Anticipating changes as a result of the leaks, these sections can buy and sell and make huge profits by unfair and unscrupulous means, said CPM politburo member Sitaram Yechuri.

``It needs to be recollected that many finance ministers in advanced capitalist countries have lost their jobs when they inadvertently hinted at budget proposals,'' Yechuri said.

The budget proposals, he said, involve either increase or reduction in the rates of taxation and must always be kept a closely guarded secret, Yechuri said, adding that consumers, producers and traders must be treated equally in a democracy.

Already the Finance Minister has let it be known that there would be an increase in import duties and that income tax rates would not be lowered any further.

If Sinha now speaks of a tight budget it isprimarily because of increased expenditure following the government's reckless decision to go in for nuclear tests, Yechuri said. Additionally, the ``anarchic'' functioning of the government and its ``knee-jerk'' decisions has led to an unprecedented growth in expenditure.

On the other hand, receipts have fallen because of concessions given out in the previous budget to the rich which the CPM had then pointed out would amount to Rs 9,000 crores.

In addition, the continuing recession in the economy has led to a decline in tax revenues by nearly ten percent.

The net result has been that the government has been borrowing Rs 319 crore every day from April 1 to December 8 1998, Yechuri said quoting RBI figures.

Worse, ever since the present government assumed office, exports have recorded a 5.1 per cent negative growth rate in spite of the devaluation of the rupee by more than 15 per cent.

On the other hand, non-oil imports increased by 18.7 percent widening the trade deficit to 5.8 billion dollars andthis threatens to bring pressure on the government to borrow further, thus mortgaging the whole economy. The so-called commitment to Swadeshi was reflected in the spate of import liberalisation that this government pushed through in a hurry, gravely affecting the interests of domestic industry.

Apart from allowing free import in vital sectors of the Indian economy to suit multinational corporations, the unprecedented privatisation of the public sector including insurance and amendments to the patents act show that the policy of the BJP has been more ``videshi'' than anything else.

``Having already ruined the Indian economy with ad hoc polices lacking vision, the Finance Minister is now making a scramble to garner as much revenue as possible for a window-dressing exercise in the forthcoming budget,'' Yechuri charged.

Nearly 75 per cent of the government's expenditure goes for previous commitments like repayment of loans, debt servicing, payment of salaries and wages.

That would leave just bout 25 percent, which has to take care of both the social and economic infrastructure of the country and any reduction here would mean further reduction in the already meagre expenditure on food, subsidies, health, education and civic amenities.

``This would adversely affect the livelihood of Indians already groaning under the onslaught of a massive price rise,'' Yechuri said.

Of the many ``pre-budget proposals'' made by Sinha, Yechuri was particularly critical of his reluctance to further reduce income tax saying it was nothing short of ``diabolic.''

What he is committing is that the concessions already being given to the rich will be maintained and the exercise of reducing the fiscal deficit will be done either through reduction in expenditure or by transferring public resources.

One of those resources is the public sector whose units are being asked to hand over to the government Rs 7,500 crore through dubious paper transactions.

When the ``special purposes vehicles'' scheme did not take off the suggestionfor profit making PSUs to buy back their own shares was made and when this too could not be done came the proposal for PSUs to buy shares from other PSUs to release Rs 7,500 crore to the government -- just to reduce the fiscal deficit.

But the worst fraud on the Indian people is the failure of the government to pass on the benefits of a massive drop in the international prices of petroleum which the government is legally bound to do.

The government is bound to make a saving of Rs 20,000 crore because of the decrease in international oil prices.