjacent state of Madras a few months before

uniform rules for motor vehicles taxation, with

and would suffer a great reduetion in revenue, if the Conmittee's recommendations under discussion were approved. I lobbied
vigorously with the state representatives at the meeting and vehemently opposed the recommendation. Finally, our group won the point and the meeting recommended that the levels then prevailing in Orissa and Madras should be treated as the maximum. A senior ICS offrcer was representing Madras at this meeting and I was rather surprised at his indifferent attitude to the whole discussion, despite what his state had at stake. He, however, thanked me at the end of the exercise. Sometime towards the end of 1950, I was asked by B. Mukherjee who had become chief secretary by then and was holding additional charge ofthe finance department - whether I would like to assist him as additional secretary, finance. I replied that I had no objection if my minister agreed to relieve me. For some reasoq the chiefsecretary did not pursue the proposal. Perhaps those who were in the finance department at that time w.ere averse to my entry into the department. They had a closed-shop outlook and considered me as a rank outsider. At any rate, my hands were fu[ as I had in the meantime become chairman, ORTC in addition to being deputy secretary and deputy transport controller. After sometime, I decided to take advantage of the apparent willingness of the chief secretary to promote me to .the rank of additional secretary. I nade a proposal through my minister for upgrading my post in the transport department. The minister was only'.too ready to support my proposal, as on an earlier occasion, immediately after the transfer of Sivaraman, he had considered me for the secretaryship ofthe entire supply and transport department. Then, I had pleaded for not pursuing the idea as there were fwo seniors to me in the service still in the districts and they might misunderstand and

might suffer in comparison with it would not be in my long-term interest. To my great surprise, Mukherjee opposed the proposal. I met him to explain my position and found him annoyed. He angrily told me that it was time for me to go to a district and asked me to indicate my consent in writing. I replied that I was always ready to
was also afraid that
Sivaraman, despite my best efforts and that

protest.

go to the district but the question of gi{ins a written consent did not irise as government could post'me any]whe.e and I would not like to be seen as running away from my prdsent job. But when the chief minister indicated his favourable attitu[e by-suggesting reconsideration, Mukherjee agreed to make me jolnt sedetary. He was perhaps under the impression that the special pty attached to a joint secretary was the same as in the case of deputy selcretary. He was trying to hand was no precedent in Orissa over a pyrrhic victory to me. In fact, made from Bihar. as Orissa to draw upon. Enquiries were I a separate province. had a comnon cadre with it even after for ajoint secretary should The advice received was that the namely Rs 250 per month. be the same as for an additional , Thus, with my elevation, a new order of joint secretaries came into being in the Orissa secretariat.

My joint secretaryship was short-llved' In the summer of 1951' I took leave in protest against the deci$ion to split my charges (oint secretary to government, state transport controller and chairman ORTC) in order to accommodate a senlor police officer who had to be found a suitable berth outside his department' I opted for the post of district collector after the leave. Accofdingly, I joined at Bolangir in
the northern division headed by Comnlissioner, Sivaraman.

During the two-and-a-half years that I spent in Bolangir district' I learnt much from Sivaraman: the art ofinspection, supervision offield work, attention to detail, advance pla4ning, etc. I had ample oppor-

tunities to practise the art of administration, play the role of coor' dinator, probe the complexities of rural development, initiate and
undertake programmes of different kinds and above all, to understand and redress the grievances of the peoplp. Under the inspired guidance of the commissioner, my colleagues and I completed the abolition of the Gountia system (Gountia was a collector of land revenue), built roadg executed minor irrigation works and pushed through agricultural development programmes. As p4r( of the Gountia abolition, we managed to recover five acres of goo{ land from the Gountia's jagir and settle it with the gram panchayat. T[e income from these lands was meant to provide a steady revenue for $pending on common purposes. While pursuing the multiplicatior of iraproved seeds and trying to frnd a substitute for the usurious grain loans prevalent in the district, I struck

AS in Orissa"

1947-1964

25'

upon the cooperative grain gola scheme which was later adopted by government for other districts also. It was a visit to the village Salepalli and discussion with members of the cooperative grain gola operating there on a small scale that gave me the inspiration. Briefly, the scheme envisaged the organisation of a cooperqtive society in every panchayat with grain as share capital. The gram panchayat was to arrange multiplication qf improved seeds on the five-acre holding of jagir lands vested in it and to deposit the entire produce with thocooperative at a predetermined rate of interest, say 10 percent. The society was to sanction grain Ioans out of its stock to the needy farmers at 5 percent per annum, as against the prevalent rate of 50 percent. Government was to provide a grant for building a storage godown in the headquarters of every gram panchayat. One room was set apart for use as office jointly by the panchayat and the society. Sivaraman, who lent his full support to the scheme, managed to secure an initiai grant of Rs 3.5 lakhs for 70 godowns from the Food Procurement Botrus Account he had created with great foresight as secretary, supply and transport. The estimate of Rs 5,000 per godown proved to be low and I had to strain myself ccnsiderably to keep within the estimate by procuring materials like galvanised .iron sheets directly from Tisco's factory at Jamshedpur and by maintaining a tight control on the expenditure. Later, as finance secretary, I got the estimate revised and sanctioned a higher amount. It is interesting to note that about three decades later, the Government of India sanctioned a scheme, with financial assistance of the European Economic Community, to the National Cooperative Development Corporation for encouraging construction of storage godowm at the head offices of Primary Agriculture Cooperative Soocieties (PACS). My scheme anticipated this in a sense and attempted to make a coordinated use ofthe resources of the departments of agriculture, cooperatives, revenue ald the gram panchayats.

More than anything else, the grain gola scheme gave me the opportunity to demonstrate my capacity to convert an idea into an institution, plan for it meticulously, obtain the necessary resources,
coordinate the activities of different departrnents and achieve the goal

within the time I set for myself. The idea was born sometime in the
middle of 1952 and most of the seventy godown buildings and all the two hundred or so cooperative societies, one per gram panchayat,

Two

Adninistraton : Iiteraction

Between ICS and

IAS

started functioning by the end of 1953. Patnaik, the assistant registrar,

cooperative societies, S.S.S; Rao, the district agricultural of' ficer(DAO), V.R. Rao, the deputy co ector and several others helped
me in accomplishing this time-bound goal'

In many panchayats, the land was ilonated free and the sarpanches

constructed the buildings, The few e+gineering overseers at my disposal and the assistant engineer who was specially spared for the purpose were alwap on their toes. I toured frequently to ensure the work was being done properly. The exercise involved not only the construction of buildings and the orgarrisation of the cooperatives but also the cultivation of improved seeds by the less ees of the S-acre iagii lands, the usufruct of which was vested with the panchayat for making a recurring deposit with the cooperative collecting the usufruct. I remember how meticulously the DAO planned the movement of improved seeds in the summer of 1953 to different panchayats and how periodically I reviewed the progress with all the officers concerned. We thanked our stars for the late onset of the monsoon that year, along with Lord Hillary's Everest team. For, my teams could reach some panchayats with the seeds only in the last week of May. At that time I suffered an attack of typhoid. I was so taken up with the seeds programme that during my delirium,I kept having visions of crops. The poignant thought that crops were risirrg and so was my temperature' moved me to copious tears. I had the gratification of seeing my dream come true before I moved to the secretariat in December 1-953. A new institution was thus frmly in place in Bolangir, to be followed by other districts in due course.

also had the opportunity of onganising and holding the first

general elections in December 195L- January 1952. Itwas a great lesson in meticulous planning. One incident deserves mention. A week or so before polling day, Pandit Nehru camb to address an election meeting in Bolangir town, in his capacity as Congress President' We had received instructions on how to condtrct ourselves in view of the dual roles of Panditji, as Prime Minister and Congress leader. The physical arrangements for the meeting, such as the dais and barricades, were to be made under the supervision of the district magistrate' but at the expense of the district Congress committee. A circular under the signature ofCM was received earlier tXrat all officials, particularly those

IAS in Oissa" 1947-1964

27

engaged in election duties, should not only be impartial but should be seen to be impartial. The district Congress committee rnade its own

parliamentary constituency, I had to step in. I reiterated the government's diiective not to participate in election meetings and advised that attendance was one form of participation. I told them to be conspicuous by their absence and to assemble at the district office by which Panditji's car would be driven and thus satis$ their desire to see the Prime Minister. It was made clear thaf there was no objection to the wives attending the meeting. By way of abundant caution, my additional district magistrate, S.S. Murthy, also consulted Sivaraman who was passing through Bolangir. He confrmed my interpretation.
came as a surprise therefore, when soon after, I read in the a report of the speech given by Chief Minister Nabakrishna Chaudhuri describing my action as proof of open hostility of high officers of Bolangir to the Congress party. The Ganatantra Parishad, in turn, lodged a counter protest with the chief election commissioner, New Delhi, describing the chief minister's speech as ar attempt to intimidate the election officers of Bolangir district on the eve of the
newspapers

interpretation of the instructions and began to cause embarrassment. The committee hosted a dinner for Panditji and invited me, the superintendent of police and the district judge to it, despite my plea not to embarrass us with invitations which would have to be declined in compliance with the government's directive. We did not attend the dinner. Further, the president, DCC made an issue of the attendance of government officials and their wives at Panditji's election meeting. The Ganatantra party, which had a large following in the area, took the opposite line. As the controversy grew, the officials sought guidance from me. As district magistrate and the lstgning officer for the

It

The meeting went offpeacefully and Panditji left the next morning.

poll. Thereupon, the chief election commissioner made enquiries from the Orissa government. He added that while pima-facie therc was nothing wrong in the order barring government employees from attending election rreetings, an investigation should be ordered to see if senior officers of Bolangir district had indulged in any other objectionable act, l, on my part, wrote to the chief secretary explaining in detail the circumstances and requesting that a formal enquirybe made so that I may clear myself of the charge. I also demanded that should

28

'IwoAdmmts'

Between ICS anil IAS

note exonerating me aad give the press note as much publicrty as lllas given to the chief minister's Service Association, Orisspeech. The Indian Civil and of Sivaraman and passed a the sa met in Cuttack under s statement and requesting that resolution deploring the chief the correct facts should be placed before the public in the interest of of the service. Soon after the maintaining the morale and I and conveyed ny anguish at polling was over, I met the chief of unworthy conduct. Being a the fact that he thought of me fair-minded man, he conceded that hb was somewhat confused by the

the government, after careful fully justified, they should issue a

find mv action correct and

contradictory ways in which senior offlcers in Cuttack behaved, including the chief secretary, who had attended Panditji's election meeting
and the advice that he had received frlom the chief secretary about the permissibility of passive attendance bj' government officials at election meetings. Although he was at first rOluctant to issue a press note, it must be said to his credit that on my ihsistence he got one issued after

about two months, vindicating my position. The chief secretary (B. Mukherjee) too was generous enough to own the wrong advice given by him on the spur of the moment. Such were the seniors and leaders
of those days. Just before this episode, I had opcasion to save Mukherjee from some embarrassment in a writ qllse in the Orissa High Court. A petition was filed by Koshal Trading Syndicate, Bolangir, in which the princely state of Bolangir-Patna held shares. Ihstead of treating those shares as having passed on to the Orissa government, a transfer deed was obtained by Mukherjee from the Maharaja. Unfortunately this tleed was drawn up wrongly. It showed that the shares were transferred to

B. Mukherjee by name instead of to the Orissa Government. The


management of the Syndicate took advantage of this mistake, refused

to register the transfer in its bodks and prevented the district

6egrstrate, Bolangir, the nominee of the state government' from participating in the meetings of the bodrd of directors. This matter was
pending from the days of my predeceCsor, Barren, who, incensed at the obstructive attitude of the management, tried to use his executive power to fix them in some civil supply matter and thus bring them to their senses. The Syndicate replied with a writ petition' There was a

AS

ili, Oissa" 1947-1964

29

and a consequence of merger. I persuaded the management to withdraw the case, invite me to join the board and elect me as its
chairman. Suitable compromises were also struck on other pending matters, in a spirit of give and take. Had the case not been withdrawn and arguments presented in court on the basis of the defective transfer deed" the negligence ofChiefSecretary Mukherjee would have become public. He was therefore thankful to me for the tactful resolution of the natter. The ambivalence he showed earlier on the proposal to make me an additional secretary disappeared and our relations became cordial. We learnt to trust each other and could cooperate freely when we met later in Bhubaneswar and New Delhi. in different circumstancs.

deadlock when I took over charge. Witb my knowledge of company law, I studied the case and found the lacuna. While the Syndicate was technically h the right, on merit and substance, it could not contend against the true nature ofthe transfer as one through operation oflaw

In Bolangir district

had two dynamic subdividional officers,

Mahapatra (whose initials I cannot recall) in charge of Patnagarh and K. Suryanarayanan in charge of Sonepur. The former did very good work in regard to minor irrigation. Although not very impressive at fust sight, he was a sound administrator and was promoted to the IAS later, if I remember right. The latter belonged to the L948 batch of IAS, a product of the competitive exam. He had a chequered career due to excessive drinking and the consequent indebtedness. He died young of tuberculosis. But at Sonepur he displayed extraordinary energy and great administrative skills, perhaps with a view to prove himself and erase the indignities of the immediate past. I encouraged him in various ways. Through an intelligent application of the inspection technique to case records, he unearthed the nefarious practice of the taluk magistrate of Biramaharajpur, a place cut off by thq mighty Mahanadi and poor communications. He used to make important mdrnbers of the local bar 'mahaprasad' brothers, by swearing on the mahaprasad of Lord Jagannath of Puri and sharing it. It was widely believed that such brothers had to hang together and refrain from giving evidence against each other. Having thus shut off evidgnce, he proceeded to take bribes for disposal of criminal cases.
Suryanarayanan's inspection revealed that in two closely related cases

30

Two Administrators : Int)praction Beween ICS and IAS

in which the accused ard the defendant phanged their roles, both were

acquitted. Enquiries brought ouf thpt the magistrate took four sovereigns frorn each initially and retufned two to each of them on ordering their acquittal. A fair treatmqnt indeed by some standard! instituted deliberately in Some cases were also found to have misdemean were brought to light. He was pursuit ofmoney. More Although the delinquent suspended and a criminal case was
officer tried to destroy the evidence by
down the taluk office.
we managed to get him dismissed in due pourse. This case showed what

ingenious methods were employed by qorrupt officers and how great was the need for constant vigilance. was in Bolangir that I learnt tho rudiments of the kendu leaf business. Kendu leaves are used in urapping beedis and have always been in great demand, not only in India but also in Bangladesh and Sri Lanka. I saw these leaves for the first titne while they were being sold by village women on a summer evening. I was then returning from a tour of the interior. Curiosity led me t0 make enquiries. Three facts impressed me: one, the collection of l<endu leaves provided much needed employment to the landless, particularly the women and children in the non-crop sesson; two, tbe prices paid were rather low; and three, moneywas not being paid regularly due to shortage ofcoins. I took up the third point with the Reserve Bank of India and got them to set up a small coin depot in Calcutta. I pursued the other two points and found that the kendu bushes grew on government lands as well as private waste lands and the kendu metchants carried out coppicing operations for growing tender leaves and irnproving their quality. I conveyed this to Sivaraman on one of his visits. He took steps, with the approval of government, to regulate the trade, fix prices for the leaves and make this minor produce a source of revenue for government. I was destined to play a part in strearnlining these arrangements and in realising the full potential of this resource for the benofit of Orissa. More about it later.

It

At the end of 1953, I was transferfed to the secretariat as joint secretary in the development department. Although thechief
secretary's intentionwas to entrust rre with the new National Extension Service and Community kvelopment Programme, B.S. Mahanty, the

secretaryin charge of development department insisted, as a result of

AS in Oissa"

1947-1964

31

a misunderstanding that I should take charge of some other subjects, which in his viewwere less important. They were local self-government,

cooperation and forests. One friend quipped that I was specially brought in to complete the drafting of the rickshaw regulations under the Orissa Municipal Act, which had been pending for some time. However, I was not disappointed, as I genuinely believed that every subject deserved to be studied carefully and it was up to the man in charge to make it worthy of wider attention. I have always believed in the adage "God does everything for our own good." Earlier, this belief had made me refuse to try for a change of cadre, although several friends and well- wishers pressed me to ask for the composite state of Madras. War service candidates, it may be recalled, were given no choice and I viewed my allocation to Orissa as an act of God. In retrpspect, I can confirm that I have had no regrets and I benefited immensely from God's dispensation. Service in Orissa provided me with excellent opportunities, freed me from the undesirable pressures of kith and kin and enabled me to become an impartial, just and helpful administrator. Similarly, the minor subjects of 1953 acquired so much importance in due course that a separate department of cooperation and forestry was constituted. Local self-government was taken away at some stage but not before I put on the statute book a law for town planning, created the directorate qf town planning and got the first town plan prepared for Cuttack, with the help of V.C. Mehta, a retired oflicer of a princely state in Saurashtra v/ith practical experience of such matters but without formal qualifications.
Despite mysense of satisfaction, the fust year orlornt secretaryship earned me an adverse entry in my confidential report at the hands of Secretary Mahanty. It was duly communicated to me. It said that I was very argumentative and inclined to split hairs. I was naturally unhappy at this and consulted Sivaraman. He advised me against any written representation, saying that while evaluating the entries the reputation of the authors would also be taken into account. He added that the . particular entry might not necessarily be viewed as indicating a grave defect. Though I followed his advice and consoled myself, I felt let down by my immediate superior and blamed it all on his displeasure at my refusal to relieve his son-in-law Shyamanand Patnaik to join a post at the Centre. Patnaik, an agronomist and head ofthe soil conservation

32

division in the forest department was an able officer with great potertial. I had a very high opinion of him. He hadjust earned the approbaput up at RajgangPur in tion of Pandit Nehru for the whispering asking whether the two Sundergarh district, showing erosion of the barren lands below wa$ due to an atomic explosion. He isind an ambitious soil conservation was then in the midst of His departure would have been proggamme for the first time fatal to the programme, So I not only advised against relieving him on the ground of public interest but also bonvinced him ofthe bright future he had in the state. He, in fact, rose tb be head of the department soon and made valuable contributions to the science and art of soil conservation, before death claimed him prfmaturely in an unfortunate road accident. But his father-in-law took hnother view and was annoye{ at my reply that as secretary of the department, he was free to overrule me. He was not willing to do so and blamed me for splitting hairs.

il

To Shyamanand I owe my early understanding of the importance of soil conservation and the various techniques in vogue. We jointly planned and executed many projects.' One such is the sea-front forest that visitors to Konark now see and enjoy. Indira Gandhiwas reported to have been struck with the luxuriant greenery during her visit in the seventies. The forest had been planfed fifteen years ago. We started it in 1955 with a few strands of casuarina on the sea-face followed by cashew and bounded asain by casuarina. Our purpose was to save the famous temple and the neighbouring agricultural lands from the flying sand. Another soil conservation officer, Chaitan Patro, also deserves mention. I met him for the,first time at Kurnool, while attending the meeting on the soil conservation progranlme under the Machkund multipurpo/e project. It was ajoint project ofthe states of Orissa and Andhra Prhdesh. Patro, an officer df Orissa agricultural department, was on deputation to the project. I was surprised to find that the provision in the project estimate for $oil conservation was being shared by the two states on the same princlple as in the -case of the dam and power (1/3 for Orissa and ?3 for Andhra, if I remember right) although most of the lands to be conserved lay in Orissa. I was able to get the allocations reviewed and the responsibility for execution transferred to Orissa, along with Patro. Thus did my fruitful association with Patro

US in Oissa, 1947-1964

start. I encouraged him to try new methods and exotic crops like coffee.

He did me proud. Cooperation came to occupy an important place in the strategy of planned development under the Second Five Year Plan. I could pursue the scheme of cooperative grain golas which I had earlier formulated as Collector, Bolangir. This brought me into contact with
the Reserve Bank of India and B. Venkatappaiah, its dynamic deputy

governor. My acquaintance with this remarkable man, which began during the debate on the recommendations of the All India Rural Credit Survey Committee in a conference in New Delhi, blossomed into a rewarding friendship during the long road journey undertaken by us for a spot study of the Bolangir experiment of grain golas and
subsequent discussions at Bombay. I was indeed fortunate in forming a warm relationship with another ICS officer with unnusual qualities of head and heart. Servicemen like him and Sirvaraman are examples to studn remernber and emulate.

I went to the New Delhi conference well prepared. I had armed mpelf with a detailed brief on all the points. The brief was drawn up,
after consultation with all concerned, at ameeting under the chairmanship of the chief minister. I was therefore able to take the lead in the discussions and persuade the state representatives to take a united stand on the creation of National Relief and Guarantee Fund, despite attempts of central government officers to play down this recommendation of the Survey Committee. In the final session, I had to face Dr C.D. Deshmukh, the finance rninister, who had set his face against this Fund on the ground that relief in the event of natural calamities like flood and drought was a larger question than credit and could not be met by the resources of a special fund. He however assured the states that the central government would accept the substance of the recommendation and help the states when such calamities occurred. On this assuratrce, advised the state representatives not to press for the creation of the fund.

Thanks to the persuasive power of Venkatappaiah, the Reserve Bank of India agreed to treat the cooperative grain gola society of Bolangir on par with the large-sized cooperative societies then being promoted by it and allow the state government to contribute share

Two Administrators :

Inkraction Benveen

ICS and

IAS

capital and extend other facilities. ThQ orthodox view that prohibited the co-existence of cash and grain tranixgli6n5 wrs set aside. Evidently, Venkatappaiah was impressed by Wiat he saw ia the field, as well as my argument that some method had to be found for facilitating the transition from barter to monetised ecdnomy, a feature brought out by the Rural Credit Survey, and above alt nry presentation as a special invitee at the meeting of the Bank's St{nding Advisory Committee on Agricultural Credit. The grain gola socleties made steady progress and Venkatappaiah had occasion to review them after a year or so in a conference in Sambalpur. As expecfed cash transactions became more important each year. oThe trerisition from grain to cash was hastened by economy changes, I m{rs} 'add that after a time, the practical difficulties inherent in storagd and verification of large stocks of grain led to loss of faith in the conceined offiqials and non-officials. The regular deposits of grain by gram panchayats also dried up with the restoration of the jagir lands to the former Gountias by the Swatantra-Congress coalition government on a singularly myopic view of the matter. Thus the grain gola cooperative of my dream got converted into a purely cash-handling eociety in the seventies.

The cooperative department and the agriculture directorate had


to be made equal to the new challenges of higher agricultural production. The field echelons were weak and morale yas low. I reorganised

'

them on the basis of yardsticks evolved with reference to workJoad, provided promotion opportunities, inttoduced the practice of annual review conferences, involved the rnrinister-in-charge in the final deliberations and improved the self-esteem of field officers by incfuding them at the functions of the chief minister, a privilege hitherto confined to collectors and other senior officers. In respect of the cooperative department, I collaborated with the Reserve Bank in setting up a training centre and persuaded the government to buy a large building for the purpose in Gopalpur-on-sea. As regards the agriculture directorate, spurred by the injustice done to Chaitan Patro in the cadre, I produced the first-ever seniority list, gave opportunities to the aggrieved to represent openly and did away with the aura of intrigue and secrecy surrounding thege matters. Sivaraman, who as chief secretary-cum- development corhmissioner was taking a lot of interest in agricultural development gave me all the trecessary support.

IAS in

Oitsa

1947-1964

35

As regards the forest department, which was better organised, my contribution was to impart greater policy content to the customary annual meet in the forest and detailed interaction with the divisional
forest officers at regional level meetings on important matters such as

working plans, afforestation, tenants rights, administration of long leases, etc. The knowledge I gained thereby proved of great value
during my chairmanship of NABARD later.

I had the good fortune of working directly under Nabababq the chief minister and of enjoying his full confidence and support. Incidentally, this is how we used to refer to him, in taken of our affection and regard. He had the endearing habit of dropping in occasionally at my house, without notice. This, he joked was in order to escape from unwelcome visitors. On one such visit, he exhorted me to study regulated markets in pursuance of a suggestion made earlier in the day by Dr Sen of the Union ministry of agriculture. On another occasion, he put me on to town planning. I believe I repaid the trust he had in me by helping him to get the necessary laws passed and establishing the directorate of markets and town planning.
Here I must record the special efforts made to argument the forest revenue with Nabababu's support. Income from the lease of the right to collect kendu leaves (with which I got acquainted during my stay in Bolangir) was increased several fold by adopting the monopoly system and selecting lessees through competitive tenders. I remember how in 1954 the chief minister approved, on my advice, the highest tenders for each lot within a few hours of the opening of the tenders, thereby eliminating the scope for manipulation and political wheeling and dealing. With a view to maintaining the highest standard of hpnesty and integrity, the chief minister found it necessary to circumvbnt the deputy minister in charge and encouraged me to deal with him direct. Again, in 1956, just before he laid down his high office and left politics to work amongst the tribals, he accepted my advice to make advance settlement of kendu leaf leases for the next triennium, L957-1959 arrd ensured that the state got the maximum possible revenue from this source. As we both were fully conscious of the likely abuse of this source in the imminent pre-election monthg we deliberately planned

tb preempt the issue. As anticipated, the new cabinet, headed by


Mahatab, was not happy at the advance settlement and tried its best to

36

Between ICS and IAS

reopen the matter. Eut the care with left him no room for manoeuwe.

the settlement was made

In my search for higher revenue, Sy attention was drawn to the


extremely low rates of royalty that mills for bamboos. The two marn and the Orient Paper Mills, and the the near future. The question was hovt higher rates immediately, even being paid by different paper
were the Titagbur Paper Mills

were not due to eraire in to persuade the lessees to pay the enexpired portion of the rle political clout. When had lease periods. Both the lessees he said that it would be I placed these facts before the chief well-nigh impossible. He, however, agreed to give me a sporting chance. I undertook to try on one co[ditio4 that the chief minister of the lessees and instead should refuse to see any of the refer them to me. . In due course, after fte usual threatening noises and accepted my formula by which the dropping of names, both the further beyond the original the existins leases were to be dates but on enhanced rates of royalty. The total period from the date of six years each and rates of of decision was divided into two royalty were increased in two stages. The trade-off was between an assured supply of bamboos for a longer period and higher levels of royalty. For completing this exercise, I had to put the lessees in a proper frame of mind by taking certai4 executive steps, such as a strict verification bf the exact number of bamlboos being cut and transported, which resulted in slowing down the movement. In other words, we had to get across the message that the govbrnment and the forest department were not to be taken for granted and the earlier practice of accepting without question the figuros reported by the lessees had ended. No doubt, the competitive offer of a new lessee, Bengal Paper Mills, for new and virgin areas helped in creating the proper atmosphere for the break-through in the negotiations. The chief minister was

jubilant and recordod in a file relating to the Orient Paper Mills: 'nThe Secretary has done a good job of work for the State by trying the
impossible and succeeding in raising rates of royalty for the bamboos. Chief Secretary may see all the relevant cases and consider advising other Secretaries to copy this good example."

I must add that the Orient Paper Mills did try to go back on the agreement, after the assumption of office by Mahatab. They reopened

IAS in Oissa, 1947-1964

37

thematter and executed the documents, only after the government gave them some concession in respect of one or two areas. This illustrates how much can be done by the minister and the bureaucrat working together. It must also be said to he credit ofthe political leaders ofthat time that although they were not happy with'some of the decisions taken and the role played by a bureaucrat, they were not vindictive and did not take it out on the bureaucrat. Each respected the other's role.

With the advent of the Mahatab ministry, my department, cooperation and forestry was reorganised to include agriculture, animal husbandary and fisheries and renamed Development. Radhanath Rath, who held the charge of finance and education in the Choudhury ministry became my minister. He was a journalist and
well-known as the editor of the leading O riya dar7y, Samaj, By profession, he was accustomed to gather all kinds of reports and it was not always possible for him to choose those that deserved credence. As finance minister, he had displayed his penchant for purposeless detail by undetaking the scrutiny of each and every scheme put up in the cabinet meeting and prolonged the buget meeting for about two days, to the annoyanc of Nabababu and his colleagues and the disgust of the attendingbfficers. Now, as development minister, he appeared to have a mandate to question the decisions taken by the former chief minister, particularly in the last few months of his tenure. He thought that the kendu leaf lease settlement for three years was irregular on the ground that the Orissa Kendu Leaves Control order would expire in the meantime. As regards the bamboo leases, he found fault'with the procedure as prior concurence of the finance department (which was in his charge at that time) was not taken. I expressed my dismay at the criticism when I ought to have been congratulated for increasing the revenue of the state. As a result. our relations came under strain.
Some other matters accentuated our differences. He did not like my commenting on the tour uotes of the registrar, cooperative societies, Somnath Nanda, one ofhis favourites. Theywere in the habit

of meeting and discussing important matters relating to cooperation,

without involving me, the secretary of the department. He also resented my taking exception to another favourite, R.N. Dwivedi,
deputy director, markets, approaching him with a petition for a recommendation for promotion to the IAS. In a more serious matter, Mini-

38

Two Adtninistrators : Interaction Between ICS and

IAS

tion was sprung on me abruPtly

morning, saying that he had He added that I too received a a ptition listing some have received a copy. Thereuflon, I queried with a mischievous should look, how could he know of it? ThQ mitrister's reply was that as the petition was anonymous, he assumed that copies would have automatically been sent to the secretary. In fact, I had not received any such ptition. The minister then showed dre his copy of the petition. After a quick perusal, I comrnented that some of the allegations had been looked into earlier and found baseless and that I would look into the rest and glve my advice, if the petition was passed on. He agreed to pass it on, after diarising it in his office. On study, I found the other allegations to be baseless also, at any iate, not ofthe nature demanding suspension. My enquiries showed that the main motive behind the petition was to create a vacancy and appoint Dr G. B. Biswal as the director. Biswal was no doubt well dualified in animal husbandry (as distinct fromveterinary science) whidh was then gaining in importance. His forte was intrigue and exploitatlon of parochial sentiments. He was mainly responsible for the ruin of a highly competent veterinary surgeon, M.M. Rao, who, according to a famous surgeon of Orissa, Dr' H.B. Mahapatra, was capable of oprbrating with both hands, speedily and dexterously. Biswal resented thle support grven by G.B. Singh to Rao and ensured, when he later bebame director, that Rao's hands remained idle. All attempts to help R ao failed and he died in a tragic road accident. Comingback to Miniiter Rath, the proverbial last straw on the camel's back came in the form of a note I submitted for orders in accordance with the latest instructions of CM, on the procedure for submission of files, i.e., which matters could be disposed of at the secretary's level and which should invariably go to the minister for orders or information. Rath asked for a change of secretary in the middle of 1957. Accordingly, I was qoved to finance department, after an inifial proposal to post me to revenue did not go through due to the preference of the minister-in-charge for R.P. Padhi who was then finance seeretary. Mahatab sent for me and assured me that I should
not take the change amiss as other cabinet ministers were keen to have

IAS in Oissq 1947-1964

39

me as secretary. It was indeed very nice of him to, reassure me in this manner.

When I took over as finance secretary Mahatab held the finance portfolio. But after a year or so, when he formed a coalition government along with the Ganatantra party, R.N, Singh Deo, the leader of that party, took over the department. I became somewhat apprehensive in view of his party's stand on some important issue. For example, the monopoly system in the case of kendu leaves, with which I was closely associated, did not find favour with the Ganatantra patty, which stood for freedom of trade. It was also against the scheme of standardisation of land revenue which I was promoting. However, Singh Deo put me at ease by saying that he had nothidg against me and that he was prepared to consider alternative methods for augmenting revenues from land and kendu leaves, although he was politically committed to opposing these two methods. He recognised that the bureaucracy had the right to advise the minister to the best of its ability and could not be blamed for the advice. After a week or so, I went back to him with proposals to levy a surcharge on land revenue rates on a slab basis and to levy atax on transportation of kendu leaves and some other goods. He readily accepted my formulations and persuaded the

cabinet to approve the necessary legal measures. Singh Deo was truly magnanimous and completely free frorn bias. I must also place on record the correct and sometimes indulgent attitude of Chief Minister

Mahatab, who continued to consult me on various matters, while respecting my position as secretary working under his coalition partner. Free and fair advice according to the best of my ability was all that was asked of me.

One instance during this period when Mahatab asked for my advice deserves to be narrated in some detail. In September 1959, S.S. Murthy, the development secretaryand I were orderedto reportjointly on two issues relating to kendu leaves. One was the policy to be followed from 1960 onwards after the expiry of the edsting leases on December 31, 1959 and the other was the representation of the kendu leaf lessees for remission of a part of the lease money due for the triennium L957-59 and e$ension of their leases for one mote year, till 1960. This order was given at a meeting held in CM,s room on the 19th September in the presence of the finance and health ministers, belong-

40

Two Administrators :

I'

Between ICS and

US

ministers' ing to Ganatantra Parishad, and development and revenue bJlonging to Congress. According] to the -development mirister to*e Jther decisions werle also taken but Murthydied on

in.N.i.ut"tt;,

tn" ZZIA ola heart attack, before he could record them' G'C' Dalh who succeeded Murthy joined me od the 26th October, to hear the relevant advocate of the kendu lessees. Aft{r a scrutiny of all the

information collected by the develop{nent department, we submitted next day, I heard the a joint report on the 3rd November. $n the very aivocate of the lessees once again, at the specific instance of the CM' The joint report had pointed out that "in entertaining and considering the requesti of the petitioners for rsduction of the lease amount or extensioo of the peiiod, the Gover.nhent will be 3g1ing outside the terms of the contiact and in satisfaction of their interest in the maintenance of existing trade channels of kendu leaf business' " We frst paid under the contract as ruled out refunds of lease amounts bad in principle andrecommended ariextension ofthe contract for one .or" y"u, at reduced rates on a slab system, the average rate of reduction being 2.6 percent on the assumption that a commercial opportunity foimaking up the earlier losses would be also preferred

byihe less"es. The report added that "if for any reason Government
is agreeable to consider the prayer of the petitioners for some conces-

sion in the current year's royalty, theymay adopt the above slab systerr for 1.958-59 too, " thereby fixing the to[allease period as four years, two

on higher rates of royalty and two on reduced rates' This idea of extended contract was suggested in tle earnest hope that Mahatab would be able to persuade the Gatratantra partners to waive their declared opposition to the prevaililrg monopoly system under the
Orissa Kendu Leaf Control Order tomporarily and to enable them to reconsider the entire matter calmly in the best interest of the state' From my meetings with Mahatab, I formed the distinct impression that he would try his best to save the systertr. But finally, the cabinet decided to end the system due to the uncomppomising stand ofthe Ganatantra ministers and opted to dispose of the petition of the lessees by granting have a rebate of 20 percent for 1,958-59. Ip the preceding paragraph I
stated how I tried to cut the loss of rovenue by introducing a transport tax on kendu leaves along with bamboos and minerals' This episode was made the ba sis of apima facLe case against Mahatab by the Sarjoo Prasad Commission and CBI was asked to frame charges' Little did I

IAS in Orissa" 1947-1964

4I

realise in 1959 that I would be suspected of collusion and asked to explain by the Central Bureau of Investigation (CBD in 1973. Some members of parliament also made baseless allegations against me in Parliament. This, I believe, was at the instance of the estranged chief minister, Nandini Satpathy. More about it later. Theq to my shoc( I discovered that Minister Rath was tdng to disown his role in the matter and deny that his development department had anything to do with the joint report, misleading the investigators abriut his own clear preference for the continuation of the monopoly system. That the CBI did not believe him or that the case did not reach the stage of a trial is a different matter. This illustrates the risk that a dedicated civil servant is exposed to, if he influences policy in a particular direction.
In December 1959, the government appointed the Orissa Taxation

Enquiry Committee under the chairmanship of Dr P.S. Lokanathan


and asked me to be the member-se cretary in addition to my duties. The

other members were Sivaraman, Member Board of Revenue, Dr.


D.C.Misra, Professor of Economics in Ravenshaw College and three politicians, Rajkishna Bose of the Congress, Banka Behari Das of the Praja Socialist Party and S.N. Mahanty of the Ganatantra Parishad. It was ind'eed a great experience. Three events come to my mind, two concerning my emoluments and the third the committee's work. Some
months after the committee started its work, I was offered a post in the Centre on a higher scale, Rs 1800-100-2000. The Orissa government refused to relieve me in view of the committee's work and decided to compensate me bysanctioning a personal payon a scale, arare gesture. That is how I continued with the committee even after my promotion in March 1960 as development commissioner on super timescale. I had to work very hard indeed, combining the committee's work with that of the development commissioner and planning secretary. The entire

report of the committee, except the chapter on land revenue was drafted by me. I therefore thought I was entitled to an honorarium for the extra work and put in a petition to the chief minister through the chief secretary. I also recommended Dinabandhu Mahapatra, joint
secretary in the finance department, who had assisted me by gathering a variety of material, for an honorarium. To my surprise, my request was turned down while Dinabandhuwas sanctioned the recommended amount. When I protested to Sivaraman, he said that my petition was

42

rejected by the CM, on his advice. He fblt that the additronal development commissioner, almost the second.lin-command, should be above claiming compensation for taking on additional work. This was a lesson in self-denial, an essential element of credible leadership.

Now about the third incident. Thd Committee had followed the practice of giving its broad decisions od various issues and leaving the preparation of detailed drafts to me. ln the kendu leaves case, the committee decided that the monopoly qystem hitherto in vogue should be modified to include a provision for enumerating bushes on private tenanted lands and for paying suitable compensation to the owners of these bushes. I expressed grave misgivings when this matter was discussed but had to go along with the others in the interest ofconsensus. Later, however, while drafting tho recommendations, I found it impossible to make a cogent and convlncing case. I then took upon myself the responsibility of changing thb recommendation in favour of state trading and disftibution of a part dfthe income, as compensation, to the village community or gram panchayat for developmerrt works and prepared the draft chapter accordingly. When the committee met to finalise the report, I explained to them my predicament. The matter was discussed afresh and my draft approved without any change. Kendu leaves being a sensitive issue in Qrissa politics, the state trading scheme could not, however, be implemdnted immediately. It fell to my lot to make it a reality in 1972, whenl came back to the state as chief secretary under the Nandini Satpathy ninistry after a spell of deputation with the Centre. More about it in a later chapter.
positive role, that ofa helper rather than an obstructionist. I may illustrate by a few instances. In one case in which Minister Radhanath Rath wanted to sanction advance increments to a favourite professor on the basis ofhis foreign qualifications, I evolved. a scheme for general application, according to which all who were similarly qualified, becalne eligible for advance increments. The cabinet approvedmy scheme. In another case, the proposal of a department to create extra posts on an ad hoc basis was replaced, at my instance, by a scheme of reorgariisation according to which the posts were rationalised on the basis of workload and utility. In the
As finance secretary, I tried to adopt
a

process, the department got more posts than they had originally proposed but in a phased manner. As the concurrent head of the

IAS in Oissa, 1947-1964

43

Bureau of Statistics and Economics, I was instrumental in organising the annual crop survey and preparing the crop forecast for inclusion in the budget speech of the finance minister. This practice still continues. As ex-officio chairman of the Orissa State Financial Ccrporation, I played an important part in the implementation of a unique self-employm.ent scheme proposed by Dinabandhu Sahu, the industries minister. According to the scheme, an Oriya entrepreneut wishing to set up an industry in Orissa was required to find 20 percent only of the equity of the project, the balance of equity and loan being contributed by the government, OSFC and the bank, acting in a coordinated manner. He was made the managing director and given the option of buying up the state government's share after some years. I had the privilege of presiding over the Approving Committee and coordinating the different agencies. The most successful of the units that came up as a result of this scheme was the ferro-alloys unit of B.D. Panda at Rayaghada. Many others, I must sadly admit, fell by the wayside due in part to lack of competence and sincerity on the part of the entrepreneur, lack of proper monitoring and the over critical attitude of succeding governments. Such schemes came to be taken up much later by other states and the Centre. Although Orissa in a sense

anticipated others

in this matter, it could not make it a success.

Perhaps, the people and the administration were not yet ready for such innovative ideas.

I was promoted to the super timescale in March 1960 and posted


as Secretary Planning and Coordination and Development Commis-

sioner. I continued in this post till November 1964, with a slight change in designationin June 1961. asAdditional Development Commissioner. I was given the responsibility for coordinating development programmes and plan schemes among the secretariat departments as well as in the field. I was required to keep in close touch with panchayati raj bodies, heads of departments, divisional commissioners and district officers. For this purpose, I developed, along with K. Ramamurthi, secretary department of community development and panchayati raj, the practice of holding a conference in every district in April and May for reviewing the previous year's performance and defining the current year's programme under different heads. It used to be a two-day affair and was attended by all the block extension officers, the block develop-

44

TwoAdmt

st

Beween ICS and IAS

samitis. chairmen of zilla ment officers, chairmen of parishads and heads of departments Qr their deputies. The first day
was spent in group discussions. The plenary session was held on the second day under the chairmanship Qf the additional development commissioner. Ramamurthi commissioner or the revenue the data. They were very evolved different proformae for The idea was to make the useful in focussing on important different heads of departments review hnd guide their respective sectoral activities in the block in the presehce ofpeople's representatives, provide an opportunity for the latter td air their views and grievances and get redress and to bring about au all-round coordination. This involved heavy touring in the hot mon[hs and quick movement from district to district. I found this expetience very useful despite the
rnconveruences.

I left the state in Incidentally, the interest in community development and panchayati raj began to wane at abou{ that time. I recall how hard it
However, this practice was discolrtinued after
1-964.
was to coordinate over a very wide field the activities ofa large number

of functionaries.

The circumstances in which

was appointed as development

commissioner led to resentment in sonie quarters. P.K. Kapila, several years my senior, was holding that post at that time and he was trans-

ferred to Sambalpur as revenue divisional commissioner, northern


division, to make way for me. He had had a heart attack a few months before while on tour and had to be accommodated on the ground floor, away from his department of planning and coordination. He did not like to leave Bhubaneswar, perhaps because medical attention at the state capital was better and as a seniof he felt he had a better right to the post of supreme coordinator. Chief Secretary V. Ramanathan and the cabinet took a different view. One reason was that my presence at Bhubaneswar was necessary for the sfiooth functioning of the Orissa Taxation Enquiry Committee of which I was member-secretary. It was also known that Ramanathan had greater confidence in me and relied on me in many matters. The poor hpalth of Kapila must have also influenced government. But Kapila migunderstood the matter, blamed me for maneuvering his transfer and hinted at linguistic bias of the chief secretary. The truth was that I was willing to go to Sambalpur if

IAS in Oissa 1947-1964

45

government so decided, although I was aware of their reasoning behind the actual decision. This incident naturally strained my relations with Kapila and some of his admirers. But I managed to assuage their feelings fairly quickly.

As development commissioner from

1960

to

1961

with V.

Ramanathan as chief Eecretary and as additional development commissioner with B. Sivaraman as chief secretary-cum-development commissioner, I had the right to send for any file from any department, note

on

it

and submit

it to the minister

concerned

for orders.

rarely

exercised this right. In fact, I cannot recollect, at this distance of time, any case of importance in which I had acted in accordance with that right. What I recollect is the the practice of sending for files pending for lack of concurrence by the finance department, particularly those relating to plan schemes, when delayed cases came to me during the

periodic review meetings or were brought to my notice by the secretaries concerned. After studying these cases, I used to send for
the officers of the finance department, suggest new approaches, emphasise their role as hglpers rather than inquisitors, or objectors and persuade them to take a positive view and accord concurrence with or without modifications. I deliberately chose this method for two reasons; fust to avoid any hard feelings and second to bring about a change of attitude in the offrcers. I thought, I as a senior, was advising and training the juniors, not overruling them. These exercises took a lot of time but I considered them worthwhile. However, friends who had closely observed me have recently revealed that alewjuniors who were subjected to the above procedure were not happy with me. They seemed to have felt that I was argumentative and that encounters with me were not always comfortable and reassuring. Some of them wished that I had accepted their ideas or presentations readily without argument or analysis and given themmyinstant approbation.I am, however, glad that nobody has complained that I let them down in rdoments of crisis, when they had acted bonafide. Such diverse perceptions; I believe, are the fate of a coordinator, however tactful and considerate
he may be in his interventions.

Dr S.K.Rau, IAS, four years

my

junior in the Orissa cadre, who

later became secretary, textiles department in the central government' director general, National Institute of Rural Development, Hyderabad

46

Two Administrators : Iiteraction Between ICS and

AS

and deputy director general, Asian Organisation, Tokyo writes about me as follows: "No half-bakedproposal or an inadequately designed project was approved by hir4; it had to be justified cogently against searching argument. This unnerve junior ofticers, partly due to the most human trait in most of us wanting to be appreciated, and partly due to the distance in hierarchy. The discussion could be viewed as nit-picking by seniors. But no discussion ever led to rancour." Referring to his own experience, perhaps as additional development commissioner in 1972-73 dnring my tenure as chief secretary-cum-development codmissioner, he says: "When any official work was discussed he rarely gave cut and diled solutions but discussed the various ramifications of tlre topic on hand and helped to clear my mind and find out a course. Eut when any personal problem was broached in the family circle, he immediately decide for me. *He is creative. I remember It was a great help." He goes on to the earlv davs when the road system in Orissa was being nationalised. Numerous contingencies had to be visualised and imaginatively countered. That was only thle incubation. In the seventies, I also thought highly of him, from a distance, when he was tackling the drug prices. As late as 1988, I noticed the constructive and far-reaching evolution of development and welfare funds in the National Institute of Rural Development (MRD) when he was chairman of the finance committee... There is a thoroughness dnd organisation in his scheme of things. His application and is quite characteristic. No topic is too small for him... FIis capability to Co many things together is also noticeable. He could switch off and on with priorities, a fine trait." Sivaraman and I formed a perfect team. I was often referred to as Sivaraman's alter ego or 'Chota Sivaraman'. I used to think of Sivaraman as a guru but not in the traditional sense of a person who is

followed blindly. There were occasions when

differed from

Sivaraman and insisted on chalking ou6 my own line of action. Nihar Rajan Panigrahi, a bright of6cer, who became director of agriculture long after our departure from Orissa, had told me, during my preparations for this book, that he and his collqagues could not always understand what Sivaraman said or did. But they did not have the courage

to correct or contradict him and relied on me for elucidation or

IAS in Orissg 1947-1964

47

modification. Tbanks to Sivaraman's faith in me,

instructions so as to make them workable and acceptable to all con_ cerned. Dr S.K. Rau, who had many occasions to observe me and
Sivaraman closely has this to say about us:

could alter his

"I night have had a shallow and inconsequential c6eer, but had the advantage 6f mssring nationally and internationally a number of able administrators. I have admired few as much as I do B. Sivaraman. He is a man with great drive and vision and also had the rate quality of bringing up others. A whole band of us grew up under trior ana tliot of hinr with a{fection and high regard. Among these, M. Ramakrish_ nalya is one, much more influenced by him than others. But to rne it is difficult to conceive ofsuch a great empathy and rapport between two divergent personalities. Sivaraman is endowed; MRK is completely self-made. Sivaraman is quick and iniuitive; MRK isideliberate and
logical. Sivaraman could be unpredictable in his decisiqns: MRKcould be anticipated with a orepared case..But both infused an over-powering desire and drive for development; everything else was submerged in this urgency. MRK owns Sivaraman as his guru. There could not have been as good a sishya. Ifthey are happy with themselves I have no objection, May their tribe grow!"

It is true that, as several others, I have often thought of Sivaraman as a guru and have constantly tried to fo[ow in his footsteps and to
to judge mattsrs according to my understanding or articulate my views

emulate him. This does not mean that I entirely surrendered my right

which might be different from his. On more than one occasion we agreed to differ. For example, I did not agree with Sivaraman's policy of starving Orissa Road Transport Company in favour of OrissiState Transport Service, or his arguments against valuing the lands acquired in Cuttack for town-planning purposes on the baiis of current use of such lands rather their future use. But as he was a senior with power
to. overrule or persuade the government to accept his view, I wenialong with him in some of these matters. It is not as if there were no instances in which I could persuade him to change his views or alter his direction in the implementation of policies and programmes. Broadly speaking,

he dbferred to my views on matters like kendu leaves, coooerative credit, and planning procedures. Our relationship was tirerefore unique, not merely one ofguru-shishya in the traditional sense. Sivaraman

48

Two Administrators : Llteruction Between ICS and

IAS

I acknowledged him as the preface to his book Bi"er my mentor. This will be evident froni
always treated me as a valued colleag$e while
Sweet.

As I was the juniormost commiss{oner and as coordination often involved treading on the corns of collbagues, I had to evolve my own methods for achieving it without cau$ing ill feelings' One such was' what I used to call, the theory of the empty chair' According to this
theory, all formal meetings were called in the name of chief sec'retarycommissioner. But it was left to me to conduct the "u--i"u"lop-"nt secretary-cum-deVelopment commissioner used to meetings. Tire chief progress attend ior short periods, initiate discussion, take stock of the any' More of the ongoing review and clinch speclally difficult issues, if often than noi his chair was empty and it was understood by all that the

additional development commissionbr would, for all practical pur-

poses, be in control of the meeting. This practice, coupled with sudden

and intermittent presence of the chief secretary-cum-development commissioner helped me keep the anlour'propre of the participants

satisfied, while thi age-old dictum that knowledge is power provided the substance for the coordinating process.

I had always perceived my role aE someone who helped eliminate delays and dfficulties, and to this e4d, I worked very hard' It is my

impiession that, by and large, this viBw of my role was accepted and mj services invoked frequently by tho officors as well as the rninisters ircharge of different departments. Friends used to tell me that I had great the abifity to turn my attention from one subject to another with of any problem that contribute effectively to tle solution "u.", -i All this may sound rather idyllic at this distance of time' No came up, doubt, ihere were instances when I was accused of overstepping my authority and the canons of propriqty' But most problems could be settled satisfactorily, as nobody questioned my bonalides or fair-minyears dedness. One instance, which came up for review after several prejudices qf the time deserves to be related, and got entangled in the particularly to show how coordination is a delicate exelcise and how ihe oft-replated exhortation to act promptly and disregard procedural formalities can bring
a

coordinator under suspicion'

IAS in Oissa 1947-1964

49

In October, 1963, I was touring the Rayagada sub-division of Koraput district, inspecting lift irrigation projects. I was also enquiring into the petition of the people and a local MLA, for providing alternative drinking water facilities in view of the pollution of the water in the Nagavalli river by the effluents of the Straw Products Paper Mill. During the inspection of the Gedda lift irrigation project, I came to the conclusion that in view of the tardy recovery of electricity charges and the need for proper maintenance of the irrigation system it would be advisable to hand it over to the existing cooperative society of the beneficiaries. This was in accordance with government policy of promoting lift irrigation cooperatives whsrever possible, and encouraging them to own and manage the headworks as well as the distribution system. The matter was openly discussed and a clear consensus emerged on this approach among the local officials, such as the chief engineer, the cooperative society, the local MI-A, and the district officers. There was also agreement on the terms and conditions of the transfer. The main condition was that the society was to repay
the cost of the headworks in easy instalments and in the meanwhile the whole amount was to be treated as an interest-bearing loan. Accordingly, I suggeste{that the handing over be completed on the following Vijaya Dasami day, pending the issue of the formal order by government. My suggestion was taken as an order, as was the practice in those days and the transfer completed. After about a month, I issued a tour note iaying down the terms and conditions ofthe transfer. The normal practice in such cases was that the concerned department would process the case and issue a formal government order after obtaining the concurrence of all concerned. Unfortunately, in this case, the department concerned failed to take the necessary follow-up action. Having. taken over the project, the society continued to manage it without anybody asking any questions.

In 1970, the Estimates Committee happened to visit the project, evidentlyat the instance of the department which wanted to show one of the well-managed lift irrigation schemes. It was during this visit that the facts mentioned above became known for the hrst time after seven years. The committee took exception to the procedure followed. It expressed dismay at the hurried transfer of government property without obtainingprior approval ofthe cabinet and recommended that

50

Two Ad.rninistrators : Interaction Benveen ICS and

IAS

responsibility be fixed for the lapse. It qb unfortunate that even after the comments of the Estimates Committe{ were received, the department concerned did not take corrective actibn. I could have been consulted, of India. However. the althoush I was at that time in the which I have not been able to matter was kept pending for fathom. All this came to my notice sode time after I retuned to Orissa as chief secretary. While I was suggesting action against the society,

interested parties began to give a twist to the entire affair. They attributed corrupt rnotives to me and palled for a vigilance enquiry. In fact, a petition was filed in the vigilgnce police station, Cuttack in

'

January L974 demanding that I be suspended and a police investigation conducted. At that time, I was on leave, convalescing from an operation. Fortunately, the governor who was then in control of the state administration ignored this petition as frivolous. When resumed

office as chief secretary, I gave instructions, inFebruary !974,to the concerned department to contact the Nagavalli Cooperative Lift Irrigation Society and sort out the substantive matters of ownership and terms of transfer. But perhaps due to the Assembly election immediately thereater, the rr.rattter cor d not be clinched. The Nandini Satpathy ministry assumed office in March, and for some reason" the matter dragged on. It was only at the end of March 1975, when I was Secretary, Shipping and Transport in the Government of India, that I was informed that the so-called case against me was taken before the Orissa cabinet and the latter had totally exonerated me. I was not informed how the substantive issue relating to ownership and management ofthe project was disposed ofand how the period from 1963 was regularised. Perhaps my informant thought that these mattqrs were less important than the so-called malafides of the then additional development commissioner. This narrative illustrates the perils of enlhusiasm and of disregard of procedures in the pursuit of coordination.

Out of curiosity, I tried to ascertain the present status of this project while witing this book. I learnt that by an order dated 30th April 1976, the Government of Orissa asked the managing director, Orissa Lift Irrigation Corporation to ftke over the project on its behalf. It was authorised to levy water tax frofi the beneficiaries from the date
oftakingover. Compliancewas to be roported by 15.5.76. But it appears

IAS in Orissq 1947-j964

51

and power' One of the decisions was that ,'the society should pay the depreciated cost of the project to the Orissa Lift lrrigation Corioration." So, it appears the government had reversed its order of tg76 to over the project and was trying to obtain the cost of the project lake from the cooperative. Copies of correspondence exchanged Uetween the society and the government in the intewening years were shown to me. They indicate that the societywas keen on keeping the project with itself, improving it further as part of its Golden Jubilee in 19g9 and e4pediting its valuation for the formal completion of the transfer of 1-%3. This will give an idea of the complex nature of the matter and the appropriateness of my original suggestion for transfer.

the takeover had not taken place till the time of writing. I was shown a letter of government dated 8.2.90, conveying the decilions taken in a meeting held on 10.1.90 under the chairmanship of minister, irrigation

The coalition government fell in February 1961 and a mid-term election was held in june. As a result, Biju patnaik became chief minister and Biren Mitra the deputy chief minister. Theybrought back
Sivaraman as chief secretary-cum-development commissioner. It was widely believed at that time that Sivaraman-- who was earlier shifted abruptly and without grace from the post of chief secretary to that of member, board of revenue by Mahatab in the midde of 1959_ had out of vengeance, helped Biju,the rival of Mahatab to draft the manifesto on which the Congress fought the election. Sivaraman has explained in his reminiscenses that he did not participate in the drafting of the manifesto but gave advice on some points relating to agricultural development. In other words, he merely took the opportunity for getting political support for some ofthe ideas close to his heart. i was redesignated as additional development commissioner. Both of us enjoyed the full confidence of Biren and Biju. There was a convention that as far as possible one of us should always be available at headquarters for consultation. Thus I cAme to be involved in matters not directly in my charge as secretiiy, planning and coordination and additional development commissiorier.

Biju was a man of ideas. He rode to power on the strength of a great vision for the development of Orissa. The most important part of thatvision was the Paradeep Port project and the alliedlchemei ofan express highway and iron ore transportation from Daitari. I was not

52

Two

Adninisttaton

: Interaction Between ICS and

IAS

. it was an extrilarating exdirectly concerned with them. during.tle first tew perience to work with Biju :" i"h".", such as panchayat samiti iddustries, piped water supply to villases and the galvanisation of gra4 panchayats' I had the privilege ealvanisation villages

yltts

"lg,1t:

of converting the one-line Biju was always in a hurry. He was

of Biiu into workable schemes' of spending nuch thought on

thl -"uo, to be employed or the long-term consequences of his his led to abuses in
actions.

As a result, several

ideas of

few instances maY be cited bY waY

I was persuaded one day to get an order issued that Orissa sales tax need not be reckoned in comparlng bids received for government

purchases. This was because suppliers from outside had an edge over those in Orissa.as a result of the loqer rates of central sales tax' Only

those suppliers were to be encouraged who would agree to set up branchei or agenci", in Orissa and provide servicing facilities' But in practice, the grand aim of developitrg a chain of local suppliers with iervicing facilities was vitiated by bqnami suppliers linked to powers

that be, who began to emerge in large numbers' Tubular trusses manufactured by Kalinga Industrios, a firm then owned by Gyan
Patnaik, wife of ihe chief minister, became competitive, once Orissa sales tax was timitted in the compardtive calculations' As these trusses were being preferred for the constluction of storage godowns, tribal schools, etc., purchases from Kalingp Industries went up' This was one of the iiems cited before the Khanna Commission as proof of abuse of power by Biju Patnaik. Notes recotrded by me and Sivaraman were

produced. The Commission observed that the limited tender system iollowed by me for accepting the offer of Kalinga Industries and Sivaraman'i insistence on the revision of an earlier circular showed the correctness of the procedures folowed. It therefore declared the
allegations baseless.

In another instance, special allocation was made for improving street lighting in Bhubancswar, by traking adjustments in the Annual fhn, at the urgiug of the deputy chief minister that the state capital stoula Ue so lighted as to make Oriyas proud-of it' The decision
happened to help the firms owned by tho wives of the chief minister

'

AS in Oissa,

1947-1964

53

and the deputy chief mrnister, as the former manufactured shades and the latter fluorescent tubes. When I came to know of this I began to doubt whether the purpose originally mentioned to me was the real one.

Disillusioned with such distortions in the implementation of public policies, and considering my career prospects, my thoughts turned towards the Government of India. Earlier, I had been selected for the finance and commerce pool of the Centre. But my release was held back on more than one occasion on the ground that my services could not be spared. At last, in 1964, Sivaraman could persuade the Government of Orissa to release me. He advised that as I had manv vears to go, I deserved a better work environment.

IAS at the Centre, 1964-72


I remained on deputation to Government of India for eight years,
from 1964 to 1972. During this period, I had two spells asjoint secretary in the ministry of petroleum and chemicals spanning five-and-a-half years'In between, I was in USA and Japan for about seven months as Eisenshower Exchange Fellow and a Fellow of the Asian Productivity Organisatibn. Soon after I returned to India, I was posted to the social welfare department as joint secretary much against my will. I tried to impress on the cabinet secretary, D.S. Joshi, the absurdity of posting me to social welfare, after I had made a special study of the fertiliser

industry during my sojourn

in USA and Japan and assisted

the

Sivaraman team sent to invite American investment in our fertiliser industry. However I joined social welfare department on the promise that I would be considered for a post in the chemicals department as
soon as possible.

The social welfare department was in a piquant situation as the secretary and the minister of state were not on talking terms and the secretary was busy fighting a case against Government of India in the Calcutta High Court. He was an ICS officer and the government had decided to revert him to his parent cadre. Eventually he won the case and the government was obliged to give him a regular secretary's post after keeping him as "secretary-in-waiting" with full emoluments but without any work for some time. However, he could not be said to have covered himself with glory as he did not enjoy a good reputation among

56

Two Administraton : Inleraction Between ICS and

IAS

his peers. Meanwhile, the interests of the department were suffering and that explained the fact that I was pipked up, on arrival in India, for this assignment. I managed to get on viith both parties in the dispute and even tried to bring about an amicable settlement but in vain. I also initiated proposals for reorganising the Central Social Welfare Board and for expanding the assistance of UMCEF. I represented India on the UNICEF Board in the meeting of Jtune 1967. Finally, thanks to the good offices of Asok Meht4 the cabinpt minister who held charge of both departments, Social Welfare and Chemicals, I succeeded in going back to my old post in the latter deparfment. In order to do so, I had to combine the two charges for some tide. Perhaps, this was a rare case in which the government posted an ofhcer back t-o thejob for which he had received training during a foreign ftllowship, that the government

itself had soonsored.


As Eisenhower Exchange Fellow ftom March to September 1966, I chose two broad subjects for my stu{y: (a) recent developments in business management techniques; and (b) production and marketing of agricultural chemicals, such as fertilisers and pesticides- To cover the first subject, I attended a six-week executive programme for senior managers held by Columbia University, It was a residential course and gave me useful insights into the thinkiqg of American maragers, their methods as well as their foibles. I supplernented the course work with discussions with corporate executives of some leading chemical companies during my visits to thiir head offices. This knowledge stood me in good stead in conducting negotiations with foreign investors when I returned tomy post asjoint secretary, cllemicals. As regards the second subject, I visited a number of production facilities, marketing centres and field installations in different parts ofthe country. I also spent some time with the Tenessee Valley Authority, the Missouri and Kansas Agricultural Universities, and several federal authorities under the US department of agriculture. The World Bank, the Small Business Administration, USAID and Peace Cdrps also formed part of my itinerary. Before leaving USA, I submitted a report to the Foundation. I gave copies to the cabinet secretary (D.S. Joshi) on my return but alas, no action, within my knowledge, waC taken thereon. Sivaraman to whom I also gave a copy, did however follow it up. I shall summarise

IAS et the Centre, 196472

57

here some of my observations, in view of their influence on my subsequent career,

On the overall question of government's role in business, I was struck how speaker after speaker at the Columbia course, including representatives of the National Industrial Conference Board and Wall Street firms, took pains.to impress on the executives assembled that "the old idea of government's intervention in economic affairs being ipso facto evil is no longer valid and how, on the contrary, government has an important and essential role to play in preserving and piomoting the health of the economy and maintaining proper conditions for the functioning ofthe market and private enterprise." I noticed the curious
coincidence that "while a capitalist society is gradually recognising the need for state (or socialist) action in some respects, the leading communist society has found some use for the capitalist concept of profit." ' I made the refreshing discovery that there was a move towards mixed economy all over, and the big American companies were talking of long-term corporate pla.nning and the government's role in maintaining the environment for making such planning a success. Some of the management techniques made a lasting impression on me, such as systems analysis, sequential planning (like PERT and CPM), R&D, human relations approach, case study method, brain-storming or group sessions and Synectics. The last-mentioned technique 'is based on the theory that a real innovation or invention is not the result of a rational process but a jump in the dark, usually triggered by the emergence of an idea from the sub-conscious level to the conscious through the preconscious.'' Although I was somewhat sceptical of the
synectic method as demonstrated in the Columbia course, I was willing to believe that the broad underlying principle "can be applied with proht in refining one's own thinking process and diverting the search for solutions to more appropriate directions." I had occasion to use some of these methods later in my career.

