Political storm in India over Walmart lobbying

It is disturbing to know (as per the lobbying disclosure reports filed by Walmart with the US Senate) that it has spent about $25 million (around Rs. 125 crore) since 2008 for its various lobbying activities, especially for allowing FDI in mutli-brand retail trade India. The issue raised by Ravishankar Prasad, BJP national spokesperson, in the Rajya Sabha during the zero hour on Monday, 10th December, 2012 has drawn the attention of various political parties and consternation among the people of the country. And BJP, CPM, CPI, SP, JD (U), Trinamool Congress, AGP and AIADMK used the issue to question the government over its decision to allow 51% FDI in retail. The opposition parties alleged that Walmart had indulged in corruption to enter Indian market. So they have pressed for a probe into this "illegality" and the wanted Prime Minister Manmohan Singh to make a statement on this issue. Moreover, it is feared that once they get a foothold in any part of the country, Walmart and other multinational retail giants will somehow be able to penetrate throughout the country and bring peril to the livelihood of the small traders. They have the wherewithal and knacks to fine tune the greedy politicians and bureaucrats. Once they are allowed to enter the country, they will not respect the Indian rules and regulations. Experiences show that the multinational corporations like Walmart generally rarely respect the rules and regulations of the host countries, particularly the developing countries. The Public Interest Litigation filed in the Madras High Court by T. Vellaiyan, President, Federation of Tamil Nadu Traders' Association, has brought to light that Walmart has fraudulently entered into multi-brand retail trading even before the government notified FDI in mutli-brand retail trade. That is, in March and April 2012 year, Waimart Stores Inc, USA through its subsidiary, in collusion with two Indian firms, illegally invested Rs 455.80 crore in multi -brand retail in India by masquerading it as for “Services Sector.” Moreover, in his complaint submitted to the Prime Minister's Office the CPI Rajya Sabha member M.P. Achuthan alleged that Walmart had invested about R456-crore in a company called Cedar Support Services through compulsorily convertible debentures (CCDs) in March 2010. It is reported that the Prime Minister's Office (PMO) has forward to the Department of Industrial Policy and Promotion (DIPP) for proper inquiry.The Times of India, Dem 10, 2012