New generation in business

1911 and following period was that of a succession of transfers of business from one hand to another. The young generation gradually took over the reins. After the death of Shivnarain and retirement of Baldeodas the sons of the latter were running the business. Between 1911 and 1930 the business activities of the family diversified and the new characters earned recognition in Kolkata Marwari society. Bara Bazaar Marwaris had gained remarkable business hold and expertise. The social organisation of Marwaris was firmly at place, Meanwhile, freedom movement was creating waves politically and socially in Bengal. Marwari society too could not remain immune to it. The developments of that period can be understood better by the following points that are directly and indirectly linked to G.D. Birla :
❑ It was the point of time when new generation of Marwaris had taken over business of Bara Bazaar from the old generation. Birlas were the first to import Japanese textile.
❑ Birlas had assessed that due to ongoing Swadeshi movement the British textiles could be boycotted but Japanese imports would not be affected.
❑ Birlas had taken this step after a lot of thinking and assessments. It earned them a huge profit.
❑ The young Marwaris were thus inspired to take calculated risks. In addition to traditional line of trade they looked for new fields their ancestors had not entered scared of the risk factor.
❑ Ghanshyam Das set up a new firm in partnership with the brother of his late first wife by the name ‘Ghanshyam Das Murlidhar’ under the direction of Mahadev Somani.

Ghanshyam Das—In youthful years

❑ Jugal Kishor and Ghanshyam Das displayed great business acumen and linked their firm with opium syndicate to become a part of the powerful production cartel. Their business became more organised and were in both wholesale and brokering businesses.
❑ Jugal Kishor and Ghanshyam Das had become well known trade names of Marwari circle but they were
yet to earn the respectability that could enable them to lead Marwari society.
❑ Ghanshyam Das knew that to earn respectability they must create good image of themselves through charity and social welfare and gain some position in one of the Marwari organisations.
At that time there were three such organisations in Kolkata—’Marwari Panchayat’, ‘Marwari Association’ and ‘The Marwari Chamber of Commerce’.
The Marwari Panchayat was in control of the old folks who stuck to traditional thought. It was set up in 1828 under the leadership of five big Marwari businessmen. It arbitrated in disputes between Marwaris, framed business rules and regulations, controlled interest on business loans, took steps to bail out Marwaris who faced bankruptcy and worked to strengthen Hundi sytem.
‘The Marwari Chamber of Commerce’ was set up in 1895. Its main aim was to make Marwari shop-offices competitive against British and European firms. Its representative worked to safeguard Marwari business interests in Bengal Chambers of Commerce. A Marwari section was connected with Manchester Textile industry. Bara Bazaar was main centre of Manchester Textile trade. Initially it worked efficaciously but later it got bogged down in the disputes and divergent interests of buyers and sellers of the textile. It got truncated when miffed up buyer group left to form their own organisation on being outnumbered by the sellers.
In 1898 a new body called ‘Marwari Association’ was founded to get the Marwari society into politics. It was deemed necessary to protect the fundamental rights of Marwaris at political level. The young Marwaris got drawn to it. But this body was under control of rich Marwaris. It would not reach the general and common Marwari. Some disgrunted elements set up a new organisation called ‘Vaishya Sabha’. It propagated the policy only deal in Swadeshi goods by Marwari society. There was fierce sentiment in Bengal against the British government and young Marwaris wanted to be a part of the national spirit.
During this phase Marwari society had got torn in two section. One was reformist section that supported the nationalist independence struggle. Other was orthodox and traditionalist. Thus, various bodies and organisation had come up in Marwari society.
Against this backdrop Jugal Kishor and Ghanshyam Das Birla were running their business and trying to build up a positive image in Bara Bazaar. Tension were building up between new thought young generation and orthodox old generation leaderships. Generation gap was showing a wide chasm. On the political stage Gandhian philosophy was gaining ground. Meanwhile Birla brothers were making serious efforts to infiltrate into the young brigade of Marwaris.
Association with public life activities
In the class struggle of 1910 Marwari society had suffered losses of lives and properties. It was felt that Marwaris must become physically capable to defend themselves. With that aim in view young Marwaris had started ‘Sports Club’. Then Ghanshyam Das was a 16 year old youngman (although once married and father of one) and Jugal Kishore was 26 years of age. The Sports Club soon became the get together place and a popular haunt.
It was a union place of young Marwaris who came to build a fit body, did some wrestling and practise rifle shooting. Later the club arranged for grounds for football and cricket matches. Ghanshyam Das Birla became an active member of the club. He loved to have a healthy body because it was the home of a healthy mind. The idea of Sports Club was basically to attract Marwari youth to consciousness towards their physical realities and inspire them to take time out of their sedantry work for exercises to tone up their loose flesh. It was the beginning of public interaction for Ghanshyam Das.
The following events show G.D. Birla’s involvement during that phase :
❑ In 1916 Ghanshyam Das setup ‘Marwari Yuva Sangh’ for the youth of his community. A traditional wrestling akhara was established. Expert masters and coaches were hired to teach the youngman wrestling and other exercises for body building.
❑ Akhara operation cost Rs. 2000 a year. Ghee, gur and grams were on the house. Entire expenses were borne by Ghanshyam Das Birla.
❑ Birla brothers gave a four room house to the Sangh to accomodate the full time members.
❑ The brothers also sponsored ‘Maheshwari Vyayamshala’ and became its patrons. On Ganesh Chaturthi and Nag Panchami days Marwaris used to assemble there to celebrate the occasions.

