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Haridas Mundhra

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Haridas Mundhra ( Hindi : हरिदास मूंदड़ा ; died January 6, 2018) was a Calcutta -based stock speculator who was found guilty and imprisoned in the first big financial scandal of newly independent India in the 1950s.

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87-446: The Mundhra scandal exposed the nexus between the bureaucracy, stock market speculators and small rogue businessmen. It also brought to light rifts between the then Prime Minister Jawaharlal Nehru and his son-in-law Feroze Gandhi , and led to the resignation of India's then finance minister T. T. Krishnamachari . Born into a trading family with two younger brothers, Tulsi Das Mundhra and Manmohan Das Mundhra, Mundhra started life as

174-473: A "machine with strong brakes but no engine". He initially wanted to boycott the 1937 provincial elections , but agreed to lead the election campaign after receiving vague assurances about abstentionism from the party leaders who wished to contest. Nehru hoped to treat the election campaign as a mass outreach programme. During the campaign, Nehru was elected to another term as Congress president. The election manifesto, drafted largely by Nehru, attacked both

261-520: A "sheltered and uneventful one". He grew up in an atmosphere of privilege in wealthy homes, including a palatial estate called the Anand Bhavan . His father had him educated at home by private governesses and tutors. Influenced by the Irish theosophist Ferdinand T. Brooks' teaching, Nehru became interested in science and theosophy . A family friend, Annie Besant subsequently initiated him into

348-551: A conflict between democracy and fascism , "our sympathies must inevitably be on the side of democracy, ... I should like India to play its full part and throw all her resources into the struggle for a new order". After much deliberation, the Congress under Nehru informed the government that it would co-operate with the British but on certain conditions. First, Britain must give an assurance of full independence for India after

435-552: A difference of opinion to estrange us. We had differences from the time we became co-workers and yet I have said for some years and say so now that not Rajaji but Jawaharlal will be my successor. After spending a little more than a year in jail, Nehru was released, along with other Congress prisoners, three days before the bombing of Pearl Harbor in Hawaii. When the Japanese carried their attack through Burma (now Myanmar ) to

522-602: A federal state along the lines suggested originally by the Government of India Act 1935. But as the drafting of the constitution progressed, and the idea of forming a republic took concrete shape, it was decided that all the princely states/covenanting states would merge with the Indian republic. In 1963, Nehru brought in legislation making it illegal to demand secession and introduced the Sixteenth Amendment to

609-593: A group of CWC members and Nehru threatened to resign and counter-resign their posts over disagreements. He became discontented with his role, especially after the death of his mother in January 1938. In February 1938, he did not stand for re-election as president, and was succeeded by Subash Chandra Bose . He left for Europe in June, stopping on the way at Alexandria , Egypt. While in Europe, Nehru became very concerned with

696-775: A heart attack. Hailed as the "Architect of Modern India", his birthday is celebrated as Children's Day in India. Jawaharlal Nehru was born on 14 November 1889 in Allahabad in British India . His father, Motilal Nehru (1861–1931), a self-made wealthy barrister who was born into the Kashmiri Pandit community, served twice as president of the Indian National Congress , in 1919 and 1928. His mother, Swarup Rani Thussu (1868–1938), who came from

783-557: A leading role in establishing Non-Aligned Movement , a group of nations that did not seek membership in the two main ideological blocs of the Cold War. Under Nehru's leadership, the Congress emerged as a catch-all party , dominating national and state-level politics and winning elections in 1951 , 1957 and 1962 . His premiership, spanning 16 years and 286 days—which is, to date, the longest in India—ended with his death in 1964 from

870-400: A light-bulb salesman, and pyramided his holdings by "fast deals and stock juggling", buying shares of small companies and hiking their prices up through circular trading and rumour mongering into a Rs. 40 million (US$ 10 million) empire. However, by the mid-1950s, his business empire was unravelling, and he came to be known for his somewhat questionable ethics. In 1956, he was indicted by

957-455: A resolution that called for the British to grant Dominion status to India within two years. If the British failed to meet the deadline, the Congress would call upon all Indians to fight for complete independence. Nehru was one of the leaders who objected to the time given to the British—he pressed Gandhi to demand immediate actions from the British. Gandhi brokered a further compromise by reducing

