DELHI DIARY, JANUARY 28 TO FEBRUARY 3, 2009

UNCLAS SECTION 01 OF 02 NEW DELHI 000209 SENSITIVE SIPDIS DEPARTMENT FOR SCA/INS, DRL E.O. 12958: N/A TAGS: PGOV PHUM PINR PTER IN EAGR SUBJECT: DELHI DIARY, JANUARY 28 TO FEBRUARY 3, 2009 REF: CHENNAI 00025 ¶1. (U) Below is a compilation of political highlights from Embassy New Delhi for January 26 to February 3, 2009, that did not feature in our other reporting, including: -- Supreme Court Denies Congress Attempt to Help Political Ally -- Indian Leaders Rail Against Pub Culture -- Kalyan's Entry Upsets SP Muslims -- Former President Dies, National Event Cancelled -- Lalu, Sonia Launch Rae Bareli Coach Factory Supreme Court Denies Congress Attempt to Help Political Ally --- ¶2. (SBU) The Supreme Court on January 27 denied a request by federal prosecutors to wipe the slate clean on a corruption investigation into Samajwadi Party (SP) leader - and Congress Party ally - Mulayam Singh Yadav. In the long running case, prosecutors charged the Uttar Pradesh-based SP leader with owning disproportionate assets, a common (and usually true though unproven) charge leveled by sitting governments against their political rivals. But now that the SP is a crucial Congress Party ally, the GOI has taken steps to derail the case. The request would have sent the case back to the supposedly independent Central Bureau of Investigation (CBI). Within CBI, bureaucrats mindful of political considerations could have put an end to the case without a decision from the truly independent Supreme Court. With the denial, the Supreme Court publicly chastised the Congress Party stating, "We do not want the CBI to become an instrument of the Center." ¶3. (SBU) Attempts by the Congress Party to intervene in favor of political allies demonstrates that the party will do whatever it takes to keep its fragile coalition alive through the coming national elections. Though they haven't yet come to a formal seat sharing agreement, the Congress and the SP will likely contest jointly in UP against their common enemy, Mayawati's BSP. Indian Leaders Rail Against Pub Culture --- ¶4. (U) Days after Sri Ram Sene attacked young women in a Mangalore bar (ref A),Chief Ministers in Rajasthan and Karnataka railed against the growth of "pub and mall culture." The Congress Party's recently elected Rajasthan Chief Minister Ashok Gehlot on January 28 vowed to put an end to pub culture in which "boys and girls hold hands and roam freely in malls and public places." He appeared determined to reverse what he called former Bharatiya Janata Party (BJP)-led state government's "liberal" excise policy that had opened the doors to pubs and booze shops state-wide. In Karnataka, meanwhile, BJP Chief Minister B.S. Yaddyurappa echoed Gehlot's allegations, pledging to control the pub growth by applying stricter liquor laws. ¶5. (SBU) It is not clear what steps Gehlot and Yaddyurappa will take to clamp down on "pub culture." Both politicians have made an effort to condemn publicly the violent attacks on women in Mangalore. Yet, they espouse quite tradition-bound and conservative views that see women frequenting clubs as against "Indian culture." As India grows economically and integrates into the international economy, such tension between modernity/globalization and tradition will occur. We should expect such debates in the run-up to national elections as parties position themselves for the polls. It is ironic that these social tensions are occurring in the two states that are among the top destinations of western business and tourist travelers and have had long exposure to more liberal values. NEW DELHI 00000209 002 OF 002 Kalyan's Entry Upsets SP Muslims -- ¶6. (SBU) The Samajwadi Party (SP) has upset a section of its Muslim base with the induction of Bharatiya Janata Party (BJP) veteran Kalyan Singh's son, Rajvir Singh, into the party fold on January 22. Muslim leaders have accused SP leaders of over-looking Kalyan senior's alleged role in the destruction of the Babri Masjid in 1992, when he was the Chief Minister of Uttar Pradesh. The SP has thrived on the support of the Muslim community, which accounts for 18.5% of UP population. Few believe that Kalyan and his son's SP alliance will cause any lasting damage to the party. However, it may pose some problems for the SP-Congress seat-sharing arrangement, as Congress looks to consolidate the Muslim vote bank ahead of national polls due by April-May this year. ¶7. (SBU) Kalyan resigned from the post of BJP National Vice President on January 20, a decision that he attributed to "continued humiliation and insult" from party leadership. However, there is growing speculation that Kalyan's disenchantment with the party was triggered by rumors that his son was going to be denied a Lok Sabha seat in upcoming polls. Both Kalyan and SP chief Amar Singh appear to have gained from the alliance. Kalyan has secured a political future for his son, while the SP has gained strategic votes in the Lodh community of UP with Kalyan's backing. Former President Dies, National Event Cancelled --- ¶8. (U) India's eighth President R. Venkataraman died of multiple organ failure at the age of 98 on January 27. The government declared a seven-day state of mourning and cancelled official ceremonies, including the annual Beating of the Retreat ceremony as part of the Republic Day celebrations. During his presidency from July 1987 to July 1992, Venkataraman saw the rise of coalition politics and, in reaction, became a staunch advocate of a strong national government for political stability. As a young Congress politician in Tamil Nadu, he laid the base for industrial development in the state. Lalu, Sonia Launch Rae Bareli Coach Factory --- ¶9. (U) Congress Party President Sonia Gandhi, Union Railway Minister Lalu Prasad Yadav and Congress heir apparent Rahul Gandhi laid the foundation for the Rupees 20 billion (USD 417 million) railway coach factory in Sonia's parliamentary district of Rae Bareli, Uttar Pradesh, on January 27. The railway factory made headlines last October when UP Chief Minister Mayawati refused to transfer state-owned land to the railway project, which resulted in a Mayawati-Sonia political stand-off and a four-month project delay. ¶10. (SBU) At the foundation ceremony, party MLAs and Lalu Prasad took the opportunity to criticize Mayawati's development record, noting that "only" infrastructural development can provide for UP's poor. Mayawati refuted UPA allegations and accused them of playing politics in the "name of development." In the run-up to national elections, we expect further squabbles between Mayawati and the UPA allies as they battle for advantage in the biggest and most important electoral state. MULFORD