Educational institution—Pilani

❑ Enthused by it Birlas set up Akharas in other parts of the country in due course of time. They organised wrestling competitions. The wrestlers were not required to spend anything. The expenses of their travel, lodging and boarding was borne by Birlas. To popularise the wrestling events they distributed free tickets.

Birla Vidya Vidya Vihara—Pilani

❑ In 1928 an akhara was built near Birla Cloth Mill of Delhi. The entire charge of it was given to Guru Hanuman. His products, later brought glory to the country through their achievements on the International stage. This akhara became an institution and served the country well. It still exists there.
Other public works in Kolkata
Jugal Kishor and Ghanshyam Das had stepped in the domain of public welfare works through their wrestling sponsorships. It was quite successful. Enthused by it they set up a ‘Marwari Assistance Committee’ after consultation with young Marwaris. The principal aim of it was to provide medical help facilities in the Bara Bazaar. Jugal Kishor had provided funds. He also get the post of the founding president of the committee.

Birla Vidhyalaya

At last the hospital duly came up in Bara Bazaar fulfilling a long felt need. When Darbhanga-Vardhman suffered from heavy floods the committee gave a financial aid of Rs. 2000 for relief measures. Its volunteers opened medical help camps in fairs. Social reforms awareness campaign was also launched by it and propagated against veil system, child marriages and death feasts etc. The Bara Bazaar youth were using the body as a stage to register their presence amongst the people. Prominent among the youth were Prabhudayal Himmatsingloka, Hanuman Prasad Poddar, Jwala Prasad Kanodia, Radhakrishan Tevatia and Birla brothers.
The committee expanded its activities to include literature promotion work by setting up ‘Sahitya Sambandhini Sabha’ (Literature Promotion Forum). It tried to make classic literature at cheap rate to the public. Its aims also included arousing national spirit and providing information on social reforms programmes. A book ‘Tikawali Gita’ published by the forum became quite popular. It was written by Shri Baburao Vishnu. Its cover showed picture of Bharat Mata holding Gita in one hand and a sword in another. It quickly sold two editions. The authorities suspected that the committee and the forum had connections with militant revolutionaries. The book was banned. Police searched the committee premises.
Thus Birla brothers attracted the attention of the youth of the community through these two initial acts. In 1914 ‘Maheshwari Sabha’ was founded. The founders were Birla brothers with highly respected Marwari businessman Ramkrishan Mehta.
Birlas were the patrons of the Sabha. For a permanent building land was purchased. Birlas and Mehta collected a large fund of Rs. 2,00,000 for it. For this admirable work Jugal Kishor Birla was made life time founding member of the Maheshwari Sabha. For the construction of the building Birlas donated 7½ lac rupees when financial problems arose. This generosity helped the Birlas gain the image of great charitable characters.
Marwari Society honoured Jugal Kishor with the title of ‘Daanveer’ (Donor Valiant). He also donated fund when Maheshwari Sabha wanted to open a library and also for its educational programmes like starting the Maheshwari Vidyalaya (school). Jugal Kishor was elected as the president of the school. In 1917 G.D. Birla was nominated for this position. In 1918 Birla brothers provided Rs. 50,000 to it. The first function of the institution was attended by Pt. Madan Mohan Malviya as the chief guest. When function was held under the chairmanship of G.D. Birla, Mahatma Gandhi was the chief guest. By the year 1917 Birlas had established themselves as great patrons of social services and causes.
Linkage with a revolutionary incident
Meanwhile, an incident took place with which Ghanshyam Das Birla’s name got linked and he was charged with having connections with revolutionary militants. That 1914 event is known as ‘Roda Conspiracy’. The British decision to divide Bengal and Swadeshi movement had charged up the youth to rise against alien rulers. Many young revolutionaries had taken to militancy. A feverish sentiment had gripped all and Marwari youth were also getting influenced. Some Marwari youth had come into contact with revolutionaries and they were providing financial assistance to them latter. Hanuman Prasad Poddar was prominent amongst such youth. He was helping their Implementation Committee and even attended their meetings held for consultations. Famous Bengali revolutionary Ashutosh Lahiri and Marwari youth Omkarmal Sarraf had become item. It was also rumoured that revolutionary Aurobindo Ghosh was receiving heavy funding from Bara Bazaar.
As already mentioned the book ‘Tikawali Gita’ was banned by authorities, Birlas were connected with its publishers and sponsors. It gave enough reason to British to suspect Marwari youth of Bara Bazaar being in league with militant revolutionaries. The circumstantial evidence in ‘Roda Conspiracy’ case pointed finger at seven Marwari youth and top on the suspect list was Ghanshyam Das Birla.