In rei;ard to the second subject of my study, I recorded the revelation that the American farmers organised production of fertilisers through their own cooperatives, without depending entirely on private industry. Out of a total production of 3.29, million tons of nitrogen in 1962-63, cooperatives accounted for 75L,709 tons. According to the latest available figures coops would soon ha\p 1,430,000 tons

58

Two Adnrinistrators :

teraction Benveen ICS and IAS

capacity, as against a total of 13,634,00Q tons in terms ofnitrogen. These coops were also responsible for introducing the new concept of cus-

tomer-oriented blending near the farpn. "Ever since," I recorded, "I have tried to popularise the idea that if American private enterprise has a lesson for India in regard to fertiliser production and distribution, the farmer coops have an equally Sood contribution to make in developing a farrner-owned-and- controlled sector in this important field." Accordingly, I persuaded the spgcial team, led by Sivaraman and consisting of Nakul Sen and Lowaj Kumar, who visited USA during my sojourn, on a mission of inviting Anierican private investment in the

Indian fertiliser industry, to make a proposal to the American Cooperative League. The team also took up the matter with the American Secretary of State; when it met him. I was present at the
meeting and found that the capabilities of the American cooperative sector were as much arevelation to hinr,as to us. His reactionwas rather sarcastic as he hinted that the Indian team was perhaps more inclined towards the coops rather than private enterprise, in view of the ideological slant of the Government of India. Sivaraman has written in his reminiscences that the team's visit Was by and large a failure; its only

concrete achievement being the finalisation of the cooperative proposal soon after. The Indian Farmers Fertiliser Cooperative
(IFFCO) was the result. REaders knowhow this sector has since grown rapidly and acquitted itself well. This is a matter of great gratification
to me. On my way back from USA in October 1966, I spent two weeks in Japan as Fellow of the Asian Productivity Organisation (APO), to observe at close quarters "some of the circumstances and policies that have enabled Japan to achieve a very high place among the nations of the world in regard to the rate of application offertilisers and production of rice per hectare." The presence of Dr S.K. Rau in APO as deputy director- general was a great help. On my return, I put down my observations, which APO published in the fbrm of a brochure. I was impressed with the advice of Hidetoshi Matsuo (in his paper on Fertiliser Application Techniques and Water Management of Rice), that rice lelds "could not be easily irlcreased by mere single techniques" and that high yields of rice could be achieved only by combining various techniques, taking local conditions into account. I passed on

IAS at the Centre, 196472

59

the report and the relevant literature to Sivaraman, then agriculture secretary; in the spirit of continuous collaboration.

When I first joined the department of ihemicals, Nakul Sen was the secretary and Professor Humayun Kabir the minister.In NakulSen, I found an ICS officer who was not sure of himself and who tried to make up by being obsequious to the minister and unreasonable to his subordinates. He made it clear to me that while I might accompanyhim to the inter-ministerial meetings, I should not open my mouth without his permission. This was strange and galling to me, although I could put it down to his sense ofinsecurity and his fear that others nright find him less knowledgeable than his joint secretary. Very soon, I found it more convenient to give him a brief in advance and avoid accompanying him to the meetings. After a short period of perpleity and pain at the behaviour of the senior, I had to devise my own ways to cope with the situation. In due course, I found that most of the visitors to the ministry from the state goveinments, industry and other departments preferred to call on rte with their problems. In a sense, I should be thankful to Nakul Sen for helping me to come into my ovm in a short period,in the new atmosphere of New Delhi.
One incident of this period (November L964 to March 1966) stands out prominently in my memory. One day, when the secretary was out on tour, Minister Kabir called me and said that in ameeting held ear[er on th4tday, Finance Minister T.T. Krishnamachari complained that although government had approved the issue of licence for a fertiliser factory at Kota, Rajasthan to Delhi Cloth Mills (DCM), I had not yet issued the licence but instead had been pursuing vigorously the letter of intent issued to another party, Jalan of Calcutta, in respect of the same location. The finance minister was also said to have added that the joint secretary in charge of the department (meaning me) had reportedly taken a bribe of rupees one lakh from Jal2rn. He seemed to have suggested that the joint secretary should be sent back to his state

immediately. I replied that the application of DCM was srill pending


and that in the week before, I was asked by Secretary Nakul Sen to send

for Charat Ram of DCM and inform him that in view of the letter of intent already issued to another party, it wouid not be possible for the
government to grant him the licence for a full-fledged fertiliser factory, but the government would favourably consider granting some addition-

60

Two

Afinittistrators : Interaction Between ICS and

AS

carbide factory at Kota. al balancing capacity for his existing laughed and suggested that a As regards the allegation of a of my reversion to the parent search misht be ordered. On the of India would be cadre, I had no view except that the of Orissa on the circmstances required to consult with the of my reversion so soon after my joinirtB in Delhi. I however expressed confidence that Orissa would welcomd me back with open arms. Kabir was surprised at my calm reaction to the accusation by TTK. After satisfying himself about the facts relatihg to the applications of the two parties, he treated the matter as closed.

showed an unperturbed front to the minister, I was disturbed by the kind of allegation add the source from which it had emanated. I had to do something. I called to tea a few friends who are known to be close to TTK and announced publicly that according to their highly admired minister I was supposed to have received a bribe of rupees one lakh. I thought that an absurd allegation had to be met by an equally absurd method, accolding to which the bribe-taker himself undertook to advertise the bribe he was supposed to have taken. M.K.K. Nayar IAS, Managing Director, Fertilisers and Chemi-

Although

cals, Travancore (FACT), C.S. Krishnamurthy, Joint Secretary,


Finance Ministry L. Kumar, Adviser, Petrochemicals in my department, who knew me and my style of living, were among the invitees. They carried this message to TTK as well as to the parties concerned. Although I did not find it necessary to confront any of the parties with this canard, I could guess from their subsequent behaviour that they were taking special care not to dfendl me. I developed a revulsion for TTK and from then on avoided him. It was never clear to me why, in the first instance, he had made such a serious but baseless allegation and having made it, why he did not pursue it. This behaviour did not square with his reputation for admiuistrative ability. There was, of course, no love lost between TTK and Kabir. TTK was reported to have declared that Jalan, thp favourite of Kabir, would never be allowed to convert his letter of intent into a licence. Was Kabir the real target and I a mere dummyin the battle of ministers? Thoughts of this kind used to bother me for a long time. It was indeed a new experience. It made me realise that it was not enough to truild a reputation in Orissa and that in the treacherous environment of New Delhi one had to start

IAS at the Centre, 1964-72

61

Kabir left the afresh. By way of epilogue, I may add that both TTK and cabinet soon after.
licences, from industrialists' I At the office' adopted a rulJwhereby nobody was to visit me at home' Discussions on uppii"u.rt, came only ii they had a prior appointment' personnel of the substantive issues could only be conducted-by senior and not by liaison officers. If multinational companies with "o-puny offices aLroad had to discuss matters or conduct negotiattreir treaa authorised tions for sale of knowhow, equipment, etc', I insisted on or middlemen were enterrepresentatives being present; no agents one tained. I remember once two senior retired government servants, and the a former chairman of the Union Public Service Commission their service other a former ambassador tried to take advantage of gentlemen' background to breach the rule. But I held firm, as these to conthou;h highly respected in their time, had nothing relevant It is unfortunate they had stooped to liaison to ihenegotiations.

In dealing with applications for

tribuie

a work and thus 1ad demeaned themselves' In another instance' for licence for polyester o-.in"nt industrialist, yhose application [b." *u. pending in the department called at my house with a gift' a

ior"ign-.ua" ttaisistor radio. He was sent backwith the comment that back his his ain of -aking me happy would be better served by taking me until
giit.

itt"t"ut

asked.

".,

t'tti, ioautiiiutist never dared to sit in front of

with the Despite some unpleasant and unsatisfactory encounters which' of all the secretary, I concentrated on the fertiliser industry in the subjectsin my charge, began to assume the greatest importance of fertilisers of ugiicultuial production. Indigenous production "orrt"*t accounted for less than 50 percent of the demand' was rather low and Wiin ,ft" introduction of high yielding varieties of seeds, the demand
set up

more factories were was likely to rise sharply. So it was imperative that resources Theiein lay the dilemma: should the scarce foreisn exchange fertilisers or the capital available io the country be used to import would equipment required to set up new factories? The first.method but the second was no a'ouUt fulfi'll the demand in the short term long term' essential for a solution of the problem in the medium and

q;ickly in the country if the import bill

w.as

notto jump steeply'

of the large Another dimensionwas addedby the argument that in view

62

Two Administrators : Interaction Beflveen ICS and

IAS

ministryincharg"orro."ig"-J"Jh;;ffi

number of new fertiliser factories thal needed to be set up over a number of years, it would be prudent to first build up the necessary engineering design and management e*pertise u. *" u, the capacity to proouce the equipment rndigenouslyl Lobbies grew up to champion ro produce rne equrpment indi each point of view in the government and outside. But the finance

to meet the demands made on it. The World Bank, USAID and other aid-giving agencies were pressing for d change in the government,s policies in this matter. It was in this context that thJ government de_cided to throw open the fertiliser indrtstry to foreign investment and collaboration. Hitherto, nitrogenous fertilisers were mainly confined to the public sector, while superphosphates were being produced in the private sector. The Sindri and Nangal units of the Fertiliser Corporation of India (FCI), the Atwaye unit of Fertilisers and Chemicals, Plant were the onlynitrogenous units in production. Sindri and Alwave were very old plants and their production was well belowtheir installed capacities. Gorakhpur, Trombay and Namrup units of FCI were in various stages of construction. My task wu. io see that these public sector units were completed quickly, and foreign investment and collaboration in new factories facilitated in the pri,ate sector.

i.jJJ:Hil'i;iffiff;

Tlavancore (FACT) and the smal unit attached to Rourkera Steel

collaborator's discussions among themselves in the Japanese language, toid me that the Japanese collaborator deliberately ielayed the date of approval of his government (Ministry of International Trade and Industry, better known as MITI), which was the effective date for the penalty and bonus, while taking full advantage of the firmness of the contracl The Visakhapatnam project, named Coromandel Fertilisers, was a joint venture of EID parry of Madras and International Mines

of the Gujarat State Fertiliser Corporation, who'could follow

Four new factories at Kota, Baroda, Visakhapatnam and Madras were licensed before I left for USA in February 1966. The first was set up by DCM with technical collaboration of ToyL Engineering ofJapan, with the help of supplier's credit towards foreign exJange. Thetecond was the v.enture of Gujarat state governmpnt and the collaboration and the foreign exchange arrangement was the same as in the first case. They were completed before schedule and the foreign collaborator earned a bonus, in accordance witha clause in the agre-ement. Srivatsa
the

US

at the Centre, 1964-72

63

of India on the one hand and American Oil Co. (AMOCO) and National lranian Oil Co. on the other, were equal partners but the
management rights were vested in AMOCO through the special device of a management committee. As joint secretary I played'a significant role in pushing these proposals through the various stages of clearance

and Chemicals (IMC) of Detroit. In the case of Madras, Government

in government. Of these, I vividly remember the discussions with AMOCO in which the details of the new arrangements, referred to
above, wre hammered out. In fact, my departure for USA in February 1966 was delayed by a few days on account of these negotiations.

Note may also be taken of the proposals that fell through but nevertheless motivated me and the government to reconsider our policy on fertiliser prices. Soon after I joined the chemicals deparG ment, Bechtel Corporation, an American engineering and construc_ tion company, submitted a proposal to erect four big fertiliser factories in the four regions of the country, under the ownership of American -USA, investors. This had the blessing of the government of and this was its way of assisting India in augmenting indigenous production of fertilisers for use in the ongoing agricultural production programme. After a series of discussions, the proposal was dropped as Bechtel's terms concerning marketing pricing, pay-back period for investment and share-holding pattern were not acceptable to Government of India. It was nevertheless realised that unless something was done to
reformulate our stand on these points, it would be well-nigh impossible to attract foreign investment as well as to increase indigenous production of fertilisers in the medium term. Out of this reatlation came the concessions made on management rights in the Madras case and the newfertiliser marketing and price policies. It was agreed that although the fertiliser producers could not be given freedom to fix prices, the
prices fixed by government thereafter would ensure a 12percent return on capital.

The pricing policy had hitherto been concerned with equalising


the prices of the materials obtained for the pool from different sources at different prices and with maintaining as low a price as possible to attract the users. Now it was changed to include the concerns of the mnufacturers, such as a reasonable return. The fertiliser facories were

also given the freedom to market the products, without undue inter_

64
ference by the

Two Administators : Ihteraction Bettveen ICS and IAS

pool. In the discussiqns leading to these decisions, I

took a leading role and 'vhenever neqiessary utilised the considerable influence and lobbying skills ofSivararhaq who as agriculture secretary in charge of the pool was himself vitally interested in increasing the availability of fertilisers. The lobby in favour of large inv0stments in the public sector to
increase indige.nous capabilities had dlso to be satisfied, as this was in accordance with our declared policy of self-reliance. The planning and development division of FCI headed by Dr P.K. Chakravarti was an enthusiastic exponent of the view that the country should rapidly build up indigenous capacity to design and construct fertiliser factories' He naa aone considerable work on catalysts and was in need of technical knowhow in certain other areas. The FACT Design and Engineering Organisation (FEDO) had also done some work on design engineering. Greatly impressed with the patniotism, sincerity and capacity of thise two organisations, I persuade{ the government to permit the

purchase of knowhow for urea and arnmonia from Montecatini of Italy and Imperial Chemicals of UK respectively. The agreements were signed just before I left on my fellowship. The P&D division and FEDO, who had thus acquired the necessary technologies were required to work together. Afte r a few months, FCI and FACT were able to secure approvals for putting up four factories at Durgapur, Barauni, Namrup II, and Cochin, on the basis of these agreements' Sivaraman has written in his reminiscences that ttre approval was due to his advice that the Government oflndia should demonstrate its deterrnination to set up new fertiliser tactories by using the foreign exchange at its dispoial before seeking the support of USA for more foreign investment. I would be wrong if I give the impression that the above decisions on the knowhow were obtained without effort and that there was no

opposition. The other school which favoured turnkey contfacts to foreign contractors was quite active. Dr S.K. Mukherji of the Trombay Project of FCI was very active as the leader of this school and urged
thai Durgapur be entrusted to Kellogg of USA. Although my sympathy lay with Dr Chakravarti, I was rather apprehensive of his extremist

portu.". on the one hand and the porsuasive manner and skills of Dr Mukherji on the other. So I was anxious that the department have a technical adviser who could steer clear of the extremes and take a

US

at the Centre, 196472

65

balanced view. To my satisfaction, Kasturirangan, then General Manager FACT, agreed to join the department as Chief Project Officer, Fertilisers, just before I left for USA. I was sure that the government would get correct advice in my absence.

Another matter that engaged my attention, again at the instance


of Dr Chakravarti of P&D Division, was the use of coal as feedstock for fertilisers. T. Swaminathan ICS, Secretary Technical Development also favoured coal, as the country was known to be richer in coalthan in petroleum. Earlier, I had some acquaintance with this matter when, during Biju Patnaik's regime in Orissa, a proposal for a coal-based fertiliser project at Talcher was mooted. On the eve of my departure for USA, a working group headed byme recommended that this matter should be examined in depth as the prevailing surplus situation in regard to naphtha, the favourite feedstock at the time, might not last long. But this suggestion was not taken seriously in view ofthe lingering technological doubts till 1,970, when the shortage of naphtha became
real and it was found necessary to use even inferior hydro-carbons like fuel oil with high sulphur content. A technical committee headed by Kasturirangan recommended the establishment of two plants near the pirheads, subject to certain safeguards. .Talcher in Orissa, and Ramagundam in Andhra Pradesh were thus taken up. It is a matter of regret that they have not performed well. The technology needed to be perfected further.
Soon after I joined the chemicals departrr,ent for a second spell in June 1967 I was called upon to handle a difficult situation. Minister Asok Mehta and Secretary P.R. Nayak decided to get the public sector

fertiliser industry reviewed with the help of American experts. Although an equal number of Indian experts were associated with the
exercise, they did not define the composition of the group or the scope

of the review in precise terms. Nobody was nominated as chairman or secretary. It was also not laid down how the group would function and to whom it would report. My attempts to settle these points at the start were not appreciated by the secretary or the minister for some reason. However, as I had the responsibility for assisting the group and as I was aware of the sensitivites of the Indian technologists of the FCI I called myself the convenor, a term conveying a routine role and managed to steer thg group with the help of two management experts who were

66

Two

Adninistraiors : Intteraction Beween

ICS and

IAS

members of the group, Dr Kamala Chdwdhary of the Indian Institute of Management, Ahmedabad and Mur]thy of the Administrative Staff College, Hyderabad. Although the P&D division of FCI was represented on the group, some technologists ofthe divisionwho passionately believed in the development oflndian technology took offence at the review by the Americans and threatened to stage an awkward incident during our visit to Sindri. fwas able td defuse the situation. I used a round table so as to evade the question pf chairmanship. This was long before the Americans and the North Vietnamese used this ploy for their meetings in Paris. At one stagei the Americans in our group wanted to write a report on their o\'r'n and submit to their embassy. I arranged by consensus that each chapter would be written jointly by one American and one Indian. Eventually, the report ofthe group was unanimous. The group recommendedt the amalgamation of the.two public sector companies, the Fertiliser Corporation of India and

FACT, the appointment of functional directors and a countrlnvide marketing setup. The idea was to pool the manpower of the two
organisations in the technical and markteting areas so as to boldly face the competition that would be offered by the growing private sector. The Americans laid great emphasis on the marketing aspect; FCI was rather weak in this respect, while FACT had taken certain innovative steps. The minister and the secretary, whom I kept informed of the progress of the group from time to time, did express their satisfaction at the completion of the review without a serious hitch. From this exercise, I learnt the dynamics of sma groups consisting of persons with different backgrounds and with different expectations. There was

considerable opposition

in the two organisations to the idea of

merger. Eventually, this idea was given up in favour of an arrangement for better coordination. The suggestions to appoint functional directors and organise marketing systematically were accepted. Between June 1967 and May 1-971n I helped establish eight new fertiliser factories. While those at Goa, Panki (UP) and Tuticorin were in the private sector, those at Haldia, Talcher and Ramagundam belonged to the public sector, and the remaining two at Kandla and Mangalore were set up in the cooperatite andjoint sectors respectively. The installed capacity, in terms of nutrients, had not only reached 2.6 million tonnes in 1970-71 but was well on its wav to exceed 3 million

IAS at the Centre, 1964-72

67

ifI had served the larger interests ofthe country in the area offertiliser production. In the eighties, public sector units continued to underutilise capacity to the tune of60 percent or so and policy makers began to opt more and more for foreign technology in fertiliser plants. I watched this development with mortification and remorse.

tonnes in the next two years. But it was not altogether a success story. While most of the units in the private sector and one in the public sector achieved almost full capacities in their annual production,other public sector units lagged far behind. For all my zealous advocacy of the public sector and indigenous technology, I was not, in the end, sure

with Lowaj Kumar, Adviser, petro-chemicals. We both joined thministry at about the same time and soon struck up a friendshio which proved lasting and mutually rewarding. Here ii another case of a generalist and specialist combining to achieve memorable things. A former officer of Burma Shell and a chemical engineer by profession,

Petrochemicals is another industry in which I played a role, along

Lovraj Kumar had mastered the techiques of project analysis, economic evaluation and policy formulation. A man of high integrity, he took up the promotion of petrochemical industries in the countiy as his mission and laboured hard in face of severe obstacles. Later. he rose to the position of secretary, petroleum and chemicals and made significant contributions. We worked as a team and negotiated suc_ cessfully agreements with Dymamit Nobel of West Germany for transfer of technology. We set up the Indian petrochemicals Corporation at Baroda and guided it in the early days by participating actively in the Board meetings. Another officer who deserves mention is R. Ganapati of the IAAS. He joined the corporation as its finance director and was a great asset to us. He made up for the managerial deficiencies of Mehta, the chairman-cum-managing director. Ganapati rose to become secretary to government in due course. R.S. Gupta of IDAS, the financial adviser to the department of chemicals was also verv heloful
in all our endeavours.

word about P.R. Nayak, the common secretary for the two

departments of petroleum and chemicals. He had the habit of meeting the officers of each department separately at a fixed hour every day. Officers up to the rank of deputy secretary were required to attend, if they were not otherwise engaged. There was no set agenda and anyone

68

Two Administrators : Interaction Between ICS and

IAS

is could bring up a point in answer to th$ secretart's questioq 'What would not new?'r I found that Nayak" a compulslve decision-maker, hesitate to give his verdict on the points raised, without going into dl get the the relevani aspects and that it requiied enormous effort to Co warranted' I had a deputy decisions reversed, if circumstances secretary S. Sundararajan of the Orlssa cadre of IAS' who in his

create keenness to impress the secretary would bring up new points and see the need for difficulties for himsetf as well as otherF. I made him

officer' But' his penchant for quick decisions and his failure to record reasons in
caution. This apart, Nayak, was
a fine man and an able

*h*

support of such decisions, landed him in troublejust before retirement' .o." motivated complaints against him were taken seriously by PM's office. He was suspended and subjected to harrassment' It was was several years before he was vindicated by the Supreme Court' It the powerful secretary widely believed at that time that P.N. Haksar' to th; P.M., was responsible for Nayak's misfortune' The lesson I learnt was that while one might not avoid making decisions quickly' undue haste should be eschewed and every important decision must be good supported by reasons, in writing. Good faith is no substitute for of the reasons is the right armour against future ,"cord ,"u.orr. "nd-u attacks.
P.R. Nayakwas succeededbyB' Mukherji,ICS of the Orissa cadre'

have writien earlier how during his chief secretaryship, we had improved our relations. They acquired some warmth.in the late sixties' secretary, chemicals and he as executive director, Fertiliser t as

Corioration used to meet frequently. Earlier, he-was abruptly India' removed from the post of managing director, State Bank of
during TTK's tenu.e
as

loint

finaoce minister. He was tipped as a possible

,u"""I.o, to B.C' Mukherji,

chairman of the Fertiliser Corporation' Vira' also of the Orissa cadre of ICS. But fate in the shape of Dharma B' Mukherji health the cabinet secretary, intervened dnd made secretary and the common tormentor' TTK had to leave the ministry headed Ly Lal Bahadur Shastri. Mul<herji and I got on famously' so much so that I came to be consulted even on matters not in my

jurisdiction.

AS

at the Cente 1964-72

69

A subject to which I devoted considerable attention during this period was prices of drugs and pharmaceuticals. There had been a strident demand for reduction of prices for some years. The government promulgated the Drugs prices (Display and Control) Order
1966, freezing the prices-of all formulations at the level prevailing on 30th June of that year and subjecting all future increases to prior approval of government. This did not mean that all frozen prices were reasonable. While some were known to be high, others were out of step with the rising costs ofproduction. But government was not ready to scrutinise prices of individual drugs at that stage. So almost simul_ taneously, the Tariff Commission was asked to study the cost structure of 18 selected bulk drugs and their formulations and some related matters and recommend fair selling prices. Meanwhile, an inter_min_ isterial committee was set up to consider applications for increases in accordance with the guidelines evolved by the Development Council for Drugs and Pharmaceuticals, particularly in respect of the markup over the.factory cost. The Tariff Commission submitted its report in August i96. It suggested fair selling prices for specified bdf drugs and their formulations on the trasis of the weighted average of the

provisions for packing, royalty, research and selling expenses as well as 15 percent pre-taxreturn on the capital employed. Wirile this report was being examined in my department of chemicals, the health ministrv started a move to bring down prices on all supplies to government. Consideiing the large share of government supplies in the total turn_ over-, a drastic reduction in the prices of such supplies was likely to tempt the manufacturers to press for a hike in the prices payable bythe public. Further, the data and information brought to light by the commission showed that not all the prevailing pricls, although frozen since 1968, could be justified with reference to the prevailing costs of production and marketing. Thus the matter came to a head i n1969-70, when Dr Triguna Sen was minister-in-charse .

ex-factory prices of'different manufacturers and aftei making

After careful consideration and consultation with the industry's I advised government that the situation demanded nothing'short of rationalisation of prices and the introduction of a
representatives, comprehensive system of regulation. While doing so, I took note of the fact that the drug industry was not homogenous. It'colsisted ofa large

Two Administrators : Iflteraction Beween ICS and

IAS

sector owned or controlled by foreign firms, a medium sector consist-

ing of Indian entrepreneurs and a sdall-scale -sector of formulators *fr'o Uua recently entered the indusfry with the encouragement of

government While the first group acqountedfor a very large percentIge-ofthe production ofbulkdrugs anld their formulations' the second *1. io.t -utiog an entry into bulk drrrgs and the third,was confined to formulations and almost entirely dependent on the first and second groups for the supply of material. Ge4erally speaking, several formulaIio.r. *"t" being sold under differedt brand names and at different prices, although they were essentially the same' Besides, there were several combinations of drugs in sevdral dosages' It was well-known that medical practitioners had their own preferences and the public often allowedthemselves to be guided by them' In these circumstaninto ces, one had to tread warily and a certrain flexibility had to be built dbviously, no simple scheme of reduction of the system of regulation. prices of a few ielected durgs would meet the situatioa', The cabinet approu"d

upproach as well as the detailed proposals in April 1970' ftt" orugs (nrices Control) Order 1970, of which I can truly claim to be the author had the following aimsi

-y

"Firstly, the order sought to reduoe the prices of certain life-saving drug formulations to a livel more or less envisaged by the Tariff Corimission and to place the prices of other formulations, wherever nocessary, on a more rational footing. Secondly, it attempted to bring

down ali frozen prices of 1963-66 that were high, of all firms, to prices reasonable levels. Thirdly, it enabled the firms to revise the to be in keeping with the present upwards wherever necessary so as cost of materials and other costs of production and distribution' Fourthly, it provided an opportunity to small and medium firms under to Indian control, who had entered the industry in more recent years'

adjust their prices suitably without undue constraint' Lastly, a certain degree of flexibility was deliberately built into the price control system to the needs so-as to ensure that the growth ofthe industry according impaired and thus will allow the competitive of the country will not bmarket forcei to have their due effect, and to let the community reap the benefit of lower prices wherever possible'" (Drugs Prices Contr'ol' Aims and Achievemints, Ministry of Petroleum and Chemicals' Mines

an{ Minerals.)

IAS at the Centre, 196472

71

For the first time, a formula was prescribed for fixing the retail prices of formulations, according to which the markup (covering the manufacturer's margin, promotional expenses, outward freight, distribution costs and trade commission) was regulated on the basis of differential ceilings: 150 percent for new formulations containing new ingredients derived from research; 1ff) percent for new formulations involving new manufacturing techniques developed for the purpose and with proven therapeutic value; and 75 percent for the rest. Provision was made to reduce the rate to 75 percent after 3 to 5 years in the case of the first and second categories. To impart flexibility and to cater to those manufacturers who might be reluctant to submit their cost data to government for scrutiny (many fell into this categoryduring 1960-70) and to reduce the workload on the government, an alternative scheme of pricing was also introduced. According to it, the manufacturer could suggest prices for all hisformulations together, so as to limit his overall gross profit before tax to 15 percent ofhis total turnover and obtain approval to the entire list at one go. This was intended to spread the philosophy of a large turnover on low prices as against a small turnover on high prices, with a view to inducing a bigger marketing effort by the drug companies as well as to increase the availability oI drrrgs throughout the country. It was also announced that the changes would be brought about in a phased manner and the government would adhere to certain time-limits for scrutiny and approval. These ideas were firmed up after detailed consultations with the represntatives ol the industry. Most of the manufacturers in the large and medium sectors announced their new price lists in August 1970 as required. Some firms in the small-scale sector also followed suit, although they had time till September. It was found that a few frms had notified increased prices for some populalitems without sufficient justification" contrary to the understanding the industry had reached with the government. Government promptly nullified the increases and asked the delinquent companie;,to reirert to the previous prices. In other words, governmenl withdrew the freedom to announce them in anticipation ofits approval and once again subjgcted the increases to pribr sanction.
The unfortunate increases referred to above brought the Control

Order and the regulatory system under severe criticism. The critics

72

Two Administraton : Interaction Beween ICS and

US

concntrated on the few increases {nd ignored many substantial decreases. Ther was a furore in P{rliament, Unfortunately, the minister lost his nerve and began to e$ade responsibility by pleading that he was ill-advised. At that time I *as onleave, convalescing after an operation. All kinds of allegations began to be made against me. Bhupesh Gupta of CPI was in the lead hnd an article was published in the party paper, New Age under tho catchy title, "Rama-KrishnaAyyoah". I was described as the villain Of the piece and an agent of the private sector drug industry who delibbrately misled the minister into accepting wrong policies. It was even said that I was practically lifted out of the Sarabhai Group to join the ministry. I came to know long after, that my recommendation of Sarabhai Chemicals for a licence in
the case of a single drug in preference to Gujarat Pharmaceuticals was

behind this particular allegation. The communists had no qualms in taking the side of one capitalist against another under certain conditions. Some MPs who knew me well and undertood my background and reputation did not give credence to the wild allegations and the picture of the minister as an innocent atd helpless victim. Led by Asok Mehta, the former minister for petroleum and chemicals, they called me from rny siik bed to explain to thern the facts in the presence of the minister. I clarified how the Drugs(Prices Control) Order was the off-shoot ofa cabinet decision and the climax ofa longinter- ministerial debate over several alternatives, that the minister was a party to every single provision made therein and that it would not be correct for him to say that he was misled. Clearly, the stand taken by Triguna Sen was in violation of the convention in a parlliamentary democracy. Had he not tried to transfer the blame on to his officer but stood firmly by him, at the same time promising to remove atromalies, if any, he would have raised his own stature, saved the goverqment from embarrassment and strengthened the morale ofthe bureaucracy. However, as it happened it was left to Secretary Mukherji and men after rejoining from sick leave, to tackle the errinE units b the industry and correct the few anomalies that were brought to our notice. As a postscript, I may add Dr Sen did not last very long after this episode, perhaps for other reasons.

To complete the story the results of the Dr'rgs Prices Control exercise of 1970 were summarised in a booklet of the ministry cited earlier. Minister Sen said in the foreword: "It is my earnest hope that

US atthe Cenffe, 196472

73

this booklet would fulfil its purpose of enablhg the general public to assess objectively government's policy, the measures adopted to implement it and their effects and to remove misapprehensions." Accorditg to thebooklet, reductions in the prices of important products ofleading manufacturers ranged from 35 percent to 82.53 percent, the forrner being in antiseptics and the tatter in antibiotics. Their prices, no doubt, set the maximum limits for the products of other manufacturers. In the case of some products, increases were also allowed. The booklet further says: "It is interesting to note that out of 119 firms called for detailed discussion and scrutiny, 14 firms in the large and mpdiumscale sector and 11 firms in the small sector proposed no increases for any of their products altho'rgh they agreed to reduce the prices of some." There were some well-known names among them.

During my second spell in the department of chemicals, my health was affected seriously on two occasions. First, in 1967, soon after leaving the social welfare department I had an attack of iridocyclitis in both eyes. For two weeks, the prospect of losing my sight in both eyes stared me in the face. Fortunately, due to timely diagnosis and treatment by Dr L.P.Agarwal of the All-India Institute of Medical Sciences, New Delhi, I got back my sight but with the warning that the disease might recur. It did recur in one eye two years later but was promptly controlled. This experience led me to the introspective question whether my eye problem had anyhing to do with my special efforts to get away from the social welfare department, where I had been looking after the handicapped. After the initial trauma, I braced myself to learn Braille, if necessary. The occasion did not, however, arise. The second event took place in January 1970. I suffered a mild heart attack and joined the cardiac club, as I used to say. This necessitated changes in work habits, diet and offrcial routine. I am proud to say that under the wise guidance of Dr K.P.Mathur of Willingdon Hospital, New Delhi. I successfully got over this crisis and remained a stable angina patient for almost twenty years without any serious problem in all those years. In January 1990 I underwent bypass surgery successfully as my angina had becorqe unstable. The purpose of narrating these two events here is to convey that from 1970 I had to carry on my life and discharge my duties under the ever- present threat of two incurable aiknents.

74

Tovo

Administrators : Inlgraction Between ICS and

AS

Towards the end of 1970 I was emfiarielled for the post of additional secretary. Under the advice of SeQretary Mukherji, Minister Sen tried to retain me by creating a post bf additional secretary in the department of chemicals but the finance ministry did not agree. Here, I must acknowledge the broadmindedhess and sincerity of Dr Sen. Thereupon, I was offered the post of ad$itional secretary in the ministry of agriculture and community devefopment. But it took about six months for this proposal to materialis$, long after the promotion of some of my juniors. This being the only instance in my career, where I did not get my due on time, I must put down the facts as I know them, although I am not sure even today about the real reason for the delay. Before I do so, I must state that I was briefly considered for the post of chief controller of inrports and exports but dropped by Minister L.N.Mishra and Secretary H.Lal of conimerce ministry reportedly on the ground of unsuitability. My reputatign for incorruptibitty saved me from a difficult job.

The proposal to appoint me as additional gecretary, agriculture and community development was duly sent by the cabinet secretary T.
Swaminathan, after the approval of other members of the Appointments Committee of the cabinet, to the Prime Minister. The file did not, however, reach her for a long time. I was assured by the agriculture secretary, as well as cabinet secretarf that they had reminded the secretary to the Prime Minister seveial times but in vain. But the prompt promotion of my juniors and the unusual delay in my case, persuaded me, contrary to my usual plactice, to call on the secretary

to the Prime Minister and represent lny case. I rang up his private secretary for an appointment. To my utter surprise, the private secretary, having learnt from me ths rpurpose of the appointment, broke into Tamil and advised me that it would not help me to see the
secretary to the Prime Minister on this matter. I was greatly upset but could not understand what P.N.Haksar1, who was then the secretary to the Prime Miuister, had against me. Aiccording to the story that was going the rounds, Haksar, under the ihfluence of some technocrats, was annoyed at my attitude towards solne ofthem and wished to show me, the generalist, my place in the scheme of things' This was a reference to my opposition to the nomiFation of Dr H.N.Sethna of the Atomic Energy Commission to the Bqard of FCI preparatory to his

IAS at the Centre, 196472

75

appointment as chairman, and the complaints against me carried by him to Haksar on behalf of Dr Chakravarty and Dr Mukherji of the FCI. Another rumour attributed Haksar's sitting on the file to his inclination to see ryore truth than was warranted by facts in the fulminations of his friend Bhupesh Gupta of CPI in the matter of drug prices. Still another rumour ascribed the delay to Haksar's reaction to ihe dispa.agiog comments in a leading newspaper -that the first beneficiary oif the Crash Scheme for Rural Employment (CSRE) would not be the additional secretary. For the purpose ofthis narrative, it is to necessary to analyse the facts underlying those stories' It is enough one man in a crucial position can block note that in our systern" decisions for whatever reason he fancies. Finally, the proposal was

of approved in May, 1971 on the intervention of Professor P'N'Dhar prime Minister's secretariat, who had been approached on my the behalf by a close friend' The agriculture minister, Fakruddin Ali Ahmed, who had been presSing for the approval of my appointment got a terse reply from the Prime Minister, stating that although the had since been apiroposal to appoint me as additional secretary depended on several other factors' proued, the success of the CSRE
While my immediate problem was thus solved and I plunged into did the work of t-he new department, feelings of sadness and injustice desire to confront not leave me for a long iime. I was torn between the Haksar and the thought that such an exercise would be futile' At last, I some months before I prepared this manuscript, I met Haksar, as This thought it unfair to put down the factswithout knowinghis version' him, as I had had no occasion to meet him was iry first meeting with He on official business or otherwise, when both of us were in service' me quite well and had a good said that although he remembered opinion of me, lie could not recall the circumstances of my delayed promotion. He asserted that holding up the file, particularly after he Thus the was a party to my empanelment, was not his style of working' mystery of the bottleneck remains unexplained' The purpose of my relating this instance in detail is to show how secret and indeterminable forces came to operate in simple and straightforward personnel matters, with the result that the established
chan"nels came under cbntempt and honest and self-respecting

officels

felt compelled to resort to sdaish through friends, even to get their

76

Two

Administlaton : Iiteraction Between'Ics and IAS

rightful dues. I believe, along with several others, that Hal$ar largely contributed to this deplorable state ofaffairs. He w'as well-known for advocating a concept of commitment Which could be interpreted in more than one way and for deflating dhe time-honoured principle of political neutrality of the bureaucracy aad its right to free, frank and objective advice. Little did he realise that he too could fall for giving frank adGce, under the miasma of codmitment.
As additional secretary communiliy development, I was in charge of several poverty alleviation prograpmes: CSRE, Small Farmers Developrrent Agency (SFDA), Malginal Farmers Development ,dgency (MFDA) and Employment of labour in Chronically Drought Affected Areas. The last mentioned prqgramme was renamed Drought Prone Areas Programme (DPAP) at ny instance, with a pointed focus on schemes designed to make drought.prone areas droughtrproof, to
the extent possible, by using available technolog;r. It was as a result of this reorientation. that I was able to sanction funds for the electrification of a part of Jodhpur district where series of deep tubewells were tried successfully and an abundant soufce of good water discovered in the desert. Great einphasis was laid ou mini-irrigation projects, percolation dams, pasture dgvelopment and afforestation. I must acknowledge the help and encouragement I rpceived in this matter from Dr

B.S.Minhas, Member Planning Commission, who succeeded Dr


B.Venkatappaiah. With his help, I was able to introduce a new scheme called Pilot Intensive Rural Employrneflt Project (PIREP) in 15 blocks. It was conceived as a research-cum-action project, for testin! the hypothesis that demand for labour in rural areas varies according to seasons and special employment programmes must be framed so as to match the demand for labour with its supply in different seasons. It was thought that the Pilot Project would throw up usefrll lessons for improving the CSRE and provide addltional employment when and where needed. It differed from CSRE in two respects: "Firstly, while the latter was spread thinly over the ontire district, the former concentrated over the smaller area of a block with a view to achieve cent percent coverage. CSRE attempted to benefit about 100 persons in a block on a selective basis at the rate of one per family, but PIREP sought to provide employme nt to all eligible persons in the block in the third year, thereby facilitating the strtdy in depth of the problems

IAS ot the Cente, 196+72

77

underlying the full utilisation of rural manual labour for development.

Secondly, since different people needed employment at different periods, PIREP took this into account and tried to coordinate the supply of labour for varying periods with the demand for labour arising from different types of works and provide work on that basis, while CSRE had no suchcoordination or specific linkage." It was a three-year project, beginning in November 1972. I conducted a carefully prepared training course for block officials in charge of PIREP and toured the selected blocks for removing the usual bottlenecks and doubts before implementation. Unfortunately, I had to leave the ministry just when
the projectwas tobegin.It ran its course and the programme evaluation unit of the Planning CorLmission recorded some positive conclusions

after a detailed study. But no follow-up steps were taken and my original hope that the C.D.blocks could be activated with the help of work-oriented employment programme had to await better days. It is now known that the interest in this kind of programme was revived
during the Janata period, culminatingin the Integrated RuralDevelopment Programme, TRYSEM and the National Rural Employment Programme in the eighties,

During this period, there used to be a Central Coordination


CommitteA (CCC) in the Planning Commission. Member, Agriculture was the chairman and the cabinet secretary, finance secretary, and agriculture secretary were its other members. Its decisions were deemed final and finance secretary's consent in the Committee was treated as the formal concurrence of the finance ministry. This como mittee was first constituted when Dr Venkatappaiah was the Member, Agriculture in the Planning Commission. This arose out of his general effort to bring together the concerned officers of different ministries on an informal basis at lunch so as to promote mutual understanding

of differing points of view I utilised this forum to great advantage. According to Sivaraman, who succeeded Minhas, the CCC had to be wound up at the instance of the agriculture minister who seemed to have thought of it as an infririlement of his jurisdiction rather than a catalyst for the success of his ministry's programmes, I have, however, recommended the revival of this forum in the reports of Khadi and Village Industries Review Committee (KAVIRC, 1988) and the Working Group for Khadi and Village Industries in the Eighth Plan, which

I had the privilege to chair. To the

of my knowledge, there is no

forum at present to take a coor view on Ihe problems of village industries like those under the KVIC. handicrafts, sericulture, etc., which are dealt with bv di ministries of the Government of India.
Secretary, Agriculture, T. P. Singh Sr. ofthe Bihar cadre of ICS gave me special assignments outsider the communitv develooment department, such as leading review teams to the states. I led the team for Andhra Pradesh under the Emergency Agricultural production Programme (EAPP), which was inten{ed to compensate in the rabi of 1971 for the loss of crop due to droughl in kharif of that year. As team leader, I had the power to sanction, on the spot, minor and lift irrigation schemes and otfur proposals that could immediately increase production. I was also called upon to scrutini$e the crop reports received in the mlnistry's economics and statistics division from Andhra pradesh, as the reported figures did not tally lvith other known facts. On a preliminary enquiry at Hyderabad, I found that the field reporting system had broken down completely. A few years before, a chief minister decided to doctor the figures on political considerations before they were reported to the Centro. As a result, the state director, bureau of statistics and economics and ftris field officers saw no reason to follow the strict criteria laid down ahd supervision became slack. I elicited this information after persistertt questioning. The truth came out only when I asserted that if the government failed to review the reporting system and continued to give doctored crop estimates, I would be compelled to recommend a crJt in the allocation of fertilisers and funds for irrigation and other agriculture-related projects on the ground that the state had reached saturhtion point and higher production would not result from higher alloc4tions. This threat worked and the state govern$ent took the necessary steps to improve the system. That the CM at that time was a person different from the one who introduced political doctoring did, of course, help. This was the last assignment I completed before leaving the ministry.

Chief Secretaryn Orissa, L972-74

My tenure as Additional Secretary,-Community Development was cut short on the iqsistence of Chief Minister Orissa, Nandini Satpathy to revert me for taking up the duties of chief secretary. When I assumed charge in November L972,I looked forward to good relations with the CM and a satisfactory tenure till superannuation in a familiar environment. But my hopes were soon belied, as would be seen from the followins narrative. When I arrived, Smt Satpathy was busywith her election campaign in Cuttack. She was trlng to enter the Assembly before the statutory period of six months was over. In fact, my first call on her was in her election office in Cuttack. When I asked for special instructions, if any, she referred to the cabinet decision on state trading in kendu leaves and the doubts raised subsequenlly by some friends. Although she wanted me to examine this matter carefully and expeditiously, I got the impression that she was contemplating to dilute the decision by implementing it in stages. However, being familiar with the sensitive nature ofthe subject and its potential for political corruption, I decided not to let go of this opportunity for establishing a viable state trading system, as per the Orissa Taxation Enquiry eommittee's recommendation. Accordingly, I worked fast and made foolproof arrangements well before the ministry could develop second thoughts on one ground or another.

80

Two Administrators : Interaction Between ICS and IAS

Satpathy won the Cuttack but at a high cost, as uras widelv believed at that time. to one report, she took the help of some officers who were known to be corrupt. It proved to be a pyrrhic victory as barely two months , her government fell due to large-scale defections. Presidont's rule was imposed. When I took leave of her, I requested her to do me the favour of not sending for me thereafter as it would place me in a dile--a. I explained that if I responded I would be accused ofb4ing close to a political party and that if I did not respond, I would be gutrlty of showing disrespect to her. She laughed and asked if it wouild be alright if she dropped ia occasionally for a cup of coffee, I replied that she would be welcome. I was then living in a hogle just across the st;eet from her. Although we parted amicably, I fo1rffil in retrospect that I did not endear m5nelf to her through this request. Soon, sho began to create difficulties for me with the help of some corrupt officers. I was accused of corruption, loose morals and other misdemeano rs. A petition alleging corrupt connections between me and some keddu leafmerchants and clandestine contacts with Mahatab, thet an bpponent of the Congress, was handed over to the Union Home Midister, Uma Shankar Dikshit, in the residence of Satpathy by member,s of the Youth Congress. I was severely criticised in the press for alleged anti-Oriya actions when I proposed some Oriya IAS officers for deputation to the Centre under
L

the rules. Deputation of non-Oriya officers was also criticised as anti-Oriya. I began considering the possibility of referring some of these.critical reports to the Press Council and reviewing the release of government advertisements to the concerned paper, Prajatantra.
Thereupon, Mahatab, its editor, wantdd to see me at a special rendezvous but I declined, stating that he codld see me only in my office or in my house, as he might choose. He.tlien called on me openly at my residence and assured me of fair reporting in his paper in future. He kept his word. This was the basis of thd allegation of secret liaison with Mahatab. According to stories currelt at that time, a corrupt officer close to Satpathy tried to employ black magic against me and to let a deadly cotira into my house. The joke was that the snake-man found it

difficult to instruct the snake to recognise the chief secretary! An anonymous brochure containing wild allegations was printed and circulated at the Bhubaneswar bus stand. It opened with the statement that I was so indulgent to my wife that I was supplying Scotch to her

Chief Secretary, Oissa, 197L74

81

liberally and she was rolling on the floor, drunk. When I conveyed this to my good wife, she enquired if Scotch was a new brand of coffee.'I was told that her well-known innocence and teetotalism proved the undoing of the pamphlet as the readers refused to read further. As mentioned earlier, a criminal complaint was filed in the Vigilance Police Station, Bhubaneswar, alleging corruption in the Rayagada Lift Irrigation case. All these attempts were meant to unnerve me and pursuade me to do the bidding of Satpathy and her coterie of cortupt officers or to get out of Orissa. The central home minister U.S. Dikshit and his minister of state K.C.Pant, who had known me, confided that Satpathy was pressing for my transfer. But thanks to the support of Gotprnor B.DJatti, who had great confidence in me, I withstood the
attacks.

Friends have told me that I was not very effective in the field of development and that I did not fulfil the expectations raised on the basis of my earlier performance as additional development commissioner. This is a correct assessment. I found it impossible to revive the mood of the pre-1964 years and concentrate on development activities. The administrative atmosphqre was so vitiated that the major part of the time and energy had to be devoted to the maintenance of routine administration and chdckmating plans and intrigues of corrupt officials and their political supporters. Besides, the governor's keenness to implement Satpathy ministry's schene of rrjviewing the performance of all those who had completed 50 years of age or 25 years of service and retiring those found unfit added to the turbulence of the administrative waters. I took great care to ensure that the reviews were fair and just and the numbers to be retired not unduly large. Finally, seven officers were chosen for retirement. There was general agreement that they were indeed'incorrigible and deserved the treatment meted out to them.I received an unexpected call from the ChiefJustice, congratulating me for the decision. The IAS officer who was gunning for me throughout this period was, however, not one of those prematurely retired, for two reasons. Firstly, Governor Jatti was in favour of leaving him alone, despite his close connection with at least one ofthe persons to be retired and his own admission of corrupt behaviour during his earlier tenure as labour commissioner. This aspect of the good governor has remained a

82

Two Ad.rninistratorc : ItTturaction Berween ICS and

IAS

mystery to me. Secondly, I thought that hction against that officer might give rise to allegations of personal vendetta and might jeopardise the

entire exercise.

It is interesting to note how diver$e forces do come together. At one stage, my old detractor, Bhupesh Gupta of CPI, returned to the attack under the guise of defending {adical land reform. He spoke during the discussion of the Orissa Appropriation Bill in Rajya Sabha, describing me again as the villain of the piece who was sabotaging everything, together with Mahatab. I was supposed to have changed some of the radical provisions of the Orissa Land Reforms Bill L973, which was finalised by the Satpathy ministry. Having read the excerpts of this speech and another statement df his at a press conference, the
governor apprised the Union Home Minister of the facts and requested him to bring them to the notiOe of Parliament and refute the unjust criticism. The governor wrote: !'The chief secretary had firmly advised that it would not be expedient to make any departure frorn the decisions consciously and deliberately taken by the former ministry. It would, therefore, be a canard to say that he had tried to sabotage the progressive policies of the former mihistry." The irony was that the changes impugned by Bhupesh Gupta were, in factn suggested by the ministry of agriculture on the ground df countrywide uniformity.
was aware that Satpathy had trled to get me transferred even during President's rule but the Centle would not oblige. When she became chief minister after the Assembly clection in February 1974, she renewed her efforts. She tried various methods to persuade me to get out. One crudemethod was toreject all the transfer proposals made by me and pass down a complete set of alternatives for implementation. As the main purpose of this exercise whs to convey to my subordinates her lack of trust in me, I countered by pointing out how every one of her proposals was inappropriate and npeded reconsideration. This led to a frank discussion and'an agreement that thereafter we would discuss before commiting our ideas on 6uch matters to paper. It proved to be an uneasy peace. After a few days, she gavo me an anonymous petition against the chief engineer, national highways and wanted me lo issue a snspension order on that basis. I disagreed, saying that suspensionwas a serious matter and shbuld be ordered in serious cases only, and that an anonymous petition $hould not be made the basis of

Aief

Secretary, Oissa, 1972-74

83

such an order without ascertaining facts. She reluctantly arrlowed me a few days to look into the allegations. On a quick scrutiny, I found them

rather minor in nature, at any rate, not meriting suspension. Meanwhile, a story was going round that the CM was planning to
appoint another ofhcer as chief engineer and that officer had promised to pay Rs 3 lakhs as consideration. I could now have some idea of the reason for the precipitate action proposed bythe CM I was determined to nip this matter in the bud as it did not rebound to the credit of the new government which was only two months old. So, when I went back to CM with the facts of the case, I told her frankly about the rumour and advised against the proposed suspension and appointment, saying that she would only lend credence to the rumour if she acted as proposed and that it would not be in her long-term political interest.
This made her red in the face but she abandoned the questionable path.

Similar differences arose in regard to the posting of senior police officers, making her exclaim how she could carry on if the chief
secretary himself stood in the way at every step. Inthese circumstances, I saw no point in continuing in Orissa and requested the cabinet secretary, Government of India, to find a suitable berth for me in the Centre. He kindly agreed and I proceeded on short leave on August 30, 1974 pending a posting in New Delhi. V.S.Mathews, my immediate junior, succeeded me. This surprised me because the CM had kept her intention as a closelyguarded secret till the last minute and her decision did not match her opinion of him, which she had often expressed, ever since I joined in Orissa in 1972.

Secretary, Shipping & TransportrI9T4-77

I took over as secretary in the ministry of shipping and transport in the last week of September L974. At first, I was to have become education secretary. Nurul Hasan the minister looked me over and indicated his approval. But at the last minute, I was posted to the ministry of shipping and transpori, as the minister, Kamalapathi Tripathi wanted to change his secretary, pimputkar. My early experience in matters of road transport appeared to have qualified me for this responsibility better than for education.

My detractors made a last minute effort to prevent my posting as secretary to the Government of India. A half-an-hour discussion was held in Rajya Sabha at the instance of Bhupesh Gupta on 30th August,
1974, the day on which I was to hand over charge as chief secretary. It was so timed, partly because B.D.Jatti, the Governor and rpy prorector was to take over as Vice-president oflndia and Chairman, Rajya Sabha

the next day. Ostensibly, the need for discussion, according to Gupta, arose out of the answer given to a starred question on ZZnd August, I974. The question related to a resolution said to have been passed in

August, 1,973 by the IAS Officers' Association of Orissa, criticising the remqrks made by Bhupesh Gupta in the Rajya Sabha against the chief secretary. The government had replied that they had ascertained the facts from the government of Orissa, that the president of the IAS

.': '

86

Two Admlnastrators :

Between ICS and

AS

Officers' Association denied having and conveyed a copy of the


executive committee of the tion read as follows:

any MP at any meeting passed at a meeting of the on April L1., tYl3. The resolu-

Association 'nThe Executive Committee of the Orissa IAS Officers expressed its distress over some derogatory remarks made on the floor

of Parliament against a Member of the Service and felt criticism of


individual officers who are in no positibn to defend themselves is a very sad development which should be brought to the notice of the authorities. It was resolved that a deputation from the Sxecutive Committee should meet the Governor; convey to him the feelirg of the Association and request him to take up the natter with the Union
Government." Bhupesh Gupta contended that according to a,.other account of the meeting K.Ramamurthy, a mem$er of the association sought to move the following resolution at the rri eeting: "The criticism of officers who are unable to defend themselves in the house is against all established democratic and parliamentary practices... It is strange that even though such senior officers of the State were criticised, none from the treasury benches rose up to protest algainst such criticism, and that it is still unfortunate that the Chair did not pull up the Member"' Gupta described Ramamurthy as the crony of the chief secretary, and asserted

that the resolution, as well as the governor's letter to the Centre


(quoted earlier) were engineered by rue' Recalling his earlier criticism in connection with Drugs Prices Control, he urged that I was not frt to be appointed as secretary to the Government oflndia and wanted an assurance from the government that I would not be so appointed' careful reading of the record of the debatc would show that Gupta was in touch with Chief Minister Satpathy, got his information from her and some IAS officers and timed his half-hour discussion with a view to influence the government against me. The facts, however, were that I was not even aware h 1973 that the executive committee meeting was going to be held, I was trot present u1 156 6geling and I h"4 oqllr;',g ti'do with whatever resoiution was moved and passed' To just after it dig up this m4tter and to bring it up in June-August 1974, ** koo*ln that I was soon to be nelieved from the post of chief

Secretary, Shipping

& Transport, 197477

secretary, was clearly motivated. Although at one time I felt ihat the central government was not vigorous enough in defending their officers against unjustified remarks in parliament, I now have ni hesitation in recording my appreciation ofthe Government oflndia for the manner in which they handled the matter. However, I cannot help drawing attention to the changes in attitude over time. In L952,when the IA5 Officers, Association of Orissa passed a resolution deploring unjus_ tified criticism of my conduct as district magistrate, noi"ay otj".t"O to it and in fact the Government of Orissa reiponded handsomjy; but in 1974 when a similar innocuous resolutionwas passed bythe Association, the Government of India felt it would have been better had the rcsolution rrot been passed. (The deputy minister, home affairs said during the debate, nI can only say that they could have avoided this kind of embarrassing position.")

the minister used to send replies under his signature to the pM herself. I coulddevote most of my time to items of constructive nature, such as improving the working and the finances of port Trusts, speeding up port development projects, streamlining the operations of the Sfrippi"g

ofthe preceding years, thii period was comparative_ ly. uneventful. I was lucky in having three good and undeistanding ministers, Kamalapathi Tripathi, Urna Shank-ar Dixit and Dr G.S.Dhil_ lon. They gave me the freedom to advise without fear or favour. I could see the political compulsions under which they had to adopt particular lines. of action despite my advice and I mu,.i sny to their everlasting credit that they took full responsibility for their decisions. For some inexplicable reason, the Emergency did not drag me into embarrassing situations. Perhaps I owe this.to ihe tact a"a-higt, standards of m! ministers. For example, when in the time of Uma-Shankar Oixit, the Prime Minister's secretariat started sending unsigned typed slips on some controversial matters relating to Delhi Transport iorporation,

I . thespent three years as secretary shipping and transport. ing turbllence

Consider_

fluldin-S_of the Indian Register of Shipping a classification society, Code of Conduct for International Shipping, development of traininj in road transport m?nagement and the ;taf,iishneni of new corporations, the Dredging Corporation of India and the Road Construction

Development Fund Comrnittee, augmentation of the national fleet,

th!

8S

Two

Adminisfiatot : Inleraction Benveen ICS and AS

I shall elaborate Corporation, which made profits in the very first year' on some of them a little later.

of During the major part of this peripd, there wa-s also a minister ge was arl executive of a leading shipping state, by nime u.tr'i.tr-ived.

;;-y

the in the past and had great inFights ln-t9 tfe problems of had not-yet learnt the ioOortty. He was a late comei to polifics andwell nrr".." u"a play-acting, characteriitic of a politician' We got on treasurer ' the and he confrded in me how he was un{er pressure from (P.C.Sethi), to raise fqnds forthe party' I advised him of;r" Coogr"., tl"-"utinet minister (G.S'Dhillon) informed instead of me' It to t in the drive for ""p turned out that Dhillon was not inclined to cut corners foreign firms' party funds. In one instance of purchase of dredgers from in a rather crude Trivedi tried to favour one company against another iurrn", and rush the mioister into accbpting its tender' Dhillon would accordnot be rushed and wanted me to e'xamine the case thoroughly' to give Lg to rules. f he company favotred by Trivedi had. the temerity indicating that its price a iender without stating a specific amount but lts idea was to enable any figure would be less than u "".t"io the lowest and to be put in at the time of negotiationi so as to become company'srepresentative was thus quali$ for acceptance. Surely, thht It was only on behaving as if he had already got the order in his bag'

".o*t'

-y

brought aen rite figure. During negotiations he and another tenderer went to the J"*il"[ quotatlon; further' Although the final order rhe price iuuo*it" or iriu"gi, t n"a the sarisfaction of bringing down when after two substantially and following the corredt procedure' But' party that despite all the precautions taken days I overheard at a dinn-r had padded its quotadon sufficiently.to make a sig,nii and "o.p*y nificant contribution to the Congress party' I felt deflated the game and how wooaer"a how ignorant I was of the intricacies of only point of ineffective was my insistence on ruleg of procedure' The

ln."""t of total disquatdcation that he committed himself to

unsulliedsatisfactionwasthatthechosencompanywasthemost

consisted mostly suitable on technical merits and that since our fleet make facilitated of its dredgers, the purchase of some tnore of the same operations and maintenance.

Corporation One of the new corporations, tho Road Constructioa Africa' while North was meant to take up;oUs in tne Uiddle East and

Secretary, Shipping

&

Transport, 197477

89

the other, the Dredging Corporation of India had its main focus on works within the country. The latter.was established with a view to
streamline the operational or maintenance dredging in all ports, as well as the capital dredging necessary for opening new bertbs or dock and to put these activities on a frm commercial basis. All the dredeers wjth the ministry and most of the others under the control of the poit Trusts were pooled for the purpose. New ones were purchased to fill the gaps, like cltter suction or hopper. Special coursei were organised with the collaboration of Andhra University for training, u. iho." who were qualiffing for posts in the merchant navy would not stick to shorejobs. New dredging certificates were introduced for the first time in the examinations conducted by the ministry. I can take credit for locating

the headquarters of the new corporation in Visakhapatnam port,

contrary to the prevailing trend to concentrate all such organisations in B ombay Port. Minister Trivedi favoured Bombay in the fiist instance but I persuaded him to change his view on the grounds that Bombay port was already congested, that the east coast neeed this organisation more than the west, that Calcutta bristled with labour problems, and that Visakhapatnam occupied a central place on the east coast. The prompt offer of land and other facilities by B.K.Rao, chairman, Vizag Port Trust, clinched the decision. The Dredging Corporation was also given an early breakthrough in foreign operations by encouraging it to take up a stevedoring contract in yambo port in Saudi Arabia. TLis contract continued for three years or so and proved to be profitatrle. It was my aim that the corporation should grow fro:n strengtL to strength and provide dredging services to the neighbouriog couotri"s in competition with European dredging companies. This idea came to me on my visits to U.K. in connection with the meetings of International Maritime Organisation (IMO). It is still to materialise. I have no doubt that the corporation has great potential. Merchant Shipping Act when Lal Bahadur Shastri was thc minister-incharge. More than any other s,ingle factor, this Fund was responsible for the increase in the national tonnage over the years.It providid long_
term rupee loans to ship owners on easy terms for the purchase of ships
The Shipping Development Fund Committee was set up under the

from indigenous as well as foreign shipyards. My main contributions are three. First, I made the.committee nearly self-suffrcient in respect

90

Two Administraton : Interaction Between ICS ond

IAS

a small fee on the loanees sf i1s ndministrative expenditure by the boards of directors of on and by improving its borrowing shipping companies in thF interest of better monitoring' ministry W.S. Tambe its joint Second, with the help of the secretary in particular, I managed a special scheme called SAFAUNS to draw upon the funds available with commercial banks for ship acquisition. In this exercise, I was able to convince the balkers that examination by the committee of eaph proposal was no less professional or thorough than that by the bank's own team and that our decisions could be adopted without druch ado. This brought me new friendships which proved useful when I entered the banking world later. Thi chairman of State Bank of India thought it fit to hold a farewell party in Bombay for me when I left the miniltry on leave, preparatory to retiremetrt" without even a hint of my return to active iervice in the Reserve Bank a few months later. The third was the expansion of the scope of the SDFC t0 cover fishing trawlers' This was done in collaboration with the agriculture ministry who provided the necessary funds. The committee and I provided our expertise on sanction and rianagement of loan$. T.S. Ikishaa Murthy IRS as secretary of the Committee was of grreat assistance. I must add that I

resisted the move made by my friend Ajit Mozoomdar, secretary expenditure in the finance ministry to close down the SDFC and to transfer the ship loan function to a financial institution. His main points were that whatever may be tho origin and history of the SDFC' it should be reviewed in the light of the present structure of financial institutiom, that the ship loan function was essentially that of a financial institution and that secretary to government in his capacity as chairman should not expose hin:self to the risk dfbeing pressurised or questioned for political reasons. My main points were that no financial institution ' waJyet ready to handle this specialised business, that a certain degee of flexibility was needed in the present state of our shipping develop' nent and that no secretary worth his salt should be afraid of motivated criticism, The reader may be aware that the SDFC was replaced by a subsidiary of ICICI in the eighties. Tlhe shipping scene had, of course,
undergone drastic changes by then.

