Railway bribery scam explained

Indian Railway Minister Pawan Kumar Bansal's nephew, Vijay Singla, was arrested in Chandigarh^[1] on 3 May 2013 by sleuths of India's Central Bureau of Investigation for allegedly accepting a bribe of 9 million (9,000,000) rupees from Narayana Rao Manjunath on behalf of Mahesh Kumar, a member of the Indian Railway Board, in exchange for getting a higher ranking position on the Railway Board.^{[2] [3]} It was reported that Kumar had superseded two seniors to be promoted to the Indian Railway Board, although this was denied by the railway ministry, but wanted to be another member who dealt with more contracts.

Persons Involved

• Vijay Singla - Nephew of railway minister Pawan Kumar Bansal^[4]
• Mahesh Kumar: Member Railway Board^[5]
• Sandeep Goyal (Singla's Friend) - Owner of Pyramid Electronics
• Narayana Rao Manjunath : MD of G.G Tronics
• Rahul Yadav: Associate of Manjunath
• Samir Sandhir
• Sushil Daga
• Murali: MD of Venkateshwara rail nirman and uncle of Narayan to manjunath(NR manjunath's mother's younger brother)
• Venugopal(Employee of NrayanaRao Manjunath)

After-effects

There were demands for the resignation of railway minister Pawan Kumar Bansal. The minister allegedly involved in the scam was made to resign from his post on 10 May 2013, after a long meeting held at Prime Minister's house. On the very same day Ashwani Kumar, the minister of Law and Order, also had to resign due to allegations on him of viewing the CBI report on Coal Scam even when the Supreme court of India had ordered not to show the report.^{[6] [7]}

Response

• Indian National Congress: Though had several meeting over the issue,^[8] though denied any the resignation of the minister.^[9]
• Bhartiya Janta Party: BJP asked that the minister be sacked and the party organized huge protests on this issue.^{[10] [11]}

Ministers' role

Members of the Railway Board are appointed by the Appointments Committee of Cabinet; although they usually agree with the recommendations of the minister.^{[12] [13]}

Nephew's link with the minister

Singla acquired businesses with diversified interests in real estate, cement, packaging, infrastructure and steel manufacturing over the last decade, thanks to his proximity to the minister.^[4] Many of these companies soon began flourishing after Bansal won the 1991 elections from Chandigarh. Singla often facilitated meeting of captains of industry with the minister at his industrial complex.^[14]

Related

• Corruption in India

Notes and References

1. http://www.hindustantimes.com/Punjab/Chandigarh/High-drama-outside-Bansal-s-nephew-house/SP-Article1-1054463.aspx High drama outside Bansal’s nephew house – Hindustan Times
2. https://web.archive.org/web/20131225073259/http://ibnlive.in.com/news/railway-bribery-bansal-may-quit-but-pm-unlikely-to-accept-resignation/389555-3.html Railway bribery: Bansal may quit but PM unlikely to accept resignation
3. http://www.thehindu.com/news/national/mahesh-kumar-struck-rs-10-crore-deal-for-post-fir/article4684202.ece Mahesh Kumar struck Rs. 10 crore deal for post: FIR – The Hindu
4. https://web.archive.org/web/20130508025950/http://articles.timesofindia.indiatimes.com/2013-05-05/india/39041915_1_pawan-kumar-bansal-union-territory-lok-sabha-elections Railway scam: Vijay Singla’s rise coincided with Pawan Bansal’s – The Times of India
5. https://archive.today/20130630101300/http://www.telegraphindia.com/1130505/jsp/frontpage/story_16860952.jsp From record to ruin
6. https://web.archive.org/web/20130507123304/http://articles.timesofindia.indiatimes.com/2013-05-04/india/39026629_1_congress-core-group-p-k-bansal-railway-board Pawan Bansal's fate hangs in balance as he defends himself – Times Of India
7. https://web.archive.org/web/20130507135247/http://articles.timesofindia.indiatimes.com/2013-05-05/india/39042259_1_vinay-mittal-ashwani-kumar-pawan-kumar-bansal Railway scam: Congress caught in a bind over Bansal's fate – The Times of India
8. https://web.archive.org/web/20130507025325/http://articles.timesofindia.indiatimes.com/2013-05-04/india/39026606_1_bribery-case-congress-core-group-cbi Bansal's nephew remanded in CBI custody, Congress core group meets – Times Of India
9. https://web.archive.org/web/20130507144123/http://ibnlive.in.com/news/railway-bribery-no-decision-on-bansals-resignation-at-cong-meet/389619-37.html Railway bribery: No decision on Bansal's resignation at Cong meet
10. http://articles.economictimes.indiatimes.com/2013-05-04/news/39026994_1_bjp-leader-railway-minister-pawan-bansal-2g-and-coalgate BJP flays govt for 'railwaygate', demands Pawan Bansal be sacked – Economic Times
11. https://archive.today/20130630100613/http://www.telegraphindia.com/1130504/jsp/frontpage/story_16858924.jsp%23.UYYbsEkkd2M Congress scoffs at Opposition demand for Bansal resignation, CBI continues arrests
12. Web site: Railway scam: Congress caught in a bind over Bansal's fate . . 5 May 2013 . 5 May 2013.
13. http://www.ndtv.com/article/india/railway-bribery-scam-congress-to-decide-minister-pawan-kumar-bansal-s-fate-after-karnataka-polls-say-362907 Bribery scam: Congress core group meets; Pawan Kumar Bansal's fate uncertain | NDTV.com
14. News: BJP claims direct Singla-Bansal link. 25 September 2013. Timesnow. 5 May 2013.