The King as a Trustee
Most Hindu kings – or the Kings of Indian origin – acted as a trustee when they managed the kingdom’s money. Even though they were the owners, and theoretically they could do whatever they wanted to do with the money, they managed as though they were to be there permanently. This is easy to believe – and it used to be called the ‘owner mentality’.
Owner mentality means you are trying to increase net worth, not just the cash flow.
However nowadays clearly the hired CEO and sometimes even the owner himself look at the business as a short term opportunity. The CEO is looking for the better/ bigger job and the owner is looking to ‘sell’ the brand. Thus most people lack the passion and the willingness to create wealth in the long run.
What else can be an explanation for the King of Thiruvananthapuram to keep so much of Gold in the lockers of Padmanabha Swami temple?
Well it was a family tradition to go to the temple everyday, place the sword at the feet of God and accept the mandate to run the country!
Thus all the wealth, metaphorically and actually belonged to God!
read on
http://www.thehindu.com/news/cities/Thiruvananthapuram/article2161045.ece
pravin
Hans Herman-Hoppe -an anarcho capitalist philospher also has similar views on such monarchy.he calls modern democracy a de-civilizing force in his opus “Democracy -the god that failed”.
Monarchs have longer time preference while the electoral system makes it possible for people like Amma and Mayawati to flourish.
ownership mentality is a good civilizing force.those with short term time preference prefer immediate consumption over deferring gratification
subra
Pravin,
could not agree more. JRD Tata once said ‘I think of a project…after all the studies..I just ask myself ‘Is it good for India’ if the answer is yes, I do it.
Tata, Oberoi, – and many of their ilk built a business for the sheer love of building a good brand and give good service. They considered all the stake holders – employees, government, customers, lenders….and added value to all. Today if a MD is building a business to sell…i do not feel motivated enough to buy his share!! Maybe I am old fashioned, but so be it.
Ravinder Makhaik
The amount of enormous wealth tumbling out of the temple vaults that till a few days ago were practically unguarded does reveal that the King was indeed a grand trustee — who over centuries let riches accumulated and let them lie there in middle of a city – even in modern times.
Just gives ample proof that amidst all the poverty, India still is a land with abundance of gold and unaccounted wealth. (Some here, some stashed away in Swiss Banks)
Surprisingly, no British Lord, Viceroy or Mahmud of Ghanzi type invader ever laid eyes on such a nondescript temple that proved a perfect camouflage – till the Supreme Court of India oversaw the endgame.
Ravinder Makhaik
Subra,
Counting an Oberoi alongside an Tata may not be justice.
While MRS Oberoi – the founder was a man from the old block but it does not hold for the generation next.
A case in point here:-
http://himachal.us/2011/06/29/cag-to-probe-hotel-wildflower-hall/28881/tourism/places/ravinder
Ravinder Makhaik
Subra,
Counting an Oberoi alongside an Tata may not be justice.
While MRS Oberoi – the founder was a man from the old block but it does not hold for the generation next.
A case in point here:-
http://himachal.us/2011/06/29/cag-to-probe-hotel-wildflower-hall/28881/tourism/places/ravinder
subra
When I said Oberoi I meant MS! Having said that I have personally seen the passion of PRS in each of the properties that have been built. He is a man of super, super taste and complete intolerance for a bad product or service. No doubt at all about his committment to the brand.
Having said that personally i have seen what hoteliers have done to Shimla…and am also convinced that somebody in the gov must now be wanting to lay hands on this property..and so things must be moving. Ravinder it will require 10,000 horses to move me to the govt side – to believe that this is being done for the good of HP. It is one vested interest (Oberoi) vs some one else (whom i cannot see – it could be ITC?) or somebody else.
are u telling me this fight is for the good of HP, then lets laugh.
Suresh
Democracy is the whip which the numerical majority use to stifle the wise minority. Enlightened monarchy is streets ahead. The temple is just one example.
When the ruler (however he becomes the ruler) anchors his rule on timeless spiritual principles his people are well served. Trusteeship is one of the principles enshrined in Vedic philosophy.
