InfoAnda - COMMENTARY: Bringing back billions in 'black money'

Pakistanis angry over detentions in Times Sq. case
Monday, May 24, 2010
ISLAMABAD – Relatives of three men detained by Pakistan for alleged links to the suspect in the attempted Times Square bombing say the men are innocent.
They

Taiwan denies boycotting Australian film festival
Thursday, August 6, 2009

AFP - Thursday, August 6TAIPEI (AFP) - - Taiwan's Beijing-friendly government on Wednesday denied boycotting an Australian film festival amid a row over the e

Merkel's support dips, regional ally resigns International
Thursday, September 3, 2009

By Sarah Marsh and Noah Barkin

BERLIN (Reuters) - Chancellor Angela Merkel suffered a double blow on Thursday as a senior party ally in east German

Minister seeks closure of anti-Berlusconi websites
Wednesday, December 16, 2009
ROME (AFP) - – The Italian government moved Tuesday to close down Internet sites encouraging further violence against Prime Minister Silvio Berlusconi, who

Asian markets mixed after Wall Street rally
Wednesday, March 18, 2009

By ELAINE KURTENBACH,AP Business Writer AP - Wednesday, March 18SHANGHAI - Asia's stock market rally seemed to be running out of steam Wednesday, despite an

Facebook CFO to leave company | 1 April 2009
Fed hikes bank loan rate in surprise move | 19 February 2010
Pandemic not over, WHO flu probe hears | 15 April 2010

India's Jews stunned by Mumbai attack | 29 November 2008

Forum Views () Forum Replies ()

Read more with google mobile : COMMENTARY: Bringing back billions in 'black money'

