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Republic Of Scams Total Scam Money (approx) Since 1992: Rs. 7 !!!!!!!!!!!!

(7 "a#$ %rore) &ar' to 'i(est ) *ust c$ec# t$e belo+ (i,en 'etails 1992 -&ars$a' Me$ta securities scam Rs ./!!! cr 1990 -Su(ar import scam Rs 1.! cr 199. -2referential allotment scam Rs ./!!! cr 3u(osla, 4inar scam Rs 0!! cr Me($alaya 5orest scam Rs !! cr 1991: -5ertiliser import scam Rs 1/ !! cr 6rea scam Rs 1 cr 7i$ar fo''er scam Rs 9.! cr 1997 -Su#$ Ram telecom scam Rs 1/.!! cr S8% "a,alin po+er pro9ect scam Rs 70 cr 7i$ar lan' scan'al Rs 0!! cr %.R. 7$ansali stoc# scam Rs 1/2!! cr 199: -Tea# plantation s+in'le Rs :/!!! cr 2!!1 -6T; scam Rs 0/:!! cr 4ines$ 4almia stoc# scam Rs .9. cr <etan 2are#$ securities scam Rs 1/2.! cr 2!!2 -San9ay =(ar+al &ome Tra'e scam Rs 1!! cr 2!! -Tel(i stamp paper scam Rs 172 cr 2!!. -;2O-4emat scam Rs 101 cr 7i$ar floo' relief scam Rs 17 cr Scorpene submarine scam Rs 1:/97: cr 2!!1 -2un9ab>s %ity %entre pro9ect scam Rs 1/.!! cr/ Ta9 %orri'or scam Rs 17. cr 2!!: -2une billionaire &assan =li <$an tax 'efault Rs .!/!!! cr T$e Satyam scam Rs 1!/!!! cr

1! billion . 2.lle(al monies in S+iss ban#s/ as estimate' in 2!!: Rs 71/!!/!!! cr 2!!9: -T$e *$ar#$an' me'ical e@uipment scam Rs 1 ! cr Rice export scam Rs 2/.=rmy ration pilfera(e scam Rs .n'ia>s bi((est scams 2/ &ars$a' Me$ta/ Rs.n'ia>s bi((est scams :/ =b'ul <arim Tel(i/ Rs.=.ersity officials +ere accuse' of misappropriation of fun's +ort$ Rs .n'ia>s bi((est scams ." a(ainst Maya+ati in Ta9 corri'or scam Orissa mine scam coul' be +ort$ more t$an Rs 10# cr %ORR62T.0 billion .t>s a scam in. / 7&6 5un's (19.1 billion .71 billion . Een#ataraman/ t$en t$e secretary/ ministry of commerce an' in'ustry/ +as 9aile' for acceptin( a bribe in lieu of (rantin( a cycle import @uota to a company.ol. 2/ %ycle .n'ia>s corruption (rap$ be(ins.1) :. .n'ia>s bi((est scams 1/ .5ree . Scam/ Rs. cr .. <.n'ia>s bi((est scams 12/ San9ay =(ar+al/ Rs. 1. an' soon after Menon 9oine' t$e 8e$ru cabinet. 12 billion . 0! billion .1) close to Rs 1!/!!! croresA Spectrum scam: &o+ (o.n'ia>s bi((est scams 11/ 6'ay ?oyal/ Rs.n'ia>s bi((est scams 1!/ T$e 6T.n'ia>s bi((est scams 1 / 4ines$ Sin($ania/ Rs.!! cr Orissa mine scam Rs 7/!!! cr Ma'$u <o'a minin( scam Rs 0/!!! crA S% refuses to @uas$ 2. T$e case +as close' in 19.n'ia>s bi((est scams 7/ 4ines$ 4almia/ Rs. billion .mports (19.n'ia>s bi((est scams 1/ Ramalin(a Ra9u/ Rs. 0 ! million . E. .n'ia>s bi((est scams 0/ % R 7$ansali/ Rs. 2! million .n'ian $i($ commissioner to 7ritain/ bypasse' protocol to si(n a 'eal +ort$ Rs :! la#$ +it$ a forei(n firm for t$e purc$ase of army 9eeps.2 billion 1/ *eep 2urc$ase (190:) :./ %obbler scam . <ris$na Menon/ t$en t$e .9.O8/ MO8B3 "=684BR.n'ia>s bi((est scams / <etan 2are#$/ Rs.S.!. 1 billion .8? S%=M/ <o'a 'isc$ar(e' from $ospital/ arrest imminent C= Operation>: D.! la#$. ./!!! cr T$e 2-? spectrum s+in'le Rs 1!/!!! cr State 7an# of Sauras$tra scam Rs 9..2O Scam .n one of t$e first instances of corruption in e'ucational institutions/ 7enaras &in'u 6ni.t lost Rs 1!/!!! crore . 1.n'ia>s bi((est scams 9/ Eiren'ra Rasto(i/ Rs.

