Hi Friends,

Even as I launch this today ( my 80th Birthday ), I realize that there is yet so much to say and do. There is just no time to look back, no time to wonder,"Will anyone read these pages?"

With regards,
Hemen Parekh
27 June 2013

Now as I approach my 90th birthday ( 27 June 2023 ) , I invite you to visit my Digital Avatar ( www.hemenparekh.ai ) – and continue chatting with me , even when I am no more here physically

Friday 22 January 2016

HAVE A DEGREE : WILL SWEEP



Some 19,000 graduates / post graduates who have applied for the job of sweepers in Amroha Nagar Palika , seem to be saying just that  !

But only 114 of these BA / B Sc / MA / MBA / M Tech  grads will get those jobs !

Rest will join the rank of 3.5 million graduates who join our work force each year - to remain jobless

Now , I am not saying that the job of sweeping streets is " below the dignity " of anyone

Why , even our Netas do it , if there is a TV camera around  !

But take a look at the following news ( DNA / 11 Sept 2015 ) :


Against 368 vacancies of " Peons " advertized by UP Govt , applications received were as follows :


*  Total Number of applicants.............. 20 lakh

    {  5,435 applicants for each post  ! }

*  No of PhDs....................................  201

*  No of Master Degree holders............ 20,056

*  No of Bachelor Degree holders.......... 1,23,000

*  No of 12th Standard pass................. 6,00,000

*  No of 10th Standard pass................. 8,20,000

   { Minimum prescribed Edu Qualification = 10th Standard }


This scenario repeats , month after month , year after year  !


The only hope for these millions of Graduates / Post Graduates,  is to apply for admission to some 15,000 Industrial Training Institutes ( ITIs ) for getting " trained " as Electricians / Plumbers  / Carpenters / Masons etc ,in order to acquire " skills " which will enable them to get " Self Employed "

But the problem is :

*   None of these " re-skilled " jobless will qualify as a " START UP ", under Start Up Action
     Plan announced on 16 Jan 2016

      
*   To start  " Self Employment " , no bank will give them a loan  of Rs 1 Million, with ZERO
     interest for first 10 years , and without requiring any securities


For turning 10 million jobless into 10 million " Self Employed "(@ loan of Rs 10 lakh each ) , would require  EACH  YEAR ,  disbursement of :


Rs  10 LAKH*CRORES  !


Government just does not have that kind of money

But  BLACK MONEY  hoarders have  !

All we need to do is to " INCENTIVIZE " them to help start a " NEW ECONOMIC ORDER " , where Self Employment is not merely encouraged but it is CELEBRATED  !

It does not require passing of any bill in Rajya Sabha to declare :

*  No questions asked , as to the source , for any CASH deposited in Jan Dhan Bank A/C ,
   provided that account holder , first registers on Income Tax Department web site as a "
   Self Employed " person

*  All payments made out from such " Self Employed " accounts , must be by Cheques /
   Credit - Debit Cards / RuPay Cards / Mobile Wallets / Electronic Transfers etc

*  Levy of a 2% Bank Transaction Tax ( BTT ) on all such payments

*  Total abolition of Personal Income Tax for these " Self Employed "

*  Self Employed barred from any loans from banking system

*  Self Employed not eligible for any incentive / subsidy from Center / States


If it does not sound politically correct to call this initiative an " AMNESTY  SCHEME ",

then call it , " SELF  CAPITAL  SCHEME " / " ECONOMY KICK-START SCHEME "


When ,

*  The entire World is set to lose 11 million jobs in next 5 years

*  World Economy is in a downward spiral

*  International Trade is shrinking

*  Jobless / Economic migrants are marching onto Europe / Australia

*  Resentment / Intolerance are mere manifestation of jobless poverty ,


This is the  ONLY WAY , India can make 21st Century , an Indian Century  !

I hope Shri Narendra Modiji - and his colleagues in Cabinet - has the political will  to introduce this in the forthcoming budget on 29 Feb 2016 !

