The Goverment Monday directed a multi-agency probe involving the Central Board of Direct Taxes, Enforcement Directorate, Reserve Bank of India, and Financial Intelligence Unit to research the circumstances of Pandora Papers — the most recent leak of offshore monetary information investigated by The Indian Express in collaboration with the International Consortium of Investigative Journalists (ICIJ).
Beginning Monday, The Indian Express has begun a sequence of investigative reviews that present how Indian elites have discovered ingenious new methods to ring-fence their belongings overseas from scrutiny at house.
“The Government has directed today that, investigations in cases of Pandora Papers leaks appearing in the media under the name ‘Pandora Papers’ will be monitored through the Multi Agency Group, headed by the Chairman, CBDT,” stated an announcement issued by the Ministry of Finance.
The Ministry stated the Government has taken notice of those developments and related companies would undertake investigation in these circumstances and acceptable motion could be taken as per regulation. It stated it would have interaction with overseas jurisdictions in the course of the probe.
“With a view to ensure effective investigation in these cases, the Government will also proactively engage with foreign jurisdictions for obtaining information in respect of relevant taxpayers/entities. The Government of India is also part of an Inter-Governmental Group that ensures collaboration and experience sharing to effectively address tax risks associated with such leaks.”
While that is the eighth leak reported by this newspaper with ICIJ, the federal government stated that following earlier leaks akin to HSBC, Panama Papers and Paradise Papers, the Government already enacted the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 with an purpose to curb black cash, or undisclosed overseas belongings and revenue by imposing appropriate tax and penalty on such revenue.
“Undisclosed credits of Rs 20,352 crore approximately (status as on 15.09.2021) have been detected in the investigations carried out in the Panama and Paradise Papers,” the Ministry stated.
Meanwhile, the 2 former Supreme Court judges who head the Government’s Special Investigating Team (SIT) on black cash have stated “action” might be taken on the recent revelations.
The SIT was arrange by the Modi Government in 2014 following its first Cabinet assembly and has thus far submitted seven reviews to the Supreme Court.
Speaking to The Indian Express, SIT Chairman, retired Supreme Court Judge, Justice M B Shah stated: “This is a very important matter for us. The investigation shows what is happening in the country without the knowledge of the so-called experts.”
Justice Shah stated he’ll quickly write to the Government concerning the particulars of offshore belongings contained in The Pandora Papers.
Vice chairman Justice Arijit Pasayat stated: “I have officially approached the CBDT and asked them what action has been taken or proposed to be taken on the Pandora Papers. The ongoing investigation shows the challenge posed to the system by tax evaders.”