Roda & Company was Kolkata’s wholesale arms and ammunition suppliers. A large number of fire arms were stolen from their stocks. The arms were in packets. The heist was pulled by a revolutionary called Vipin Ganguly through a clever plan. Some packets had been passed on to Marwari youth for hiding in some safe places. The arms initially were kept at the house of a Marwari youth. 22 pistols were removed from there quickly to safe places as it was dangerous to keep them there. They wanted all weapons removed. Then rumour spread that the police suspected Marwari hand in the robbery. It sent shock waves in Marwari business community especially amongst elders. The police infact suspected the involvement of Marwari youth in the heist and they carried out raids. Ghanshyam Das Birla’s house, office and godowns were searched. G.D. was on top of the warrant list. Marwari Committee and Sabha activities were banned. Both the organisations were connected to Birlas.
In this context the involvement of G.D. Birla was no surprise. He had close relationships with both the organisations that were banned. But no one had expected arrest warrant against him. Some clues pointed that the stolen goods had been kept at his Bara Bazaar residences. And he was also supposed to be a financier of the revolutionaries. But it was not easy to prove for the police.
The arrests of the suspects began. Ghanshyam Das got wind of it and pulled a vanishing trick. His family acted fast and his records and papers were sent to Mukundgarh.
Meanwhile, Ghanshyam Das reached Ooty after slipping away from Kolkata. There he remained at Nathdwara and Pushkar in the disguise of a sadhu. Pilani was near Pushkar but he did not go there because the C.I.D. was sure to be there. When he was thus hiding around his eldest daughter Chandrakala was born at Pilani and for months he could not see her face.
Meanwhile, in Kolkata Birlas had sought the help of influential people for or withdrawal of the arrest warrant against G.D. Birla. In this respect Sir Kailash Chandra Bose played a big role. He had good relations with and commanded respect of the police and higher administrative authorities. Bose stood for bail and the arrest warrant was deferred. Then G.D. Birla returned to Kolkata and he resigned from the chairmanship of Marwari Assistance Committee as a collateral or a tacit deal.
In the Roda Conspiracy only one Marwari youth was proved guilty and some others were banished to other places and kept in detention.
Post roda conspiracy scenario
After the intervention of influential people Marwari youth got some respite and relief. The police added a note that the recovered arms were not meant for any serious crime. But a later report prepared in 1908 admitted that many of the arms which could not be seized were later used in serious crimes of murders and robberies. Elder Marwaris thought that the incident was bringing bad name to entire Marwari Community.
It was the period of World War I and Marwari community could reap a rich harvest of business. Elder and orthodox section felt it must take matters under its own control. A panchayat was called to rein in the Marwari youth. It was decided that traditionalists would run all the organisations and bodies of the community. The youth were not in a position to resist as they were under pressure due to the fallout of Roda Conspiracy. Thus, elders gained control of all the Marwari organisations and they had good relations with authorities. Hence, British did not take strong action against Marwari youth.
When the heat died down and the situation became favourable again Ghanshyam Das Birla returned to Bara Bazaar buisness. But he had great financial clout and high social status. Keeping him out of the social service activities was not possible even for orthodox elders. They accommodated him in ‘Marwari Assistance Society’ as vice president. He was again back in mainstream Marwari society. His father Baldeodas and elder brother Jugal Kishor also advised him to stay in welfare works of Marwari social life instead of getting drawn to extremist ideologies.
Later G.D. admitted that whatever little remained of revolutionary ideas in him got washed off when he came into contact of Mahatma Gandhi.
Association with mahatma
In 1956, Mahatma Gandhi had come to Kolkata as the chief guest to attend ‘Vishuddhananda Saraswati Vidyalaya’ function presided by G.D. Birla. He addressed Marwari gathering and was introduced to distinguished Marwari clans and people. He was brought to the venue in a procession. Then, Jamnalal Bajaj and Ghanshyam Das Birla pulled the most unexpected show. The horses of Gandhiji’s carriage were let loose and the two began to pull it like yoked beasts. While doing so they were raising slogans hailing Gandhiji. It laid the foundation of sentimental bounding of Gandhiji and Marwaris. The community ever remained in the forefront in providing financial support to Gandhiji’s campaigns.