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1044-538: A spring had been suddenly released". He was arrested on 14 April 1930 while on a train from Allahabad to Raipur . Earlier, after addressing a huge meeting and leading a vast procession, he had ceremoniously manufactured some contraband salt. He was charged with breach of the salt law and sentenced to six months of imprisonment at Central Jail. He nominated Gandhi to succeed him as the Congress president during his absence in jail, but Gandhi declined, and Nehru nominated his father as his successor. With Nehru's arrest,

1131-477: A time the organisation was suppressed. Nehru, who had reluctantly heeded Gandhi's call for immediate independence, and had desired instead to support the Allied war effort during World War II , came out of a lengthy prison term to a much altered political landscape. The Muslim League, under Muhammad Ali Jinnah , had come to dominate Muslim politics in the interim. In the 1946 provincial elections , Congress won

1218-627: A visit to the Soviet Union, which sparked his interest in Marxism and socialism. Appealed by its ideas but repelled by some of its tactics, he never completely agreed with Karl Marx 's ideas. However, from that time on, the benchmark of his economic view remained Marxist, adapted, where necessary, to Indian circumstances. After returning to India in December 1927, Nehru was elected to another two-year term as Congress general secretary. Nehru

1305-583: A well-known Kashmiri Pandit family settled in Lahore , was Motilal's second wife, his first having died in childbirth . Jawaharlal was the eldest of three children. The elder of his two sisters, Vijaya Lakshmi , later became the first female president of the United Nations General Assembly . His youngest sister, Krishna Hutheesing , became a noted writer and authored several books on her brother. Nehru described his childhood as

1392-534: Is played again," Nehru wrote bitterly to Gandhi, "the background is the same, the various epithets are the same and the actors are the same and the results must be the same". On 23 October 1939, the Congress condemned the Viceroy's attitude and called upon the Congress ministries in the various provinces to resign in protest. Before this crucial announcement, Nehru urged Jinnah and the Muslim League to join

1479-609: The Ahmednagar Fort until 15 June 1945. During the period when all the Congress leaders were in jail, the Muslim League under Jinnah grew in power. In April 1943, the League captured the governments of Bengal and, a month later, that of the North-West Frontier Province . In none of these provinces had the League previously had a majority—only the arrest of Congress members made it possible. With all

1566-551: The Bombay Stock Exchange for selling forged shares. In 1957, Mundhra got the government-owned Life Insurance Corporation (LIC) to invest Rs. 12.4 million (about US$ 3.2 million at the time) in the shares of six troubled companies in which Mundhra held a large number of shares which he was trying to boost by rigging the market: Richardson Cruddas, Jessops & Company , Smith Stanistreet, Osler Lamps, Agnelo Brothers and British India Corporation. The investment

1653-626: The Housing Development Finance Corporation , and in 1992 was awarded the Padma Bhushan for his contribution to the finance industry in India. The London School of Economics also conferred on him an honorary fellowship. Hasmukh Thakordas Parekh was born to a family in Surat , Gujarat . During his early life he lived in a chawl with his father, Thakurdas, and had to juggle a part-time job and studies with

1740-557: The Indian National Congress , rose to become the leader of a progressive faction during the 1920s, and eventually of the Congress in its totality, receiving the support of Mahatma Gandhi who was to designate Nehru as his political heir. As Congress president in 1929, Nehru called for complete independence from the British Raj . Nehru and the Congress dominated Indian politics during the 1930s. Nehru promoted

1827-694: The Inner Temple (one of the four Inns of Court to which English barristers must belong). During this time, he continued to study Fabian Society scholars including Beatrice Webb . He was called to the Bar in 1912. After returning to India in August 1912, Nehru enrolled as an advocate of the Allahabad High Court and tried to settle down as a barrister. But, unlike his father, he had very little interest in his profession and relished neither

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1914-522: The Jallianwala Bagh killings . Motilal Nehru lost his belief in constitutional reform, and joined his son in accepting Gandhi's methods and paramount leadership of the Congress. In December 1919, Nehru's father was elected president of the Indian National Congress in what is regarded as "the first Gandhi Congress". During the non-cooperation movement launched by Gandhi in 1920, Nehru played an influential role in directing political activities in

