Only Rs.10,000 crore was seized in the action against black money

Mumbai, Ta. August 28, 2019, Wednesday

In the proceedings against black money deposited by Indian banks in foreign banks, the country's tax authorities have so far been able to capture only Rs 5 crore of unaccounted income from Indians.

The holders here, who are currently under the aegis of the tax authorities and whose names have sprung up in the HSBC listing and in the Panama and Paradise papers, have invested in various Swiss banks and foreign companies.

On June 7, the Central Board of Direct Taxes (CBDT) submitted the details of its investigation to the Special Investigation Team (SIT) appointed to investigate the case, the source said.

Of the 5 persons in the Paradise Papers, out of which 5 were involved, there were 5 cases against which no work could be taken. In six cases where the action could be taken, the income tax authorities were seized unaccounted income of Rs 5 crore. In 4 cases of HSBC Bank Geneva, a hidden income of Rs 5 crore was seized and tax was levied on it.

According to a report submitted to the seat by the CBDT, the Income Tax Department, which investigated the Panama Papers leak, found several cases against which no action could be taken against them. The Income Tax Department has found six cases where no investigation can be done. The department took action against six cases against which action could be taken and the tax amounting to Rs 5 crore was recovered from them by seizing Rs 5 crore invested in foreign companies, the report assigned to Citi said.

There were 3 cases in which no irregularities were detected and no case was found for the person involved in the 3 cases. 1 person was non-resident and in 5 cases, there is still a response from the foreign judiciary.

It is worth mentioning here that when the Modi government came to power in its first term, there was vigorous assurance to return the black money taken abroad to corruption in the country.