Blame lies elsewhere

Sir, - I feel injustice has been done to the former Unit Trust of India Chairman, Mr. P.S. Subramaniam, who was arrested by the CBI. It is inconceivable that the Chairman of such a huge mutual fund responsible for not only augmenting the unit holders' savings but also for protecting their investments would betray the faith reposed in the UTI. It is simply a case of bad business judgment.

Informal pressures from the powers-that-be cannot also be ruled out. Which Chairman will let slip an opportunity to enhance the value of unit holders' investment through equity investments when the tech stocks were riding high. It is true that US-64 envisaged only debt-based investments but the temptation was too great to resist. This has happened with all other mutual funds.

If anybody is responsible it is the regulatory authority, the SEBI, and the Finance Minister. The Minister should take moral responsibility and resign instead of demoralising the CEOs of all the financial institutions by arresting Mr. Subramaniam and parading him before the media like a common criminal. It is unbelievable that the CBI can arrest without the Government's nod. I am sure he is being made a scapegoat. After all, the CBI comes under the Prime Minister's Office.

K.V.Chalam,

New Delhi

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