2001-494: The London School of Economics . He subsequently worked as a lecturer at St. Xavier's College , Mumbai, for three years, and later began his financial career with the stock broking firm Harkisandass Lukhmidass. He joined ICICI as Deputy general manager in 1956, became chairman and managing director in 1972. He retired in 1976 and was Chairman of ICICI's Board until 1978. At 66, when he had already received many honours and

2088-579: The Theosophical Society at age thirteen. However, his interest in theosophy did not prove to be enduring, and he left the society shortly after Brooks departed as his tutor. He wrote: "For nearly three years [Brooks] was with me and in many ways, he influenced me greatly". Nehru's theosophical interests induced him to study the Buddhist and Hindu scriptures . According to B. R. Nanda , these scriptures were Nehru's "first introduction to

2175-569: The divine right of kings . In May 1947, he declared that any princely state which refused to join the Constituent Assembly would be treated as an enemy state. Vallabhbhai Patel and V. P. Menon were more conciliatory towards the princes, and as the men charged with integrating the states, were successful in the task. During the drafting of the Indian constitution, many Indian leaders (except Nehru) were in favour of allowing each princely state or covenanting state to be independent as

2262-1083: The thraldom of Europe." Later, in 1905, when he had begun his institutional schooling at Harrow , a leading school in England where he was nicknamed "Joe", G. M. Trevelyan 's Garibaldi books, which he had received as prizes for academic merit, influenced him greatly. He viewed Garibaldi as a revolutionary hero. He wrote: "Visions of similar deeds in India came before, of [my] gallant fight for [Indian] freedom and in my mind, India and Italy got strangely mixed together." Nehru went to Trinity College, Cambridge , in October 1907 and graduated with an honours degree in natural science in 1910. During this period, he studied politics, economics, history and literature with interest. The writings of Bernard Shaw , H. G. Wells , John Maynard Keynes , Bertrand Russell , Lowes Dickinson and Meredith Townsend moulded much of his political and economic thinking. After completing his degree in 1910, Nehru moved to London and studied law at

2349-482: The 1935 Act. The Congress Working Committee (CWC) under Gandhi passed a compromise resolution that authorised office acceptance, but reiterated that the fundamental objective of the Congress was the destruction of the 1935 Act. Nehru was more popular than before with the public, but he found himself isolated at the CWC meetings due to the anti-socialist orientation of its membership. Gandhi had to personally intervene when

2436-629: The 1950s, influencing India's arc as a modern nation. In international affairs, he is well-known as one of the Founders of the Non-aligned Movement and, concomitantly, for steering India clear of the two blocs of the Cold War . A coveted author, the books he wrote in prison, such as Letters from a Father to His Daughter (1929), An Autobiography (1936) and The Discovery of India (1946), have been read and deliberated upon around

2523-576: The Act and the Communal Award that went with it. He campaigned against the Muslim League , and argued that Muslims could not be regarded as a separate nation. The Congress won most general seats, and the Muslim League fared poorly with Muslim electorates. After the elections, Nehru drafted a resolution against taking office, but there were many Congress leaders who wanted to assume power under

2610-695: The British connection and attain Purna Swaraj or complete independence. At midnight on New Year's Eve 1929, Nehru hoisted the tricolour flag of India upon the banks of the Ravi in Lahore. A pledge of independence was read out, which included a readiness to withhold taxes. The massive gathering of the public attending the ceremony was asked if they agreed with it, and the majority of people were witnessed raising their hands in approval. 172 Indian members of central and provincial legislatures resigned in support of

2697-450: The Congress radicals, who promoted Swaraj , Swadesh , and boycott. The two factions had split in 1907. After returning to India in 1912, Nehru attended the annual session of the Congress at Patna . The Congress was then considered a party of moderates and elites dominated by Gopal Krishna Gokhale , and Nehru was disconcerted by what he saw as "very much an English-knowing upper-class affair". However, Nehru agreed to raise funds for

