Converting Black to White Malpractices

We have seen multiple posts and comments in this circle about people with black money converting it into white. You may have observed that some of these gaps have already been addressed like malpractices at co-operative banks, jewelers, people standing in line for other people.

With this post we would like to seek your inputs on how some chartered accountants are facilitating such malpractices. The idea is to understand how such transactions are taking place and then advise the Government so actions can be taken to plug such gaps.

We look forward to your inputs!
Transparency International India more  

View all 45 comments Below 45 comments
While the post indicates that some of the gaps in illegal conversion of black money into white have since bee addressed, in reality the game is still on in full swing as the action taken by the government so far is not enough & adequate. Though the Chartered Accountants are most favoured communities of the government, they are the architects of preparation of manipulated balance sheets for business communities to evade tax payments against hefty fees misusing their imaginative reputation. more  
The formula for conversion of black to white is as old as Indian Independence Day. Initially there was no clarity but after 70 years still big gaps remains in incomes and taxes.With agricultural revolution the incomes of big farmers ,communes ,cooperatives and corporate agriculturists( More,Reliance , Spencer's ,Heritage ) have become richer by leaps and bounds and since it is exempt from income taxes they are showing losses in agriculture and showing their black from other source in to white agri sources.This is the trick of all people who deliberately buy land and produce some thing to make their black as white. Like film producers ,the 90 % invest from black is converted to white even if it is shown as loss to some extent. Cloth businesses shown as rejected second stuff,cut piece industry,also do the same . Pawn brokers assets after pledge expiry ,stolen gold and silver goes to Coimbatore and Salem and gets converted to new silver articles and small ready made jewellery by factories and they are supplied to many Marwari,Gujarati jewellers small shops . Chit funds are totally by black, tax evaded cash .with no guarantees for fraud and they must be banned.Private fixed deposit takers by chit funds and others in vest to small medium business at exorbitant Interst is nothing but black money. Unless all incomes from businesses must submit this daily collection due to sale to banks and then with draw money for buying bulk later ,this cannot be prevented. The BPL is a Joke .It exists only in 1% in my state .People who earn 500- a day ,stay five earners under one roof and possess a mobile,a motor bike each have BPL label and have a ration card ,Aadharcard ,health card ( free arogya shree)and stay with parents who get old age pension and women generate another 5000-each by being a maid .Make atleast one lakh a month. They do not come under income tax and all welfare measures like double bedroom houses ,subsidized ration and free health care! They produce indirectly black money ,daily liquor bottle costing rs 80-,and eat biryani .Unless a realistic audit 100 % is done by govt the welfare is reaching the undeserving and a cause of black money circulating in the system. more  
This is in NUT shell the total scenario every nuke and corner. Corruption and the speed remedy is the need of the time. Should be the next Decision with proper mechanism, time and cost effective. more  
Yes Mr. Pardeep Sen, I too have observed how Bank staff are obliging their contacts, calling traders with current A/Cs to come and collect Rs. 500,000 in new currency ignoring the long que at the gates. There is no body to check the bank. I feel local committees of eminent social workers should be involved in the process. I fear the horrible current situation may lead to law and order problem at wider scale as per reports coming on may news channels. Reports of leaking currency demonetisation & collection of new currency prier to 8th Nov. by some BJP leaders as well as use of Adhaar ID proofs received against JIO sims for exchanging huge old currency by Reliance peoples is already causing frustration among common man. more  
I think the place to monitor and put a vigilance is in the PSU banks where some people as we have heard are getting money converted with the help of Bank staff who are making a deal in this process. The queues in the branches and change limits will restrict conversion but people who will use traders or farmers can draw out significant amount using these channels in connivance with branch staff. more  
Post a Comment

Related Posts

    • Request A gazette that puts notification on discontinuation of any car on public domain

      Dear Jeep India, You had plans to discontinue the Jeep Compass Petrol models as on May 2023, and in March 2023 you aggressively sale pitched me by sending your Sales Executive to my hous...

      By Tarit MOHAN
    • Karnataka corruption brought the Govt down

      Corruption was the biggest issue in Karnataka. And the top leadership did nothing to stop it. 40% proved costly. This should be a lesson for 2024. No amount of roadshows can win elections if the tr...

      By SN Mittal
    • Political Funding Tax Evasion modus operandi

      Heard of a tax evasion scheme. Person donates, say, ₹10L to a political party. Gets ~35% IT benefit (for taxable income >50L). The political party returns back ₹9L. Political party converts it's...

      By Rajesh Suri
    • PM/ CM Helplines

      The PM Helpline was very effective when it was launched and it is supporting citizens to a great extent. It has however been observed that for the states that have a CM Helpline, the grievance of P...

      By Pranaya Rawat
    • Adding 5 Adani companies to Nifty indices

      An NSE subsidiary is set to include 5 Adani group firms in 14 Nifty indices. Experts are worried as it would drive lakhs of investors’ savings into the group’s sinking stocks from March...

      By Karuna Dhingra
    • LIC investment in Adani in REF

      ‘LIC investments in AdaniGroup has now turned Negative Initial investment: ₹ 30,127 Cr December: ₹ 62,550 Cr January: ₹ 56,142 Cr Now: ₹ 29,721 Cr

      By Yash Jindal
    • Adani Saga

      Did this attached really happen or is this narrative building. However the bigger question is , if the promoters had ₹9000 crore available , why were they raising additional capital via FPO ?

      By Arjun Singh
    • Indian industrialists and bankers buying FPO

      Shame on Sunil Mittal, Jindal and Deepak Parekh for propping up the botched FPO of Adani. Especially Parekh who belongs to the industry where trust is supreme. Deepak Parekh's HDFC Life is the only...

      By Ruchika L Maheshwari
    • Adani potential Conflict of Interest with SEBI

      The daughter of Cyril Shroff but his daughter is married to Gautam Adani’s son. Cyril Shroff serves on SEBI’s Committee on Corporate Governance & Insider Trading. If SEBI listens t...

      By Sudesh Rai
    • Circuit Breaker Lower Limit for shares

      So Adani Total Gas (I mean literally) was falling 20% day after day since Hindenburg report came. Because the circuit breaker control kicked in. Yesterday for all Adani companies this l...

      By Vishal Khanna
    • adani group

      the answer is quite simple;groups like adani would not promote any professionalism and hence would not associate with entities which impose their professional independence.they wish people who are ...

      By Suresh Dasarathy
Enter your email and mobile number and we will send you the instructions

Note - The email can sometime gets delivered to the spam folder, so the instruction will be send to your mobile as well

All My Circles
Invite to
(Maximum 500 email ids allowed.)