George Fernandes - Emergency Era and Union Ministry

Emergency Era and Union Ministry

The reigning Prime Minister of India, Indira Gandhi, declared a state of emergency on 25 June 1975 due to internal political disturbances. Accordingly, all fundamental rights enjoyed in the Indian Constitution were suspended. Political dissidents, newspaper reporters, opposition leaders who opposed the emergency were jailed. George Fernandes, along with like-minded leaders, opposed what he saw as a blatant misuse of power. A warrant was issued in Fernandes' name and subsequently he went underground to escape arrest and prosecution. When the police failed to capture him, they arrested and tortured his brother, Lawrence Fernandes, to reveal his brother's whereabouts. Snehalata Reddy, a chronic asthmatic was arrested for being in touch with George Fernandes and, as she was not given adequate care in the prison, died soon after her release.

In July 1975, Fernandes arrived in Baroda. There, he met Kirit Bhatt, who was president of Baroda Union of Journalists, and Vikram Rao, a staff correspondent of The Times of India at Baroda, both who opposed the Emergency. They used to meet and discuss on what could be done to topple the autocratic Indira Gandhi Government. An industrialist friend, Viren J. Shah, Managing Director of Mukand Ltd., helped them find contacts for procuring dynamite, used extensively in quarries around Halol (near Baroda). They aimed at blowing up toilets in government offices and cause explosions near the venue of public meetings to be addressed by Indira Gandhi. The idea was not to injure anybody, but only create a scare. The explosions were to be carried out either late in the night or hours before the public meeting was to begin to avoid injury. A plan was hatched to blow up a dais four hours before Indira Gandhi was to address a meeting in Varanasi. The conspiracy later came to be known as the infamous Baroda dynamite case.

According to Bhatt, there were two more plans that never worked out. Fernandes also wanted to rob a train used to carry weapons from Pimpri (near Poona) to Bombay. The weapons were to be used to blast government offices. Yet another plan was to take the help of other countries by using ham radio.

On 10 June 1976, he was finally arrested in Calcutta on charges of smuggling dynamite to blow up government establishments in protest against the imposition of emergency, in what came to be known as the Baroda dynamite case. After his arrest, Amnesty International members cabled the Government requesting that he be given immediate access to a lawyer and that his physical protection be guaranteed. Three world leaders from Germany, Norway, and Austria were believed to have cabled Indira Gandhi and cautioned her against harming Fernandes. From Baroda, the accused were shifted to Tihar Jail. The accused were never chargesheeted.

After the emergency was lifted on 21 March 1977, fresh general elections were held in India. The Congress Party, led by Indira Gandhi, suffered a defeat at the hands of the Janata Party, a coalition created in 1977 out of several small parties that opposed Gandhi's Emergency era.

The Janata Party and its allies came to power, headed by Morarji Desai, who became the first non-Congress Prime Minister of India. Fernandes won the Muzaffarpur seat in Bihar by an over 300,000 vote margin in 1977 from jail where he was lodged in the Baroda dynamite case, despite he not even visiting the constituency. He was also appointed the Union Minister for Industries. During his union ministership, he clashed with American multinationals like IBM and Coca Cola insisting them to implement FERA, the Foreign Exchange Regulation Act, which had been passed under Indira Gandhi's government. Under the FERA, foreign investors could not own more than 40 per cent of the share capital in Indian enterprises. The two multinationals decided to shut down their Indian operations, when Fernandes pressed ahead with rigid enforcement of FERA.