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By:

Rajendra Joshi

3 December 2024 at 9:20:26 am

The Warning Beyond NEET

The Jantar Mantar protests exposed the widening gap between education, employment and growth. The month-long protest at Delhi's Jantar Mantar may have formally ended, but the political and economic questions it raised will linger. Triggered by the NEET paper leak, the movement became a major expression of youth discontent. What began as a demand for a fair examination system became a broader indictment of an economic model that promises opportunity but increasingly fails to deliver...

The Warning Beyond NEET

The Jantar Mantar protests exposed the widening gap between education, employment and growth. The month-long protest at Delhi's Jantar Mantar may have formally ended, but the political and economic questions it raised will linger. Triggered by the NEET paper leak, the movement became a major expression of youth discontent. What began as a demand for a fair examination system became a broader indictment of an economic model that promises opportunity but increasingly fails to deliver employment. The government initially treated the protests as a law-and-order issue. That changed when the Rashtriya Swayamsevak Sangh (RSS), the ideological fountainhead of the ruling establishment, publicly criticised police action and expressed solidarity with the students. The subsequent resignation of Union Education Minister Dharmendra Pradhan, withdrawal of criminal cases and RSS chief Mohan Bhagwat's endorsement of the integrity and aspirations of India's Gen Z transformed the political narrative. The issue had moved beyond examination reform to whether India's development model is serving its young citizens. The NEET paper leak was merely the spark. The fuel had accumulated through rising educated unemployment, declining confidence in public institutions and growing frustration among millions of young Indians. Education is increasingly seen as an uncertain investment rather than a guaranteed pathway to opportunity. Every examination scandal reinforces the perception that merit alone is insufficient, while recruitment delays deepen the belief that the system is failing those who have done everything expected of them. India has celebrated its demographic dividend for nearly two decades, projecting its young workforce as its greatest competitive advantage. But demographic dividends are never automatic. They generate prosperity only when education is matched by employment, productivity and rising incomes. Otherwise, they become demographic liabilities that breed frustration rather than growth. The evidence suggests India is approaching that inflection point. GDP has expanded impressively over the past two decades, yet employment has failed to keep pace. Employment elasticity has weakened sharply. During the 1980s, every percentage point of GDP growth generated roughly half a percentage point increase in employment. Today the ratio is estimated at about 0.16, among the lowest for major emerging economies. Growth continues; jobs do not. This disconnect reflects India's growth strategy. Public policy has increasingly favoured capital-intensive industries through subsidies, tax incentives and investment support. Such sectors contribute to output and productivity but generate relatively fewer jobs. Agriculture continues to suffer from incomplete reforms and low productivity. Manufacturing has not expanded fast enough to absorb new workers, while artificial intelligence and automation are reducing opportunities in occupations once regarded as gateways to middle-class prosperity. India thus faces a paradox: it is producing more graduates while creating fewer opportunities to absorb them. The comparison with Asia is instructive. Vietnam and Bangladesh have pursued manufacturing-led growth that has generated substantially higher employment relative to economic expansion. Vietnam's employment-to-population ratio is estimated at nearly three-fourths, compared with about one-half in India. Vietnam has also moved into the upper-middle-income category, while India remains a lower-middle-income economy. These comparisons do not diminish India's achievements. They highlight the urgency of correcting structural weaknesses before they become politically destabilising. History demonstrates the risks of prolonged youth unemployment. The Arab Spring showed how educated but unemployed youth can transform political landscapes. More recently, political instability in Bangladesh and Nepal has reflected frustration among younger populations facing shrinking opportunities. India's democratic institutions are stronger, and its circumstances are different. Yet no democracy can indefinitely ignore the aspirations of its largest demographic group. The significance of Jantar Mantar lies here. India's Gen Z is organised, digitally connected and politically conscious. Social media transformed local grievances into a national movement within days, while traditional political parties largely responded after the sentiment had acquired independent momentum. The RSS intervention further complicated the government's challenge. Once protesting students found resonance within the ideological ecosystem closest to the ruling establishment, the issue ceased to be a partisan confrontation. It became an internal warning that India's youth expect credible institutions, transparent examinations and, above all, meaningful employment. The Centre's examination reforms are necessary but insufficient. Restoring the credibility of competitive examinations addresses only one symptom. The larger challenge is to redesign India's growth strategy around employment. Labour-intensive manufacturing, support for small and medium enterprises, investment in skills, higher-education reform and greater attention to employment outcomes must become central to economic planning. The Jantar Mantar agitation should not be remembered simply as the NEET protests. It marked a moment when India's youngest generation questioned the assumptions underlying the country's development model. Governments can manage protests and reform examinations. But unless economic growth translates into broad-based employment, similar movements will return. India's demographic dividend remains its greatest opportunity. It could equally become its greatest challenge. The warning has been delivered. The question is whether policymakers are prepared to listen.

India waits to lasso diamantaire Mehul Choksi

Mumbai: India rubbed its hands gleefully as the Belgium Police honoured its request to arrest the absconder diamantaire Mehul Chinubhai Choksi – more than seven years after he, along with his nephew Nirav Deepak Modi - allegedly duped the Punjab National Bank of nearly Rs. 13,800-crores.

 

The scam involving the ‘Mehul Mama-Nirav Bhanja’ erupted in Jan 2018, after the PNB lodged a complaint with the Central Bureau of Investigation (CBI).

 

By then the kin, along with many of their family members, winked and slipped out of the country, leaving a rattled India rubbing its palms in disappointment.

 

A political-cum-financial storm raged, embarrassing the Bharatiya Janata Party government of Prime Minister Narendra Modi a year before the Lok Sabha elections.