In London—With Mahatma Gandhi and Sarojini Naidu

The chemistry worked so magically that G.D. Birla became forever follower of Gandhiji. In all the meetings of Gandhiji in Kolkata he remained in attendance. G.D. Birla was impressed with the simple life style of Mahatma. He wrote a letter to Gandhiji which was replied promptly. Mahatma allowed G.D. Birla to keep in touch with him.
Although G.D. Birla had withdrawn from active national politics yet sentimentally he remained even linked to it even at the cost of the displeasure of the elders of Marwari Community.
Marwaris protested against ‘Rawlett Act’ in Kolkata. They shut their shops when Gandhiji was arrested in Punjab on April 10, 1910. The tension between old guard and youth often showed up.
G.D. Birla however kept his feelings within himself and stayed put in business matters.
World war-gains
By the time of World War I Birlas had set up three firms, namely ‘Baldeodas Jugal Kishor’ at Mumbai, ‘Shivnarain Baldeodas’ and ‘Ghanshyam Das Murlidhar’ which was mainly being seen by G.D. Birla himself. It was dealing in jute and jute products. The trade was profitable. Jute products were in demand and the war in Europe had created more demand. At record level they were being exported. Marwaris of Kolkata were reaping a rich harvest.
As a jute business broker Ghanshyam Das contacted European buyer agencies. They were big players and establishing trade with them meant big deals and big profits. The knowledge of English proved very helpful for Ghanshyam Das in this endeavour. Infact, due to his English he beat other Marwaris. These trade relations provide Ghanshyam Das the opportunity to study the structure, functioning and work ethics of European companies. It also proved to him the importance of communication skills in business at international level.
During the war period Ghanshyam Das made money in forward trading (satta) of silver also. The government needed increasing quantities of silver for minting coins which required steady supplies of the metal. Demand increased to such a level in India that it was twice of what entire world annually produced. Birla brothers were unable to handle such a demand. They even sent a S.O.S. to their father Baldeodas who was living in retirement in Benaras. It’s worth a mention here that Radhakrishan Dalmia too reaped golden harvest from the demand for silver during this period.
Jute products were other item that World War created demand for. Jute bags were required in huge quantities for transportation of war material. Birla Jute Mill became a money spinner. It was close second to European Rauly Brothers Agency. Marwaris held 60 percent business of Jute mills. Ghanshyam made a killing. The money rained. Birlas spent 25 lac rupees on charity works alone out of the fortune they made.
Indian jute industry then supplied 1400 million soil bags, 713 million yards material, one million pound twine and huge quantities of mat and boras. It is appropriate to mention here that Birlas had taken up jute business in 1850 itself. Shivnarain had started jute satta in Mumbai. By 1915 they had become one of 15 top jute exporters of India. The control of Marwaris on jute trade and their cooperative brotherhood also proved very useful for Birlas and G.D. was the most benefited.
Ghanshyam Das had to work himself the future diversification plans and turn his traditional enterprises into a business group. He had the zest for it. His elder brother Jugal Kishor was traditional and of orthodox mindset. He made it clear he was not interested in ambitious plans of his younger sibling, Ghanshyam Das.
Earlier jute trade was controlled by Europeans. ‘Indian Jute Mills Association’ had Europeans in charge. It controlled the pricing of jute, jute products and even railway cartage. Setting up a jute mill could be a problem for native entrepreneur. It required heavy capital investment of 20 lacs before WW I and 50 lacs in post war period due to inflation. British controlled commercial banks and they would not give loans to the natives on one pretext or other because of the pressure of European agencies. When Ghanshyam Das decided to set up his mill his loan application was turned down. Then, loan was available partially when a British broker worked his charm but at higher interest rate. G.D. had to raise money from his own sources to fill the funding gap.
Criticism became challenge
G.D. Birla set up his jute mill in 1919. He had to pay 7½ percent interest on the bank loan. It was proving a huge drain. The ambitious project could sink him completely. The mill was giving no joy to him. Once he even thought of selling it and negotiated with Andrew Yule Jute Company. It was a painful experience. And that was how British system was squeezing out the local entrepreneurship. A man who supported Swadeshi Movement was being forced to sell his mill to the foreign company. His own investment was not small. All his other entreprises had become linked to the fate of the jute mill as the money had come from them.

G.D. Birla—At the time of installation of Jute Mill

To finalise the sell of Ghanshyam Das was called to the head office of Andrew Yule Jute Company office. The Scottish manager of the company contemptuously asked why G.D. Birla had to set up a jute mill?
It hurt the self respect of Ghanshyam Das. His conscience revolted and he declared the deal was off. No selling! He walked out a proud man and made up his mind to challenge the European Jute mills, their monopoly and their very right to exist in his country. With a cool mind he assessed the situation and shuffled his priorities. To lower the production cost he decided to limit production at basic level. The product capacity was pegged at 400 looms. One loom cost 16,000 rupees.
Soon the good results began to show. Birla Jute Products Mill got listed which got him the backing of other Marwari firms. In league with ‘Halwasia Jute Mill’ and ‘Hukmchand Jute Mills Pvt. Ltd’ Ghanshyam Das posed a challenge to the European jute monopoly. The tables had been turned.
Andrew Yule & Co. tried to create hurdles for G.D. Birla. The land on which he wanted to expand was trickily aquired by the company. G.D. had to shift to Shyam Nagar of south Kolkata. It created transportation problem because the jute transportation buisness was in the European hands. The newcomers had to pay more charges on railway and steamer services which increased the production cost. G.D. battled on nevertheless and his enterprise started production in 1920.
The hit back
Like other Marwari firms of that period Birla Jute Company too had a ‘Board of Directors’ consisting of Europeans and Marwaris. The management of the mill was in the charge of the experienced Europeans. Indian assistant managers were asked to learn the works from Europeans. Thus, covertly Indians were being trained to take over. When the Indians gained expertise G.D. Birla showed the door to European managers.
Birla jute venture proved a success. Even after the World War I the demand of the jute products remained. The war has introduced the utility of the jute products to the world. Now food grain packaging and that of other industrial products was being done in jute products. Thus, jute product exports registered an upward swing. The period of 1915-1929 nothing was as profitable as the jute industry.
G.D. Birla gave a lot of time and thought to his jute mill. He studied every machine and operated it to see for himself its functioning. From every unit he asked for detailed work reports for study. Every day through Padta technique of Marwari business system profitability of a unit was assessed.
Enthused by the jute success G.D. Birla now turned his attention to textile field. In 1920 he bought a textile mill in Delhi for 5 lac rupees from K.L. Bagla. It was renamed ‘Birla Cotton Spinning and Weaving Mills Ltd.’ Its public issue proved a success.
In 1919 all the enterprises of Birla family were brought together under one group called ‘Birla Brothers Limited’ with a capital of Rs. 50 lacs. All the brothers became members of the Board of Directors. G.D. Birla retained the management control. ‘Ghanshyam Das Murlidhar’ firm was wound up. Jugal Kishor retired. Rameshwardas took over the charge of Mumbai operations of the group. The old ‘Baldeodas Jugal Kishor’ firm became ‘Birla Brothers Limited, 7, Royal Exchange Kolkata’. Birla became the prominent Marwari business family. In 1920 it truly became industrial house and new doors for expansion and diversification opened. The war time economy helped Birlas become an industrial legacy.
Prosperity time and image building
In 1920 Birla House was moving into a direction that has limitless possibilities of progress. It was an incredible industrial success, mindboggling riches and respectability in the Marwari society. Two generations had invested blood, sweat and toil in it. Then G.D. Birla has arrived who had vision, sky high ambitions and ideas. He was the star of the family who really shaped the Birla House of business, trade and industry. So far old Birlas had kept their wives and the children at their village Pilani. The men folk stayed at Mumbai or Kolkata ever-engaged in the business activities and making money. Every now and then they would steal time to go to the village to spend some days with the family and then return to work. G.D. Birla broke this tradition. Jugal Kishor and Ghanshyam Das brought their wives and children to Kolkata to live with them permanently. For some time the families lived in a rented house. Then, the brothers bought a property at 6, Rayne Street in the suburb. But it proved inadequate for the growing families. Then, in 1919 Birla brothers bought land in a posh area according to their wealthy status. It was a huge mansion with garden within covering 20 bighas in 4 lac rupees. The property belonged to the ancestors of Rabindranath Tagore. As wished by Birlas the famous architectural firm Mrs. M. Gugen redeveloped it as Birla Park with a grand palatial residential complex in Victorian style.

