Here's an exerpt from a troubling report from the picture editor at Mumbai Mirror who happened to take the photo on the left:
But what angered Mr D'Souza almost as much were the masses of armed police hiding in the area who simply refused to shoot back. "There were armed policemen hiding all around the station but none of them did anything," he said. "At one point, I ran up to them and told them to use their weapons. I said, 'Shoot them, they're sitting ducks!' but they just didn't shoot back."
So there you have it. The Indian government has failed in protecting its citizens (and guests) and it has prevented them from acquiring tools to protect themselves. Here's an interesting post on gun ownership in India.