.

BLACK MONEY IN INDIA

SCOPE

CONCLUSION

BLACK MONEY

TOP 10 SCAMS IN INDIA

MOVEMENT OF BLACK MONEY

SOME MAJOR SCAMS

SCAMS YET TO PROBE

SOURCES OF BLACK MONEY

Black money is:

The currency used in ‘black economy’.

The proceeds, usually received in cash, from underground economic activity.

Earned through illegal activity and, as such, is not taxed.

What is ‘Black Money’?

Fact: Once the huge amount of black money and property comes back to India , the entire foreign debt can be repaid in 24 hours.

SOURCES OF BLACK

MONEY

Drug trafficking

Prostitution

False Income Statement

Gambling

Terrorism

PiracyKidnapping

Weapons trading

Undervaluation of Assets

Selling stolen goods

Sources of ‘Black Money’

To be at a safer side the recipients of the blackmoney moves their black income by using thefollowing two sources:

By HAWALA system.

Depositing in SWISS BANK.

Movement of ‘Black Money’

Fact: If the surplus amount after retaining the black money is invested, the amount of interest earned will be more than the annual budget of the Central government.

Hawala:

Also known as ”Hundi”.

Origins in classical Islamic law

An informal value transfer system

Based on the performance and honour of a huge network of money brokers.

No promissory instrument

Hawala System

Fact: After retaining black money even if all the taxes are abolished, then also the Central government will be able to maintain the country very comfortably.

SWISS BANK

CONFIDENCE

DISCRETION

SECURITY

1854 - Swiss Bank Corporation(SBC).

3rd largest in Switzerland with over 300 billion CHF(Converted Swiss Francs) of assets and 11.7 billion CHF of equity.

1998 - SBC merged with UBS, the largest bank in Europe and the 2nd largest bank in the world.

SWISS BANK

Fact: If the black money is retained the Government will have enough money to run the country for 30 years.

A scam is an

illegal trick,

usually with the

purpose of

getting money

from people or

avoiding

paying tax.

SCAM

COALGATE SCAM2G SCAMRAILWAY SCAMIPL SCAMCOMMONWEALTH SCAMSATYAM SCAMHAWALA SCANDALCASH FOR VOTE SCANDALOIL FOR FOOD SCAMU.P. FOOD GRAIN SCAMTAJ CORRIDOR SCANDALU.P.NRHM SCAMSTAMP PAPER SCAMCHIT FUND SCAMKARNATAKA WAKF BOARD SCAMADARSH HOUSING SOCIETY SCAMLIC HOUSING LOAN SCAMBIHAR FLOOD RELIEF SCAMCOBBLER SCANDALJEAP SCAMBOFORS SCAMCRB SCAMSUGAR BOARD SCAMSAURASHTRA SCAMHOME TRADE SCAM

OVER 250 SCAMS HAVE OCCURRED SINCE 1947.

Rs. 910,603,234,300,000, which is equal to USD 20.23 trillion HAS BEEN LOST.

TH

A.RAJA(FORMER TELECOM MINISTER)

WHAT LED TO THE SCAM?The frequencies were allotted in the year 2008 at prices

supposed to be in the year 2001.

2008350

MILLION2001

4 MILLION

The 2G Licenses were issued to the

companies at THROWAWAY PRICES leading

to undervaluation.

Rs. 1.76 Lakh Crore LOST.

Suresh KalmadiChairman, CWG Organising Committee

BUDGET FOR THE CWG

ESTIMATED

BUDGET

(2003)

FINAL BUDGET

(2010)

1620 Crores 11,500 Crores

Rs.11,500crore excluded non -sports-related

infrastructure development. Just the cost of

construction of five Games venues by Central

Public Works Department had escalated by over

Rs 1,110crore than the original sanctioned

amount.

“Mummy , I won’t open

my eyes Get my

surprise!”

Rs.8000 CRORES DEAD AND BURIED

THE IPL SCAMYEAR 2010

Key Accused

Lalit Modi and Shashi Tharur were accused of selling the

teams to the franchisees from whom they had received

some extra money which was not going to be put in to

the team or the welfare of the board.

Tharoor was asked to resign from his post in the

government.

“I shall seek my revenge! For now, sayonara.” (2010)

Returns to the Union Cabinet in 2012 as Minister of Human Resource Development.

SCAMS YET TO PROBED

SAB ‘THEEK HAI’

Consequences of ‘Black Money’

Poverty.

Inflation.

Reduces Development.

Illegal transfer of funds from India to other countries.

Fact: In India more than 450 million people live below the poverty line.

High rates of taxes by the govt.

Simplify/Rationalize tax laws.

Use technology for economic intelligence.

Co-ordination with other countries.

Stringent laws to curb money laundering/corruption.

Creation of awareness among students on the evil of black money.

Regulation on election spendings and donation to political parties/ organizations.

Measures to be taken to reduce ‘Black Money’

Fact: If the black money is retained the Government will have enough money to run the country for 30 years.

Black money has created a big black hole in Indian economy & the entire burden is beared by the common people of India.

To stop corruption which creates black money, we the people of India have to come forward to fight against corruption.

CONCLUSIONS