Black money: Government does not give names to court

Wednesday, February 9, 2011

NEW DELHI - The central government Wednesday maintained silence when the apex court sought to know from it the names of people who have stashed away huge amounts of money in foreign banks located in tax havens.

The central government, in its 18-page affidavit that was filed with the apex court, mentioned all mundane details but refrained from naming the names and addressing the issue of bringing back the black money that has been stashed away in banks outside the country.

The affidavit said, “India has played a pro-active role in global crusade against black money” and played an active role in the finalisation of declaration providing for transparency in exchange for information between different countries.

“As a consequence of the initiative (by India) and pressure brought to bear by India, many of the tax havens have now agreed to end banking secrecy,” the affidavit said.

It added that in addition to this, the principle of domestic interest while exchanging information for tax purposes is also being relaxed.

The government stated this in its comprehensive affidavit filed on the directions of the apex court bench of Justice B.Sudershan Reddy and Justice S.S. Nijjar in the course of the hearing on a petition by eminent jurist Ram Jethmalani.

Jethmalani has sought direction to the central government to take steps to bring back the black money parked in foreign banks.

Filed under: Court, Immigration

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