11/ <uo Oil 4eal (1971):.<ris$namac$ari.T$e . :/ 2atnai#>s O+n ?oal (191.n 2!!.n'ian c$ief minister to be accuse' of abusin( $is po+er for $is o+n benefit an' t$at of $is sons an' relati.%/ 5eroF ?an'$i sources t$e confi'ential correspon'ence bet+een t$e t$en 5inance Minister T.n 191!/ t$e aut$orities 'isco.7):.Git$ t$e exposure of t$is scan'al concernin( =.our.R.n'ia To'ay bro#e t$e story. 9/ Maruti Scan'al (1970) t$e sale of s$ares to ". &e @uit a year later.ate trust.i'ent t$at t$ere +as a prima facie case. 1!/ Solan#i BxposH (1992) :./ t$e case +as finally close'/ in &4G>s fa. 1.% by a %alcutta-base' Mar+ari businessman name' &ari'as Mun'$ra.oure' +it$ a license to ma#e passen(er cars. 1 / &4G %ommissions (19:7) :.) :. <ris$namac$ari an' $is principal finance secretary/ an' raise' a @uestion in 2arliament on t$e sale of Cfrau'ulent> s$ares to ". 1/ Te9a "oans (191!):.0/ M684&R= S%=84=" (19..sin$ Solan#i/ t$en t$e external affairs minister/ slippe' a letter to $is S+iss counterpart as#in( t$eir (o.&4G/ t$e ?erman submarine ma#er/ +as blac#liste' after alle(ations t$at commissions +ort$ Rs 2! crore $a' been pai'. T$e t$en 2rime Minister/ *a+a$arlal 8e$ru/ set up a one-man commission $ea'e' by *ustice M.esti(ate t$e matter +$en it becomes e. 12/ =ntulay Trust (19:1) :. .Gell before t$e company +as set up/ former 2rime Minister . . %$a(la conclu'e' t$at Mun'$ra $a' sol' fictitious s$ares to ".n'ian Oil %orporation si(ne' an Rs 2. Solan#i resi(ne' +$en .t +as t$e me'ia t$at first $inte' t$ere mi($t be a scam in. .%$a(la to in.2. =ntulay/ t$en t$e c$ief minister of Ma$aras$tra/ T$e .ately-$el' company <alin(a Tubes in a+ar'in( a (o.S$ippin( ma(nate *ayant 4$arma Te9a too# loans +ort$ Rs 22 crore to establis$ t$e *ayanti S$ippin( %ompany.2ratap Sin($ <airon became t$e first .ernment to stop t$e probe into t$e 7ofors #ic#bac#s.=t t$e Gorl' Bconomic 5orum/ Ma'$a. crore.n'ira ?an'$i>s name came up in t$e first Maruti scan'al/ +$ere $er son San9ay ?an'$i +as fa.%/ t$ereby 'efrau'in( t$e insurance be$emot$ to t$e tune of Rs. T$e petroleum an' c$emicals minister +as 'irecte' to ma#e t$e purc$ase.n'ian Bxpress +as reborn. Mun'$ra +as sentence' to 22 years in prison. T$e scam also force' t$e resi(nation of T.%.Orissa %$ief Minister 7i9u 2atnai# +as force' to resi(n after it +as 'isco.ere' t$at $e +as actually sip$onin( off money to $is o+n account/ after +$ic$ Te9a fle' t$e country. 7/ <airon Scam (191 ):.en.T.T.ere' t$at $e $a' fa.ol. =ntulay $a' (arnere' Rs ! crore from businesses 'epen'ent on state resources li#e cement an' #ept t$e money in a pri.oure' $is pri.ernment oil contract +it$ a non-existent firm in &on( <on( an' a #ic#bac# +as (i.

