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There is little empirical evidence to show that CAC or freely flexible exchange rates help augment GDP growth. On the contrary, the fastest growing economy in the world – China – has consistently held its currency to values below market rates. In fact, there is little evidence to suggest that rapid financial sector liberalisation helps GDP growth. Is CAC a policy goal on its own or should exchange rate policy serve the interest of boosting GDP growth rates on a sustained basis? It took the financial crises of the late 1990s to make the IMF drop CAC from its agenda. India should not play a role in putting CAC back on the IMF’s agenda. RAGHBENDRA JHA Canberra, Australia Earlier to the writ petition, three members of SIS had filed a petition before the charity commissioner, Pune (Application No 16 of 2005 u/s 41A of BPT Act and the subsequent order dated November 14, 2005) making baseless charges against the then GIPE administration without any prior discussion with the concerned people and seeking powers from the charity commissioner to interfere in the administration. The timing of the petition was significant, the beginning of the Diwali vacation when the institute was closed. The order was also obtained during the vacation. The petition strangely cited opponent as “Nil”. The notice was not delivered at the institute office, which was closed. The then administration consequently
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Economic and Political Weekly May 27, 2006 (Continued from p 2042) did not have any knowledge of the petition or any opportunity to respond. This was prima facie deliberate subversion of the due process of justice and smacked of mala fide intentions. When informed of the November 14, 2005 order based on a prayer that contained incorrect charges, the concerned employees thought it appropriate to seek legal advice on the course of action, and on legal advice, filed a writ petition against the charity commissioner’s order giving wide powers to SIS to interfere in administration. The writ petition was dismissed on the ground that the petitioners, being paid employees of the trustees (which is incorrect), could not challenge the trustees. In the order by the judge the allegations contained in the original prayer before the charity commissioner were not discussed. Dubashi mentions about “due respect” to be given to the trustees under the memorandum of association (MoA) and rules of the institute. Let me humbly point out to him a recent instance of blatant violation of MoA by the SIS. I have been the UGC nominee on the board of the institute since 2000, serving a second term till April 2006. When I was informed of the premature termination of my membership, I took up the matter with UGC to receive a letter from P Prakash of UGC stating unambiguously that I “will continue to be the UGC nominee (on the board) till the relevant date in April 2006”. The saga does not end here. Despite receiving a faxed copy of the letter from UGC on March 20, the present administration of the institute deliberately chose to defy UGC by reportedly holding a meeting of the board on March 25, 2006, without inviting me! A very able administrator that P R Dubashi had been, apart from being a vice chancellor, may I respectfully urge him to verify the facts above from an independent source, not from SIS or the current administration of the institute. His conscience may then persuade him to join the signatories of the March 18 letter. SURESH D TENDULKAR Delhi Here are some guidelines for to ensure early publication. Papers with Article, Commentary and Discussion immediate relevance for policy would be sections will be published at the end ofEPW welcomes original research papers in considered for early publication. Please the article.) any of the social sciences. note that this is a matter of editorial * Authors are requested to prepare their * judgment. soft copy versions in text formats. PDF
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