Reliance gets Jaipal’s wings clipped

Posted : October 29, 2012 at 7:16 am IST by ManaTelugu
Many state politicians feel that the clout Jaipal Reddy enjoys with Cong High Command and Sonia Gandhi is immense and no one could dare speak against him. However yesterday’s cabinet expansion proved a point that Mukesh Ambani uses more clout than Jaipal and used the cabinet expansion to shift Jaipal who has been stalling his company’s interests.

Reliance for long has been demading for increase in gas price for the resources it unearthed from KG basin. But Jaipal did not heed to his pressures and so Mukesh directly interacted with Sonia and PM Manmohan and got his work done. Right from the time Jaipal took charge of Petroleum Minister from Murali Deora in 2011, Ambani has been pressurising Jaipal for increase in prices. However he did not heed and so Mukesh started pressurising PM Manmohan and Sonia.

Reliance has been accused of bringing down gas production only to get its demands okayed by the Govt. However it did not workout as Jaipal ordered CAG auditing on the company. But CAG audit has been successfully stalled by Reliance. But when Jaipal persisted with CAG audit, Mukesh fully aware that it would boomerang on him, got into act quickly and successfully shunted Jaipal out of petroleum ministry.