Yahoo! My Yahoo! Mail More Yahoo! Services Account Options New User? Sign Up Sign In Help Yahoo! Search web search Home Singapore Asia Pacific World Business Entertainment Sports Technology Weekend Edition Australia China India Indonesia Japan Malaysia Philippines Thailand Vietnam COMMENTARY: Bringing back billions in 'black money' ANN - 2 hours 36 minutes ago Send IM Story Print New Delhi (The Star/ANN) - Black money has become a big headache for the Indian government. The Opposition accuses it of not doing enough to bring back hundreds of billions of dollars stashed away in secret bank accounts abroad. The Supreme Court is hearing a Public Interest Litigation (PIL) which seeks to pin down the Government on the repatriation of black money. As a beleaguered government pleads patience, critics blame it for being soft towards the generators and hiders of black money. Admittedly, even the Government does not deny that wealthy Indians might be hiding a huge cache of unaccounted funds in various tax havens abroad, especially in Switzerland. The issue first came into public focus at the time of the last general election. The opposition Bharatiya Janta Party (BJP) accused the United Progressive Alliance (UPA) Government of dragging its feet on the matter even though a number of foreign governments had adopted an aggressive stance to penalise tax offenders illegally keeping funds in secret banks abroad. The immediate trigger in the run-up to the May 2009 parliamentary poll was provided by news reports that the German Government had paid a former employee of the Liechtenstein Global Trust for information regarding its citizens' illegal accounts. The compact disc bought by the Germans also contained names of a number of Indians holding accounts in the said bank. The BJP prime ministerial candidate, L.K. Advani, claimed that the UPA Government had made no effort to secure the names of Indians from the German authorities even though the latter were willing to part with the required information. In spite a shrill Opposition campaign to "name and shame" the tax-offenders, the Government refused to make the list public. Meanwhile, a PIL filed by the legal luminary Ram Jethmalani, who is also a BJP MP to boot, forced the Government to take a clear-cut stand. The Supreme Court demanded a categorical assurance that the Government was doing all in its power to, as the presiding judge put it, " stop the plunder of the country." The court overruled the objection that the names of those holding illegal accounts in the Liechtenstein bank could not be made public. It asked the Government to furnish it the said names in a sealed cover. At the resumed hearing of the PIL on Thursday, the SC bench again posed searching questions. Presiding Judge Sudarshan Reddy, inter alia, asked the Government counsel: " What is the source of black funds stashed away abroad in secret accounts? Is it commissions in arms deals, drug peddling, or smuggling?..." On the same day, a BJP spokesman accused the Government of misusing the double taxation treaty to shield "criminal and corrupt elements holding black money in foreign banks." Apparently, there are a mere 26 Indians on the list furnished to the Supreme Court. The sum involved is said to be relatively a tiny fraction of the total black money stashed abroad by Indians. Yet, once the principle is established, and the lid taken off the secret accounts in the Liechtenstein bank, it could pave the way for the big fish hiding tonnes of ill-gotten wealth in Swiss and other tax havens to be 'named and shamed.' Critics alleged that the Manmohan Singh Government was dragging its feet because a number of senior leaders of the Congress Party had allegedly stashed away millions in secret Swiss accounts. Indeed, Jethmalani alleged that a leading political dynasty of India kept billions in numbered Swiss accounts. Surprisingly, experts believe that the illegal flight of funds to foreign tax havens gained further momentum after the liberalisation of the economy in the early 90s and the lifting of strict controls on foreign exchange transactions. Frankly, there were several incentives for black money generation during the pre-liberalisation period, the chief among them being the expropriatory tax rates. At one time in the mid-70s, the peak rate of taxation was over 100% -- 103% to be precise since a 10% surcharge and a 3% educational-cess was levied on the highest income tax rate of 97.5% on an income of Rupees one million and above. Since then the tax rates had become reasonable. At the highest slab of 33% , the income tax rate is lower than that prevailing in a number of developed countries. Yet, this has not stopped the generation of black money and its flight abroad. In the pre-liberalisation era when foreign exchange was scarce, one method of stashing black money abroad was to under-invoice imports and grossly over-invoice exports. Another was to avoid excise duty and other levies on manufactured goods and to repatriate slush funds through underhand or -- hawala -- channels abroad. Corruption was so endemic even politicians and senior bureaucrats came to be paid bribes in secret bank accounts in tax havens. Now, thanks to an alert media and a few public spirited lawyers, the issue of black money has come to the fore. There was renewed focus on black money following a claim by a former employee of a Swiss bank that he had given details of 2,000 high net-worth accounts to Julian Assange, the founder of the WikiLeaks. It immediately set off speculation about the Indians figuring in that list. The Opposition leaders were fairly certain that leading lights of the ruling Congress Party would be exposed should the list of Indian names become public. But this was only one of the smaller Swiss banks. There were much bigger banks in Switzerland and in a few other tax havens where Indians have stashed away their illicit billions. Recommend Send IM Story Print Related Articles Australia's north braces for massive cyclone Reuters - 28 minutes ago China restricts news, discussion of Egypt unrest AFP - 51 minutes ago Top KRouge suspects seek release ahead of trial AFP - 52 minutes ago Australia dodges cyclone 'bullet', fears remain AFP - 1 hour 4 minutes ago Four killed in Pakistan suicide attack: police AFP - 1 hour 19 minutes ago News Search Top Stories Protests continue as Egypt PM tasked with reforms Brain scan can tell if a smoker will quit Cyber raids threaten British, US stock markets: report WikiLeaks' Assange 'dressed as old woman' to evade CIA: book Nicotine study opens path for anti-smoking drug More Top Stories » ADVERTISEMENT Most Popular Most Viewed WikiLeaks' Assange 'dressed as old woman' to evade CIA: book South Sudan chooses to secede: official results Gulf stock markets down on Egypt concerns US, Europe wary of Egypt protest contagion: analysts Nicotine study opens path for anti-smoking drug More Most Viewed » More Most Recommended » Elsewhere on Yahoo! Financial news on Yahoo! Finance Stars and latest movies Best travel destinations More on Yahoo! News Home Singapore Asia Pacific World Business Entertainment Sports Technology Weekend Edition Subscribe to our news feeds Top StoriesMy Yahoo!RSS » More news feeds | What are news feeds? Also on Yahoo! Answers Groups Mail Messenger Mobile Travel Finance Movies Sports Games » All Yahoo! Services Site Highlights Singapore Full Coverage Most Popular Entertainment Photos Yahoo! News Network Copyright © 2011 Yahoo! Southeast Asia Pte. Ltd. (Co. Reg. No. 199700735D). All Rights Reserved. Terms of Service | Privacy Policy | Community | Intellectual Property Rights Policy | Help