Saraswati Mandir at Pilani

For every member of the family there was an independent block or set. It was equipped with all the modern facilities including telephone which was a luxury and a status symbol then. For the travel of the family a two horse buggy was ever ready. The caretakers lived in the servant quarters. G.D. Birla had six children. One was from the deceased wife who was adopted by Jugal Kishor and his wife because they had no child of their own. Laxmi Niwas was his name. The living wife Mahadevi bore G.D. five children. The women and children were very happy in Birla Park as the life in the village was dull and very difficult. Every evening they went to Eden Garden for fresh air and listen to the band that played everyday there. Abdul was the family’s valued syce cum driver.
Birlas had become very respectable people, the pride of Marwaris. The families were happy and the brothers were busy and they were diversifying and expanding as a Business House. Gwalior Maharaja has asked G.D. to set up ‘Jiavarao Cotton Mill’ at his city. G.D. Birla was getting loaded with respensiblities as Jugal Kishor had also decided to retire from active business. G.D. was now heading ‘Marwari Relief Society’ and ‘Marwari Sabha’ as well. The old guards had to give due respect to rising G.D. Birla.
In Bengal Provincial Council
G.D. Birla was becoming a power in Marwari society and his personality was impressive. He knew English as well. So, in 1921 the governor of Bengal, Sir Ronaldche nominated G.D. Birla to Bengal Provincial Council. Marwaris were now staunch Gandhi supporters and it was obvious they would extend financial support to him and his compaigns. But orthodox section wanted Marwari youth to stay away from Gandhiji—as well as militant revolutionaries.
G.D. Birla was emotionally attached to Gandhiji and he had great influence in Marwari society and the youth. By nominating him to the state council the British were trying to neutralise his influence. The non-cooperation movement of Gandhiji was gaining momentum. For 27 year old G.D. Birla safeguarding the Marwari interests was also important and the membership of the powerful state council offered great opportunities in that. He could no more involve himself with freedom politics although he sympathised with it. He had to do a tight rope walk.
His role in Provincial Council can be summarised by the following points :
❑ He stayed clear of political debates.
❑ During the year he took part in voting only six times. He voted in favour of budget.
❑ He raised the question of inadequate medical facilities in Bara Bazaar area.
❑ He offered suggestions for public park in the Bara Bazaar area.
❑ He demanded better sanitary conditions in that area as a long standing desire of Marwaris.

❑ He asked the government to grant more rights and power to women and protect them from the evil customs or traditions.
❑ He advocated more financial grants for the land reform measures in Khulna district.
❑ G.D. Birla absented himself from the sitting when the issues of people of Bengal versus government were taken up for debate.
❑ His silence in the council was also due to the fact that he was yet to learn oratory and skill of public expression of his mind.
❑ He was nominated to several committees like ‘Public Accounts Committee’ and ‘Finance Committee on Howrah Bridge.’
❑ G.D. Birla basically expressed the concerns of Marwari community only. He opposed the construction of Howrah Bridge only because Marwaris thought that the bridge being close to Bara Bazaar might incur them construction levy. There also was a fear of property values going down.
Publication ventures
As a council member he may have been Marwari centric but it spurred his mind to look into new fields. He took over two English newspapers of Kolkata. The first to be taken over was an eveninger ‘The Empire’. It was devoted to European buisness interests. It carried mostly trade news and market rates etc. G.D. Birla decided that the format of the newspaper would not change. Its new name was to be ‘New Empire’. He realised that to keep the newspaper trade oriented special guidelines would be needed. Two policies he framed :