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2784-502: The Constitution which makes it necessary for those running for office to take an oath that says "I will uphold the sovereignty and integrity of India". Hasmukhbhai Parekh Hasmukh Thakordas Parekh (10 March 1911 – 18 November 1994) was an Indian financial entrepreneur, writer and philanthropist. He played a role in the development of Industrial Credit & Investment Corporation of India, now ICICI Bank , founded

2871-462: The Eyes of Visionary −1940s to 1990s; Writings of H.T. Parekh; 1995; Volume 2, pp. 553ff. Jawaharlal Nehru Prime Minister of India (1947–1964) Influenced [REDACTED] Jawaharlal Nehru ( / ˈ n eɪ r u / NAY -roo or / ˈ n ɛ r u / NERR -oo , Hindi: [dʒəˌʋaːɦəɾˈlaːl ˈneːɦɾuː] ; 14 November 1889 – 27 May 1964)

2958-416: The Indian independence movement. Gandhi stepped back into a more spiritual role. Although Gandhi did not explicitly designate Nehru as his political heir until 1942, as early as the mid-1930s, the country saw Nehru as the natural successor to Gandhi. In 1929, Nehru had already drafted the "Fundamental Rights and Economic Policy" resolution that set the government agenda for an independent India. The resolution

3045-412: The Lahore session in 1929, Nehru had declared that, "The Indian States cannot live apart from the rest of India and their rulers must, unless they accept their inevitable limitations, go the way of others like them." In July 1946, Nehru pointedly observed that no princely state could prevail militarily against the army of independent India. In January 1947, he said that independent India would not accept

3132-712: The Life Insurance of India Act on 19 June 1956, under which 245 firms were nationalised and consolidated under the Life Insurance Corporation . Hence, he looked upon the LIC as a "child of Parliament". He would have no softpedalling on the matter, and took the case directly to parliament: The matter was dramatised further in the public mind by the tense relations between Feroze and his father-in-law. Feroze Gandhi had married Indira Nehru over Jawaharlal's initial objections; she had gotten him to agree to

3219-695: The Mundhra case, the government response in appointing an honest and competent judge, and also the judicial investigation (24 days of public hearings), has been far from transparent. This lack of transparency has also been commented upon in the public investigation of the Bofors Scandal , one of India's largest scandals, which involved Feroze Gandhi's son Rajiv Gandhi , the Prime Minister at the time. 8. India in Transition: Through

3306-552: The Muslim areas after the war to see whether they wanted to separate from the rest of India. Essentially, it was an acceptance of the principle of Pakistan—but not in so many words. Jinnah demanded that the exact words be used. Gandhi refused and the talks broke down. Jinnah, however, had greatly strengthened his own position and that of the League. The most influential member of the Congress had been seen to negotiate with him on equal terms. Nehru and his colleagues were released prior to

3393-482: The Muslim-dominated provinces except Punjab under Jinnah's control, the concept of a separate Muslim State was turning into a reality. However, by 1944, Jinnah's power and prestige were waning. A general sympathy towards the jailed Congress leaders was developing among Muslims, and much of the blame for the disastrous Bengal famine of 1943 –44 during which two million died had been laid on the shoulders of

3480-595: The United Provinces (now Uttar Pradesh ) as provincial Congress secretary. He was imprisoned on 6 December 1921 on charges of anti-governmental activities, marking the first of eight periods of detention between 1921-1945, lasting over nine years in all. By 1923, Nehru had emerged as a national figure of some stature. He was elected general secretary of the Congress, president of the United Provinces Congress, and mayor of Allahabad all in

3567-478: The arrival of the British 1946 Cabinet Mission to India to propose plans for the transfer of power. The agreed plan in 1946 led to elections to the provincial assemblies. In turn, the members of the assemblies elected members of the Constituent Assembly. Congress won the majority of seats in the assembly and headed the interim government , with Nehru as the prime minister. The Muslim League joined

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3654-497: The authority of which was denied by various elements in India's national life". In October 1940, Gandhi and Nehru, abandoning their original stand of supporting Britain, decided to launch a limited civil disobedience campaign in which leading advocates of Indian independence were selected to participate one by one. Nehru was arrested and sentenced to four years imprisonment. On 15 January 1941, Gandhi stated: Some say Jawaharlal and I were estranged. It will require much more than