Other News on Monday, 31 January 2011
South Sudan votes 99 percent to separate from north
Obama presses Mubarak for transition to democracy
US, Europe wary of Egypt protest contagion: analysts
South Sudan chooses to secede: official results
Mubarak meets army as Obama urges reform
Factbox
Oman says busts UAE spy network, UAE denies role
Mexicans vote in drug-war state, look to 2012 race |
Governments scramble to fly citizens out of Egypt
Israeli court jails Hezbollah spy for nine years
Factbox
Al Jazeera told to shut down in Egypt, signal cut
US-ENTERTAINMENT Summary
"The Rite" leads Oscar-fueled box office
Protests take gloss off dream holidays to Egypt
Facebook founder meets "Social Network" actor who portrayed him
Super Bowl offers chance to party with stars -- for a price
All eyes on SAG awards as Oscars loom
'King's Speech' gets new Oscars boost
British actor Henry Cavill cast in Superman movie |
Zuckerberg 'friends' actor in Facebook movie
3-year-old boy calls 911 to save his father
The Rite leads Oscar-fueled box office |
Facebook founder meets Social Network actor who portrayed him |
Egyptian generals cut short U.S. visit in wake of crisis
Super Bowl offers chance to party with stars -- for a price |
Woman charged with killing two 'mouthy' teenage children
President Obama urges Egypt's Mubarak to undertake reforms
Ohio sheriff under investigation accuses reporter of harassment for asking questions
Travel alert issued for Egypt; Delta cancels flights
Evacuations begin amid Egypt travel warnings
Egypt protesters camp out, Mubarak turns to army |
WikiLeaks founder warns of huge leak as last resort
Brain scan can tell if a smoker will quit
Protests continue as Egypt PM tasked with reforms
Cyber raids threaten British, US stock markets: report
Europe's Arabs view Middle East chaos in awe, fear
South Korea rejects North's call for earlier military talks |
WikiLeaks' Assange 'dressed as old woman' to evade CIA: book
Nicotine study opens path for anti-smoking drug
As Myanmar new parliament opens, junta's shadow looms large |
Pakistanis ruined by floods brace for more hardship |
Mexico's left wins western state in setback for PRI |
Indonesia jails rocker for Internet sex videos
Kazakh council rejects plan to extend leader's rule |
Myanmar refugee sets himself alight in Australia
China restricts news, discussion of Egypt unrest
COMMENTARY: Bringing back billions in 'black money'
'King's Speech' gets double Oscars boost
Myanmar opens junta-dominated parliament
US-ENTERTAINMENT Summary
S.Korea's Park Ji-Sung makes way for younger players
Clinton tries to break Haiti deadlock
Hollywood actors honor "King's Speech"
Indian astrologer held after threatening clients for sex
Toshiba Q3 profit surges on smartphone boom |
Seoul rejects N.Korea bid to bring talks forward
South Korea rejects North's call for earlier military talks
Myanmar's new parliament officially opens
Czech gender-bending family puzzles sex experts
For US soldiers, a healthy food revolution
Japan output accelerates on global recovery
Singing Swiss bus driver steers for stardom
Seoul shares open down amid Egypt unrest
Transsexual model stirs Brazil fashion show
'The Rite' leads weekend box office
ICBC leads charge as Chinese banks go global
US comic artist Spiegelman wins French prize
Chinese property 'bubble' fuels hard landing fears
British actor Henry Cavill cast in Superman movie
NZ new home building consents drop in Dec
Japan industrial output up for second month
China central bank says inflation still high
Hollywood actors honor King's Speech |
British actor Henry Cavill cast in Superman movie |
Sesame Street writer Tony Geiss dies at 86 |
Chirac says he is well despite Alzheimer's claim
Egypt appoints new interior minister-sources
Factbox
Oil price nears $100 on Egypt crisis
'Last' Bloody Sunday march in N.Ireland town
Moody's cuts Egypt rating, warns on government spending
Egypt protesters call for 'million-man march'
Sudanese student dies after protests
