Comments
Armed with the data mined from the gush of deposits that moved into the banking system post the demonetisation, the Centre has de-registered as many as 1 lakh companies for their dubious transactions, Prime Minister Narendra Modi said here on Saturday.
He was speaking at an event to mark the foundation day of the Institute of Chartered Accountants of India.
“Forty-eight hours before the launch of GST, we, by one stroke of pen, have cancelled the registration of 1 lakh companies that were found to be involved in irregularities,” Modi said, reaffirming the government’s commitment to root out corruption and black money in the economy.
Modi said another 2 lakh companies are under the lens for involvement in what looks like dubious transactions post-demonetisation.
The banking system received a gush of deposits (an estimated ₹3 lakh crore) between November 8 and December 31 last year.
“The decision to de-register 1 lakh companies is a pointer to the will power of the political class,” Modi said.
The Prime Minister also said the government has identified 37,000 shell companies involved in converting black money into white.
He urged chartered accountants to safeguard the economic health of the society while advising their clients. Modi wanted the CA Institute to look within and take action against those chartered accountants who have helped erring companies post demonetisation.
“Someone in your fraternity has helped these looting companies. It’s your duty to identify and punish them.”
Modi said that in the last 11 years, action has been taken against only 25 chartered accountants.
The CA fraternity should strive to ensure that their clients pay their fair share of taxes and not brag about how many they saved from paying taxes.
Modi highlighted that only 32 lakh Indians have declared an income of over ₹10 lakh.
Swiss banksModi warned that Indians who had stashed unaccounted money abroad in Swiss banks could face more difficulties when Switzerland starts realtime information exchange with India in two years.
He also urged the CA fraternity to look to develop ‘Big Four’ (accounting firms) in India so that there could be ‘Big Eight’ accounting firms in the world.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.