The Indian Register of Shipping (IRS) was a new venture which ain,ed at utilising the compete techinical manpower'in the countryfor

Secretary, Shirying

A Transport, 197477

9t

yuy I* the fust to sign a collaboration agreement for joint or dual classification. The others followed after i interval. Lloyds was the toughest of the three. It made a concrete propor"l fo* loiot u"otor" with
the name Lloyds India but I rejected

their opposition through skillftrl negotiations. Norske Veritas of Nor_

predecessor had left a detailed note on ""d this matter. I took it up seriously, obtained all the ne.cessary approvals and got the IRS going in a shortperiod. The establisned societies offoreili origin, Li;ydi Norske Veritas and American Bureau of Shipping Jere not happy at our. moves and tried to put obstacles in ou, wiy, i managed to break

an indigenous ship classification socieg on the lines of ::tabJishi-ng Lloyds of U.K. Classfication is essential under the Laritime regulations and a pre-requisite for insurance -;;;;.d;perarion.

My

add, was essential

on its feet and pursuading the shipowners to get their ships-classified with it, erren if it costed a bit more.

shippingworld. Capt. J.C. Anand of the Io-diuoJt"u_.ilip Company, *.u. also Chairman, Indian National Shipowners, Association I19, (INSA) was of very great assistance in setting tire IRS

ii. dualclassifrcation, I may in the beginning for gaining acceptance in the

known to be- a shrgwd operator, and who would periodically wax elo{uent on the glories of Indian shipping, kept awayihe tongest from IRS. He was, of course, selective in his love for things Indian!
IRS was formed as a charitable cornpany under Section 25 of the Indian Companies Act and the day-to-day management chairman and Capt. Anand the vice-chairman. We were lucky in
a-committee of management consisting of technical experts. I was the
was vested

There was, of course, no dearth of myopic shipowners, who held out and argued that there was no need for an indigJnous classification society and that they would continue with single clssification through the foreign frms. Vasant Sheth of Great Ei'stern Shipping who wls

in

operations so' fast aad so well that including the foreign "u"ryorri, comTetitors, were_ pleasantly surprised. I provided tlh" o"*rrury polrcy support. To break the deadening fssting

high order. In spite of a heart problemhe worked hard, .a attracted competent Indian personnel and organised the classification
w.gre of

securing the services of H.S. Rao, a Lloyds suryeyor. His devotion to duty, technical competence and commitment to iniigenous institutions

of superiority oi

n
thtll foreign classification' I took a seriolrs-view.in the lrse :t " t:"-if.?I Jr".ril"J uy ,n" Lerican Burear\ wliich ran intg trguble :t
a

apologl:.-dT1{'-h: ;;;;; ;iltf'*tion and made the $ureauventure'. ti hit fee. Altogether, IRS was very satisfaPtory :hf .*i: tl speed with wlicli it has estatlished nt"I-t ;i;;;6;;ithe services and put into industrial a"..ii*tioo
businesi and branched has been acknowQdged with."pf::?:1%H riip;;*-;;;.;cording to the l5thA4nual Report of IRS for 1989-90'

""*,-oi.n

mjllion Gross IRS-class fleet stood at 643 ships; totalling 4'65 384 with 2'24 million GRT was n"gtr"t"a f""nage (GRT), of which ThL may be compared with the ligur es ot-.-iogl" ',!e

of.y\ll

*iiiiJi ;;t;"t

"t"... .""ooi y"". ,io""

inception attd my last year of chairmanship: 157 ships which one vessel -iUi"" GF'.T (42-6Vo ofthe national fleet) , of line survey for of single clasi. Ins comple{ed statutory.load as igo-u"rr"l.. It ivas only the Indian company which vras recognised warranty assignments' As regards authority ior offshore land-based " industrial services such as inspection and certification of from petroleum' petroplant and equipment, it has earned oontracts chemical power, space and nuclear industries'IRS became "h.-i""I, of the Intirnational Association of Ctassification Societies a member shgle in 1991 and earned the capacity and necognition for expanding I ierive aonsiderable j oy from the steady classification in its own right.

*-f"""

progress of IRS'

I took great interest was the UNCTAD Conference a year Code of Conducl iecommended by the played an or two before I joined the ministry. Indian representatives former important part in the evolution of the code' C'P' Srivastava' Interchairman, SUippi"g Corporation of lndia and director-general conference national Mariiimebrganisation (IMO) presided over the was the floor leader' According to the code' uid L.M.S. Rujr""t of SCI by the L.iug" of goods in international trade should be shared leaving i+ the proportion of 40:zl0' anf, importing countries "*..,1"* of 20io the ships of other nations' The code would come the balaice of the i* fo."" only when countries ownilg a prescribed percentageexcepwith the world tonnage ratifre<l it. Several Western countries, of traffic tion of WesiGermany, who had beon carrying a large share io their natiorral bottoms, dragged their feet, to the detriment of the
Another shippiog matter in whlch

Secretaty, Shipping &. Transpo4 197477

93

interests of the developing countries. To break the deadloclg I took the initiative to convene a special meeting in Geneva, along with West
Germany, for canvassing the ratification and persuading our government to be among the first to ratiS the code, in the interest of mainlaining our credibility in the international fora. I had to retire soon after. My stratery seemed to have taken some time to work and the code came into force a few years later.

ships

As regards purchase of ships from abroad and consfruction of in India to meet the plan target, my main emphasis was on

ensuring that prices were reasonable and the agreed dates qf delivery

were adhered to as far as possible, As part of tl-ris effort, I had to negotiate, within a few months of my joining the ministry claims of
escalation with shipyards in Rumania, East Germany and Yugoslavia. I visited the first two countries, along with Admiral Nanda, chairman of SCI. I believe I was able to settle the final prices to our nutual satisfaction and obtain the approval cf the cabinet.
Iqdigenou-s shipyards like Hindustan Shipyard at Visakhapatnam were also caught in a cost crunch. Most of the contracting parties were

agreeable to the formula I evolved. Even Vasant Sheth of Great Eastern Shipping who had proved to be refractory in the beginning, yielded finally to my persuasion. Later, however, he alleged that I had subjected him to intolerable pressure during the Emergency of 197577. The truth ofthe matter was that I did threaten to institute enquiries into the reported diversion of funds released by SDFC for acquisition of real estate, contrary to the conditions of the loan. This threat was by no means illegal or high-handed. Vasant Sheth was one of those who believed that what was good for his company was good for the country, If I remember right, the pricing formula was also revised. Having thus corrected to some extent the price factor, I tried to fill the order book of Hindustan Shipyard and Cochin Shipyard (built with Japanese help and inaugurated in my time), on the approved principle of rnatching acquisitions from foreign yards in a certain proportion. Ia this context, I attracted the attention of the department of defence production
which had under it Garden Reach and Mazagaon shipyards. I extended to them whatever help I could and formed new friendships.

94
Several

Two

Admhistraton : Inkraction Between

ICS and

IAS

development projedts were in various stages of developmentl when I took'over as secrptary it L974. As chairman of the steiring committees of the projects, I had to monitor their progress from time to time and remove bottlendck in consultation with other

polt

ministries and engineering firms in the public and private sectors' Vizag Outer Harbour, Haldia, Tuticotin, Goa and Mangalore were some of the projects commissioned ahd completed in my time' To Brigadier Narula, an engineer and development adviser and his able team, I owe my understanding of the technical complexities of the projects. I recollect the hectic pace at which work was iarried on to L""i ttt" target dates for the export of iron ore from Kudremukh and the import of oil for the pipeline to nrbrth India, respectively' Along with thise proj ects, new lighthouses were also built under my guidance at Madras, Goa and insaurashtra. Thelast one,I remember, was rather
sophisticated. Finances of ports also received my attention. Sceintific studies were initiated to calculate the costs of turn-round of ships, crane operations, etc. and the various charge6 were rationalised on the basis

of these findings.

remember how a crisis arose in Vizag Outer Harbour -- meant mainly for the export of iron ore to Japan -- when MMTC, the exporting agency, in its roluctance to share equitably its margin with the Port Trust, out of the all-inclusive price of iron ore'

Japan threatened to call off its ships, ifadditional levies were imposed and a special mission had to be sent to Tokyo for settling the dispute. Finally, the Port Trust got an increased rate, though not to the extent originally planned. In all these exercises, B.K.Rao, Chairman, Vizag Port Trust and S.K.Comal and V.R.Mehta, both of the Indian Railways and special officers in the ministry we4e of great assistance. Rao rose

to be Secretary, Mines; Comal became Finance Director, Indian Oil Corporation and Mehta joined the AEian Development Bank as adviser.

In the area of road transport, with which I became acquainted at the beginning of my career in Orissa, my activities consisted mainly of coordinating the nationalised road tiansport services in the states. There was an association of all these public undertakings and I was its president. The association had evolved procedures for entering into supply contracts with selected firms for spare parts and stores required

Secretaty, Shipping

& Transpo4 197477

95

acquire office premises and by promoting greater participation by the representatives of the states in de cision-making. i was so impressed with_these arrangements that I recommended a similar association and similar purchasing procedures to the informal group of port Trusts. But,due to vested interests, I could not accompliih this fully. Although dragged their feet in regard to stores purchase procedures.

kink had developed over time, which I got removed. I also mparted stability and congdence to the association by enabling it to
Some

by the rnembers, with a view to ensuring quality and reasonable prices.

the informal group became a formal assocladon, the port Trusts

the model envisaged by me.

Transport (CIRT). I tried to make this institute problemoriented and capable of providing consultancy to the state undertak_ ings on matters of interest to them. At my instance, it established a course and an examination for new entrants to the road transport undertakings, so that the latter could recruit better personnel. Once again, I wanted to carry the example of CIRT to the port Trusts and develop the nascent Institute of port Management, set up by Calcutta Port Trust, into an institution of excellence, if necessary with interna_ tional assistance. I did not have enough time to pursue t'his idea. I now understand the Calcutta Insitute has grown over time, though not on Road

The association of state road transport undertakings maintained a research and training institute in pune, caued centra'i Institute for

I recollect an incident in which the Meghalaya minister of transport, Pugh, approached me for settling a seven-year dispute with sharing 1::u- 9nthe central of permits on rhe Guwahaii_shillong ,out". _the Although government had powers under the law to settle this inter-state dispute, it w_as kept pending for some inexplicable reason. I was able to settle this matter to the satisfaction of both the parties, in the presence of Dhillon, the Union transport minister. A jocula-r remark, referring to an extra permit to Meghalaya at the fag end-ofthe meeting as,one for the road,, brought nie aninvitation to cocktails by Pugh. To his surprise, I attended but stuck to my teetotalism. We became good friends and he invariably called on me when he visited Delhi. I managed to retain the goodwili of assam too, as was evident from their unfailing uod warmth towards me "ou.t".y during my subsequent visits to the state.

96

Between ICS and

AS

announced by Road transport figured in the 'ftray Thoughts' declaration of Emergency Indira Gandhi in her sfeech soon aftdr the octroi' two of the twenty-two points, national permits and
in the form of

il;ii;;;;;."mparativelv

simple an{ was implementedimmediately'

;;t"d;

the second, ho*"u"t, no satisfactory solution,:"ttd.-b:

i"rta?".pit"

;;;;fu"st
"fli, -i"y

"o-p"n.uL Additional surcharge oa


was mooted by so,ie.

t: ttaesirable features but t[ere were it for their revenues' the urban bodies which relied on

cabinet several meetings at the flevel of minister. and the needto.abolish octroi inviev everyone aleed onthe

{ffi:ti*: * h

sales tax for rirban local government purposes Madhya nradesh even promulgated an Act but

thisdidnotcoovioceotherstateslikoMaharashtr4whereoctroiwas

I suggested animportant source of income for Bombay' the metropolis' octroi altogether but thai tie solution might be found not by abolishing gates, stopping of road t*y t"-""itg i . objlctionable featurds such as was to make tiaffic for hlours and the attendant corruption' My idea the collectors of the commercial lorry operator and the booking agent is.the collector of octroi, in the same manner as the recognised dealer some of the ;;il;* by devising a suitable wayrbill and eliminatingof Economic note to the Committee l"a-f"uiu.!.. t sublitted a after holding discussiorls with the representatives of the

S""r"turi".,

my colleagues operators and booking agents. But I could not convince

ul

would tru-st ihe operators or agents' The matter is still "oUoay the meantime, .-;w urban bodies ha-le resorted to octroi' p""af"e. In vast numbers of the as tt is Is the only known method of taxing the floating population in the cities.

The director-general of the roads wing of the ministry' M'S'Marya' in this wing' held the rank of additional sec,etary. My role was limited needed my intervention' The fust was the I recall three matters which of the cadre rules and the discontent prevlailing among the engineers was a legacy of past recruitment on Wing about their seniority. This officers were diffe-rent occasions. The writ filed by some aggrieved frnalised in accordance Ji.po."a of in my time and the seniority list prescribed court oriers. This had to be submitted within a 'J"i". irti. was complied with, after giving ample opportunities to the to avoid the affected officers to represent their viewpoints' I managed of favburitism made on such occasions' The second

;AA"

uruui uff"gutlo"s

Secretary, Shipping & Transport, 197477

97

nisation of the bullock-cart that cuts up the road surface. I was greatly impressed by the work done by prof Ramaswamy of the Indian Institute of Management, Bangalore on the bullock-cirt and the bullock. I helped convene a conference to evolve a multi-disciplinary approach to the bullock-cart and the bullock with a view to improving til; tread of wheels, fitting them with ball-bearings for efficiency, redeiigning the yoke, increasing the load, raising the draught power, diversi$in! the shape of the cart for different uses, etc. In my opinion, this work is still incomplete and needs concentrated attention as this ancient mode of transport and the lowly animal power will be with us for a long long time.

costing Rs 25 lakhs and more and a special provision had to be introduced in the relevant law. The third was an-innovation made for creating a Central RoadResearch Fund with apart ofthe receipts from excise and customs duties on some petroleum products. I tried to promote, with the help of this Fund, sorne new ideas likb creation of rest facilities on selected highways for automobile users and moder-

matter related to the levy of tolls at new bridges on National Highways

Thank to my predecessor pimputkar, the O & M as well as the routine work of the ministrywere very well organised. I maintained the system in toto and made full use of the weekly reports of receipts and disposals,_weekly meetings, lists of pending files, etc. gy colliagues used to tell me that the weekly meetings were made more interestine and useful through the participatory style I adopted. They were ocl casions for dialogue rather than for inquisition. In a[ these exercises and in managing my time, I was ably aisisted by my personal staff. Ujagar Singh, my private secretary and R. Krishnamuithy, mypersonal assistant were the best of theh kind that I had come across in my entire career. Their patience, tact, skill of anticipation, timely caution and loyalty made my task easy. They used to meet me, even after mv departure from the ministry as friends. Ujagar, who retired soon after me was in touch with me till recently from his village house in Hoshiarpur district.
With the victory of the Janata party in the election of 1977, Morarji Desai became the Prime Minister and he kept the shipping and

transport ministrywith him, pending the e4pansion of the cabinet. This arrangement lasted till mid-August 192, when Chand Ram took over

98

Two Administraton : Inleraction Beflveen ICS and IAS

as minister of state

with independent dharge. By then, I had already

been sanctioned six months leave prepafatory to retirement with effect from 2nd September,1977. During the two weeks I spent with Chand Ram, I tried to brief him on the work of the ministry and highlight the urgent matters. I left a detailed note fot my successor as was my wont

from my Orissa days. During Desai's tenure, I had to malqe arrangements for the succession to Admiral S.M.Nanda in the Shipping Corporation of India. This was a prestigious post and had somethit-rg to do with our international image in view of the corporation's world'wide operations. I recommended, with the approval of the Public Enterprises Selection Board, the appointment of Rear Admiral Kiishen Dev of Garden Reach Shipyard as chairman and managing dipector. But to my surprise, the PM ordered the splitting of the posts aud nominated an ex-member of Parliament Raghunath Singh as chairman, while approving Krishen Dev as managing director. I resubmittod the file advising against the splitting, on the ground that the creatiqn of two power centres in the corporation would lead to friction and prevent smooth functioning' Morarji stuck to his order. It appears that he had already promised this plum post to his friend, Raghunath Sirtgh, whose only claim to it was that he was sometime chairman of the National Shipping Board during his previous tenure as member of Parliament. tr must add that in advising against the splitting of the post, I was influenced by the previous history of factious quarrels amlong the directors ofSCI during the transition from C.P.Srivastava to A'dmiral Nanda in 1973'74 ard the diffrculties created at that time. Fortunately, the personalities involved on this occasion were rather different and by and large belied the apprehensions I entertained while leaving the ministry. It was said that the PM was annoyed with me for the resubmission of the file and this fact was responsible for his reddiness to let me go on long preparatory leave, contrary to the usuatr practice ofrefusing such leave. I did not believe this story and put down the sanction of leave to the well-known rigidity of Morarjibhai in regard to rules' His anxiety to provide a secretary's berth to his former private secretary and favourite, S.N.Ranade might have acted as an additional incentive. Strangely, some friends thought of me as a victim of the Janata rule, on

Secretary, S hipping

& Transpox, 197477

99

:f T":. thoushts. .

of rhe above facts. I did not, however, entertain any such

meeting

For about 1.2 days in December, 1976 there was a short interlude, when I also acted as adviser to.the governor of Oris.a, oo the resignation of the Nandini Satpathy ministry and the imposition of president,s rule. This is perhaps the shortest duration of iresident,s rule in any state. I mention this only to show how I was suddenly pulled
of_

orders to Bhubaneswar, to act as adviser to the governo"r. Some friends in the Congres-s party congratulated me, saying ihat I could now avenge my departure from Orissa in 1974. Mahatab,s prajatantra,

of a the planning Commission at noon and'givcn marching

out

viewed this incident as one in which a serviceman performed his duty, as given to him, to the best of his ability.

to pe_rsuade me to stay on as chief secretary, to lend c-olour to the event. Smt Satpathy herselfenquired whether thire was any truth in the story. !n ry Rart, I never had any feeling of vengeance. Never did I entertain the idea_ of_ returning to Bhubaneswar as chief

commented how my car entered the Raj Bhavan ty one gate while Nandini Satpathy departed by another. Stme Cong.ess leaders

6r

iya paper,

tried

secretary.

always

Deputy Governor, RBI, 1978-19g3

children were well settled by then, I was not sure if I could manage with this paltry sum, my savings in the form of Unit Trust certificaies not being substantial. I was in need of some assignment which could fetch me a regular income for some more years. It was in this predicament that I received a call from H.M.patel, the finance ministerin the Janata government. He wanted to see me. Soon after my meeting with !rim. I was offered the post ofdeputy governor, ReserveBank oflndia. I took voluntary retirement from IAS on January 1", 197g, about two months before superannuation, as required by convention andjoined the RBI on the same date.

provident fund and topping up loans from friends. The gwernmeni loan_was still outstanding in 7977 and,was to be adjustedlgainst the death-cum-retirement gratuity due to me. Undei the rules, I was entitled to the maximum pension of Rs.1000. Although all my four

to acquire a roof of my own. I raised the money partly from the house purchase loan scheme ofthe government of Orisia, and partlv from mv

In the third week of September 1977, my wife and I left New Delhi for Hyderabad, which we had earlier chosen for our stay after retire_ 1e1. In 1"969, I had bought a house with a rhbusand square_yard plot for Rs.75,000. That was soon after the recurrence of tire eye trouble, when I became greatly apprehensive of my future health and decided

I owe my appointment as Deputy Governor, RBI to the recommendation of Dr LG.Patel who had taken over as Governor towards

102

experience the end of 1977 and was looking for a sdnior IAS oficer with me at work in agricultural credit and rural development' He had seen jJint secretary, chemicals and his elrquiries gave him the necessary
as

"..'ur"o." put in a word in my favour. H.M'Patdl remembered my performance


u,
u

aboui

*y

experience. Bothl Sivaraman and Venkatappaiah

on behalf of the ministry of shipping and transport in the Public Accounts Committee of which he was a member and obtained

*itrr".,

the approval of government. Thus I landed in Bombay on 1st January five fSZAio take up the last of my appoinltments. My initial tenure of by about 7 monthp in view of the establishment of years was extended (Nabard) ihe National Bank for Agriculture and Rural Development first chairman for one year in in July, 1982 and my appointment as its addition to my dutiis as deputy governor. Incidentally, the stand I took while pro"eeding on leave preparatory to retirement-was vindicated' Friends were ctitical of my decision to leave New Delhi immediately, and as according to thern a person out of sight would be out of mind affect my chances of securing absence from New Delhi would advergely I would an assignment. I used to reply that if there was any worth in me, not willing to go through be senifor from Hyderabad. At any rate' Iwas the demeaning experience of hunting for favours and waiting in New Delhi for the- expected telephone call. had seen an ICS officer nervously waiting for such a call and his wife pulling out an extra cup

from the packeJ container each tirrle a guest called' Eventually he moved to his home town and waited patiently for the promised postretirement appointment. My luck saved my pride'
memory. The relative autonomy of thp Reserve Bank, its distance from the political pulls and pressures' the participatory management style

The years I spent with the RBI were some of the happiest in my

l.C.patel and theLxhilarating new challenges, all these combined to give me considerable job satisfaction. No doubt, there were a few jariing notes, as in any assignment. Industrial relations were not very -hu.rrJnious and caused us anxiety at times, deflecting our attention from the substantive tasks of economic and financial management' Although I was not formally in charge of administration, I was drawn increasingly into it, thanks to the teamwork andjoint responsibility that Dr Patel evolved, and to the adoption of new methods and systems' calculated to irnprove administrati6 efficiency, cadre management'

ofoi

Deputy Govemor, RBI,

In&Igg3

103

the monthly meetings of heads of departments, the dis_ cipline of the annual budget were some of th. n"* d"ui"", emptoyed, Most of these methods were introduced in the Bank for the frit time, jointly by Patel and me on the basis of our e4perience in the central secretariat. My colleagues valued my advice. ihese conditions con_ tinued unaltered even after the new Dy. Governors A.Ghosh and R.Rangarajan joined in January 19g2 and Dr Manmohan Singh suc_ .. ceeded Dr Patel in September j.9g2. The latter half of 19g1 wala very difficult period, as the strength of deputy goveroor, down from four to two, with retirements ana tte aeialy in filling ""-"vacancies. tie It was widely believed that by delalng orders on the iecommendations of Dr I.G.Patel, the Government of India was sending a signal to him that he did not enjoy its confidence any longer. Dr iatelieacted by announcing his readiness to retire before the ixpiry ofthe full term bul keptthe government guessing as to the exact dati. although ttris period was indeed strenuous,I had the opportunity of handling new departments like Banking Development and Indusirial Financei It was during this period that I came to know Dr pratap C.Reddy and pushed through his idea of corporate health-care und th" Apollo hospitals project, at a time when hospitals were not treated as industry for
managers,

inter-departmental and inter-branch communications, etc. The weeklv meetings governor, deputy governors and executive _of dir""-t-or_J, monthly letters of branch managers, the annual conference of

financing purposes.

high- value bank notes above Rs 100 and I was called upon to make the necessary arrangements to meet the rush of the surrendered notes, Two types of cases come to my mind. In one, religious institutions like temples claimed that large numbers of demonetis-ed notes were found in their collection boxes and their full value should be paid to them as w;re offerings to the deities from devotees before the fixed date. !!e.f This plea was developing into a racket and the unscrupulous were using this route for extending the date. So I ruled that offeiings found in the collection boxes on the day immediately following the innouncement

Agricultural Refinance and Development Corporation lanOC;, u subsidiary of RBI. A few days after ljoined, govJrnment demonetised

My portfolio consisted of currency management, expenditure and accounts, and agricultural credit. I was also concurrently Chairnan,

104

Two Administralors :

Iwaction

Between ICS and

IAS

bank promptly on that day of demonetisation and surrendered to the could be encashed. For good measurd, I added.that YP t1w notJs hter wouldibe offendingnot ontvife become worthless bY had of man but also the law of God, as the the tribals cases came from the north-east' where n rott .. set of its of notes under benami were being used as conduits for large icatiou I rejected those claims and arrangements. During mY on me by some Politicians' forfeited the notes despite pressure

d"":"::

iit;Jl;"""tised ii*.

rn Srngapore anu suffered. For example, an airline pilot dn deputatlon me with the did not kow the relevant date and came to

eori.ufiu help as I had J"-orr"tis"d notes io his lockers long after. I couldnot that Ji."r"tio" under the law. At that iiure, it was widely_removed "o entire demonetisation exercise wag launched in order to uncover the ;;;iltt;" ;;se amount said to have been hoarded bvlndira Gandhi

to say whether this and her associates in the Congtess' It was difficult -can say is that out of the total value of ui- *u, achieved. All that I

notes of nr.r+j.+z crores of these high-value notes in circulation' Bank and thus Rs.20.97 ctores were not received in the Reserve Rs' 8'14 crores were became demonetised finally. Besides' notes of confrscated.

India' My administrative uu"tiorriog of gotd on behalf of Governnrent of ignorance of the economics exoerierrcle se-ems to have outweighed my this and I had seriius doubts about the wisdom of we poficy and its effectiveness as an anti-smuggling measure'However' the gold stock i^J,t g" along with the government' We ensured that quantity ofgold offered in auction of the B'ank was not depleted and the built up by the government from seizures by

my joining was Another task entrusted to me within a month of

;;;il. ;;;;r"1

*u. tirni

to the sto;k "a neserve Bank was mlrely icting as an agency on behalf rrc arrangements' "u.to.s. of the government. I worked out the best possible play of the country's ;;,hy;f lhe integrity and reputation for fair to persuade thecentral bank. Aft; ; few auctions, we managed a subject of ;;;;;;;, to call a halt. The entire exercise became it ordered power in 1980' iontroversy. When the Congress(I) came to in the Janata cupboard' A former it, quest for skeletons uo "oqui.yinRBI, K.R.Puri was the enquiring officer' He gave rne the

;;;;;;f

Deputy Govemor, RBI, 197&Igg3

105

had only commented that the government dragged its feet in issuing detailed instructions to the agency, although eveiiually the instructions 'transacttns. issued late covered the earlier His c6mments on the reserve price of gold were also contrived. Despite our dim view of the report, Patel and I had to go through the motions and submit detailed explanations. In my letter to the finance minister forwarding my com_ ments, I refuted all the aspersions puri had cast on me and the auction committee and stated as follows:

on a formal contract before undertaking the agency function. How could a former governor be_so ignorant i. pr"liaiced as to imagine that the relations between the government unj its bunk"., a central bank, should be so rigid and foimal? ft" *outJ t uu" Ueen right if he

of Puri's observations was that the Reserve Bank shouid have insisted

a few parties and that Dr LG.patel and I in th"e Reserve Bank had facilitated this process. He gave his report with the expected con_ clusions. Irvas one ofthe persons who was asked to explair. A sample

of a man who had made up his mind even at the start and was only searching for evidence to confirm that gold was cornered by

irnpression

to protect the honour, integrity and reputation of its officers who out irs policies faithfully, honestly and to the best ":q"1*y...t'o. "ury of their abilities,
irrespective of the party in power."
I learnt that my comments, along with the replies of others involved were placed before a committde of cabinet ministers

"I hope and trust that the Government will do everything necessary

the investigations either. Such are the nerve-racking ment.

for possible legal action. I however, received no official intimation of the final disposal of the matter. As far as I know, nothing came out of

and that it was decided not to pursue the matter, although the suspected cases of cornering of gold pointed out by puri should be inveitigated further

wis

of govern_

The.apgve unsavoury episode apart, my work during the entire tenure with Reserve Bank related mainly to iural credit. I used to visit the states, cooperative banks, commercial banks and rural develop_ ment projects in the field. Thebiggest and the most ubiquitous problern that I came across was political interference. Elected managements of cooperative societies and banks were being superseded on flimsv

106

Benveen ICS and

IAS

gounds; credit melas introduced for speed,l yutiny-*,1T:,*::j distorted into a ;opulist exercise :j

ffi ;;,i;;. ;;;


"f ,o*.,. *o

b;ii;; i;red

;;;rht; was being steadily eroded' The plausible.tqu-:"t.of r"*J "d"*ity carie to be used ftequently. and frivolously for subvefting subvert-.c credit dlsctpline' In these p"r,p""i"g ,"puyt"rrt. ;;'r;;t"r ;;puyrn"',tt and for suppoft the*"d1!.ry:1}:'-1:::: credit institutions itr the i undertook to
ii.",r..t"i""r, n"fa, *i tt ihe prestige

few; the nexus-between the bank.and its borthe repay. .ti"nts was being broken at will; and above all,

il'jt91^:

on behalf of the *frui"u". ,n"v *"r" *o.ih. In on" inst4nce, I refused' district collector in n.r"*" S""k, to honour the certificate of a had' under rurJ"rurltru ufout drought'affected villages' The collector ahnost all villages oofiiird ot"r.ure, declaied that the kharif crops in

attd authopity of th3 R.esene Banh for

il *b;;trn.|, ;;;'";;"t"

goodyield aitt ough tl,emain crop, cotton, had givcna the state government's as evidenced from the purchases under jowar *rrofoty por"t ase scheme. In reality, only a few villages where

me affected' The chief rnlnister, Sharad Pawar' called he recognised the facts' to u ileetiog of lris ministers. When I explained and agreod to a modifiedformula of relief the situation ii" "U.*aily "f onlv, which I suggested' But his successor' A'R'Anadvice n""ncial procedures lo the winds' disregarded the ,tiiy, with the Reserve Bank and anoilii, ofn"".., avoided consultation lozrns across nou"""a the write-off of a large amount of cooperative

;;;;;;;;*"rs iit"*

theboard.ThisstartedachainreactiOnamongthestategovernments. to resist the demand The Tamil Nadu government, which was trying association succumbed for a similar write-offbythe local agriculturists' or less on siftrilar io ,n" p."r.o." and announced th-e write-off' more With a view to stem lines. Other state governments tried tb follow suit' the credit system, Dr Patel and I rc ,ia" and avoiJ a breakdown of

;il;;il
,ru*t

Prime matter with the Union finance minister and the a-nd advised other Mioirte.. fhey.aw the dangers of Antulay's example with the to Lmuhte himbut to work out, in consultation

i;;; "* Bank, a reasonable systeril of relief' without blurring the and after identifying

disiirrction Uetween wilful defaulteri and others we deputed iaiural calamities on the basis ofstridt criteria' Thereafter' the details' It was not soecial teams to different states for working out rash to tring some oriler into the svstem after the ;il;;;;.;;ry action of AntulaY.

Deputy Govemor, RBI, IgTg-Igg3

107

fy -an expert committee, to be appointed by the RBI, provided it included G.V.K.Rao, the nominee of Bhanu n"tap Siogil. Sivaraman was chosen as the chairman by unanimous *or"it. Oiher members were L.CJain, Manu Shroff and myself. patel and I deliberately widened the scope of the committee toinclude non-farm activities and rural development in its widest sense. Thus, the Committee for Review_ rng Arrangements for Institutional Credii for Agriculture and Rural Development (CRAFICARD) cameinto Uelng.-Again, I got the op_ oortunit5r of working with Sivaraman for fulfiling oL common
objec_

Charan Singh who wanted something donl at once. This was the reason behind my recall. So-on, I produced a scheme for lowering the rates of rnterest on loaDs to farmers. The essential precondition o.f the scheme was that the cost of funds to ARDC should be brought down partly by exempting it from income tax and partly by reducingihe rate of interest charged by government on the loans alainst the frorld Bank,s line of credit. This scheme was promptly approved, as it had a superior message than the establishment of a separate Agriculture Development Bank, Charan Singh also agreed to get the latter idea examined

mendation of the National Commission on Agriculture in one of its Interim Reports and a brief but favourable delision taken thereon in principle by the Indira Gandhi government during the Emergency, the details had not been worked out by its advocatel Reserve Bank had grave doubts, and was not willing to shed its role in agricultural credit in a hurry in favour of a new and half-baked institutilon. Dr patel was ready to get the e4perts to study the proposal but this did not satisfi

ln J anuary L979. when I was attending an international conference organised by Asian and pacific Region Afiicultural Credit Association (APY!A) in Karachi, I was askid to ,".t*o, my stay. The ostensible reason was to ensure that I would noi "*i"i-fiog be stranded on account of the riots that might break out in the wake of tte executioo of Za. Bhutto by the Zjalul- Huq govemment of pakistan. On my return I learnt that the real reason was the urgert consultations that had become necessary due to the pressure oT Cfr-uo Siqgh, the finance minister, to do somethine spectacllar for satis$ing tie farm lobby. Bhanu- Pratap Singh, the influentiuf ,nioirt* oiri'u-t."i' tUe ministry of agriculture and G.V.KRao, the secretary were vigorously pushingihe to-sgt up an Agricultural Deveiopment iank, separate from To1o13l the RBI. Although the proposal was saidio be basel'on the recom_

108

IAS Two Administraton : Iilteraction Between ICS anil

ARDC tax' free' tives. I also achieved my long'standing [im of making India (IDBI), desPite Bank of on par with the Industrial of the finance ministry. The of the revenue the opposition guu" an interim report on 28 Nov 199, recommending the

"o-#tt"" of a National formation


iovernment

Bank for

& Rural DeveloPment

caretaker (Nabard) , while Charan Singh was the Prime Minister of the by the Indira Gandhi governmerrt. tt was taken up for implementation which came to power after the election of 1980'

Development Sank; NaUarO was envlsaged as a financial institution and RBI' It with a large scope, jointly owned by dovernment of India *us orgaiically ji"t"a *itn the RBI through its chairman who would justihed b" orrJof th" lutter's deputy governors. This organic link was credit were to be on the grounds that the resources for short-term

Unlike the vague but much'touted idea of the- Agriculture

providei by the RBI and that the cre{it policies and operations ofthe

the iitational Sank should be closely and ctrntinuously coordinated with

monetary policies of the Reserve Ban[<. Though the review committee link' had recommended a statutory provision for ensuring this organic at the last minute, at the insistence ofthe it was dropped by the cabinet first agriculture minister. The cabinet, however, laid down that for the goverlgr RBI should be fiiteen yea.s, nobody other than a deputy reappoinied as chairman, NABARD. The National Bank was also

to cover non-agricultural aspects of rural development' It was meant to provide rnedium and long-term credit as well' In short, it was and also to promote all kinds of activities relevant to rural development institutions down tbe line. A research and developbuild appropriate ment fund was to be created with the dividends due to but not payable how to the two shareholders during the fitst ffieen years' I remember provision was about to be I tried to intervene when this impontant

lui."a

dropped on the basis of a technicaiobjection by the law department of could the'Covernment of India that dividends due to the government I was not not be appropriated without the anniual vote of Parliament' willing to^leave this matter to the recurring scrutiny of officials who mishi not have the necessary visiort and understanding' I therefore suig"sted a change in the draft, banning the declaration of dividends foiihe first fifteen years and thus taldng the matter out of the scope of was annual appropriation and the legal iequirement' This suggestion

Deputy Govemor, RBI, 1978-19g3

109

me to the drafting of the NABARD Bill. I must add that the review committee had done a great service by backing up its recommendation with a draft bill. IGishnan of the legal department in RBI assisted me in preparing the revised draft. I.G.patel also mide important improve_ ments before the Bill was sent to government. Among them were the inclusion of the second deputy governor in the board, ihe continuance of the chairman till the assumption of ofice by his successor, transfer of theAgriculture Credit (Long-term Operations) Fund and Agricul_ tural Credit (Stabilisation) Fund of RBI to NABARD and the con_ tinuance of annual contributions of RBI to those Funds as before.

accepted. This is one example of the great care and attention paid by

tions, the service code, separation ofthe personnel from the RBI. the procurement of physical facilities for the head office at Bombay and regional offices in the states and above all, the determination of the new policy guidelines for refinancing new areas of rural development such as handlooms, village industries, etc. preparations were started even before the Bill was passed by parliament and well before I was told that Iwould be the first chairman. Here, I must record mygratitude to the support given bygovernors, Dr patel and Dr Manmohan Singh, and the hard work put in by several officers of ARDC and the agricul_ ture credit department of RBI. B.N.Sharma, manager in_charge of administration in ARDC deserves special mention. JJ/.Rao, who had worked as director in the ministry of shipping and transport under me and had retired, drafted the service rules. The Indian Institute of Management, Ahmedabad advised on the organisational pattern and conducted the orientation course for the officers. Dr S.K.Rau. former Director-General, National Institute of Rural Development, prepared the blueprint for the Bankers, Institute of Rural Devetop-eoilninO;, to be set up at Lucknow for training the offrcers of thi regional rural banks and the staff of NABARD. I secured the necessarv land free of cost from the government of Up and my ambition was to build an institution of excellence there, somewhat on the lines of the Institute

I devoted the last two years of my service (19g2 and 19g3) to preparing the ground for the establishment of Nabard and in ensurins that it would function smoothly in the years to come. The relevant Aci was passed in December, 1981 and the Bank was constituted on Julv ?, I9U. Preparatory work included the framing of rules and regula-

110

Two Aihninistrators : Inleraction Between ICS and IAS

(IRMA), set up by my friend Kurien of the National Dairy Development Boafd. Four committees were appointed with experts fron different fiefds to advise on credit policies for handlooms, handicrafts, khadi and fillage industries, and marketof Rural Management, Anand

ing.

Great emphasis was laid on


exoertise in NABARD in all

up technical knowledge and of rural development like soil

water, forestry, animal conservation, agronomy, irrigation, was established with the husbandry and village industries, research relevant to laboratories of CSIR with a view to Nabard. For example, the tissue culture experiments of National
Chemical Laboratory Pune were supported. The mapping techniques of the National Geophpical Laboratorf, Hyderabad were drawn upon for development of forestry. ICG.Venkhtaraman, a former member of Indian Forest Service and Deputy Manager, Forestry in NABARD was of great assistance in this regard. I wanted NABARD to be a sponsor of action- oriented research, by utilisitg its R&D fund. For this purpose, I held a consultation in April 198? with the e4perts of agricultural universities, national laboratories and other research institutions. Interesting approaches were suggested, but alas, I did not have more than 1.5 months to pursue them. A good pant of my time was unfortunately taken up in meeting administrative exigencies and motivated criticism and removing the wild and baseless apprehensions of the Reserve Bank

employees about their future under the new dispensation of

NABARD,
had hoped that in view of the, ground-work already done and recommendations made in advance, th government would be able to constitute the board of directors, simultaneously with the issue of the notifications setting up the Bank and appointing the chairman and the managing director. This remained an idle hope. The government would not make up its mind on the composition of the board for a long time,
with the result that the board came into being after.nearly eight months. I hadtwo alternatives before me: one, to be passive and just carry on

the routine functions and the other, to act on the spirit of the law without violating thc letter and do everything necessary and legally possible for the progress of Nabard. I chose the second course. I found, o+careful examination, that I could do everything in the namb of tk

Deputy Govemor, RBI, 197&1983

111

Bank, except appoint the advisory comm;ttee which fell in the province of the board.
One of the pressing needs of NABARD was the residential accommodation for the staff. This involved not only a large financial commitment but deciding between alternative sites, competing contractors, rates, etc. I took the usual precautions and consulted the englneers of RBI and some other consultants whom I had appointed. Some of these

decisions became the subject- matter of anonymous complaints by disgruntled persons. When the board eventually met, some members tried to raise a discussion on these anonymous petitions, without realising the full implications of their action. As chairman, I ruled out a formal discussion in the board but offered to provide, on an informal basis, all information on the alleged complaints, so as to satisff the members. This approach and the care with which everything was properly documented convinced the directors that the complaints were not only baseless but also motivated.
One incident of this period deserves to be recorded. One evening

in December 1982, Shah, one of the contractors building NABARD flats in Bombay, visited me in my residence and left a gift stating that it was customary for him to greet highofiicers and others at the time
of Diwali with some sweets and that he had missed me as I was abroad at that time. According to my habi! I did not open the packet in his presence. He left after an exchange of pleasantries and extending an invitation to me and my family to his cinema house. When the package was opened, I found a silver tray and a dozen silver glasses, the cost of which I estimated to be about Rs 5,0(X). I was surprised at the behaviour of Shah, particularly his misleading statement about the nature of the gift. Next day, I received a note from Sant Das, managing director, NABARD that Shah had left a similar costly present in his house in his absence and that he proposed to return it, cautioning him against such behaviour in future. Thereupoq I wrote that I too was a victim of Shah,s generosity and. that instead of returning the two presents to him, we should treat them as gifts to NABARD in token of Shah's appreciation ofthe profitable contract he had executed with it. I added that the silver .articles should thereafter be classified as the silver of the board of directors, kept in safe custody and produced at special functiong such as the lunches held in connection with the meetings of the board.

112

Two Administrators : Interaction Between ICS and

MS

Accordingly, the silver was brought

onrt at the

first lunch of the board.

I related the story as some of my critics were trying to pounce upon me with the charge of extravagance. Thtls did I handle, with finesse and humour, one last attempt to corrupt 4nd malign me!

While making preparations for NABARD, I underwent a unique and memorable experience despite 4y disability and constant pain in my left eye, which had lost its sight since April 1982. I vividly remember that the pain of glaucoma started while I was addressing the consultative meeting on the R&D fund. Deblaring the aim of NABARD as 'development through credit' I preached that a whole philosophy was to be derived from this phrase. I identified five principles: adoption of appropriate methods of science and technology; clear delineation of the terms and conditions of credit by the bankers and the faithful adherence to them by the borrower; close monitoring; practice of thrift by the borrower; and prompt repaym.ent of instalments by the borrower and matching consideration by the banker in the event of natural
calamity and unforeseen circumstances. NABARD frlled my thoughts in all my waking hours. I felt so e:<hilarated and inspired that I wrote a few lines of poetry. I composed verses in English and Hindi to bring out the commitment and meaning of fhe oath that the NABARD staff was required to take under the Act. The Hindi verses, which were set to music by Vijya Raghava Rao,the fahous composer of AIR and came to be known as the NABARD Song.,{ NABARD choir, consisting of persons from all grades presented the song before the Prime Minister

during che dedication ceremony. I hoped that it would provide guidance and inspiration to the men and women of NABARD for the propagation of the five principles of development through credit and the fulfilment of NABARD's mission. The English version of the original Hindi song is reproduced below:

The NABARD Song


Come hither, come hither, Let us take the pledge together, For NABARD's workers all of us are.

Rural progress is our motive, Integrated development our qbjective,

Deputy Gowmor, RBI,

1978-1983

II3

Towards the poorest we.move With hearts full of love, And deploy our money and our labour, So to ensure the fruits of our love's labour. Development will then become a reality, When we adapt science and technolog5r Apply eKension methodolog5r

And work with skill and inspiration in synerry.


So we will, so we

will

Visit villages frequently

With dedication, heart and soul,


Work as catalyst sincerely,
Provide all assistance necessary, With stress on additional productivity, And bring back the bank's share of additionality.

Work is our strength Work is our worship Glory be to work, glory be to work, Come, let us work, NABARD's workers all of us are.
Note

The Hindi song was composed by me with the assistance of Shri O.P. Sharma of NABARD, and Dr P.Jayaraman and Miss Roopam Misra of RBL

To propagate the principles of development through credit, I hit upon the idea of a volunteer corps called Vikas Volunteer Vahini (WV). It was a body of men and women who had volunteered to disseminate these ideas among the rural people. I planned to give to
the WV a theme songinregional languages, so that they might become bards of NABARD and sing glories of development through credit, just as bards of old kept our values alive through prosperity and adversity. I envisaged the establishment of clubs in the villages to provide a bridge between them and the banks. Another element of the scheme was the involvement of specialist volunteers from among the retired who agreed to spare their time and technical knowledge, on payment of out- of-pocket expenses but no salary, for the guidance of

114

Two Administraton : Ilpteraction Between ICS and

IAS

the rural borrowers, particularly the p{orer among them. The idea was

that educated persons must rcpay thqir debt to society through free service, after retirement. Thirty-seve! members of the WV from ffierent districts and speaking diffetent languages were presented with badges by Prime Minister Indira Gandhi when she dedicated NABARD to the nation at a special function on October 5, 1982 in New Delhi.Inhis message on rhis occaqion Sivaraman stated as follows:
'lThe whole universe of rural growth is the franchise of
a

NABARD;

staggering thought."

I submitted that "development bslking is too serious

business to

be left to bankers alone, or for that matter to government departments

alone," and stressed the need for "the desired combination of skills, coordination of wills and cooperation of borrowers, actual and poten-

tial."
To my great disappointment, I found that some of the members of the board of directors who came on the scene later did not share my and the musical aid to norale. Although the enthusiasm for WV, which was sanctioned for three years, was to be expanded to cover all the districts gradually, it became limited to certain areas without the original thrust or faith. I content myself with the thought that if there is substance and utility in these methods, they are bound to survive and win in due course.

WV

As my term was due to e4pire on July 31, L983, I initiated action for selecting my successor in February, 1983. My intention was that he should join at least by May 1983, rerlain as an understudy for some time and take over at the end of July 1983. Alas, this was not to be. Although proposals reached government in March, 1983 it could not take a decision. So when the time camb for me to quit office as deputy governor, there was nobodyto take ovef. The NABARD Act contained a provision that although the chairmafi's term might expire, he should continue till his successorjoined. I infchmed government that although I would leave Bombay for Hyderabad on the expiry of my term, I was bound by law and duty to ftraction as chairman in accordance with the above provision till a successor joined; However, when I called on the finance minister, P.K. Mukherji, on thd last day of July 1983 to bid him

Depuly Govemor, RBI, 197&1983

115

good-bye formally, I was taken aback by what he called my stand in regard to the chairmanship of NABARD. I replied that to continue as chairman even after quitting office as deputy governor was nor my choice but my duty in compliance with an Act of parliament. However. I agreed to resign if the minister wished me to do so. Without such a request, I added, I had no means of escape from the legal obligation. At this point, the minister recovered his composure and tried to cover up the awkrVardness of the moment by praising the work I had done in the building of NABARD. I took this opportunity to impress upon him the wisdom underlying the relevant provision in the law and how a similar provision in the Reserve Bank of India Act had saved the government from embarrassment earlier, when it took a long time to nominate directors in place of those whose terrns had expired. As the

minister was reported to have directed the removal of the above


provision from the law, I also advised him not to make any amendment in haste. Thus, a courtesy call on the last day of service turned into a
session of advice and assertion of self- respect. I have not been able to

follow how public interest is served by leaving posts of chairmen or


directors vacant. My suspicion is that ministers like to have a situatign in which they can flaunt their power and patronage. According to reliable sources, the facts relating to the process of choosing my successor were as follows. In February 1983, Dr Manmohan Singh, Governor RBI, met Prime Minister Indira Gandhi and obtained her approval to the selection of a senior IAS officer for the post, someone with an intimate knowledge of state administration in general and rural development in particular. This was considered necessary in view ofher reported reluctance to induct IAS officers into bankingjobs. Thereafter, I was asked to shorGlist IAS officers with the appropriate backgroundand experience. T\vo names, IC Ramamurthy, member board of revenue, Orissa, and M.M.K. Wali, chief secretary Rajasthan were finally chosen by the governor and recomrnended in that order to the finance ministry for obtaining the approval of the Appointments Committee of the cabinet. The finance minister sat on this for a long time. Meanwhile, a rumour was afloat that Wali was selected. It gained credence as Wali called on the governor and made enquiries about thejob. But suddenly, at the end ofJulyjust before the end of my tenure, information reached the Reserve Bank that Wali was

116

Two Administrators : IAteraction

Beween

ICS anil

HS

not being spared by the government ofl Rajasthan and a search was on for another suitable officer. After a fek days, the name of R.K.Kaul, additional secretary in the banking divi$ion of the finance ministry who was due to retire shortly, began to be drentioned in the financial press as the possible successor. The governdr conveyed his unhappiness at' this proposal to the finance minister. dt that time, serious differences were brewing between the governor dnd the government on two important matters: the proposal to divebt RBI of the power to license

commercial banks to open branches, and the permission to be accorded to Swaraj Paul, a non-resident Indian, to acquire the shares of Escorts. The former was perhaps mooted as a result of the governor's refusal to toe the line in regard to some foreign banks. There were exaggerated speculations in the finalcial press on the intentions of government behind foisting Kaul on the Reserve Bank despite the governor's opposition. Matters came to a head in September, when the self-respecting governor almost reached the point of submitting his resignation. Then it was that goverdment saw it fit to defuse the situation, by dropping the proposal on licensing bank branches and agreeing to write a letter in the affair of Swaraj Paul instead ofa formal directive'demanded by the governor, while persuading the latter to withdraw his opposition to the appointment ofKaul as deputy governor and chairman of NABARD. The governor was left free to allot other portfolios in the Reserve Bank to Kaul. He had succeeded in warding off two major incursions into the.Baqk's autonomy and power, while cor.promising on the third issue. This is the stuff of which decisions
are made at the highest level. It is now for readers to judge the

propriety

of the manouvre that landed Kaul in NABARD, particularly against the background that he was not in the short list recommended by the governor, the final order was delayed till his retirement and that Wali was transferred soon after from the post of chief secretary Rajasthan to that of Union home secretary. At long last, on October I, 1983, thanks indeedto the special efforts of government, the second chairman arrived in the National Bank for Agriculture and Rural Development, with a mind unburdened with knowledge or experience of agricultulre or rural development. And I
was relieved on the same day.

Post-retirement, 1983 onwards


By way of postscript, I may narrate briefly my activities after retirement from the Reserve Bank and NABARD. For some months, I was full of ideas about the work of NABARD but an effective end was put to them try the cold attitude of Kaul, my successor. At the time of retirement, I was working on a manual for NABARD officers. in which I was to deal with the implications of the philosophy of develop_ ment through credit. I thought I would complete it, if some secretarial assistance was extended to me. But Kaul saw no use for such a manual and did not agree to provide the requested assistance. Soon, I learnt that a witch hunt was started against those who had worked closelywith me and were allegedlyloyal to me. Reports reached me that NABARD was lbeing turned into a subordinate office of the finance ministry, conthary to the original concept of an autonomous body, more o, less in the rmage of the Reserve Bank. Kaul could not even"constitute the advisory committee, which according to the Act was well within the power of the board of directors, as he thought it necessary to consult his patron, the finance minister and that gentleman took his own time. I guessed that Kaul would not like even myshadow to fall on his domain and so I decided to keep away. Thus I gradually came out of the web of inspiration that encircled me since 1981.
N.T. Rama Rao, the chief minister of Andhra pradesh who had
come to power in 1983 for the first time, wanted me to advise the state

government on one matter or the other. First, I joined a committee

118

Com' entrusted with the drafting of the menflorandum to the Sarkaria I was made a member of mission on Centre-State relations. Second, formulathe State Development Board which lyas concerned with the tion of the state frve year plan. Both proved to be of no serious consequence although I laboured hard to draft parts of the memoran-

had no dum for the SarkariiCommission. ThF chief minister,I believe, finally submitted a brief note time or inclination to read our draft arrd to the commission, without sharing it with or consulting the committee' only The State Developrnent Board too proved to be a farce, as it met a infrequently. I guessed that he was ulsing me and my colleagues as that he would -"r" i.orrt, in ,y.bolic fulfiknent of the election promiseup for his own wisdom of intellectuals to make readily draw upon the

lack of administrative experience.

once told him to his face that

although we the intellectuals were around him, our intellects remained with u; firmly sealed. This and other incidents led me to disengage myself from tire state administration with honour and grace after about two years.

Meanwhile, the Union ministry of industries appointed me as

chairman of Khadi and Village lndustries Review Committee (KAVIRC) in 1985 and this lasted till 1987. I was not a stranger to this iubject, as I was associated with the Orissa state Khadi and Village

Industries Boardinthe fifties and had revived my interest in the eighties as chairman ARDC and NABARD and as member of the National Committee on Development of B ackward Areas headed by Sivaraman' KAVIRC gave me the opportunity of visiting the villages in different states and holding discussions with Gandhian workers and research scientists in the field. My main contribution through this committee was to change the definition of village industries and to release

Gandhian economics of non-farm employm.ent from the deadly grip of latter-day Gandhians, who forgot the substance of GandhijLs message for the sake of a few traditional activities. Village industry has since

come to mean any non-farm activity in a village, which provides employment. The presence io the committee of .G' Venkataramanan

nS, the dynamicjoint secretary of the ministry and an earnest believer in relevant technolog5t, ensured tho quick processing of the interim
report and the amendment of the Khadi and Village Industries Commi-ssion Act. more ot less on the recommended lines' Thereafter, I was

P os t-retirc men

1983 onw a rds

119

asked by the Planning Commission for advice h connection with their appraisal of the Seventh Plan and formulation of the Eighth Plan. As

had the unique privilege of addressing the consultative committee of Parliament attached to the planning ministry on the a iesult,
subject of khadi and village industries. I wish more attention had been paid to the rest of the committee's recommendations e.g., on marketing, science and technology and the administrative reorganisation of the KVIC.

While I was still busy with the review committee, I was asked to be a one-man committee to study the workings of the coffee, tea and rubber boards by the commerce ministry in 1986. This was perhaps due to the interest I had taken in these plantation crops as chairmaq NABARD. I submitted the report in November 1987 to P.R. Das Munshi, the minister of state . To my surprise, I found him reluctant to make the report public and encourage a debate on the recommendations. He and his advisors thought that the publication might embarrassgovernment, if follow-up action was not taken soon and if members of Parliament raised the matter in the House in the meantime. My impression was that they had no time for such democratic methods' The report has remained under wraps till the time of writing' I am not aware if any of the recommendations have been implemented or what
use has been made of the report. L988, I had the privilege of heading two committees of the ministry of agriculture. Gne was a three-member affair, concerrred with the review of the directorate ofextension in the ministry. The other was a one-man committee with the task of studying the arrangements for cooperative training and education. Both the reports were delivered in March-April 1989 and the agricultgre secretary gave the impression

In

that he was keen on implementing the recommendations.The reports were promptly referred to an empowered committee but it gradually became clear that the will to make changes in administrative structures and improve their performance was not strong entrugh. My experience with these committees has made me sad and perhaps wise in the process. I remember that I had to work particularly

hard for the one-man committees, despite declining vision due to cataract in the right eye and continuous pain in the sight-less left eye

Two Administraton : Interafiion Between ICS and

IAS

due to glaucoma. The results achieved have not been commensurate with the efforts I made. I have accordidely become chary of accepting such assignments in future out of anlr exaggerated sense of public service. My experience with the Khadi and Village Industries review committee showed me that a committte can only be effective if the officials concerned with the subj ect are deeply interested in and closely associated with its work.
Besides these governmental assignments, I have associated myself

with the work of two voluntary organisations. The Prakasam Institute of Development Studies, Hyderabad, $et up in memory of the great freedom-fighter, Andhra Kesari, has ptovided me with opportunities for public education in important topical subjects like national integration, secularism, cooperative movemelrt a,nd centre-state relations. The other, Bhagavatula Charitable Trust located in Elamanchili near Visakhapatnam has opened a window on the rural world and enabled me to participate in experiments in rutal development, like women's thrift groups, credit-based activities, irtformal education, eradication of illiteracy, etc.
The government assigr.ments have no doubt broughtme additional income and helped me keep the home filesburning till the Government of India decided to augment the pensiou and dearness reliefin accordance first with a Supreme Court judgement and later with the recommendation of the Fourth Central Pay Commission. When I arrived in Hyderabad in August 1983, my pension and dearness relief was no o more than Rs 1,425. The dire situation I faced in December 1977 was somewhat mitigated by the savings made during my tenure in the Reserve Bank and its contribution to the provident fund. Fortunately, my guidance was sought by a local teChnocrat-cum-entrepreneur in operating a finance mmpany and I have benefited to a limited extent bybecoming chairman of DCL Finance Ltd. On similar considerations, I have come to be on the board of directors of Hindustan Ciba-Geigy Ltd., Bombay and ofone or two other companies. These positions have been useful to me for keeping in touch with changes in the economy as a whole and for remaining physically mobile and intellectually active.

To conclude, I have not done badly. despite the apprehensions at the beginning of my career, the self- imposed restraints during the

Post-retircment, 1983 onwards

121

service, inflation and the belated government response to it, and above

all, the motivated attacks on me by peers and politicians. This is the story of the progress of an orphan to Deputy Governor of the Reserve
Bank, a self-made man who was determined not to lose his honour and self-respect for the sake of the so-called good things of life and a heavy bank balance at the end. I was content to lie in the bed I had made for myself,

CHAPTER.II

SIVARAMAN'S EXAMPLE

1 Career ln ICS, 1934-70

That Sivaraman provided a powerful example and influenced me

in many ways in the practice of public administration would, by now, be obvious to the reader. An account of how he rose to this position
and what lessons he conveyed to others for emulation will be instructive

to the students and practitioners of public administration.

Broadly speaking, Sivaraman's career may be divided into six


periods: L934-46 may be described as a period of training and preparation; 1946-49 saw him emerge as an able manager of civil supplies; during 1949-55 he demonstrated his administrative acumen over awide field; 1956-65 was when he guided development policy and administration of the Orissa state; during 1965-70 he fulfilled his destiny as one of the harbingers of the Green Revolution and reached the highest position a civilian could attain viz., Cabinet Secretary to the Government of India; and 1970-88, when he was called to lead dnd participate in commissions and committees charged with the study and solution of important national problems. Some of the commissions were full-time assignments, the most notable being the National Commission on Agriculture and the Planning Commission. Although part-time, his membership of the Sarkaria Commission on Centre-State Relations (1983-88) deserves special mention. In 1990, he agreed to advise the government of Orissa once again as deputy chairman, State Planning Board. He was unable to resist the insistent calls of the Chief Minister,

Biju Patnaik. In a letter to me in July 1990, he said: "The task at

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IAS

Bhubaneswar appears to be herculeah. I wonder at my age what impression I can make. Anyhow it is a thsk for my intellect. It wi[ give
me some objective in life, now that my f4mily ties are slowly loosening". However, he gave up the assignment dfter about six months, due to

uncongenial circumstances.

I shafl highlight the major events of each period. Those who are interested in the details are referred to his book Biffer Sweer (Ashish Publishing Co., New Delhi).
Balaraman Sivaraman joined the Eihar and Orissa Cadre of the Indian Civil Service on November 30, 1934, having secured a high rank in the competitive examination held in london in the previous year. Posted to Ranchi as Assistant Collector, hebought a cycle andpedalled his way to the collectorate in the earfy afternoon to commence an illustrious career.
Sivaraman in 1934 was a young ma+ of twenty two, the pride of his family, conservative in outlook, rigid itr dietary habits, nationalist in temperament but realistic enough to suibordinate it to the demands of the Service, little interested in current affairs, capable of concentrated effort though not physically strong and fully conscious of the support of parents and near relations. How such a person grew to be a competent adminisftator, an inspiring leader and a respected iidvisor in a wide variety of fields is the story of this section. As indicated earlier, only the major events will be narrated to delineate the path of his progress.

In his first post as assistant collector, Ranchi, Sivaraman had no


regular administrative work, as he was supposed to trainhimself inlaw, Hindi, horse-riding and other subjects prescribed for the departmental examination to be held at the end of probation. Outside office hours, he spent his time socialising with the Indian officers of the station at the club and played a lot of tennis and cards. After an year or so, he was asked to take over as subdivisional officer, Bhabua in Shahabad district. His memory ofBhabua does not appear to be very happy, due primarily to a severe attack of malariq which compelled him to take long leave.

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On return from leave in August 1937, he became sub-collector, Berhampur in Ganjam, Orissa. Although Orissa became a separate province in April 1, 1936, the ICS officers continued to be members of the joint Bihar and Orissa cadre for several years. He stayed in
Berhampur for three years. It was in this post that Sivaraman mastered the details of revenue administration and magisterial work. About his stay here, Sivaraman has written that "Berhampur made me, physical-

ly." He built up his stamina and confidence to withstand the ever_ present danger of malaria, kala-azat and other mosquito-borne

diseases and to undertake tours into the interior. He also acquired the reputation of a fearless and independent magistrate. In one case he gave a ruling against his own collector in a defamation case. which the latter had launched against ajournal called iy'ew Onisa. Although the High Court set aside his judgement, it praised its quality. In recognition of his abilities, he was specially chosen to conduct the committal proceedings-in the Bezelgette murder case in which several praja Mandal workers were accused of rioting and killing the political agent of Ranpur state. He was promoted as collector, Balasore after a short stint in the secretariat as special officer.

His next appointment as district and sessions judge, purulia in Bihar was even more prestigious. Initially, Sivaraman was not happy
about this posting,
as

to the judiciary who were wanting in executive abilities. He however took his duties seriously, made a study of the civil law and earned the admiration of the Bar and High Court, through hard work, speedy disposal and sound judgement. The judgeship proved to be a short interlude as in May 1942 he was sent to Purnea as collector.
Purnea gave Sivaraman ample opportunities to show his mettle as executive. He handled successfully, with great tact and circumspection, the law and order problems resultingfrom the euit India agitation and the'economic problems caused by the Second World War. Here he developed his ideas on the management of civil supplies, almost
an

it was felt that onlythose ICS officers were posted

single-handed, without any direction or advice from the higher echelons of government. Although purnea was an important paddy marketing centre for the eastern Bihar districts and the Terai iegion of Nepal, the trade was under tft control of the businessmen of Calcutta. He apprehended that if the latter moved awav the rice stocks

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Two Administrators : Ihtelaction Beween ICS and IAS

from the district soon after milling {he poor labour and consumer would be exposed to high prices axd scarclty in the lean season:
Sivaraman writes: "I thought that as a Collector of the District had a duty to see if the labour can be shielded from the catastrophe'n He proposed a scheme by which governmbnt would purchase some paddy -io it into rice and s4ock if for sale in the lean months th" ,"uron, "onvert This operation, in his view, would have a salutary at a reasonable price.

effect on the market prices as well as availability. When government turned it down for lack of funds, Sivaraman persisted with the idea ard finally managed to implement it on an informal basis with the help of the Imperiai Bank of India and the cooperation of the millers and withoui the use of government funds. This was, perhaps, the frst instance of a collector of a district planning and erecting an informal system of equitable distribution of staple foodgrains for the benefit of tle common citizen, though in a rudlrnentary form. Later, when the
government set up a system of monopoly purchase through agents and

appoittted Regional Government Supply Officers (RGSOs) for rice of Bihar, Purnea was dade an exception' The collector suiplus "ones cotrtinued as the RGSO and was allowed to operate his own system' Sivaraman writes: "It was quite a tribute to my pioneering efforts' The millers gave me no trouble. Behind me was the Defence of India Rules
which I never used in mY service."

