Corporate espionage

The alleged theft of sensitive documents from the petroleum ministry has wider implications for both government and industry. While it would be premature to speculate on the motives and the forces behind the instant case as investigations are still on, the development exposes grave shortcomings in security and operating processes within government. It is an open secret that sensitive documents and government papers are freely on sale, sometimes for as little as ₹5,000. It is also amply clear that the incident is not an isolated one — such leaks regularly take place from virtually every government department, although the petroleum ministry has been particularly notorious, with former minister Mani Shankar Aiyar describing it as a case of “Ali Baba and the 40 thieves”. The shocker is not that such leaks are happening — but that governments of every stripe have done precious little to control them. The conclusion is inescapable that powerful vested interests both within and outside government have ensured that the process of decision-making continues to stay opaque, with only the privileged few having access — authorised or unauthorised — to the government’s moves and thinking on any particular issue. The lack of transparency creates opportunities for rent-seeking, which the corrupt will put to use. And given the overarching presence of government in our society, and the immense scope for financial gain or loss for businesses, it is a foregone conclusion that they will try to exploit any existing loopholes in the system.

The solution lies in injecting a greater degree of openness into government decision-making. As Mahatma Gandhi famously observed, sunlight is the best disinfectant. A lot of mischief can be nipped in the bud by allowing those with legitimate grounds access to a certain amount of information. This is not to argue that all government actions must be made accessible to everyone, or that the public has the right to access every file and every noting, as some proponents for widening the scope of the RTI Act have argued. Bureaucrats and ministers need a certain degree of anonymity in order to function, and the freedom to take executive decisions without the threat of every move being subject to external scrutiny and interpretation. Nevertheless, allowing some access to interested parties could be considered, provided the system has adequate checks and balances. The government could, for instance, consider legalising lobbying and allowing licensed lobbyists to present their case.

There is also a strong case for modernising the government’s archaic system of paper files and file notings, and replacing it with more secure, digital versions. Of course, as the Wikileaks or Sony leaks episodes have demonstrated, even the most secure of systems can be hacked — but that is a risk most governments and corporate are already living with. The worst thing to do would be to use draconian provisions like the Official Secrets Act to try and clamp down on mundane leaks and to try and muzzle the media, without addressing the root causes.

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