-----------------------------------------------------------------------------------------

hemen  parekh

23  Jan  2016

www.hemenparekh.in / blogs

----------------------------------------------------------------------------------------

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Thursday 21 January 2016

TRACK THE BLACK



After staying in a US prison for 18 months, Rajat Gupta , former MD of McKinsey , is at home

Confined to his apartment and required to wear an ankle bracelet that monitors his movements

Some years back , a few Indian students studying in US , were also forced to wear such bracelets - ostensibly for tracking their movements

Last week , there was a news report that all foreigners entering India , will be given special SIM cards that they must install in their smart phones - enabling Indian Authorities to track their movements and to quickly locate a foreigner who overstays his stay

GPS satellites of USA / Russia / China enable their militaries to locate objects on earth , just ONE CENTIMETER apart  !

Medical technology will soon enable doctors to insert into brain , dissolvable sensors , which broadcast the firing of the neurons

But , it seems , Economists / Bankers / Politicians are slow to accept my suggestion to embed all Rs 500 / 1000 currency notes with RFID micro-chips which constantly broadcast those locations to Income Tax Authorities , wherever there is an accumulation of such currency notes , exceeding an aggregate of Rs ONE CRORE ( or whatever )

This is the ONLY / PRACTICAL / SIMPLE  answer to kill two birds with one stone

The bird of BLACK MONEY

And the bird of CORRUPTION


Read my full suggestion at :

www.hemenparekh.in / Blogs 

*   How to Conquer Corruption 

*   A Network of Currency Notes


And let no one doubt the capability of  Indian Technologists to implement this in 6 months , if Shri Narendra Modi-ji was to mandate it

And this does NOT require begging the opposition to help pass any bill in Rajya Sabha !

Will any political party dare to oppose it , even outside the Parliament  ?



-----------------------------------------------------------------------------------------

hemen  parekh

22  Jan  2016

-------------------------------------------------------------------------------------

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Wednesday 20 January 2016

START UP RE-DEFINED



No doubt , you have read the definition of a Start Up in the Start Up Action Plan document

I have tried to envisage below, how that might look on that Mobile App for Registration :


*   Is yours a Private Ltd Co / LLP / Partnership  ?...........................................  Yes  /  No


*   Is your Company more than 5 years old ?....................................................Yes  /  No


*   Is your Start Up formed by splitting an existing business ?............................ Yes  /  No


*   In last 5 yrs, has your turnover exceeded Rs 25 Crores ?.............................  Yes  /  No


*   Is your product/service " DIFFERENTIATED "  ?............................................ Yes  /  No


*   Is your product / service " COMMERCIAL "  ?............................................... Yes  /  No


*  Is your product / service " INNOVATIVE "  ?................................................  Yes  /  No


*  Is your product / service driven by ,
    " TECHNOLOGY  / INTELLECTUAL PROPERTY "  ? ............................................Yes /  No


*  Is your product/service ,
   " NEW / SIGNIFICANTLY IMPROVED "  version "  ?.................... ...................... Yes / No

  
*  Does your product/service add " VALUE " to customers  ?................................ Yes / No


*  Does your product/service add " VALUE " to " WORKFLOW " ?.........................   Yes / No


*  Have you got certification  from Inter-Ministerial Board ?................................ Yes /  No


*  Have you got recommendation from Incubator in Post Grad Indian College ?.......Yes / No



MY  TAKE :

#  Each year 12 million persons join India's work force

#  Of these , 3.5 million are Graduates

#  Rest ( 8.5 million ) are 10th / 12th Standard pass or less

#  No more than 1,000 persons will fulfill above mentioned " Eligibility Criteria " for Start Up

#  There will be endless debates on the correct meaning of words in CAPITAL letters above !


WHY  SUCH  STRINGENT  " ELIGIBILITY  CRITERIA "  ?

#  At Rs 2.5 cr loan per Start Up, Govt Fund of Rs 2500 Cr can help only 1,000 Start Ups !

#  Any relaxation in " eligibility criteria " , may result in MILLIONs of persons queue-up !


WHAT  IS  THE  IMPLICATION  ?