In another significant move, as part of government's fund-raising drive in the districts such as the War Fund and Post Office savings, Sivaraman chose the latter and enabled a local committee to earn substantial commission and build, with the help of the earnings,a college, a long-felt need of the area. Thus he killed two birds with one stone, satisffing both the government and the people. Purnea won the inter- district competition. For his 'lvork in Purnea, he was awarded the Order of the British Empire (OBE) in the Birthday Honours published in June 1945. It was indeed a rare honour for a 33-year-old field offrcer.

After Purnea, Sivaraman came to be recognised as an expert in civil supplies management, and his subsequent postings were as Inspectoi of Supply Offices in Bihar and Secretary, Supply and
Transport, Orissa. In ensuring procurement and distribution of essential commodities and administering the price control regimeq he

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achieved considerable success. He introduced many innovative measures for safeguarding the interests of Orissa. Special funds were created for procurement bonus and special contingent charges out of current receipts. These funds proved useful later, when unforeseen claims were made against government and when the need for additional resources for rural storage was keenly felt. His greatest contribution as supply secretary was to integrate the former princely states into the supplysystem of Orissa smoothlyand quickly. B.B. Nag, a civil supplies officer of those days who was promoted to the IAS later, writes as follows: 'Vith the merger of the princely states in January 1948, the magnitude of the task increased manifold and now a thorough reorganisation had to be made by Sivaraman. There was a compulsion to adjust but a relative incapacity in the merged states to do so. Indeed, things were in more than usual disarray... Sivaraman with his zest for hard work, grasp of affairs and intellectual brilliance tackled the situation with self- confidence and alacrity."
In 1949, Sivaraman was promoted to the rank of commissioner and was given the dual charge of assistant chief administrator, Orissa states and revenue divisional commissioner, northern division" consisting of the districts of Dhenkanal, Keonjhar, Sundergarh, Sambalpur, Bolangir and Kalahandi. He was also given direct charge ofthe land reclamation and resettlemetrt of the families displaced by the Hirakud Dam. In the middle of 1951. his burden increased further as a result of the reorganisation of the Board of Revenue and the decision of government to attach some secretariat departments to each memher. The circumstances in which this unique arrangement came into being will be described in a later chapter. Suffice it for the present to say that Sivaraman came to be called Member (Commercial Taxes) and to hold concurrent charge of the posts of Secretary to Government in the departments of mines and geology and gram panchayats. Sivaraman's workload increased enorrnously but he met the challenges squarely.

He carried forward the process of integrating the former princely states with the Orissa administration which he started as secretary, supply and transport. The periodic and intensive inspections of the
district offices which he undertook set the tone for the administration. The detailed and meticulous tour notes recorded by him provided valuable guidance. Known to be a close confidant of the then chief

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Two Administraton : Interaction Between ICS and

IAS

minister Nabakishna Chaudhury (popularly known as Nabababu), he wielded considerable influence at all flevels in the state government' Officers belonging to various service$ as well as the people at large looked up to him for the solutiou of tbleir problems. Although he was often refirred to as the Maharaj ah, bolrowing the idiom of the princely states, he took care to be accessible to the people, officials and non-officials alike. Some of the great ideas on development policy and

administration he espoused in later yoars took tentative shape during this period.
Member (Commercial Taxes) while disposing of revision petitions under the Orissa Sales Tax Act has been provided by Justice Ranganath Misra, the advocate who later became Chief Justice of the Supreme Court in 1990. The follow-

A glimpse into Sivaraman's j udici4l work

as

ing is an extract from his note:


"Those were the days when the concept of inter- state sale was in a state of confusion; the Supreme CoWt verdict tnllnited Matters \ad not yet been revi ewedby Bengal Immwnity. A revision petition involving a substantial sales-tax demand came up before the Board' Senior counsel from Calcutta and Madras appeared for the assessee. By then there were not many Indian precedentp to be cited one way or the other' The Court halt at Sambalpur, whete proceedings took place was

jampacked with lawyers from outside, members of the local Bar,


members of the Chambers of Commerce who were vitally interested in the result of the dispute and onlookers. Visiting counsel had assumed the hearing to take three days one day for the facts, the second for

the statement of the legal position and the concluding one for the
summing up.

"The proceedings started at the appointed hour. In about five minutes the matters to be taken up for phe day were settled and onbeing
requested, the Member agreed to begfn with the inter-state sale matter. Members of the Bar in the other casgs to be taken up were told at the Bar that the first case was a lengthy olre and no other matter was likely to reach that day. "When the senior counsel from Calcutta stood up to open ihe case, the Member gave a brief but excellent analysis of the facts ard also the

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facts available and to be collected after hearing counsel were given.

quarter of an hour thereafter the standing counsel of the commercial taxes department was called to his feet. Before mid-day, it had become clear that the material facts had not been found ani the Assessine Officer as also the First Appellate Authority recorded finding of facti wrongly and assumed the disputed facts in favour of Revenue. In ten minutes the Member dictated his order. Clear directions to the Assistant Collector of Sales-Tax to find one way or the other on the basis of

Iaw relevant to the matter. In hardly fi.fteen minutes, what connsel had planned for two days was over. The legal position was so clearly stated that counsel opined that it could not have been done better. Within a

"Mr. Sivaraman had the gift of making quick but correct assess_ ment of,facts and situations. The ease with which he functioned in discharge ofhis public duties surprised everyone whb had seen hirn at work. Many felt that he should have opted for judicial service and in due course adorned the superior courts and shown his mettle."

At the behest of chief minister, Sivaraman drafted two bills during this period: the Orissd Gram Panclr4yat Bill and the Orissa AnchJ Sasan Bill. The former was promulgated as an Act and implemented with vigour, while the latter could not be proceeded with after becoming an Ac! as it was overtaken by the national decision on democratic decentralisation in favour of the three- tiered paachayati raj. An interesting incident occurred during the debate on the Anchal Sasan Bill in the Assembly. Some members were piqued by the interventions of Sivaraman during the discussions in the select comrnittee. Thev protested at the manner in which he objected to their suggestions ani his objections were invariably sustained by the government. This provoked the chief minister to make a speech, full of encomiums to Sivaraman. He declared that Orissa should be considereC fortunate and privileged to have the services of such an inteltigent, able and wise administrator. He upheld the right of official advisers to place their points of view before the select corrmittde forcefully and frankly, as they had the responsibility of carrying out the provisions after being passed into law. This statement was not received well in some quarters and continued to be cited later as evidence of Sivaraman's ascendancy over the political executive and the legislators. But the: truth of the matter has been put dovmin the following words by Banka Behary Das,

1i2

ICS Two Administraton : Iuteruction Between

mil US

Nabababu: "I know he a socialist legislator and a close assopiate of to discuss with him lN"UuUutu) i"lied heavily on Sivaram[rn aad used was often influenced by his valued advice' Sivaraman i.w ft""tfy ""4assisted him to give shape to these ideas (anchal sasan)' as a bureaucrat power and Often we see bureaucrats bJlieve ih centralisation of with implicit faith in authority. But Sivaraman was a bureaucrat power to subordinates, a rare person in these dap and

a"f"g"ti"g

shows that he looked ahead, not backlrvard'n

after his return Sivaraman began the third period of his career of fro;;-leav", diring which he recuperated f-rom- the after-effectsand tfr" a".i;ai"g.chedrile he had set for himself as Member(C'T')

hirn during this period in Commissionerl Northern Division' I met friends of his Madras and found him relaxed, io the company of old and development boyhood days. When he took over as chief secretary as well as com*issioo", ir, L956, he was ready in all respects, phSnical recalled that bout ofinten$ive work' It maybe ioi"tt""tud, fo. "nother commissioner came into being in the states on the post of development fte aavice of the central government, soon after the adoption of the country' The community development programme throughout the powers of supervision" inspection and incumbeni of this post was givJn guidance over the field echelons of all the development departments of miniInvolved in the C.D.Programme, cutting across boundaries the posts of sterial domair. Orissa consciously decided to combine ,""r.tury and development sdm'nissislpt' G"rylt during the "ii"f period of September 1959 to rlune 1961, when Sivaraman was short senioroostei as member,-board of revenue), with a view to equip the to coordinate potcy-making af the ;;;;ifi*t with the authority field level' secretariat level as well as impiemertation of policy at the posts was found to be too As the burden of duties of the combined and l*ty f". t gl" perso4 new posts of additional chief secretarysome and " 1961 addiiional development commissioner were created in delegated to thed' This arrangement is continuing duties and poweri power and even at the time of writing. Howdver, the sum-total of commissioner of chief secretary'oum-development responsibility disunder this arrangement was indeed onerous' That Sivaraman
controversy charged these awesome responsibilities without too much and inspired many persons in the oi,u*"ss and with a large

-"**"

Career

in ICS, 193470

133

admiaistration and outside to perform well is now a matter of history. The standards he set were indeed so high that none of his successors measured up to them. It was in this capacity that he took to agricultural development, mastered its manifold intricacies and qualified him5slf to be the midwife of the Green Revolution that was to be born in the late sixties. The reminiscences he recorded of this period in his boo( Bitter Sweet, are indeed interesting and instructive.

The short interlude (1959-61) as member, board of revenue referred to above occurred as Mahatab, the chief rrinister transferred him zuddenly, in a frt of egoism, while the coalitioa partner, Rajendra Narain Singh Deo of Ganatantra parishad looked on with glee. More about it later. Here, I may briefly narrate Sivaraman's reaction and his conduct in the new post. About this incident, Banka Behary Das, the sesialisf MI-A, says: "We all felt very bad and deemed it an insult to such a valuable and respected officer. I had met him at that time and felt he took this insult calmly and I never saw any rancour in him. He accepted the entire episode with equanimity, u, if it *u, part of the game in administration." As member, board of reveno", Siuaru-ao undertook systematic inspection of the revenue offices and recorded detailed notes for the guidance ofall concerned. Gian Chand, IAS who was a deputy secretary in the finance department at that time writes: nHe was quick to perceive the damage this .fall' in efficient functioning of these offices had done to the image of government. Despite the addition of developmental dimensions to district administration and increased interaction of the people with government, the fact remained that the 'cutting edge' of administration was still the functioning of revenue officers at various levels. Unless they functioned efficientlv and honestly, the image of government was bound to be poor and the dissatisfaction of the people was bound to grow. Accordingly, as behoved an officer of his seniority, experience and knowleJge of admiaistration, instead of grumbling oi sulking about having been transferred from the prestigious and powerful post of chief seletary to that of member, board of revenue, he set about most sincerelv in repairing the damage tbat had been done to reveoue ad-inistration
over the years.

"Being in the secretariat at that ri,ngnormally there would have been no occasion to know what Mr Sivar"man was doing tq tone up the

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Two Adrninistmton : Ihterattion Between ICS anil

IAS

but for Mr revenue administration as member, boald of revenue SV*u-- adopting the practice of printing the inspection notes he iospie"tioo of offices dt various levels and circulating .i"".d"a "fte, administrative officers lwho had worked in districts and them to all the *ufa U" *U"O upon to work in distrlct administration at any time' I but remember these inspectioo notes. Tfey were not only thorough practical sugfu[ of insight iri reveoue administratibn and contained g;ti;". t;t"*ove the deficiencies which had crept into the system' I Mr' fiave mentioned this to show how, as a great administrator'
SivaramanaddedlustretoanyofEceinwhichhehappenedtowork' circles and no matter how unglamorooa it -"y have seemed in some rlot only made his presence felt in even in certain official quarters. He This every office he held but left an impact on-the office' """i -a *rong the officers these days are when jhey complain of shows how assigned tu important' jobs or assrgncu to being given 'less important' or 'mord rmportant' JoDs 'gooi'-o.'bad' miniitries. A good administrator,.lik: Yt Sit-T1i iould take up anyjob he was assigned and do it in the best possible
manner." in the December 31, 1968 at the farewell party given by his colleagues as member' board agriculture ministry" sivaranan refenred to his stint with pride and said that Mahatab, the chief minister had by transferU"tp"a hi- to g"in real insight into rqvenue adminstration

He also reealls, in this connection a speech by Sivaraman on

ol*"u"
ring f

i-

1s

fi.

6oard of revenue in 1959'

Sivaraman as chief seqetarythe deep port cum-development commissioner in the construction of u-f.na""p -A the successful completion of the inlegrated project of i."" ore of Daitari throt'glt that port' These formed part of people of Orissa "-p"J "f the manifesto that Biju Patnaik had placed before the election pf 1961' It was Biju's idea to build while fighting the mid-term paradeep with state government funds, for loading iron -".i"."p".,i " io, ir,po.t and hand over the port to the Centre for management ore Conand further development. Several obstacles had to be crossed' subject and the central sector struction of a majoi port was a central it' It was trot in the of the Third Five-Year Plan had no provision for to lind either, and special effor6 were necessary not only i,ur"

A word about the part played by

with the help of funds, but also to prepare a detailqd project report

ff-

CareerinICS, 193+70

':

foreign consultants, obtain approvals of various central authorities, assemble a tearn of technical offiQers to undertake construction and to create the necessary infrastructure at the port site as well as the ore

. mine and on the road in betrveen. Biju with his political clout wanted

to steamroll the usual procedures at Bhubaneswar and New Delhi,


often without regard to the sensibilities and principles,of the existing It was almost entirely due to Sivaraman's leadership that the obstacles could be negotiated without comnitting improprieties and the great dream of Orissa fulfilled in record time. Gian Chard, IAS who was selected to handle thc port project and who in due course became chief sectetary, writes as follows: n It was indeed a difficult and challe"g'g situation, as the new political leadership wanted the administration to work in a manner in which it was not designed to work and it was imperative to suitably reorganise and restructure the admiaistrative systen, if the policy objectives of the newly established government were to be successfully implemented, while ensuring that the neutrality to political parties and accountability to the public were not destroyed in the process. Luckily for the administration, it was headed by a civil servant of Mr Sinaraman's ability, versatility, experieace and stature. He played the role of, so to speak, a mediator betrreen the new political leadership and the administration, and evolved a via media under which the administrative system could rise to the occasion and perform to the satisfaction of the new government, without losing its basic character.n

administrative s',stem.

Sivaraman's departure from Bhubaneswar in May 1965 for New Delhi marks the end of an era in Orissa administration. Never after could Orissa find an administrative leader, who could fill the combined posts of chief secretary and development commissioner with the kind of competence, credibility, authority and effectiveness displayed by him. During his tenure in Orissa, Sivaraman served under five chief ministers; Harekrishana Mahatab; Nabakrishna Chaudhury; Biju Patnaik;Biren Mitra; and Sadashiv Tripathy, While most of the governments headed by them were single-party, one of them (1958-61) was a

coalition of the Indian National Congress and the Ganatantra Parishad. The changes in the political ethos since 1946 and how these changes {ffected the relations between the politicians and the bureaucrats will be discussed in a later chapter. Here, it is suffrcient

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to say that Sivaraman managed to wprk out his own ideas on admini3hslisa in g.neral and developmeht administratign in particular without being deflected unduly by the changing fortures of political parties and factions. He enjoyed a de$ee of fteedom to act which is rare in these days of increasing pottical interference motivated more by petty factional considerations than by commitment to the Colstitution or people's interests.
Sivaraman's attachment to Orissa and his colleagues in the Orissa administration was so deep- rooted that he was at first reluctant to accept the offer of the post of secretary, agriculture by the central government towards the end of 1964. He was hesitant even tho'tgh by then Biju Patnaik had come under a cloud and Biren Mitra who
succeeded him as CM had yielded place to SadasivTirpathy. The vision of building a new Orissa that drove hirt since the mid-term election of

to fade under pressure of improprieties and worse per' petuated by the Biju-Birean team aild the factional struggles that
1961 began

surfaced after Nehru's death. More about these events in the chapter 'Our Times'. When I met Sivaraman in the middle olDecember 1964 in Bhubaneswar on a private visit from New De1hi, I found him in a state of disillusionment. However, to my advice that he should accept the offer of the Centre on the ground that he had reached his'limit in Orissa, and the country needed his talents, he replied rather sadly by the question, "How can I leave the youngsters in Orissa administration at this stage when they need to be protected from political pressures?" I countered with the adage that no plant grows under a banyan tree and that the youngsters should be left to grow by themselves on-the basis of the example he had set and the training he had already grven' After sometime, he made up his mind to quit Orissa and place his services at the disposal of the country. In his book , Bifter Sweet he eites disillusionment with Orissa conditions as the main 'reason for his

departure. Among the numerous functions given to Sivaraman on the eve of his departure, one needs special rrention. It was organised by Dhananjay Linka MLA and Marigovind Samal, clairman, Baisimouza panchayat samiti of Cuttack distdct. A good number of people atiettded. Samai, the leading Oriya daily edited by Radhanath Ratlr, formerly a minister and a critic of Sivataman, found it necessary to take

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137

note of this function and the farewell address presented to Sivaraman on that occasion. In the issue of May 19, 1965 under the column, ,The

lizard speala' recounting the various positions held by Sivaramaq it states that thanks to him the administration has reached the stage where that only would happen which he did and nothing else. It thin referred to his capacity to handle all matters beginning with the appointment of an incompetent person as chief engineer, paradeep poit and endi"g with the review of the Tikerpara project. He went on to quote from the farewell address the following passage: iThis state, although enriched with natural bounties, is still in the cradle, when compared with other states in India and requires to be nurtured by an able hand in order.to meet the shortcomings on the way of its prosperity. By losing you from amongst us we have a feeling that the insurmountable uphills which lie in the way of our progress cannot be thwarted as effectively as we could have with your help."

The 'lizard' concluded that to surmount the diffrculties and

thinking (chinta), competence

achieve prosperity, an innovative spiliit (sahas), intelligence (buddhi),

(katyadaltshaa), discipline (shinkhala), and national pide (jatiya abhiman) were essential. It underlined the need for national pride by alluding to the past glories

of the Kalinga empire and the vast natural resources of Orissa and suggested that the Oriyas need not lose heart or entertain such petty and base thoughts (l<shudra sankima chinta) on the occasion of Sivaraman's departure but should resolve to think deeply (gambhir chinta), endeavour ceaselessly (adamya udyarna) and work tirelessly (aklanta paishratna). Readers will no doubt guess the underlying feelings of the wiiter and the main point of the message. There is no need to explain here the specific matters referred to in the article
except to saythat the so-called incompetent chiefengineer ofparadeep Port completed the project in time despite heavy odds and the Tiker-

para Hydro-electric.prgject was shelved in view of the danger of submergence of a large inhabited area (ecological objection, in the modern jargon). I ano sure Sivaraman would consider himself fulfilled if his example could lead to such a resolve by the people whom he
served so devotedly for 23 years.

May 1965' as Sivaramanls entry into Krishi Bhawaq New Delhi, in was passing secretary agiculturctook place at a ti$e when the country through
a

food crisis' The various agribultural development programcould not mes tf,at had been under implementation for some years foodgrains' Import produce enough to meet the rising dbmand for irom USA under PL 480 was the maihstay of the public distribution

and the system. The linkages between agricultiral research, e:dension were tenious' Fertiliseis werb in short supply and their dishead a tribution defective. Sivaraman was ihvited by the Centre to evpn as chief secretary, Orissa. In committee on fertiliser distribution of a sense, this paved the way to the full charge of the department of this difficult agiculture. Iifell to the lot of Sivaraman to take charge .ituu,ioo, frame remedial policies and programmes and- ensure' their implementation in the field by the state governments' Field experience with in brissa and the lessons he learnt there helped him in his dealings new to the ways state governments and their officers. Although he was

i;;;"^

of nJtn and the procedures of the central secretariat were often


irustrating
he

devjoped informal lines of communication, cut through

,"d tup"

his policies and ptogrammesin the.larger interests "odpushed book Biffer Sweef, he has given a vivid description of the country. tn his them and of the diffrcities he faced in the beginning, how he solved for a finally laid down the policy guidelines that came to be followed long period without manY changes.

that a Policy Research Institute, Washington writes: "It is rare indeed person is able to be present at the critical time in the growth of a major Mr B' sector like agriculture and to play a key role in that process' place at the right time'" Sivaraman was the right person in the right According to Mellor, the most important contribution of Sivaraman'
the was "his giasp of the importance of technological changein

About this period, John W. Mellor of the International Food

agicul-

but as tural secior as the basic engine of growth not only of agriculture the basis of influence of growth of other sectors of the economy,'' that Orville L. Freeman, US Secretary for Agriculture had commented the administrator, Swaminathan the "the combination of Sivaraman revolutionise agriculture in India."

scientist and Subramaniam the minister is the potent force to

Career

in ICS. 193+70

r39

Ralph W. Cummings of the RockefellerFoundation, who first met Sivaraman in Orissa and began "to admire his dynamism and abilities" has written more elaborately about his secretaryship in the agriculture

ministry:

"It was during the mid-sixties, when Mr C. Subramaniam

was

minister for agriculture, and Mr B. Sivaraman secretary to the ministry that India had at the helm a truly outstanding team which made and implemented a whole series of moves which placed Indian agriculture firmly on the road ofunprecedented progress. The reorganisation and redirection of its institutional base for generations and application of

modern science

to agricultural production problems through

im-

plementation of major changes in agricultural research, education and extension was a basic departure which resulted in assuring India of a sustained institutional capability to bring forward leadership able to apply the tools of nodern science in this field. The major reorganisation of the Indian Council of Agicultual Research and the parallel establishment and consolidation of the State Agricultural University system with simultaneous responsibilities for instructioq research on

applied agriculture, and subject matter content of extension programme were major institutional innovations. The decisions during this same period to introduce and promote on a large scale
promising but as yet not fully proven, potentially high yielding lodging resistant, and fertiliser responsive varieties of wheat and rice, place them initially in restricted areas with greatest probability of success, provide necessaryinput supplies to those areas, and assure markets for the products -- produced results that caught tho imagination of farmers and national leaders, and really set in motion the "Green Revolution" that rapidly moved the nation from a high rate of dependency on imports to stave offwide-spread hunger to a position essentially of food

self-sufficiency. This was a truly exciting period and the team of


Subramaniam and Sivaraman deserve much of the credit for the leadership and superb execution of these historic developments. Both were men of conviction, courage, integrity and leadership of the highest order. I considered it a rare privilege to have the opportunity of association with them." Nathan M. Koffsky of the US Department of Agriculture who was pbsted in India as the Ford Foundation expert during 1966-68 writes:

140

Tltto Adninktmton : I4teraction Betiteen ICS and

AS

"I have great admiration for Mr Sivarlaman. He is one of the finest pubtic servants I have encountered ih my career. He had a most very difficult and urgdnt time . He needed to promote diffi"ult t*k "t " new improved seed technolog5r, wheat seeds from and initiate the CIMMYT in Mexico, rice varieties from IRRI in the Phillipines' There was the need to allocate scarce supplids of seeds, fertilisers, etc' And he had to cope with institutional inadequacies in the delivery system of
supplies and services to the cultivatorq. Further, he was hampered by proiuction statistics which were too late to be of much use immediately and subject to reporting biases of the various states interested in protecting their claims for supplies of food from the central government. As I recall, Mr Sivaraman became his own intelligence service, travelling continuously to review the situation in the major producing areas, eliminating bottleneck in suppliies and services as best he could and uplifting the bureaucracy to improve performance."
'

Having thus attracted the attentipn of international experts and thinkers concerned with agriculture, $ivaraman came to be consulted by the Food and Agriculture Organisation (FAO) of UN' the World Bank and other international institutions ofrepute, till he relinquished office as Member, Planning Commission in 1979.
Sivaramaa was elevated as cabinet secretaty on January 1, 1969' The promotion was in recognition of his abilities as an administrator and policy adviser. In other words, his special interest in and great contributions to Indian agriculture did not make him a stereotype' As cabinet secretary he tried to tone up the routine procedures in the

secretariat, called organisation and methods in modern jargon, to make the ministries accountable to the cabinet for the implementation of its decisions and above all, to strengthen the personnel administration. His colleagues who first thought of him as a man of agriculture pure and simple were surprised at his incisive comments and timely iuggestions in specialised fields. He managed to earn and keep the confidence of the Prime Minister and the respect of the other ministers,

despite the new trends in administrative behaviour such

as

'committment', personal loyalty to tho boss, etc., that began to surface at that time.

Cateer

in ICS, 193470

141

On retirement in Decenber 1970, Prime Minister Indira Gandhi u/rote to him a pe.lsonal letter which reads as follows:

"On the eve of your relinquishing the post of Cabinet Secretary which you have held with such distinction, I should like to express my appreciation of the services you have rendered. I hope that your wealth of experience will continue to be made available in the public interest."
The following extract from the minutes of the last Cabinet meeting attended by Sivaraman on Novemb er 26,1970 were formally comrnunicated to him:

"The Prime Minister expressed deep appreciation of the work done by Shri B. Sivaraman. She said that the work of the Cabinet Secretariat had expanded manyfold during his term of office. This was due to the assignment of new responsibilities, many ofthem on the basis
of ARC's reports. She placed high value on his advice and assistance and considered his contribution to the formulation of proposals for creation of additional employment opportunities and examination of ARC's recommendations significant. The Cabinet associated itself with Prime Minister's remarks."

T. Swaminathan, his successor, who communicated the above extract added: "Allow me to add, on behalfofthe Services, that all your colleagues respectfully share the feelings expressed by the Prime Minister." Soon after. Sivaraman was awarded the Padma Vibhushan. The citation, after recounting the important positions heheld, says: "He was chiefly responsible for the development of agriculture and ushering in the gteen revolution in the country during this period." The handing over note he prepared for his successor, which was printed as a book under the title'Indian Agriculture 1965-68'was widely circulated to provide guidance. Thus the young ICS officer of colonial Purnea, with his Order of the British Empire, retired as the Cabinet Secretary of Independent Bharat with Padma Vibhushan.

Post-retirement, I97L onwards

As hinted try Indira Gandhi in her farewell letter, retirement from ICS did not mean the end of Sivaraman's involvement in public administration. He was soon drafted as vice-chairman of the National

Commission on Agriculture (NCA). The chairman was C. Subramaniam who wassucceeded by Nathuram Mirdha after a short sport. This however did not in any way affect the work or style of Sivaraman. The other members of the Commission were well-known experts in different agricultural disciplines. Sivaraman employed the device of Interim Reports, to highlight matters that needed urgent action on the part ofgovernment at the Centre and the states. This was unlike other commissions whichwere known for producing learned tomes after long periods of study. Twenty-four Interim Reports were submitted by the NCA in addition to the main Report consisting of sixy-nine chapters in fifteen parts. These volumes are a veritable mine of information, suggestions and advice on agriculture and allied subjects. NCA had "visualised Indian agriculture in a perspective of twenty-five years and given broad indications ofthe directions of development." In the words of John W. Mellor, again:" He (Sivaraman) was able to lay out the full range of requirements for agricultural growth in the form of a longterm strategy v/ith a clear sense of priority, including the emphasis on
change."

agricultural research and on the other requisites of techlological It is no wonder that scholars, planners and administrators

144

delve into these volumes frequently fdr gurdance in the performance of their duties and functions.

When Sivaraman was half-way through the work of the National Commission, he was called upon by government, in a rare display of wisdom, to join the Planning Comrnision and be in charge of agricul-

ture. Thus the country got the benefit of continuous guidance from a man who knew agricultural matters like the back of his hand. The uniqueness of Sivaraman's contributibn during his tenure in Yojana Bhavan was not merely knowledge, but the administrative ability for harnessing agencies in the Centre and the states to national task and
achieving set objectives. Sivaraman became the inevitable choice for heading many committees on a variety of subjects. The more important ones were:

Handloom Committee (Ministry of Commerce), 1974

Urban Wastes Committee (Ministry of Health)' 1975


Tobacco Excise Committee (Finance Ministry)' 1975

Working Group on Meteorology (Department Technology), 1976


ment (Planning Commission), 1975

of

Science

&

Working Group on Voluntary Agencies in Rural DevelopWorking Group on Regional Rural Banks (Finance Ministry),1976
Coir Committee (Ministry of Industries)'
1-977

Committeq to Review Arrangements of Institutional Creditfor Agriculture and Rural Development (CRAFICARD)' Reserve Bank of India, 1979-81

National Committee on Development of Backward Areas


(Planning Commission)' 1-979-81

Working Group on Atid Tnne Research (Deartment of Science & TechnologY), 1981 Commission on Centre.state Relations (Ministry of Home Affairs), 1983-88

Post-retirement, 197 I onwards

145

Some of the recommendations of these comnrittees and commis_ sions have led to the creation of n6w s.{ministlxfivs structures and the adoption of new policies. For example, a new tlpe of Bank called the Regional Rural Bank which combined the profeiiional e4pertise ofthe commercial banks and the local feel of the cooperative banks came into being as: result.of the report of the working-group on regional lgral

The Handloom Committee,s recommendations on the financing norms and other important matters were adopted by the R eserve Bank and the government.

banks. The National Bank for furiculture and RLd Dlvebpment (NABARD) was created on the basis of the CRAFICARD report.

in the wake of pressing demands from several states and political parties for a thorough review of the working ofthe existing arrangements between the Union and the states.

the Sarkaria Commission, which was the last of hislsignnents, deser_ ves special mention. This commissi'n was constituted in r.gg3

The Commission on Centre-State Relations, popularly known

as

cluding the mechanisms through hich they are worked.,, It was a three-member body consisting of a judge, an economist and an administrator, It is no wonder that the choice of the government fell on Sivaraman for filling the slot meant for the administrator. Who else could fill it better than Sivaraman, who had an impeccable reputation as a fighter for the rights of Orissa, a backward itate. and who later practised the principles of cooperative federalism iJoion Aexicul"" ture Secretary in spreading the gospel of green revolution amo-ng the states? Ramakrishna Hegde, the then chief minister, Karnataka and the main spirit behind the southern chief Ministers conference of L983 that rai3ed the demand for the review of the CentreState relations was quick to hail the appointment of Sivaraman to the Sarkaria Commission. He,proclaimed that the interests of the states would now be safe in the hands of the Commission.

It was called upon to examine "all inter_ governnental relations whether founded on or arising from or related to constitutional or statutory provisions, or administrative practices and conventions in_

It is interesting to note that during the early days of the Sarkaria Commission, Sivaraman's services were also specially sought for head_

146

Two Administraton :

eraction Betuveen ICS and IAS

he was ing the Central Silk Board for a term. By a special dispensation

of thd aliowed to function from Madras, alt[ough the headquarters board was located at Bangalore. ofPupul This assignment, which was offered to him at the instance 1985' "During fuyukui,uauii". to the Prime Minister, lasted till April p"rioa," Sivaraman writes, "my job was mainly to bring order into orguni*tio" and improve the qualify ofseed cocoon productionby to new areas reguthi inspections and checks. Serictrlture had spread Pradesh in a big way' Several Andhr; Pradesh, orissa and Uttan i"tg" p."i""tt *ere siarted in the states like the Rs' 10 crore project in ^n"igat and the 2 crore one in Orissa'" He was instrumental in WJrt Mysore to drawing tf,e attention of the Sericulture Research Station' poJtiUifi V of sericulture in the hot climate of Andhra Pradesh' work to ti" prevailing theory. This he didon the basis of the "orrtru.y O.. Rayudu, the communist leader of Gannavaram' He hails a"t" LV tassar silk nuyoau as "the pioneer who instructed me'" In regard to by revamping the toq Sivaraman made significant c<irntributions programmes on the basii of his earlier experience as development

iil ii.

ft;

ti"

"orrirni..ione., "Ramakrishnayya first brought to my.notice in Orissa ft" writes: Keonjhar ""fiy, ih"'hporrurr"" of tassar culture for the economy of tribals of

Orissa and member, Planning Commission' Nostalgi-

he also unJfrluyo.Uttuni. When he was in the development department district' I pursued this interest initiatei a tassar centre in Keonjhar Comwhen I was member in charge of tribal welfare in the Planning the utility of oak tassar as an mission. I visited Manipur and examined As a important subsidiary occupation for the tribals of Manipur"' subsequently .erult of siuu.u-un,i initiutiu". and the good work done item in the list by the Central Silk Board, silk has beqome an important

of our exports.

CHAPTER.III

OUR TIMES

Orissa

of public administration it is necessary to recall the main features of the environment and the times in which we worked.
Orissa was part of the Bihar and Orissa province when Sivaraman joined the ICS. It became a separate province on April 1, 1936. When Sivaraman was preparing for the competifive examination in London, the British government was actively considering changes in the gover_

indicated in the previous chapters, Sivaraman and I learnt the .As rudiments of public administration in Orissa and went on to apply our knowledge and skills to the management of the larger problems of the nation. To understand our achieverirents and failures in the practice

Iormer, autonomy was provided, subject to special discretionary powers of the governors in respect of certain matiers. It was decided to bring the provisions relating to provinces into force from April 1, 1937. Accordingly, orissa was born and elections to the provincial assemblies were held in January of that year. The Indian National

and published them in the White paper of N,tarctr i9:a. The Joinr Committee of British Parliament took up the detailed examination of the proposals and submitted its report in October 1934. It formed the basis of the Government of India Act, 1935. The Act envisaged a federation of the British provinces and the Indian States. For the

nance of India. The series of Round Table Conferences called to consult various Indian interests had ended in December 1932. Based on those,colrsultations, the government drafted its proposals for reform

ICS and IAS Two A&ninistraton : Interaction Between

most provincBs and formed Congress achieved impressive victorios in that the governors would sovernments after receiving the assutrance .-";"it"ln"it-tp""ia powers and would generally abide by the advice of their councils of minlsters'

i"i

"rtaJrt

momentous developments Sivaraman had no part to play in ttese he was on medical leave u. fr" *ut u iotior officer at the time' Further' as subcolJ"ti"" ,n" i*,i"ns. When he rejoined duty in August 1937 pronnce orissa was a separate s".ltu-pur in Ganjam district, 'c"tgt*Jministry hiaded by Bfishwanath D as was in office' The

tJoi ;;;;

when the chief minister ministrv co-ntinued till the end of october 1939,

resignation' inpursuance of il,#;i#il" -itii,"O submittdd his cooperate with the British t\h" ilrdf;;ii"yof nir'party not to against the manner in which India

nou".n."ot'. *u.

"ffort, ,i" *"t utrt"ut any consuftation with Indian parties i;r;t"*;;;" post-war aims being and Coi-gress governments and without the was kept in suspended lrgislative

i" itot"tt

;;"til:itbrissa iJ;;Mil;a
;h"
ihe

'Assemblv member cabinet headed animation till November 1941, wheo a three-

NarayanaDev and with Cv-the Maharaiah of Parlakhimedi, Gajapati It was and Sobhan Khan as ministers assumed oflice' Party of Maharajab' the-United a coalition of the National Par$ of the the Independeot Party of the Raja of Khallikote'

";j;-K;nn Uusli- Irague

i;;j;FG;"ironage
t"-ri"'i"oig"* amon! -Governor's
ministers.

Although aod some defectors from the Congtess' due of the Britishrulers, it couldnotlastlons the the partners and mrtual bickerings among
rule was reimposed in 1944'

Manual) in the lector, BJrhampur, Special Officer (Election Judge' Purulia and Balasort district, iessions

positions of subcolDuring the above period, Sivaraman held the

.;;;;i;", "C.if""-,

i*"ea. The last two postinss.were in Bihar' It appears that those i" aa ooi rr*" much to do witlh the ti"i51gts or politicians ofinstantwo
Sweet' days. ffe nas, however, recorded in his b ookBitter

collector,

cesinwliclhehadcomeclosetoattractingthenoticeofthe
politicians.
Das thought In one iristance, the Congress ministry of Bishwanath in connection with his of taking Jepartmental actioiagai'ust Sivaraman jJA;;;Cub-divisional Mlagisttate, Berhampur which was later

Oissa

Ist

was abandoned Jn the advice ifr" and the chiefjustice who held thar Sivaru-".,, jod;;;;;t "f "fri"f?"".etary ;iio, p"*.rr" o. n1|cion-s and a magistrate niust be fr""lo *"ir. his ludgement without fear.

set aside by the patna High Court on an appeal by government. This thought

acknowledged his services to the people of

The second instance occurred duririg his tenure as Collector,. Purnea. This period was marked by sever.-r""i.rl"J ,"esses arising out of the Second World War. a, in. nortititi.s ,ellilea tne f.ontiers y-t:h troops.came to be stationed irr p;;;;" which was :j^ll1tt cnosen as the transit point to the eastern theatre. At the same time, the euit India Movemenr of th" r;;;N;;;icig."r, *u. io,.n_ sified in the district. Sivaraman was spared ugly incid"ents, partly due to his tacful handting of the nritish troops and-;;,ly l;;" .heer luck. As stated earlier, the tensions of the time U.""gii"", fri, talents for l*T9ii..^g-,le people,s interests wirh the duties of the .steet frame, to which he belonged. In his reminiscences, he .L""ff. i-o* on" of tf," activists of the euit India Movement ."t **."u".ui f,ars later and -'

p*""".-

'-

and 1965:

We have noted that Sivaraman came to Orissa rn 1946 and remained there till 1965. His-appointment ,""..tu.yio government in the supply and transporr department ", br;;gh ;;;"re to etected political leaders for the-frst time. In tbe years"-thaiirf f he had to work with five differenr chief ministers "*"0, ura ,"""rui f"liii"ians of aif_ ferent hues. The following governments ruled orissa
be$een
To
1946
11.5.50 18.10.56 1946

From Governor's Rule


Harekish.na Mahatab (Congress)
Nabaft rishnaChaudhury(Congress)

L944 1946 r2.5.50


19.10.56

Harekrishna Mahatab (Congress) Harekrishna Mahatab & R.N. Singh Deo (Congress & Ganatantra parishad)
President's rule

225.59

22.5.59 ?5.2.6L

u.2.6r:.
22.6.6I

152

Two Adninistrators :

and' IAS Praction Benveen ICS

Biju Patnaik (Congress) Biren Mitra (Congress)


S.

TripathY (Congress)

23.6.61 2.t0.63 2L.2.65


tl" ai"u"d

1.10.63

20.2.65 8.3.67

grve brief account of the the pe'tso-nalitiet evotutrou of \-,,rrJDg evolution ('r Orissa politics and ""^'-*" into fiu" p"tiods: 1882 to 1936'

At this

stage,

it will be in order to
It
maY

l tli:11*"115*#

the political drama.

il;1't,";;;;i
;;;d;i, ;;"

ical issue was unification of

oriva- speaking areas;

oi*iich 1936 to 1946, thernulo' pu't scene; 1959 War; 1946 to 1959, when Congre-ss g.ontiilteq lhe.P,olitical a-coalition with
congress lost

cciincidedwiththe SecondWorld

il

"^ii'ftit" ,^irr[rrl"*irt" t".,rrg.n"" when the ?tt r'ora'ug"i" iln the 1967^elections HH;;;t^*

and had to form year for Sivaraman' ti"als;-and 1961 to 1965' the cut-off ro garrl ttr.e story further' of the congress'

is hold

po*"'' The Consress returned to Ganatantra Parishad came ouJk'o of President's continueJ till t98b but for short spells office after the "'d and 1976' The Janata Dal assumed

;;;;;;;tt

irf" f" tszl 19'12 to I served as chief secretary from November "i"",.". "r1srs.adviser to th" gou""o' h 1976' The main events of July 1974 and as

il;;"ffi;tti"

paragraphs' For u,i"nv a"t"iibed in the following as Sunit Ghosh's Oissa in as well this, I have drawn on -y "'"rno'y and F'G' International' Bhubaneshwar' -1979)' Tunnoil (Bookland l99 (UniversitY of Ot\y rn Bailey's Politics atrd So'ii Cni"g'' roi:j ' Be"sides' I have benefited from a study California Press, r-onao"

;il;;;$;;aphies
b"i*f,,
1986).

Mahantv' of Nilamani Routrav and Surendra

both in the Oriya language

i98e

and Patha

o iruthwi'

Ai'*tni

O Aiubhuti'.Grantha Mandir' Eastern Media' Bhubaneshwar'

"f ;il1;

th}stf**ury. il; as the orivacause of the oriva language yd yite ;;;;;; o'" adminiitration' At that time' these areas ;J"kt;;;;;'a"' ofBengal and trrree provincps' the presidencies

in Orissa in the second-last decade Serious political activity started advoIn 18d2, Madhusudan Das' the frst Oriya in Cuttack' Utkal Gourab' founded Utkal Sabha

were scattered among The four districts of Angul' CutMadras and the Central Provinces' Presidency' the nlvo districts of tack. Puri and Butu,o'" *"'"'io B"ngal preiidencv and the Sambalpur district rt'r"a'*

ffiiilffi;a;;priit

Oissa

r53

in ile Central Provinces. The terrible famine of 1g66 showed how the long distances between ttre plfa tracts and the provincial capitals contributed to the neglect ofthese people. Stafford Northcoti, the Sectetary of State for India, recogpised this nas evidence of the defect
sf-stem of governmentn and srrqgested the separation of ;.xisting $ the Oriya areas from Bengal. gu1 this .ugg".tioo *". oot pursued for some reason. In 1895 the rratter came to the fore again, when the chief commissioner of Central provinces abolished Orila as the court language Sambalpur, on the ridiculous ground thai the uniforn adop-in tion of Hindi would facilitate transfer of offtce.s from one district to another. l![setings were held to condemn this move and memorials were presented to the authorities. The Utkal Hitaisini

t!

milani held annual conferences regularly to arouse public


consciousness and press its demands.

ingly, 1903 marked the centenary of British occupation. The Sam_

Keonjhar, 4thgarh and Talcher took active part hihe deliberations. The sammilani was described as a socio-cultural association with four aims: unification of natural Orissa, all-round development of Orissa, one administration for all Oriya- speaking areas,and protection of Oriyas in the outlying tracts. Of this ivent, Sunit Giosh'nrites: ,,Trulv speaking the Utkal Sammilani sp:bolised the awakening of the people of Orissa who were the last to come under the British rile." Iniereit_

The Utkal Sammilani or Utkal Union Conference was formed, at thi suggestion of Madhusudan Das, to provide x singtg platform for the princes, aristocrats a"d commoners, to speak uniiedly for the Oriyas. The Maharajah of Mayrbhanj p.esiAeA anO tle nu;"', otOfrr*-A,

Sabha led by the Maharajah of Parlakhimedi, some Oriya leaders of Sambalpur and n"j. of Balasore took part in these activities. But, it was not till December 1903 that a single organisation representing all the Oriya_ speaking areas, all shades of opinion and all classes dme ioto being.

t"

Bengal, consisting of the four Oriya-speaking districts of Cuttack, puri, Ralasore and Angul. The Utkal Sammilani welcomed the arrangement altho"eh it fell short ofits demand for a separate province. The Indian National Congress, however, criticised it, is part tf its eeneral opposi_

from the Central Provinces and made a part of Orissa division of

In 1905, thanks to the viceroy, Lord Curzon and his anxietv to compensate the partitioned Bengal, Sambalpur district was detacied

154

was addi:d tion to the partition of Bengal. In 1911, fthe Orissa division and Orissa' The to Bihar, to constitute the new provin{e of Bihar reason cited was that Bihar was in need of a seaboard!

The agitation for a separate provihce continued' It received a School' boost, witf, the rise of Gopabandhu Das and his Satyabadi brought with who presided over the Srimmilani-in1917,
Gopabandhq

ni."*irr"otitttellectualslikeNilkantllaDas,GodavarisMisra,Lin-

IGipasindhu Misra and H:irihar Das, who were destined gaiaj Misra,'important part in the cultlrral renaissance and political io pLy uo join the a*uteoiog of b.issu- But soon, Gopabandhu decided to leadermainstre;m of the national movement for freedom under the make the agitation for a separate Orissa ship of Mahatnaa Gandhi and the persuasion of frouln.. an integral part of that movement' On 'Gopabandhu liom other parts of the anJ other like'minded leaders at Nagpur cou ntry, the Indian National Congress ddopted a tesolution in Declmber 1920 in favour of reorganibation of provinces on a lingus:

Utkal tic basis. A feil days later, the Chakradharpur Conference of the at the instance of Gopabandhu Dag that the "aims Sammilani resolved,

uia oUj.*r of the indian National Congress be accepted

as those

of

of the Utkal Union Conference in addition to the accepted objectives year Gopabandhu and his the Conference." But when the very [ext a' colleagues plunged into the non-coopdration movement' there was members of the clash betrrien the older members and the youtrger
Sammilani. Gopabandhu the Utkahani and Madhusudan the Utlakgograb parted company and "the nobles, moderates and ultraloyalists Iormedihemselves into a separate block inside the Conference under the leadership of the veteran." (L.M. Patnaik, Resunected Oissa)' Among ihose wo stood by the Utkalmani were the intbllectuals of the and NabakSatyab-adi School and nvo students, Hairekrishna Mahatab play significant roles rishna Chaudhury. The last two were destined to in the making.of modern Orissa aftel lndependence' Mahatma Gandhi toured Oris5a in March 1921 at the invitation of Gopabandhu Das. This was hail'ed aF a historic event' Gandhi was profouodly moued and declated that 'lOrissa is the epitorne of India's poverty." i{e discarded the fuil dhoti and vowed that he would wear a only till every Indian got suffrcient food and clothing' i*""-f*gth

"loth rhis broight hi- cioser to the teeming millions and the freedom

Orksa

struggle became a mass movement. Thus was the foundation of Con_ gress.larl in Orissa. Gopabandhu was undoubtedly its chief architect. He also established the Oriya newspaper, ^iarzaf, as a member of the Peoples Sociery of Indi4 sponsored by f_la fa;pat nai. Samaj grew trort shength to strength and made sigrificant contributions to the social cultural and political development of Orissa. Even now, it is wi$ely r9g4 despte the emergence of ,re* pup".r. Of late, it has come to be criticised as the close preserve of one fa-ily.

problems of the nation.

at Bhubaneswar, that she was ready to sacrifice her last drop oftlood for the unity and integrity ofthe nation. she fen to the assassin's bulet two dap later, tqiggering an uphear al in Indian politics. It is from such a land that Sivaraman and I learnt our alphabei of public administra_ tion and set forth in 1964 and 1965 respectively to confront the

It is interesting to speculate how Orissa has come to be the curtain-raiser for historic events. We have noted Gandhiji,s renuncia_ tion of the full dhoti. In the distant past, Asoka, the conqueror, became a non- violent Buddhist in Kalinga, one of the ancient namEs for Orissa, He spent the rest of his life spieading the message of Lord Buddha. In 1947, Orissa showed the way for the itegration ofprincely states with the Indian Union, as acknowledged hanJsomely by Sardar Patel. In 1!X4, Pandit Nehru took ill in Bhubaneswar during the congress session and never recovered, His death soon thereafter set in motionhistoric changes in the Indian political scene. Twenty years later, his daughter, Indira Gandhi, declaied, in the famous last speech

brahmins of Satyabadi School. The Karan leaders of Cuttack made no

Misunderstanding grew. puri being the stronghold of Brahmins and Cuttack of Karans their differences quietly ushered in the noxious Brahmin-Karan problems. Gradually, it developed into a menace to the society." It will not be correct to lay the blame entirelv on the

particular community. Cuttack leaders became concerned.

as years went bythe institution developed unhealthy teadencies leading to sharp differences and class pride. lt so happened that the entire control of the school was in the hands of a

reproducing: "Unfortunately

quotes the following comment of L.M. patnaik, which is worth

Gopabandhu Das died in June 192g. Soon after, says Sunit Ghosh, "the Satyabadi School degenerated into a hotbed of casie politics.,, He

156

ICS and Two Administraton : Interuction Betuveen

MS

after the demise of small contribution to the caste rift, *rl,1"_11"_b1T I I had io contend chores and perform "aJ"lr"",lt" irld nature. He is a bold man who jobs ofa choosing personnel for laid to rest. Indeed, I have can say that the Problem has been tt"*Jh"* tAf"ile sources that it has 4cquired new dimensions'

ilffi;;";

l"tTTg1"::I

in the While the Utkal Congress and its leaders were absorbed disobedience' salt freedom struggle and were organising civil agitations in ."*"*"tt", U"tJott of the Simon iommission and otherRound Table *jf"ti iie British governmentls attitude at the with their "r.i"? oit t"uaJ's or Utkal sammilani persisted

ffi;;#:;il
;;;;;;
i"irr""

and ", ;t"parate province' Thev tret the Simon Qommission of Parlakhimedi made a force.rrU-itt"a u -"-orundjum. Maharajah the agreement

" ;;;;;;;;tir,

"it"ti " sovernment's proposals were examined

by the joint parliamentary new province the ni'.urrv, it was decided to include inthe il;t Khariar Zamindari of airiri*"t ,n. Otissa division of Bihar and Orissa' greater part of the and the ;iilt* district of Central Provinces du+'- ai.ttict and Visakhapatnam AC:1?. tracts of Madras

the Round Table conference, and obtained to his tuuou' of a separate provirce' Largelv due and the British i"""arry Committee was formed' Its report

;.;id"""y. Parts of Jeypore Esiate and Parlakhimedi finally allotted i""u*" subjects of controversy in the beginning weretaken led to the ;;ottt"". ihe manner in whicir the frnal decision was province of Hindu

Estate' which

comments in some quatters that a predominantly the formation of O.i.su *us b"ing created in order to counter'balance hoped Muslim province of Sind and that the British in view of the in of non-Congress forces io, in" -rtni"tiorr. -orissa the motiva"-"rg"nce ofIt. leading advocatis of ttre day' Whatever be desire of all the long-felt tiorr. of ttt" decision makers, it fulhllpd the people and put them firmly on the road of develop-

;il;;il"dry

Oriyuop"utirrg
ment.

onApril 1' 1936' Utkal With the creation of the Province of Orissa atlextin regard to politics' S*ituoi .""-ed to lose its roj'r on d6tre ' Crown' i p"*"a a ir t*t,'i.*"ai"telyresolution in 1936, expressing loyalty to the a British device to denounced by the Congress-as it ** ldiuid" uod rule". The najas and the Zamindars who were in the

Oissa

r57

f6refront ofthe Sammilani began to organise their own parties, in order to lay claims to power. But, as we know now, the future did not belong to these groups. The Congress, which looked leaderless after the untimely demise of Gopabandhu Das and became somewhat dormant, revived with the salt satyagraha of 1930 and the Mahatma's tours of 1934 in connection with his drive against untouchability. Some young Congressmen, led by Nabakrishna Chaudhury and his wife Malati formed the Utkal Congress Worker's Communist League in 1933. The Chaudhurys gave up their private property in favour of the League.

They took great pains to build up a kisan movement and tried to radicalise Congress politics. Finally, the League merged with the
Congress Socialist Party organised byJayaprakash Narayan and others at the all-India level. These activities introduced the concept of a class struggle and deepened the cleavage between the zamindar leaders of

the Sammilani and their tenants. It was in this atmosphere that Congress entered the election fray of L937.

According to Sunit Ghosh, "The very thought of fighting against


the combined strength of the resourceful zamindars sent shivers down

the spine of many a Congress leader. Mahatab retired to his ashram at Agarpara practically boycotting the poll. Very few were optimistic of the party's success." The young Kisan Sabha leaders led by Nabakrishna Chaudhury were, however. confident of the support of the rural areas despite the limited franchise of the time. Theystood byNilakanta Das, the president of the Pradesh Congress Committee. Bishwanath Da5, who later came to head the first Congress ministry was a reluctant candidate. Thanks to the whirlwind tour ofNehru, and the progressive image of the kisan leaders, the congress party baqged 36 out of the 40 contested seats. It soon improved its strength to 37 after a by-election and attained absolute majorityin the house of60, but not before playing the game of defection. It lost one member to non-Congress parties and gained one. The leaders too started their intrigues and manipulations. Mahatab re-entered the stage at this point and ousted Nilakanta Das of the Satyabadi School from the presidentship of the Pradesh Congress by a single vote and prevented him from contesting the leadership of the legislature party through a clever manoeuwe and some mudslinging. Finally, another Brahmin, Bishwanath Das, who was also member ofthe Peoples SocietyofLala Lajpat Rai was chosen as leader,

r58

Between ICS and

IAS

after some bargaining. He formed the ever, the Karan group led by Nityananda Kanungo of Cuttack dissidence in Congress politics of

Congress ministry. How-

Mahatab of Balasore and And the first seeds of


were sown.

cultivated Subhas Chandra Ambitious man that he was, father and other family members who were Bose through the latter's then stafng at Cuttack and got himself nominated to the Congress working committee at the Haripur session 1938. But, in the very next year, he changed sides and contributed to the fall of Bose. He aligted himself with Sardar Patel, managed to retain his seat in the worling committee and along with the top lea$ers, went to jail in 1942 for spearheading the Quit India movemenf. This enhanced his standing in Orissa politics and he took full advantage of it in the elections of 1946 and thereafter. By a curious combination of circumstances, neither Bishwanath Das, the first Congress Prime Minister, nor the kisan leaders like Nabakrishna Chaudhrlry and Surendranath Dwivedi could take part in the elections. The frtt had been disqualified by the election tribunal and the others came out ofjail after elections were over. Meanwhile, Nilakanta Das and Godavaris Misra of the Satyabadi School broke away from the Congress out of frustration and helped organise a separate party, the Forward Eloc, onbehalfofSubhas Bose. Forgetting their Congress past and acting against Gandhiji's dictum

not to cooperate in the war effort, they combined with the Raja of Khallikote and the Maharajah of Parlakhimedi to form a coalition ministry during the war years. It lasted albout three years, 1941 to 1944.
During its tenure questionable methods were employed to wean away from the Congress the few members whg remained out ofjail. By these actions, the old colleagues of Utkalmaqi debased themselves and dug their own political graves. Never could they stage a come-back.

By 1941, Mahatab became the undisputed leader of the Orissa Congress. By then, he saw to it that socialists like Surendranath
Dwivedi and Malati Chaudhury left the Pradesh Congress Committee, so as to make way for his own nomineesr For this purpose, he used his position as head of government and even withheld the return of the
Congress fund seized by the British dluring the

war. Having

thus

Orissa

159

consolidated his hold, he turned his attention to the problem of the Feudatory States that straddled Orissa and whose merger with the mooted by him even in 1938. The civil disrurbances in the lilq.** Nilgiri state, adjacent to his native Balasore, provided the opening. Nilamani Routray, a young congress worker close to Mahatab at that time, who in due course became a minister and chief minister, has written in_ his autobiography that thanks to Nabakrichna Chaudhury,s thinking (chitttadhara) and enthusiasm (utshaha) and Mahatab,s ad_ ministrative ability (karyadal<shata), Orissa forces entered Nilgiri and took over the administration peacefully through an agreement signed by the prince on November 14, 1947. this eincoura-ged Mahatab to pursue vigorously his pet scheme of the merger of Jates. A month later' sardar Patel, on the advice of Mahtab, h'"ld u ofthe princes of Orissa states at Cuttack to discuss the question. "onf"."oie cxcept All Mayurbhanj agreed to hand over their administration to the Orissa government on the following New year's day. This set the trend for the merger_of princely states_ in other parts oi the country. patel, who was naturally pleased with the role of Mahatab, described him as ,a true patriot, a born leader of men,,and ,the living spirit in the drama
of merger.' January 1948, . Orissa, peacefully. twenty-four Feudatory States were taken over ,On by
1.,

Seraikella too was inclined that way, although he had earlier agreed to merge with Orissa at the Cuttack Conference. He was also actively trying to fan the agitation and influence the local prajamandal leaders against the merger with Orissa. In these circumstances, the Government of India thought it prudent to reverse its earlier decision and entrusted the administration of these two states to Bihar, ostensibly as an interim measure. The argument cited in support was that the two states were not geographically contiguous to Orissa, in view of the refusal of Mayurbhanj to merge and that they could be approached easily from Bihar. Soon after, the Maharajai of Seraikella tried

party), were in favour of merger with Bihar. The Maharajah of

In two, however, Kharaswan anA Seraikella, which were on the border of Bihar, events took a violent turn. Disturbances broke out on the arrival of Orissa officials and the police had to- open fue, resulting in the deaths of some demonstrators. Adibasis ofthe Ho tribe, led by Jaipal Singh (later the forinder of the Jharkhand

to

160

Two Adrttirtistrators

Ihteractio'r Between ICS and'US

British question the very principle of merger with the neighbouring inOi* p.oui"""" He started agitating for the formation of a separate Agency' poii i"uf unit for all the princely statQs of the Easternstates

io ti"

urrufogy

il":"rhiJuit"ru

It is thereforo fair to assume that the rulers of ""[tpEPSU. had their own reasons for going back on the urra Kl,araswan

of their counterpart$ in Saurashtra' JVladhyabharat'

agreementofDecemberlg4?.RoutraycitesaletterdatedApril19' in which he ;;-;; ,he S";uik"ll" .u1", to the Dewan of Bamra' other states' said: if we ;Ou. pr"t"r"rr"e is for Bihar so that we can lead the added that Delhi had already ar" oi of the clutches of Orissa'" He chances ofrealising shifted from their earlier stand to sonle extent and than ever' It is the dream of a separate political estity was betteryield to the Seraikella iri"*itg r" *te ihat while the Cerritre did not in union, Mahatab did not exert himself very much

;i;;

joined Orissa undoing the interim arrangement, evon after Mayurbhanj in 1949. He too must have had his roasons'

i;;;"."p".ate

of Orissa were As a result of the merger, the aroas and population that the new and old more than doubled. The 1951 cenqus showed

areasaccountedfor54percentand46percentrespectively'ofthe population.Theformerstateshadlargebackwardclasspopulations. of the people ii;i";;;t i" ihe otd orissa districts 45-53 per cent proportion ras i"i*g"a a ,ft"se communities, in the new districts that per cent' As pex cent, except Dhenkanal, which had 50
aboue-AO

per cent to 23 per cent' ,ega.ds literacy, the old districts recorded 16

*i'il"

per cent to 10 per cent only, again with former states were the exception of Dhenkanal, with 1-8 per cent' The to be and had a largei forest cover' Together' they came

th" n.* ii.tricts showed


ttiffy

*"*

'gurtlu,'. The old and the uew areas of Orissa thus differed "uirca t"tf""ffy in respect of their geographic, demographic and cultural
featurei. This fact had a profound effect on Orissa politics'

administrative The merger brought in its train serious political and in several OrisJa officers were not readily accepted 'orobl"rn men of Cutpejoratively called "Cuttackis" that is'

il"i.r. fft"y *.re


,""t *fto
haa

. fie

to deprive the locals of their legitimate prMleges all those who urrJ ofporturrities. This term of abuse was applied-to as they .u_" i-* tt *astal districts. They were considered afiogant " did though they were the conquerors' Some of the states

*tn"

behaved as

Oissa

161

not have an established profesional class and those who held official positions did not have the academic qualifications or training comparable with those of the coastal districts. The suddenloss ofprivileges flowing from the close contact with the rulers and their highly personalised administration added to their resentment. In retrospect, it appears that nothing much was done to prepare either the officers or the political elite for the momentous event. The Praja Mandal leaders
who had been carrying on their own separate struggle fol democratisation in the name ofthe All Inclia States Peoples Conference sponsored by the Congress, began to complain that they had not been consulted.

Naturally, they wished to share a piece of the action. An executive council, consisting of three former Praja Mandal leaders was appointed to assist and advise the chief minister of Orissa. Pabitra Mohan Pradhan of Talcher, Kapila Prasad Nanda of Bolangir and Kailash Chandra Mohanty of Nilgiri were the executive councillors. This did not apparently satisfy the people. There were civil disturbances in some ofthe states thoush not on the scale witnessed in Seraikella or Kharaswan. Some of tlhe .ulers (c.g., Bamra, Gangpur, Bonai and Pallahara) took advantage of the situation, aroused the tribal people and assumed leadership. A fillip was given to the movement for a union of eastern states. The rulers also supported the agitation of Sambalpurpeople against the Hirakud dam. Important political leaders of Sambalpur were at that time opposed to the multi-purpose dam on account of the submergence of a large area of good agricultural land, the inadequate appreciation of its benefits in terms ofincreased and assured irrigation and power and above all, the perception that its main aim was to protect lands of Cuttack from frequent and disastrous floods. Strangely, the rulers were able to win the support of some respectable leaders of Cuttack like Lashminaryana Sahu of the Servants of India Society. A political party called Koshala-Utkala Praja Parishad was organised with Sambalpur as its headquarters. The Maharajas of Bolangir and Kalahandi played important roles in the organisation, which was renamed Canatantra Parishad in 1950 and its main offrce shifted to Bolangir. It is said that the Maharaja of Bolangir, Rajendra Narayan Singh Deo, who was the first to sign the merger agreement on December 15, t947 was initillly not very enthusiastic about the new party but became its

Two

Adninistratot : Ihteruction Between

ICS and

AS

leading spirit, following the rude behdviour of Mahatab at a meeting the various complaints of at Cuttack called by Sardar Patel to to have forgotten the advice of princes. By then, Mahatab the the princes. As we shall see the Sardar not to ride rough-shod a strong political force in due later. the Ganatantra Parishad
course and changed the political drastically.

