[Reader-list] Tata's underbelly

S. Jabbar sonia.jabbar at gmail.com
Wed Mar 3 09:37:31 IST 2010


War Profiteer of the Month: Tata Group
 Español 17 Nov 2009 ‹ javier
Tata Group is one of India's oldest and largest conglomerates in India. The
group is spread over seven business sectors. It comprises 96 companies,
operates on six continents and employs 350,000 people. Revenues in 2007-08
are estimated at $62.5 billion (around Rs. 2,51,543 crore), of which 61
percent is from business outside India.

History

The beginnings of the Tata Group can be traced back to 1868, when Jamsetji
Nusserwanji Tata established a trading company dealing in Opium in Bombay.
This was followed by the installation of Empress Mills in Nagpur in 1877.
Taj Mahal Hotel in Bombay was opened for business in 1903. Sir Dorab Tata,
the eldest son of Jamsetji became the chairman of the group after his
fathers death in 1904. Under him, the group ventured into steel production
(1905) and hydroelectric power generation(1910). After the death of Dorab
Tata in 1934, Nowroji Saklatwala headed the group till 1938. He was
succeeded by JRD Tata. The group expanded significantly under him with the
establishment of Tata Chemicals (1939), Tata Motors and Tata Industries
(both 1945), Voltas (1954), Tata Tea (1962), Tata Consultancy Services
(1968) and Titan Industries (1984). Ratan Tata, the incumbent chairman of
the group succeeded JRD Tata in 1991.

Corporate responsibilities

Tata and its group of companies have been named for violating human and
labour rights and environmental standards, as well as for involvement in
financial scams. Both historically and today, Tata companies have struck
business deals with repressive governments. In its early days, Tata
benefited from business deals arising out of the British empire's colonial
conquests. More recently, it has drawn criticism for opportunism including
open support for repressive administrations such as the Hindu fundamentalist
right in Gujarat and Chhattisgarh. The International Campaign for Justice in
Bhopal, has documented the Tata Group's crimes against the environment and
human rights, noting the company's links with Myanmar's military junta.

Tata's flagship company, Tata Steel has been involved in several conflicts
with indigenous people over mineral resources. In the Sukinda district of
Orissa, Tata operates one of the world's largest chromite mines. Sukinda has
been listed as one of the 10 most polluted sites in the world. On January 2,
2006, State Police shot dead 12 indigenous people who were part of a large
protest against Tata Steel's takeover of their land. [Source: Battle over
steel mills. BBC News. 26 February, 2006.]

>From the times of its war profiteering during the campaign of the British
imperial forces in Northern Africa, to opium trade during the opium wars
with China, Tata has seized opportunities thrown up by situations of
conflict and aggression. It has not hesitated to build up ties with even
globally tainted and oppressive regimes, such as the military junta in
Burma, or the Hindu fundamentalist Narendra Modi Government in Gujarat.

In December 2006, Gen. Thura Shwe Mann, "Myanmar¹s chief of general staff
and possibly the second-most important leader of the military junta after
Senior Gen. Than Shwe" visited the Tata Motors plant in Pune. The Pune plant
reportedly manufactures vehicles for the Indian military. [Source: "Myanmar
Ties." December 8, 2006. The Telegraph, Calcutta, India]

Political influence

Tatas are among the largest contributors to the two key and rival political
parties in the Indian national scene. The Indian National Congress Party
received the largest share of Tata's financial largesse between 2003 and
2007, netting $860,000 (Rupees 43 million). The BJP too, tainted as it was
with allegations of perpetrating the Gujarat riots targeting Muslims in
2002, received $540,000 from the Tatas during 2003-2007. ["BJP, Congress hog
big biz funds." DNA. 05 March, 2009]

In December 2004, immediately after the Congress-led United Progressive
Alliance formed the Government at the Centre, Ratan Tata was appointed chair
of the Investment Commission that was to develop a roadmap for the
Government in attracting Foreign Direct Investment to India. ["Ratan Tata to
head Investment Commission." Times of India. New Delhi. 6 December, 2004.]
In March, 2009, Tata Sons chairman Ratan Tata was taken to court by Ms.
Shruti Singh, an advocate of the Patna High Court, for launching the Nano
car ahead of the elections. This, she alleged was done to "help" Gujarat
Chief Minister Narendra Modi, who provided land to the Tatas after their car
project was kicked out of Singur, West Bengal by farmers and farm labourers
whose lands and livelihoods were to be sacrificed to accommodate the
project.

Military industry

Tata Advanced Systems has been set up as a joint venture (JV) with an
investment of $150 million and 76% holdings by the mammoth Tata Industries
and $50 million by Israel¹s IAI to manufacture Unmanned Aerial Vehicles
(UAVs), electronic warfare systems, missiles, radar systems and security
systems. Tatas have also tied up with US aviation company Sikorsky for
helicopter sub-assemblies.

Aerospace Division of TAML (Tata Advanced Materials Limited) which is part
of the Tata conglomerate is engaged in Design, Manufacture and Supply of
composite components, parts, sub-assemblies for applications in Aircraft,
Space & Helicopter.

TAML also designs and manufactures light weight composites based bullet
resistant jackets in a Technical Collaboration with SNPE of France (a French
Government owned Defense Company).

Over the years TAML also worked developing special composite containers for
transporting various sensitive products used by the Indian defence forces.
The company also worked in developing other special applications used in
operations and products by the Indian armed forces.

According to TML words ³Mobility today is key to the success of the security
forces who have to go in hot pursuit of the enemy and often they would need
to seek and destroy by attacking the enemy in their own territory in the
urban areas [...]Security personnel, VIP¹s are often under a threat and need
protection as they travel against assassination attempts and other attacks
using mines. The men of the armed forces are always in the forefront of
danger and as they move in hostile territory, these brave men need to be
protected. We at TAML can provide solutions to armour the vehicles which are
used by VIP¹s, Soldiers and other Security personnel [...]A common enough
solution is to provide an all steel armour and thus cover the vehicle from
all directions. This results in a substantial increase in weight and reduces
vehicle performance and efficiency².

For more information:

http://www.crocodyl.org/research_inventory/tata_group
http://en.wikipedia.org/wiki/Tata_group
http://www.tata.co.in/
http://wri-irg.org/node/8664
Published in War Profiteers' News, November 2009, No. 21


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