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The word Underdevelopment does not refer to a stage, a precondition or lack of development. On the contrary, it stands for all pervasive distorted development. The first broad objective of the study require a need for re contextualizing underdevelopment in terms of colony, state apparatus and potential economic surplus meaning thereby that the meaning and role of colony and state have changed over a period of time. The second objective states that underdevelopment needs to be analysed in terms of social capital. Social Capital is an important critical resource of the indigenous societies. Different societies have different stages of development. Social networks, their traditional knowledge and level of trust is critical to their development. These issues need to be looked at critically by the Social Capital. The third objective of the study relates to the mapping of multinational (under)development process at the grassroots level. It is important to understand (under)development process first at the district level to know the dynamics of the political economy and know who gets, what, where and how. Then the study should proceed at the tehsil level , village and household levels.