On the administrative side, the

of assimilationn and con-

solidation was started in a systematic rlanner after Sivaraman took over

in 1949 as assistant administrator, Qrissa states and cornmissioner, northern division.' Initially, he was ftationed at Cuttack. With the
addition of Hirakud land reclamation to his responsibilities he moved to Sambalpur in 1950. As already melrtioned, the Hirakud multi-purpose project was surrounded by contrpversies. The people of Sambalpur in the areas to be submerged, led by their MLA, Shraddhakar Supakar, were agitating against it. They saw in it another Cuttacki device to harrass them and believed that the benefits ofthe dam would {low only to the coastal people, largely at their expense. It fell to the lot of Sivaraman to douse all these fires, and win the hearts of the people and officials ofSambalpur and Garhjat. Thanks to the trust and confidence reposed in him by the chief minister Nabakrishna Chaudhury, who succeeded Mahatab in May 1950, he had considerable freedom of action. Land revenue adrninistration was streamlined by abolishing the gountias who were in dssence farmers of revenue. The different administrative personnel of ihe'princely states were absorbed in the appropriate services of Orissa after carefully studying the conditions on the ground and evolving fair principles of comparison. Development works such as roads and minor irrigation were taken up in earnest by the revenue department. Sivaraman toured the Garhjat districts intensively, gave a patient hearing to the local leaders and professionals and tried to make up, td the extent possible, for the loss of easy access to the new rulers at distant Bhubaneswar. He exhorted his collectors to do the same. I was orle such collector in the district of Bolangir from 1951 to 1953.
Mahatab did not seem to have realised the gravity ofthe problems thrown up by the merger. He left Oiissa for the Centre in May 1950. Months before, reports were in circulhtion about his impending induction into the central cabinet. He was being mentioned as a possible

Oissa

163

successor to the ailing Sardar in the Home Ministry. There is evidence to show that the fulsome praise bestowed on him by the Sardar alluded to earlier and the country-wide attention he earned in the wake ofthe

merger of Orissa states had kindled his ambition for a role at the national level. According to Nilamani Routray, the predictions of an astrologer and a palmist also influenced him in this direction. His discreet silence on the allotment of Seraikella and Kharaswan to Bihar

the national role. Eventually, Mahatab became the Untn industry minister. He did not, however, last Iong as peter's principle came into operation. He was dropped after the general election of t952. Contrary to his confident boast of 1950 that he could, at any time, stage a come back in Orissa, he could not displace Chaudhury immediately. Not being used to being out of power, he began to interfere in Orissa politics and create difficulties for the chief minister, Nabakrishna Chaudhrry. To avoid serious complications, pandit Nehru got him appointed as governor ofBombay. But Mahatab was not to be stopped from his political intrigues so easily. He continued his games till he became the,cnly choice for succeeding Nabababu in 195( just before the general election of that year. He would visit Orissa on one excuse or the other and criticise the Chaudhury government in public. His friend, Nityanand Kanungo, then a minister ofState at the Centre, used to canvass for him. A faction known as the Mahatab partv erew within the Orissa Congress. Interestingly, Mahatab stoppedtheio"ngstanding practice of publishing the list of daily visitors to the Rajbhavan, Bom_ bay, evidently to keep from the public eye the large number of Orissa politicians calling on him. A close confidant of Mahatab has told me that in later years he deeply regretted his decision to leave the chief ministership in 1950. I am inclined to think that had he remained in Orissa and brought intoplay his considerable political skills, the history
of Orissa would have been very different. Sunit Ghosh cites a specula_ tion by Prof. S.C. Dash of the Department of politics of the Utkal

and the statesman-like posture he struck on the sharing of the benefits of.the Machkund multi-purpose project with Madras, despite severe criticism in Orissa, seem in retrospect, to have been a preparation for

University to the effect that had Mahatab continued as sovernor. he might have found his way to Rashtrapati Bhavan, like Za=kir Hussain. Prof. Dash did lament Mahatab's hunger for power. I would add that

164

Two Adninistraton : Interaction Between ICS and

AS

his penchant for intrigue would always make him an uneasy inmate of Rajbhavan or Raslrtrapati Bhavan'

According to the account given in Sunit Ghosh's book, Mahatab found the intrigues "managed to g-et away to the Centre" in 1950 as he too hoi for him. Nityananda Kanungo and Gopabandhu Chaudhury, the conservative brother of Nabakrishna were at that time planning to oust Mahatab. Mahatab felt isolated, as Nabakishna, who was his close associate in his earlier manoeuvtes against leaders like Nilakanta Das, had left the political scene duo to a personal tragedy' At that

,"rrritiu" -orn"rrt, Pandit Nehru offerted Mahatab

ministership at the Centre . Mahatab accepted the offer With alacrity and upset Kanungo's apple-cart by bringingback Nabababu who was known to be a progressive and a favourite of Nehru. Mahatab thought it was a great menoeuwe. How fragile were these political friendships and enmities can be guessed from later events. Mahatab worked to oust Nabababu
a

and Kanungo canvassed for Mahatab.

Nabakrishna Chaudhury was a teluctant chief minister' His son had committed suicide during his earlier tenure as minister andhis wife Malati was immersed in the work of Navajeevan Mandal' His own heart was in social work among-the tribals. It was a wonder that he carried on for six years. The trappings of office irked him' He made a brave attempt to live in the ante'room of the CM's offrce for some months but hid to surrender to reality, despite his obsession with unostentatious living. In less than two years, he had to lead his party in the first general elections after independence' Although he could form the gwernment in 1,952, it was clear that the Congess party was declining and the 6anatantra Parishad was getting stronger' Singularly devoiJ of ambition and rather detricient in political-skills, he turned

iown the offers of presidentship oTCongress and chairmanship of the finance commission that Pandit Nehru made to him, out of regard for
his intellect and idealism. I had the privilege of seeing the corresporhimdence exchanged between the two in which Nabababu expressed the practicB 9f collecting funds.for the party' self categorically against As recorded earlier, he utilised every available opportunity to increase the revenues of the state, be it in the case of kendu leaves used inbeedimaking or bamboos supplied to paper mills and I am proud to have playeisom" part in these matters. Indeed, he left the political gaddi

Oissa

165

largely because he found himself a fnh out of water, in the prevailing atmosphere of political intrigues initiated by Mahatab and sought refuge in the familiar whters of his Angul ashram and social work. Differences also arose between him and Mahatab on several policy matters and he refused to act according to the bidding of the laiter. Mahatab and his followers tried to paint Nabababu as an ineffective administrator andhis development programmes as failures. Theywere particularly perturbed at his attitude towards collection of funds for the party. With the second general election round the corner, several Congress leaders of Orissa were keen on repiacing Nabababu by Mahatab as the leader ofthe legislature party andworkedfor it actively. Dinabandhu Sahu, a leading advocate of Cuttack and a Congressman, acted as the conduit between Mahatab and his followers in Orissa. From some of the letters cited in Routray's book, it is clear that Mahatab had a low opinion of the Chaudhury brothers, was impatient at the slow and timid behaviour of his followers and thought of himself as the only saviour of the Orissa Congress. At one stage, he even threatened to leave politics, in order to egg his followers on to greater cfforts. But he had to wait till October 1956 to achieve his aim.

Nabababu's tenure as chief minister will be remembered for several progressive measures. Those deserving mention are the Zamindari Abolition Act, the Anchal Sasan Act, the Agriculture Act, the Gram PanchayatAct, the Agriculture Produce Marketing Act and

Act. The second and the third could not, however, bc brought into force then or later. In respect of the last two, I was
the Town Planning

privileged to play a part. Sivaraman was the draftsman of the others, except for the Agriculture Act. The Anchal Sasan Act was, in a sense, the forerunner of the democratic decentralisation and panchayati raj
system that was adopted by many states in the sixties at the instance of Pandit Nehru, in pursuance of the recommendations ofthe Balwantrai Mehta Committee. Some of the above Acts were passed in the very Iast session ofthe Assembly, just before Nabababu laid down his office.

It

is my belief that despite his reluctance and disillusionment, he was

sustained

in office by his great

desire

to place some

progressive

mcasures on the statute book.

The 1952 elections, it may be recalled, were the first after the Constitution and were held on the basis of universal adult franchise.

166

Two Adttrinistratag : Ilrteractiotr Bettveen ICS and

AS

The situation was unlike that of 1946 when the franchise was limited and the Congress enjoyed the aura of [raving led the Quit India movement. Other political parties too had pome up in the meantime. As a result of these and other factors arisin$ out ofpost-rnerger conditions, Congress could not muster enough strqngth in Orissa to form a government on its own. It was the single larSest party with 67 seats out of a total 1210. Ganatantra Parishad came next, with 3L. The remaining seats were filled by socialists (10), cqmmuniss (7), altd others (25)' Nabababu formed the goverment wlth the support of some Independents.

The next elections which were held in 1957' about three months after Mahatab assumed ofice as chief minister, brought about a further deterioration in the position of the Congress' This was mainly due to the failure of the Congress and Naberibabu's government in regard to regaining Seraikella and Kharaswan '- which were finally allotted to Bihar by the State Reorganisation Commission in 1955 -- and the
internecine conflicts between the Chalrdhury and the Mahatab groups. The latter went to the extent of blamirtg the disastrous flood of 1955 on

the administrative failures of the Chaudhury administration, and describing the development works of that administration as infructuous and wasteful. Although the Congress still remained the single
largest party with 56 seats (down from 67), Independents became less (8) and other parties improved their strrength (Ganatantra Parishad 51-, Socialists 11, Communists 9, and Jharkhand Party 5)' Mahatab could form a Congress government only with the support of the Jharkhand party and some Independents who later joined the Congress' This government did not last long. Defegtions from one party to another began to take place with alarming frequency and political instability set
'in.

To counter the above trend and help Mahatab, Biju Patnaik, an industrialist and an active member of the Congress entered the scene. He was a pilot in the war days and had earned the admiration of Pandit Nehru for his daring act of rescuing a prominent leader of the Indonesian freedom movement. After the war, he turned his attention to industries and built up some units from scratch, with the assistance of Mahatab and the government of Orissa. The Orissa Textile Mills' Choudwar, Kalinga Industries, Kalinga Airways and Barbil Steel Plant

Oissa

167

arrangement between the congress and the Ganatantra parishad was to,. removing the prevailing political uncertainties. Finally, Mahatab and R.N. Singh Deo of Ganaiantra form"d u gou".n_ ment in 1959. This too was short_lived, and lasted"o"litioo only two years. Ironically, Biju, who brought about the coalition was also instrumental to its breakup.

and_dangerously active young man whose a"tions could not be predicted. With his flambo),-ant ityle and friendly ways he could easily strike up a rapport with the former princes. He *a. t'h"refo." of g."ai assistance to Mahatab who had come to the conclusion that some

Patnaik provided the funds for the Congress in general and Mahatab in particular. He was also known to helped many young or. n.C. T:l 1oney. According ro Rourray's uooi, pandit noyl rong-trme ctuet minister of West Bengal and confidant of Nehr;; is reported to have said that Nehru thought of Biju patnaik as a daring

Biju

came up mainly due to his enterpreneurship. It was widelybelieved that

h#

f-q::.::l

lg"l*Tt

incident which contained the comn:rf . "This shows the measure of the

Choudwar guest house. This story had to 6e contradicted by a press note_issued by the government. Mahanty cites a letter of Biju
on this

menting on the deteriorating relationi between the two, Surendra Mahanty wrote that Mahatab tried to defame Biju by every possible .tory was published in his paper, prajaiantra, rhar Biju 3"3n... 1 t:" had physically assaulted him afrer inviting him to a Jinner in the

parties should have equal representation in the council of minisiers. Although Biju tried later to explain away his request as only a gesture of con_ fidence in Singh Deo, the first seeds oi surpi"ion'w"i so*rr. Soon, serious differences arose between Biju and^Mahatab. The tatter did not like Biju's close ties with pandif Nehru and the Congress High Conimand and became lukewarm to Biju,s ideas and interests.
Com_

. According to Surendra Mahanty, the then chairman of the parliamentary board of the Ganatantra party, the trouble started at the verybeginning. Biju patnaik wrote aletteito R.N. Singh Deo two days p.i:i the formation of governmenr suggesting thar-he, Biren Mitra l: and Nilamani f.outray might be uppoini"d at least as parliamentary secretaries under him. Thissuggestion was not accepted, partly due to the opposition of Mahatab and partly due to the condition of the coalition agreement, that barring the chief minister, both

168

ICS and IAS Two Adnirtistrators : Inieraction Beaveen

all kinds of measures against man.!' That Mahatab was inclined to ta$e associate for fti""J. is confirmed by Routray' his admirer. and. schemes and he could not pustt his pet

t*i

i*".'iiti"

il?#i;; ""
J

irt

part found ihat

i"i"r","

;;;;;;;i;;;;ntment
""f""" ;;;;iil;;"of

princes' his stay in the Kalahandi the hobnobbing of Mahatab with the the statemeni that the former rulers were ftf.
Congress "ft-repeated their areas' Many of them felt that the tun-down while the Ganatantra f" ,he Garhjat was being

workers at 'r"ouglt and con-fusion amongthe congress

the $overnment' To this was added

"r-^"ft"""" ;;"t:;il;ng

was even itself at the expense of their. own party and the stronghold of inioads into the coastal areas'hitherto ,.Vilgi" at the According to Routray, thore was- an understanding iii"L in the Congress that the Ganatantra would merge if-tfr" "o^fition the events took a different turn' It was no wonder after some time but government' For this set about pulling down the coalition Congress commitpurpo.", ft" U""ame the president of the pr'rvincial from the government' i"e u.td dir"cted that Congress should withdraw

.*i

."t" *iy.

;;;;tj"

The Orissa AsMahatab resigned in dramatic circumstances' 1961 for the budget *rnbry;;;t u.u"ul io the last week of Februarymotion of thanks was r"r.i"'"- fi" g"vernor addressed it aqd the usual of the pu*"d uft". iebate. When the time came for the presentation would got up and announcedthat the budget il"a*" be adjourned' Imme".r*",".lftl"fttab not f,e presented and moved that the Assembly governor' who al,"t',f,"."^frer, he submitted his lesignation to the under article rule recommended that the slate be put undeiPresident's experiment was brought to tire codlition

ili
f

Surendra Mahanty' it was not as an e.rd after 21 months. According td there were was divided on the merits of the coalition; C""g.".t

.r,ir" constiturion.

Thus

"f".e discordant voices in the Ganatantra too'


electio'ns in June
1-'961,

of 1'962' without waiting for the generalelections Mahatab kept aloof' Congr".. swept the polls under his [eadership' Some of his rt" *u. u ,,,"'ob"' of the campaign committee' "r,rri"gi fougltt as Independents and lost' Congress secured 82 seats ur.o"iir". progressive government out of fq0. iut th" hopes of stability and to an end brought *itt' ttit characteristic finfare came plan resignation in accordance with the Kamaraj

to. hold mid-term Biju Patnaik persuaded the central goverment

*iriJ sti

pr"rn"*i"fv *irhiis

Oissa

169

Congress could come back to power on its own, disproving the Mahatab thesis of the inevitability of a coalitiori with the ex_rulers and that innovative projects such as the paradeep port bould be taken up by the stafe government under his leadership, he shifted his interest
and energies to the Centre. Little did he realise that the house he built and the leadership he left behind were too fragile to meet the challen_

under which prominent Congress leaders were required to give up their positions in government in favour of party work, eiju has iold mi that the plan was originally his idea but was put out in the name of Kamaraj, the Congress President for tactical reasons and that he himself had to resign, to give it credibility and to shield Nehru from the criticism that the plan was being used to remove a few leaders from power. In later years, he did come to regret this hasty action, as the events moved relentlessly towards the erosion of the vision he had placed before Orissa in 1961 and the steady weakening of the Orissa Congress. Routray has written that all this was entirely in keeping with Biju's basic nature. He was always inclined to transfer his interest and enthusiasm from one matter to another. Having demonstrated that

times. His own indiscretions contributed to the weakening of his party. His succbssor Biren Mitra, who described himself as a mere Bharata, had to bow out in less than two years. due to the stern attitude taken by the Congress High Commani on certain.incidents involving impropriety and abuse of power, following a CBI report and the subsequent decision of the central cabinet sub-committee. More
about them later.

ges of the

.. Sadashiv Tripathy took over in February 1965, with the support of Biju Patnaik. He was preferred to another leader, pabitra Mohan Pradhan, in view ofhis long experience as minister and his reputation for honesty and integriy. It was thought that he would be better able to refurbish the image ofthe Congress. But this was not to be, as his
period in office coincided with oust-the-Congress campaign started by the much respected Nabakrishna Chaudhury at the instigation of Mahatab. Further, differences arose between Tripathy on the one hand and some of his ministers and Biju patnaik on the other. One of
the issues was his closeness to Nabababu whom he used to describe as his brain trust. Some ministers led by Nilamani Routray resigned to highlight therr resentment against a sudden reshuffle of portfolios and

170

Two Administrators : htteraction Between ICS and

AS

some allegedly derogatory

remark of the chief minister' At one stage'

niju evenlhougbt oi assuming chief mlnistership'

eventually the -But the Congress President dispute was paiched up on the intervedtion of Kamaraj after a clear declaration of Ttipathy condemning the movement started by Nabababu and Mahatab. As all this drama was being

played in preparation for the electiond due in 1967, Mahatab walked ouiof the bongress and formed a new $arty called Jana Congress with P.M. Pradhan as president and with the specific objective of ousting Congress from power. The story maybe continued till 1976 as that was the year I returned to Orissa after a long spell in New Delhi. It may be recalled that both of us left Orissa for the- Centre in the sixties. The subsequent political developments in the state are therefore not as relevant to our careers as before.

The general elections of 1967 witnessed an anti-Congress wave throughout the country. Orissa was no exception' Corruption was the

main issue in Orissa. The results showed that the Congresswith 3l seats (down from 82) yielded place to the combine of Swatantra (the national

party into which Ganatantra Parishad had merged in the meantime) with+g and Jana Congress of Mahatab with 26, making up a total of 75 in a House of L40. A coalition ministrY of the latter two parties was formed with R.N.Singh D9o irf Swatantra as chief minister and P'M' Pradhan of Jana Congress, an erstwhile Prajamandal wolker of Talcher fame, as deputy chief minister. The very first act of this government was to appoint a one-man commission of inquiry under Justice K.R.Khanna to examine the allegatibns against Biju Patnaik, Biren Mitra, S.Tripathy and some of the associate ministers' Thus the new era of politics viainquiry commission was ushered in Orissa' R'N'Singh Deo employed the saml device to bring Mahatab under a cloud' This he did in the name of integrity in public life as a follow-up of the advice of the central government while disposing of the memorial of no less a person than S.Tripathy, the leader of the Congress opposition in the brissa Assembly. Tripathy had earlier submitted a memorial to the President bf Inaia, making allegations of corruption against former ministers including, inter alia, Mahatab and R.N'Singh Deo' It was indeed clever

Singh Deo to say at first that he saw no substance in theallegations and then add that a penson of the rank of a High Court

of

Oissa

courtofthe Special Judge, Bhubaneswar in 1976, during the Emergen_ cy. Mahatab was arrested and kept in judicial custodtforuo." I-" but the case dragged on for one reason or another. Routray tried to minister but Morarji Desai, the pM did not agree. Charges were framed only in 1981, whereupon the Orissa High Court intervened on the basis of a revision petition and quashed ihe charge sheet. The
learned chiefjustice and his fellow judge who gave the judgement did
get the case withdrawn during the Janata period, when he became chief

of breaking the coalition in pursuance of his own selfish scheme of rejoining the Congress. That was how the Justice Sarjoo prasad Commission came to be appointed. It submitted its report to a new nonCongress coalition Cabinet headed byBishwanath Das after two vears. in May L972, holding Mahatab guitty in three of the fou, allesaiiorrs. The Cabinet decided to file a criminal case. But the home m*inister, Nilamani Routraydragged his feet for reasons ofold friendship despite the repeated urgings of his colleagues. He felt that the publicity given to the commission's findings was sufficient punishmeni. The matter rested_there_till the Congress ministry led by Nandini Satpathy revived it in November 1972, immediately after Mahatab resigned from the Congress and began his intrigues to pull down the minisiy. It was then referred to the CBI, who promptly filed an FIR. When I was chief secretary in October 1973, I was approached for some clarifications which were duly given. The second Congress ministry of Satpathy pushed the investigation along and a criminal case was started in the

the acquisiton of wealth disproportionate to his ostensible means of income and withdrawal of criminal cases against some iron and steel dealers ofCuttack. The government placed the report on the table of the Assemblyin October 1970, despite the opposition of Mahatab, then an important leader of the coalition party. But the government refrained from taking follow-up action till June 1971, when Jana Con_ gress broke away from the coalition. R.N. Singh Deo used the Mud_ holkar report as an instrument to ward off the pressures of Mahatab and to separate him from pradhan, when Mahatab set about the task

Mudholkar. The Justice found pina faiie cases in respect of four charges against Mahatab. They related to the grant of concessions of kendu leaf traders in 1957, the grant of chromite lease to Serajuddin,

Judge might be appointed to clear the matter in the public mind. The central home minister, y.B. Chavan suggested the name of Justice

but were influenced by the old age not go into the merits of the charges

fact that he had already of Mahatab, who was over eighiy, unh the
retired from active Politics'

I may now revert to the main sto{y of political evolution' the a spell of President's rule' the ti-e came for elections in 1971, aftqr actors took on

When

The- old oolitical scene had undergone serious Ohanges' rt"a meaqwhili earned the displeasure of Jrt"

ffi;".. ;'il"t"it,

Reddy inthe Presidential Indira Gandhi for his support to Sanjiva inthe Rajya oiisig, *". *.pendedfoi wilful dedance and indiscipline into two' i"i-r; ir""ir"t if 19?0. By then, congress had split was elected io;';; a;;t"ss (o) and the latteifs candidate Rajya Sabha from Orissa' congress to the

poll

regronal Biju reacted by walking out and forming a the Utkal main contestants in the t97t poll were C"tgr:r..- itt" Deo' the Jana Singh ;ffi;; of Biju Patnaik, Swatantra of R'N' with Mahatab as its the Congress(R) ioni."r, of P.il't' Pradhan, parties like ;;:;;;i;t ;uoae. uoail" usual assortment of small emerged as it,Ji'P, 6Pi cPl(ft) and Jharkhand' The consress(R) Indira wave 'ir' .i.g'ltf"rg"rt pa.iy with 51 seatsi mainly due to the form the not ailowed to sweeoinq the country' But Mahatab was nor Neithei lndira Gandhi, the Congress(R)-supremo ".r"L*""t,. nu"aini satpathv, were in h*.1'-:l resurrecting il;"i;;;i ;;',, of Utkal Congress' Mahatab. Eventually, u *uiition governmentDas as chief and Jharkhand was sworn-in, with Bishwanath

party' the Utkal

i;;*n;^ ;iil;;. The 82-year-old man, who nad long.since ceased to be active i.f"ii i". ^.a *n" was then adorning the Rajbhavan of Lucknow was the ministry'
leading found to be the only acceptable leadpr for and tension According to Sunit Ghosh,"Inherent contradictions issues' including renewal of among the coilition partners over various hand andbitter in-hghting licences ofkendu leaf contractors on the one again vitiated the party leadership oi

irr th" Congr".. over il"-oth:t 4 seats in ii" potiti*i ff" of the State'" The Praja Socialist Party',with from the members iit" i.t"*urv, merged with the Congtess and ten crossed over' thus raisingthe United Front ledby Ganatantra Parishad the Utkal Congress 6"^rg*.. to*g,h considerably' ,O+ Iu:" ?' Llz join the congress(R) and paved led bv Nilamani Routray deciied t0

Oissa

173

the way for a Congress(R) ministry headed by Nandini Satparhy, then a Member of Parliament. The strength of the party at that time was 94 but this fact did not contribute to the stability of the ministry. It had to step down in February 1973, ironically soon after Satpathy was elected

to the Assembly from Cuttack after a heated contest. The resignation was triggered by the move of Routray and some ministers to break

away, establish a new party and lay claim to form an alternative goverment. The new party was called Pragati Party and strangely, the old rivals Mahatab, Biju and Singh Deo joined hands for the purpose. It was, of course, widely known that all was not well with the Satpathy ministry, as the Congress(R) High Command had followed a policy of discrimination in admitting the leaders of the Utkal Congress and kept out seven of them, including Biju. Nandini's personal prejudices and fears scored over the need for foresight and generosity to erstwhile opponents. The Pragati Party could not, however, achieve its aim as the state was brought under President's rule on the ground that political instability had become endemic. Interestingly, the main basis for the governor's recommendation was the statement of Mahatab during the parade of the MLAs in the Rajbhavan that there were many 'aya-rants' and'gaya- rams' and the governor should take a decision quickly. Seventy-four legislators, including Biju Patnaik, filed a wit in the Orissa High Court questioning the legality of the imposition of President's rule but in vain. The Court contented itself with the observation that the governor did not honour the convention of allowing the contesting party to test its strength on the floor ofthe Assembly.

Mid-term elections were held in February 1974. Congress(R) could not secure a majority, in spite of seat adjustments with CPI. It
was again the single largest party with 69 seats. The CPI got seven seats

only. The rnain opponent, the Pragati combine secured 58 seats and the remaining 13 were shared by CPI(l), CPM(3), Jana Congress(l), Jhark{rand(4), andJndependents (a). Nandini Satpathy of Congress(R) came back to power with the support of CPI and the Independents from outside. She was able to increase the strength of the
partyto 84 in due course through success in a by-election, and defection of 14 members from Pragati, which in the meantime merged with Bhartiya Lok Dal, a national party. But she could not control the internal feuds. The dissidents struck when Nandini. to promote her

174

Two Administrators : Irlteroction Between ICS and IAS

younger son Tathagata, defied the Higli Command by reorganising the State Youth Congress and thus incurtred the displeasure of Indira Gandhi and her extra- constitutional 4ide, Sanjay Gandhi. Nandini, who had assumed the leadership of Cqngress in Orissa in t972 onthe slogan of returning to the national mairlstream, sought to strike out on her own. As a result, through a neat opieration in December 1976, Indira Gandhi obtained Nandini's resignation, imposed President's rule for 12 days and installed a new chief minister, Binayak Acharya. I had a ringside view of this operation as adviser to the governor of Orissa during the shortest- ever rule of the President. The governor, who was formerly a High Court judge, was at first reluctant to under-

take the responsibility of direct rule and could be persuaded to go through the constitutional motions, only on the assurance that he could rely on an experienced administrator familiar with Orissa politics. That was how I came to hold the posts of secretary ministry of shipping and transport at the Centre and adviser to governor, Orissa in
Bhubaneswar simultaneously for 12 da!s. Binayak Acharya, who succeeded Nandini Satpathy, turned out to be a pathetic figure. Sunit Ghosh writes of him as follows: "Acharya's 123 days to be stint in the office was the briefest so far in Orissa precise. He had started with a fund of goodwill which he soon wasted by his indecision and procrastination in certain important matters and his inability to brighten up the image of the government through drastic measures which were called for in the changed situation... Acharya, was perhaps, too good a man to be Chief Minister."

The Acharya gwernment went the way of all Congress governments in the states, when the Janata government, which came to power in the Centre as a result of the post.,Emergency elections of 1977, dismissed all state governments and atranged fresh polls on the plea that a fresh mandate of the people was necessary in the changed situation. The Janata party under the leadership of Biju Patnaik, a central minister at that time, scored a landside victory with 110 seats. Earlier, Biju Patnaik, had merged his Pragati party in the Bharatiya Lok Dal which in turn joined the Janata. Congress came a poor second with 26 seats. The two communist pdrties got one seat each, while Independents bagged nine. The voting pattern revealed that the geopolitical barrier between the coastal and hill areas was breached, for

Oissa

term till 1989.

the first-time, by a singts 16r-Congress party. Nilamani Routray, the trusted follower of Biju, became chief mioister at the end ofJune1977. But despite all the favourable features, the ministry was not allowed to run its full course of five years, as the Congress(I) government, which came to power at the Centre in 19g0 after the fall of the Janata ministry following the general elections, followed the Janata example of I97i and called for fresh elections in the states. This time the people of Orissa expressed a decided preference for Congress(I). Janaki Ballabh Patnaik became chief minister and went otrlo .riubtirt record a of completing not only his full term of frve years but also a second full

I indicated earlier that I would narrate the political developments as that would cover the relevant period but I was tempted to refer briefly to the post-1976 events, odylo take note that the.ghosts of the merger of I94j have beenfinally lald to rest, with the fading away of old warriors like Nabakrishna Chiudhury Harekrishna Mahatab and Rajendra Narayan Singh Deo. Biju patnaik is the only proNninent leader still left from among those who locked horns in the political battles ofthe last four decades. will the younger leaders have the political wisdom and ability to erase the historical cLavage between the hill and the coastal areas, help evolve a stable party system and carry on their friendly rivalries in a dignified manneiaccording to the rules of the democratic game? There is no clear answer as yet.

in Orissa till 1976,

has correctly said that by 1957, ,'Congress ieased to be a and became a party." The social base of the Congress had changed drasti_

mutual mud-slinging were the main features of the political environ_ ment. F.G. Bailey, who has studied the political changes up to 1959 -movement

It will be clear from the above that the Orissa of our times was an Orissa in turmoil, a caption chosen by Sunit Ghosh for his book on this period. Instability, defections, frequent changes of governments and

oflhe Congress Legislature 1959 into freedom fighers, workers, sypathisers and op_ ponents, Bailey demonstrated that the Congress was no longer the party that fought for independence. Lamentably, it could not attract enough like-minded persons from the hill or ex-state areas and undo the cleavage in the body politic. Bailey has added that while the word 'movement' might conjure up the picture of "a tidal wave rushinq
Party

cally by then. By classifuing the members

of

176

Two

Adminktraton : Ihteraction Between ICS and IAS

com' forward uncheckable, irresistible' a [enuine mass movement when no one manding everyone'$ loyalty, when a[ were comrades, more thought of himself, wlen betrayals were few and- therefore ambitiots, rivalries and- jealousies were heinJus, and when pefsonal ruU-.#a in the oommon disciplhdd struggle to winlreedom'" the

otherwise' Congress in Orlssa had the same divisions as the organisation from the vdry beginning,, viz', -swarajists' "uiio"rf tommunists and Socffists' On another plane and in Caodhiarrs, and another day, the divkions took differbnt names such as landlords

reality;s

i"nuot.,

leaders and hill leadefs, rightists a:rdleftists and above

"ou.tut all, ambitious self-seekers. The origirtal divisions became accentuated passed' uft", ind"p"od"nce and the merger o{princely states' As years

public purpos6 and the leaders of the divisions gave up the pretence of

of the concentrated on personal ambitions. Mahatab, the member became Orissa Quit India High iommand and the haker of modern in search of personal power and forgot the the master mlnipulator of ideals that brouiht him his initial glory. Nababatu, the idealist sanyas' It was only after Biju burst promise, confessid defeat and took

was placed ,rpon th" political scene that a grand vision of prggres,s were done in the larger bifore the people and sbme great deeds interest. But, alas, he too was soorl caught up in personal scandals' his R.N. Singh Deo, the other import4nt leader, though correct in general b"ehaviour and attitude, could not rise abovelis feudal origins the demands of his exclusive constituency and develop the vision

ind

in of the glory of Orissa as a whole. There was an element of truth pfahatib'siheory of 1959 that coalititons were inevitable in the prevailpoint ing conditions and that it would be prudent, from-the long-term
garhjat areas' of"view, to make up with the politicalforces centredin tbe were But coaitions thaf came to be formed in the sixties and seventies the more for sharing of power by the leaders than for developing people of needed consensus among the social forces and leadrng the path of reconciliation and progress' Perhaps' different areas on the the time was not ripe for the emelgence of consensus' Some more

groups churning of social forces and shifting of loyalties of large social political scene could stabilise' It would h-ave to take place before thq that it was used to be said in thi sixies' half in jest and half in earnest, were not only misfortune that all its forrrrer chief ministers

O.i..u'.

living but continued to be active politically'

Oissa

r77

How did this instability affect Sivaraman and me, and the administration? By and large, we were lucky, as we were out of Orissa by the time these adverse features assumed alarming proportions. We enjoyed considerable freedom of action during the major part of our service in Orissa. Our advice was listened to more often than not and our experiments in the field of development were trot obstructed. In fact, Nabababu positively encouraged us to try new ideas and added
his own. Though the same may not be said of Mahatab, he undoubteCly wished to do good and the streak of idealism of the pre-independence era had not yet been smothered completely. Perhaps, Sivaraman's philosophy of concentrating on development work and of choosing areas with favourable conditions irrespective ofits political or factional colour was partly responsible for the freedom we enjoyed. The vision he placedbefore his subordinates, the guidance he provided to get over unforeseen difficulties and the general attitude of encouragement helped, by and large, many members ofthe bureaucracy submerge their petty jealousies and antagonisms born of caste, cadre and domicile. I walked in his footsteps. This philosophy earned for us support from both sides of the political divide. At one time, there was quite a lobby in the Assembly in favour of Sivaraman, cutting across party lines. There were, however, a fewinstances which reflected the impact ofthe prevailing instability.

The first such instance occurred in 1951--52 and may be attributed to frayed tempers and temporary imbalances generallywitnessed at the

time of elections. Moreover, it was the first general election after merger and the stakes were high. On the prodding of Mahatab, Nabababu made some remarks against us, not characteristic of him. I have mentioned earlier how I was accused of adopting an anti-Congress attitude for acting precisely according to the chief minister's own

instructions on the attendance of public servants at election meetings. Sivaraman too has written about it. He told me in the middle of 1953 about a rumour that Mahatab had identified him before the election as the main obstacle to utilising the official machinery for promoting the Congress cause and had even considered a plan to suspend him for the duration ofthe election on some trumped-up charges. Fortunately, this diabolic plan was not put through, perhaps because Nabababu would not oblige. There was ng doubt that after the electoral debacle,

178

the Congress tried to look for a scape$oat in the administration of the northcrn division but finally gave up the attempt. Sivaraman has written how Kanungo, a deputy ministor at the Centre at the time, was sent to mend fences with him.

The second instancs occurred during the second ministry of Mahatab. By then, a kind of love-hdte relationship had developed between Mahatab and Sivaramarl. Although Mahatab used Sivaraman, the chief secretary for strengthening his own position vis-a-vis his colleagues by insisting that all files meant for CM must come through the latter, he tried to put Sivaraman on notice by
instituting an enquiry through a ministers' group headed by Lingaraj Panigrahi on various development projects undertaken during his predecessor's rule, mostly in the no4thern division. A fact-finding committee was also appointed as a folfow-up measure. Mahatab tried to hit two birds with one shot, Nabababu and Sivaraman. That reports of the enquiry and the committee did not do any damage to Sivaraman and other officers is another matter.
The third instance took place during the coalition ministry headed

by Mahatab, which was an off-shoot of the preceding political instability. In September 1959, Sivaraman was transferred abruptly from
the post of chief secretary-cum-development commissioner to that of member, board of revenue. According to Sivaraman himself, this was due at least in part to R.N. Singh Deo, the Ganatantra partner, who wanted to separate him from Mahatab and deprive him of the opportunity to anticipate potential intrigues and advise on them. I attributed it to the hurt ego of Mahatab who was confronted in a gram panchayat case with the question as to who was the real CN'I, Mahatab or
Sivaraman. It was our disillusionment with the political instabilitythat led both of us to opt for the Centre in the mid-sixties. As I had several years to go before superannuation, Sivaraman advised me to go on deputation, so I may not get stuck in the morass that Orissa was fast turning into. His time came after a few months. ds already noted, he left Orissa because he felt that after the departure of Brju Patnaik and Biren Mitra, he would not be able to carry on with the development work as before.

Oissa

179

He had, by then, become a committed bureaucrat in the best sense of the term and his commitment was to the development of Orissa. patnaik, the man who brought stability and vision ,Ironically, Biju to the government in 196j., sowed the seeds of instability in less than two years and prepared the ground for politics through lnquiry com_
missions. Unwittingly, it was he who made the initial moves. Indiscreet and brave statements apart, in a singular display ofnaivete, he invited

Committee. When that too was turned down, he persuaded the Auditor General of India to undertake a special audit. It was on the basis of this audit report that the Central cabinet continued their investigations through CBI and finally advised Biren Mitra, who had become CM in the meantime, to step down. It is possible that the strained relations between Biju and the central leaders in the post_
Nehru era led to this denouement. The instability thus created brought to power R.N. Singh Deo, who, as said earlier, started the era of inquirv

by Mrs Easwaramma Mitra, the wife of Biren Mitra, his own deDutv chief minister. When he declined, he suggested the public e""ount.

R.N. Singh Deo, the leader of the opposition in the Assembly to enquire into the allegations against M/S Orissa Agents, a firm owned

commissions. He appointed three commissioners and ironically

be_

came the subject of thefourth commission notfied by Nand"ini Satpathy in 1973 with Justice G.K. Mitter as the Member. The officialdom wai

engineer of Paradeep port project and other matters came uD for scrutiny before the Khanna Commission. My notings in th" of th" supply of tubular trusses by Kalinga Industries, a concern "ur" of Srimati Gyan Patnaik, wife of Biju Patnaik, were also aired before it. Grant of concession to kendu leaf lessees in 1959 by Mahatab on the advice I tendered at that time as finance secretary was cited as evidence of collusion with the then chief minister. Fortunately the judges exonerated us and several others. They clearly understood the main thrust of their work and concentrated on the political actors in the instances brought before them. However, the very fact of inquiry and the resulting need to defend themselves had affectcd the morale and initiative of the officials, as I found in 1972, on my return from Delhi to

inevitably caught in the welter of accusations and counter-accusations of rival politicians. Sivaraman and I had our share of embarrassment as a result. The former's role in the appointment of Srinivasan as chief

180

Two Administraton : Ikteraction Beween ICS and

IAS

become chief secretary and


a

commissioner. Very few within would come forward to innovate and tliy to achieve set objectives

was time-frame. The heady days of 1961'63, when the Paradeep Port built in record time, PanchaYat

water supply, etc., Pushed through those days had gone for ever. The

to meet target dates,

had changed beYond recognition. The innovator and the administrator-in-a-hurry came to be subjected to motivated attacks. A breed of officers had emerged

who aiiened themselves unashamedl! with the politicians in power' maligned their superiors with impwity and feathered their nests related ln Lnapter Lrtr iltlvurPr ''r hindrance. withiut let or hindiance. I have reldted in Chapter I the attempt in without frame me in a corruption pase by a group of disgruntled 1974 to
officials.
is interesting to note that the $'eapon of commission of inquiry proved to be a blunt instrument politically, while seriously injuring the Lureaucracy. Biju Patnaik and the Congress were routed in the general elections of 1967, before the Khanna Commission was appointed' His defeat was mainly due to the anti-Congress wave sweeping the country'

It

In

Orissa, of course, the virulent oampaign spearheaded by three formidable personalities, Mahatab, Nabababu and R'N' Singh Deo' to oust the Congress on grounds of cortuption and the need for a change

contributed to the debacle. When the Khanna Commission started on its labours, Biju declared that he would seek the verdict of the people again and he would surely win in their court' Justice Khanna exo-nerated Biju of the more serious charges and blamed him for some administrative improprieties while ntaking an appreciative mention of his development projects. But even tthe exoneration had no immediate impact, as people formed their own ferceptions and turnedhim down where he contested in 1971-' The same people ir, ult fou. "oo.iituencies later by electing him from Rajnagar with a huge made up handsomely majority in a by-election. Unprediotable indeed are the calls of vox populi. Simrlarly, the Mudholkar and Sarjoo Prasad reports made no i"ut d"ot on thi political fortunes of Mahatab' Two years after the publication of the Sarjoo Prasad report, Mahatab secured an easy win in the 1974 election to the Asser.rblyl R.N. Singh Deo did not live long him' enough to test the impact of the Mittd:r Commission report against

Oissa

181

That people did not believe very much in the politics of commissions of inquiry and that some of them merely allowed themselves to be titillated temporarily was proved when Indira Gandhi got a fresh
mandate in
1-980,

despite the adverse findings of the Shah Commission.

Here is a lesson to be learnt: Do not destroy, through commissions of inquiry, the bureaucracy, in the name of fixing political opponents, who at any rate, cannot be humbled with this weapon. political battles must be fought politically in the people's court of elections.

In their eagerness to besmirch the reputation of their opponents for the time being (for they combined frequently) and destroying their careers if possible, the political leaders did not hesitate to disown projects and policies which contributed to the development ofthe state and the people. Minor irrigation projects or road construction programmes, undertaken during Nabababu's time by the revenue department, we have noted, were run down in a misguided attempt by Mahatab's ministry of 1957. It was not realised that it took a long time and a determined effort to build up the will ofdistrict officers to venture into this field and make up for the inadequacies of engineering departments caused by staff shortages and sudden expansion of workloads. I remember that when I joined in Orissa in L947 | read a speech of Governor Trivedi deploring the tendency of engineering departments surrendering at the end ofthe year a good part of the budget allocations and stressing the necessity of developing the culture of timely and orderly utilisation ofallocations. Sivaraman used to refer to the speech in later years while exhorting the collectors to get on with the minor irrigation and road programmes. No doubt, irregularities were committed in the process. But Sivaraman, as commissioner, was willing to overlook them if the actions were bonafide. One such irregularity was to drawmoneyon the 31st March and keep it in a sealedbag for meeting expenditure in the last three months of the working season, April to June, before the onset of the monsoon. This practice was justified as there were delays in receiving the new financial year's allocations and the work could not be stopped mid-way. It was not always possible to estimate correctly the amount needed for carrying on the works. Money was drawn on "abstract" bills, to be accounted later through fully vouched contingent bills. As a result there were unintended accumulations with collectors. They were hesitant to refund the

Two Administratow : Iflteraction Benryeen ICS and

IAS

amounts to the Treasury lest they Sduld be questioned under some financial rule or the other. This was dn instance where rules stood in the way of correct conduct' As finahce secretary, I therefore took orders of the minister to provide immunity to those who refunded the sealed bags and to sanction afresh such amounts if necesbalances of sary to complete pending works. If I temember right, about a crore and not more than?SVo ,ope"s *as i"funded under this dispensation was asked back for on-going works. I also took the precaution of amending the Orissa Treasury Code to legalise the drawing of amounts required for on-going works till the 30th June. Thus one serious irrigularity on which several competeLrt officers were being hauled up

il

was eliminated.

To show the effect of political instabilityon administration, Iwould cite the case of Srikant Ghosh who was prematurely retired on May 24' 1,969 from IPS by the R.N' Singh Deo government. After retirement he has become a prolificwriter onmatters of law and police administration under the aegis of the l,aw Research Institute, Calcutta' In Chapter XII of his book, The LiSht of Other Days (Asia Publishing Houie, New Delhi, 1984), he narrates how he was hounded by the coalition government of the Swatantia and Utkal Congress parties in 1"96?. Barely twelve days after taking office, the government removed Ghosh from the post of IG Police and kept him waiting for a posting for three months as punishment for his refusal to withdraw a criminal case against some relatives of the chief minister. As an afterthought, hewascharged orally of excesses in thp state-wide student disturbances of 1964, wrongful detention during that period of an advocate (since appointed as Advocate-General) and the arrest of some of CM's

partymen for assault on Indira Gandhi at a meeting in 1967' An unsuccessful attempt was also made to frame charges against Ghosh' But, perhaps due to the persistent advice of the home secretary and chief secretary Ghosh was appointed to a new post' that of Inspector-

General of Police and Director Vigilance in the anti-corruption

department. Ghosh laid the foundation for this department well' The home secretary and the chief secretary were changed soon after, ostensibly for other reasons. Intrigues were encouraged in the police, with the;esult that one J.M. Samal qf the IPS became a favourite and undermined discipline with impunity. This is the same officer whom'I

Oissa

r83

house officer, Lalbag police station under th1 prevention of Corruption Act." According to Ghosh's information, tfr" *u. instituted with the connivance of the advocate_general "u." *fro iua advised the government that this was the only way to get rid of him. The case was kept pending for rhe purpose of humiliat"ing it was crosed .

retired prematurely during my short tenure as chief secretary from 1972 to 1974. ',Finally,', savs, Ghosh ,,one of the disgruntled poiice officers of subordinate rank lodged an FIR agaiisi mJtth the station

ments on the coalition are worth recalling: .


"Some

afier hrs premature retirement under Rule 16(3) of the All India Services (Death-cum:Retirement) Rules, 195g. iirlr*gf, a native of orissa, to avoid future embarrassment, ctrosr left soon after for Calcutta where he settled do*n to a writer,s ca.e_.. bhosh,s comof the ministers, from both parties, started minting money

ch;.i;;

battered, divided, factious andcorruption_riaden Uureaucracy, when I was inducted as chief secretary in 1g2. How I withdrew in disillusionment after less than two years and sought a posting at the Centre has Deen narrated elsewhere^
instability took its toll in regard ro matrers of policy -,^^ "l:^0,,.,,.,I..i1 also. Nothrng llustrates this better than the twists and turns of the

civil servants including some police officers:,

a way of life and Chief Minister, R.N. Singh Deo could not stop them, notwithstanding the fact that he himself was an abre administrator and an honest man. The trouble with him was that as an ex_rnaharaja, he maintained the tradition of the.old princely states by keeping factions within the services alive for his own benefit. ge depended on his chosen coterie of advisers drawn from his partymen aod'u fe* s"le"t"d

and indulging in nepotism and favouiitism. There had been little corruption in the Congress regime; now the lesser fry made corruption

ftus aij.f ;;;;

policy on kendu leaves, a minor forest produce, used invnapping bidis. have written earlier about the monopoly system ioiroduced in Nabababu's time under the cover of Orissa Kendu Leaves Control Order and the subsequent steps to maximise the revenues from this source. Later, in a speech delivered at the inauguration ofthe Tattwa Prachar-Kendra, Balasore, on July 14, 1963, N;bababu revealed that the kendu leaf traders used to contribute Rs. 12 to 1.3 lakhs per annum to the congress party in the fifities, that the annual donation had even

184

ICS and IAS Two A{ tr'rtt) lwo Administrators : Inipraction Benveen

the stopped all this by changing gone up to Rs.30 lakhs and that he much to of the staie through auction' svstem and raising the steps to

;ilil;il;iis ;;;;i;;*ssoi,

"u"nu" party colleagues' He took extraordinary ror partv Iviahatab,-f'om exploiting fis ltem fair ptrices wer" gt"": to th"--{ purposes. His system ensureJ that -",1: leaves was gven if t""u". and 5b percent of the revenue from kendu works and ftt..9.*"t"li:lt as grant-in-aid to the gram falchallts ihe coalition government of 1959 welfare of the village commuiities' iit .ystin, as the Ganatantna party was committed to allow their "t"iirft"a to collect t"ff ii" f"u""s of ihe private lands on the tenants ^"0 for all political parties to make own. This was euphemism tbr freedonlr return to the or tn" state' The vear 1961 saw a ;;;;ffi;"pi,'s" law in accordance with by a new previous system, since

of th"e orissa i;; ;;;;;-""iation 'tt"ogiht""d Taxation Enquirvemployed as were A;;;. ;;,."otng was introduced but licensees contested in the Coiitrol Order was before. The Orissa Kendu Leaves Pradhan vs' State ' ft *^ nna y declarecl in tra viies in Akadasi 1047), although the prescribed ""t.i.. and orhers larn isi: sc of orissa Supreme Court held that in a state ;;*;;;"*". struck down' Thetheirade through its employees or a must carry on
committee
monopoly the state iL It added that itwas open to the corporation owned o. cont'oiled by ptovided they worked on behalf state governmen, ,o uppt"'i ug"nis' were noifot themselves and proper agreements

"i!"i"tr*"",the purpose' The subsisting agreements executed for


a result. The state

und

and-purchasers of engaging separate ."t' oi- pto"ot"T*i T,"""^ Act and Rules were ;;;?k".;;""i compatible *ittt tt'e other' The system was more or this ,-"ti"J i" rso3 and again in L969: 'Although

gou",,'."nq

were nullified as ther,eipJn' modified the system by

less continued till 1979, ke"du leav"s the fact that i1 flSyed among the subject, as might be g""tJ from and the Mitter ."f!rred to thtKhanna Commission ofl'96? tnattv "if"'nu,i,oo, in; N"'dini satpathv ministrv Q2'73)earlier, coiporation. As narrated decided to entrurt,t trua"io ".tate " i"itiaiing the f,rrst moves for.atendu leaf policy' ii"Jin" pt*r"g" of the state trading formula participating in its impre'neoi?tion' devising a state corporation' To I"a ntiaiy F""fitatini ttre establisirment oi as a serendipity' borrow Sivaraman's term' it may be described

continued-to be a sensitive

8:ffiff#;is?j.

New Delhi, 1964 onwards

arrived in New Delhi in 1964 and 1965 within six months of each other, Lal Bahadur Shastri was the Prime Minister. Prof Humanyun Kabir was presiding over the ministry of petroleum and chemicals, which I joined as joint secretary. C. Subramaniam was the minister for fogd and agriculture which Sivaraman joined as secretary, agriculture. The latter was at that time heading the Fertiliser Distribution Committee set up by the central government in addition to his duties as chief secretary-cum- development commissioner, Orissa. In my ministry, I was given the charge of chemicals which included fertilisers. Thus while production of fertilisers was my subject, its distribution was Sivaraman's. This fortuitous arrangement helped us to work together more or less as in Orissa. My secretary Nakul Sen's lack of interest in fertilisers and his general indifference to matters other than routine, compelled me to seek other outlets for my ideas. In this, Sivaraman was of great help to me' He has written in his reminiscenses about how we jointly tried to promote investment in fertiliser factories by foreign parties as well as in the public sector and finally succeeded in opening up a new sector, the cooperative, which has since exceeded our expectations. In doing so, we had to cut through the formal procedures, circumvent the finance ministry headed by the redoubtable T. T. Krishnamachari and his equally imperious secretary, Boothalingam. I have related how TTK made baseless allegations against me in his blind anger against an industralist When Sivaraman and

186

Two Administratory : Interaction Between ICS and

IAS

and open bias for another. Sivaraman too has recorded how foreign exchange needed for the import of fertilisers was extracted ftom an

unwiliing and unreasonable finance ntinistry, thanks to the Prime Minister and his secretary L. K. Jha. Sivaraman gave a short informal note to Jha for the use of PM, who lot cabinet's approval on it,
circumventing the usual lengthy procedpre. Lal Bahadur ShastrLs prime ministership came to a premature and tragic end on January 11, 1966. His dirminutivr: size had misled almost everyone about his abilities and potential. Sandwiched between Pandit Nehru and Indira Gandhi, he has not been given the credit that is due to him. Had he survived the tensions inherent in the Tashkent agree' ment and ruled longer, important developments might have taken place in the politics and governance of the country. It may be recalled that he had just eased out TTK and was widely believed to have drawn up plans for other changes. But God willed otherwise. Shastri, who is often cited as the only central minister to have resigned, assuming responsibility for a railway accident, shouldbe rerrembered for certain important decisions he had taken. First, as transport minister, he had

piloted the Merchant Shipping Act which created the Shipping


Development Fund Committee. This committee, more than any other single factor, facilitated the rapid increase of national tonnage. Second, as prime minister he was responsible for the historic decision in 1965 to cross the Punjab border into Pakistan, thus mnveying the unmistakable message that an attack on Kashmir would be treated as an attack on India. He is reported to have said that he wanted to arrive in Lahore before the Pakistanis reached Srinagar. Third, he created the slogan 'Jai Jawan, Jai Kisan' and dramatically linked the battle on the border with the internalbattle for food production. Fourth, he took the unprecedented step of importing dwarf hybrid wheat seeds from Mexico on the advice of his agriculture minister and secretary against the sullen opposition of the mandarins of the finance ministry. He can be said to have given a shove to the GrEen Revolution, then lurking in the shadows. Fifth, it was again he who launched the \rhite revolution' of milk, by creating the National Dairy Development Board. It is not widely known that this idea was born of a clandestine visit to a village in Kaira district with Dr V. Kurien, after successfully dodging the -security net. During this visit, he broke bread with an ordinary villager

'New Delhi, 1964 otwards

187

in his hut and learnt the problems of the poor at frst hand. I must add rnar r was grea y gratified at Shastri,s appointment as prime minister as I had laid a wager on him in an informal discussion'in uK in 1963 on nAfter Nehru Who", the favourite speculation of the iime. I had said that Shastri would be the most acceptable candidate after Nehru and that he had the necessary politicai couage and skili to kill when necessary (that is, take an extreme step) in the public interest and successfully make it appear a suicide. ail thi., a".pit" tn" fact that I never had occasion to meet him. Indeed, rarely was so _uch achieved by a man of such low profile in so short a time. have since come across prof C. p. Bhambri,s Bureaucraqt attd India (yikas publications, t97L) in which the learned professor tried to prove that in the early posfilehru era, that is during Shastri's tenure, bureauctacy acquired great power at the expense of the political executive. The evidince ciied in support comprise such facts_ as Home Secretary L. p. Singh's conflict with Home Minister G.

Politics

in

function "outside', the complete control and direction of political Ieadership? At one point, Bhambri refers to the penciant of pandit Nehru to dictate the minutes of cabinet meetings as an instance of ascendancy of political leadership. Even assumiig the veracity of the story of PM's special efforts in regard to minutes, tire inference drawn therefrom ryould be unwarranted. It would amount to trivialising the of political leadership and the higher bureaucracy. Neither 1yl3s Nehru nor Shastri had such a narrowview oftheir relations with senior civil servants. They considered them as partners in the manasement

to security arrangements during the anti_cow slaughter agitation, the growth of the pM,s office, Shasii,s reliance on his secretariat and greater visibility of his secretary Jha. He asserts that'bureaucracy, though an essential part ofthe poiiii"ui.yrt"_, _ort complete control and direction ofpolitical leader_ |1c1ion11de1the shig" a1d that "only then, purposeful nation_building i"tiuiti". *r, b" unde-rtaken in a developing society.,' Readers wilino doubt judge. whether these observations are fair to the men, bureaucrats or ofherwise, who had contributed to purposeful nation-'building activities such as the green and white revolutions. If some bureau"ruti b""o-" _o." visible or sought after than others, is it legitimate to conclude that bureaucracy as an institution has become fowerful or has begun to

L. Nanda in regard

not as mere servants to of the great tasks of the nation and

;;il?;;A il;;;;

utilised only on ,he highest level represdrt can be best the basis of mutual trust and respect'

at

will.

bt controlled The scarce hirman resource that the top

Uorurji Oesui wno had contested

week ofJanuarY 1966' Indira Gandhi succeeded Shastri in the third party the leadership of the Congtess

il;;ftlly,

il;ilfi.'ilrhen

was facing this minisiry'tookoffice, the country Ouite a few r"""t. ptJf"*s which cried out for imrnediate {t:mign'rule and had part of Nehru's of them had surfaced au'tg ii" later some initiatives' ;;;;;" acute with th" ye""l Ahhough shastri took It now fell to the be nade' Jould he died before any notable progress with these Gandhi and her governmbnt to come to-grips lot of Indira of them as they will oJle^ml:' t shalt describe th? *ot" lmportant and I worked' ,rt" t"ture of the times in which Sivaraman il.il" -airr,, ""i recalled r.gurds the strategl of f'W Vg1nf11'-Itmaybe "r Plan(196L66) was half-way Third that whenshastri came to powei, the to begin' the preparatory work{or th: F"*llj]il:as through and

after sometime' in became tU" O"poty primeminister

Doubtshadariseninlg6?,aftettheChineseaggtession,aboutthe envitased' Defence the country to implement the plan as came "fifiiu "f ;";offi utt ofitt" uuuilable resources and-attention ffiil;

on what was called the core sector ioi" "orr""rr,.u,edslogan, Defence With Development'. Inadequacy of ifr" r"*iy *it"d prices raised

of the plan under

;il;;;;u"tio""
i"u*

u"a ihe conthuing rise in their of the plan' Shastri spoke ouestions about the strategy and priorities to agriculture' As regards att""tio"

ffiil;Ji;;;"vt";#;' uit'" that it would be better to concentrate th"


;" Hdil;-,rt" ta*
irrau.t.i.t, h" took

;;;J;;;d-matiring

However' soon *"i" Atm"a as plan holiday by the-press' given up and the three ii".,.i. a""ft, ,tt work on the Fourth Plan was described as vears of to be ;;;;J;;t"c witt eprii uoe camethe foreign exchange reserves i"rruuf iru"*. 1t -ay be recalled that Bank il;;; * i"* io o"tot"' isa5, that the Governor'.Reserveto save Bank in order
insisted on
a

ideas and-quiot<-viading projects' These

of the previous plans. and to shift the

after

;;;;"ily;;from
condition that

loan of $200 million from the World to the collapsa The rfVorld.Bank agreed' subject pressures mounted' the devahled' As the .up""

i"

New Delhi, 1964 onwards

189

government had no option but to complywith the unpopular condition. Accordingto one account, the decision to devalue was taken in December L965, soon after the exit ofT. T. Krishnamachari from the finance ministry sometime before Shastri left on his last journeyJor Tashkent' Shastri must have found himself in a bind as a result of the ongoing hostilities with Pakistan. The trio consisting of Asok Mehta, the deputy

chairman, Planning Commission, C. Subramanianr, the food and


agriculture minister and Sachin Chaudhury, the new finance minister is reported to have played the crucial role in this matter. The devaluation decision was not, however, given effect to till June 1966, although the World Bank released a part of the sanctioned loan (Rs 150 crores out of Rs 675 crores). The delay was due to Shastri's preoccupation with the Tashkent deliberations, his sudden death and the political changes that followed. Indira Gandhi naturally took time to study the matter. She also paid a visit to Washington in March 1966. It isrsaid that at first she hesitated to implement Shastri's decision on account of the strong opposition of Kamaraj, the Congress president, but had to go along in view of the commitment already made by the Reserve Bank Governor and the Indian Ambassador in USA to the World Bank and the latter's prompt release of the first instalment of the loan. It was unfortunate that although the rupee was eventually devalued to the agreed eKent, the country did noi get the promised loan of Rs 675 crores in full as non-project aid, not to speak of additional project loans, from the World Bank or USA, as hinted during the visit of Indira Gandhi. Additional food assistance was all that flowed but it was in driblets, deliberately calibrated by President Johnson so as to enforce performance by the Indian government on various points, particularly agriculture. Thus, devaluation did not prove to be the panacea it was meant to be. India's difficulties got compounded with the failure ofthe monsoon inl967, the second successive year. All energies had to be concentrated on increasing food supplies immediately and on planning

for higher agricultural production in the short'term. In these circumstances, the concept of medium-term plan for five years took a
back seat. The Plaming Commission tried to maintain a semblance of planning by talking about the core sector and by highlighting the relationship between agriculture and certain industries like fertilisers

190

Two Administraton : Inftroction Between ICS and

IAS

and plant protection chemicals. Prof D. R. Gadgil, wto succeeded Asok Mehta as deputy chairman carried this process further and kept alive the national faith in five year plans, despite the ascent of different pottical parties to power in different statEs, till propitious times arrived for the framing of the Fourth Plan.

It

was against this background that the new agricultura! s&ategy

of intensive cultivation and the new policy of encouraging foreign investment in fertiliser industry were adopted by the Government of
India in the late sixties. While Sivaraman played an important part in the evolution of both these policies, I can claim a share in the case of fertiliser industrypolicy, as already desctibed in the previous chapters. To my surprise, from 1967 onwards, I began to experience difficulties in processing the proposals for new fa0tories put up by some of the large industrial houses in collaboratiort with foreign fertiliser companies. This was despite the general acceptance that indigenous production offertilisers had to be augmented quickly, and large houses alone could subscribe the equityfunds required and attract the needed technical and financial collaboration from foreign parties.

To understand these ideological prgssures, we have to go back a little. In L960, Nehru had asked where had the 42 percent increase in national income since 1950 gone. To atrswer this question, the planning Commission appointed a committee under the chairmanship of Prof P. C. Mahalanobis, one of its mombers. It was required to ascertainwhere the gains ofthe plans had gone and whether the wealth
and the means ofproduction had tended to concentrate in a few hands. This committee gave its final report in 1969. Meanwhile, another body,

the Monopolies Enquiry Commission appointed in April 1-964 under the chairmanship of K. G. Dasgupta suggested, in October 1965, the

promulgation of a law to control monopolies and restrictive trade practices. An interesting set of facts also came to light as a result of a research study undertaken, with the financial support of the planning Comgrission, by Dr R. K. Hazari, the economist, who later became deputy governor, RBI. It showed that despite the provisions of the. Industries (Development & Regulation) Act, the Birla House had managed to secure several industrial liccnces by adopting the device of submitting multiple applications under different names and lobbying for them systematically. This finding created a furore in parliament

New Delhi, 1964 onwards

191

some others. All these reports, by implication, questioned ihe socialist rhetoric of the ruling party and its commitment to prevent concentration of wealth in a few hands. The ILpI committee put forward the concept of a joint sector, in which the state or the central government was to hold aibest Fergent of the equity. Soon this idea gained currency. The public financial institutions began to insist on a minimum contribution bv the promoting industrial house to the equity of the new ventures. In some cases, they also introduced a condition in their loan sanction to the effect that they would have the option to convert the loans, partly or fully, into equity at a futue date. As a result of these developments, proposals for new fertiliser factories, each costing several crores of rupees and with a substantial foreign exchange component, had to cross many hurdles, before licences could be issued. This observation applied equally to the petrochemical industry where some other fac_ tors like intense competition among the states in the name of balanced regional development and the emergence of state industrial develop_ ment corporations as nominal sponsors prevented correct decisions being taken on the economic size of the plant and its location. The young Turks of the ruling party closely watched the government,s decisions on industrial licences and pounced upon the ,iini.t"r, cerned, whenever in their view, undue favour was shown to atry "oo_ large industrial house. In these circumstances, the ministers tended to become over-cautious and allowed important cases to take their own course through official channels and inter- ministerial consultations. And officers who tried to push the cases were liable to come under suspicion and subjected to unjust charges.

