Demonitisation of ₹1,000 and ₹500 currency notes on November 8, 2016 gave joy to the common man and shock to the hoarders of black money, Minister of State for Finance and Shipping Pon. Radhakrishnan said here on Wednesday.
Launching a signature campaign by the Bharatiya Janata Party in support of demonitisation, he said Prime Minister Narendra Modi implemented demonitisation with the noble aim of eradicating black money and squeezing the fund flow to terrorist and naxalite activities.
“The benefits of demonitisation could be seen in quantum jump in funds flowing into the banking system, detection of 2.24 lakh shell companies, detection of fake accounts and increased number of tax returns and number of tax-payers,” he said.
Stating that people had to suffer in the intial days of demonitisation, waiting in queues to withdraw money from banks, he said the public took the difficulties in their stride, as their contribution for cleansing the country’s economy.
Asked about Reserve Bank of India’s inability to trace the orgin of the huge quantity of ₹2,000 notes found in possession of miner Shekar Reddy, Mr. Radhakrishnan admitted that there were shortcomings in effective implementation of demonitisation.
“No big change can be implemented without causing any trouble to anyone. Even the best of the systems will face shortcomings. How better the existing system is utilised is what should be seen. We cannot find fault with the entire workforce of the banks though there could be black sheep,” he said.
Mr. Radhakrishnan said unearthing of various kinds of financial frauds post-demonitisation was not yet completed. People should weigh criticisms on demonitisation by the opposition parties against its benefits the country has reaped.
On the Goods and Services Tax, the Minister said the Centre never said that it would not review the existing tax rates. Only a few months had passed since GST was implemented. Necessary changes were being implemented to ease the practical difficulties faced by the people and traders.
BJP State secretary, R. Srinivasan and State vice-president Surendran were present.
