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The Tata Tea/ULFA Story

            

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TATA TEA's DEALS WITH THE ULFA AND THE GOVERNMENT

The ULFA militants contacted Tata Tea for the first time in 1990. Unwilling to give cash to the militants, Tata Tea offered to invest in the ‘upliftment of the Assamese people'instead. Over the next few years, the company set up 65 hospitals, 280 adult literacy centres, 173 childcare centres, a technical training institute and 110 schools. Tata Tea also instituted scholarships and started a welfare program for handicapped children. The company also took the Lifeline Express into Assam in 1995 which rendered critically needed medical assistance to people from the weaker sections of society. Tata Tea regularly carried out its ‘Outreach Medical Program,'under which fully equipped ambulances with doctors went to remote rural areas.

Sensing that the company was serious about its commitment to the development of the Assamese people, the ULFA left Tata Tea alone. However, the situation changed in August 1993, when Bolin Bordoloi (Bolin), senior manager of Tata Tea's Guwahati office in Assam, was kidnapped by Bodo militants. Tata Tea refused to pay ransom and began negotiations with the militants for his release. Bolin was eventually released in July 1994, reportedly after the payment of a Rs 1 crore ransom –denied by Tata Tea and Bolin's family members.

The ULFA then contended that since the company was paying other militant outfits, they might as well ask for money too. In December 1995, Barua wrote a letter to Tata Tea demanding 100 pairs of walkie-talkies. The company's officials met the home secretary of Assam and requested him to take action against the extortion threats. However, no action was taken in this regard. In January 1996, Tata Tea wrote to ULFA expressing its inability to supply such equipment, but also indicated its willingness to discuss legitimate development projects.

The company sent copies of this letter to the home secretary, but still no action was taken. Meanwhile, Managing Director K Krishna Kumar (Krishna Kumar) began receiving threatening calls asking him to stop sending such letters to the home secretary. At this point, Tata Tea decided to seek the help of the IB based in Delhi. The company was asked to deal with an additional director in IB, Rattan Sehgal (Sehgal). Tata Tea not only kept Sehgal fully informed, but also followed his instructions[6]. Sehgal advised the company never to pay cash, never to give equipment that could have military use, to pursue a dialogue till the very end, and to always keep him informed.

Meanwhile, Tata Tea and ULFA decided to continue the talks at a meeting in Bangkok in early 1996. Dogra, Bolin and a few other company officials attended this meeting, where the ULFA reitereated its demand for either money or the walkie-talkies. Tata Tea refused to budge from its stand and offered to launch a medical scheme for the people of Assam, under which the needy people of the state could get medical treatment in specialist hospitals outside the state at Tata Tea's cost. The ULFA accepted this offer and Tata Tea launched the medical scheme within a few months.

Things seemed to be going smoothly for the company till the arrest of Pranati, who was later brought to Guwahati and produced before a court. During the interrogation by the Assam police and central intelligence officers, Pranati reportedly provided information about ULFA as well as Tata Tea's links with the organisation. This prompted the Assam DGP K Hrishikeshan (Hrishikeshan) to level charges against Tata Tea and the Assam police began interrogating Tata Tea's top executives including Krishna Kumar and Executive Director S M Kidwai (Kidwai) and many other Tata Tea officials.

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THE UNSOLVED PROBLEM

QUESTIONS FOR DISCUSSION:


ADDITIONAL READINGS & REFERENCES:

[6] Shortly afterwards, Sehgal was forced to retire from service, after he was alleged of having links with the US
intelligenc agency CIA. Another intelligence official, Arun Bhagat, took his place.


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