Music takes over life

1. Informative articles and features on business, trade, commerce, industry and finance shall be printed.
2. The newspaper would work for and raise its voice to protect the interests of the trade and its growth plus development.
The news on Provincial Council proceedings and sports may be included but political news would find no place. The British were satisfied that the new owner of the paper won’t create political trouble.
In 1922 G.D. Birla aquired another newspaper named ‘Daily Bengali’. It was originally started by the famous politician Sir Surendranath Bannerji. It began to be printed with Maharaj of Kasim Bazaar as an independent and impartial paper. New management was instructed not to make any changes in the old editorial policy. The idea was to turn it into a modern institution.
The idea behind owning newspapers was to find a voice to raise questions in an educated way in respect of trade and industrial policies of the government that were against the natives in a deliberate way to favour the Europeans. G.D. wanted the inequalities to become a matter of public debate and demand. He also wanted to spread awareness amongst people against social evils of dowry, child marriages, caste system etc. At that point of time trade journals were run by Europeans who always tried to protect their own interests. His newspapers were meant to espense the native interests in trade and industry. G.D. wanted to send a message that Marwaris also understood trade and industrial matters in modern terms and would not tolerate injustices for long. At the same time G.D. wanted to tell his own community that it was time to spread wings and broaden the mental horizons beyond Marwari paremeters.
Non-cooperation movement
When non-cooperation movement was started people were curious to see how G.D. Birla’s newspapers would portray it. They would have to say something or take some line at least in editorials. He was after all members of the Provincial Council.
‘New Empire’ published the news on the thoughts articulated by nationalist leaders. Congress had held Kolkata and Nagpur sessions. The editorial put forward the opinion that non-cooperation movement was not likely to gain anything. For the positive result the cooperation of all sections of the society were needed. It said when the British government was ready to make some amendments in the constitution for the sake of the interests of the Indians the Congress leaders must cooperate instead of creating hurdles. The non- cooperation movement will only foster mistrust and differences.
‘It would be proper for all those who want the welfare of the country and who in true sense want the country on the road of progress in practical way to think of upgrading health and education without any break or doubt. India must more worry about the fact that they are not respected in their own country and have little security’.
The two newspapers opined that after Kolkata Congress session Ghandhiji’s own image had emerged. His charactristic of considering himself insignificant had imprinted him on the soul of the people. His simplicity, transparent honesty and spirit of extreme sacrifice for the country were praised.
The papers avoided criticism or adverse comment on the policies of Gandhiji. At the same time they did not support the movement. It was an act of balancing. It came as a disappointment for Congress leaders who were hoping for the unreserved support from G.D. Birla. The following points sum up G.D. Birla’s response to the non-cooperation movement :
❑ Birla papers maintained strict balance and impartiality. They printed the news of non-cooperation movement events but offered no comments or analysis.
❑ They made it clear that they did not subscribe to any political ideology or line of thinking.
❑ G.D. Birla personally did not reveal his mind on the movement.
❑ Young Marwaris openly supported Gandhiji but G.D. Birla supported none. He would not lower the dignity of membership of Provincial Council.
❑ It was rumoured that in one bonefire making of foreign cloth he was involved.
❑ The Marwaris gave large amounts to Gandhiji in support of his non-coopeation movement. G.D. Birla did not contribute any monetary sum but his brother Rameshwar Das gave a purse of 1 lac rupees at Mumbai Mani Bhavan.
In this way G.D. Birla moved very cautiously during that period to maintain the dignity of membership of the council and did his duty. His newspapers too kept up impartiality and used very restrained language. He had made up his mind not to jump into the nationalist freedom politics openly for the sake of the interests of Marwaris of Bara Bazaar although morally he supported Gandhiji. G.D. Birla acted like a mature politician who looked apolotical.
Ostracization from marwari society
D.P. Khaitan and G.D. Birla came from the Marwari society that stood for reforms in outdated customs and traditions. An old mob was fanatically traditionalist who considered perpetuation of old customs and rules are their cardinal duty. Marwari Maheshwari society would stick to its old values however hard reformists may try. In 1923 the orthodox group won the Association election. The reformist Khaitan-Birla group bit the dust. But individually they had saved their positions. So, Birla was made one of the four vice-presidents and Khaitan became treasurer. Thus, two groups were engaged in tug-of war. But due to an event Birla had to give up his position in Maheshwari Marwari society.

