Chapter 7C: There was just too much happening in 2008. A bunch of engineers in India had figured out that you could mint money without needing to be a central bank. Even better – you could move this money across borders without going through a bank. Suddenly moving money did not need a havala bank. This invention later came to be known as Bitcoin. The greatest IT product in the history of IT. Current market cap USD 2 trillion. Who says India can’t build software products ? No company. No funding. No subsidy. Pure genius.
Few understand that when hundreds of billions are moved or when the underworld is hired – it is not your neighbourhood Grocer or property agent- who are at play. It involves large bad actors. Those in control of the economy. It is not a coincidence that havala stopped after 2014. Citibank did not exit India for strategic reasons. The creation of HDFC Bank was not an accident either.
These were all well thought moves. But these were bankers and chartered accountants. Whatever engineers these banks had were either third rate or had lost track of anything engineering.
This was the time when engineers realised that they could beat bankers at their game. The central character in this transformation was PrimeTel. They knew just too much to be safe. It is one thing to invest in a company, create legal documentation, appoint directors, misuse the legal system, hire goons to control engineers etc etc. This is all par for the course in big business.
But it is something else to control engineers. Or to own their output. Whilst the war room was busy trying to set up NPCI, take over the banking system, acquire NSE etc – they forgot the engineers. The three individuals in the war room very hated, to put it mildly. There was non-stop litigation between citi and the engineers since 2000. Intel had lost all interest once tranmeta crusoe was shut down and acquired by a Citi funded entity. This had finished the Prime ambition of building a smarter better phone.
That month Apple announced the iPhone.
There was nothing to gain from Citi. Engineers don’t particularly like accountants or bankers.
JB Dadachanji was the most eminent lawyer of the time. His juniors had included Harish Salve and Manmohan. The fight between Citi and the Prime engineers was one of David vs Goliath. Nani Palkiwala represented Citi and Dadachanji advised the Primetel founders. Just before he passed, his last piece of advice was, “Forget the law, just throw them out. Wait for the right time”.
Whatever else Dr Singh may or may not be – he would never do anything anti national. This I can personally vouch for. Two files were waiting approval – the creation of NPCI and the Board appointments in SBI. Both had come via 10, Janpath.
He did what seasoned government servants do – he did nothing.
In the meantime Citi exploded.
Servesh Swarup turned whistleblower.
A confession was penned.
The bank was bankrupt.
Everything was on sale.