Who decides today on matters of principle ? – the Supreme Court headed by people like KG balakrishnan – in short one corrupt man will guard another corrupt man – whilst the people are looted. and the justification is democracy.
Unlike Europe we never had unbridled power combining political power and religious authority (Popes, emperors). So we never needed democracy. ITs been thrust by opportunists like Nehru who realised they could be the new kings – absolute power with absolute irresponsibility.
And the clincher – keeping wealth with temples is certainly more moral than keeping it in Swiss bank accounts – like our present rulers.
As R Vaidyanathan said – it was meant to support a populace facing such calamity that even the King could not protect them – in a way the Lord taketh away (thru natural catastrophes) and the Lord giveth.(by dipping into temple wealth)
http://www.rediff.com/news/slide-show/slide-show-1-for-god-sake-stop-digging-up-temple-treasures/20110705.htm
p.s : this article was quickly taken out by rediff within hours of being posted as soon as they realised it showed our true Indian culture/system in good light.
Ravinder Makhaik
No Subra – its not about the taste Oberoi’ (PRS) has.
Its about pure cheating by inflating costs of a project when you know that the junior partner in the project is a state government, whose officials can be compromised and be made to sign on the dotted line by offering expensive hospitality for free.
No doubt Wildflower Hall is a world call property and maybe other houses are eying it – which also would be unfair because the product has been created by the house of Oberoi.
What is unjust and unfair – is doing a Satayam.
The books have been cooked.
The state’s share in the company has been reduced (with active connivance of government officials who were on the board) first by increasing the estimated project cost from Rs 40 Cr to Rs 100 Cr and after the hotel became operational the staff have been paid efficiency bonuses for years – but in the books the company is reporting a loss of Rs 172 Cr in 10 years of operation.
This Rs 172 Cr loss has been shown as loan from promoter company EIH and the board dominated by EIH directors has proposed to convert this debt into equity – to almost boot the state out from the company (something which the courts have stalled).
That’s what makes a PRS different form an MS.
The government certainly has no business being into hotels but under a PPP model, a prime public property has been usurped without even paying for it.
Its about financial dishonesty that casts doubts about the credentials of Oberois’ in running a highly successful hospitality company.
subra
i have seen property owners vs. hotel management deals. They are terribly loaded against the owner. My client had (has) a magnificent property in Goa (MS loved it!) but a good deal could not work out.
Drafting has to be done well – in such cases where u cannot understand the business, sell the property or give it on a rent with a 3% increase perennially clause…You can argue about 3 or 6%….but u do not care about profits. Profits definition in hotels is so difficult, that it is better to ask for 1% of gross proceeds – and ensure that all revenues come in here (see the GMR deal with DIAL!!). State govts. hire pliable lawyers…then the pvt sec guys exploit. Sad. Here if EIH had not done it ITC would have. That is all. Govts. carry a placard saying ‘I am to be had’…’Mujhe bakra banao’..so such guys oblige. However if you compare some of today’s industrialists, PRS will still look like a gentleman!! I hold no brief for politicians (Raja has more money than 100,000 crore!!?), bureaucrats (too many to be named), employees (in Tihar on behalf of their bosses) or industrialists (Anil is still out in 2G, thanks to Chidu?)….they give us material to blog. Have fun!!
Ravinder Makhaik
No arguments on that.
The dispute over equity went into arbitration and the arbitrator came up with just the solution you gave
Quoth–“where u cannot understand the business, sell the property or give it on a rent,” Unquot.
The arbitrator asked for the joint-venture agreement to be converted into a lease deed and Oberoi pay Rs 94 Cr over a 40 year period.
But the Obeori’s have challenged that even in court, and the case is also managed in such a manner that it really moves very slowly.
Last heard, the civil society activist lawyer Shanti Bhushan was flown up to Shimla to plead for the Oberoi’s.
But I still take your word,
Quoth “if you compare some of today’s industrialists, PRS will still look like a gentleman!! Unquote
Sachin
A british parliamentarian (I don’t remember the name)said, “Monarchy is like a ship, sailing majestically through the water, till it strikes a rock and sinks. Democracy is like a lifeboat, it never sinks but, dammit, our feet are always in water”. Read it Reader’s Digest long time back.