Interview: Bribery exists everywhere, but greasing palms does not ensure action in Kerala: Kitex MD Sabu Jacob

Those heading Kerala’s Industries Department lack a fundamental understanding of business and on how to attract industries to the state. Their knowledge is virtually nonexistent.

Published Mar 05, 2025 | 9:00 AMUpdated Mar 05, 2025 | 9:00 AM

Sabu M Jacob (right) with former Telangana minister KT Rama Rao. (File pic)

Twenty20, the Corporate Social Responsibility wing of the Anna-Kitex group, had a humble beginning, driven by lofty motives.

Entering Kerala’s political scene from Kizhakkambalam, a suburban village east of Kochi in Kerala’s Ernakulam district, it went on to rule four grama panchayats and one block panchayat, rattling both the LDF and UDF. The outfit now has its sights fixed on the upcoming elections to the local bodies.

Kizhakkambalam Textiles may not be familiar to many in Kerala, but its abbreviation, Kitex, is very familiar. Over time, the Anna-Kitex Group diversified into multiple sectors and grew into a brand that has to be reckoned with.

Kitex’s Managing Director Sabu M Jacob is equally revered and hated. At a time when Industries Minister P Rajeeve is in an apparent self-congratulatory mood over the state’s claimed industrial growth, South First caught up with Jacob, who preferred Telangana’s industry-friendly environment to set up manufacturing units at Warangal and Sitarampur.

In a conversation with South First, Jacob reveals his plans and perspectives. Edited excerpts:

Q: What are your thoughts on the ongoing talks on ease of doing business in Kerala? Do you believe the state provides a business-friendly environment?

A: The core issue is that those heading Kerala’s Industries Department lack a fundamental understanding of business and how to attract industries to the state. Their knowledge is virtually nonexistent. The Industries Minister, P Rajeeve, has a history of leading protests against various industries in Kerala.

Now, after assuming office, he has seemingly reversed his stance, but while his position has changed, Kerala’s industrial reality remains the same. Much of what we see is just PR.

Take the WEF annual meeting in Davos, Switzerland. Several South Indian states won significant investments by attending the meet. Tamil Nadu secured over ₹10 lakh crore, Telangana attracted ₹1.78 lakh crore, and Maharashtra also received a substantial amount. Gujarat, in all likelihood, pulled in the highest investments. But what about Kerala? The entire Industries Department was present at Davos, yet the state did not secure even ₹1 in investments. If Kerala truly had an “ease of doing business” environment, why didn’t a single major investment come in?

Retailing is not the same as industrial growth. Kerala is a consumer state where anyone can sell anything. Just because investors are putting money into shopping malls, supermarkets, or hospitals doesn’t mean the state is industry-friendly. Investment is pouring into healthcare and real estate but not into manufacturing.

Look at Tamil Nadu. It has attracted numerous global automobile manufacturers. States like Andhra Pradesh and Gujarat are now competing to bring Tesla. Meanwhile, in Kerala, the only significant new investment is a brewery coming up in Palakkad. That says a lot about the kind of industries finding space in the state.

Also Read: Shashi Tharoor backtracks on his praise for Kerala’s MSME sector growth

Q: During the Kuwait fire tragedy, you mentioned that the CPI(M) benefitted from the hard work of many industrialists, including expatriates. However, groups like Kitex are rarely seen at Kerala-organised global summits or investor meets. Why is it so?

A: They fail to take care of their people. This is a general political issue in Kerala, regardless of whether the LDF or UDF is in power.

One thing I’ve noticed is that while bribe and bureaucratic hurdles exist in many states, including Tamil Nadu and Telangana, there is a key difference.

In Tamil Nadu, even if officials demand a bribe, some work gets done, and people are not harassed in the process. In Kerala, however, even bribery doesn’t guarantee action. No businessman can operate with peace of mind, and it’s not just industries; everyone, including children, faces insecurity in Kerala.

Also Read: Shashi Tharoor’s article sparks fire from Kerala to Delhi

Q: Between Kerala and Telangana, which state has treated the Kitex Group better politically?

A: If Kerala had treated us better, why would I have considered moving to Telangana? Everyone in Kerala is well aware of how I was treated and the challenges I faced. Despite my repeated attempts to resolve issues and contribute to the state’s economy, I was met with obstacles at every step.

When a business that has been deeply rooted in Kerala for years decides to expand or relocate its operations elsewhere, it is not a decision taken lightly.

Telangana welcomed us with open arms, offering a business-friendly environment that stood in stark contrast to the challenges we faced in Kerala.

Also Read: Democracy being slaughtered, says Twenty20 

Q: Kitex’s ₹25 crore electoral bond donation to BRS made headlines, and you described it as a gift. Now, do you think it was unnecessary, especially since the party lost power in the state?