The man on top of Rajasthani tradition

G.D. Birla’s elder brother Rameshwar Das had married a Kolwar Maheshwari girl after his first wife died. Kolwars who were ressettled in U.P. were considered Maheshwaris of lower order. The native Maheshwari were not supposed to marry in that group. The first class Maheshwaris called themselves ‘Deedus’.
Then, the custom was that any Deedu marrying in Kolwars was ostracized from Kolkata Deedu Maheshwari community. In 1921 a panchayat was called to consider the Rameshwar Das case. Out of five members four felt Kolwars were as good as Deedus. But one disagreed. The dissenter wanted Birlas ostracized for that unholy marriage. Birlas were united in support of their member.
In Kolkata the orthodox gang ostracized Birla family. They had got an excuse to gain total control in Panchayat and association. Maheshwari Bank went with the decision of the panchayat and closed its doors for Birlas. Birlas and their supporters retaliated by seizing control of ‘Maheshwari Sabha’ and Deedu Panchayat and expelled the opponents. The orthodox gang setup ‘Deedu Mahapanchayat’. It asked retired Baldeodas to apologize for the misdeed of his son.
G.D. Birla and his brothers asked their father not to do so as it was only meant to humiliate them. But the social status of Birlas suffered severely. Birlas were feeling anguished and outcaste humiliation. They requested Madan Mohan Malviya to intervene and bail them out. Malviya had influence in Marwari community. There was little he could do but he advised Birlas not to surrender. Unified Birlas held on. In course of time the opposition weakened. Liberals regained control over organisations. G.D. realised that Marwaris needed to give up their narrow-mindedness. The reformists kept up pressure and Kolwari Maheshwaris were accepted as equals. This incident brought G.D. Birla and Madan Mohan Malviya closer. They worked for Hindu upliftment and education to fight social evils. Efforts gained momentum to set up Benaras Hindu University.
birla-malviya achievements
G.D. Birla was greatly influenced by Hinduist thoughts of Madan Mohan Malviya. Birla extended his unstinted support to Malviya whenever called for. Their cooperation fructified in following works.
❑ For Hindu University (Benaras) G.D. Birla came forward whenever Malviya needed financial help.
❑ They worked to develop Hindu pilgrim centres. To revive Hindu worship regime Birlas provided Rs. 75,000.
❑ In B.H.U. Sanskrit school was added in which 4000 students could study. Birla Hostel also came up.
❑ In 1926 Birlas helped in establishment of Rajputana Hostel and Women’s Hostel. Music chapter was also added for teaching Indian classical music. Jugal Kishor gave scholarships to 100 students. Thus, Birla made great contributions in Benaras Hindu University.
❑ For propagation of Hindi Birla gave financial aid to Hindi Pracharini Sabha. Jugal Kishor provided funds to the tune of lacs for rennovation and repair of temples and Dharmashalas.
❑ Birlas also associated themselves with Malviya. When the latter took in his hands the task of reconstruction of Krishna Janmabhoomi in Mathura.
❑ Birlas built Ayurvedic facilities in Benaras.
❑ Jugal Kishor built community house for ascetics and sadhus in Benaras. A Women’s Home also came up for Marwari old women who wanted to spend their last years there.
❑ Birlas rennovated ghats of Benaras and gave money for management of temples. Dharmashalas and shelters were also constructed.

Spokesperson of trade and economy

❑ Jugal Kishor promised dying Malviya that he would construct Vishwanath Temple as he had dreamt of. The temple did come up and it is a beautiful creation.
❑ Birlas gave 30 lacs to B.H.U. for various useful projects.
❑ In respect of Hindustan Times Birlas helped Malviya. The newspaper was incurring continuous losses. G.D. bore the losses. Later, it became a joint undertaking and Birlas joined the board of directors. Upto 1927 Birla carried most of the financial burden.
Lala lajpatrai
In 1923 when Lala Lajpatrai came out of jail he learnt about the social welfare activities of Birlas and got duly impressed. He understood the Hinduist mindset of Birlas. Lala Lajpatrai wrote a letter to G.D. Birla to help in solving the problems of Hindu groups and communities. Birla met him and realised Lajpatrai was hyper active and impatient. He was not ‘slow and steady’ man like Gandhiji or Madan Mohan Malviya. This difference got Birla interested in him.

Smile of success

Lala Lajpatrai sought his support in eradication of evil of untouchability from Hindu society. G.D. Birla was elected as the president of ‘Harijan Sewak Sangha’. Birla also liked his ‘Boys Scout’ plan and appreciated his political articles. Birla began to give a monthly grant of Rs. 3000 to Lala Lajpatrai for his projects. When Lalaji went to Lahore Birla provided him a car with a chauffer for his convenience to enable him to work efficiently and fast for ‘Servants of the People Society’, he was working on. In 1927 Lala Lajpatrai founded a number of Arya Samaj institutions. Dayanand Anglo-Vedic School was founded. Birla too spoke on the occasion of the founding function. Thus Birla contributed a lot to projects and programmes related to Hindu upliftment and reforms.
In the fold of Gandhiji
G.D. Birla first met Gandhiji in 1916. His simplicity impressed Birla. When Birla family was ostracized G.D. write to Gandhiji to help him out. Gandhiji had good influence on nationalist Marwari youth. Gandhiji advised him to stay on the path of truth and face the situation with patience and fortitude. Birla wrote back that his advice provide some peace but no solution to the problem. In this way the correspondence between them started. Birla asked question related to non-violence and Satyagraha policies. Several times Birla expressed his disagreement like how could one get justice by bowing one’s head to injustice? Birla would frankly write that his (Gandhiji’s) policies touched heart but not the mind. It was obvious he was impressed with Gandhian theories but could not comprehend them and he was not ready to buy.
But their relations deepened. Gandhiji used to write a letter to Birla each fortnight. In 1925 Gandhiji wrote a letter asking him to donate Rs. 50,000 for Aligarh Muslim University. Birla knew Malviya would not like it. But how could he refuse Mahatma? He wrote to Gandhiji that he would donate the sum but it be kept secret. And so he did.

