Francis Kuok, a second-generation Chinese restaurateur in New Delhi, says that he encountered pervasive corruption and threats when he opened his third Chinese restaurant in India. Approximately 10 percent of Kuok’s investment in the new restaurant -$6,370- has gone to bribes over the past three months. It’s the initial shock of discovering how well organized the set-up is that throws you,” Kuok says. “There is a fixed price for each ‘permission’ or license needed, but I tell you it works, it’s not money down the drain.” Kuok had to obtain “permission” to renovate and expand the restaurant building, to into the sewer, and to dig a tube well, Police officials and health inspectors also required bribes. After a non-negotiable fee has been paid, the situation s settled until the license needs to be renewed the following year or when an official is transferred, and the bribery process must start over again. Courtesy: Financial Times).

Article extracted from this publication >> February 17, 1995