Revisiting the 1971 Nagarwala Scandal: Aiyar Reflects on Historical Context and Patriotic Fervor

Former Union Minister Mani Shankar Aiyar delved into the 1971 Nagarwala scandal, referencing political and military strategies, and the fervent nationalism of the period. Aiyar highlighted the role of key figures and the impact of the scandal during the launch of 'The Scam That Shook a Nation: The Nagarwala Scandal.'

Former Union Minister Mani Shankar Aiyar on Monday revisited the 1971 Nagarwala scandal, shedding light on the close alignment between the Indian Army and political leadership led by then Prime Minister Indira Gandhi, especially in the wake of the influx of East Bengali refugees. Aiyar was speaking at the launch of the book 'The Scam That Shook a Nation: The Nagarwala Scandal.'

Aiyar recounted the details of the scandal, focusing on Rustam Sohrab Nagarwala, a retired Indian Army captain who orchestrated the scheme, and Ved Prakash Malhotra, the then head cashier at the State Bank of India's Parliament Street branch. Malhotra believed he received a directive from the Prime Minister's secretariat to hand over Rs 60 lakh to a courier for a mission related to the liberation struggle in East Pakistan.

Aiyar noted the heightened patriotic zeal in India due to Pakistan Army's actions in East Pakistan, leading to the Indo-Pakistani War of 1971. He criticized the opposition for attempting to undermine Indira Gandhi's leadership, emphasizing the strategic wisdom shown by Gandhi and her advisors, including PN Haksar and Field Marshal Manekshah. Aiyar also commented on how nationalistic fervor sometimes manifests as anti-Muslim and anti-Pakistan sentiments, both then and now.

(With inputs from agencies.)