n'ian 7an# Rip-off (1992) :. Sac$'e.ate firm in t$e purc$ase of telecom e@uipment.n'ian bi(+i(s/ inclu'in( Ra9i.n'ian =irlines>s (.ertisin( boom an' t$e a's +ere create' by t$e 4el$i branc$ of Re'iffusion.este' t$e fun's in t$e stoc# mar#et/ lea'in( to a cras$.E.n a 2ic#le (1991) :.n'ian 7an#/ borro+ers-mostly small corporates an' exporters from t$e sout$-+ere lent a total of o. 1.) an' S7.a +as later ac@uitte' 21/ *MM 7ribes (199.&ars$a' Me$ta manipulate' ban#s to sip$on off money an' in.ertisements. T$e loss: Rs . ?an'$i/ t$en t$e prime minister/ to secure t$e purc$ase of t$e 7ofors (un.=) si(nin( of t$e Rs 2/!!!-crore 'eal +it$ =irbus instea' of 7oein( cause' a furore follo+in( t$e cras$ of an =.e collu'e' +it$ officials in t$e Securities Bxc$an(e 7oar' of . ?opala#ris$nan/ t$en t$e c$airman of t$e .ourin( a &y'eraba'base' pri./ St <itts 5or(ery (19:9) :.a/ t$e promoter of MS S$oes/ alle(e'ly use' company fun's to buy s$ares (of $is o+n company) an' ri( prices/ prior to a public issue. 8arasim$a Rao an' (o'man %$an'ras+ami of acceptin( a bribe of Rs 1! la#$ from $im for securin( a paper pulp contract. at St <itts/ +it$ a 'eposit of I21 million. 8e+ planes +ere (roun'e'/ causin( . .ernment in t$e 199 no-confi'ence motion.= S+e'is$ firm +as accuse' of payin( Rs 10 crore to . 8arasim$a Rao (o.E. 199-crore public-JJJ-ri($ts issue. %aps/ +$ic$ lea'-mana(e' t$e issue/ to 'upe t$e public into in. 2 / Telecom Scam (1991) :. crore.! crore to t$e exc$e@uer.icte' in 2!!2. &e/ alon( +it$ t+o ot$ers/ +as con.2. 11/ =irbus Scan'al (199!) :. 1:/ .=s foo' minister/ <alpnat$ Rai presi'e' o../!!! crore.mport (1990) :. &e is alle(e' to $a.=n attempt +as ma'e to sully E.=i'e' by Rs 1/ !! crore/ +$ic$ t$ey ne.= a +ee#ly loss of Rs 2. Sac$'e.1 crore to t$e exc$e@uer by fa.) :.tens of t$em intri(uin(ly $ea'line': CG$o is 2a+an Sac$'e.n'ia (SB7.10/ 7ofors 2ay-Off (19:7) :.=nyone +$o +ar ol' enou($ in 1990 to rea' +ill remember t$e a'.er pai' bac#.. 19/ Su(ar .2ic#le baron "a#$ub$ai 2at$a# raise' a stin# +$en $e accuse' former 2rime Minister 2.e' bribes of Rs ! la#$ to bail out t$e 2.*$ar#$an' Mu#ti Morc$a lea'er S$ailen'ra Ma$ato testifie' t$at $e an' t$ree party members recei. 17/ Securities Scam (1992) :. 2!/ MS S&OBS S%=M (1990) :. 22/ . Sin($>s Mr %lean ima(e by for(in( 'ocuments to alle(e t$at $e +as a beneficiary of $is son =9eya Sin($>s account in t$e 5irst Trust %orp.a)> 5or t$e recor'/ it +as t$e pea# of t$e public issue'-le' a'.5ormer minister of state for communication Su#$ Ram +as accuse' of causin( a loss of Rs 1.estin( in $is Rs. &e resi(ne' follo+in( t$e alle(ations.2!.er t$e import of su(ar at a price $i($er t$an t$at of t$e mar#et/ causin( a loss of Rs 1.