#  Funds are just insufficient to help 12 million persons to become " Self Employed "


MY  SUGGESTION :

In India , we are talking of getting " Unemployed " to launch " Start Ups "

Anywhere between 100 million to 400 million " Unemployed " for whom neither Public Sector nor Private Sector , is in any position to create jobs

We want them to become " Self Employed " - what Shri Narendra Modi described in USA , as our " PERSONAL  SECTOR "

They are unlikely to launch technology driven , Web-based businesses , even if their businesses require them to have a Smart phone , on which , their customers can reach them

They aspire to become ( list can run into 200 trades ! ) :

*  Street-side Vendors ( Vegetables / Shoes / Purses / Fruits / Trinkets )

*  Craftsmen ( Plumber / Electrician / Carpenter / Repairer  )

*  Dhobi / Barber / Pan Beedi shop-owner / Tailor / Mochi

*  Doodh-wala / Ruddi Paper-wala / Gajra-wala / Delivery Boy

*  Cook / Maid / Courier / Tuition Teacher / Beautician / Taxi Driver

*  Home-cooked Tiffin Service /  Car wash  /  Gardening ......



How can we help millions of  JOBLESS  to set up such  MICRO - BUSINESSES  ?

By Government ( Central / State / Municipal ) getting out of their way !

HOW  ?

*  No licenses / permits / approvals / conditions / criteria

*  Simple online registration on proposed Web site of DIPP for Start Ups

*  No personal Income tax for individuals

*  No Corporate Income tax for Start Ups for 10 years ( no chance of profit in first 3 years )

*  Amnesty Scheme for enabling Rs 10 million*crores of BLACK MONEY to flow into such
   Self Employment


It is still not too late for our  Policy Makers will think " Out of Box " and implement :

www.hemenparekh.in > Blogs > A New Economic Order - Start Up Act - 2015

Anything less just won't make much of a difference !

-----------------------------------------------------------------------------------------

hemen  parekh

21  Jan  2016

-----------------------------------------------------------------------------------------

Make    Yourself    Heard

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Saturday 16 January 2016

TEN MILLION START- UPS IN ONE YEAR ?


Thank you , Narendrabhai , for the Start Up Action Plan announced last evening

I am glad that some of my suggestions ( sent to Ministers / Secretaries ) over the past 2 years , have been incorporated in the ACTION PLAN , in respect of :

*    Self Certification

*    Simplified Registration thru Mobile App

*    Tax Exemption for Capital Gains

*    Entrepreneurship Program for 10 lakh students

*    No Corporate Income Tax for 3 years

   
 You will find my detailed suggestions covering these points in following blogs at :
 www.hemenparekh.in :


       *    A New Economic Order - Start Up Act 2015   /   12 Sept 2015

       *    From Job Seekers to Job Creators   /   15 Sept 2015

       *    Back Up Factory of the World  /   09 Sept 2015

       *     Blue Print for a Start Up Nation  /   27 Dec 2015

       *     Creating Jobs Vs Creating Self Employed ?  /   10 Dec 2015

       *     Get Out of the Way  /   01 Dec 2015

       *     Ten Million Entrepreneurs ?  /   19 Oct 2015

       *     Start Up Eco System / USA vs India  /   01 Oct 2015

       *     Treading the Beaten Path  /   25 Sept 2015

       *     Second Industrial Revolution  /   21 Sept 2015

       *     From Single Window to a Single Day ?  /   19 Sept 2015

       *     Myth of Job Creation  /   12 Sept 2015

       *    Killing Many Birds with One Stone  /   07 Sept 2015

       *    If Mohamed cannot go to Mountain  /   26 July 2015

       *    Ditch Historical Baggage  /   24 Dec 2015

       *    Create Self Employment  /   21 Feb 2015


Very likely , your initiative may see the birth of ten thousand new start-ups in 2016-17, which , together , might generate one lakh jobs

In itself, this will bring a new dynamism to India's Economy 

But that will still fall far short of 12 Million ( 120 lakh ) youth joining the work-force each year

Can all of these youth become Start Ups ?

It is entirely possible

All you need to do is to implement my following suggestion, described in ,

"  A New Economic Order / Start Up Act - 2015 " /  12 Sept 2015  " :


SUGGESTION

    *  Although all Start Ups will need to file annual Income Tax returns ( with full disclosure of income / expenses / profits / sources of funds etc ) , it will not be required to pay any Corporate Income Tax for the first 10 years of its existence

     *  A Start Up will be free to raise  funds from any source ( Individuals / Companies / PE funds / VCs / Angel Investors / Religious Trusts etc )

     *  100 % FDI will be permitted in Start Ups

     *  A Start Up can receive loans or equity and be able to accept fixed deposits . It can also give loans to individuals or other Start Ups or invest in other Start Ups by way of equity

    *  There will be no restrictions on what interest ( on loans / FDs ) that a Start Up may pay nor any restrictions on dividends it may declare

        The dividends declared by Start Ups will not attract any Income Tax

    *  As far as the persons / companies etc providing funds to Start Ups ( by way of loans or equity ) is concerned , no questions will be asked re their source of funds



   WHAT  WILL   HAPPEN , IF  IMPLEMENTED  ?