3741-513: The borders of India in the spring of 1942, the British government, faced with this new military threat, decided to make some overtures to India, as Nehru had originally desired. Prime Minister Winston Churchill dispatched Sir Stafford Cripps , a member of the War Cabinet who was known to be politically close to Nehru and knew Jinnah, with proposals for a settlement of the constitutional problem. As soon as he arrived, he discovered that India

3828-466: The civil disobedience acquired a new tempo, and arrests, firing on crowds and lathi charges grew to be ordinary occurrences. The salt satyagraha ("pressure for reform through passive resistance") succeeded in attracting world attention. Indian, British, and world opinion increasingly recognised the legitimacy of the claims by the Congress party for independence. Nehru considered the salt satyagraha

3915-450: The companies controlled by a notorious stock speculator, Haridas Mundhra. Thus the prime minister was confronted by his own son-in-law. The Finance Minister, himself a noted industrialist, initially snapped "That is not the fact," but had to admit later that this in fact was the case. Given the public spotlight, the Indian government was forced to appoint a committee to examine the matter. The retired Bombay High Court Justice M. C. Chagla

4002-461: The elections but the League won most seats reserved for Muslims, which the British interpreted to be a clear mandate for Pakistan in some form. Nehru became the interim prime minister of India in September 1946, with the League joining his government with some hesitancy in October 1946. Upon India's independence on 15 August 1947, Nehru gave a critically acclaimed speech, " Tryst with Destiny "; he

4089-529: The fruits of their toil and have the necessities of life, so that they may have full opportunities for growth. We believe also that if any government deprives a people of these rights and oppresses them the people have a further right to alter it or abolish it. The British government in India has not only deprived the Indian people of their freedom but has based itself on the exploitation of the masses, and has ruined India economically, politically, culturally, and spiritually. We believe, therefore, that India must sever

4176-578: The government later with Liaquat Ali Khan as the Finance member. Nehru served as prime minister for 16 years, initially as the interim prime minister, then from 1947 as the prime minister of the Dominion of India and then from 1950 as the prime minister of the Republic of India. Jawaharlal Nehru showed his concern for the princely states of South Asia since 1920s. During his Presidential Address at

4263-568: The government soon moved to detain him again. On 22 December 1933, the Home Secretary sent a memo to all local governments in India: The Government of India regard him [Nehru] as by far the most dangerous element at large in India, and their view is that the time has come, in accordance with their general policy of taking steps at an early stage to prevent attempts to work up mass agitation, to take action against him. He

4350-479: The high-water mark of his association with Gandhi, and felt its lasting importance was in changing the attitudes of Indians: Of course these movements exercised tremendous pressure on the British Government and shook the government machinery. But the real importance, to my mind, lay in the effect they had on our own people, and especially the village masses. ... Non-cooperation dragged them out of

4437-522: The idea of the secular nation-state in the 1937 provincial elections , allowing the Congress to sweep the elections, and to form governments in several provinces. In September 1939, the Congress ministries resigned to protest Viceroy Lord Linlithgow 's decision to join the war without consulting them. After the All India Congress Committee 's Quit India Resolution of 8 August 1942, senior Congress leaders were imprisoned and for

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4524-622: The incident. Haridas Mundhra was arrested at his luxury suite at Claridge's Hotel in Delhi, and sent to prison. It turned out that Mundhra's manipulations were not restricted to LIC. The income tax department had withdrawn certain notices pending against him, having entered into "some understanding" about the payment of arrears. In recent times, Mundhra is often noted as the forerunner of other financial scamsters of modern India, including Harshad Mehta and Abdul Karim Telgi , who also operated with considerable political connivance. However, unlike in

4611-551: The investment could not have been made for the purpose of propping up the market, as was claimed by the Finance Ministry, and that had the LIC consulted the Investment Committee, they would have pointed out Mundhra's forged shares episode from 1956. Among those who gave evidence was HT Parekh , then the deputy general manager of Industrial Credit & Investment Corporation of India (now ICICI Bank), who

4698-428: The latest stand taken by the Muslim League leader in Lahore". Linlithgow made Nehru an offer on 8 October 1940, which stated that Dominion status for India was the objective of the British government. However, it referred neither to a date nor a method to accomplish this. Only Jinnah received something more precise: "The British would not contemplate transferring power to a Congress-dominated national government,