(ILPI) committee n t967. Hazari had pointed out tf,at the families controlling large industrial houses were able to have effective controi over large investments by the public and financial institutions, while their own investments remained small. He called it a .breeding process'in some cases and an .unbreedingprocess'in

and led to the appointment of the Industrial Licensing policy Inquiry

by me and representatives of other ministries, he iesorted to the

secretary, industries. When this was objected to as illegal and unsound

I recall how the minister for industries, Fakhruddin Ali Ahmed, tried at first to alter the minutes of the Licensing Committee, an advisory group created by the statute, under the ihairmanship of

192

Between ICS and IAS

practice of delafng the issue of the them after recording his own

on selected items or issuing

a""itioo. Aftler some time, a speci{l licensing committee ile fertiliser industry with a rliew to l"fp"i ,o to-" e:nent. Buiit too was stymied by cautious
cars

was con'

Jti*r;i, under the chairmanship of $ecretary, p:lt"t":t:Td "h:T:: expediting decisions. This
for secretaries

*ii *Ja

it' not give their comments promptly for considerationby persuaded I recoltect how-Bakshi, the banking secretary, had to be rf,".li*g iAay to gve his commetrts, adverse as they were' on theI If p.".lt" ,ft"t ,ft"y *oia Ut placed verbatim before the cabinet'up a K' Birla's proposat to set ,e-e-b"r right, his comments on K' i".,ifi.". f""[.Vin Goa with the collaboration of US Steel Corporation factories could r^" i.," .fgft, ptges. It must be added that new fertiliser pragnatic view' iotJb"ing, only because Indfua Gandhi took a

"o^" Af,"t

clear that new fertiliser factories were absolutely in the not all could be set up in the public sector and those ".*ntiui; notLe established or run without the active could pti""-," "tj"i",.ector collaborators' iarticipation oflarge industrial houses and their foreign such as the need considerations' pointi out that
"ff
,

i *". It:"tai

tc;;r'h*; iolitical fl, raising forrd, fo, the party, played a decisive role in clearing despite radical
;;pl;,iJns for licences
postures. concern Another important feature of the time was the growing not been fo, tn" foo, anl the feeling that the five year plans had of mid-1'963 uaar".rirrg their problems. The Nehru-Lohia debate information on the income of the Gli;;"? the paucity of definite p"1."wnil" N.i"u st;ted that the average daily per capita income of
u ooo, rnuo

by h;g; lndustrial houses'

iimyukta

level' and ihat 250 million Indians lived at this miserable line took up special studies' Out of these' the poverty eminent scholars diet in terms of was born. It was based on the minimum nutritional working group set up calorie intake and other essential basic needs' A in \962 recommended a natio-n{ miniCommission

annas, Ram Manohar Lohia' the leader of the annas So"iulist Party insisted that it was no more than three

*u. fifteen

Thereupon'

il;;Pi;;"c prices' ri"rn-"l<p""ai ire of Rs 20 per capita per-month at.I'960-61 ato"g scholars on the quantum of were diffe'e"ces ;;;;;-;;;

New

Delhi,

1964

onwards

193

was' by of mean consumption expenditure calorie intake, the concept in rupees ro''pt*oiog pu'po'"'' .rh" price time with reference to the

ffi'#;il;iJ oot ti-J t was adjusted


them.
Sivaramuo
benefi ciary' oriented aPProact'

iij:t

however, and ihinke's oo.tn" groups near level. Emphasis came to towards directed special ptog'ammes were below the poverty line and the

* ffi-fi

*u, *J-JiiJp.rron. who advocated

com' by the disilhrsionment with These trends were accelerated with great raj'started munity developm"n' p'og'uttt "nd ianchayati Blossoms in the

ffi;:;ffi.. fi;;il;iloi
under

i'tr'Jr'rii"s' kusu- Nui''t book t'ow *'" benefits of the communitv

development

#@;=;: rural
;";;;;Jty

;;A;ffi";l;'-"i"
ilJd;;;i;",,

:,", areas. The cooPeratlv

ryq

recommendations pursuance of the Rural Cre'tlit Survey Committee's the poor' S' tr'" ti"r'"i"tasses to the detriment of cooperation and development' K. Dey, the minister for community of Nehru and provided the tuu *no r'ud tn" "onddence his importance soon after those programmes' lost over the departalttrough fe continued to preside of mine-s and geology' when ment. He was shifted to th; department in 1967 after the general elec-

"lo' scheme of RBI in the state partnersnip unA tft" integrated-

i1t

:l#H j[ il'*'j'tiltfJ#Til:i:i available


pu't or the funds made

il#;'f#l"r ;ilfji. ili,

lndira Gandhi fo't"a th" govetn-ent after' At about the same time' one tions' In disgust, he resignJd soon raj unoiitt Utgan to dismantle the panchayati

state government "fttt pottpottiog the elections to them svstem by supers"aing tn"LoJi"' "-"d of staie tevet dia not relish the idea

i#ffi6:'iilp"rititi"* "iiieor d""""t'"li'ution' rival centres of ;;"l;il;; at"ii i" th"';;;


influenceintheirconstltuenciesbycontinuingthepanchayatiraj sha'" the vision or enthusiasm of bodies. Indira Cu"af i too diJ "ot Her of democratic decentralisation'
her father for those instruments
in the hands of the rural rich and ostensible reaso" *u' tr'uiif'"f*ere attention trom them' ,h" poo, did not receive sufficient

Credit Review Committee In this context, the report of the Rural member' came in handy' It (D68:69); of which Sivaraman was a district level for be set up at the recommended that speclJfficies and landlesi labourers' Thus Small small farmers, *u'gi"uf futfr*s

194

Two Administrators : ,lnteraction Between ICS end

IAS

into existence in selected affected areas were also idenffied :j:i:1". generation and employment programme Were undertaken. Tt i. *,^. r^,^_ underfalren This was later renamed the Drought_prooi Ar.* on my suggestion,
eKent possible.

Farmer Development Agencies and Labourers Development Agencies districts. Chronicaity drough-t\_ru (rtrrcauy drought-

Farmers and Landless

['""',;;ffilveoimakiog'ild."#;i;ffi "",#i.'Jff

"ii11:

It was as a result of all these developments that when the time came for rhe resumption of the five ye". launched with the twin aims rr," ro"o, or planning was shifted to sr

oigr&il;r"doril..

pd;;;;;.^i#1rrun_ro1**

rhis programme aurini ott-ti. dh;;;r;. 3o9..".finiog Manohar Lohia brought the problems of the p'oor * th" ugeJu of tfr" pofiti"A parties, along with the measures intended to .uiU rrrooopolistic tendencies. The , certainideological by political pressures ofthepost-Nehru era were accentuated developments. The 4bsence ofa charismatic Ieader

by Indira Gandhi g"" t rrfr", p"ri lf to thi, t."od. Crash Scheme for Rural rm.ptoymJrt " (caREt;J;;ched in 1971 in every c. D. block, with a view to provide unskilred work to the rurar poor. I have written in an earlier chapter about my.oiJir, .up"ruirirrg

agricurtire""d"il";;;,#:{tTj,}ufi :",;;i:;:T: j".[T* c:rlbi Hatao

of democratic socialism rnav bring a few more vote. U* *iti l_ u. g."u, u fraud as is the Congressj' Chu'.uo Si"gt of Up U.it" l*uy fro_ ,t Congress in 1967 and formed a new parly, " ithe Bharatiya Kisan Dal with the middle peasants (Jats, Ahirs r"fuirj
"r,i

of the proletariat, a little of Hindu outlor"fir_

..r"ry a the con_ gress,despite the far-sighted warnings of oiher so"iuii.ir.^io. Nath Pai declared: 'A few ounces.of,swatantrism, "*u_pt", sorn" aictato.ship

Congress and for organisino fonCj i"ro a potent lle bggkwald political force. He [ad con'siderable influence in Up and Bihar. He -a.i""t actively promored unprincipred alliances,

and tinguistic groups and their growing "*rk;;;f ,;;;;;;; the general resentment against the rising corruption in the ruling party and other factors contributed to these deu"toprrr.ntr. R._ ,r""l"'f,_ Lohia of -froit the Samyukta Socialist party. pleaded fo, u uoit"a against the

like Nehru at the nationailevel, the

;;;;;;;;

*"".

*itt

a dash

"rl,.liiiTupp"rt.. rrc

New Delhi, 1964 onwards

195

Akali Dal of Punjab started an agitation for a separate Punjabi Suba


and won it. In Orissa, as noted earlier, Mahatab took away his follbwers from the Congress and formed a regional party called Jana Congress' In Tamil Nadrr" the Dravida Munnetra Kazhagam (DMK)' a regional

party came to the fore at the expense of the Congress. The Communist

iarty of India, which began to

najor internal differences in towards Moscow and Peking' regard to matters like Indian attitude Sino-Indian wa r of 1962 and the socio-political character ofthe Congress government, split into two in 1964. The new party came to be called CPI (Marxist). The communist movement underwent a further break in 1"967, when the peasant uprising of Naxalbari against the Marxist government of West Bengal brought to the fore a group of extremists under the name of Naxalites. They formed a separate party called CPI (Marxist-Le ninist) in 1969, after two years of unsuccessful attempts to maintain unity. It was widely believed that this faction had the moral and material support of the Chinese communist party who had in the meantime become disillusioned with the CPI(M)' Besides, the two rightist parties, Bharatiya Jana Sangh of old and the new Swantantra partywere readyto give a fight to the Congress. The former was patronised mostly by the urban trading classes and Hindu chauvinists in the Hindi-speaking states. The latter, comprising mainly of former princes, zamindars and advocates of free enterprise had the blessings of C. Rajagopalachari, formerly of the Congress and campaigned vigorously against what they called the licence-permit raj.
show

The general elections of 1967 recorded the highesr ever voter participation - over 61 percent. This did not, however, result in clear majorities, either at the Centre or in the states, with a few exceptions.
Coalitions of different parties came into being in many states with the sole aim of capturing power but their internal contradictions did not allow them to last long. West Bengal and Kerala proved to be exceptions to some extent. In these states, United Front governments were formed under the leadership of the two communist parties, CPI in Kerala and CPM inWest Bengal. At the Centre, the Congress emerged as the single largest party in Parliament and formed the government under the leadership of Indira Gandhi with the tacit support of DMK
and the Russian-oriented Communist Party oflndia. As
a

consequence

of such diverse support from outside as well as personality clashes

in

196

IIle pafiy, Sen0tls stresSes and sfran$ began to appear in the relations of the Prime Minister and her associates with the Congress President and his associates. The latter, who cdme to be known as the Syndicate, were rather suspicious of her close (ontacts with the communists and the USSR. They were also disappoi4ted at her tendency to ignore the

rl.-.-.1-.

I r | |

| I

Lr

regional party bosses and act independently, contrary to their fond expections at the time of her as leader of the parliamentary winginJanuary 1966. Their di took a dramatic turn atthe time

of of Z.aktr Hussain. The Congress


of the election of the President

inAugust 1969,after the death Board, which

controlled by the Syndicate, decided through a majority of votes, to


nominate one of themselves, N. Sanjiva Reddy as the partt's candidate for President, against the specific wish and repeated warnings oflndira Gandhi. She decided to strike back. .Accordingly, she relieved Morarji Desai, a member of the Syndicate, ofthe finance portfolio and forced him to resign from the governmerit. She followed up quickly with nationalisation of commercial bank and succeeded in giving the impression to the public that the Syndicpte was standing in the way ofsuch progressive measures. When Nijalilgappa, the Congress President, appealed to Jan Sangh and the Swatantra party for support to his party's presidential candidate, her associates described it as a betrayal ofthe Congress principles. She herself denounced Nijalingappa's talks

with what she called the communal and rightist forces, called for a conscience vote and actively worked for the victory of V.V. Giri over
the official candidate of the Congress whom she herself had proposed

earlier before the election authority"


Nijalingappa's attempts to clariS his position were of no avail. The Syndicate, which found itself outmafiouwed, threatened her with disciplinary action for her anti-party dctivities. Although well-meaning colleagues tried to bring about a compromise and keep the Congress

united, the party split in Novembdr 1969. The working committee expelled Indira Gandhi from the Cqngress. I4 turn, her supporters in
the AICC (rt4L out of 705 elected members) held a separate meeting and passed a vote of no-confidencq against Nijalingappa. The latter group cam to be known as Congrpss of the requisftionists or Congress(R), as they had earlier requisitioned the meeting of AICC. The other group which supported the Syndicate was called Congress(O),

New Deltri" 1964 onwards

197

thrs projected herself as a 'O' standing for Organisation' Having Indira Jt progr"Iriu" policies in the intra-party conflict' ;";;; put forth

;.##il;""pri$

;;;t,ly;.'day and'Restrlctive il;;;il;

Trade Practices Act'1969 and the conthe attack against stitution of the statutory commission thereunder; to ICS prfrl,'pt.."" former princes; revisio" of- the dghts assured of imports Constitution; canalisation inthe public sector iinJ"i. io tfr."f
renewed

ldeas that had earlier been like the thoughts'' Soon followed several measures

ui""a*itt'tt'"

*fected items, ostensibly to curb malpractices; "fp"uric and joini sectorq'itress on self-reliance in regard ""1 ""p-" i-J"li. "t collaboration in industries io Lpita gooar; strict control over foreigr iot"ii coniributions to lndian organisations' etc' The Constitu""4 on the plea that some of theprovisions were standing ti"r*"t connection' ":t""ta"d i" ii" *"v i*plementing ptogressive measures' In this "f also came uni"t their interpretation of the for the judiciary "tta"k
Constitution. during this Thc underlying tone of the various measures adopted period was to biing the large industrial houses under greater scrutiny' make them more responto regulate their expansion selectively and to The provision in the Companies Act sive io the ruling party's needs' p".*f,,f"g a*"ions to political parties was rep-ealed' But clandestine these initiaiives after contributions were encouraged' As a result of all with large investments i969, thor" ofu, who had to deal with industries technical or financial' were not always sure urrJ iot"ign "ottaborations, Forces unknown what line"to adopt in examining individual proposals' merits of the proposal wolld intervene to u, -d unr"Lt"d to the whether o"""p""t"afy. nor example, nobody could predict confidently commission or delayed for one *oulib" ,ent to the Monopolies u "ur" that few proposals reason or another. Retrospectively, I have to admit in fact sent to the Monopolies uf .y a"p"u*ent of chemicals were houses and co*Lirriorr, although they came from large industrial I never knew the irr*tu"d for"ign collaboration of one kind or another' played the game skilfully. reasons for it, then or now. Indira Gandhi reforms' The post-Nehru period is also known for administrative the Administrative Lal Bahadur Shastrr-s government appointed R"for-, Co*rnission (aRC) on January 5, 1966 under the chairmanjoined the government as deputy ship of Morarji Desai. When Desai

198

Two

Administraon

: Interodion Between ICS and

IAS

bearing on the LAS.

a frt instrument for -for carrying out the social and economic policies of the government and achieving social and economic goals ofdevelopment al ako one which is responsive to the people.".Based on the reiorts of the study teams and working groupg its own inquiries and evidence gathered by it, the commission submittd twenty reports [n all, betweeJ1966_20, contain_ ing 537 recommendations. Not all of them are relevant for this book. I shall deal at some length with those fecommendations which have a

L967, K, Hanumafthaiya, a member, took over as chairman. He.continued till the conrrnissi"i, its work, al_ though there wero some changes io "".pf.t"a meantime lt, the due to death or other reasons. The commission "onrporitiJo-inset up twenty study teams, thirteen working groups and pne task force totver the vast area referred to it and secured the cfopslsfisn of a large number of knowledgeable persons. It was required to consider "the need for ensuring the highest standards.of effitency and integrity in the public services, and maling public adrtinistration

prime minister ta

, being mounted on the IAS, by the reprosentatives

and was keen on getting them incorporated in thJreforms to be proposed. Some of those ideas wero already being propagated by others. I was personally gratified to see that in its fiil'reco--enda_ tions on personnel administration, the commission laid great sress on the development of professionalism in the services and-the introduction of management education in the training syllabi, wherever ap_ propriate. However, I was surprised at the concerted attack that wis

administrative personnel such as mid-care er tiaining, modern manage_ ment methods, case studies, emphasis on merit in filling top posts, etc.,

I became aware of the ARC soon after my return from USA in October 1966. I tried to associate myself with one or two working gr:u.p:, as I was bubbling with ideas on improving the efficiency

oT

than_generalists should be put in important positions, particularly in the Centre. In their view, the IAS as.it was constituted was no longer adequate, Systematic attempts were made, ths,rgh a spate of articles

Saking

of technical services on the one hand and the academicians of public administration on the other._Both highlighte4 the classic contrlversy of generalists versus specialists and argued that the tasks ofplanngd development in policyas well as implementation were such that siecialists rathir

New Delhi" 1964 onwards

199

and and speeches by some rnembers of the academic community be that a techaicrats, to convince the ARC and the powers that fundamental change was required in the policy of filling the country's top administrativJposts.lt is against this backgro r"d that the commisbe sion made its frnai recommendation: the role of the IAS was to functions and limited to land revenue administration, magisterial regulatory work in some areas of state administration only' If carried ooi, it ,uould hou" confined the IAS' by and large, to the states, whittled down its all-India character and excluded it from a meaningful role at

the Centre. Interestingly, this recommendation nullified the

commission's own observation in its report on personiel administration, "that the intention of having All India Services was mainly to ensure uniformly high standards of administration in all States in key activities, to provide for interchange of experience between the States and the Centre and to obtain, where needed, the experience of State Administration at the decision- making levels at the Centre." The Government oflndia rejected the above recommendation and

decided to continue the role and functions of the IAS, while taking important steps to improve its efficiency, e'g., better training, mid.tudy leave, strict enforcement oftenure ofdeputation, "ui"". "ou.r"., rotation of officers through career planning' encouragement to specialise at senior levels according to aptitude, promotions to top posts through selection on merit rather than seniority, etc. The govern' ment also took care to see that the top posts at the Centre in scientific or specialised departments were filled by competent technocrats and thus allayed the fears of the specialists. Generally, a balanced view came to be taken by all concerned in due course. Time was, when a group of academics, with the support of a Young Turk of the Congress in Parliament, successfully prevented an able IAS officer with impeccable academic credentials from joining as director, Indian Institute of Public Administration, on the ground that it ought to be filled only by
academic and not by an administrator. Thus the controversies raised by ARC took time to settle down. Sivaraman was cabinet secretary when the decision on ARC's recommendation concerning the IAS was taken. His vast experience, his good relations with specialists and above all, his own example helped to steer the discussion away from claims
an

200

and counter-claims ofopposinginteres(s to the genuine needs ofpublic

administration.

tenure, as perceived by an academic. Biut it was after the induction of P.N. Haksar of the Indian Foreign Service as secretary to pM in the beginning of 1967 that the office acquired its real importance. Indira Gandhi's own needs and concerns in hcr fight with thi Syndicate, her endeavour to project a progressive image and above all to keep a close watch over her cabinet colleagues transformed it rapidly into a power_ organisation, extending its sway oycr the regular ministries and departments of the central govrnment. The first result of Haksar's appointment was said to be the declirle in the influence of Dinesh Singh, the external affairs minister, who in the name of assisting the PM, had gained access to all the important papers submitted for the consideration of Indira Gandhi. He tried to retain this privilege after Haksar joined but failed and found the distance between him and pM increasing with time. Finally, in 1971, he was dropped from the cabinet, Haksar, who was said to have competed unsuccessfully for the ICS in his youth had developed a certain disdain for the members of the service. He was also known for his leanings to the left and for his friendships with Marxists and regular members of the communist party. A man with a vision, determination and considerable manipulative skills, he was widely credited with a plan for utilising the administrative machinery of the central government to bring about far-reaching changes in accordance with his own leftist thinking. He proved to be an asset to Indira Gandhi, who too due to political

While the ARC was debating adnhinistrative reforms, a new administrative structure came into being qt the Centre and soon gathered strength. It was the Prime Minister's pffice (pMO). I have referred earlier to the appointment of L.K Jha, A senior civilian, as secrerary to PM in 1964 and the ascendancy of the bureaucracy during Shasiri,s

fr

compulsions opted for a 'left-of-centre, hug., to quote her own phrase. He succeeded in putting persif,ns with leftist views in key positions by attracting outside talent. While some of them, like Sukhomoy Chakravarthy, Ashok Mitr4 BS. Minhas, R.I( Hazari and Kumaramangalam made significant contributions in their respective fields, their impact on administration as a whole fell short of the hope of radical transformation. For, the 1odl61 zd6inistrative svstem was

New Delhi, 1964 onwards

201

far too vast and complex to be changed drastically through the intervention of a few individuals, however powerful or strategically placed' Large numbers of functionaries had to be shaken from their inertia, motivated and moved for performing the national tasks' Leftist orientation by itself was not adequate. In fact, in large areas of national endeavour, such orientation led to contrary results' There was breakdown of discipline, growth of absenteeism, unfair practices, and loss of productivity. The banking sector is an example where the unions led by the two communist parties brought unbearable pressure to bear on
the managements and went on to create, what came to be called islands of high wages and to dilute services to the customers to an alarming

degree. Mention may also be made of the ianovation of minister


Kumararnangalam to combine the posts of secretary, steel ministry and chairman, SteelAuthorityof India (SAIL), whichhad tobe abandoned soon after the end of the term of Wadud Khan, who was specially inducted from the private sector to conduct the experiment. Haksar's role in this innovation is of no mean order. If only he had devoted his considerable energies, influence and abilities to revamping the established services, he might have made a lasting contribution. In his search for quick-fix remedies and his disdain for the services, he tended to undermine, perhaps unwittingly, the authority of the cabinet secretary and give the impression of being the linal arbiter in service matters as the closest adviser to the PM. I have related earlier the stories of my delayed promotion and of P. R. Nayak's humiliation. I may add that my contact with Haksar was extremely limited and that my observations are based on my general understanding of the events of the time and my discussions with colleagues at all levels. must be said to Haksar's credit that he assembled a group of able officers in his secretariat to examine the various proposals that came for consideration and provide independent advice to the PM. Two IAS officers, G. Ramachandran and V. Ramachandran of the Tamil Nadu and Kerala cadres respectively, deserve special mention. They worked efficiently and unobtrusively and provided the necessary balance. The former, I know, had authored the 'stray thoughts' that provided the ideological underpinning for the declaration of Emergency and became the basis of the 20- point programme of the late seventies. Haksar also persuaded Prof P.N. Dhar of tle Delhi Institute

'

It

202

professor finally took Haksar's place ajter the latter's superannuation. Although his personality was less aggrpssive than Haksar's, he could not curb the interfering and domineeridg image of the pMO in view of the political developments since 1969.Ilrdira Gandhi had progressively concentrated all governmental and org[nisational authori$ in herself in order to ensure her supremacy over her political colleagues and the PMO became auseful instrument for thepurpose. However, prof Dhar must be given credit for making the cabinet secretary the nodal point

of Economic Growth to join the pMO as economic adviser. The

for the operations in connection with the all-India railway strike of 1973, though he personally kept a low profile. I remember how when my ministry of shipping and transport was faced with a similar strike in the major ports, he did not yield to the importunities of my minister of state, H.M. Trivedi to take the lead add advised us to approach the
cabinet secretary and follow the procedure adopted at the time of the railway strike. With the declaration of Emergency in June 1975, the PMO itself came to be overshadowed by the extra-constitutional authority exertedby Sanjay Gandhi. Some offrcers who were prepared to do the bidding of Sanjay were planted in the PMO ind that was how
the strange phenomenon of the unsigndd typed slips, supposedly containing PM's wishes, as related in an earlier chapter, came about. It was no wonder then that the PMO carne to be characterised by the critics of the Emergency as a distortion of the cabinet slntem of governrnent and the Janata government of Morarji Desai decided to dismantle and

downgrade it. But the institution came. into its own with the return of Indira Gandhi to power in 1980. The politied ethos since has been such that the PMO has grown from strength to strength and has come to stay as an essential part of the machinery of pentral government. The fall of Rajiv Gandhi and the formation of a Janata Dal government in 1989 have made no difference to this set-up, Thus, an important administrative structure which originated during our time, forcing us to adjust ourselves to it, has come to stay.

Political turmoil, disillusionment with the live year plans and the debate on administrative reform combined to bring to the surface a new concept: commitment. The politilcians who were hard put to explain the failure of their policies made the buresucracy the scapegdat. They said that the civil service, which had no stake in the

New Delhi, 1964onwatds

203

goodi programmes of government, could not be expected to deliver the in tile. t"dira Candhi herself spoke about the need for,commitment in the civil service. When asked to explain the meaning of the word, she replied that the public servant should believe in and be committed to thi principles enshrined in the Constitution' However, the term came

to be inteipreted as unllinching loyalty to her person and palty' This was perhaps the result of the propaganda of some of her over'zealous supporteri and others close to her' Further, punitive action against some officers who had acted against her wishes or contrary to her interests must have lent credibility to this interpretation, When Jagiivan

Ram denounced the neutrality of the civil service as a 'hindrance' to


the successful impllmentation of government policies in his speech as Congress President in December 1969, the impression gained ground that the party in power was trying to be deliberately ambiguous about the meaning of commitment. It was interesting to note that both Indira Gandhi and Jagjivar Ram cited only one example of the prevailing lack

of commitment, viz., some officers practising untouchability in their offices by having separate pitchers of water for the scheduled castes'
Nobody could support such a practice. But to denounce, otr the basis of this single, clearly illegal practice by some, the time-honoured principle of political neutrality and to postulate the theory of commitment on a very wide front as a remedy, looked like an attempt to obfuscate. As events unfolded, the government's deeds were more eloquent than its words. Public servants loyal to the powers that be came to be recognised as committed,while otheis were not' This trend has beeu carried further, to the great embarrassment of honest and efticient officers, with frequent changes in the political power structures even within the party, not to speak of replacement of one political

party by another. It is a sad commentary that all political parties, without exception, have since been practising the theory of commitment in regard to civil services, thereby weakening their efficiency.

To complete the account of our times, I nray now refer to some major ovents of the seventies and eighties. ln 197!, the first ever mid-term election was held for Parli,ment, delinking it, for the first time, from the state elections' Congress(R) secured a two-thirds majority and Indira Gandhi formed the government. The statb electioris held soon after in early 1972 returned Congress(R) to power in

2M

Two Adrninistraton : I4teruction Between ICS and

IAS

hold of the Marxists. This spate of viJories

several states. This was true of West Bbngal

charisma of Indira Gandhi, her slogan of ,garrb i hatool,and the afterglow of the successful Indo-pak war and Bangladesh op.rutio*. No doubt the disillusiomrent with coalitiot politii and people,s yearning for stabfity contributed to this denouetment. The as well as "d-ir"r. the critics of Mrs Gandhi had hoped tllat she would use her consider_ able power to give a new direction to economic policy and initiate me:tsures to solve the various problem$ that had accumulated during
the sfudies due to the absence of a strong government at the Centre. But she concentrated on destroying her opponents, humbling potential

too, hitherto the strongwas attributed to the

rivals within

organisational,

emerging in the states and centralising all power, governneirtal and

the party, preventing independent centres of power

in her own

hands.

In this

process, she began to

joined the movement. Mrs. Gandhi letaliated by questioning the

downgrade the importance and autonomy of the various institiltions created by the Constitution. Naturally, she had to rely on a few carefully selected persons for carrying out theso exercises. When there was a public outcry against these persons and the growing corruption, she responded with the callous statement that corruption was world-wide and the position in India was no worse! This and some other factors infuriated Gandhians like Jayaprakash Narain, who launched a movement to oust her. A call was given for total revolution and the internal security forces were exhorted to disobey, what was termed illegal orders. Other groups dissatisfied with the rule of Congress(R) also

bonafides of several Gandhian institutions for receiving financial contributions from foreip sources and by instituting an inquisitorial inquiry. Meanwhile, the judgement on the election petition filed against Mrs Gandhi by her rival candidate Raj Narain was delivered. She was held guilty of corrupt practices for using the official machinery during her election campaign. Though the instances in question were not of a serious nature and the margin of votes ilr Mrs Gandhi,s favour was substantial, the judge declared her election void, The way in which she reacted to this slunning blow set the tone for the countr/s politics and administration in the next ten years. She declared internal emergency,

suspended fundamental rights, arresrod most

of her political op-

ponents and,ruled with an iron hand lilte a dictator. ThE parliament was allowed to meet periodically and &e absolute majority she com-

New Detlti, 1964 onwatds

205

law so as to nullify the manded therein was utilised to amend the changes in the Constituil;;t." against her election, and to make greater discipline in the about il":il;';"ock tr.ut-"nt dij uring

machinery and some improvements in public services' cover to the Although an attempt was made to provide a1 laeglo$ll 20-point programne entire Jxercise through the implementation of the objectives, it was clear to all that the main with socio""ooorni" position and purpose of the emergency was to ensure Mrs' Gandhi's lifted in February 1"977 and fresh io*"r. So *h"r, the imergency was in a decisive elections held, the electorate rejected her and her party party label manner. That the combined opposition under the Janata and which came to power in 19?7 did not stick together long enough of was in turn rejected by the electorate equally decisively in favour Mrs Gandhi and her Congress in 1980 is another story'

g"""rt.".,

The above train of events had a profound effect on the bureaucracy. Many of its members abandoned the conventional neutrality uo6 n61-partisanship, some willingly, hoping to benefit

financialiy, others from fear. The much-touted theory of commitment that had sounded reasonable in terms ofthe Constitution and development goak tame to bewidely appliedto all kinds of situations and those founJuncornroitted were victimised. The Janata government which harmful was expected at first to open a new chapter, pursued the same motivated enquiries policy and harassed a number of officers through and in other ways. The raucous political debate, the accompanying violence and the factional fights in the seventies left no room for calm thinking on long-term policies and concerted action on development
plans.
had no major impact on us, perhaps because the positions we held and the subjecis we handled during this period were not directly involved'

Fortunately for me and Sivaraman, the events referred to above

In other

words, we were on the periphery of the boiling political cauldron. By the same logic, we could not influence policy' For example, as additional secretary, community development I tried in tgit-iz to persuade the government to review the panchayati raj institutions and revamp the blocks through labour employment schemes but failed to evoke a favourable response' I had to be content with a crash scheme for a short period. In this effort, I came dangerous-

206

time or inclination for such things.JagiiVan nam who knew Sivaraman well and had at one stage acknowledged the wisdom and soundness

confidently plan, execute or supervige ambitious programmes of agricultural development across the length and breadtil ofihe country. His recommendations in the mfi report of National Agriculture Commission remained by and large on pup", as the ministers had no

mission, there were occasions when he was called uioo to uaot" o" schemes under the 2O-point programme, such as bonded labour, con_ sumption loans in rural areaS, etc. Gono were the days when he

fromtie emba'assing iffects of the grolving ^;;: 9:i11,""1*. Gandhians. I have alrpad! n".r"t"J _y "*periences duringthe Emergency. In the ca." or siu-a.ao, *io *i, ui."- .rrui..,ar! r\auon:u l\grlculture Commi man, National Agriculture commissio4 and member, ptanning com_

ly close to some of the institutions w under the guidance j::o.llu::l*"rain.Mytransfe-rt"orii',u;""#ffi

.ilil";; polarifi;"ffi;

of

could

political battle.

his.suggestions was no exception. He ioo was in the thick ofthe ongoing

of

tionable acts of fund-raising.

be honoured by some state chief ministers. A.i.. antutav of Maharashtra, for example, not only flouted her directions on waiver of agricultural loans and allocation of alcohol to industries outside his state but also involved her, through a blever manoeuwe, in ques-

supremacy was acknowledged almost ritualistically by the lesser leaders, one could not be sure if she had the same hoid over the state chief ministers of her party. We in the Reserve Bank learnt to our disappointment that her instructions on financial discipline would not

the encumbrance of her younger son, Sanjay who over the past six years or so had built for himself the reputation of an unscrupul6us and ruthless operator with total disregard for constitutional or ligal niceties. While her vote - gathering power was again established beyond doubt and her

When Mrs Gandhi returned to South Block after her electoral victory of 1980, she was not the same pprson as before. She had

Many explan rtions have been offered for Mrs. Gandhi,s failure to deal boldly with the economic problems and to come out with a set of coherent policies, even when at the height of power, i.e.,l97I- 72 and,

1980-85. Ideological commitments,

temperamental disabilities have been citdd as reasons. While each of

political constraints

and

New Dellti, 1964 onwards

207

that another factor played them played a part, I am inclined to think leader' When,t J"ii*i""."1.. Mrs. Gandhi was not a policy-oriented were purely politi" concerns ever she initiated new measures, her main

power' p.itoe motive the strengthening of her. position and "ui""Ii". nationalisation of binks was conceived as a weapon for i'". princes "-"-pr!, a"f"u,itgilt" svndicate. Abolition of priry purses ofthe former a political rival' It has was to weaken the Swatantra parry a;d eliminate t""r r"ia that Indira Gandhiwas "a leader with attitudes rather than she was ooiia.r. *itt u point of view rather than a coherent ideology."

boldest decisionswhen she felt threatened and had to fisht for her survival as a leader.

;;;;;ilr;;J;okher

CHAPTER-TV

MY REFLECTIONS

Administrative Ethics

Looking back on the achievements and failures ofa 40-year-career in public administration, mostly in the IAS, I feel that some of my thoughts will be of use' or at least of interest, to students and practition=ers of this art. I shall set them out in this chapter, for the sake of convenience. under five broad heads: administrative ethics; administrative methods; administrative structures; administrative leadership and administrators and policy making. As some of the ideas are .elevant to more than one subject, some overlapping and repetition may occur and I ask the reader to bear with me. Some ideas I have learnt from Sivaraman; some have been evolved from my own experience. While claiming utility for these ideas in the present and in ihe future, t am fully conscious that the social and political environment has undergone many changes, and will continue to do so' They may become more complex. and difficult and the forces facing the administrator more insidious and assertive and less tolerant than in our times. An administrator worth his salt has to be not only responsible but responsive to the changing circumstances. He is destined t9-liv-e in the public eye and contend with the social and political forces' He has,

theiefore, to develop his own armour and his own instruments for
practising his chosen profession to his own satisfaction as well as to the satisfaction of the public. It is my hope and wish that the ideas of this chapter will be of some help in this endeavour.

212

Two

Adninistraton : Interaction Between

ICS and IAS

philosophers of the East and the West have therefore suggesied that the young should be first trained to obey the right rules of conduct as evolved by one's forebears on the basis of theii experience. Aristotle said,that the goodness of moral ch4racter -*i *." before the goodness of moral intellect. In other rliords, one must act as if certain forms of conduct are right and certain things goo4 taking thei.,igii ness and goodness on trust from others, before one is in a position to see that they are right and good for oneself. Training, discipline aud education are the methods recommended for promotiag such initial right conduct. So, I believe, that administrative ethies slhould be in_ cluded in the initial training courss5 sf xdmiais,llators and experienced persons should be asked to share their e4periences, so thit proper
lessons might be drawn.

particularly true of the young and the inexpirienced. Sages and

Administrative ethics is obviousljr concerned with the rightness or wrongness of the administrator,s conduct. To adopi iie ,ignt cooAu"t, one should first know what the right cOnduct is in-i giueo situatioo then have the will to adopt it. These twp "na asp"cts _e r?".red to in ethics as rne probrem of insight and the prcibrem of will. Tbe first is related to one's intellect and the second to one,s character. We are familiar with persons who have acute moral iqsight but habitually ignore what their insight or conscience approves.There are also others who are men of good moral character but through dullness of intellect or understanding fail to perceive theline of rig[t conduct and waste their good intentions upon wrong ends. We also khow that it is not always possible to distinguish clearly the right from the wrong, The dilemma oiArjuna in the great battle of Mahabharat is a classilc example. In sucn si'tua_ tions, one needs the aid of external advice or pasi example. This
is

In my opinion, there are six important principles of administrative ethics. They are:

1. 2.

The administrator should be fully committed to the countrys


Constitution, the established law and the rules of hls service. India being
a parliamentary democracy and a federation of states, aqd governments in India being formed by political parties, the

administrator must be politically

nOutral.

"

Adninistrative Ethics

213

5.

The administrator should be dedicated to tle faithful implementation of the policies set forth by the then governme-nt in power, with total disiegard to his own preferences and predilections' The administrator should
as

4. 5.

far

as

possible, remain anonymous'

Each administrator, being but a part of a larger system, must


recogrrise that he has certain obligations to others in the system.

In his relations with the publig he mustconduct himself as a public servant.

at some points and may have to be reconciled with each other. For example, commitmenftb the Constitution under the first principle may sometimes briag one into conflict with the political neutrality of the second principle and the faithful implementation of policies under the third, if the political parties in power at various levels adopt a collision course. Similarly, anonymity may not sometimes go well with faithful implementation of policy and the picture of a public servant.

A close look at the above irrinciples will reveal that they overlap

As regards the first principle of commitment, there is .ooi" "orrfusion. Some have converted it i",practice to commitment to the person of the prime minister, chief minister or an. y leader in power at a point of time. This tendency is to be deplored anil guarded against by every administrator. There is great need to understand fully the implications of what are often called the basic features of the Constitution. Fundamental rights, secularism, social equality, democratic functioning and federalism are among these basic features. Directive Principles, although not justiciable, must be borne in mind in the formulation and implementation of government policies, or in other words, in the conduct of administrators. I may recall how in 1950, just before the Constitution was brought into force, a circular was issued to all ad' rninistrators that the rule oflaw should prevail thereafter and that the administrators should know that they had no power outside the law. This was meant to remove the widespread impression among the ICS officers that they had some executive powers besides those conferred by the laws of the land. Some of them used to mduse influence and the willingness of the people generally to obey their executive instructions for power. The administrator must, therefore, note that he must

arway! u{rrqucr mmsett rtr always conduct himself iu accordznbe with the laws of the land. For this purpose, he should familiarise himself with afl the a,,rc r-,r D,r-all the Acts and Rules in force, particularly those to his area of work and also endeavour to disseminate the basic underlying them among the people with whom he is to work or interact. As I have found in practice, one of therrap in *Vhieh this can b" doie is to ensu.e that a few c3s._, registered undeF every law in for"e. fhi. aauic" apptes particularly to social and economic offences.

*"

The importance of secularism in i country with so many diversities as ours should be self-evident to every administrator. Being in a position of influence, he must set an example by practising tbeienets of secularism not only in official matters but also on sociai 6sca.1.ns. One must deliberately cultivate frien<lships sr social contacts outside one's caste, language and religion. I have come across, during my career, groups being formed on the basis of these divisive factors and officers participating in them and exlribiting partisan and non_secular attitudes, harmftrl for the smooth conduct of administration. One must scrupulously refrain from using langupge, caste or religiou for seeking advancement in one's cqreer, for criticising the advance of others, oi for defending the culpable. In my view, there is nolhing sci absurd as to assume that those ofone's owtr castei lalguage s1 lsligion can do no wrong or have better claiqs than otheis-on ote's considiration. In one situatioq I found a senior administnator, the chairman of a public sector company, refusing to invite a Muslim director on the board to a dinner held at the end ofthe board rneeting in official premises and at official cost. When he could not be persuaded to itrvite the lone director on grounds of propriety and slecularism, a colleagae and I had no option but to decline the invitation

In this context, I have a word for tlhe brothers and sisters who join the services against the reserved quotds. They must remernber that the
reservations that facilitated their entry into the s-eivice were meant to assimilate them with the rest and not fur nurturing their separateness. While it is the duty of others to welbome the entrants tlrough the

reserved route into the mainstream and treat them as their o*n brothers or sisters in service, the latter must reciprocate fully. This is the stuff of which espit de corps is bulilt and no bureaucracy, as Max Weber, the great sociologist has said, can be efficient and successful

Adminisnative Etltics

215

without such a spirit. I would also stress that the enhants against the reserved quotas should take great care not to practise.reverse dis'

crimination 'while dealing with cases that come up for their consideration. Public administration is not meant to avenge the past but to do justice in the present. In this connectioq I recall my pleasant surprise at the strident message of President Machel' during my visit to Mozanbique, a former PortuguQse colony, to his countrymen, condemning revirse racialism. Slogans to this effect were displayed all over the country.

An important corollary of the rule of law and the principle of


equality before law is impartial conduct. Various factors maypress one tobe partial and the most insidious of them is kith and kin. It is one thing to ensure that one's relatives and friends receive equal consideration. It is quite another to promote their interests in preference to those of others. A distinct line has to be drawn. This piece of advice is particularly addressed to thosewho are posted to their states of origin. An indicated earlier, I served most of the time outside my native state and I reckon this helped me agreat dealin practising impartiality. After I settled in Hyderabad following retirement' a large number ofpersons describing themselves as relatives came to press me to recommend

them to friends in service for one favour or another. They would preface their requests with the .statement that it was my duty as a relative to help them and cut corners for the purpose. I realised how lucky I was in being allotted to Orissa. I could undprstand the hardicaps that my Oriya colleagues were loaded with from the very beginning of their careers. So I congratulate all those who are allotted to states other than their own and exhort the others to recognise the handicap and mould their ccnduct accordingly' In my view, the usual assertion that a native is in a better position to understand the problens and aspirations of the people of a state is not a complete truth and the attendant disadvantages outweigh the advantages from the standpoint of public administration. In recent years, some academics have thrown doubt on the merits of political neutrality of administrators in developing societies. They have argued that unless administrators are intellectually and emotionally. eommitted

to the development policies and programmes of

political party in power, they cannot implement them faithfully and

216

successfully. So they say, neutralig of 4a administrator towards politi_ cal parties is an impediment and an anachronism from the days tf the laissez faire state. There are fallacies i,i, this argument.

preference to those of another. This is not desirable in a denocracv. Even at the stage of formulation of thb policy, political neutrality ls essential as the party in power nust know the alternatives and the pitfalls, if any, in the pursuit of a particular course, irrespective of whether it forms part of the party's political or election manifesto. I recall &at a chief secretary used to say that his chief minister always mistook him as indulging in digging the pits when he was actually pointing out the likely pitfalls. This is what happens when the chief minister believes the fulminations of academics against political neutrality.Afte r all, the pits are there and have to be avoided; blindness to them as a result of motional bias will only lead to a sure fall.
Second, in a democracy where parties in power are likely to change

politically neutral, he will favour th0 candidates of one party in

First, neutrality to political parties is not the sarne as neutrality to policies and programmes. The latter to be formulated and executed with professional skill on considerations and not with emotional bias on partisan Take for example the Integrated Rural Development (IRDP). Once the broad policy of alleviation through approach is decided by the political masters, the details have to be up so as to help the poor, irrespective of their political affiliations, If the arlmidshator is not

from time to time, administration will be thrown out of eear, if with


every change, administrators are replaced on a large ,*1". Tir" "onfusion is compounded if the practice is extended to cover the different factions in the political parties. The admlnistrators should do their best to avoid being classified as 'our men' a4d .their men'. I have narrated in an earlier chapter how in several instdnces political neutrality stood me in good stead, although interested parties tried to cause embarrassment,

Another golden rule of conduct is to distribute favours or development activities evenly among the constituencies of rival partymen. The same applies to legal action in mattets such as anti-hoarding tax evasion, and other economic offences, The idea is to demonstrate one's

Administrative Ethics

217

care and impartiality and even-handedness and this must be done with diiberation. I have found this to be both rewarding and useful against motivated attacks by one political group or another'

parThe fourth principle of anonymity is important because in a political leaders who take liamentary democracn it is the ministers or If the the credit for the achievements and the blame for the failures' inviting administrator tries to hog the limelight, he runs the risk of brickbats and worse for the failures. At the same time, he will an' tagonise his political boss who is keen on gaining publicity,for the good thlgs that have happened. The tendency in public administration and poliiics is to cut off the tallest poppy in the field lest it should monopltse the attention of those that matter. I knew a minister who always complained that his secretary would talk all the time in meetings and wouid not let him have his say. Eventually he found it necessary, for reasons of self- preservation, to get the secretary replaced, although the latter was known to be knowledgeable. Garrulousness and upstaging the boss are not ethical for an administrator. Let me also add, on the basis of my experience, that in the long run, one is not cheated out of recognition by one's deliberate anonymity, as good deeds circulate by word of mouth in the circles that matter.
As to the fifth principle, I would urge the administrator to remember that modern public administration requires the coexistence of several disciplines and that the desired results will flow only if they are coordinated at all stages. Inevitably, somebody has to perform this

function of coordination' In the Indian system the generalist is entrusted with it. Sometimes, the specialists in the respective disciplines who are brought into the network of coordination resent the atiitude, style and authority displayed by the generalist coordinator' All generalist administrators must learn not to display such an attitude, or bitter still, to nip it in the bud and to harness every discipline to the fulfilment of the given task. The essential elements of this learning
process are:

(a) Recognition of each specialist's role and the superiority of ''


certain- degree of humility is quite in order.

his

knowiedge over his own in matters concerning his discipline; a

218

Between ICS and IAS

(b) Identification of the crucial points


one discipline and another or

contact or interface between one specialist and another.


on the different disciplines for

(c) Acquisition

of sufficient arriving at satisfactory

on (a)

& (b).

I have recorded earlier that at th{ very begrnning of my career, Sivaraman told me that knowledge wa! power, tnut tt" tiappings
practised this dictum as faithfully as I cquld. I have proved thafacquisi_ tion of new knowledge as one goes up ihe official ladder is o"""..ury

of one's office were not to be mistalen as the source of powe..'t

*a

and possible and well within one's cqpability. Administrators must


know and observe in practice that real power lies in knowledge and not in the formal authority attached to his c{rair. One must also e-nsure that knowledge and power do not make onet haughty and insensitive to the self-respect of the specialists with whotit one has to interact.
the correct attitude to the public, to be Nccessible to them. to listen to

The sixth principle of administrative ethics enjoins one to adopt

their grievances, to ascertain the facts {nd to do one's best in solvins their problems.
Satisfactory performance of these duties depends on the sound management of one's time and the deliberate cultivation of patience. The administrators must realise that the power and authority vested in

them are meant to enable them to poiform their duties as public servants faithfully and efficiently and not to practise self- aggrandisement or self-glorification. At the same time, I must also caution against the distortion of this concept of a public servant. A friend who was commissioner, information and public relations in a state government was taken to task by the chief minister for not reporting to him the gist of the conversation the former had with a member of the opposition party on the telephone. The commissioher replied that the conversation took place on the initiative of the Other party, that he only gave some information in answer to a query and that he did not consider it important enough to report this fact to the CM. When he did not find the CJvI satisfied, he suggested that if GM had no confidence in him, he might transfer him to some othqr popt. Thereupon, the CM asked why IAS officers asked to be tiansferrod from one post to another, although they remained his servants, wlatever the post. The commis-

Administrative Ethics

219

but a public servant sioner replied that he was not his personal serv,ant confrontations and the transfer would avoid daily contacts or frequent and suspicion. atthough the conversation ended in in view of distrust soon laughter and on a conciliitory note, the 9!fice1-was transferred CM, himself a public servant and uftJr. Tlti. incident reveals that the his own first in order of precedence, thought of his commissioner as

ministers' servant. This fallacy, I must add, is not the monopoly of of Officers too are oftln guilty of it, as we know from the complaints their subordinates. Administrators must believe that their subordinates are also public servants like themselves and behave accordingly.

P.R. Dubashi. IAS who retired as director, Indian Institute of Public Administration has drawn attention in a recent article in the

Indian

Express to the reported statement of a former central minister

in charge ofpersonnel that while appointing secretaries to government: what hi looked for was "not genius or brilliance but the qualities of a domestic servant, viz.,loyalty." He has also referred to the endorsement

judge of the Supreme Court, Justice M.P. Thakkar, while disposing of the appeal of government against the order of the Central Administrative Tribunal in the case of
of this doctrine of domestic servant by
a

J.C.Jaitley, IAS who filed a case against his supersession by his to secretiryship through promotion' The learned judge said: "If I want to appoint a cook, I would appoint any one whom I like' The same appl-iis to government appointing anybody as secretary'n With all r"rpe"t to the Supreme Court, I have no hesitation in saying that this doct.ine is not only misconceived but pernicious' As Dubashi points out, it obliterates the distinction between public and private administration and converts service into servility' Everyone must expose its dangerous implications, and find a way to move the Supreme Court

juniors

to revise its obiter dicta.

As a public servant, an administrator must render service to the


public without any extra or unauthorised payment. Such paymonts are referred to as speed money, gteasing the palm, or more simply as a believed that more and more adcorrupt practici. It i. "o.rnonly have now come to indulge in such practices' Those that ministrators are caught justify their behaviour on the grounds that they are not the only ones to receive such paytnents, that they are part of an ubiquitous

220

Two

Admini$ratbn : Interaction Between

ICS

and L4S

conclusions:

;;;jy"f_;: higher quatity of services rendered. q,iitJ .f"..fy tfrJffieas do oot bear scrutiny and such conduct is unethical. fr,iy-"for"'""a oi i"A observation of corrupt colleagues hai h6ugh1 -" to it following
"

inflation and that those that make thE payments

Y:':f:li:i

t:.4:l"tuT'*

are in4dequate in view or the sowins

d;r"

(a) The character of some is basicall! or ab initio deficient on this pont.

(b) Thel tend to view their positions

basically as opportunities for earning the extra amounti and not for rendl.irgj;Uli"-;"" o. performing a given set of duties as public serva_its.

(c) Some of them have fallen into thc traps laid for them by the corruptrng force$ in society early i{ their career, by mistake or by
accident and are unable to get out,

(d)

They yield to pressures of family, who exhort them to practice what Sivaraman has called the upai cultlrre in his reminislnces.

this unfortunate defect in their charactdr. But to otlers. I recommend that they decide on the course of their behaviour early in their careers and take conscious steps to avoid temptations andpitfils. The first few years of one's career sets the tone and lays the- foundation for the reputation of being incorruptible. Generally, it all starts with small things, innocuous looking but loud in the signals they send. Diwali and other social occasions are often selected for getting the administrator into the pit. So, he needs to be vigilant and no amount of care will be too much to build a clean reputation in the early years of one,s career.

and above the salary. There is very little for me to sayto those who have

Upari is the word commonly used to describe the earnings over

It is sometimes asked whether it is ethical for a civil servant to continue in a particular post or in the service when he is convinced that the decision he is asked to implement is wong. Should he resign in such circumstances? When such a question pot to Sir William Armstrong head of the British civil service, who was deeplv involved in the Suez crisis against his betterjudgement, he replied: "i huu" n"u". come up against a case where I felt so strongly that I even got within striking distance ofresigning." The farthqst hs went was to wear a black

*^

Administrative Ethics

221

H;

he abandoned it as a'rather tie, as a token ofhis unhappiness but soon have the option of iuvenile qesture., civil servants in lesser positions *l"o ttt"y ut" fuced with an acute moral dilemma in the decisions *ii"n ?tt"it "oosci"nces do not permit them to carry oltbe ethical if in indeed, handed out to them. But at the iop level it will, to which sJrare situations, theyresign' Itis all a question of the extent

;;;.f.1

and one's ability to one's conscience disapprovis of the decision i.pf".*t it is thereby eroded' Ordinarily, however' administrative

do". not ,equire a civil servant to quit so long as his.unhappiness "if,1", given decision does not impair his capacity to implement it in a witl, a
orofessional and rational manner'

Administrative Methods

While putting the ethical principles into practice, the administrator must have a healthy respect for facts. Broadly speaking,
facts are of two kinds: hard physical facts that can be quantified and soft, psychological facts that have to be caiefully assessed, such as the attitudes and aspirations of the people around. Sometimes, even the physical facts cannot be grasped correctly excepl through elaborate surveys and sophisticated techniques like random sampling, regression

nlnlysis, etc. As regards psychological facts, it is difficult to claim infallibility or accuracy. One has often to manage with informed guesses.

In the ordinary course, facts come to the administrator in the form ofpetitions and other correspondence. [n'officialese, they are referred to as receipts. Prompt and proper disposal of receipts is one of the ingredients of responsible and responsive administration. To watch their progress through the official channels, to ensure the application of appropriate law, and to facilitate communication of the decision to the persons concerned are obviously the responsibility of the administrator. There are detailed instructions on these matters in office manuals and are often referred to as office routine, despite their importance for the image of the office. Of late, these matters along with some others of similar nature have been given the title, Organisation and Methods. Included in them are the procedures for reporting weekly disposals, weekly review, monthly review of pending receipts,

224

Two Adminhtrators :ilnteraction Between ICS and

IAS

today tend to misunderstand the t$rm routine, and fait to devote sufficient attention to these proced1res on the ground that the old manuals are out of date and are not suitable for-modern conditions. The correct action is to revise the manuals, not to ignore them.

special review of long-pending cases, maintenance of records, destruc_ tion of old records, etc. It is unfortuiate that some adninistrators of

I recall that Sivaraman as chief secretary and developmenr com_ missioner, Orissa utilised the puja holidays of 1961 to prepare a brochure on the improvement of administration and circulated it to all
secretaries to government, heads of dgpartments, collectors and other district-level ofhcers for discussion at a special two-day meeting held

in November of that year. The brochure began by stating thai "The administration in Orissa in all departtnents and at all levels has to be streamlined if we are to take up the vast programmes now contemplated for the Third Five Year Plan." It went on to say:
'Our Administration is based on the 'written word' and the rule of
law. This requires that all action of Government has to be translated into writing and records have to be maintained. It means that the administrative structure must unders(and the law and the implementation thereof. The first requires a mpticulous observance of routine and preservation of records. The second requires a basic training in the understanding of law and a structure to which the average administrator can go in cases of special difficulty."

As for the routine, it was only a tneans to an end, and should be revised to its minimum and thereafter followed meticulously. The minimum should be such that "at every level people may have time to think and act." An annual check about the sufficiency of the rules and manuals and a revision on the basis of the year's experiences were suggested. Sivaraman and I followed up these conclusions as best as
we could.

That Sivaraman did not give up the stress on the proper maintenance of routine, despite his preocoupations, was evident from the drive he undertook as cabinet secretafy. He has recorded in his book Bitter Sweet how his fellow secretaries reacted cynically when he began to review the state ofpreservation of office records in different depart-

Adninistrative M ethods

225

Some of them ments and the methirds.of retrieval of information' was not worthy of their attention' ,""-"i to hav" felt that such work 'a

S-iuaru*ui,fto*"*,

;i,f;pi"..ntation

surprised some of them through simple review oi cabinet decisions taken during the previous were not only tlreeyeu.s, witn the discovery ofhow their {9qarfm. ents attempts negligent in implementation but also unmindful of the serious government's intentions through the of"veied interests to thwart the part manipulation of office routine. The deliberate practioe of opening was found files to erase the memory of preceding events or decisions interests to have been resorted to in certain important matters by some to procure favourable decisions. It is good to remember that the administrator, no matter how senior or how deeply engrossed in matto ters of policy, must maintain adequate routine in his officein regard

the preparation and preservation of records. This is particularly true of an IaS officer, who is called upon to handle different departments for short periods during his career. He more than any one, should be conscious of the importance of office memory, its proper preservation in and its quick retrieval. I can vouch from my experience, particularly ministry, how very helpful was the routine the shipping and transport .ny pr"di""..ut Pimputkar had established and bequeathed to me' I did everything possible to maintain and improve it, keeping the needs of .y .u"""sso. in view. May the present-day administrator remember that Le is but a part of a chain and earn the gratitude of him that will follow!
In the maintenance of routine and the managepent of the'written word' (otherwise known as the file) it is necessary to take note ofthe

latest innovations of office technology and adapt them suitably to government offices. Some of the new technologies like micro- filming, photocopyittg and computerising are a great help in saving scarce ipace, speeding up retrieval and sharing information with all concirned. Their introduction is likely to be met with resistance by copy writers and a host of other low-skilled functionaries as they are likely to lose their jobs. So the matter has to be handled with tact, and by simultaneously providing retraining programmes for those who will be
made redundant.

I shall illustrate the importance of technology in this area by a true story from my experience. When I attbnded Columbia University's

226

Two Administrators : Interaction Between ICS and

IAS

or extend it due to general apathy to innovations of any kind. This happened despite my attempts to discuss thoroughly the need and implications of the experiment and to involve all concerned in it.
I would include in office technolog5i the layout ofthe office. l,ayout should facilitate the flow of paper and dreate confidence in the public

management course in 1966, I learnt that the owner ofa chain of small restaurants found that he was frequentfy losing his chefs due to quarrels between them anil the waitresses. He bngagei a .anagernent consult ant to study the problem and advisd hi;. His adviJe was that the takingthe customers'orders orally and shouring .p"t::t':: :f :,"i'resses rnem dowtr the chute to the chefs below in the kitchen be discontinued. Instead, they should wite down the drders, attach them to a spindle and pass it down to the chefs. The consultant,s finding was that the annoyance caused by the shouting dowtr ofthe orders ani the resultant loliusion of serving the wong disheb to customers was the reason behind the rapid turnover of chefs. pea]ce and harmony returned to the restaurants with the technology of the spindle, the management case study concludes. This story prompted tne to enquire into ihe delays in obtaining no-encumbrance certificates ofland mortgage loans given by the Cooperative Land Development Banks. As .""i.ti.y in charge oi cooperation in the Orissa government, I was always under pressure ro sanction additional posts of cooperative inspectors for searching the reco(rs of the sub-registrar's offices and issuing the certficates. But recotds oI sub-regtstrar's certificates. there wAsdqlerceptible improvement even after increasing the num_ ber of inspectoi$-qlthey verified frorn the same set of records. The inspect story of the spindle midese-think that a better technology for preparing, storing and indexing of the iecords in rhe registraii;ilince wouta have to be found. Accordingly, I tried, as chief s.ecretary, Orissa in 1.973 to introduce a new system, in a few registration offices as a pilot measure. As I had to leave Orissa a fewmonths later, I could not follow it.up. From enquiries through friends, I understood that the newsystem did produce beneficial results but no attempt was made to improve it

that seek information, service or redre$s. l,aknani, a young officer of the Maharashtra cadre of IAS, has derionstrated in the early eighties how the district collector's office can become more efficient and create greater credibility in the public though a rearrangement of different

Administative Methods
sections, or in other words, an improved layout' pursued and extended throughout the country'

227

This needs to be

facts, analyse and check them with reference to collateral and contrary

Theadministratorisalsorequiredtogatherfactsonhisown'verif

finally act upon them, draw appropriate conclusions for action and ii".'u""dtani to his position and power' We shall see a little later For the how this procJss fnks-him to the making of state policies' and sorting of facts' The present, ishall continue with th collection p.o""du.". commonly adopted for these purposes are inspection' iupervision and field visits. I was fortunate in having good opportunities at the beginning ofmy career, for attending Sivaraman's fabled inspections and ior accompanying him during his tours in the district' Many like me have concluded that such opportunities were indeed an education in public administration. Sivaraman's inspection notes and tour notes weie veritable mines of facts, information and suggestions' We used to keep them safely with us and go through them frequently and meticulously for guidance and action. Such inspections and tour notes have of lite fallen into disuse, partly because the senior adjuniors are ministrator does not find the time and partly because the or spectacular matters' When I found more interested in other urgent Sivaraman continuing to write his tour notes as elaboratedly and carefully as before even as agriculture secretary, cabinet secretary and membei, Planning Commission, undaunted by the changes around him, I asked him why he did not discontinue this practice' He replied

almost apologetically that old habits die hard. He however added, with to hear from a glint in his iye, that on one ooccasion he was delighted Vidisha (MP), during his tour as chairman' Nationth-e young collector al iommission on Development of Backward Areas (NCOBA) after retiremenf from the Planning Commission, how the latter came across one of his old tour notes as agriculture secretary and was trying to implement the suggestions made therein. Such indeed is the value of a good and detailed tour note of a farsighted administrator who had rich Lsights into Indian agriculture. Tour notes apart, Sivaraman, whose strolngest suit was knowledge of field conditions, ha1 demonstrated time a'nd again how serious pitfalls could be avoided in framing policies

for

No trouble is therefore too much for an administrator in his effort to

a courriry as diverse as ours and monitoring their implementation'

228

inevitable changes.

Inoy

11.

field idtially and to keep in touch continuousty with rhe

ofa healthy desire to reduce delays and speed up government business. same time, unscrupulous colleagues and bosseg political as well as in the bureaucracy, have begun to t4ke advantage of this new_found preference for the spoken word, wh[ch has caused the honest administrator serious embarrassment. I have narrated the story of P.R.Nayak of the ICS who took quick decisions bonafide but without always recording reasons and was subJected to disciplinary action for some of them on the very last day of his service on the instigation of some aggrieved persons. My own experience in regard to unsigned typed slips from PM's secretariat during my tenure as secretary shipping and transport during the emergeicy and the bonafide gold sales as deputy governor, RBI in anticipatiou offormalorders ofgovernment during the Janata period is proof enorlgh of the dangers of relying on anything but the written word. The recent witch-hunts of new governments against some officers for their acts during the preceeding governments underscore the wisdom qf recording the reasons for all important actions in writing. I used to assert that honest officers must make their decisions transparent by recording reasons, for the dishonest ones always take great care to cover their tracks. The administrator should not therefore fall itto the trap laid by the curent tirade against the written word in the riame of reduction of red tape.

Of late, the a.tministrator is ber4g exhorted to cut down paper work, make greatet use of the telephone and carry on his buiiness through the spoken rather than the riritten word. Tiis advice is born

Atthe

Meetings are an important example of the method of the spoken

word and they occupy a significant part of an administrator's time. Nobody can deny the utility of this method, although frequent resort to it without adequate preparation, fbrethought, or follow-up can
make

it

counter-productive, wasteful and vexatious. Meetings may

.serve to collect facts from the participants, facilitate airing of diverse views or letting off steam, evolve consenbus, develop a coordinated plan of action, arrive at a decision, or to gengrally inform or exhort. He who calls a meeting must be clear about its purpose, must set out the issues

for discussion

as precisely as possible apd inform all concerned well in advance, so that they may come prepared. Ifthe purpose is fact-finding,

Administrative M ethods

229

different 4gencies' it review of pre- existing facts or coordination of how profoina is circulated in advance' I have recorded my team of " speed of reviews' undertaken by me and of th" community development programme and is

"...rii"iit" ;;;;ltt;d
offi#,

io th" sixties, following the ;;;;y"d;j instituiions improved tremendously after. although we K' Ramamurti it"*tii"a p"rofo.-", by my colleague 'could It is not etminate completely the tendency of false reporting' to every participant inportant that the chai'man gives an opportunity 'have and his say, while intervening to maintain order and relevance to

or conclusions fairly' even to summarise th" **"** "od"uuoors or wishes' He must be careful to they are cont.ury to his own thinking ;iect fris own iieas at a surtable juncture, not at the beglnning and aipear as if he is reconciling the diverse views thcreby' On no accouat siould he give the impression sf lamming his own vipws down the their throats of lhe participants without giving due consideration to that the sensibilities. Participants too should on their part, remember are meeting is a combined effort, however disageable others' views I can confidently say that I practised and act"with restraint and dignity' were these principles as faithfully as I could. Several of my friendships during the meetings formed at these official meslingc, as for fu$tanc

if

of Indian of the fertiliser industry. review committee of 1967 composed and and American experts, with myself as the self-appointed convenor
the sessions of

thi shipping development fund committee during 197+

n.
In 1983, I was invited.to speak to the commissioners, income tax andothermembersofthelndianRevenueServiceintheiltfaining the college at Nagpur about meetings. During the disc-ussions after

lectuie, I was struck by the number of questions put about the hierachical levels of participation in inter- ministerial srsstings such as what

should be the level oi the reprqsentative of the department, how should and how one behave at rmeeting chaiied by an officer ofjunior rank rank' I advised should the chairman react to a participant of a higher them to find their own alswers, concentrate on the functional aspects given to of participation, the roles of their departments and the briefs ratile, than the hierarchical aspect. said that it would be

the-

is certainly wrong to withdraw from a meeting when the chairman or to deny the participant a say on the found to be ofa lower rank

230

Two

Adtninistraon ii{nteraction Between

ICS and

IAS

the neglect of the above principlei.

