Identifier
Created
Classification
Origin
06CALCUTTA425
2006-09-19 13:31:00
UNCLASSIFIED
Consulate Kolkata
Cable title:  

JHARKHAND SWEARS IN A NEW CHIEF MINISTER

Tags:  PGOV PREL IN EINV 
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VZCZCXRO7443
PP RUEHBI RUEHCI
DE RUEHCI #0425 2621331
ZNR UUUUU ZZH
P 191331Z SEP 06
FM AMCONSUL CALCUTTA
TO RUEHC/SECSTATE WASHDC PRIORITY 1167
INFO RUEHNE/AMEMBASSY NEW DELHI PRIORITY 1045
RUEHCG/AMCONSUL CHENNAI PRIORITY 0411
RUEHBI/AMCONSUL MUMBAI PRIORITY 0411
RUEHKT/AMEMBASSY KATHMANDU 0250
RUEHKA/AMEMBASSY DHAKA 0250
RUEHIL/AMEMBASSY ISLAMABAD 0193
RUEHCI/AMCONSUL CALCUTTA 1428
UNCLAS CALCUTTA 000425 

SIPDIS

SIPDIS

E.O. 12958: N/A
TAGS: PGOV PREL IN EINV
SUBJECT: JHARKHAND SWEARS IN A NEW CHIEF MINISTER

REF: calcutta 0401

UNCLAS CALCUTTA 000425

SIPDIS

SIPDIS

E.O. 12958: N/A
TAGS: PGOV PREL IN EINV
SUBJECT: JHARKHAND SWEARS IN A NEW CHIEF MINISTER

REF: calcutta 0401


1. (U) Summary. On September 18, an Independent Member of
Legislative Assembly (MLA) Madhukar (Madhu) Koda was sworn-in as
the new Chief Minister of Jharkhand. Koda is Jharkhand's fifth
Chief Minister since the state's creation in 2001. Three
defectors from the previous government - Anos Ekka, Kamlesh
Singh and Harinarayan Rai were also sworn-in as ministers. Koda,
who has the support of 42 of the MLAs in the 82-member house,
has been asked by the governor to prove his majority on or by
September 25. He is likely to prove his majority on the floor
of the Assembly on September 20. End summary.


2. (U) In his first press conference, Koda announced that 43
agreements reached between the previous NDA government and
industrial houses including Mittal Steel, Tata Steel and the
Aditya Birla Group will be reviewed from scratch by his UPA
government. The previous government had signed 43 MOUs for
projects with proposed investments exceeding Rs 175,000 crore
(Rs 4.6 crore is approximately USD 1 million),including a Rs
40,000 crore steel plant by global leader Mittal Steel. The
Birla Group had signed an MOU for a Rs 7,800 crore aluminum
smelter plant in the state. The agreement review would also
cover the rehabilitation and health insurance policies of the
previous government. For those wishing to invest in the state,
Koda said, "The UPA government will ensure a friendly
environment for serious investors who are committed to the
growth of the state. The UPA government is committed to give a
friendly investment policy."


3. (U) On unemployment, Koda said his government would take
steps to eradicate poverty, noting that 54 per cent of
Jharkhand's population lived below the poverty line. Social
security would also be provided to all sections of society. He
said the government would also set up institutions of higher
educations so that students did not have to go out for pursuing
studies. Koda added that the new government would churn out "a
more lucrative surrender policy" to bring Maoists back into the
mainstream.


4. (U) Koda's immediate problem is the formation of his
ministry. His failure to get a single minister from within major
UPA coalition partners to join the cabinet indicates that there
is intense lobbying for ministerial berths within the UPA
coalition. Koda appears non-plussed saying that the ministry
would be expanded only after he proves his majority on the floor
of the Assembly on September 20.


5. (U) The now opposition BJP was quick to predict trouble ahead
for the new regime. "Why, despite countless rounds of
negotiations, have Madhu Koda and his UPA patrons failed to
decide on the names of other members of the new council of
ministers even four days after Munda's fall? asked senior BJP
leader Sarayu Roy. Roy told Post that that the Koda-led UPA
government "would not last long."


6. (U) Bio of Madhu Koda follows:

At 35, Madhukar (Madhu) Koda is the youngest Chief Minister of
Jharkhand. Koda ran as an Independent MLA in the 2005 elections
after failing to get on the Bharatiya Janata Party (BJP) ticket.
The BJP did not expect that the short, thick moustached and
curly-haired Koda, who prefers designer clothes to the khadi
dress code, would one day emerge as the dark horse to dismount
the 18-month-old Arjun Munda government.

Hailing from a tribal farming community, Koda began his career
as a social activist and participated in politics before he
completed his matriculation. Joining the RSS in 1990, Koda
entered the assembly as a BJP member in 2000 from the
Jagannathpur constituency and became the Panchayati Raj minister
in the Babulal Marandi government, which was formed soon after
the bifurcation of Bihar. He has remained a minister since then.

Born on January 6, 1971 at Patahatu in West Singhbhum, Koda
faced several hurdles in his political career, including the
failure of his marriage during his tenure in the Arjun Munda
cabinet. The soft-spoken Koda continued his balancing act
deftly, not allowing his personal life to affect his political
career. "This post is not a bed of roses but a crown of thorns,"
observed Koda soon after staking claim to form the government.
"If I become the chief minister, it will be the support and
blessings of god, my elders and friends."

JARDINE