4785-471: The leadership of Annie Besant and Bal Gangadhar Tilak to voice a demand for Swaraj or self-governance . Besant and Tilak formed separate Home Rule Leagues . Nehru joined both groups, but he worked primarily with Besant, with whom he had a very close relationship since childhood. He became the secretary of Besant's Home Rule League. In June 1917, the British government arrested Besant. The Congress and other organisations threatened to launch protests if she

4872-492: The marriage, and relations between the men were cordial. She often helped her father in his duties, acting as official hostess, and helping run the huge residence. In 1949, Indira and their two sons Rajiv Gandhi and Sanjay Gandhi moved to Delhi to live with Jawaharlal, while Feroze continued alone in Lucknow . In 1952, after Feroze was elected to Parliament (his campaign was managed by Indira), he also moved to Delhi, where he

4959-446: The mire and gave them self-respect and self-reliance. ... They acted courageously and did not submit so easily to unjust oppression; their outlook widened and they began to think a little in terms of India as a whole. ... It was a remarkable transformation and the Congress, under Gandhi's leadership, must have the credit for it. On 11 October 1930, Nehru's detention ended, but he was back in jail in less than ten days for resuming

5046-664: The names of two civil servants but passed strictures against the finance minister for "lying". In his testimony, the Finance Minister T. T. Krishnamachari tried to distance himself from the LIC decision, implying that it may have been taken by the Finance Secretary, but Chagla held that the Minister was constitutionally responsible for his secretary's actions. Eventually, Krishanamachari had to resign. The Nehru government suffered considerable loss of prestige in

5133-493: The ongoing Indian civil rights movement led by Mahatma Gandhi in South Africa. In 1916, Nehru married Kamala Kaul , who came from a Kashmiri Pandit family settled in Delhi. Their only daughter, Indira , was born in 1917. Kamala gave birth to a son in 1924, but the baby lived for only a few days. The influence of moderates declined after Gokhale died in 1915. Several nationalist leaders banded together in 1916 under

5220-605: The possibility of another world war. At that time, he emphasised that, in the event of war, India's place was alongside the democracies, though he insisted India could only fight in support of Great Britain and France as a free country. After returning to India in December 1938, Nehru accepted Bose's offer to head the Planning Commission . In February 1939, he became president of the All India States Peoples Conference (AISPC), which

5307-531: The practice of law nor the company of lawyers: "Decidedly the atmosphere was not intellectually stimulating and a sense of the utter insipidity of life grew upon me." His involvement in nationalist politics was to gradually replace his legal practice. Nehru's father, Motilal, was an important moderate leader of the Indian National Congress. The moderates believed British rule was modernising, and sought reform and more participation in government in cooperation with British authorities. However, Nehru sympathised with

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5394-409: The presidency of the banned Congress. On 26 January 1931, Nehru and other prisoners were released early by Lord Irwin , who was negotiating with Gandhi. His father died on 6 February 1931. Nehru was back in jail on 26 December 1931 after violating court orders not to leave Allahabad while leading a "no-rent" campaign to alleviate peasant distress. On 30 August 1933, Nehru was released from prison, but

5481-563: The protest, but Jinnah declined. In March 1940, Muhammad Ali Jinnah passed what came to be known as the Pakistan Resolution , declaring that, "Muslims are a nation according to any definition of a nation, and they must have their homelands , their territory and their State." This state was to be known as Pakistan, meaning 'Land of the Pure'. Nehru angrily declared that "all the old problems ... pale into insignificance before

5568-569: The province's Muslim League government. The numbers at Jinnah's meetings, once counted in thousands, soon numbered only a few hundred. In despair, Jinnah left the political scene for a stay in Kashmir. His prestige was restored unwittingly by Gandhi, who had been released from prison on medical grounds in May 1944 and had met Jinnah in Bombay in September. There, he offered the Muslim leader a plebiscite in

5655-627: The religious and cultural heritage of [India]....[They] provided Nehru the initial impulse for [his] long intellectual quest which culminated...in The Discovery of India ." Nehru became an ardent nationalist during his youth. The Second Boer War and the Russo-Japanese War intensified his feelings. Of the latter he wrote, "[The] Japanese victories [had] stirred up my enthusiasm. ... Nationalistic ideas filled my mind. ... I mused of Indian freedom and Asiatic freedom from

