Chief Minister N. Chandrababu Naidu has written to Prime Minister Narendra Modi urging him to withdraw Rs.1,000 and Rs.500 notes to curtail black money in the country. He also wanted the Prime Minister to mount pressure on Swiss banks to disclose the names of people who stashed their black money.
Mr. Naidu occupied his chambers at the Interim Secretariat Complex at Velagapudi in Guntur district near here on Wednesday.
Later addressing a press conference, the Chief Minister said black money was almost running as a parallel economy. It was spoiling all spheres of life, including politics. The politicians were worried about increasing election expenditure and their opponents’ ability to spend more. It was leading to an unhealthy race to earn money by any means. So, it was necessary to move towards cashless transactions in the country.
Unless, every transaction was done through banks, was tracked, and accounted for, black money could not be rooted out, he felt.
Stating that technology could be used in progressing towards cashless transactions, Mr. Naidu said a smart phone was enough to deal with everything. Be it shopping, travelling, or payments or even if you have to spend money abroad, a smart phone was enough. There was a need to bring in the culture of electronic payments for transparent economy and curbing black money.
PM lauded
Referring to the Centre’s recent voluntary income disclosure scheme, the Chief Minister said, “I appreciate the Prime Minister’s efforts to achieve corrupt-free and efficient governance in the country. He is also garnering support from other countries in his endeavours to build the nation. We welcome voluntary disclosure of income scheme. But, at the same time, the Centre should focus on external factors also.” The Centre had to mount pressure on the world and Swiss banks in regard to black money. There was a need to look into money stashed in those banks. Otherwise, that money was likely to flow back into the country as Foreign Institutional Investments (FIIs), which was not a good sign, he said.
Mr. Naidu said that his first signature operating from the new premises was on a file relating to DWCRA groups, while the letter to Mr. Modi was the second one.
Finance Minister Yanamala Ramakrishnudu and Chief Secretary S.P. Tucker were also present.
Blame game
Of late, the Income Declaration Scheme (IDS)-2016 and black money have become tools for the ruling Telugu Desam Party (TDP) and Opposition YSR Congress in the State to blame each other. Both TDP and YSR Congress engaged in a war of words a couple of days ago no sooner, a Hyderabad-based person reportedly disclosed income of Rs.10,000 crore under the IDS-2016. The TDP leaders alleged that the amount belonged to YSR Congress president Y.S. Jagan. Strongly refuting their allegations, YSR Congress leaders demanded them to produce evidence to support their baseless allegations against Mr. Jagan.
Incidentally, Chief Minister N. Chandrababu Naidu raised the same issue again on Wednesday and demanded that the Centre take steps to eradicate black money. Mr. Naidu said out of the Rs 65,000 crore disclosed across the country under the scheme, Rs.13,000 crore was declared in Hyderabad alone. And, of the disclosures made in Hyderabad, Rs.10,000 crore was made by a single individual, he said.
The Chief Minister, however, evaded a direct reply when asked who was that person. “You tell me,” he quipped. “Who is that we can’t know as per law. Is it possible for a businessman to declare such huge money?” he asked.
The scheme gives an opportunity to tax evaders to disclose their unaccounted income or assets and come out clean by paying the applicable tax, cess and penalty totalling 45 per cent of the undisclosed income.
It may be recalled that the black money issue rocked the State Assembly two years ago when Mr. Naidu moved a resolution appreciating the Centres’ move to flush out black money stashed in Swiss banks. Mr. Jagan and the TDP leaders washed their dirty linen during the discussion on the resolution.
The alleged Panama papers revelation came in handy for the YSR Congress. Referring to the issue, the YSR Congress levelled serious allegations against Mr. Naidu on black money.
Mr. Naidu also welcomed the Centre’s decision to constitute a Special Investigation Team on black money two years ago.
