Joint Convener of BJP External Affairs Cell Vijay Jolly has in a letter to Prime Minister Manmohan Singh and Finance Minister Pranab Mukherjee demanded that the flight of Indian capital abroad through bogus multi-marketing and pongi schemes should be immediately stopped.
In the letter, Mr Jolly demanded a high-level probe into the functioning of an offshore company “Speak Asia”, that is reported to be incorporated in Singapore, and its management in India.
He demanded that all their accounts be frozen till the time a probe into their activities is completed.
“The Government of India should also get in touch with the Government of Singapore and seek help in bringing back the money that has been sent out,” he said, adding that nearly 17 lakh Indians are learnt to have fallen prey to this scheme and invested over Rs.5,000 crore in this company.
No RBI licence
Noting that the company has not obtained Reserve Bank of India licence to operate in India and also has no permission to operate liaison offices and franchisee offices within the country, he demanded that its “bank and online accounts of the company should be frozen and the Government of India should investigate the business model of this company.''
He charged that the dubious ownership pattern of Speak Asia reveals that the majority stake holders of this company are based in British Virgin Islands, a known tax haven.
“These tax havens are generally used by tax evaders, money launderers and arms dealers to channelise their illegal wealth overseas.''
The BJP leader said since such multi-marketing companies keep returning with different pongi schemes offering high returns, a mechanism be put in place to monitor them on a continuous basis through cyber–cells of various police and investigating agencies. Direction may also be issued to all banks and financial institutions not to allow transfer of money from India to these schemes without prior approval of the RBI.