5742-407: The resolution and in accordance with Indian public sentiment. The Congress asked the people of India to observe 26 January as Independence Day. Congress volunteers, nationalists, and the public hoisted the flag of India publicly across India. Plans for mass civil disobedience were also underway. After the Lahore session of the Congress in 1929, Nehru gradually emerged as the paramount leader of

5829-480: The same year. The non-cooperation movement was halted in 1923 as a result of the Chauri Chaura incident . Nehru's two-year term as general secretary ended after 1925, and earlier that year he resigned as mayor of Allahabad due to his disillusionment with municipal politics. In 1926, Nehru left for Europe with his wife and daughter to seek treatment for his wife's tuberculosis diagnosis. While in Europe, he

5916-461: The time given from two years to one. The British rejected demands for Dominion status in 1929. Nehru assumed the presidency of the Congress party during the Lahore session on 29 December 1929 and introduced a successful resolution calling for complete independence . Nehru drafted the Indian Declaration of Independence, which stated: We believe that it is the inalienable right of the Indian people, as of any other people, to have freedom and to enjoy

6003-464: The time, and Feroze was married to his daughter Indira Gandhi . Nehru, as the leader of the ruling Congress party, wished to have the LIC matter handled quietly since it might show the government in a poor light. However, Feroze Gandhi was the primary force behind an anti-corruption movement that in 1956 resulted in imprisonment of one of India's wealthiest men, Ram Kishan Dalmia, for defrauding his life insurance company. Subsequently, Parliament passed

6090-490: The two later reconciled. In 1942, Gandhi called on the British to leave India; Nehru, though reluctant to embarrass the allied war effort, had no alternative but to join Gandhi. Following the Quit India resolution passed by the Congress party in Bombay on 8 August 1942, the entire Congress working committee, including Gandhi and Nehru, was arrested and imprisoned. Most of the Congress working committee including Nehru, Abdul Kalam Azad, and Sardar Patel were incarcerated at

6177-426: The war and allow the election of a constituent assembly to frame a new constitution; second, although the Indian armed forces would remain under the British Commander-in-chief , Indians must be included immediately in the central government and given a chance to share power and responsibility. When Nehru presented Lord Linlithgow with these demands, he chose to reject them. A deadlock was reached: "The same old game

6264-490: The world. The son of Motilal Nehru , a prominent lawyer and Indian nationalist , Jawaharlal Nehru was educated in England—at Harrow School and Trinity College, Cambridge , and trained in the law at the Inner Temple . He became a barrister , returned to India, enrolled at the Allahabad High Court and soon began to take an interest in national politics, which eventually became a full-time occupation. He joined

6351-429: Was also a member of the Investment Committee. HT Parekh's Note to the Investment Committee and his testimony is available in a two-volume collection of his writings. Justice Chagla determined that the Finance Secretary, Haribhai M. Patel , along with two LIC officials, L S Vaidyanathan, may have colluded on the payment and should be investigated. A subsequent inquiry committee headed by Retired Justice Vivian Bose cleared

6438-544: Was an Indian anti-colonial nationalist , secular humanist , social democrat , author and statesman who was a central figure in India during the middle of the 20th century. Nehru was second only to Mahatma Gandhi in leading the Indian nationalist movement in the 1930s and 1940s. Upon India's independence from Britain in 1947, he served as the country's first prime minister for 16 years. Nehru championed parliamentary democracy , secularism , science and technology during

6525-502: Was appointed as a one-man committee. Chagla held that a transparent and public enquiry was a "very important safeguard for ensuring that the decision will be fair and impartial. The public is entitled to know on what evidence the decision is based.". Consequently, large crowds attended the hearings, which were concluded in just 24 days. Several leading stockbrokers who were on the LIC Investment Committee testified that

6612-547: Was arrested in Allahabad on 12 January 1934. In August 1934, he was briefly released for eleven days to attend to his wife's ailing health. In October, he was allowed to see her again, but he turned down an early release conditional on withdrawing from politics for the duration of his sentence. In September 1935, Nehru's wife, Kamala, became terminally ill while receiving medical treatment in Badenweiler , Germany. Nehru

