[Letter to Basant Narain Singh]

Summary

In this registered letter dated 9 July 1962, M. R. Masani writes to Dr. Basant Narain Singh to correct what he describes as inaccurate statements about the Swatantra Party’s financial commitments concerning the Raja of Ramgarh’s credit arrangement with the Central Bank. Masani stresses that the Party’s Central Office was not a party to the credit agreement and had undertaken no obligation to the Bank.

Key points

• Masani distinguishes the Swatantra Party’s Central Office from the Raja of Ramgarh’s personal credit agreement with the Central Bank.
• A Parliamentary Sub-Committee agreed that funds earmarked for endorsed Bihar candidatures would be remitted to the Bank on the Raja’s behalf rather than paid directly to the State Unit or candidates.
• The letter states that the Sub-Committee’s endorsements covered 15 Bihar constituencies and involved Rs. 4,50,000.
• The arrangement included cash already paid, funds earmarked for constituencies in the Tirhut Division, and a further payment of Rs. 20,000 to the Bank.
• Masani records that Rs. 60,000 remained to be paid in August, September, and October after which the Party’s commitment would be fulfilled.
• The letter notes that interest on the credit had not yet been paid and refers to the Raja’s outstanding balance of Rs. 1,20,000.
• Masani also calls attention to steps concerning the Raja’s authority to retain jeeps belonging to the Central Office.