Birla Mandir—when opened to untouchables

Knighthood not accepted
G.D. Birla was friendly with Indian freedom politicians and at the same time he maintained good relationship with the British who appreciated his charitable deeds. In 1926 British decided to confer knighthood on G.D. Birla but he politely refused to accept it.
It pleased Gandhiji and he wrote a letter admiring his act as in the prevailing situations it was a correct step to be with majority of the countrymen. The British understood his delicate position and did not resent his refusal.
Today a lot of Indians are in the world list of the richest and the most influential but none of them can match G.D. Birla in philanthropy. About his relationship with Gandhiji, G.D. Birla later wrote :
”Our personalities had no similarities but we respected each other. The paths of our lives led to different directions. I was a businessman and he was a fakir. He had no use for the comforts and goodies of life and had no desire for the same. In respect of economic system our thoughts did not match. He was for small scale and cottage industries but I was staunch advocate of big industries and mega projects. But the incredible thing was that we kept coming closer like opposite poles of magnets with a spirit of total surrender. Why was I infatuated with that embodiment of truthfulness? After analysis today I realise that there was something ethereal in him that could attract anyone to him. Saints are rare and politicians abound. Such mystifying characters come in centuries. This was the reason that got me close to his heart. We differed on a number of subjects but I never disobeyed his command and he always accepted my right to independent thinking. And he treated me with the same affection that a kind father has for his child.
Gandhiji in sad times of Birla

It was the period when Ghanshyam Das had established close links with politicians and everyone thought he was just about to crossover to political territory himself. But a tragedy struck. After the birth of his girl baby Shanti his wife Mahadevi fell sick. T.B. had struck again. His first wife was also claimed by that disease. In those days it was incurable, to keep her at cool place as advised by doctors he rented two houses in Solan (H.P.). Birla tried to spend as much time as possible with his family. When her condition did not improve there she was brought back to Delhi for better medical treatment. She was admitted into a hospital in Okhla which was then a suburb, 15 kms outside the city. Birla was a very sad heart broken man. He prayed to Gandhiji to give him moral support and show him the way out of the darkness of despair. Mahatma told him about some diet precautions and asked him to pray to God for arousal of inner strength to bear the pain.
Gandhiji took time out of his schedule and went to see bed ridden Mahadevi in hospital. To G.D. and Mahadevi he preached spiritual knowledge and philosophised the relationship between the body at soul.
Mahadevi said, “Your visit and spiritual enlightenment gives me peace and inner calm. I wanted to meet you before dying. My wish has been fulfilled and now I can die in peace.”
Mahatma prayed for her and blessed her. It was obvious that her time had come. Gandhiji wanted G.D. to take a vow before her not to marry again. It is not known how did Birla react but it remained a fact that he never married again. After the death of Mahadevi in 1926. G.D. Birla never forged any relationship with other woman although he was only 33 years old.
After losing wife G.D. Birla became a mournful figure. The family and friend pressed him for remarriage but he would not listen. The children were yet very young. The elder Laxmi Niwas had been adopted by his childless elder brother, Jugal Kishor. Then, the offspring of Late Mahadevi, Krishna Kumar was 8 years old, Basant Kumar 5 years, Chandrakala 10, Anusuiya 3 and Shanti only 2 years old. The girls were sent to Mumbai to be in the care of Rameshwar Das and the sons were kept at Kolkata with Brijmohan. Freed of the family he dedicated himself to business and welfare works as means of solace.
Foreign Tour

G.D. Birla—in London

In 1927 G.D. Birla was informed that the government had chosen him to represent India in 10th International Labour Conference to be held in jeneva. Birla consulted Gandhiji about it. The latter advised against it on the plea that it was not right time. But Gandhiji left it to his own conscience.
Birla informed him that he had made up his mind to attend the conference. Gandhiji respected his wish. Then, he advised Birla on Do’s and Donts of sea travel, food in Europe and other precautions against mental corruption. Gandhiji gave him 11 point regime to follow which included no unknown food item, three meals a day, no eating after 8 p.m., six mile walk every day, no chocolates and study of Hindu religious books to ward off ill effects to the alien culture.
He advised Birla to meet poorer sections of England to make correct comparative judgement of situation in Europe.
Meanwhile, orthodox elements reised a hue and cry. They threatened Birlas could be declared again as the Periah of Maheshwari society because the religious tenets said crossing the seas was a great sacrilege of one’s Dharma. But Birlas no more cared for the outdated people and their fatwas.
In May, 1927 G.D. Birla boarded S.S. Rawalpindi ship alongwith Lala Lajpatrai who was going abroad for health reasons. So far G.D. Birla had only corresponded with Europeans and now he was going to see them in person in their own habitat. The European life-style shocked him. It was a horror for a member of Maheshwari Marwari clan to see women drinking wine, smoking and moving about in skimpy dresses. He thought the Europeans were falling into a bottomless chasm of sinful life. But how had such people managed to gain control of half of the world? G.D. analyses reached at the conclusion that British had a national spirit and pride whereas Indians were divided into individual selfish motives and lacked patriotic fervor.
For five months he lived in Europe. The industrial progress there impressed him but the life style there disappointed him. During his stay he strictly adhered to the regime set by Gandhiji for him. In that way Birla spiritually remained in the company of Gandhiji and did not slip into the indulgement ways of the west. After this journey Birla went to Europe several times but by plane. That was the only luxury he indulged in. Rest of his life was very simple.

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