6699-497: Was assigned an MP's quarters, but "Indira continued to stay with her father, thus putting the final seal on the separation". This rift was well known and it lent drama to an already sensational matter when Feroze Gandhi raised the Mundhra question on the floor of Parliament. Standing from the treasury benches, he asked the government whether the newly formed Life Insurance Corporation had used premiums from 5.5 million life-insurance policyholders to buy up shares at above-market prices in

6786-522: Was done under governmental pressure and bypassed LIC's investment committee, which was informed of this decision only after the deal had gone through. In the event, LIC lost most of the money. The irregularity was highlighted in 1958 by Feroze Gandhi of the Indian National Congress party, who represented the Rae Bareli seat in the Parliament of India . Jawaharlal Nehru was Prime Minister at

6873-580: Was invited to attend the Congress of oppressed nationalities in Brussels, Belgium. The meeting was called to coordinate and plan a common struggle against imperialism . Nehru represented India and was elected to the Executive Council of the League against Imperialism which was born at this meeting. He made a statement in favour of complete independence for India. Nehru's stay in Europe included

6960-483: Was leading popular agitations in princely states. Nehru was not directly involved in the events that split the Congress during the Bose presidency, and unsuccessfully attempted to mediate. When World War II began, Viceroy Linlithgow unilaterally declared India a belligerent on the side of Britain, without consulting the elected Indian representatives. Nehru hurried back from a visit to China, announcing that, in

7047-498: Was more deeply divided than he had imagined. Nehru, eager for a compromise, was hopeful; Gandhi was not. Jinnah had continued opposing the Congress: "Pakistan is our only demand, and by God, we will have it," he declared in the Muslim League newspaper Dawn . Cripps' mission failed as Gandhi would accept nothing less than independence. Relations between Nehru and Gandhi cooled over the latter's refusal to co-operate with Cripps, but

7134-497: Was not freed. The government was forced to release Besant in September, but the protestors successfully negotiated further concessions . Nehru met Gandhi for the first time in 1916 at the Lucknow session of the Congress, but he had been then dissuaded by his father from being drawn into Gandhi's satyagraha politics. 1919 marked the beginning of a strong wave of nationalist activity and subsequent government repression that included

7221-606: Was one of the first leaders to demand that the Congress Party should resolve to make a complete and explicit break from all ties with the British Empire. The Madras session of Congress in 1927, approved his resolution for independence despite Gandhi's criticism. At that time, he formed the Independence for India League, a pressure group within the Congress. In 1928, Gandhi agreed to Nehru's demands and proposed

7308-464: Was ratified in 1931 at the Karachi session chaired by Vallabhbhai Patel . Nehru and most of the Congress leaders were ambivalent initially about Gandhi's plan to begin civil disobedience with a satyagraha aimed at the British salt tax . After the protest had gathered steam, they realised the power of salt as a symbol. Nehru remarked about the unprecedented popular response, "It seemed as though

7395-574: Was released from prison early on compassionate grounds, and moved his wife to a sanatorium in Lausanne , Switzerland, where she died on 28 February 1936. While in Europe, Nehru learned that he was elected as Congress president for the coming year. He returned to India in March 1936 and led the Congress response to the Government of India Act 1935 . He condemned the Act as a "new charter of bondage" and

7482-555: Was stepping down from ICICI , he started a new institution, the Housing Development Finance Corporation ( HDFC ), the first of its kind for housing finance in India. On meeting the then Secretary of Finance, Dr Manmohan Singh, the latter told him that HDFC was an unknown venture and that no one knew if it would "click" with the Indian people, but Hasmukh Thakordas Parekh had by then already obtained promises of funding from overseas investors, and he

7569-648: Was sworn in as the Dominion of India 's prime minister and raised the Indian flag at the Red Fort in Delhi. On 26 January 1950, when India became a republic within the Commonwealth of Nations , Nehru became the Republic of India 's first prime minister. He embarked on an ambitious program of economic, social, and political reforms. Nehru promoted a pluralistic multi-party democracy. In foreign affairs, he played

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