Economic Destruction
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Crime Against Humanity 
Volume 2 An inquiry into the carnage in Gujarat -- Findings And Recommendations  by Concerned Citizens Tribunal -Gujarat 2002

Economic Destruction

1.1 One of the most telling testimonies presented before the Tribunal was that ofan expert witness on the recorded words of a police officer on Star News on March 9.“Wahan factory mein aag lagi hai, GIDC mein… haan…aag lagi hai… factory Hindu-Muslimmix thi, is mein ek partner Muslim tha, baki ke sab partner Hindu the.” (“In GIDC a factoryis on fire… yes… it is on fire… the factory was jointly owned… one partner was aMuslim and the rest were Hindus.”)

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1.2 Extensive evidence recorded by the Tribunal points to the devastating loss ofproperty by the Muslim community in the state. Relying on detailed tabulation oflosses computed by community leaders at the village, city and district levels, indepen-dent groups estimated the total loss to the Muslim community at not less than Rs.3,800 crore. Except where otherwise stated, the figures for losses given below havebeen computed by business representatives of the community and social activists.(See Detailed Annexures, Volume 1II). The pre-planning, precision and scale of destruc-tion calls for massive reparation by the Gujarat state.

1.3 The Muslim community in Gujarat was one of the most prosperous in the coun-try and its contribution to the economy of the state, pivotal. The fact that the economyof this section of the population has been crippled suggests a sinister motive behindthe destruction. In most of the cases, chemicals were used, apparently to generatevery high temperatures and ensure complete destruction.

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1.4. In Ahmedabad, the selective destruction has been well documented. The listbelow, of some prominent targets, illustrates the point:

  • Moti Mahal, a three-star hotel, situated not far from the office of the police commissioner, in Shahibag,Ahmedabad.
  • Alfa Restaurant, opposite Gauri Cinema, Odhav, Ahmedabad.
  • Ashish Restaurant, also opposite Gauri cinema, Odhav, Ahmedabad.
  • Tulsi Restaurant, Gulbai Tekra, Ahmedabad.
  • Hotel Signor, Sarkhej, Gandhinagar Highway, Ahmedabad
  • Tasty Restaurant, near Judges’ Bungalows, Bodakev, Ahmedabad.
  • Kabir restaurant, opposite Doordarshan, Thaltej, Ahmedabad.
  • Metro shop, CG Road, Navrangpura, Ahmedabad.
  • Cona Shoe Shop, Sardar Patel Municipal Market, Navrangpura, Ahmedabad.
  • Navrang Restaurant, Drive-in Road, Near Vijay Cross Road, Ahmedabad.

Evidence provided by prominent businessmen belonging to both the Muslim andHindu communities, point to this systematic destruction. The destruction of two estab-lishments on CG Road — Pantaloon Showroom and the Hero Honda Showroom — ina posh area in Ahmedabad, is illuminating. The Pantaloon Showroom is a partnership ofHindus and Muslims, with the Muslim partner owning only a 10 per cent share. TheCopper Chimney restaurant, though owned by a Hindu Punjabi, was targeted. Thoseinstigating the attack were obviously well-informed, for very few people knew that theowner had recently signed a deal with a Sheikh in the Gulf. Information was gatheredfrom the Registrar of Companies, the Revenue and the Sales Tax departments. Signifi-cantly, several months prior to the carnage, the widely circulated local Gujarati daily,Sandesh, had published a list of all Muslim-owned establishments in Ahmedabad with‘Hindu’ names. Was there some unstated purpose behind the publishing of this list? Wasit used as a ready reckoner by those who destroyed these establishments later?

1.5. Similarly, shops and establishments owned by Muslims were destroyed in Rajkot,Vadodara, Surat, Bhavnagar, Junagadh, Palanpur, Nadiad, Himmatnagar, Mehsana,Visnagar and Unjha. Vehicles at the General Motors showroom in Halol (60 km fromGodhra) were also not spared. Several processing houses and small factories located in theindustrial areas of Narol/Vatwa and Naroda on the outskirts of Ahmedabad city, sufferedheavy losses on the day of the Gujarat bandh, as the finished goods lying in the godownswere set on fire. (An FIR filed in this connection has named BJP MLA Sushri Maya Kotdaniand VHP vice-president of Gujarat unit, Dr. Jaideep Patel as among those responsible).

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1.6. Industries located in the GIDC estates at Godhra, Kalol near Ahmedabad,Halol in Panchmahal and in the adjoining Vadodara district bore the brunt of thisdestruction. Textile units in Ankleshwar and other industrial units in Bharuch dis-trict, too, suffered huge losses. According to Shri Narendra Brahmbutt, president ofthe Ahmedabad Hotel and Residents Association, the hotel sector alone has suffereda staggering loss of Rs. 260 crore. Suppliers to the hotel industry suffered losses to theextent of Rs. 60 crore. As many as 6,700 workers belonging to the majority commu-nity have been rendered jobless due to the burning and arson by the fanatic militia.

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1.7. Details of losses suffered:Muslims estimate losses due to the prolonged closure of shops, industries and com-mercial establishments in the state to be no less at Rs. 3,000 crore. (The GujaratChambers of Commerce and Industry puts the figure at Rs. 2,000 crore).

1.8. Hotel IndustryApproximately 1,150 hotels were burnt or looted on the National Highway fromVapi to Vadodara and on to Palanpur. The total estimated loss to property and invest-ment in looting and damage alone, across the state, is Rs. 760 crore.