Britain says "repression will end badly" for Egypt
Egypt protesters call for strike, million man march
Freed American hiker summoned back by Iran court |
Egypt protesters call for general strike
Mandela recovering well, but visitor rush a concern |
EU agrees to freeze assets of Tunisia's Ben Ali |
Hundreds evacuate as Japan volcano erupts
Japan kingpin Ozawa charged in funding scandal |
Khmer Rouge suspects seek release ahead of trial
US-ENTERTAINMENT Summary
Syria's Assad says no extra access to nuclear inspectors |
Asian Cup success boosts Qatar's World Cup outlook
Maliki vows Iraqi bank and election body independence |
"Sesame Street" writer Tony Geiss dies at 86
Spring Festival burns hole in Chinese citizens' pockets
Kosovo enters hard coalition talks after long wait |
Swamped Australia braces for monster cyclone
Police make raids and arrests before Moscow rally |
Two dead, thousands displaced in Malaysia floods
Italians 'dodged tax' on 50 bln of income in 2010
Suu Kyi launches website
It's a cat for the Vietnamese
James Bond composer John Barry dies aged 77
Bond film composer John Barry dies aged 77
China's current account surplus jumped 25% in 2010
Pakistan woos the West with fashion week
Pakistani stocks track global markets lower
China goes rabbit-crazy for Lunar New Year
Asian shares fall on Egypt crisis
Sheen sitcom shutdown could cost millions
Honda Q3 profits plunge but outlook better
Google topples Symbian from smartphones top spot |
Aboriginal dancers take 'Zorba the Greek' to China
India approves $12 bln S. Korean steel plant
Quiet Uruguay beach town booms with celebrities
Intel finds chip flaw, cuts revenue forecast |
Pakistan to cut BB services for foreign missions-sources
Taiwan initial Q4 GDP growth beats forecasts
"Sesame Street" writer Tony Geiss dies at 86
New app to bring U.S. art to wider audience |
ANA swings back to black with $457 mln profit
India demands full BlackBerry access |
Siemens to take bigger stake in Indian unit
China's CNOOC buys stake in US energy project
More news websites blocked in Iran |
Management Tip of the Day: Add structure to social media |
Elpida to buy all DRAMs made by Taiwan's Powerchip |
Kucinich settles lawsuit over olive pit
Javier Bardem tipped to play the next Bond villain
Early voting begins in Chicago mayoral race
Federal Trade Commission requires new measure for light bulbs
Shipping lines cancel 25 percent of trips to U.S. due to export slowdown
Later puberty onset associated with osteoporosis risk
Colin Firth, Natalie Portman named best actors at SAG Awards
Warner Bros. casts British actor Henry Cavill as the new Superman
Sheen sitcom shutdown could cost millions |
James Bond composer John Barry dies aged 77 |
California man charged in threat to blow up Michigan mosque
Urging Army for restraint Clinton seeks peaceful and orderly transition to democracy in Egypt
Kucinich settles lawsuit over olive pit
Study: Favorite team losing Super Bowl may be deadly
Captured Somali pirates arrive in South Korea, charged with hijacking
India slams U.S. over radio tracking monitors put on Indian students
Greece at new risk of being pushed off euro
Bodies of missing Tenn. mom, Jo Ann Bain, and daughter found
Female Breasts Are Bigger Than Ever
AMD Trinity Accelerated Processing Units Now in Volume Production
The Avengers (2012 film), made the second biggest opening- and single-day gross of all-time
AMD to Start Production of piledriver
Ivy Bridge Quad-Core, Four-Thread Desktop CPUs
Islamists Protest Lady Gaga's Concert in Indonesia
Japan Successfully Broadcasts an 8K Signal Over the Air
ECB boosts loans to 1 trillion Euro to stop credit crunch
Egypt : Mohammed Morsi won with 52 percent
What do you call 100,000 Frenchmen with their hands up
AMD Launches AMD Embedded R-Series APU Platform
Fed Should not Ignore Emerging Market Crisis
Fed casts shadow over India, emerging markets
Why are Chinese tourists so rude? A few insights

USD EUR - 1 year graph	VPN on MacOSX	BlogMeter 1.01