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By:

Abhijit Mulye

21 August 2024 at 4:59:11 pm

Why BJP cannot afford to pull Fadnavis out of Maharashtra

Mumbai: A recent political skirmish between Chief Minister Devendra Fadnavis’ wife, Amruta and Shiv Sena leader Sanjay Raut has inadvertently breathed new life into one of Maharashtra’s longest-running political debates: Is the Chief Minister quietly preparing to shift his base to New Delhi? Following a provocation by Raut regarding a potential move to the national capital, Amruta delivered a sharp retort, asserting that unlike the Sena leader, both she and her husband remain strictly...

Why BJP cannot afford to pull Fadnavis out of Maharashtra

Mumbai: A recent political skirmish between Chief Minister Devendra Fadnavis’ wife, Amruta and Shiv Sena leader Sanjay Raut has inadvertently breathed new life into one of Maharashtra’s longest-running political debates: Is the Chief Minister quietly preparing to shift his base to New Delhi? Following a provocation by Raut regarding a potential move to the national capital, Amruta delivered a sharp retort, asserting that unlike the Sena leader, both she and her husband remain strictly oriented toward grassroots public service. While this high-profile exchange captured the daily headlines, a deeper investigative analysis of the state’s political chessboard reveals a starker structural reality – the BJP simply cannot afford to move Fadnavis anytime soon. The speculation surrounding a “Delhi destiny” for Fadnavis is not new. Political observers have frequently positioned him in the national leadership matrix, with widespread speculation even hinting at him as a potential successor to the Prime Minister. Yet, Fadnavis has consistently played the consummate organization man. He has repeatedly stated his strong preference to remain anchored in Maharashtra, while diplomatically adding that, as a disciplined cadre of the BJP, he is bound to serve the people in whatever capacity the party high command deems appropriate. Leadership Vacuum However, behind closed doors, the real reasons anchoring Fadnavis to Maharashtra lie in the severe leadership vacuum and complex challenges currently facing the state BJP unit. A forensic look at the party’s regional roster exposes a glaring lack of alternatives. Over the past few years, the state party dynamic has been fundamentally restructured; senior stalwarts like Vinod Tawde have already been absorbed into the central leadership in New Delhi, while several other regional heavyweights have been strategically cut down to size. Consequently, the Maharashtra BJP is currently devoid of another experienced, universally acceptable hand with the political bandwidth to govern a crucial and financially vital state. Fadnavis possesses a rare ideological and administrative hybrid profile that perfectly aligns with Maharashtra’s unique sociopolitical climate. He remains deeply rooted in the core Hindutva ideology of his parent organization, yet he seamlessly projects the modern, technocratic, and pro-corporate image that is absolutely essential to helm a highly progressive and industrialized state. This dual persona is the exact political capital required to hold a fragile government together. Fadnavis has proven to be the only leader capable of walking the tightrope of regional coalition politics, successfully acting as the connective tissue between two major, often feuding allies who rarely see eye-to-eye on administrative or ideological issues. Caste Politics Beyond coalition mechanics, Maharashtra is currently navigating a highly volatile undercurrent of simmering caste politics. Fadnavis’ political acumen has been critical in absorbing these sociopolitical stretches and strains, ensuring that these regional frictions do not derail the state’s economic momentum. Under his watch, the administration has fiercely guarded Maharashtra’s position as the numero uno destination for development and investment in the country. Finally, the state is gearing up for a season of massive logistical, cultural, and administrative challenges, most notably the upcoming Kumbh Mela in Nashik. Executing mega-events of this scale requires seasoned, hands-on leadership and deep institutional memory.

Lateral upgrade to ailing annihilation

Updated: Oct 21, 2024

Lateral upgrade to ailing annihilation

Being the first person from the private sector to be appointed as chairperson of Securities and Exchange Board of India (SEBI) as part of the government’s lateral initiative, Madhabi Puri Buch also holds the honour of being the first woman to hold the top post as capital market regulator.

But the laurels that the former private sector banker enjoyed in her earlier stint with ICICI Bank, was marred with allegations that she and her husband were having a stake in offshore entities, which were used to artificially inflate shares of Adani group companies.

Terming the allegation as `character assassination, Buch clarified that all disclosures have already been furnished and the fund in question did not invest in any securities involving the Adani group.

When it rains, it pours. This allegation was subsequently followed by Congress Party allegation that Buch had received salary and post-retirement benefits from ICICI Bank after she quit the private sector bank.

In its clarification to the stock exchanges, ICICI Bank asserted that the payments made to Buch were purely retirement benefits after her exit from the bank and they were neither salary nor employee stock options.

Prior to these allegations, Buch tenure at SEBI was all about bringing in quick reforms on operational issues by changing the format of consultation paper to bring in larger responses digitally. Being data savvy, the rationale of her decisions were democratic based on big data analysis derived from the responses received to the consultation papers.

Further she bifurcated the duties of the SEBI staff between operations and enforcement, which were done by the same persons earlier. Having worked for the private sector in the capital market domain space, Buch had a better understanding of the subject compared to officers from the administrative service in the past that reflected even in her orders as a whole-time director at SEBI before becoming the chairperson. As a whole time director at SEBI, her orders on adjudication issues were more directional to the capital market space, according to experts in the compliance space. She was also quick to revamp the old provisions of the 90s at SEBI.

Being tech and data savvy, Buch enhanced regulatory surveillance and detection of market manipulation, insider trading and fraud while also emphasizing on strengthening corporate governance by introducing stricter rules for independent directors and enhancing disclosures for related-party transactions.

To put in perspective, the annual report of the capital market regulator in the just concluded financial year revealed that the number of investigations related to insider trading jumped to 175 in 2023-24 from 85 in the preceding year while probes related to front running jumped over three times to 83 from 24 in the preceding year.

Transparency in mutual funds by implementing measures to protect retail investors along with tightening norms for initial public offers, particularly in the SME platforms were some of her other positive initiatives including confirmation of denial of any market rumours within 24 hours for the top 100 listed companies which will be extended to top 250 companies from December 1. However increased transparency and compliance with tightening regulations led to increased operational costs for the market participants and hence faced resistance from certain quarters. Born in 1966, Buch completed her primary education in Mumbai and graduated with specialization in Mathematics from Delhi and later obtained a management degree from Indian Institute of Management, Ahmedabad. In between, she got engaged to Dhawal Buch, a director at a consumer goods multinational at the age of eighteen and got married at the age of 21.

Besides ICICI Bank, Buch also worked as a lecturer at a college in England, worked at Greater Pacific Capital in Singapore and ICICI Securities as its CEO. She also worked as executive director on several private sector companies and as a consultant for New Development Bank (Brics Bank).

What now remains to be seen, is whether Buch, who survived the 26/11 terror attack when she along with her husband, was attending a meeting at Taj, be able to overcome the current ordeal. Keeping fingers crossed for the times to come.

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