  • A Rs. 600 crore business loss for the hotel industry in Gujarat.
  • At least 20,000 workers in the hotel industry were rendered jobless and many are missing. Ironically, many of those who lost their jobs were non-Muslims, indicative ofthe long-term impact of destruction and terror on all sections of society, not just the10 per cent strong Muslim minority that is the immediate target. Nearly 7,000-8,000Rabari boys were rendered jobless in Gujarat because Muslim hotels were burnt anddestroyed, according to the evidence of Tejabhai, a Rabari leader recorded by anexpert witness.

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1.9. Transport industryThe transport godowns on the National Highway have suffered damages to thetune of Rs. 12 crore. In addition, losses suffered due to the burning down of over1,000 trucks are estimated by transport operators belonging to Ahmedabad, Surat,Vadodara Godhra and Himmatnagar, at Rs. 60 crore.

  • The truck operators’ insurance claims for the cumulative damage amounted to Rs. 830 crore.
  • More than Rs. 10 crore lost due to the burning down of 60 Opel Astras parked outside the GM Motors unit atHalol.
  • Rs. 4 crore lost due to the torching of the Honda City and Accord fleet of cars at the Landmark Hondashowroom at Thaltej, Gandhinagar.
  • The Gujarat State Road Transport Corporation estimated a loss of Rs. 12.50 crore and transport companieshave lost business amounting to Rs. 70 crore.

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1.10. Industry

  • Halol:17-18 factories destroyed.
  • Vatwa: All Muslim-owned factories in GIDC area destroyed.
  • Mehsana: All Muslim-owned factories destroyed.
  • Dahod-Godhra: Large factories destroyed
  • Naroda Fruit Market: Muslim-owned fruit shops destroyed.
  • Kabadi Market, Ahmedabad: Destroyed
  • Bharuch: Muslim-owned shops and showrooms destroyed in Bharuch city.
  • Ankleshwar: All Muslim-owned factories in GIDC area destroyed.
  • Sabarkantha/Chhotaudaipur/Banaskantha: Muslim-owned shops, hotels and commercial establishments destroyed.
  • Factories which had insurance cover have lodged claims worth Rs. 400 crore.
  • On National Highway No. 8, about 90 per cent of the commercial establishments, including small shops,godowns and factories, have been completely wiped out.

1.11. Agriculture

  • Standing crops in Panchmahal, Mehsana, Dahod, Sabrakantha, Banaskantha and Kheda districts were burnt bythe miscreants.
  • Motors installed in the fields for drawing water were stolen.
  • Borewells in the fields, which cost anywhere from Rs. 50,000 to Rs 1.5 lakh, were damaged beyond repair.At least 7,000 such borewells of Muslim agriculturists from all over Gujarat were destroyed.
  • Large and small agricultural landholdings ofMuslims in Gujarat where economic and social boycott stillcontinues have been taken over by powerful interests dominated by the BJP/RSS/VHP and BD

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1.12. Miscellaneous

  • More than Rs. 2 crore lost in damage to the Lucky Film Studio.
  • Hundreds of crores lost due to the arson of thousands of houses and buildings. At least 75,000 homes wereseriously damaged in the destruction, of which 10, 204 were burnt down completely. At least 10,000 shops weretargeted, of which over 2,100 were completely ransacked.
  • A Handloom Expo was on in Ahmedabad when the Godhra tragedy took place. All the Muslim artisans fromKashmir and West Bengal were attacked and their displays destroyed.

1.13. It is abundantly clear that the economic destruction took place mainly because of inaction on thepart of the state government. Hence, the responsibility for rehabilitation need lie squarely with it. But thegovernment has not even assessed thedamages, nor laid down any guidelines for payment of compensation. Unfortunately, even the insurancecompanies, such as the New India Insurance and others, have not even considered the legitimate insuranceclaims of businessmen in many areas. The evidence recorded of a prosperous businessman from Gulberg society,who owned five shops and whose insurance claims were Rs. 9 lakh, but who was paid only Rs. 3lakh, is a case in point.

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1.14. While ignoring the genuine and pressing relief and rehabilitation needs of thesurvivors, the sponsors of the carnage and their cadre have now resorted to a crip-pling economic boycott against Muslims in many parts of Gujarat. In Gandhinagar,Mehsana and Sabarkantha districts, truck and auto drivers are facing a severe eco-nomic boycott thanks to the machinations of politicians like Gujarat ministers, ShriNitin Patel and Shri Narayan Laloo Patel. In Vadodara, there have been, at least, overtwo dozen instances of Muslims being told by their Hindu employers not to come towork. In Por and Paliyad villages in Gandhinagar district, villagers who had returnedwere facing the severe impact of hunger and loss of livelihood due to the refusal byvillage Patels (who dominate the panchayat and who are politically associated with theBJP) to buy milk (from milch cattle) or to hire Muslim women as farm labour on theland belonging to the majority community.Though overt violence has ended, ethnic cleansing continues in the form of theeconomic decimation of the minority in Gujarat.

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1.15. The Tribunal is particularly disturbed by the fact that it is not just the ordinaryworker of the Sangh Parivar, even ministers and other Hindutva leaders are involved ininstigating the economic boycott of Muslims from behind the scenes. Home ministerShri Gordhan Zadaphiya and revenue minister Shri Haren Pandya, ministers Shri NarayanLaloo Patel, Shri Niteen Patel, forest minister Shri Prabhatsinh Chauhan, minister ofstate for cottage industries, Shri Ranjitsinh Chawda, BJP MLAs Sushri Amita Patel andSushri Maya Kotdani and Dr. Jaideep Patel (Gujarat VHP’s vice-president), among manyothers, have been named by the eyewitnesses, in this context.

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