Opposition demands probe into Walmart lobbying episode

New Delhi, Dec 10: The Walmart lobbying issue triggered a political storm with the BJP today demanding a statement from Prime Minister Manmohan Singh in Parliament and the CPI-M and SP joining it in seeking an independent probe into the “serious allegations” of bribery.BJP said the Prime Minister should make a statement on the issue in Parliament as the reports coming out today were “serious” and raised questions on the country's image.As per the lobbying disclosure reports filed by Wal-Mart with the US Senate, the company has spent close to USD 25 million (about Rs 125 crore) since 2008 on its various lobbying activities, including on the issues related to “enhanced market access for investment in India”.“BJP would like the PM to explain why he did not initiate inquiry and what he proposed to do now when it has become evident that multi-brand retail FDI has come on the shoulders of lobbying and bribery,” BJP chief spokesperson Ravi Shankar Prasad said.His party colleague Venkaiah Naidu said, “We demand that Prime Minister should come to the House and make a statement on the issue. It should also be followed up with an independent inquiry.”“The disclosure in US senate about Wal-Mart that they had spent Rs 125 cr in lobbying including India for creating new market is official confirmation that Wal-Mart has done lobbying in India. Lobbying is banned in India,” Prasad said.Naidu said, “Government cannot keep quiet and Parliament cannnot remain silent into these serious allegations...It has raised many questions. It is a question of India's image and the image of its Parliament.”Also demanding an inquiry into the issue, CPI-M leader Sitaram Yechury said, “”We are not saying who has taken money or not. What we are saying is that Wal-Mart itself is saying that it has spent the money. There are cases of corruption in the court. So government should inquire into it.”SP leader Mohan Singh also said, “government should inquire into it as who are responsible for it or involved in it.”BJP said the Prime Minister should explain how lobbying for Wal-Mart was allowed in India despite a ban on it. The BJP also said that it will continue to raise the issue in Parliament and demand the government's response.The Rajya Sabha was adjourned for the day after repeated disruptions over reports of Wal-Mart spending huge money to lobby for entry into the Indian market. Naidu said, “It is a shocking news on India and it is a sad commentary on the state of affairs. This has raised many questions. The country wants to know who have taken the money and what is the government's response.”He alleged that the party has been raising the issue of western influence there on India's policy and the reports have proved this point further. “We have raised an issue that concern the image of Parliament,” he said.Prasad said, “the lobbying fact cannot be denied as US Senate has accepted it. Lobbying in India is prohibited. Bribery is a crime. People of the country would like to know if lobbying was going on for the last four years then what action had been taken by the government and who were the middlemen in the transaction.”SP leader Mohan Singh also said that it is known that when a foreign company enters the country they spent huge money for it.When reminded that SP has bailed out the UPA government in Parliament on FDI issue, he said, “No SP leader knows English. So SP cannot play any role for advocating entry of foreign companies. SP does not have any role in the Wal-Mart deal.” A Washington report says, global retail giant Walmart — waiting for years to open its supermarkets in India — has been lobbying with the US lawmakers since 2008 to facilitate its entry into the Indian market. As per the lobbying disclosure reports filed by Walmart with the US Senate, the company has spent close to $25 million (about Rs 125 crore) since 2008 on its various lobbying activities, including on the issues related to “enhanced market access for investment in India”.The retail giant spent $1.65 million on various lobbying issues in the last quarter (that ended on September 30 itself), which included “discussions related to FDI in India”.During the quarter, Walmart lobbied for its case with the US Senate, the US House of Representatives, the US Trade Representative and the US Department of State, as per its latest quarterly disclosure report. The companies are allowed to lobby for their cases in various departments and agencies in the US, but they are required to file their lobbying disclosure reports every quarter with the US Senate. So far in 2012, Walmart has spent more than $3 million on its various lobbying activities, including those related to India. As per its disclosure reports, the company has continuously lobbied for its India entry since 2008, except for a few quarters in 2009. The Indian retail market is estimated to be worth about $500 billion currently and is pegged to cross $1 trillion mark by 2020, given the rising personal income.