Bengaluru, Aug 03: Chairman of Infosys, Nandan Nilekani has said that social fabric is needed that separates failure of the business from the failure of the person associated with that business. A tremendous experience of failure is likely to increase the chance of success next time, he added while speaking at a fireside session at Bengaluru. On being asked about why the acceptance of failure in India is not like Silicon Valley, he replied that the failure, the person and the institution, all club together in India to make the situation worse. Nandan Nilekani did not directly point out the reference to the CCD founder VG Siddhartha’s suicide case, where the reason was mounting debt.
A day before Nandan Nilekani’s statement on business failure was made, Finance Minister Nirmala Sitharaman said that failures in business should not be tabooed or looked down upon in the country. There should be a respectable exit or the resolution through Insolvency and Bankruptcy Code should be achieved for businessmen in the country, she added while referring to the demise of CCD founder during the debate on the IBC in Lok Sabha.
Admitting to wrong business decisions and concealing information, VG Siddhartha wrote in his letter that he faced harassment from previous DG of income tax which led to blocking the Mindtree deal. VG Siddhartha was the son-in-law of former CM of Karnataka SM Krishna. Including getting a company registered, corruption is present in all the spheres, Shriram Subramanian, Founder, InGovern had said to Financial Express Online. He also pointed out that the ease of doing business is only for the international rankings and numbers. He added that the politicians and bureaucrats want their share once a company is perceived to be successful and until the issue of red tape is resolved, there will not be any ease of doing business.