{oubt

ground of his Lower ranft. These poifts as well as those made in the qrevigus paragraph would be oboid* to -o* ,"J"r, but I have thought it worthwhile to record ther4 here i" ni"..u oi ai; reactions of some senior ofiicers at the Nagpur lfcture meeting. Readers will no rgcall how many meetings proVe to be infruct"uous
as a result

of

The administrator and his metho{s are sometimes adversely com_ pared with the manager and his tools of management. I have heard it said that the IAS officer should Sease to be a mere administrator and rise to be a manager. This statement ls perhaps meant to convey that administration is no longer confined tO law and order as in the colonial days and the new tasks like developruent, welfare, state tradins and economic matters need new skills simllar to those of a nanager L the private sector industry. Thus pur, there is surely an element of truth in this assertion. But it is not truer$ say that the tools of management evolved in industry can be applied ldck, stock and barrel to public administration. Industrial manageme4t is geared to the single goal of maximising profits or in the words of ptof Galbraith to avoiding losses, while public administration has multiple goals, some of which cannot

be quantified . The concept of sodial responsibility in industrial


management goals is new and is often treated as a cost and managed xqcoldingly, as in the case of compliance with ecological regulations. So, the current need is for adapting the lessons of behavioural research and technological ianovations of industrial management suitably for public adminislration. The debate of the late sixties on administrative reforms brousht this out prominently and governmelt took several steps to orient the administrators and train them in the new concepts of management. A new journal, Madagement in Government, was started.

jargon. Of course, there were some methods and some caie stories that did not appear relevant to our situatioq. The word manager appeared

My own exposure to management methods startsd with peter Dructer's book, The Practice of Management, which I bought on one of my visits to Delhi in the sixties. My fust impression on reading the book was that some at least of the mgthods described therein were being practised by me and Sivaramad without the help of the new

to have a new attraction, compared to administrator. But when I

Administrative Metho ds

23r

I was attended the Columbia University course in nanagement in 1966, case studies in human relations pleasantly surprised to see a book on ioanagemeot in business by LP.Glover and R.M'Hover of Harvard University, with the 6tle,,4d,ministrator. Indeed their institution was called the Graduate School of Business Administration' While the book dealt mainly with cases collected from business organisations, it had excerpts from writings about non-business grganisations, such as the military, in the fields of human rolations, adninistration, organisational behaviour and the like. The following extract from the Introduction written from the standpoint of the business administrator is

relevant for the public administrator also:

"A fund offactual knowledge, mastery of a technique, and analytical ability, while useful or even indispensable, are not in our opinion the attributes which, per se, distinguish the administrator from all others in an organisation. Others may have in their minds a greatet store of facts. Others may outshine the administrator in command of technical knowledge and ia practice of technical skills' Others may have greater powers of logical complex, and concentrated thought.

The qualities which, to our way of thinking, distinguish the administrator are.his ability to think and act responsibly, to perceive and respond to environmental realities, to work cooperatively with others, and to work effectively and with satisfaction within the group and generally to provide leadership rn getting the required work done".

The authors go on to stress that the crucial cornponents of the 'administrative frame of mind are 'attitude, judgement and understanding' and that those can be acquired mainly from experience and from the disciplined study and ordering of experience' It is in this context that they recommend case study method which exposes the
student to a variety of genuine experiences. This book" which sets out the circumstances in which two administrators lived and worked is offered in the hope that their experiences will throw some light on matters that concern all administrators.

Administrative Structures

The problem of structure is inherent to public administration, as the needs and aspirations of the public are many and diverse. Consequently, the services required to cater to them have to be well differentiated on the basis oftechniques and closely coordinated to achieve the desired results. Different administrative structures have to be horizontally linked and vertically integrated for the purpose of coordination, while providing for a degree of autonomy at each level. Further,
administative structures have to be adjusted to changes in circumstances, keeping in view the availability of personnel. Sivaraman's and my experiences in these matters and the lessons to be drawn are described in'the following paragraphs.

. Orissa was faced with a severe shortage of experienced senior administrators in the wake of Independence. The joint Bihar and Orissa cadre of ICS provided six officers only, half of whom were in the commissioner's rank, the other half being in the rank of collectors. One was soon elevated as High Court judge and another was transferred to Bihar,thus reducing the number to four. Six IAS officers of the war service batch were allotted in 1947-48. They had no knowledge of state administration, although they had some experience in defence and accounts. As they had to be trained in criminal law, revenue law and other intricacies of civil administration, they could not be appointed to regular posts. January,L948 saw the doubling of the administrative area of the state and the manifold increase in the

234

Two Administraton : trnteraction Between ICS o,

complexities of administratioq as a result of the merger of 23 princely states with Orissa. Another state, Mainrrbhanj, merged on January 1949. The sudden demand for experipnced administrative personnel

was met by promoting the members

a promoted departmental officer in the rank of additional secretary. Finance was treated as a preserve of the departmental experts. It was
state affairs could be inducted into it, not tospeak of becoming its head.

olthe state administrative service. When I reported for duty in Decembef D4J all the secretariat depart_ ments except two were headed by fromoted officers. The finance: department was directly under the chiof secretary who was assisted by

not till four or five years later that officers with wider experience of
needed a financial crisis to shake the government out of its com_ placency on the exaggerated claims of the entrenched personnel. In May 1951, RBI refused to honour the state government cheques as the account was overdrawn as a result of the heavy payments by the

It

llirakud project authorities and delay in the receipt ofthe countervailing assistance from the Centre, This took place when V.p.Menon was acting as governor in the leave vacancy of Asaf Ali. Menon, of states, merger fame, was a man not to be sdtisfied with half measures. He
pressed for radical changes in the adnrlnistrative structures. Under his guidance, the Nabakrishna Chaudhury ministry decided that the finance department should be strengthened by new personnel with wider experience and special training and that the chiefsecretary who was already in overall charge should take greater interest in the department. Dr. S.K. Rau of the first IAS batch was posted to the finance department and sent to New Delhi for trai.'ing in Ways and Means. Similarly, the three ICS officers were irsked to handle larger responsibilities, by reorganising the board of revenue. At that time, the thirteen districts of the state were diviiled between the revenue commissioner, Orissa and the commissioner, northern division for the purpose of supervision of the district administration and both officers were exercising the powers of board of revenue, the highest appellatc authority in revenue matters. Besides, there were two posts of commissioners for looking after excise and the Grow More Food campaign.

The new board of revenue consisted of a president and two


members, corresponding with the threo ICS offrcers available. All the functions and responsibilities required to be discharged by the com-

Adrninistrativ e Sntcfi$es

2i5

the missioner and the board of revenue under various laws, including

administrationoftheorissaStatesorderlgzl8andtheadministration of the Mayurbhanj State Order l'949, were divided between them' While all ih" thr". sat together as the full board for disposing of

indeimportant matters, eacb member had the authority to dispose of him under the order of distribution of peidently matters entrusted to Lusiness made by the board with the approval of government' Under
the Act, the state government had the power "to assign by notification to the board such other duties and functions as they may deem fit'n This provision was used to make the president of the board secretary to government in the revenue department and the other two members iecretaries in some other departments, in addition to their territorial jurisdictions which were the same as before. The underlying idea was to make the best use of the available administrative talent. The seniormost ICS officer, N. Senapati became president, board ofrevenue, and secretary, revenue department, while B. Mukherji the juniormost became chicf secretary and decretdry finance department. Sivaraman, the second member, board of revenue, was designatdd commissioner, northern division, comprising six districts with headquarters at Sambalpur, as well as secretary, departments of mines and geology and gram panchayats. V. Ramanathan, the third member' board ofrevenue

was designated commissioner, southern division comprising seven districts, with headquarters at Cuttack as well as secretary, department of excise and registration. In addition, Sivaraman was put in charge of commercial taxes, and of the Hirakud land organisation, more or less like a head of department. The first - mentioned subject fell within the jurisdiction of the finance department and the second within that of the river valley development department. Both the secretariat departments were then headed by comparatively junior offrcerc. Pinu facie, this was quite a hotch-potch and contrary to known principles of administrative organisation. It is indeed a wonder that the system worked. We know that Sivaraman not only discharged these multiple duties to the satisfaction of the chief minister for five long years but also succeeded in upgrading and stabilising the administrative system in the northern division consisting largely ofthe ex-state areas, besides authorinq some innovative laws for the entire state of Orissa.

In L957, by an amending Act, revenue was reduced to one, revenue divisional commissioners
their secretariat functions. The Ori
the Division.* The term ,general ar

191ers Act, 1957 was promulgated Chief Executive authority in charge

membership of the board of the other two members as divesting all three of them of Revenue Divisional Commismake the cammissislsl "1[s the general administration of
was to include "execu-

tive functions relating to revenue ministration of local bodies and


specifi cally entrusted.',

law and order adother functions as may be

of the Board of Revenue with their mullifirious activities could not find time to devote to theG It was felt that tlrere should be.an intermediate

held in Cuttack in February 1961 under the auspices of the Orissa regional branch of the Indian Instituto of public idministration. the reasons for the changes were as follows: "Great stress was given on the speedy execution of developmental r,Vorks under the pians and of district administration which were not upto the mark as ihe Members

According to the paper circulated at the symposium on The Oiigin and Development of Board of Revenuerand Divislonal commissioneis,

sefup with an interntediate authoritv between the Board of Revenue and the Collectors. They are in charge of immediate. control of district administration and developmental works. We have inherited the traditions ofthese two parent provinces and this was the consideration which weighed to reducq the 3-Member Board into one by making further administrative changes by the creation of the posts
administrative

althority between the Board of Revenue and rhe Diitrict Officers, like the Divisional Commissidners. In Bengal and Bihar, there is such an

of three Revenue Divisional Commissioners with administrative

divisions. It was felt that the 3-Member Board had no time to look to their primary responsibilities, viz., the administration of the districts and development work. The secretarial powers had to be taken away from them. It was also felt that the number 3 is a bad number which meant that several peoples, responsibility is nobody's responsibility."

officers of the ICS. Everyone hadbeforetrim the example of Sivaraman,

I would add, without contradicting the above statement, that the IAS officers cadre had since grown and gathered enough experience to handle the matters hitherto concentrated in the hands of the few

Administrative

Stntcfi$es

2i7

whostrodethestatelikeacolossusdespitebeinginSambalpuraway
from the state caPital' structure was Another significant change in the administrativeService-of.1952 and the m"*fri"U""t"ty the Nation"al Erension followed' The former was a;il;;y';;;iopment Programme that development in general and food

i""tl'l"

lp""a up agric*ull

;rJ;;;i;particulaiwhile

the latter aimedat an all-round develop-

il;;;;t";al

and people' Under the central government's advice commissioner development minister S.K. Dey's pressure, the post of purpose of eniuring coordination of all developwas created for the

combine it with the rn"r, a"p"tr."ot. in tn" ntla' Orissa chose to the juniormost ICS officer' B' and accordingly, of"hi"f^.e"."tury have vast po*"t',-to. the,anl:y.1]rT of his senior came to Mukherji plan and imple;;i;;;;"r. Earlier they had enjoyed full authority to rural roads' etc'' ment rural development works lii<e minor irrigation'

post

no*ior.itg purt of the C.D' Programme' Sivaraman as commissioner' A*tf"n had embarkeJ oo a -assive programms of these

""t,ft".t part of his plan for upgrading ;;tk

and stabilising. the administra-

strucaieas. Fortunately, before the administrative tfti iiot of ". "*-.,ateunder serious strain, he left the division in 1955 to come iur.

Senapati president, board of revenue in the leave vacancy of ;;;; "outa return in 1956 as only to

oo eight months'leave.' noted earlier' he ;;i.";t;"ty-cum- deveiop*ent commissioner' As short interval' i" iftis polition till May 1965, except for a

ura-f*ipto""eded
"ottitu"A

was to create a The combination of the two posts, I presume' functioraries' so that they certain awe ofthis official among thl various fall in line in the *orrfA ."t aside their departmental bickerings and C'D' Programme' With interest of coordinated implementation of the of Sivaraman to the combined post' these features tfr" u"""rrtout"d *"r""pfointrn"nt by his forceful personality and his fabled reputation his supervisor und ft"qu"ttt visitor to the field' On
as an indefatigable

his tour.notes in the new oart. Sivaraman was aware of the dangers of his suggestions in the tour notes Ii,"",i... He issued a circular that should be tit""iJ t", be construed as final orders of government but was meant This oro""s."d io ttte normal way, before implementation' sensitivitiis of departmental structures and ministers

i"

""i" "f,fte taken irr-"t u.g". not in practice, Sivaraman's word was

i"t"

as

government

238

Two Administradrs : I4teraction Between ICS and L4S

order and action initiated on the tour


pa rt
i

11.":::f :::l"r,i.r."o"tu,y_aa";;,,-o''""ii"ill,llllllllJi;
supremacy.rhatthetwor"J;;:.Jf,"tfr
after his rriumphanr climb to power;iltff*";;'r*).Li;u *as fired with a vision and found in Srvaraman arl atrle companion and a coordinator par excellence. Bv then,

,u."p,ry,o ,i. p[;;#;'"'"q Tha rrr,^ n^.r- ^r ^,.:-.

facto chief minister."o. Alt'hous Sivararlant -h chier-i-i-r-- for chief minister r^ a while, hJfound

il.T:1#f"{Tfor,"":$ffil1"-hTff ilJ,H:llf"lf cular, bega to oruin op"ni

H*t i;T;:;#ffi ffi::H"Tt""#


style suited Mahatab the

rt expedrent to transfer sivaraman it rer, board gf revenue in Septemb er L959.

lrlllilil,"T:,:X*'

additional development commissioner ana o"""ir?lij,, raj. True, this coincided with the coming of"orn-i..ion-o, "tliJr.o-rios ,g" of th; fi;; orn""r. of warservice origin.I had held trr. orJ"u"roiilJni*_,ni..ion_. just before this and was designated additional commis_ sioner, white continuing to hola tne

with.three senior officers, additional

,,uu.u."r, fourd it necessary to share iris burd"o. "rfik;;;-;;;fr-,_1., ,up"_irio., ot"oo.aiouijon urr'i

"hl"i;;;;;;;;

i*t

development departments.

po*"., *"r"'dalegated to raj was urro pru""a under my Ti"**-",::f:li:':.1:,.p*"nayati supervision for faci litatine tle coordinatio. ;i

coordination department. All the necessary

cr,arte

oi."*o'"i!,]i*ri"g r"a

d;*b;;;*

rh#;;;;

;j

await sarisfacrory answers, accepta-ble ro

after me, who tried to revive the old method. us in the held guitty of i" if," :1tl!:t was and promptly undue inrerference "lJ"_rf"," of orher oepartments "ii"f. transferred. So the problem of coordina_ tioo_and the question of the appropriate administrative structure stilr

so as not to offend the sensitivities of ministers and departmental heads. I have learnt how one additional d"""bp;;;; immissioner

have narrated in an earlier chaptor how I attempted to bring through rhe theory of rhe dicrum :::u,:coo:diation rnar Knowredge ls power and by constant touring in the field, like my mentor Sivaraman. I have also recorded hdwl had'to face the inevitable consequences when any officer attempts to coordinate the work of others too enthusiastically. It is no wondet tt ut rny .u""".*rs thought that discretion was the better part of valour and restraineJtheir efforts,

thr".il;1;1,

"[.

L ;y o;l;iln,

oon" wiu

Admini sftative

S tnt

ctures

239

and their ministers be found till the departments to be coordinated in thelarger interest; the ;;;;; lve with a certain loss of autonomy is to u"t *itn tuct; and above all' the chief minister ;;il;;;;;. willing to stand by the chosen coordinator' .t.oog
with integration' Coordination, I must stress, must notbe confused and agencies in-charge have no Under the latter, the sub-progammes parts of ."purur" existence. They are-organically linked like. different in administration is traceable to iii lu-u" body. Part of the trouble in a situation coordinators wiihing to impose the rigours ofintegration the only coordi-nation, and the agencies concerned resisting "."ai"g .coordiiatoiin the fear that it is but a short step to losing their separate

""ough ^nd

of existe.tce and importance. So there should be a clear understanding

The first inthe nature and lngredients of effective coordination'

gredient is a well- coordinated programme or well-adjusted system' to ise the management jargon. The second is an operational frame with or suitable tools such as job charts, and list of duties that each agency and the part ofthe system is required to observe. Training, supervision' iwin motivaiional aids of reward and punishment are also parts of the frame. The third is a suitable forum for interaction and demonstration goal' The of the relative roles and contributions towards the common with the necessary fourth is the presiding individual or coordinator credibility among the different agencies. It is important to organise training ior all those involved in the system so as to bring about attitudinal changes and the realisation that modern problems cannot
be tackled on the philosophy of the lonely

furrow

as an administrative structure. In Orissa, statutory gram panchayats were established in the early fifties in accordance with an Act drafted by Sivaraman under the

I now pass on to panchayati raj institutions

grriiuoc" of Nabababu the chief minister and socialist dreamer' This ivas viewed as the fulfillment of the directive principle of the constitution on village panchayats. The other two tiers, panchayat samiti and

the zilla parishid came into being in the sixties, in accordance with the part recommindation of Balwant Rai Mehta Committee' This was all which generated of Nehru's drive for democratic decentralisation, nationwide enthusiasm. In an earlier chapter, we have noted that by the end of the decade the panchayati raj bodies ceased to function as envisaged

in most states, including Orissa' Current$, attempts

are

240

Between ICS and IAS

being made to revive them and even

My reflections assume some

give them a constitutional status.

in this context.

In the.euphoric days after Independence, both political leaders and administrators made marry mstakes out ofan inadequate under.+^_)r_^ of -t society and. the structural aspeci, of-.*-aiua.ini.tru_ ]and3.e yral tion. First, it was not understood tdat the i".- uifirg" frud diverse meaning in different states and regiods. The lead"r. *Ein"l uaui.".,

.*".: 1:|1 of the Indo-Gangetic plains, insisted on .ooe dlfag?, orr" p"o"t uyut,,
but the small habitats in areas like Ori$sa and Muafyu

Ti:Tii:l"l

*1"

fyidr

with the rarge teerning viuages

sion issued a policy' decision on this matter, supposedly based on a in the National Developmbnt Council, wherr, io fact. this matter was not even discussed in thd Council,s meeting. Orissa, of course, refused to folrow this decision iand stuck to sivarairan's advice in combining contiguous villages in otte gram panchayat up to a total population of 3000. There could be no uniform pattein for the entire
consensus

frua".n u.,a tn" tribal belts could never become viiable units of administration. Sivaraman has written about the way in which ttre fhirring Commis_

country.

Secondly, due to the general lack of a sense of history and the absence of accurate information on the working of panchayats in the past in different parts of the country, policy makers

accepted uncriti_

mechanism or forum for resolving intef-caste and intra-caste conflicts and petty disputes in the village. It wotked best where the villaee was nearly homogenous, castewise. There was evidence that these Lodies were already losing control and credibllity due to various factors such as migration, economic pressures from outside and loosening of the caste ties. To make such a body, even through the process of e-iection, responsible for the new tasks of development was indeed a big jump in the dark. The few successful instances gleaned from inscriptions iike Uttaramerur could not provide a viable model for general application.

cally the romantic image created by Sir Charles Metcalfe ind others in their writings, and by the evocative slogan of panch parameslrwar. The truth about the traditional panchayat appears tobe that it was a popular

Adrninistrative

Strucntres

241

in the law werethoughtlessly Thirdly, the inherent checks provided the sarp,anch elected by the eroded for political reasons' Aithough as well as to

;'";;;;il;;entatives

h-ad the

pow-r to take decisions

refrain from execute them, it was thought that he would people at the end one, thai he;ould have to fac'e the

arbitrary action

;;;;;;;;;il:

ofhistermforre-election;andtwo,thatthepanchayat,whichwas develop-

for carrying out reouired to raise resources through taxation bv the people pavrns taxes' be closelv scrutinised

;;;;;;;;dd ii" n.u f#o. *u,


will. go""."-"tO'

bodies for factional leude.s at the state level to supersede panchayat and at ,"^on. and to postpone the periodical elections indefinitely state The second iactor disappeared as a result- of the

nullifrei rhrough the tendency_of the political

not bear any u"ceptance of the plea that the village could even the idditional burden Ly way of tax' Muhutub directly dissuaded and forced them to rely Jffirg p*"ttuyats irom taxing themselves other ;;i"ry the funds available under the C'D' Programrne and samiti and fro. government. Similar damage was done at the

*runl

;;;il;"#it il"iAff *

by abolishing land revenue on a large number of power of ,ft" ground of their small size, thus rendering the to levy surcharges and cesses infructuous' tfr" fu"n"ftuyuti iaj bodies ii"'in.tituiion. becurn" depenient and impotent' Sivaraman writes: holdings and not 'ny abolishing land revenui for a good part of the prices' the states effecJ.i".iitg rates to the inflation in commodity
power'" tivlty hlst.ung the nascent repositories of decentralised the labour tax' One important tax the panchayat could lely was could be called upon to contribute While every able-bodied person could not could labour for ihe develop-ent of the village, those'who with tradition' But this method cootribute cash. This was in accordance

voluntary and was distorted by making the contribution of labour any.contribution' The allo.wing the rich to get away without making soon acquired CO. f r"ogruro*e, which insisted on local contribution' The common a reputaion of exploiting the poor landless labour' tax p.op'rrti", which were being maintained by some kind of labour some places they were encroached upon by the inieteriorated. In
fluential.

that the Fourthly, it was incorrectly assumed in the-beginning free from party politics' b" kept pun"huyuti iaj institutions

"ottld

242

TwoAdrninistrators : l,hteraction Between ICS and IAS

rhe srart, rhe wen-meaning

History had belied this assumption. Hhd the truth been recognised at

glidelines.ar the viilage, biock ana

nat-ionull"ud;;

state level began to view the newly bodies as their potenrial rivals. Thi. was the main reason for the supersession of the bodies i"Jn" f"i"i*te postponement of their elections. Even in Mahafa$,* _j-C"j"rat, which are often cited as models of democr"ti. r"u.ur". have been introduced ro curb the influence oi ii"-1"ua.., of panchayati raj bodies, because of the ever_p.e.*f il"rirg of rivalry. This problem still remains unresolved.

Airrii"ii""J. i'f," iotiticians"".turo at tfre ortl" to*". "f""+"J."p.".""iit1u".

;;i;

t iJ.""uotu"a

pJ;;;il;;;;hy

d";;;;;;illi".ur

tl"

bourrJto t" r,Iuff u, tfr"y *iff not attract enough competent persons. fhe state government person_ nel were reluctant to come on deputation, *itiriut un u..urance of repatriation after a specific period. .Thus,

the sraff at the level of each panchayat .a_iti urrJ aifu farishad are to be formed into separate cadies, they ure

Lastly, experience has shown that the concept of elected representatives being in full control of the staff does noiwort
in p.actice.

lf

-y bodies can survive only if there is no conflict of intlr"riilt*""r, tr,"* and the sections already entrenched in the body politic- perhaps the solution.lies in making the jurisdiction of the panchayat samitis and zura panshads coterminous with that of the MLAs and Mps
as

it "r" u..urnption, is that ad_ ministrative structures based on theoretical "*"r"i."., about the behaviour of people are bound to prove a failure. irl

unviable and unstable administrative strirctures in most states. After a lapse ofa decade and more, political leaders ut the a;;i." and in the states of West Bengal, Karnataka, and Andhra pradesh are again trying to revive these bodies with some improvements. The Centre,s main effort is in the direction of providing u gui-rantee to the "on.titrtionui Doores ancl ensuring periodic elections. It also aims at establishing direct contact with them through financial utto"utio* urra control of election procedures, circumventing the gtates. th"." .ou". have led to the widespread.suspicion in the states tfrat their autonomyis at stake. At the time of writing, a consensus is still to be evolvedregarding the restructuring of these bodies, to make them stable and effective. If there is a lesson to be learnt from all tt

the panchayati raj bodies of the sixties

tu*ed out to be

ui"*, to*t

far as

Administative Stntctures

243

betweenthe two sets oI oossible and thus eliminate feelings of rivalry H.armoiv rather than-conflict of interests There are' of course' itro,lta U" the guiding principle of organisation' technical manpower and of *p"",. 'esou'c"s' to be reached among the "ito*tio,r "irt"t ir p"*"rs on which a consensus has ai"i.i"" to evolve .nd local leaders' I believe it will not be difficult i"ri*"f, is eliminated' on these points, once the feeling of rivalry

;;;;;;;r;Jatives. iit"
ui"
"g."".J.,,

district level: Meanwhile, two new .,,u",ut"' were created at the (DIC), and the District Rural Developthe District Industries Centre

-""t ag"*y
.i.ri.ter"fo,

was the handiwork Al*u. oti6"uffy meant to look after the anti-poferty programmes' notbeen continuedbythe Congress government' it has iftougftbrC its full potential. The National Commission on the

was the brainchild of Fernandes' iniustries in the Janata government of 1977-79' The latter of the Indira Gandhi government of 1980-85 and

tnRDA). The forrrer

"^ deujoped to

DIC in some Development of Backward Areas found the working of the strengthening of this ai.tti"tt promising enough to recommend

structure.ButlfonndinlgS6-ST,aschairman,KhadiandVillage
p"iJ

was not being Industries Review Committee, that sufficient attention

and state levels and the presiding collectors needed ttt" "*tral "t and pcrsonnel support. DRDAs have on the other hand' grown policy will mesh with in strlngth and importance. It is still to be seen how they

the proposed panchayati raj bodies'

collapsed system that was built ai a corollary of the C'D' Programme Extension Service that preceded it proved to after a time, the National

It is a matter for great satisfaction that while the panchayati raj

be enduring. In due course,

it

provided the infrastructure at the

strucgrassroots fir raising agricultural production' Other supporting of policy' It is now iu.es were built to suit the expanding requirements recognised that the greatest aihievement of India since Independence rate of producis hei near self-sufficiency in foodgrains and a higher

this postivity in agriculture. The administrative structures that made

through sible werJnot built in a day. They developed over severalyears the Centre and the states, and with the help close consultation between American from Indian experts outside the government, as also Foundation' institutions likqthe Ford Foundation and the Rockefeller
-from

244

the job."

between the faculty on the one hand and the top echelons of state agricultural administation and the practising agriculturists on the other. Extension became a division ofthe university, so that the scientists could learn.at first hand the process of translating the laboratory findings into higher output in the farmers' fields. The fourth phase was the iniroductiJr of national demonstrations and the organisation of coordinators for im_ portant cereals, followed by olher crops and disciplines. According to Sivaraman, the credit for the frst goes to Dr M.S.Swaminathan and for the second to Dr B.p.pal, both of the ICAR. To enable the Director General, ICAR to speed up research, he was empowered to sanction schemes up to Rs 50,000 without going through the usual procedure and to organise an annual get-together of all risearchers to evolve an agreed list of priorities. Sivaraman adds: "Even though the entire structure placed a lot of pressure on thb scientists who were used to *-*\ing at their own pace, in spite of the temptation to revert to the old days of laissez faire, the structure has produced the results which all concerned must be proud of... Reseafch in India had so far been a one-man affair. Researchers were a sectetive lot and would not even compare notes. To build multi-disciplinpry effort in this atmosphere has been the most difficult management problem faced by all of us on
as the Operations Research project and

Council of Agricultural Research. These were meqnt not only to turn out agricul_ tural scientists needed for field work b[t also to iorge link

were established in the states on the mqdel of the Land Grant Universities of USA, under the overall supeniision of the Indian

The input division of the centralministry of agricultor" *us."sporr.iUt" for ensuring the necessary inputs throrlgh uip.op.iui" J_inistrative I" the third phase, wirh a vlew to p.ornore close linkages between research, education and eKensioq ug.i"uftu.ui universities

offi"", u,iilJuro"t r"u"r, improved pracrices for achieving iigt yi"Us p", ::T-":j""11.._Y acre. In the secondphase, the number ". Ws were doubled to twenty and agricultural scientists engaged to s{rpe*ir" una ujui." the VLWs.

emphasis was shifted from exrensive tq with theVLW and the agricurtural extonsion

Ilf"

Onr,r:: may be idenrified. In the first phase, when the

inte*i";;d"J;",

the NES,

llll-illi"i

Dr M.S.Swaminathan introdutced innovative prog.urn-".


Iftishi Vigyan Kendras.

slch

The object was to mount a multi-discipllnary attack onlhe problems


of the village as a whole and provide trainting to farmers to disseminate

Adminis trative

S tructure s

245

to review the the latest technology. As chairman of the committee in 1988-89, I had occasion to see the excellent air""iorut" of "xtension projects' My overall work done by some centres under these two # rr'u, ,r" mult! disciplinarv ethos is vet to be firmlv ;;;;;;
established.

agriculture The story of the administrative structure in the field of the fifth phase' the Training will norbe complete without recounting adopted on the unJ Viri, system of extension, T&V for short' It wasworking successfully had found it f"..uu.ioo of tte World Bank which this system, the VLW was trained periodically in all in rort"y. Urraer in a farm' the details of the new technology by the research workers

in turn with the help of demonstrations laid out by them' The VLW adopt the technology and lay formed a group of 40 farmers willing to at the the demoistraiion in the field of one of the goup' Specialists

peridistrict headquarters would hold training sessicns for the VLWs about the odically, to remove any doubts and to keep them informed

the recommended technology. This system is now in vogue in almost all of major states and has coniributed a great deal to the speedy transfer can reasonably be proud of the success tecinology. While the country administraof the phised development ofthe structures in agricrrlture of the committee tion, there is no reason for complacency. As chairman t"f"tt"a to above, I found that the linkages between research and extension, the training of the VLWs and the communication between the VLW and the group of fariners still suffer from many deficiencies'

so Continuous administrative vigilance is needed if the structures' assiduously built up, are not to collapse in the near future'

Now, I shall briefly refer to'the agricultural credit structures' For For one thing, credit is an important input in agricultural development' structure' another, I had some part to play in the evolution of the Serious attempts to build a uniform set of structures throughout the country were begun in the mid-fifties, with the adoption of the recom,n".rdutioo, of tle A[- India Rural Credit Survey Committee of the Reserve Bank. The Committee's main aim was to rapidly increase the per share of institutional credit to farmers from the very low level of 7

the Survey. Of this, 3 per cent only came from cooperative societies, the rest'was from government' Its integrated structure scheme of rural credit consistedof p three-tier cooperative
cent revealed

ty

t
246
Two

Administraton : Interactibn Between

ICS and

IAS

Dr Venkatappaiah must be given the credit for the rearguard action agains.t this onslaught and a realidtic resolution of the dispute. Provipions were made for another sot of cooperative structures for processing and marketing the produde of the members of the credit societies, with the National Cooperative Development Corporation at
the level of the central government.
created tor Warehousing, with separate corporations at the state and central levels. The central arrd state govern^ments participated in the

although at one stage the Flanning Commission uniform. pattern_of one village-one society as in the

ofihe p.irnarf soci"tX fixing the ceiling at 6000 as the populariQn to b" ;*;; ;y the society,
impose a case ofpanchayats.

tsupervised by the Leserve Bank on the one hand and the State Registrai of Coop".rtiu. Societies on the other. Based on the recommendation by the V.L.Mehta Commit_ tee, a slight change was made in the gize

with a large-sized cooperative socioty at the village level, a district cooperative central bank at the district f"u"f u.rJr-".tui" cooperative bank at the state level, for managing tle aafery oisnJrt unA _"ai* and a separate two-tiiri structure for long+erm creait. 3:*r -..TOtj, norn structures were supported and

iriei t"

A third

set of structures was

share capital of all these institutions, the latter being assisted by long-term loans by the Reserve Bank out of a special fuid created by it out of its profits. State partnership was supposed to increase the financial resources not only directly but atso inairectly through attrach
ing deposits. The Reserve Bank undertook to come to the aid of the coopera-

gements were made to train the personnel needed for all these ac_ tivities, through another set of structures. This was indeed a massive effort involving the administrative personnel at all levels. In Orissa, I was privileged to handle this programme. With the full support of Nabababu, the chief minister, i reorganised the cooperative' depart_ ment, set up the administrative structqres envisaged and made thern functional. I got the Reserve Bank to accept a majoi change to suit local conditions, viz., allowgrain transactions in primiry societles along tive institutions were coming under the domination of the richer clas_
those of.cash. But by the sinties, it becape obvioui that most coopera-

tives in the event of national calamities, through another speciaffund known as the Agricultural Credit Stabifiisation Fund. Elaborare arran-

with

Adminktrative

S tntctures

247

at the primary level' ses. The share of the small farmers, particularly

in repayment with impunity. was tow ana tne influential were defaulting note of Sivaraman after I re-member how shocked I was to read the tour laid subdivision of Samba$ur district in 1962 which

iir Jti*o

began to bare the unplJasant facts. As evidence of this phenomenon promoters of the extent of distortion revealed, the

sutg"rh

gr"* *a tle

perIntegated scheme, Dr B. Venkatappaiah in nartigull' wero Credit ,ortZa. fft"y set about devising remedial steps' The Rural Review committee was appointed in 1966 under Dr Venkatappaiah's
chairmanship. New structures, such as the small farmers developrnent agencies uoi th" marginal farmers and agricultural labour agencies

liere brought into being as result of its recommendations' Dr

Venkatappiiah, who was then member, agriculture in-the Planning He Commisiion toured the states extensively to guide the field staff' set up a Central Coordination Committee (CCC) in the Planning Commission for expediting the resolution of policy issues' This comit mittee continued even after he left, though less effectivrily' Finally, earlier during the Janata regime was wound tp it 1977, as explained
as a sop to the prestige of the agriculture ministry'

An innovation of the seventies, was the farmers' service societies' Large-siznd cooperative organisations at the block level were introducld at the insiance of Sivaraman's National Agricultural Commission. These societies were intended primarily to serve the interests of

small farmers. Subsequently, this was extended to tribal areas also' Thus while the concerns of small farmers and tribals were being addressed, the long-term needs of agriculture development were also focussed upon. The result was the establishment ofan apex refinancing institution, called the Agricultural Refinance and Development Corporation. Sivaraman played a significant part inall these developmqnts' along with Dr Venkaiappaiah. As Vice-Chairman, NCA, he sowed the ,""d"fo, a separate apexbank for rural credit, as distinct from agricultural credit. Ii finally iook shape in 1-982 as a result of the CRAFICARD report. As already recorded, I had the privilege of shaping this apex barrk, UagaRO and presiding over it, in the last years of my active

career. Mentioo -uy ul.o be made of the induction of commercial banks into the agricultural credit system in the wake of nationalisation ofbanks in 1949, the recognition of agriculture as a priority sector and

248

Two Adnrinistraton : Inturaction Between ICS and

IAS

structure.

the adoption of the multi-agency appfoach. NABARD is now at the apex of the entire rural credit system. In other words, new sructures were brought into play. I have ilrawn this broad pi"t"* ," show how the existing structures for delivering ru[al credit *i." *oh"a ou". tU" last thirty-five years and how adjusttehts had to be maie r.om time to time.to.meet the changing situitions. Vigilance, flexibility ana readiness to ihnovate were the hallrnarks ofthoie that had the responsibility fcir taking the necessary decisions andt supervising in" uOroini.r.utiu"

would lead to the erosion of its con(rol. It made this astonishins statement in an affidavit before the High Court, despite the p.omisJ
held out originally under the integrated scheme ofRBI that the state,s share would be repatriated in due cotrrse. Of course, there is the

,In the same spirit, I wish to reflect on some of the concepts underlying the present system. First, I llave begun-to doubt the overall efficacy of state partnership in cooper4tives. While it no doubt placed large state funds at the disposal of these societies, it has not fulfilted the other expectations, that is, to attract large deposits from the public, particularly at the primary level and to the credibility of the institution as an instrument in the service"rrhun"i ofthe poor and the weak. On the. other. hand, it led to greater control by the state and greater politicisation. The Gujarat governmen( recently went to the extent of denying some cooperatives the freedom to repatriate the state,s con_ tribution tr-r the share capital, on the ground that such repatriation

three decades. But obviously the benefits of the reiention of funds has to be weighed against its disadvantages dnd each society must have the freedom to take a decision if the cooperative is to be worth its name. State partnership and the excessive reliance on RBI funds have militated against the growth of these societies and have led to a deplorable laxity towards repayment. No doubt, factors like politicisa_ tion and the absence of local cooperative leaders of staniing have contributed to the rapid rise in the number of wilful defaulters. However, I believe, state partnership triggered all these wrong perceptions And contributed to the eventual loss of the cooperative character. We set out to create a network of cooperalive business institutions and

general argument against repatriation that the cooperatives whose need forfunds have been growing, can ldt afford repatiiation even after

Admini strative Structures

249

with,no.respect for ended up by creating a large number of bodies ot busrness' either the principles of cooperation or the caffrons
the Registrar Secondly, the time has come for reducing the role of Originally' the RCS of Cooperative Societies (RCS) and his underlings'

the present wa, hal"a as a friend, philosopher and guide' But itr political party itr condiiions of the blatant displryof authority by the pO*"., tft" registrar has tended to become- an instnrment of mis-

interiention and a convenient facade for dubious dealings. Thedepartmentalpersonnel,whowereknowninthefiftiesandsixties for for theii professional contribution, are now using the cooperatives must now their own advancement. I therefore think that cooperatives be allowed to develop their own staff, to be appointed and controlled

lii"uo*

Act by them and to enjoy greater autonomy. The Cooperative Societies own has to be suitably amended to enable the societies to manage their
affairs as genuine, democratig voluntary organisations of user-members.

Third, NABARD is still to fulfill its main aims of extending eredit to non-farm activities, of developing research programmes into relevant technologies for rural development and of spreading the tenets and culture ofdevelopment through credit' I had an opportunity to study NABARD's activities in regard to village industries during my chairmanship of KAVIRC. I found that a few faltering steps had been taken in 1986. The thrust and leadership expected of Nabard were nowhere to be seen. It appears to have lost its origioal momentum during the Kaul years when the chairman was busy making it conform to the whims of the bosses of the finance ministry and practising the doctrine irf personal loyalty in administration without regard for the interests of the bank. His successor's style and initiative seem to have been affected by the on-going review by a special committee appointed by the RBI at tle instance of the World Bank and the rising tensions in employee relations. Since 1986, I have begun to regret my failure in
1983 to press for an extension of my

chairmaship for another two years as originally recommended by Dr I.G.Patel. I made no effort to continue as I had lost sight in one eye and was in constant pain due to glaucoma. I did not envisage then that I had the capacity to bear the persoaal iain and carry on with one eye. I should have set aside my

250

Two Administraton : Ihteraction Between ICS and

IA;

difficulties and lobbied for a three-ye{r tenure so as to carry forward the ideas that were bubbling in me, to ilirlfill NABARD's aims.
Before I have done with rural credit, I may inform the reader that the aim set before the nation in 1955 to reduce the share of non-formal

credit in favour of formal credit has According to the All-India Debt and

achieved to a large extent.


Survey 1981-82, pub-

lished by the RBI, the institutional credit agencies (government, cooperatives, commercial banks, provident funds) accounted for 61.2 per cent of the cash of rural households, while the non- institutional sector traders, relatives, friends, and other ) accounted for 38.8 per
cent. These figures may be compared with 29.2 per cent and 70.8 per cent of 1971 and 7 per cent and 93 per cent of 195L, respectively. This achievement was possible partly due tb external aid since the sixties. The World Bank had been giving liberlal credit to ARDC. I was keen that this arrangement should continue for NABARD. So, when in the middle of 1982, I learnt that some Amorican economists had begun to propagate the view that external aid tO developing countries towards rural credit should be remnsidered in view of certain harmful consequences, I was perturbed. They inveighed against low interest rates and cheap credit policies on the basis of their studies in Latin America. They argued that if interest rates were kept low under political pressure, the rural financial markets woqld get distorted, reducing the growth of deposits, encouraging defaults aad misuse of money and weakening the credit institutions. Althougb there was an element of truth in these arguments, I thought that [t would be unfair and incorrect to generalise without taking.into account the Indian experience over theilast three decades. We in India had demonstrated that through a judicious management of administersd rates of interest along with other measures like greater accessibility to banks and the spread of banking habits, deposits could be built up impressively. We knew too that capital accumulation could be accolerated in agriculture and rural areas througb cross.subsidisation of interest rates and pumping of credit for viable asset-building progra{rmes. So, I decided to conduct a discusssion meeting in Washington uath the persons concerned to countef the influence. of Dale Adatns and other economists and prepare the ground for the proposed NABARD I Credit Project. The

Administrative S trucfire

251

John Mellor of meeting took place in November 1982 with the help of not be so rash lU" lotJ*xiooA Food Policy Research Institute' I will all doubts in or p.".rrrrpr"oos as to claim that this meeting set at rest in circles that mattered. But I venture to think that I succeeded

t#

persuading the World Bank officers not to reject the NABARD propo.ul Jut of hand on the basis of the thesis of Adams and take toil". good look at it. Readers may know that some time later, the WorH Btk insisted on the appointment of an international committee to review the Indian rural credit delivery system as a condition of their sanction of aid. The committee was appointed by RBI under the chairmanship of Prof A.M.Khusro with two or three foreip members and it was asiisted by a foreigr consultant. I close the story at this point
about the recommendations of the committee and the aition proposed to be taken on them. Suffice it to say that the last word has not been said on the structural problems of rural credit'
as

I am not

cle ar

Sivaraman has drawn m1 attention to his experiences while setting

up an administrative structure for the management of an inter-state pioject. In 1957, the Government of India decided to resettle a lakh of iefugees from East Pakistan, then scattered over Calcutta, in the Koraput district of Orissa and the Bastar district of Madhya Pradesh and to reclaim a large area for the purpose. A.B.Fletc[er I.C'S'' prepared a project at a cost of Rs 26 crores. On its approval, the government created a separate administrative structure called the bandakaranya Development Authority in September 1958' It had a board comprising eight members: a part-time chairman, a full-time
chief administrator, the chief secretaries of Orissa and M.P., a representative of the home ministry and the three heads of finance, agricul-

ture and engineering divisions of the Authority. The board

was

empowered to sanction schemes .up to Rs forty lakhs. Sivaraman hoped that all was set for achieving quick results. But in fact, the work was delayed and the project began to limp to the surprise and annoyance of the powers that be. What were the reasons?

According to Sivaraman, the structure revealed several defects in practice. First, the chairman, being part time, could not play an effeciiu" putt in unravelling tricky situations and expediting decisions' Sesond, the three heads of divisions on the board felt they were equals and saw no reason to yield either to each others' point of view or the

252
counsel

Two Adrninistraton : tnteraction Between ICS and

HS

board, with the result that its. officiak hpd no sense oi purii.iputioo uoA assumed critical attitudes. Fifth, the mlnistry of finanl, which was not represented, failed to go along with the decisions of the board readily.

ministry Relief and RehXbilitation, the nare.nl

Bengal governmegt, which was r-esponsible .the .West for mobilising the refugees for resettlement ,"* not ,"pr.r.nted. Fourth,

Thir4

of the chief administrator. Factionalism reigned

supreme.

iiJrro ,"ut oo tu"

It took Government of India two precious years to discover these deficiencies and to reconstitute the board. fi"t *lif. doing so, it reduced the financialpower of the board toRs ten lakhs. What an irony to give a strengthened board less powersl The new chairman was whole-time and his headquarters r*is near the project site, Koraput. He could be specially empowered by the board. The three
was included. This entire story reveais that the basic pritcipleslf administrative structures are not easily learnt and may beignor"d
heads were kept out ofthe board and the chief secretary, West Bengal

divisional

at one's peril.

ooly

A few comments on all-India services in general and IAS in particular are in order in this sqction, as these ,"rui"", man the basic ndministr2llys structures in our federal polity. Three questions arise in this context: What are the aims of an All-India service? How has the IAS contributed to the attainment of those aims? Is there a better alternative to the IAS?
11 ur.*-". to the frst question, the following may be cited as the -. objectives of an all-India service: (i) to ensure the uniiy of the country;

(ii) to provide a uniform, impartial and efficient administration throughout the country; (iii) to attract tle best talent from all the states to the service of public administratiog; (iv) to provide strong and meaningful administrative links and periodical excirange of e"pe.-ierr"e and knowledge between the Union and the states; to make the ""J1g administration in the Union and the states equal to ihe challenges posed. by the people's aspirations and the Directive principles and other ideals enshrined in the Constitution.
Nobodyhas seriously questioned tho relevance ofthese objectives, nor has any alternative been proposed tp the IAS for achievins them.

Administrative Structures

253

which has recentThe Sarkaria Commission on Centre-State Relations particulaly i, noo" irrto tt working of the IAS and all-India services' " have bein raised by the state governments' has recomi'u!h aspects as intu o/ra, as follows: "(i) The All India Services are as much ^"nd"i, today as they were when the Constitution was framed and

""".sutyto be on of the premier institutions for maintaining the unity continue


framers of the Constitution envisaged for them'

of the country. Undoubtidly, the members of the All India Services the have shown ihemselves capable of discharging the roles that

move to disband the All India Services or to permit a State Government to opt out of the scheme must be regarded as retrograde and harmful to the larger interest ofthe country. Such a step is sure to encourage parochial tenlclencies and undermine the integrity, cohesion, efficiency and coor-

(ii) aoy

dination in administration of the country as a whole. (iii) The All India Services should be further strengthened and greater emphasis placed on the role expected to be played by them. This can be dchieved through well- planned improvements in selection, training, deployment, developmenthnd promotion policies and methods' The present accent on generalism shouldyield place to greater specialisation in one or more aieas of public administration. Training and career development policies should be geared to this objective. Disciplinary control should aim at nurturing the best service traditions and relentless weeding out of those who fail to make the grade. Finally, there should be greater coordination and periodical dialogue between the
authorities in the Union and the State Government who are responsible for the management of these services."

Some

of the new ideas the Commission has put forward are

compulsory deputation of service offrcers to the Centre to cover even promoted officers, modern and more enlightened systems of incen-

iives, advisory council for personnel administration for all-India services with participation of states, and gradual expansion of the ooncept to cover subjects like engineering healtlq agricultute, cooperation and industry.
Some critics have said that the role of IAS in regard to the unity of the country is rather limited, as in the ultimate analysis, its members cannot act contrary to the will of their political masters' Nevertheless, it cannot be denied that the IAS officers can render useful service bv

254

Commission and evolve consulting piocedures, by which potential controversies are nipped in the bud, and those officers, who act bonafide in the discharge of their duty towards the ideal of national unity are not made to suffer.
is widely accepted that the IAS has been able to bring about a . -It uniform system of administration throu$hout the country as envisaged at (ii) and (iv) above, through training, exchange ofix_ "o-oioo perience and knowledge and building up ofcontacts with thek counter_ parts in the Union and the states. There is, of course, a great deal to be done in regard to efficiency and impartiality. While efficiency can be increased by special training and an appropiiate system of rewards and punishments, impartiality has to be piomoted through other fac_ tors such is character-building and freedom from outside pressures.

Nome try to discriminate in favour of the'sons of the so[' andiiscourrg" ;ffr""., f.otaking a truly national view on crucial matters. Alth"ough these are matters which have to be handled detcately, it will be usefrl to increasingly involve non-political organisations like the Union public sorvice

natiohal uniry to tf*thg tt centrifugal tendencies based on caste, bommunal, " linguistic and other factors? Is the central eoverr rL^_ against victimisation To"rrt willing and competent to protect ..- by the centrlfugll them ^_-:, are all IAS officers able to rise above the centrifugal tendencies and give primacy to national considerationrj? Some of ,ri*t o t uu" *o.t"a outside our native states know how governments

ments- conducive

are mmbers of the LAS allc rwed, m^practice, to present freely argU_

fleir political maslsls gorrectly, keeping in view the national to of wheth"+ th"tJ";o;;! io **""tioo lj.i'::1.I$ of the state govern-""r with the affairs :espective * tt"."ot J gTu"lnrn"rrt. nut,
advising

to promoting

;d

forc.rt;ii;r;;;il;:

anduly long periods. On the other hand, it has been argued that the Centre nust have at its command compdtent and experie-nced officers to man specialised posts on a continuirig basis. Sone way has to be

It is necessary to ensure that the talents available in the all-India services are shared by the Centre and the states equitably, so as to strengthen the country's administration. One of the methods employed is deputation from the states to the Cenfte for specified periods. There is truth in the criticism that this system has not been followed faithfullv and officers of some states have contihudd to remain at the C"rrt."

f*

Administrative

Stntcarcs

255

To my mind' the best solution found to reconcile these two imperatives' specialised m" r"* bentral posts which require in respect tenure and create a special pool frlled in accordance ;i;;;;;?;""t"c out the majoritv of the posts to be maybe pointed out lt of rotaiion aod deputation' ran into rough ,il" ,it" n'Jt.ioeme, which was introiuced in the sixties though good that the schemc' weather and had to be abandoned' I feel members of theservice andthe state opposedbysome of mai'Jy due to some wong selebtions' apprehensions their deputation quotas in the states about the non- utilisation of the opposition of some inlluential above all' the motivated ."at"t, to the seat of of the Scrvice, entrenched in positions close ao posts in the states p"*". ltt ,ft" C"ntre. Also at that time, there were Government of iorop.ruUf" in emoluments to the secretaries to the to revive No* tftut the situationhas beenremedied" it is advisable the in a revised form, while simultaneously enforcing the Service ,otuiioout tenure of the deputation system' Members -of pool scheme' the Centre will not .urt ,""1i." that in the absi"ce of a periods, a process which refrain from retaining some officers for long evils' Better giu"t t"op" tot fuuouiitism, lobbying and all the attendant

il;,;t",ry;;"."ate il;il;;;t""ntinued ffi;;;ffibs

;;.t""tpl";; ;";;;#";, .".t"rt -A

iiiii. ,h";;;i*h";"

i-"u"

manipulative Practices,
are reasons As regards the third aim of the All India Service' there a premier service, lt.has to tniot tf,at atthough the IAS has been called best talent from different baikgiounds i" atlacting the "ot "t"*"a"a in the past that as the bdst and from different states. Some have argued needs to be dovn-graded and talent is not being attracted, the service matter',What is needed its scope li-ited.-Thi. i. u p"*"'se view of the

"

f16s lsign to .vr,"rn of selection, however imperfect' th'an give

i. to i"*rr.ia"r

the scheme of remuneration' conditions of work' changes to oppoauniri". ofjob satisfaction' etc'' and make necessary taken by the aitiact the best talent. Fortunately, some action has been Cou"rrr-"ttoflndiaontheseissues'Oflate'engineers'doctorsanda have opted lurg" nu-b". of women with high academic-qualifications not Gad to complacency' All right-thinking ioioin tie faS. fnis should in a federal o"i.oor. who believe in the efficacy of an all-India service

[i-to *a

above the continued validity of the aims and objects listed

256

Two Administrators : trnteructton Between ICS and

IAS

*^::11.1",.*rything necessary to. facilitare the legrtrmate share of the best taleni avaihuUt" io ti"
development

IAS gerring its


v.

under th, rhere are divergent opinions. While some_ nryitefs and on public administrarion have said that the moder, to which the IAS largely corresponds, is not suitable, soJe others have argued that with appropriare training

fifth question of suitabillty of the IAS .On.rhg for the tasks of modernisation and

"-o-uot

a";;;;;., wrb".; "";;;;;^ ;;;u;;;lic


u"d

of uarioiri."tors prove hs well as f".""p,ion. or :l:1.,".o-.::ili"" several who have studied the experiencds of IAS officerl are tnat while some of them are not suitable for devplopment administration even after training, the majority are. Further, [t ii not

and skills required for these two catqgories are mutually exclusive. Judging by Sivaraman's and my own gxperiences, this conclusion is wrong. When more such instances are presented, the usual retort is that they are exceptions and the generh'l ,uo

,*" [.""J*"g"-.-l*, iu* o.d". or maintenance of the routine administration "nA uiJ a"u"fop.".r, uaministration. This dichotomv has led rhbm to tfri* ifr"i ifr" f,"owledge

be made equal to the chalrenges. The fiFst set are tasks of public administration-ina

".i;;;";;ih-" r"*i"" *o inclinedio aiviae


tre

My.:y. p".""p1ioo

ii"

co;;;-;;;;;;;;;

laid on professional I1id-""r6", anJ training in _training, management' Recently, the Governmenfi has "ou.."r, announced its decision that every IAS officer should undergo a week,s refresher murse, irrespective of the position he or she holds and that such a course will

a cog in a machine. As noted earlier, an attempt in this direction was made in the aftermath of the Administrative Reforms Commission but the Government of India wisely rejected this upp.ou"t, n_phasis was

boundaries of a legal and orderly frgmework. an aJ_inistrator entrusted with its maintenance will give a better account of himself if his links with development are fosterid, not when hei, downgruOea as

wolks h3 led to the neglect of land reco.ds and the slack implementation of land reforms by the district administration. Modernisation as part of development is not carried out in a vacuum but within the

::.j?:1"9:Y:* administration of revenue law is inefricabty tinkea wittr various aspects of rural development and each subjeci has serious repercus_ sions on the other. I have noticed that overLmphasis on Jevelopment

law and order and development. For example, proper

Adm

in i s tra tiv e S tru c tu re s

257

put in 17 years of service and are be compulsory for ofhcers who have to the.rank of joint secretary.or commissioner' I would like to caution that while these decisians are to be welcoked, pt*f"e, training should not be reduced to a ritual' Governf" is properly ensuie that the institution grving the training etc' provided' I can the facilities for study, reflectio4 "fl of my experience as Eisenhower Exchange Fellow testifu. on the basis cotu'ui" universitv course' how very beneficial in mid-career can be to the members of the service'

il;i;?;;il.otion
l"J ;;;l;.i" ,J*"J, *ft

#;il;;i;irc
.u"h t."irring

under S/r'ess I may refer in this context to the book Bureaucrats 'by Press' Berkeley and I.os Richard P. Taub(University of California empirical study' in Angeles, 1969), wirich presented the results of an 'DA-A+, of Orissa' with parof tn"' adminislrators and administration ."f"t"""e to the conditions in the capital, Bhubaneswar' While ,i"uiu. commentators on summing up, he criticised the obsession of most in developing societies with \he question of

p"iii"

the need "attf.ttration accountability of bureaucrats to politicians" and emphasised nthe question of fitness ofbureaucratic organisation to concentrate on point out that the to accomplish development task'" He went on to nmarkedly uuto", unA attitudes of IAS offi""t. in Bhubaneswar were
osomewhat

out of different from those of the populace," that they were *u"i U,ft ,ft", populace" but ihat "the inllicted distance between them for the accomplishment and the people was not necessarily detrimental the fulfrllment of the modernisation process' of deveGpment task and

'

Jm n,n"it ittlerent difficulties such as gaps in communications and limited resources "Seen in this light,' he wrote, "the IAS has

remarkably well." Although he thus recogr:rises the conand even tribution of the IAS to national integration, policy-making possible"' he conisocial overheads needed to make modernisation would also cludes: "ft maybe doubtfulthat anybureaucratic framework ."""""a in piomoting agricultural development, manufacturing and changing the distributingiertilisers, pioducing steel, mining ores and people. However, it is highly unlikely that the social attitudes of the IAi i. going to t"t limits for itself regarding those tasks it can perform that ,fti't it lannot." He ended his book on the gloomy prediction "J the bureaucratic organisation (meaning the IAS) contracts' the "unless and frustrated administrative apparatus lili collapse" and 'thr hungry

f".tor-"d

Two Administraton : Interaction Between ICS and

IAS

ljfnle" statements,

wiU try.n to demagogues. Thede is an element of truth in these

Two decades have passed since these woids were written and the administrative system has shown in tni, p.rioa roma"r, ff""iUifiry _a to equip.to some e*tent the bureaucratic organisa_ methods and attitirdes ltusrrgh training or other.,'t:^lT: l:*..ols, wise but also to hive off some acti to new forrns of organisation like corporations and man them with otfrer types

although the picture drawn is rather exag;e.ated.

::*::*.::::nly

ofwhom have also been inducted into gbvernme"t

of India is ,ro longer based oo undergotre, and is undergoing several changes, some good and some taa, while keeping th""t"n t111i",., ".."otiul clearly defined hierarchy of ifn".r, (ii) clearly ",.r"y,"(i) .,Funeo sphere ol competence in the legal sense, (iii) selection (not election) and appointment on the basis giprescriUed quAin"atiorr, ilg a contract r"l relationship, with rules relating to resignatioq termina_ tion and.other conditions, (v) salary s"gtes ild p"oiioo according to rank in hierarchy, (vi) subjection to authority L one, s official benauour onty, (ur) a career, (viii) the office being the sole or at least the primary occupation of the incumbent, (i$ non_o=wnership of the means of administration, and (x) strict and sysfematic discipline. Major changes brought about through the pressures of democracy ae-v.e_toryrynt may be noted. The fif-st two principles have had to .ana be m odifie d for the purpose of coordination. While sel^ection continues to be. the dominant principle, there is increasing clamsgl for spme appointments (not in the IAS,1 to be made to satis$ elected leaders and the entry qualifications fot the IAS. The sixth principle for lowering has been expanded to cover non-official or personal conduct in such circumstances as are likely to influence the conduct of official duties. An officer's career at certain levels is now increasingly being subjected to the criterion of merit rather than seniofity. As meit, Iite fatherloo4 is n-ot easily ascertainable, it is open to abuse. The ninth point which was introduced by Weber to distinguish the bureaucratic arganisation
-

I organisation I "t,",",.,',n: model. It has trre weberian

oip*fJrjorra., .o_" i"furt^.rrtr. ffr"r" -uch more to be do"" il,n"." air""riJ,i. nlut on" tuiog :t^T_"::": :. bureaucraric

from the practices of a feudal society, h4s become thejustification for peiiodic transfers of bureaucrats so as to prevent theL from making undesirable connections. It is unfortundte that this principle is noi

Administrative Struchoes

259

"ra i"ra".;a

politicians to show their power being abused blatantly to enable the !"* a make money. This, -ote fhao any other single factor' has

l.""i"p-"" ;;;A i** i" ift-g" ** ..r"ot"i us an infringement of their prerogative' Once' IDBI it transferred the
*i

carrying on their ,fr" Urreaucracy ineffective and incapable of it I recall how the financial institutions had found oftransfer ".f". to stipulate that state governments should not without their consent and how this of certain schemes

nfraa funds to Maharashtra government when and- relented only .unuging ait"ctor of the state fin-ancial corporation -had made sure that the successor was equally competent' *h"r,"it in Madhya Si-ilurly, as ct uirman, NABARD I once told a conference ministers, that while it was the Pradesb, in the presence of state prerogap."rogutiu" of the government to transfer officers, it was the event of a breach of the iiu" oiNegARD iot to release funds in the

to understand condition of sanction and the wise course was for both Public thi, urrd subordinate their rights to the needs- oJ the scheme' governments administration needs some continuity and stability and transfers, under cover of the Weberian should therefore avoid frequent principle or their penchant for displayrng power'
years with The IAS, aswe know it today, has been built up over the When it was first mooted as a successor recruits from different sources. important Congress leaders like T' Prakasam of Madras to the ICS,'.e.lrvations and wanted to develop the provincial ad"*pre.red services instead. But for the foresight,determination and ministrative into iact of SardarVatlabhbhai Patel, the IAS would not have come been who had teing. Ue started the IAS with war service candidates to the ICS' Next came the officers of provinfourri fit fo, appointment ."*i"". wio held the fort when a large nurnber of British and "iul Muslim officers left the country creating many vacancies' Special from the schemes were announced to induct olderpersons

recruitment exopen market. Although regular recruitment through competitive it was rightly decided not w"r" ,1-196 i-iediately in 1928, "irinutions numbers of young men belonging to. the same age group' take large to e, u ,"ruti, for several years, IAS cadres looked like, motley crowds' iu"ting no*og"neity. elthough different backgrounds of the officers

.uiJ to Uu" brought to administration a rich variety of they stood in the way of the IAS developing a distinct ""p".i"rr"",
"oofa

"U"

260

Two Adntinistratorc : I&eruction Between ICS and

IAS

ties.

of vacancies filled from scheduled castef and schedulJiribes on the basis oJrelaxed standards, the situation is noifree r.o.iiii"urti".. nut as all these requirements flow directly from higher policies of national integration, it is everyone's dury to find ways aid ,nlanlio wera al tr," members into an All India Service with its own p".ronutity, p.of"r_ sional attitudes and behavioural charaCterisrs, in ;pir;;f the difficulof

U"_ come the only source of direct.recruitnient. "*i.i-nuCoo Even oo*, +O p.r""n, vacancies reserved for promotions frorfi state

personality of its own. To build up es1)it de corps, brotherhood and a code of conduct befittine a premier Alll lrdi" nor easy in these circumsrances. Th-e b" ,"iJ;;;;;improved in homogeneity only recently after

*d."..u,

d".ri;;;;

the compeiitive

*ii,

fru,

servi"", aoJu ou-b".

intellectual contributions. Is enough being done for making these contributions known to the wider public? In this connection, mention may be made of Prof p.N.Mathur's survey of the intelleciual achieve_ ments of Indian administrators. I would submit that all these develoo_ ments should be taken note of in delineating the image ofthe service.
the members ofthe service have. Its ouiliues are first drawn durins the

although in the Centre, this practice has been stopped. I must add that the image of the service depends not only on the iositions occupied by its members but the general perceptidn of their professional and

members of the service. More important of them are: secretarygeneral, International Maritime Consultancy Organisation (IMCO); member, Planning Comrnission; comptroller and huditor genLral of India; chief election commissioner; governor and deputy govlrnors, Reserve Bank of India; and central vigilance com-irsiolei. at the state level, the lati) Yr,r, urg IAS continued to provide chief executives for public sector undertakings

positions in the state governments came to be occupied 6ythe members of the service somewhat earlier. Some other imporiant positions, which are not in the_ direct line of promotion for lASihave also been filled by

service hierarchy, cabinet secretary to the Government of India, and another took over the most influential post, Secretary to the prime Minister.-It took 33 years for IAS to ieach this staie. Thehighest

The IAS can be-said to have reachqd its peak in 19g0 when one its members was appointed for the frst timeio the highest post

in the

Equally important for maintaining tnorale is the self_image that

Administrative S tntctures

261

and sharpl training at the National Academy. They acquire precision the ladder of ad,r"r, u.",h" officers sain experience and climb up he nust ministration. When the probationer iteps out of the Academy' of his have the image of a knight well- cquipped with the instruments profession and ready to meet the challenges of the world with courage' has dignity and ski[, behtting his investiture. So, during training, care do not impart, along with to"be iaken to see that the older colleagues professional skills and knowledge, their bitterness and.cymcism' It is iesirable that the young ofhcer is encouraged to cultivate a certain degree of idealism,tdespite the difficulties in his path. When he comes face to fa& with the realities in the field he is more likely to strike upon the correct approach if he has some idealism to start with'

The first posting is usually as subdivisional officer' I would consider this a training assiguent that provides opportunities for making mistakes and for learning from them. There is a controversy about making him a district collector and magistrate directly in the sixthyear' on qualifying for the senior scale. Some think that this is not suited to modern conditions, as the present-day collector is called uPon to perform a highly, complex set of duties and must, therefore, have greater maturity and experience. I am inclined to agree with this view and favour a stint in the secretariat as under secretary or deputy secretary before a district charge, Nevertheless every member of the service trains himself or hersdlf for the post of collector and must be given the earliest opportunity to fulfil that role. What is the self-image of the present-day collector? Is the system allowing him to develop enough self-confidence, to plan his work without interference and to discharge his functions to the satisfaction of himself and the people of the district? He is not to look at himself
whose tenure is short and uncertain, whose initiatives are subject to political interference and who nevertheless is required to achieve predetermined targets. His biggest task is the coordination of efforts Ly different departments and agencies who have a tendency to pull in different directions. Generally speaking, a collector needs six months
as one

to understand a district and its people, another six months to plan his work and at least one to two years to realise his plan and achieve results' His ability to coordinate also depends on his informal relations with his colleagues in the district and these cannot be developed over a fpw

262

Two

Adminisaann

: lnteruction Between ICS and

IAS

weeks, under the shadow of an uncejrtain tenure. The.importance of correcting these practices cannot be oyeremphasised. However, I must share my wonderment during my toutrs as deputy governor, RBI and chair_man, Nabard in th" at the manner in wiich several young "irtr,t", ottrcrs were carrying out their dulties as district collectors witi idealism and devotion, despite the inqeasingly unfavourable environ_ ment. Trury they are the hope of IAS, the hope of India.

