Monday, September 19, 2011

A Promise to Pay


(click on the images to enlarge)

Yes these are specimens of Rs 5000/- and Rs 10000 denomination currency notes. Don't get surprised. India is not a poor country and she never was. These notes were in circulation in our country even after India's Independence and were later withdrawn in 1978 to arrest black money. 
Even today Indians have the largest deposits of money in foreign Banks like Swiss Banks etc. 

It is alleged that according to the Swiss Banking Association Report of 2006, Swiss Banks deposits by top five countries were :-

India : $ 1456 Billon
Russia : $ 470 Billion
UK : $390 Billion
China: $ 96 Billion

(Based on a statement by Mr. Joginder Singh, former Director CBI, in a reputed magazine)

Incidentally the figures might have changed upwards since then as the report is of 2006. And Swiss banks are only one of the tax havens. There may be much more Indian money deposited in other  banks abroad by our corrupt citizens.

Alas !! If only the country's wealth was equally distributed we won't have slums, illiteracy, malnutrition, and violent groups like naxalites and our Defence forces would have been stronger than those of America or China.


BK Chowla, said...

Indians have a lot of money stacked in Swiss banks.
This statement has been made time and again.But , we are expecting those in the govt to take action to bring the money back.How can those who have stacked the money, work towards bringing it back.
In my opinion,only a divine intervention can save this country from corrupt politicians a nd corruption.

Balvinder Singh said...

Mr. Chowla, you are very right. No government can bring back the black money stashed away in the foriegn banks because most of the depositors are part of the government. I had a great laugh when BJP had made "bring back the black money from Swiss Bank" as their election slogan in the recent lok sabha elections.

The Bald Guy said...

Very true. I totally agree with you.

The Bald Guy said...

Sigh, I wish I had some money in a Swiss bank! :P

Harpreet Kaur said...

Nice Post, as far as Swiss money is concerned this is issue is in media for too long and culprits are already alerted well in advance (maybe deliberately). So they can take out their hidden wealth and stash it in some other secret lockers. India is robbed by all Mughals, Britishers and now by her own Lals of Bharat Mata so called politicians & Bureaucrats.

Indyeah said...

Agree with your thoughts. But all I can think of is how convenient it would become to carry around cash(not to mention risky as hell) As also the inevitable mistakes we will make :)

Whoops! gave a bigger one instead of a tenner! :D

Balvinder Singh said...

Bald Guy, thanks, i wish you good luck :-))

Harpreet, yes, the government and the media help the culprits by giving them due notice so that they can think of alternatives and escape the noose. India has been plundered in the past by the outsiders and is being plundered now by insiders.

Abhilasha, yes bigger denomination would have resulted not only into convenience of carrying but also the risk of loosing large amounts at the same time. Imagine ten notes of ten thousand each taken away by a simple pick pocket. and yes one could by mistake give a tip of ten thousand rupee note to a waiter in a darkly lit restaurant :-))

Balvinder Singh said...

Mr. Chowla, Bald Guy, Harpreet and Abhilasha, i have added some more details to my post in green text which i just read in an article by Mr. Joginder Singh, former Director CBI, in a reputed magazine today only, so just wanted to share.

Anonymous said...

The government could give incentives of some sort to anybody who sponsors a child till he/she is 18... but those who will participate in such activities will never be those who have black money in Swiss banks... :(

Anonymous said...

I read this book, where this guy explained that Income Tax, only taxes the honest, middle class citizen, the really rich who could contribute to the uplift of the poor, find ways to evade the tax.

Basically maybe we should not take away as Income tax, what a person works for, for one third of a year - I feel very high income tax rates are responsible for tax evasion... many times honestly earned money and what one earned through illegal activities get mixed up, because tax evasion makes them both black money... just some random thoughts :)

Balvinder Singh said...

Yes IHM, you are absolutely right. It is the higher tax rates that encourage tax evasion. Govt has no business to take away one third (30%) or one fifth (20%)or even one tenth (10%)of a person's hard earned money. There is enough taxation in other forms and every item we buy or every service that we avail is taxed so we land up paying tax at every stage. If we remember, government had relaxed import of gold some time back and with that the gold smuggling vanished. similarly if taxation is relaxed the money would not be sent abroad by the tax evaders and that will stay in our country and government would be ultimately benefited even if indirectly. But then who listens to a middle class salary earner?

Indyeah said...

OMG!!! That figure boggles the mind!!! :O
And we are a 'poor' nation?
From which angle?
The most corrupt, greedy and without principles might be more apt.

@IHM thats food for thought IHM.Regarding your point about high income tax rates.

Balvinder Singh said...

Abhilasha, yes the figures are mind boggling!! and this must be just a tip of the iceburg.

Such is Life said...

Don't know when this disparity will be over.

Indian Home Maker said...

No updates?

Balvinder Singh said...

Such Is Life-- the disparity can end only if some right thinking person rules this country in future which and the chances are looking very bleak as both ruling as well as the opposition parties are acting like rudderless ship floating in the midst of high seas.

IHM, yes, no updates for the time being as after coming to Delhi, i have been keeping very busy schedule, so just repeated this post bearing in mind its relevance in the recent times.

Reflections said...

Gosh the figures are mind-boggling;-o.

Thanks for was esp nice to see the ruppee notes...never knew abt them:-).

Balvinder Singh said...

Nancy, yes the figures are mind blowing and these are five years old figures.

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