A: It is not illegal to buy electoral bonds of political parties. Everything is documented. If I wanted to hide something, there are many other ways. I did not receive any illegal favors from K Chandrashekar Rao, nor did I take any undue advantage from him. Every agreement I signed with the BRS government was during my initial entry into Telangana, long before the Assembly elections.

I did not provide any money to the Revanth Reddy government, yet they are treating Kitex much better than the BRS did.

In every state, including Telangana and Tamil Nadu, politics may change, but policies remain the same—except in Kerala. Today, the LDF talks about ease of doing business, but if they lose power tomorrow, they will be the first to strike against industries. Whether it is the DMK, AIADMK, BRS, or Congress, their approach to industries remains consistent.

Also Read: Minister Rajeev debunks myths around Kerala

Q: What is your stand on the BJP?

A: I don’t support any political party because they are all exploiting the country. However, Prime Minister Narendra Modi has brought a lot of changes. His government’s policies are effective, and he has reformed outdated rules. People now feel much more at ease under his leadership.

For example, visa and passport processing, which used to take months, is now completed within days. Central government services have become highly transparent.

However, I’m unsure if things would remain the same under another BJP leader.

Q: Telangana MLC and KCR’s daughter K Kavitha and Kerala Chief Minister Pinarayi Vijayan’s daughter T Veena are currently facing multiple probes by central agencies. As the leader of a political party, how do you view these developments?

A: These are all part of dirty politics. I think everything is settled now. What happened in Delhi? Whoever opposes the present BJP government will try to damage it. I don’t know the reality of these cases.

Also, there is no possible comparison between Kavitha and Veena. On behalf of Veena, somebody is doing something, whereas Kavitha is acting on her own. I know Veena personally. She is a quiet lady.

Q: Do you see Twenty20 emerging as a major player in the Assembly elections?

A: Now, we are planning for the local body elections. Assembly elections are coming in April- May, and there is a lot of time to plan for the Assembly elections. We believe Twenty20 has done its best so far, no one can do better than this.

If asked about our acceptance among the public, you can ask the people in Kizhakkambalam. They will tell you what Twenty20 means to them.

Q: Twenty20 has given significant representation to women. What led to this, and has it brought any changes in governance?

A: Almost 80% of our elected representatives are women. It was a conscious decision. Not only ward members, but all key roles within the party are offered to women. Currently, Twenty20 is ruling in four grama panchayats:  Kizhakkambalam, Mazhuvannoor, Aikkaranadu, and Kunnathunad, as well as the Vadavucode block panchayat. In all these panchayats, the presidents are women.

Every party talks about women’s reservation. Heated debates take place in Parliament about seat allocation for women, but the reality is that no one is implementing it. However, Twenty20 announced and implemented it. In the last election, we even planned to allocate 100% of our seats to women, but the challenge was finding enough eligible candidates. That is why we are currently maintaining an 80-20 ratio.

Being a people’s representative is a time-consuming job. Compared to men, women dedicate more time to public service. Men are engaged in various other areas, whereas women can focus more and efficiently handle multiple roles. However, in Twenty20, both male and female representatives are equally dedicated and perform to their best.

Also Read: 73 women elected to Lower House, down from 78 in 2019

Q: Your party emphasises professionalism and accountability. How do you ensure it?

A: Our party has a clear mandate on how elected representatives should work, unlike other political parties. We formulate both short- and long-term plans, and every representative must report their daily activities in a common WhatsApp group by evening. If any lapses occur, we address and correct them immediately.

This is what sets Twenty20 apart from other political parties: we operate professionally. During the last term, our deposit was ₹13 crore; now, it has nearly doubled to ₹25 crore. This growth reflects the efficiency of our elected representatives.

Q: As a party that is not aligned with any political front, how challenging is it to sustain the organisation in Kerala’s political landscape?

A: Twenty20 operates uniquely, setting an example of how political parties should function. We believe that people should have the power to decide and choose their leaders freely. If they do not choose us, we have nothing to lose.

Kerala witnesses an alarming rate of murders and suicides, with an average of 1.5 lives lost daily due to violence or self-harm. Do we need more proof that our state’s political system is in dire need of change?

For Twenty20, working independently is a source of strength, not a challenge. It is time to redefine the conventional approach to political parties and governance.

Q: Some critics argue that Twenty20 promotes a parallel political system that could mislead the youth. How do you respond to this criticism?

A: How can we run a parallel system? We are a very small party governing only a few panchayats. How can we mislead people when there is a judiciary, a system, and a Constitution in place? No one can break them.

Those who criticise us don’t understand the essence of politics. Twenty20 has a clear political vision. We never created an apolitical narrative.

(Edited by Majnu Babu).

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