At highei
of

secretariat' the image that an officer prlojects

levels, such as heads of departments and at the


is

getting along with others. He must appfeciate that he ii in a competitive environment and can succeed only by sharpening and deepening his professional skills. Officers in top positions view themselves mainly as advisers and participants in the making of policies. With their capacity of visualising events in advance and of deriving common concepti from apparently diverse facts, they must harrc the freedom to advise without fear or favour. Ordinarily, they do not mind whether their advice has

ability to monitor and supervise and agove all, tact. As one goes up the hierarchy, he will come to realise tfrat while his position has the trappings of authority, real power lies.in knowledge and ability in

regard for de{ail, concern for field officers, .man-management,

one of attention to skills

been accepted or rejected, provided their political masters take responsibility for their decisions. But of late, they are finding their
freedom to advise curtailed and their pqlitical masters unwilling io take responsibility. Often they are discouraged from recording their views in the name of avoiding unnecessary paper work but really for the purpose of saving the political masters from future embarrassment. My experience shows that the officer concerned will avoid 4 lot of trouble for himself by going on record.

I have often asked myself whether [he members of IAS have done enough to project a proper image an{ to protect themselves against motivated attacks. Is there a role for tlieir Association in this regard? I have narrated two instances in wlich {he IAS Association tried in the past to focus attention on this aspect. While in the first instance in 1951, the attempt was well-received, in the seCond in 1.974, it was thought that the attempt should not have been mader This, in my vieq is not the last word on the matter. The IAS Association will do well to ponder on the manner in which other professional groups harre been asserting their

Adtnini strative S tructures

for rights and duties, their image and role and t9 "u9lu: methods up a It should set
saieguarding their position under the Constitution' loai"o*ititg of some highly respected IAS officers w-ho have retired aloig with some serving officers, to act as the custodian of the IAS tradiiion, image and personality. Self- regulation and self-protection are widely accepted methods among professionals'

Administrative LeadershiP
Most of us in the Orissa administration had always viewed
Sivaraman as a leader, not merely as a senior officer with the usual trappings of office and authority. Several outside Orissa also thought of him similarly when he shifted his scene of activities to the Centre' What are the qiralities that led to this perception? I shall reflect on this

matter in this section.


i-have recently come across two articles in the Economic Times of Bombay (page 9 of the editions dated 9.8'90 and 13'9'90)' The frst one was written by K.R.KMoorthy with the title "Leadership most talked,least understood" and the second one was contributedby Harsh Puri on the same theme, with the title, "Competencies and beyond'" Theywere mainly concerned with highlighting the differences between *anaging and leading a business firm. I feel that the points made therein are equally relevant to public administration. "Management," Moorthy writes, "is the art of organising people and things to produce and achieve objectives. Leadership is the ability to inspire other men and women to achieve things much greater than they would have done if they were left to their own devices." He goes on to cite authorities on

business management, such as Peter Drucker, Abraham Zaleznic of Harvard Business School, Robert Heller of 'Pocket Manager'fame, Dr Blanchard, Cecil E. Goode, Prof J.E.Adair and Jay Hall' Puri cites David W. Bennis, who summarised what he called'the competencies of leadership' as knowing what is wanted' communicating the intention

266

Two Administraton : Inleraction Between ICS and

IAS

in a Table which is worth reproducing.

successfully, empowering others and kn{wing when and how to stay on goes on to set out fi]ve competencies ofleadership 9ou1e91change, He

'Table I : The five competedcies of leadership:

1. 2. 3. 4. 5.

Vision. The capacrty to create an<[ communicate a compelling vision of a desired state of affairs, (o impart clarity to thisvision and induce commitment to it. Communication and alignment. The capacity to communicate their vision in order to gain the support of multiple constituencies.
Persistence, consistency and lbcus. The capacity to maintain the organisation's direction, especially when the going gets tough. Empowerment. The capacity to credte environments that can tap and harness the energies and abilitieb necessary to bring about thL desired results.

Organisational learning. The capaoity to find ways for the organisation to monitor its own perfofmance, compare results with the established objectives, have accdss to a continuously evolving data-base on which to review past actions and base future ones, and decide how, ifnecessary the organisational structure and key
personnel must be rearranged or abandoned when faced with new conditions (reviewing and learning ftom one,s own mistakes)".

Puri's article also contains another'I'able showing the differences between the manager and the leader. This is also reproduced below: "Table The manager

II

: The manager vis'a-vis the leader The leader

'

(a) Concept of Work


Seeks change

Vaiues tradition Instinct for survival dominates need for risk

& new ideas

Accepts risk where opportunities & rewards aro high

Admini s tra tive Le a de rshiP


Delegates freelY
(has faith in PeoPle)

267

Delegates cautiouslY

Analytical, methodical Maintains control over


people and ideas Reactive Identifies totallY with the organisation

Intuitive
Encourages autonomy Proactive

Works in the organisation but can stand outside it

(B) Goals
Arise out of necessities Deeplv embedded in history 'and culture of organisation
Strategy assumes more imPortance than the goal
Focusses on strategl,

Arise out of desires


Focus of goals is on the need to change Strategy is the means to a

goal
Focusses on stYle, staff, skill, and shared goals

structure & sYstems

(C) Relations with others


Relates according to

ive & emPathic waY roles \tiling to risk losing.if Prefers high probability rewards for winning are of wiining & low possibi' high lityoflosing

their

Relates in a more intuit-

Communicatestlosubordinates Communicatesdirectly

indirectlY through the sYstem Attracts strong feelings Perceived by others of identitY detactred (& at

as times

manipulative)
Conserves what is

Exerts influence for


change

traditional & current

is interesting to note that among the writers on management' reluctant is Peter Drucker is the only one who, in his own words' "very I haven't seen any such to talk about qualities of leadership, because performance of thing." He prefers to use ihe terms behaviour and leadership cannot be leadership rather than qualities' He 'thinks that

It

268

Two Administratorf : Inleraction Between ICS and IAS

created, promoted, taught or learned, At the most, Drucker concedes that management can create conditio_ns in which potential leadership qualities can perform and become effcctive, while adding that it may, under certain circumstances, even stifld potential leadership. On the other hand, the other witers on management assert that studies of leaders reveal useful information on lea{ership qualities and may feld valuable guidelines for action by rrruo"g.r, *jiriog to become leaders.

what a leader does; the situational or Contingency approach which


speaks of the features ofthe situation including the times, the work, the colleagues and subordinates that allowed the ieader to firnction effec_ tively. In my view, a combination of the three approaches is necessary

may be identified: the trait approach, which laysstress on the persona^l characteristics of a leader; the behavioural appioach which emphasises

Broadly speaking, three approaches to the problem leadership of

to understand a successful.leader. The Foundation for Organisationil R esearch and Education (FORE) has recommended that in the Indian socio-cultural milieu, a manager aspiring to be a leader has to adopt, what is called a 'relational, style with f6ur C's, viz., commitment to mission, credibility, creativity and communication.

Leadership may be defined as "the process of inlluencing thc


actions ofan organised group in goal setting and accomplishment, also as an influence under which the followers accept willingly the direction

and--control of another person or leader." As regiids leadership qualities, there seems to be a consensus on the following points:

1.

A vision and a powerful inner drivd or motivation for


fulfillment.
Mental, emotional and physical maturity.

personal

Greater intelligence and knowledge than the average of his fol_


lowers.

Integrity or the quality which makes people trust him.


Self-assurance and willingness to takg risks.

Admini s trative Leaders hiP

269

6,

Awareness

of the importance of cooperative effort in

getting

iftitg. A"*

"tathe other social skills.

need for delegation, good communication and

'1. A oarticipative

style of functionin-g often involving subordinates inclucles encouragein iecision-making, and building a team' This failure syndrome and to take ment of subordinates to get ovei the reasonable risks. Setting an example or practising what is preached'
in public These qualities are undoubtedlyas essential toleadership as in business management' There is, however' one

8.

administration boss and difference. While in management the leader is often his own in administration he has to reckon with iu. g."ut", freedom of action, ii, p"otiti"ut .utters. Under a parliamentary system of government' the leader of the bureaucracy has io function in accordance with thewishes to the of the ministers and can display his leadership qualities, only of the ministry' extent he is allowed to do so by his minister or the head Thus a new dimension is added to the attributes of administrative political leadership in the shape of harmony or good relations with the adboss. Greater the confidence the political boss reposes in the greater is his effectiveness' A great deal ministrative leader, the of depends upon the circumstances of the day and the temperament much Sivaraman could achieve' the politicians. We have seen how when Nabababu and Biju Patnaik throughout thefu chief ministership and Mahatab in his first two terms, reposed full confidence in him' Many persons, like me, have been influenced by him and inspired
above to share his vision, emulate his example, adopt his methods and his protection. As a close observer of Sivaramarl all, take risks under I can testify that he had all the eight qualities gleaned by management ,".-arch"rs from the lives of leaders of the business world as well as

the capacity to forge reasonably good relations with his political

masters -oit of the time. There were, no doubt, occasions when the very fact of being the leader of the bureaucracy and having the very qualities inhereni in that leadership brought him into conflict with the

politicalexecutive.Circumstancesandhisownintrinsicmerithelped irim surviu" and stage a come-back as an administrative leader' Later'

inNewDelhitoo,IndiraGandhianddifferentagricultureministers

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Two Administraton : Ibteraction Between ICS and

IAS

and in the states with a in the policy towards national 'growth and increased productivity all lound inih" ,uiJ ,""to.. Wf,"n one pauses to analyse how an officer Of the All India $rvice got this f": such a long period at a time when there was general musrcal cnarrs rn manyposts held bythd senior officers, one cannot but become a believer in a predestination a benign prouid"n"".,, 4nd

as providential. He re1s,.r'om rzn-Mav rs; tJiist"rrau.cn Dzs, r f:t"j',-l:'-t::'if had a leading part Iin shaping agri policy and helping at the Centre

allowed Sivaraman to put his lear attainment of cherished national Sivaraman has described these

in the field of agriculture.

abilities into action for the

lltl.jilll

I tried to obtain

possible who had the opportunity ofintoracting wiih Sivaraman during t his long career. A few of the replies I havereceild are enracted below, , with a view to show how they viewed him, even at this distance of time. The anecdotes theyrecall illustrate some of the qualities that made him
a

the perceptions of as many of the officers

as

leader.

R.K. Rath IAS, had his first contact with Sivaraman as collector, At first he became his avid follower. Says Rath: ,'Thereafter I received such affection and guidance as I have not received from any other civil servant till today. Instead of trying to be left alone, I looked forward to his visits to the district which became increasingly frequent. It was patent to me that the widely held view that Shri Sivaraman was a perso{r of fixed affections and an_ tipathies was wrong and that theie were very few people who were equally prepared to change their opinions u.ioon u, they found that their earlier opinions were not based on correct information.
when Sivaraman had come to inspect his district in L962-63. was apprehensive and resentful of the visit but

explored new areas where it could play a creative role. If he found someone who had the stirrings. of restlbssness, he was immediately drawn to him. If someone carried an adverse ieport against such a person,the report usually elicited severe disapprobation ind its carrier was told to mind his own business and, if posiible, emulate the person

for growth, for alleviation of poverty. This restlessness was accompanied by, a very active imagination which relished new ideas and

"I also found a certain restlessness in him

__

restlessness for change,

Adm ini s t rativ e L

ea

de rs h

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271

situations in he was reporting against. There were several difficult would have acted differently zind less satisfactorily *fri"t I "".t"ir$ his guidance, support and encouragement' Whether received
had I not

*u, ugri"ultural development, or law and order,-o.r.work connected *ith r"u?t u" udministration, onewas sure of his unfailing support' This
it
guu" on"

freedom of action since one knew that he would "on.iderable anything he did in good faith'" Recounting an i"u", b" let down for incident in which Sivaraman, as agriculture secretary in the Centre in a staked his job for foreign exchange allocation for fertiliser input Morarji Desai, the finance minister, he telephonic conversation with adds: "I happened to be present in Shri Sivaraman's toom when this conversati;; took place. Since then, I have put in about twenty-five years'further service and have seen how, duringthese years, an increasing number of civil servants have come to be possessed by the desire to*hold on to coveted posts and to avoid, at all costs, a transfer from Delhi or state capitals. Shri Sivaraman's example is fast becoming irrelevant in the emerging civil service culture, but it reaffirms the truth of the Upanishadic dictum, tena tyaktenabhuniithalt (itisrelished after it is renounced). Truth is not necessarily synonymous with majority attitude or majority conduct. It is greater and sometimes, different'" Rath became secretary to Government of India in 1990'

Gian Chand IAS, who as deputy secretary worked closely with Sivaraman in the preparation of the memorandum to the Finance Commission 1956, as joint secretary in connection with the Paradeep
Project in 1961--64, and as managing dLector, National Seeds Corporation in 1"967-71 writes: "He was not averse to deal directly with officers atjunior level once he was convinced that it was the effective level and it will be no avail to involve officers at higher level, especially, when

important mattars concerning the State were involved"' this was another technique Mr Sivaraman employed by which he motivated the 'workers' amongst the officers, while leaving the 'non-workers to
pursue other tasks. In other words, he was able to discriminate between iasks which could be left to'routine handling' and those which could not be so left. The latter tasks had to be accomplished by encouraging handpicked officers to deal directly with them, cutting across layers of official hierarchy, thus lending a measure of elasticity, to an otherwise

rigid and 'non-performing' administrative set-up". Gian Chand's

272

Beween ICS and IAS

varieties programme in the states, Gian Chand speaks of Sivaraman,s usual knack ofpassing on his vision and enthusiasm to all those whose cooperation was necessary for achieving the task which he had set out to achieve. Gian Chand retired as chief secretary Orissa.

mid*ealoadings ofJapanese ships, proposed to tr'ib" tii captains of those ships and obtained th" appiouut oi nilu, Sivaraman resubmitted the file with the following note: "I am, sure when Chief Minister ap_ the prop_gsal he would have done it by way of a joke. Chief 319v.ed Yini:t:r may see.,' Biju saw and returrred the iile with his sigrature, signifying agreement with Sivaramaq. Thus the leader of the ad_ ministration prevented the incipient public criticism from becoming stormy and dangerous. Referring to the spread of the high yieldin!

reflections on Sivaraman's role in thle paradeep project have been recorded in an earlier chapter. His m:lin point r eLUr ucq ur eanter m:fin is it that *.lfr;i" *,,,",.-,-patnaik, while Sivaraman ", shared the vision of Biju he dii not .".uio'u ui.ionu.y lut reduced it successfully to administrqtive ,u.rc *Jt"pi the entire operation wirhin the limits of public pccountabilirt. i;;* iffrance sngineer, paradeep, in his anxiety to sieea up the LO,"l ln: "1"t

panchayats and provided administrative leadeiship as commisioner, northern division. He also speaks of the circumspection and readiness to reverse orders that he might have passed earlier on incomplete information. As regards the second aspect, he cites the examples of Bepin Mahanty of Orissa and Dr Mondhl of Delhi who were about to become undeserved victims of vigilance cases. Dr Mondal, Mitra is proud to add, has since blossomed into a scientist of international repute, V.S.Mathews IAS, who was known for his flamboyant and osten_ tatious style ofliving and had to leave the post of chief secretary, Orissa in 1975 under unpleasant circumstances, describes Sivaraman as ,,the

had the ability of grasping the technical details of a development programme like the inland fisheries development through gram

adviser to the central government was no respecter of persons on the basis of position and was often frank to a fault. Lookine back on his association with Sivaraman since the fifties, he recalls h-ow the latter

GN.Mitra, who began as fisherie$ inspector in Orissa on a low salary but had a meteoric rise to the position of a consultant to FAO, after holding positions such as director offisheries, orissa and fisheries

Admfutistrative LeadershiP

273

and adds: "I most remembered chief secretary since Independence" of intellect' leadership came to know of his many exceptional qualities administrative ability rather belatedly' little
bv

-J-.ia"fv ""t"owledgei littl" aid ou"r a long period

of time' Thiswas because Mr Sivaraman

not impresiJ".r"ntiuffv u .imple-rran with a simple style of living and given to tomtoming his achievements' sive or flasn'y at firsi sight, and not i". o. ii.ptay of fower. Hewas a calm and silent operator greeting "Uiti*i n u .*i1", *hi"h *ould disappear if you were wrong' While he y"" iuu, f"ut"a and respected by his junior colleagues, he- was readily were accepted as a guide and mentor. Brashness and rude behaviow alien to his basic nature."

K. Ramamurthy IAS, who retired as chief secretary, Orissa and presided over the Orissa University of Agriculture,and Technology'
^Bhuburr".*u,

after retirement considers Sivaraman his guru' He says: possibie' "I have tried to follow in hii steps in administration as far as I consider him as one of the best administrators India has produced' He is also a man with a large heart and sympathy' He would try his utmost to help whosoever approached him. He was a great executive who could command the loyalty of his officers by setting a good example personally and also solving the personal problems of officers
as

far as possible."

B.B.Nag a deputy collector who worked as civil supplies officer and deputy secretary before his promotion to IAS recalls the conference of CSOs held in 1948 soon after the merger of princely states
in Orissa. When the proceedings of the conference was sent to Governor Asaf Ali, he returned it, with satirical and caustic remarks in the margin while hailing it as "one ofthe best recorded proceedings I have personally com-e across." Against the decision that the CSO should fair practices by supervise procurement of paddy and rice for ensuring the purchasing agents in regard to price,quality etc', the governor notei, "How is this possible when CSOs move about in purchasing agenti' cars!" Against the distribution of textile material like dhoties aid sarees in the scarcity pockets ofrural areas, there was an exclamation, "Only unmarketable stuff, I guess!" Sivaraman rose to the defence of his subordinates and submitted a detailed note highlighting the inherent deficiencies ofthe system such as the meagre pay of CSOs and the refusal of government to sanction them car advances' He argued

274

Two Administraton i Interaction Between ICS and

IAS

confidence and loyalty in them.

lengths to which Sivaraman could go ii" support of his staff and inspire Nag also remembers with fondne$s Sivaraman,s exertions to make

sounding 'a word of caution' which ,coming from above, he saij, 'should not be received with impulse and eriotion., This

nised the excellence of the work done in the conference but

department was not to get the impres$ion that merit did-not necessarily Iead to. recognition. The governor in reply assured him that he recog-

contained an analysis of corrup_tion hnd suggested ways of dealing with it. It also pleaded that all these issues siould b. goo" into if the

was unfair to make insinuations withoirt "t establishing thalundue favours had in fact been given in return for tfre use of the"c'ars. The oote also

for the visits of ministers and the goferno,

that the instances in which CSOs usEd the cars of purchasing agents were few and occurred mostlyin coillection with _u[iog1..ung"."nr,
sfro.t no?i"" and that

it

*u. ojy

shows the

him comfortable on his sudden transfer as textile liaision officer in Ahmedabad in 1947, despite his initial reluctance, and his fatherly admonition: "Look, as I can see, you have taken service as your profes_
carpenters in his skill and performatrce il he is to prosper.,, These words, Nag adds, "kept ringing itr my ears as I drove back to my office arrd later,.intermittently, have stirred me time and again." The theme
repeated by Sivaraman to one and all who had occasion to work with him. K.S.Raghupati IAS, who retired a8 labour secretary, Government of India, recalls what an American Sepretary of State for Agriculture
sion, having nothing else to fall back on. That being so, you musfalways try to excel others in the profession, as a carpenter must excel other

that every serviceman must have ptide of profesiion used to be

said, during his visit to London in the sixties when Raghupati was economic minister in the High Comrrlissioner,s offrce. He remarked that I'few administrators have got the best out of scientists and few scientists have got the best out of administrators and it is a meqsure of the two men that Sivaraman and Swamlnathan brought 4bout what has come to be called the Green Revolrttion." Himself an engineering graduate, Raghupati also refers to Sivfiaman's attention to detail, his mastery ofthe technical aspects ofirrigation and his method of trainins through cross- examination, all of which had made a deep and lastini

A dmin i s t r ativ e L e ade rs h iP

275

under him' Speaking of impression on him when he was collector the time of his mother's Sivaraman's timely presence and assistance at it 4".,i Sambalpui, Raghupati says how personal and comforting is ", ;;.. H" adds: "ti it is hi; ability and acumen which one,admires' it to a tribute ili.'f",""*fy ft"man side which binds you to him'"-This is leadership' ingredient of Jiuuru-urrr"h.rmane qualities, an important
fellow-juniors attendassistant collector reports how he and two ofhis resat luri were entertained at lunch at the posh ing u "orrf"."n"e found them tairant in the BNR hotel for three days by Sivaraman' who eating place as they did not have gruui uiog ,o*urds a cheap roadside ,o go elsewhe,e. Sivaraman madb it all appear natural' I*rgU and special' This human side of Sivaraman's

K. Srinivasan IAS, who came into contact with Sivaraman

as an

ti.*v

while"acting i"n"iout inc-oripelled admiraiion and loyalty, a leadership quality "iuru"t". deed.Srinivasanalsoremembershowlaterhe,ameredeputysecretary with the was picked specially by Sivaraman for the work in connection an earlier finarrce Co-nission, in the same manner as Gian Chand on association are full of opportunities for occasion. His memories of this fondly learning, encouragement and gratitude to the leader' He congratulated him after ."..-6"r. unother instance when Sivaraman Project their joint meeting with the Planning Commission on Paradeep by Trivedi' where apparently-srinivasan's report was severely criticised me-bei of the'Co-mission presiding over it' Sivaraman had the that the member was criticising the ferspicacity and foresight to see i"port fot ihe sake of fo.- only and was really asking his aides to reivrite it somewhat differently to the Centre's requirements'
T.N.Saraf who was appointed to the IAS from among the ex-state personnel and rose to be a close aide and confidant of the director to general, FAO writes that although at first Sivaraman was an enigma f,im it soonbecame clear that "Mr Sivaramanwanted you to workhard' your were miserable' do yourjob well, and ifyou did not, he made sure ifyou did a goodjob he would give you humiliaied and shouted at. But forces one of his rare smiles, help you and listen to you' His motive advice after a thorough weraprobity and hard *oii. Off"t the best impiement examination of the problem and when a decision is taken' ir*irh uigo.r. *d spied. Working under him mea'tf an education which about the no traini-ng course could give you. Even a whiff of suspicion

276

Two Administrators :,Interaction Between ICS and

IAS

carries with him the unforgettable scene when Sivar"-na was stunned with grief and shock at the death of his wife ou the train to Delhi in May 1965.

received and how Sivaraman displapd all his clarm and friendliness at the party he gave in his honour on that occasion. He arso

He recalls with pride how Sivaraman'[ address to FAO council was

integrity of an offioer would seal his {oom as far as Mr shivaraman was conc-erned. He represented the hfuihest ideals of civil service.,,

eKerior."

"You could see," he adds "how humanhe was under that grim and rough

Justice B.C.Das who was law secretary during Sivaraman's tenure 'An ideal administrator, so rare these days, who alone could effectively counter politically motivated policies and actions of ministers and politicians, likely to. result in serious mal-ad_ ministration, even at the risk of incurring their grave displeasure. An anxiety to dojusticeand a clearjudicial bent of mind were often evident in many of his judgernents which could offer a model to manv a member
as chief secretary writes:

of the higher judiciary." N.R.Panigrahi and Behuria of thp Orissa agricultural service who worked closely with Sivaraman and ultimately retired as directors of agriculture say that "the foundation of scientific agriculture was laid by

Mr B.Sivaraman in the year 1954 with the organisation of a small agriculture research station at Sambalpur where the concept of multidisciplinary appliedresearch and adaptive trials in farmers'fields were developed. The findings of the researich station along with the results of verification trials in farmer's fields formed the basis of professional agricultural eKension in 1958 when water was released in Hirakud canals". Thanks to his foresight and administrative support, they say, it was possible to introduce summer rico in the Hirakud avacut successfully, undertake multiplication of potato seeds in Orissa" and initiate
clonal propagation of rice, all innovations in the true sense ofthe term. They gratefully acknowledge the reolganisation of the directorate of agriculture, the appointment of a Tephnical pay Committee and the

implementation of its recommendations, all of which were carried out under his leadership. S.M.Patnaik IAS, who retired as clrief secretary, Orissa recalls two incidents which illustrate Sivaramanls administrative leadership. In

Adntinis trative

Le ade

rsltiP

277

from Cuttack to one, Sivaraman is reported to have travelled by bus experience' some Bhubaneswar and suggested, on the basis of this in the ilcketing system' In another, he stood firmly by the chief Painaik when his minister, *o.k u"d transport encouraged several irregularities in the purchase of (R&B) to commit

i*f.-"-"no ;;;";t

The chief ma"terials and spend far in excess of the budget allocation'

"ogi.r"-, d"ir"arrour..

under disciplinary proceedings. for these misTire particular minister sulked for a while, insisting on the transfer of Palnaik, but was obliged to swallow his pride and

*u. iut

Patnaik was transferred only after some months, in the normal course' The minister was also dropped at about the same time'

S.K.Rau IAS, speaks of a flying visit of Sivaraman to Mayurbhanj during his collectorship, when a casual mention of the cloiure of the Rairangpur mine and the consequent unemployment

Dr

among the tribals started Sivaraman on a mission of permanent arrangemeits for the benefit ofthe adivasis. This, Rau believes, was the seed from which the programme of integrated tribal development project
was born,

Finally, there is the little-known fact that Sivaraman provided the theme and inspiration to G.N.Mohanty, a deputy collector who besides earning promotion to IAS had, in later life, received the Bharatiya Gyana Pith award for his Oriya nanel, Mati Matial as well as Padma Bhushan for his literary endeavours over a long period and for focussing attention on the rural folk, particularly the tribalsof Orissa' Mahantylkept a verbatim record of his conversation with Sivaraman on iq.+.iSSg and started writirrg Mati Matial soon after' He describes the book as "a peculiar case of a bureaucrat making his contribution to the creation of a creative literary work'"
So much for the perceptions of the ofhcers of Orissa who worked under the leadership of Sivalaman. The impression ofothers regarding his tenure as agriculture secretary and cabinet secretary at the Centre have been recorded in an earlier chapter. What Indira Gandhi thought of him was also noted. Now to complete the picture, I may refer to the

perception of a politician of Orissa who was not in power during


Sivaraman's tenuie in the state. Banka Behary Das,

MLA

says that he

relied for developmental works in his constituency and outside on

278

Two Adntinistrators : Ihteraction Between ICS and

IAS

insight into the problems of the statb, ranging from agriculture to tribals. I remember in the late fiftids, he th-ought of every gram panchayat having its grain gola wher0 agriculturirt. store their paddy, sell them and draw from them fn time of need. "un It was nore or less a substitute to the conventional exploitative system of money lending and paddy lending of the wellto-do vested interests. In everv panchayat corrugated-roofed pucca holrses cameup, where grain golas
and panchayat offices were located. It lwas an ideal scheme and is the panacea even now. But there was no fQllow_up action afterwards and

Sivaraman more than on ministers thdugh he had good relations with them. He continues: ,'I do not rememiei a single in-stance in which he failed me." Of his vision and plan of acfion, he-writes: ,,He had a deep

the system collapsed after him." The reference is to the cooperative grain gola scheme first initiated in Bdlangir by me as collector and extended to other districts with suitable modifications by Sivaraman in his capacity first as secretary, gram panchayat departm;nt and later as
chief secretary- curn-development commissioner.

Like all leaders, .Sivaraman had his share of detractors. Some thought that he was a man of strong likes and dislikes, vindictive

to illustrate the last point. Mohanti became the AArc norl of some collectors in the fifties, when as special officer, minor irrigation at-

towards those whom he did not like and blind to certain favourites who always surrounded him. L.K.Mohanti artd S.N.Sharmawere often cited

tached to the office of commissioner, northern division, he used to tour the districts intensively in connection with the starting of new projects and supervision of the ongoing ones. flis tour notes were, no doubt, informative and useful. Unfortunately, his manner was somewhat overbearing and he conveyed the impressiqn of being a confidant of the commissioner, which did not endear hir4 to some collectors. There was thus a feeling that he was one of Sivaramah's blind spots. I personally found his visits useful. The junior offiCers, SDOs in particular, who were in charge ofthe projects in the field, generally had a good rapport with him. He had a way with the engineering personnel and got them to do the work according to schedule, altrhough their numbers fell short of the workload. Somehow there was a feeling among some political circles also that Mohanti did not deservd the position he enjoyed-as the close aide of Sivaraman and attemptp were made intermittently to put

A dmi n i s trativ e Le ade r s hiP

anendtohisservice.ButMohanticontinuedlargelyduetothesupport J Siu.r"--. As additional development commissioner' I had the comb"rr"fit of hit assistance in his capacity as deputy development I am inclined to think that missioner. Taking all aspects into account,
Mohanti had mo.i to hias a mere favourite.

th- .et

the eye, and should not be dismissed

In the case of S.N.Sharma, an ex-state officer, the main complaint and that was that he behaved like a spy, was objectionable on occasions in charge of Organisation and his contribution as additional secretary In my Methods was not such as to earn him the support of Sivaraman' but considering the view, there is some truth in this assessment psyciological value of Sharma's closeness to Sivaraman in the larger for an emotional merger of the ex-state personnel in the "na""uo* of Orissa administration and his services in regard to mainstream gathering of administrative intelligence, Sharma shbuld not be dis' missed ai a case of outright favouritism. I can vouchsafe for Sharma's ability to provide administrative intelligence from my experience' Long

after iis ietirement, he came to meet me out of the blue one day, to tell me about the machinations of a group of disgruntled officers planning me to take imlnediate a writ against me in the High Court' This enabled action ind thwart their dpsigns. This happened in 1973 whjrn I was chief secretaly, Orissa. I mustLadd that the leader in Sivaramari saw to it that the activities of these favourites did not lead him to be unjust to others or to abandon his overriding sense of impartiality'

I must also place on record the single instance, where Sivaraman was accused of vindictiveness. This came to my notice, in response to my call in the Oriya press for anecdotes on his administration; Bishnu Ciaran Mohanty of the Orissa Administrativ Service has attributed
the long delay in his promotion to the rank of additional district magistr;te, his failure to get into the IAS tbrough the special recruit' ment examination of 1956, the delayed disposal of a disciplinary case against him and his suspension for a time, to Sivaraman's vindictive

at-titude. Sivaraman, Member(CT), in his capacity as registrar of companies, had filed a criminal case before B'C.Mohanty, then a first class magistrate at Titlagarh, district Bolangir. Mohanty found the accused guiity and fined him. Soon after, Sivaraman is reported to have sent for fo" cat" .""o.ds in his capacity as member, board of revenue, perhaps

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Two Administrators : hiteraction Between ICS and

IAS

in exercise of his power to

declined to part with them and cited

from Sivaraman's feeling that the lrunishment wai inadequate,

oversee the courts in his jurisdiction. Mohanty, who thought the demand for case records might have arisen

Court rules and circular orders in

provision in the Orissa High

frowned on the transfer ofjudicial to other officers or public functionaries, except superior j authorities or in accordance with the orders of a civil court under thb civil procedure code. Thereupon, Mohantysays, Sivaraman moved the High Court for amendment, and obtained the case records after thie rule was dulv amended. exempting mernber, board of revenue the provisions of the rule. About L8 months later, Mohanty came to be placed under disciplinary proceedings by order of Sivaraman on a charge of exceeding his authoril.y and committing an i autnorrty irregulariff in the matter of bail for a rich mine owner. He was also suspended. This case, which started in June

The relevant Rule

uE

damaging consequences of the departmental enquiry.

I put all these facts to Sivaraman while witing this book. His comments are that he was not able to re0all this officer at this distance of time and that he would certainly have remembered him ilindeed he had such thoughts about him. He added that at rhat particular time, the control on the Orissa Administrative Service had perhaps been transferred frora the board of revenue to the secretariat, where there was no dearth of intrigues. I too tried hard to recall the case as I was collector, Bolangir till December 1953, a few months before the start of the disciplinary case. All that I couldt recollect was that during my time, an anonymous petition setting out some specific facts against

dmi ni s t rativ e Le a de r s hiP

281

was one of Mohanty came to me for enquiry and the criminal bail case matter with the ite;. Before penning ihese words, I discussed this

Mohanty, In retrospect, he thought that he made a mistake in not seeing the Sivaraman p.ttottilly to represent his case, as he was advised by that such a representation would officers in tle commissionei's office be of no avail. He conceded that this episode might be in the nature of an aberration on the part of Sivaraman and that he was aware of instances in which he had relented on personal hearing' I could do no more to ascertain the truth as the relevant records had been destroyed in the meantime according to rules. The above case apart, the general impression about Sivaraman which was current at the time has been apily summarised by Banka Behary Das in the following words:

"At that time many officers used to tell me that Sivaraman was very vindictive to subordinates. Whomever he liked, he saved them or connived at their faults, but to others he was rough and vindictive' Generally this is said about all knowledgeable and efficient men of authority. I cannot vouchsafe this talk about his weakness ofcharacter' his strong likes and dislikes' To me this canard might have been spread by inefficient and delinquent officers who were afraid of him'"

That Sivaraman the leader evoked fear and respect is acknowledged by one and all. Mitra, the director of fisheries remembers he was ooce witrress to a block development officer fainting at an annual
conference

in Puri, held to review the

progress

of development

programmes in the presence of panchayati laj representatives. About Sivaiamatt's role at the conference, he says that it was not good tactics to evoke such fear in the officers. But, he adds, "I must san in spite of the fear, all good officers looked upon Shri Sivaraman as a sort of god'" Once again, this aspect has been succinctly summed up by Banka

Beharybas as follows: "His knowledge about matters and men of Orissa was so deep and thorough, that nobody, whcther in politics or
administration, could either mislead or deceive him. That was the main reason why his personality was so awe-inspiring' His efficiency struck terror in the hearts of delinquent offrcers who were afraid of being found out. Nonetheless, he was respected by them because he was soft-spoken and gentle." Many have said that although they had been taken. to task for their failures and inadequacies, and shouted at, he had not carried those impressions into their annual confideatial

282

Two Administroton : Intdraction Between ICSand IAS

what it should be, for an administrative liader.

reports, once he was convinced that thef were sincere in the performance of their duties and re-sponsive toihis admonitions. It was only the incorrigible and the unreformed that invited his wrath.

And that is

Administrators and Policy'making

On administrators and policy, two general statements are often


made. One is that policy is the domain of the ministers or political masters while implementation is the province of the administrator' The other is that by and large, government policies are sound but their implementation is defective. These statements are apt to give the impression that policy- making and policy implementation are watertight compartments and are managed by different sets of persons. In my view this impression is wrong and the statements referred to are not complete truths. The administrator, I have found in my experience, has a lot to do with the making of policy and the political masters do participate in the implementation of policy. It is not unusual that the political executive pleads bad advice when its policy is criticised as unsound. Similarly, the administrator speaks of political interference when he isblamed for deficiencies in the implementation of policy. The truth, of course, is that the administrator and his political master have to work together closely and in a cooperative spirit in respect of both matters. Policy may be defined as a course of state action selected for the attainment of specific and predetermined objectives of public interest. Drawing on my experience, I would identify the following as the essential ingredients of policy:

284

Two Administraton : Inleraction Between ICS and

IAS

(a) The objectives


interlinked.

to be attained must be spelt out at the very start in the clearest possible terms. Usuallj they are nnultiple ani closely

(b)

The objectives must be clearly seen to be in the public interest or to do the maximum good to the maiimum numbir of people. details of action by diffe rent padts of the state machinery must be delineated without any ambiguity.
The_

(c)

(d) The parts to

be played by the people in general or persons concerned must be identified and corlveyed to them appropriately through a public education progradme.

(e) The course or

courses of action ghould be chosen onlv after considering the available alternativgs.

(f)

The alternatives must be evaluated with reference to relevant


techno-economic considerations.

(g) Administrative feasibility or the ability of the srate machinery to


meet the challenges of the proposed actions adequately must be
assessed.

(h) Adequate financial provisions

must be ensured.

(i)

The legal framework in which all state action has to be staged must be eiamined as to its adequacy and strengthened if necessary. The personnel to be involved in implementation has to be oriented to the objectives and the actions through appropriate training. The above ten factors make all the difference between
a

pious wish

and a public policy and the administrator has an important role in perfecting these factors. Broadly speaking, it is in regard to (a), (b), (d) and (e) that rhe political executive has a majbr part !o play. Even here, the adrninistrator has the responsibility for supplying the basic facts, data and
alternatives. As item (a) is largely related to the election manifesto, the political party in power is rather charf of considering alternatives suggested by the administrator under itetr (e) with regard to items (f), G), (h), and (i). It then becomes the dury of the administrator to

Administmton and

P o licY-making

285

executive' in tbe professionally and tactfully persuade the .no\i1l to those important ;;;;f ,h" Lt;"r public inteiest, to apply its mind
aspects.

When Biju Patnaik I may illustrate with two incidents in my career'

b.";Jt#-;i"ir,er, -"*"ti
*i"r"
*ui.r.

the orissa in 1961 after a thumping victory in

Iria-t"i- pon, n" said ie had promised tc provide piped the promise was made apparently on the spur of t" Ai votes in an area "iU"g*.'fft" AedLn meeting, to attract thewomen's
Oo

water supply

I found that the average population of a village "*.ination, several were not likely io O.ir*u was less than 500 or 100 houses, that water at a reasonable distauce to have a reliable source of pure drinking tolook after the and that the village community would not be able supply' I therefore water -J*"rr"rr"" urrd-bea, the coit of piped a population of 1-000 and to limit the plan to vi[ages with lr*;* to smaller abfie and explore other ways of providing protected water policy was a viable uiUug"t. The CM accepted this suggestion and framed.
promise to establish industries in every gram panchayat' I had to evolve industries programme in an attemlt to reconcile

drinking "T "" *orn"o *"re required to trudge long distances to carry

electoral In another instance, relating to the same chief minister's

il;;;;;y;t."miti

ii"'uinoui".rtent with the demographic

and technical realities. I agglomeration' to moved the locale from the gram panchayat, a small grouping' Further' as it was not ti" p^*tt"yut samiti, the next higher practicablc to take up modern industries in every panchayat samiti i"t-"Ji","fv, u ph".iog schedule and a selection criteria had to be performance of the established. These were appropriatelylinked to the in selected fields' samitis and their componenbfthe gram panchayats representative thus introducing an element of competition among the institutions of the PeoPle'
aspirations of the wished away in the name of manifesto or the aroused While the identifrcation of policy objectives is the legitimate be The above examples show that facts are stubborn and cannot

feople.

loolrn

of the political executive, the administrator,must reconcile

ii.*

t"ufities of all kinds -- social, economig technical a workable pblicY is evolved.

*ittt

so that

286

Two Adtninistrators : Ihteraction Between ICS and IAS

Facts are gathered in many wayJs: observation

except when he is made its secretary.

Sot"e committees are required to tact-trnding 6d snggest pllicies. The administraLr has a role- in all these methods, in varying degrees. For example, the first method, observation, puts the grea{ei responsibilif on the administrator, while the last, the com{ittee, ."y *nJro him least,
1,1:_"t- "lp""ited go_ o:yonct

l11Tli"*t :"-ple the purpose. for

course of b xiness; special enquiri..; dltu buok, ,och as census reports survey reprots; sp]ecial sample surveys; and

in the ordinary
com-

and otherwise helped convert my ideas iSto viable policies. Sivaraman,s own career has many instances when the seeds ol national policies in the field of agriculture were sown by tho administrator rather than the political masters. His book, Bitter Swent records a number of them. The main lesson I wish to convey is fi4f admin.istlators should not be lulled into believing that policy-making h an esoteric exercise outside

encouragement of higher adminis{rators like Sivaraman and Venkatappaiah and their persuasive skiils with policy- makers, political

I have related in an earlier chapteh how the kendu leaf policy of Orissa originated from my field obsirvdtion as collector while on tour and how the cooperative grain gola scieme was born of a discussion with the village folk in order to help augment agricultural production and strengthen the gram panchayats. th both Jases, the support and

their province.

the second. In the second category beparate and self_contained guidelines have to be evolved on the different subjects covered by the umbrella. This does not mean that single subjecipolicies are simple affairs and that the problems of linkagcs with other subjects do not exist. They do exist but are significantly less

categories, single subject policies and tmbrella policies. policies on forestry and personnel are examples of the firsi category while industrial policy and that concerning scidnce and technJlogy illustrate

Broadly speaking, public policies may be divided into two

well as implementation.

I wish to reflect oo personnel poli$, as the administrator has a special responsibility in this area, both dt the stage of formulation

as

guidelines on recruitment, training pronxotion,iranifer, grievances,

sound pertsonnel policy must include

:.

Administrators attd

P oliqt-mading

287

Above all' it discipline, rewards, punishments and superannuation' or administrative structure -uri"onfot^ to the fotcy on organisation harmony and cooperation' or in and contribute to the promotion of the structure' other words, coordination among the different parts of personnel work is in the The administrator should ,"*".b"t that natureofhumanresourcesdevelopmentandmustaimatheightening that the motivation, morale and job satisfaction' It should be obvious
than the senior administrators have more to answer in these areas contributions as chief secretary' Orissa political executive' Sivaraman's 'and particularly the as cabinet secretary will always be remembered, fused with the Orissa manner in which the ex-state services were services and the state chief secretaries were made equal to the secretaries of Government of India.
people the implications ofpolicy and in training the concerned person,r"l in its intricacies cannot be over-emphasied' Several policies have failed due to inadequate attention to these aspects at the beginning' to Usually, policies are expressed in general terms, leaving the details and the interbe *oik"d out later. They also have multiple objectives relations between them may not be obvious. Hence the need for special efforts to educate the public and orient the personnel' Equally important is the legal underpinning' The administrator must remember that

The importance of an administrator's role in explaining to the

under a writien Constitution such as ours, legal back-up is essential for the success of most policies, as they are likely to interfere with the fundamental rights of citizens and as misapprehensions have to be prevented. Sivaraman went to great lengths in putting these precepts

into practice. The conference o f 1962in Orissa on the improvement of administration and the emphasis on farmers' training programmes under the high yielding varieties progtamme are some examples'

I have tried to follow iri'his footsteps, to the best of my ability'

INDEX

Index

A
Accountant General, BombaY Acharya, BinaYak Adams, Dale Administrative Reforms Commission Agarwal, L.P., Dr Agricultural Credit Deptt. Agricultural Credit Fund (L'T.O') Agricultural Credit (Stabilisation) Funds
5

L74 250 L97-20p,256


73
109

109,26 LW,2M
107, 108
103, 106-8,247,250

Agncultural Development Barrk of India

Asicultural RefinancE & Development Corporation (ARDC)


Ahmed, Fakhruddin

Ali

75,L91
1.84

Akadasi Pradhan Vs State of Orissa

Akali Dal All-India Administrative Service All-India Administrative Training School All-India Debt & Investment Survey All-India Institute of Medical Sciences All-India Rural Credit Sutvey Committee
American Bureau of ShiPPing
,dmerican CooPerative l-aguc

L95

4r7

'

9, 15

zfi
73

33,193,U5
9L,92

-58

2n
Americaa Oit Co (AMOCO) Atoan If Anand, J.C., f^^j Capt.

Beween ICS and MS

63

9l
tM,?n6
103

Antulay,A.R. Apollo Hospitals Arjuna Armstron& William, Sir


Asaf Ali (Governor)

zLz
220

L3,?34,273

Asian Pacific Regional Agricultural


Cooperative Asoociation (APRACA)

t07
46,55,59
155

Asian Productivity Organisation (ApO) Asoka


Assam

95 74

Atomic Energr Commission Auditor-General

Bailey, F.G.

152,r75

Bakhi,A.
Bankers' Insn. of Rural Developmcnt (BrRD) Balasore

r92
1@

?i,r53
z3g
160, 16L

Balwantrai Mehta Committee Bamra


Barren,r,A,K, Bechtel Corporation

fr,9
63

Behuria
Bengal Paper Mills

n6 ,x
L9,Ln,$0
L:26

Berhampur
Bhabua

Bhambri C.P. Prof Bhanupratap Singh


Bharatiya Jana Sangh Bharatiya Lok Dal Bhubaneswar

L87

r07

'

195, 196

L73,t74

29,x7
LO7

Bhutto, Z.A.

Index

293

Birla House Birla K.I(


Birmaharajpur
Biswal, G.B. Bitter Sweet

1.1, 190

L92
29 38

Dr
2r,
48,

Biswanath Das

t50, 157-8, L7r-2

12i,

733, 136,

Lfi , 224

Board of Revenue Bolangir


Bontbay Chronicle
L6, 20, 24, 25,

1i2134,236

n,

29, 30, L6L, 162

Bonai
Boothalingam, S.
Bose, Rajkrishna Bose, Subhas Chandra

r6t
185

4L
158 155

Buddha, Lord Bureau of Statistics & Economics

43

c
Cabinet Secretary
T4O.L

Calcutta Calcutta High Court Central Bureau of Investigation (CBI) Central Pay Commission, Fifth Central Silk Board Central Social Welfare Board Chiikravarty, P.K Dr
Chakravarthy, Sukhomoy, Chand Ram Charan Singh

18,Ln
55

n,

41, 169, L',lt, !79

TM
146 56

Dr

64,65,75 2W
97 107-8, 194 59

Charat Ram Chauduri, Gopabandhu Chaudhuri, Malati Chaudhuri,

t64
157-8,164
L62-3, t69"70, 175-8, 180-1, r83, 246.

Nabakrushna I8,n35,37,L30-2,I35,15L,157,159,

Chaudhury, Sachin

Chavan, Y.B. CS

L7L

& Dev. Com

t32,t3+5

Chowdhury, Kamala, Dr

CIMMYT CIRT
Cochin Shipyard Code of Conduct for International Shipping Coffee Board

6
r40

.95
93

87,92,93

rl9
s6,2?5;23r,2s7
94 129-32

Columbia University

Comal S.K.
Commissioner, Northern Division

&

162

/Communist Party of India

(CPf

72,75,8?.172-3 L72-3,r95
195

Communist Party of India (Marxist) Communist Party of India (ML)

Community Development Programme 237,24I,,243 Congress, Indian National 39,L49,L55,158, 163-4, 168-9, t75-6, L95-6,203,205
Congress Socialist

Party Banks

L51

Cooperative Land Development Coromandel Fertilisers

226

62

CRAFICARD
Crash Scheme for Rural Employment (CSRE) Cummings, Ralph W. Curzon. Lord

r07,t$-s,247
75,L94 r39
153

Cuttack

lr,
D

14, 16,

m,

29, 79, 160, 162, L71,

Daitari
Dandakaranya Authority Das, Banka Behari
Das, B.C.

t34
251

41.,13I-3,277,281
276

Das, Gopabandhu Dasgupta, Das, Hariha'

t54-5,
l

L57

K.G.

190

154

Indac

295

Das, Madushudhan Das, Mahapatra H. Das Munshi P.R.


Das, Nilakantha Das, P.K.

152-4

Dr

38

trg
154, 157-8

1.)

1<

Dash, G.C. Dash, Sreeramachandra, Prof

40

L2,L3,163
L20 59

DCL Finance Ltd Delhi Cloth Mills (DCM)


Delhi Transport CorPoration
Dey, S.K. Desai, M.J. Desai" Morarji Deshmukh, C.D.
97 -8, r7

u
193,237
10

l,

L88, L96-7, 202

33

Dhar, P.N. Prof Dharam Vira Dhenkanal

75,m2
68 20

Dhillon, G.S.
Dikshit. Umashankar District Industries Centre (DIC)

87,88 80,81,87
243

District Rural Development Agency (DRDA)


Dolly Senapati

243

t7
195

. Dravida Munnetra Kazhagam (DMK) Dredging Corporation of India


Drucker, Peter Drugs Prices (D&C) Order Drought Prone Areas Prograrnme (DPAP)
Dubashi. P.R.

87,89
230,?65 70-2,69
76

2t9
5I
158

'Ewivedi, R.N.
.

Dwivedi, Surendranath Dynamit Nobel

67

T_

296

Two.Afuninistraton : Iiteraction Between ICS and IAS

Eastern States Agency East Germany

160

93
,265

Economic Times, Bwnbay EID Parrv


Eisenhower Exchange Fellowship (EEF) Emergency European Economic Community (EEC)

62

554,A7
87,93,96,2nL-2,205-6
25

F
Federal Public Service Commission (FPSC) Fernandes 4-6
243

Fertilisers & Chemicals Travancore Cochin (FACT) Fertiliser Corporation of India Fertiliser Distribution Committee
Finance Commission
Five Year Plans

&
60,62,64,66

62,64,6,69,74-5
1-85

Field Controller, Military Accounts (FCMA)

27L,n5
188-90, 194

Fletcher, A.B. Food & Agriculture Organisation (FAO)

25L

I40,n5-6
u:3
?58
138

Ford Foundation
Foundation for Organisational Research & Education (FORE) Freeman, Orville

G
Gadgil, D.R. Prof
190

Galbraith, J.K. Prof Ganapathi, R


Ganatantra Parishad (Party) Gandhi, Indira Mrs Gandhi, Mahatma Gandhi, Rajiv

2n
n,39, q, 16l, L64,
67 166, 169, 170,

L72,r84
32,96,L04,108, 114-5, L4L, L55, 180-1, 186, 243 lL,12,1,54-5,157
202

Index

297

Gandhi, Sanjay Gangpur Ganjam Garden Reach Shipyard General Motors


Geneva Ghosh,

L74,202

L6t
1S 20 tt, '

93,98
22 93
103

A
t52, L55, L57, t63- 4, L72,
17

Ghosh A Srikant Ghosh, Sunit

L82,L8
4-5

Gian Chand

L33-5,nL-2
196

Giri, V V
Gopalaswamy Alyangar N

J7

Gountia Government of India Act, 1935 Graingola Scheme Great Eastern Shipping Co Gujarat High Court Gujarat Pharmaceuticals Gujarat Stato Fertilisers Corpn Gupta, Bhupesh Gupta, R.S.

u
r49
25

9L,93

24
72 62

72,75,82,E5,86
67

H
Haksar, P.N.

68,7+6,?ffi-z
66

Haldia
Hanumanthaiya, Hasan, Nurul

198

Harvard University Hazari, R.K Dr Hegde, Ramakrishna Himmatsinghka Hindustan Ciba-Geig5i Ltd Hindustan Motors Hindustan Shipyard

23t
85

190-1,200
145
18

L20 22
93

298
Hirakud Dam

Two Administratorc : Interaction Between ICS and

IAS

t29,16r-2
235 L96 78,L01,
T9

Hirakud Land Organisation


Hussain, Zakir

Hyderabad Hyder Shariff

Imperial Chemicals, India


Indian Administrative Service

(IAS)

&
4, 13-4, 17, 68, 80, 101, 133, 198-9, 2t8, 230, 233- 4

Indian Audit & Accounts Service

(IA.{S)

2K
2X

3,67

.Indian Civil Service

(ICS)

3,4,6,L1,16-7,23,55,59,
68, 7 8, 102, 2L3, 233 - 4,

Indian (Civil) Administrative Service Association

28,85-7,262
90

ICICI
Indian Council of Agricultural Research (ICAR) Indian Farmers Fertilisers Cooperatirre Indian Institute of Management, Ahme$abad (IIMA) Indian Institute of Public Administration (IIPA) Indian Medical Service Indian National Shipping Association Indian Petrochemicals Corporation (IPCL) Indian Register of Shipping India Steamship Co. Ltd. Industrial Development Bank of India (IDBI) Industrial Licensing Policy Inquiry Comrnittee Institute of Rural Management, Anand (IRMA) International Food Policy Research Institute (IF-PRD International Mines, Minerals and
Chemicals Ltd. (IMMC)

t39,244
58
109

L99
5 91'

67

87,N)-2
91

108,259

L9r
109

738,?51

62,63

International Rice Research Institute (IRRI)

Lq

Index

299

Jaipal Singh Jalan Jaitley J.C. Jana Congress Janata PartY Japan

159

59' 60
2L9

r70,r7r
97, 98, l7 4, 202, 205, 243

55

Jatti B.D. Jayakar, Pupul


Jayaraman, P.
Jha, L.K.

81,85

t46
llJ

Dr
1.59, L66,

186-7,200 L72
189

Jharkhand PartY Johnson, L. President


Joneja, G.C.L. Joshi, D.S.

15,L7

55,56

K
Kabir, Humayun Kalahandi Kalinga lndustries Kamaraj Plan
Kansas Agricultural UniversitY

59,60, 185
20

52,179
169, 189 56
158, 1-63-4, 178

i(anungo, Nityanand Kapila, P.K. Karnal

M,45
10

Kasturirangan 15-7 Kaul, R.K 40, 42,80, 183-4 30, 35, 37, 39, Kendu leaves 20 Keonjhar 118, 119 Khadi & Village Industries Commission 77,78, LLl, 120, 243,U9 Khadi & VIR Committee Khanna Commission
52,170,L"19,1.80, 184
13, 15

65

Khurda Koraput

20,48

300

Two Administraton : Interaction Between ICS and

IAS

Koshal Trading S5ardicate Koshal Utkal Prajaparishad

28

Kota

16l
59
10

Iftipalani
Kripasindhu Godavaris Kripasindhu Lingray Kripasindhu L.N. Krishen Deq R/Admiral Kripasindhu Roopam Miss Krishi Vigyan Kendras
Krishnamachari, T.T.

L54

r54
74 98
113

24
59,60, 195-6
60 97 90

Krishnamurthy, C.S Krishnamurthy, R Krishnamurthy, T.S Kumar, Lowaj


Kumaramangalam, M.

60,67

2M,201
110, 196

Kurein, V Dr

Kurnool
Kurukshetra

32
10, 11

L
Lakhani
2:26

Lal H
Lala Lajpat Rai I.enk4 Dhananjay Lloyds Lohia, Ram Manohar Dr
Lokanathan, P.S

74
155

136

9l
L92,I94
4L

Dr

M
Machel, President Machkund Project Mahabharata
Mahalanobis, P.C Prof Mahanty, Bepin

2r5
32
2L2
190

272

r
I

Indq,

305

Patnaik (A.O.A.R.Cs) Patnaik, Biju Patnaik, Gyan Patnaik, J.B 5t-465,r34,L:X,152,166L7 0,L7

'25

2-6 179 L75

Patnaik, L.M
Patnaik, Shyamanand Patro, B.K Patro, Chaitan
Peace Corps

L5+5
L2

56

Pearlby Peoples' Society India

)
155

Pimputkar

85,97 76,77
7'1,125,144,L46,189,192 240,247,27 5

PIREF
Planning Commission

Port Trusts Pradhan, P.M


Pragati, Socialist Party

95

r6t,l7l-2
r73-4
80,99 259

Prajatantra
Prakasam, T Prime Minister Pune

74,87,97,r08,tl4,r45
4 12,13,20

Puri

Pwi College
Puri, Harsh Puri, K.R
Purnea

tz
,255

104

Ln-g,LsL

Purulia

tn

a
Quit India Movement
tsL,L58,166,r76

R
Raghnath Singh Raghupati, K.S
98

Lr,n4,z'15

306

Two Administrators : lnteractiort Between ICS and

IAS

Raja of Athgarh Balasore

Dhenkanal Keonjhar Talcher


Rajagopalachari, C Rajnagar Rajya Sabha Rajwar, LMS
Ram, Jagjivan

153

rv)
180

85 92 203,206

Ramachandran, G Ramachandran, V Ramagundam Ramakrishnayy4 M

201

z0r
65,66

146

K Ramanathan, V
Ramamurthy, Ramarao, N.T. Ranade, S.N

43,96115,?9,273
L7,44,45,235

tt1
98

Ranchi
Rangarajan, R Rao, B.K Rao, G.V.K. Rao, H.S
Rao, J.V.

126

Dr

103

89,94

r07

9l
109

Rao, M.M. Rao, S.S.S. Rao, V.R

Dr

38 26

26

Rao, Vijayaraghava Rath, Radhanath Rath, R.K Rau, S.K.

trz
37,38,40-2,136

270
45-1

Dr

,58,109,234,277
43,49

Rayaghada Rayudu, Dr Reddy, Pratap C

r4()

Dr

103

307

Reddy,

Relief & Rehabilitation, Ministry

252 of 26'249 Registrar, Cooperative Societies l'1,30,33-4,101-9,113,1L5-8'L21'189' Reserve Bank of tndia

Sanjiva

172'196

245-6,28Road Construction CorPoration Round Table Conference

50,:262

87-9
149,156 41 t52,L59,,163,L67 -9 r'7 r-3,r7 5

Rourkela Steel Plant Routray, Nilamani Rubber Board Rumania Rural Credit Review Committee

IL9
93
193,,247

SAFAUNS Sahu, Dinabandhu


Sahu, LakshminaraYan Sahu,

90 43,165
161
19

L.N

SAIL
Samal, J.M Samaj

20L

r82
37,136-7,t55
20,34,44,161-2,237 L92,194
.71

Sambalpur
Samyukta, Socialist PartY

Sarabhai Chemicals
Saraf, T.N

lt'

)1<
L4

Sarbarakar Sarjoo Prasad Commission Sarkaria Commission Satpathy, Nandini Satyabadi School
Secretary, Agriculture 4t-2,50,7
9

40,L7r-4 L80

t45
-83,86,99,L7 l-

4,lu
138-9
1?Q

154,157-8

Secretary, ShipPing & TransPort


Sen, Nakul Sen, S.R.

58,59,185 35

Dr

l-308
Sen, Triguna Two Adninistrators : Inkraction Between ICS and

IAS

Dr

69,72,14

Senapati, N
Servants of India Society

16,235,237
161

Sethi, P.C
Sethna, H.N Shah Shah Commission

Dr

88 74
11"1

18L 109

Sharma, B.N Sharma, O.P Sharma, S.N

rL3
.

278_9 68,89,185_8
g.l-,93

Shastri, Lal Bahadur Sheth,Vasant Shipping Corporation of India Shipping Development Fund Committoe
Singh

92,98 87,89,90,t86,247
39,133,,135 t5r-2, L6r,L67,L7 0 -3,L7 5 - 6,t92-3

Deo, R.N

Singh, G.B
Singh, L.P

Dr Dr
L6,17,r8,2L,24,29,30
55

38
L87 103, 109,115 78
-

Singh, Manmohan Singh, T.P Senior

Sivaraman, B

1,45

-7,52-3,
7

-6,59 -9,L02,L0'7,1

Small Business Administration Small Farmers' Development Agency ($FDA) Social Welfare Department Sonepur Srinivasan, C.P
State Bank of India State Transport Service (STS)

56

76,r94
55,56,
an 92,98 90 t8-21,,47 49
139, 143, Lg5,Lg9

Straw Products Paper Subramaniam. C Sundararajan, S Sundargarh Supakar, Sharaddakar

Mill

68

tn

t62

Index

F F

309

R t+
Y:-l'.

Su.ryanarayanan,

K Dt

29

ti:'

Swaminathan, M.S Swaminathan, T Swaraj Paul Swatantra Party Syndicate

r38,244
65
1L6 170,172,L95-6.,207

196,2n7

Talcher
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