21/ &a+ala 4iaries (1991) :. %$i'ambaram +as tol' t$at $un're's of companies $a' 'isappeare' after raisin( moneys form t$e public. T$at 7$ansali #ne+ $o+ to +or# t$e system became e.atars/ across t$e countryespecially in t$e Sout$ +$ere financial ser. 2.n'ia .ertently 'isco. probe con'ucte' in May 199: re.<.er 1!! companies +ere missin(.itable collapse $appene' sooner t$an planne'/ &ars$a' Me$ta orc$estrate' a co.estors $a' lost o.esti(atin(.er Rs.S&. T$is +as amon( t$e first retail scams in . !. 27/ %R7 S%=M (1997) :. rai's on $a+ala operators in 4el$i in +$at +as ba'ly#ept secret on 4alal street.e in t$e State 7an# of . T$e bubble finally burst in May 1997/ but by t$at time 'eli. 8arasim$a Rao re(ime fleece' t$e (o. T$e SB7.ol.eale' t$at +$ile many companies are not tra'e' on t$e bourses at least :! companies t$at $a' rises Rs./ 6rea 4eal (1991) :.eile' a Rs 9. Rama#ris$nan/ M4/ 8ational 5ertiliser/ an' a (roup of businessmen close to t$e 2.i'ent +$en $e also mana(e' to secure a pro. %$ain Roop 7$ansali/ a smart-tal#in( entrepreneur/ create' a pyrami' financial empire base' on $i($-cost financin(.20/ 5o''er Scam (1991) :.n'ia an' it +as playe' out/ in smaller a.isional ban#in( license.7: crore +ere simply missin(.!-crore scam in. =n executi. 7$ansali +as arreste' for a fe+ +ee#s an' release' later on bail.ere'. finally passe' its rulin( on t$e scam in 2!!1/ bannin( t$e t$ree companies concerne' from tappin( t$e mar#et-72"/ for t+o years.T$e accountant (eneral>s concerns about t$e +it$'ra+al of excess fun's by 7i$ar>s animal $usban'ry 'epartment un. T$en $is luc# ran out. T$e ine.n./ t$en t$e state c$ief minister.8? %OM2=8.%.S.esti(ations continue to t$is 'ay.BS S%=M (199:) :.ices companies promise' returns in excess of 2! per cent an' 'ecampe' +it$ t$e principal. =t its pea#/ $is Rs. 1/!!! crore.8? (199:) :.T$e 7i( 7ull returne' to t$e bourses.ere' t$rou($ acci'ent. SB7. &e resi(ne' a year later. .in( "alu 2rasa' 3a'a. *ain>s 'iaries t$at $a' $ea's rollin(. 2:/ MB&T=>S SB%O84 %OM. T$is time/ $e alle(e'ly collu'e' +it$ t$e promoters of 72"/ Ei'eocon .ere' t$at some interest +arrants issue' by 7$ansali +ere not bac#e' by cas$.T$e scan'al surface' follo+in( %7.ices company into fixe' 'eposits/ an' a merc$ant ban#. Me$ta +as 'ebarre' for life form 'ealin( in Securities =ppellate Tribunal (S=T) in October 2!!1 29/ E=8. 1/!!!-crore financial con(lomerate $a' in its ran#s a mutual fun'/ a financial operation t$at inclu'e' a $i($K9in#s effort by officials of 7ombay Stoc# Bxc$an(e to (ille(ally ) open t$e tra'in( system in t$e mi''le of t$e ni($t to set t$in(s ri($t/ but t$e 'ama(e $a' been ''.ernment an' too# Rs 1 crore from t$e import of t+o la#$ tonne of urea/ +$ic$ +as ne. . %$i'ambaram or'ere' a probe by SB7..n'ustries to ri( t$e s$are prices of t$ese companies.nternational/ an' Sterile . 7ut it +as S.= passin( remar# $ear' by t$en 5inance Minister 2alaniappan %$i'ambaram resulte' in a furore o. 4%= still in. "ater t$at year/ t$e 4epartment of %ompany =ffairs (4%=) +as as#e' to probe an' penaliFe t$ese companies.=not$er scam for(e' by (ree' an' 'isco.eale' t$at per$aps o. =n informal scrutiny re.