 

Multiple agencies launched a multi-pronged probe into what became the biggest banking scam in the past quarter century – and almost four times bigger than the stock market-cum-banking fraud the late Big Bull Harshad Mehta had inflicted on the Indian economy 33 years ago (in April 1992) – when it was just opening up.

 

In Belgium

According to official reports, Choksi was living with his Belgium citizen-wife Preeti in Antwerp, a global diamond hub, presumably for the past 18 months on a ‘residency permit’ acquired through questionable means, for medical reasons.

 

Earlier, he shot to the headers (June 2021) while being taken in a wheelchair to a court by the Dominican Republic's Police on charges of sneaking into the small country in the Caribbean Sea, North America.

 

Interestingly, as the Antigua & Barbuda government initiated the process to cancel his citizenship acquired through an investor visa, Choksi had suddenly gone ‘missing’ till he surfaced in the Dominican Republic.

 

The April 2025 action by Belgium followed a request by India’s CBI and the financial frauds specialist Enforcement Directorate (ED) to nab Choksi as the InterPol had revoked his Red Corner Notice in 2023.

 

Mama and Bhanja

‘Mama’ Choksi is the founder-owner of Gitanjali Group while ‘bhanja’ Nirav’s Firestar plus other companies – and the duo, with some PNB officials hand-in-glove – conspired to make a ‘mamu’ of not only PNB, but other banks, as it subsequently tumbled out.

 

After making a quiet exit, Choksi was detected living in the verdant Antigua & Barbuda Isles (West Indies), then attempted entry to the Dominican Republic, was sent back to Antigua & Barbuda and then went to Belgium where he was nabbed on Sunday.

 

Similarly, Modi was found sauntering on the streets of London and nabbed in March 2019. He remains in jail there since India's extradition is still pending.

 

However, India is keeping its fingers crossed that it may finally lay hands on Choksi, bring him to India and face trial in the PNB scam, though it may take time.

 

Born in Mumbai (1959) and educated in Gujarat, Choksi, 66, and wife Preeti have three children.

 

The Rs. 13,800-crore PNB scam

In the modus operandi revealed after India’s second-largest PSU bank PNB admitted it was scammed, Choksi and Modi used fraudulent Letters of Undertaking (LoU) to get overseas credits or loans from Indian banks.

 

The PNB first informed the Reserve Bank of India (RBI) of the fraud and then lodged a criminal complaint with the CBI in Jan. 2018, plus another CBI complaint in Feb, that led to a FIR against Modi and Choksi and their companies.

 

The ED entered the scene to probe the allegations of money-laundering through the LoUs – which they allegedly misused to avail short-term business finances from foreign branches of Indian banks.

 

The probe said that the duo were availing the LoUs from the PNB’s Brady House Branch from March 2011, and over the next six-seven years, managed to get a whopping 1,200-plus LoUs like a breeze with the help of some friendly bankers within.

 

Post-scam, the gold-diamond companies Gitanjali Group and Firestone Group with multiple operations in India and abroad have largely wound up, while some personal assets of the mama-bhanja have been auctioned to recover a part of the dues.

 

ED's plea to declare Choksi fugitive stuck for seven years

Even as absconding diamantaire Mehul Choksi, a key accused in the Punjab National Bank loan fraud case, has been arrested in Belgium, the ED's plea to declare him a fugitive economic offender has been pending before a court in Mumbai for nearly seven years.


Choksi, 65, and his nephew diamantaire Nirav Modi are the prime accused in the Rs 13,000 crore PNB bank loan fraud case. Choksi was arrested in Belgium following an extradition request by Indian probe agencies, official sources said on Monday.


The Enforcement Directorate had filed the application in July 2018, seeking to declare Choksi an FEO and confiscate his assets under provisions of the Fugitive Economic Offenders Act.


However, the matter has witnessed repeated delays owing to a barrage of applications filed by the accused in the PMLA court and the Bombay High Court alleging procedural lapses in the Enforcement Directorate's plea.


"The court is kept busy with frivolous applications, and hearing on our application to declare him (Choksi) an FEO has been adjourned for the past seven years,” an ED officer had said after the hearing was once again deferred this February.


"The court should have continued the hearing and taken a decision on the future course of action once the application was moved," the officer had said.

He had urged the court to take note of the repeated filing of similar applications and to not entertain them.


Choksi's lawyer had informed the court that the accused was undergoing treatment for suspected cancer in Belgium and intended to file an application in connection with his health.


Under the FEO Act, an individual can be declared a Fugitive Economic Offender if a warrant has been issued against him for an offence involving Rs 100 crore or more and he has left India while refusing to return. Once declared an FEO, the person's property can be confiscated by the investigating agency.


Choksi had challenged the ED's application in the Bombay High Court, alleging that the agency "had not followed proper procedure before filing the application and, hence, it stands vitiated".


However, in September 2023, the High Court dismissed his plea, ruling that the ED had adhered to the prescribed format under the FEO Act. It also vacated a stay on the special court's proceedings.


Despite this, the hearing on declaring Choksi FEO could not commence, with Choksi continuing to file applications before the special court through his lawyers.


While most of these pleas have been dismissed, a few remain pending. His latest attempt to stall proceedings through a plea to recall the notice issued on the ED's FEO application was rejected in December 2023.


According to ED officials, Choksi left India under suspicious circumstances in early January 2018.


Shifting stance

Choksi's counsel has argued that the ED kept shifting its stance on the material grounds for declaring him an FEO and that the suspension of his Indian passport made it impossible for him to return for investigation.

The court, however, rejected this argument, stating that the notice was issued based on accurate information and not based on "wrong facts or mistaken assumptions".


ED claimed the accused left the country under suspicious circumstances in the first week of January 2018.


Nirav Modi has already been declared as an FEO by the special court. He has been lodged in jail in London since 2019.

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