   *  Billions of rupees worth Black Money will flow into these Start Ups - money which is currently lying unutilized or locked up in unproductive assets

       
    *  Within 3 months , thousands of Venture Capital Funds will be born , exclusively for funding of Start Ups ( You know who will set up these VCs ! )

    *  With NO Income Tax to be paid , Start Ups will conduct all transactions through cheques ( receipts / payments )

    *  GST  collections will go up

    *  Domestic Savings Rate will go up

    *  Since millions of ( Black Money holding ) individuals / businesses will come forward to fund these Start Ups , lending pressure on banks will go down

    *  Who knows , Start Ups may get into the business of Assets Reconstruction and relieve banks of NPAs !

    *  With locally / domestically stashed Black Money flowing into the economy , our dependence on FDI will go down

    *  Corruption will decline drastically


Dear Shri Narendrabhai :

It is still not late to incorporate my suggestion in forthcoming Union Budget on 29 Feb 2016

This is your opportunity to ,


*   Dream BIG

*   Enable millions to dream big

*   Unleash the Entrepreneurial Genome of India's Youth

*   Make 21st Century , an Indian Century 

*   notwithstanding the opposition in Rajya Sabha


-----------------------------------------------------------------------------------------


hemen  parekh

17  Jan  2016

-----------------------------------------------------------------------------------

Make    Yourself    Heard

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Thursday 14 January 2016

Land of Koop Mandooks ( Frogs in the Well ) ?


How else can you describe some people trying to raise a controversy around the fact that the LION logo of " Make in India " initiative was designed by the Indian Subsidiary of an AMERICAN  Company  ?

Meaning  ?  National honour was lost  ?

It speaks poorly of the Koop Mandook mentality of some of us that Shri Amitabh Kant ( architect of Make in India initiative ) had to " defend " this by tweeting :


"  Logo has been designed by young Indians led by an Indian creative director . This is an Indian Subsidiary of W & K "


I get a feeling that those people trying to rake up a controversy must be thinking :

" Ah ! This has to be some sinister plot of  imperialist powers trying to subvert the Indian democracy

Like the Trojan Horse of the past , American ( W&K ) capitalists seems to have conspired to defeat Indian manufacturing by hiding evil software code inside that LION logo image , using secret  Steganography "



These small-minded people are forgetting that :

*   Some 16 million Indians ( largest diasporas in the World ), are working abroad

*   Annually , they are remitting to India , approx $ 70 Billion

*   Of these , 7 million Indians working in Gulf are remitting $ 40 Billion

*   An overwhelming majority of Indians working overseas are highly qualified professionals

*   Many are occupying the CEO positions in big American Companies(Google / MS / PEPSI )

*   A huge number of Indians are working in USA subsidiaries of  INDIAN  Companies

*   They are designing world-class products / services for their AMERICAN  clients , including
     USA government ( Space  / Defense / Energy Solutions / Cyber Security etc )

*   Many Indians have even reached high ranking positions in USA government

*   Deputy Prime Minister and Finance Minister of Singapore, are of Indian origin
    ( country which is always at rank # 1 in Ease of Doing Business  ! )

*   National Health Service of UK is heavily dependent on Indian doctors/nurses

*   Foreign countries are proud of the contribution that Indians make locally in their
     countries

*   Even today , Americans are grateful that it was the COBOL knowing ,Indian Software
    engineers who saved the collapse of American economy in 2000 , during Y2K crisis !


When will our narrow-minded citizens stop looking at the nationality / language / religion etc of a person who is contributing to our progress ?


Are they forgetting that, at the very heart of the " Make in India " initiative is invocation of :

"  ATITHI  DEVO  BHAVA "

inviting FOREIGN companies to set up their businesses in India  ?

-----------------------------------------------------------------------------------------

hemen  parekh

15  Jan  2016

www.hemenparekh.in / blogs

-----------------------------------------------------------------------------------------

Make    Yourself    Heard

Dear Visitor :

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