O8 %OM2=8.estors. companies/ bet+een t$em/ $a' raise' Rs.Subramanyam/ t$e %$airman of 6T" B.estors $a. 0! crore) to (oo' effect.e 9ournalism turne' anot$er corner in t$e country.6n'er t$e pretext of (ilt tra'in(/ Rs 1!! crore +as s+in'le' from o. nor Reser.Mo$amme' =F$aru''in/ till t$en .<etan 2are#$>s mo'us operan'i +asn>t .e 7an# of .n.!/ 2"=8T=T. T$e result) G$en t$e mar#et tan#e'/ so 'i' t$e 8=E of its $oly co+/ t$e 6S-10. &e +as cau($t +$en pay-or'ers issue' by Ma'$a.f Me$ta use' ban#er>s receipts/ t$en 2are#$ use' pay or'ers to ramp up t$e prices of $is fa. 02. cooperati.esti(ati.Te$el#a/ an online ne+s portal/ use' spycams to catc$ army officers an' politicians acceptin( bribes/ in t$eir stin( operation calle' Operation Gesten'.T$e may$em t$at +ipe' off o.era(e' a 'ip in t$e 8=S4=M to bear 'o+n stoc# prices. 5or/ plantation companies fell un'er t$e pur.en come un'er t$e scope of t$e 4epartment 'eci'e' to c$an(e t$in(s in 1999/ enou($ in.ol. =lt$ou($ t$e total amount in./!!! crore in t$e mar#ets in Marc$ 2!!1 +as mastermin'e' by t$e 2entafour bull <etan 2are#$.e a s+in'le as any effecte' in t$e +orl'. .y entrepreneurs con.e 7an# bounce'. 2/.ati.estors $a' been (ulle': 1. =mon( t$em: t$e entire mana(ement team of 7SB/ inclu'in( its presi'ent =nan' Rat$i/ %S57/ 5irst ?lobal/ an'/ in an in'irect connection/ t$e ri($t irri(ation an' fertiliFer inputs/ tea#/ stra+berries/ an' anyt$in( else t$at coul' be (ro+n/ +oul' (ro+ any+$ere in t$e country.i Mumbai- .er 2.n'ee'/ t$ey 'i'n>t e./ &ome Tra'e Scam (2!!2) :.e' in t$e scam +as 9ust Rs.estors an' not +orry about retribution (or returns/ for t$at matter).ourite scrips (t$e <-1!).e years. =part from money form t$e ban#in( system 2are#$ also reroute' money from corporate' li#e &5%" (Rs.ery 'ifferent from &ars$a' Me$ta> of neit$er Rs 1/1. 0/ Stoc#mar#et Scam (2!!1) :./ t$e Trust $a' mirrore' t$e actions of t$e bull cartel.BS S%=M (1999) :. .esti(ate' t$e scam an' $ea's be(an to roll. 1/ Matc$ 5ixin( (2!!!) :. &e +as arreste' in 4ecember 2!!2 an' banne' from acccessin( t$e capital mar#et for 10 years. in. 2/ <BT=8 2=RB<& S%=M (2!!1) :.n'ia. .1 crore from in. 6n'er pressure from t$e (o. T$e promoters coul' affor' to collect money from in. Sa.e (ot t$eir principals bac#/ 9ust anot$er affirmation of t$e ol' sayin( about money not (ro+in( on trees.e ban#s in Ma$aras$tra an' ?u9arat by a 8a. . &e an' =9ay S$arma +ere banne' from playin(/ +$ile =9ay *a'e9a an' Mano9 2rab$a#ar +ere suspen'e' for fi.ince' (ullible in.. 1 7 crore/ t$e impact +as far (reater.i'ently/ for t$e 1: mont$s t$at 2SS +as %$airman of 6T. crore)/ an' Lee (Rs.estors t$at (i.t +as as inno.n'ia>s cric#et captain/ +as accuse' of matc$-fixin(.pura Mercantile %ooperati. T$e resultant slump in t$e mar#ets $appene' soon after 5inance Minister 3as$+ant Sin$a presente' +$at $e consi'ere' $is best bu'(et e. To 'ate/ not many in.ernment/ SB7. =pparently/ +$en a bear cartel sense' 2are#$ +as in trouble/ it steppe' in an' le. / Te$el#a Stin( (2!!1) :.

7/ Oil-for-5oo' Scan'al (2!!. "aunc$: 9! 8RB?=-style sc$emes/ eac$ +ort$ rou($ly Rs :1/111 crore.n'ia>s perimeter 97 times sc$emes.1/!!! to e. .ra@ oil-for-foo' scam.:2 la#$ to 0! crore . T$at>s at least for e.base' bro#era(e firm &ome Tra'e. B.T$e s$eer ma(nitu'e of t$e rac#et +as s$oc#in(-it cause' a loss of Rs !/!!! crore to t$e exc$e@uer.n'ia>s 1 la#$ .en better/ (i. 8at+ar Sin($ +as unceremoniously 'roppe' from t$e %abinet +$en $is name surface' in t$e Eolc#er Report on t$e .ery . Supply: 12 la#$ %5" bulbs. Set up: 2/7! coal-base' po+er plants of 1!! MG eac$. ?i. T$at>s enou($ li($t for eac$ of .e Rs 1.ers for t$e next 121 years/ at Rs 1/2!! crore a ri. G$at .e: Rs .. %onstruct: 10. 4isclosures of t$e mastermin' be$in' it/ =b'ul <arim Tel(i/ implicate' top police officers an' bureaucrats. %lean up: . =nnounce: 121 more loan +ai.: crore people. Scan t$e scams t$at $a.! ma9or ri.e (rabbe' $ea'lines/ 'estroye' reputations an' left many people poorer.0 crore primary $ealt$care centres. San9ay =(ar+al/ %BO of t$e firm/ +as arreste' in May 2!!2..A ?ree'/ (raft/ politics/ bribery/ 'irty money.n'ians li. la#$ crore.n'ia %oul' 4o Git$ Rs 7 "a#$ %rore) 7uil': 2. Bac$ costs Rs 2/7!! crore. T$at>s a roa' aroun' .1 la#$ #m of t+o-lane $i($+ays.) :.!2 crore eac$/ +it$ t+o sections from %lass E. *ust anot$er 'ay in t$e life of a nation still rate' amon( t$e most corrupt in t$e +orl'. 7uil': 20.illa(es %onstruct: 10.n'ian.ery crore lo+-cost $ouses assumin( a cost of Rs .illa(e/ at a cost of Rs ! la#$ eac$. &an' out: 1!.1 la#$ <en'riya Ei'yalayas at a cost of Rs . to 72".ery . 1/ Stamp 2aper Scam (2!! ) :. =ll of t$em +ort$ Rs 1!/!!! crore. ?ro+ t$e ?42: T$e scam money is 27O more t$an our ?42 of Rs . la#$ a unit.<.: crore Tata 8anos to 1!. Or four times as many laptops.