Lobbying part of democracy: Salman

Corporate affairs minister Salman Khurshid on Tuesday said that lobbying and public relations are part of the democratic set-up but cautioned against their use to subvert corporate governance.

“When you talk of lobbying and PR, these are areas that are part of the democratic system. Their illegitimate use, their use to subvert corporate governance is something that we should certainly look at,” Mr Khurshid said on the sidelines of the “India Corporate Week” here.
The minister’s comments come in the backdrop of leaked conversations between corporate lobbyist Niira Radia with politicians, corporates and media personalities which have stirred a hornets’ nest.
Senior partner of the law firm Titus & Co Diljeet Titus said lobbying is a legitimate business in countries like the US, however, “it is not recognised in India in statutory or non-statutory form.”
On the other hand, he said, “Lobbying, which basically means influencing government decisions externally, could invite Prevention of Corruption Act and may also go against the service rules for bureaucrats.”
Lalit Bhasin, managing partner Bhasin & Co, said, “In the US lobbying is not only for corporates, but also for appointing judges. It is a flourishing industry there, a recognised mode of canvassing ... In India, it is a developing phenomena like public relations.”
He added that lobbying, which is an act of trying to influence government leaders, is not seen as good corporate practice in India.

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