Rs 6,500 cr disclosed so far under new black money law: Modi

Rs 6,500 cr disclosed so far under new black money law: Modi

PTIUpdated: Friday, May 31, 2019, 11:18 PM IST
article-image

New Delhi: Vowing to make India corruption- free, Prime Minister Narendra Modi today said Rs 6,500 crore of undeclared foreign assets have been brought to book since framing of a tough blackmoney law and the drive will continue despite ‘side-effects’.

Another Rs 4,500 crore has come through action under Prevention of Money Laundering Act (PMLA) during the last 10 months, he said outlining the series of steps taken by the government to tackle the menace of black money.

In his address to the nation from ramparts of the Red Fort on the 69th Independence Day, Modi said several important steps including agreements with countries like the US for real time sharing of information on Indian nationals holding assets abroad, have been taken.

The government has enacted a new foreign black money law with stringent punishments, which some have termed as too harsh that may lead to inspector raj. “Sometimes when disease is very dreadful, then injections are needed. When injection is administered, doctors say there may be side-effects. But, this bitter pill is the only cure for this ailment,” he said.

Modi said Rs 10,000 crore was recovered in 10 years since framing of PMLA. Of this, “Rs 4,500 crore has come in the last 10 months,” he added. “We have not showed our commitment to fight corruption by holding a press conference, but by taking action on ground. And we have achieved results. We have tried to change system,” he said.

Promising a “corruption-free” India, he said, “corruption is a termite” that continues to persist at lower levels. Modi said that immediately after coming to power in May last year, the BJP government constituted a Special Investigation Team (SIT) on black money and later enacted a Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015.

The new law provided for a 90-day compliance window ending September 30 to foreign assets holders to declare undisclosed assets, pay a total of 60 per cent tax and penaltyto escape jail term of up to 10 years. The tax and penalty on income declared under the window has to be paid by December 31. Speaking on the response to one-time window provided to blackmoney hoarder to comply with the new law, he said, “people may not agree but it (compliance window) is working. People have declared undisclsoed income of about Rs 6,500 crore. This money will come into the treasury and will be used for betterment of the poor.”

“The process to bring back blackmoney is long but the work is continuing… benefits have started to accrue. No one can now dare to send blackmoney abroad,” he said. Observing that some people have started complaining that the black money law is too harsh and are seeking its dilution, Modi stressed the government will continue with the drive to deal with the menace.

“One after another we kept taking steps. We passed a stringent law. Now when the law has been passed, every week someone is contacting our government and says your government has done a great injustice, you made a harsh law. Some people say you have made a black law, due to this discretion of officers will increase. “I know many people are worried because of the law we have made.

Several people are seeing problems. Messages are being sent to us that the black money law should be slightly diluted, some relief in rules should be given,” he said. The Prime Minister further said that he intended to take everyone along in the fight against corruption and would endeavour to awakening national conscience to effectively deal with the problem.

“There are problems at lower levels. Poor man is facing problems. There is a need to awaken national concience. We have to take people along for this. We have taken several important steps to deal with black money,” he added. The Prime Minister said before the new government came into power only 800 cases of corruption were filed.

“However, after May 2014, 1,800 cases were filed. We have also taken action against officers. This shows our resolve to fight corruption,” he added. Modi said India has raised the issue of black money at international fora like G-20. “On India’s insistence a resolution was passed (at G-20) on black money issue. It was decided to cooperate”, he added. Besides, he said, India signed Foreign Account Tax Compliance Act (FATCA) with US and multilateral treaties on real time sharing of information about assets of Indians.

RECENT STORIES

Game-Changing Alliance: Ambani's Reliance Ventures Into Adani's Power For The First Time; Acquires...

Game-Changing Alliance: Ambani's Reliance Ventures Into Adani's Power For The First Time; Acquires...

SRM Contractors IPO Subscribed 86.57 Times On Last Day Of Bidding

SRM Contractors IPO Subscribed 86.57 Times On Last Day Of Bidding

Tax-Saving Tip From Zerodha CEO Nithin Kamath: 'If You're Married And Hindu..."; Here's How To Save...

Tax-Saving Tip From Zerodha CEO Nithin Kamath: 'If You're Married And Hindu...

Holy Cities Like Ayodhya, Varanasi Attracting Big Retail Brands: Report

Holy Cities Like Ayodhya, Varanasi Attracting Big Retail Brands: Report

A Big Relief For Byju's: NCLT Rejects Investor Plea To Stay Byju's Rights Issue EGM On March 29 Amid...

A Big Relief For Byju's: NCLT Rejects Investor Plea To Stay Byju's Rights Issue EGM On March 29 Amid...