Black money: SIT submits third report

New Delhi: More than 400 of the 628 people or entities listed by the special investigation team (SIT) on black money are traceable and can be moved against, according to its latest report.

The third interim report of the M.B. Shah-led special investigation team (SIT) on black money was submitted to the apex court on Tuesday. A three-judge bench comprising chief justice H.L. Dattu, justices Madan B. Lokur and A.K. Sikri took it on record, and sought to keep the report in sealed covers.

However, a copy of an “executive summary” of the report was made available, which Mint reviewed.

The report shows that 422 out of a list of 628 people/entities, based on information obtained from France, are traceable to residents of the country. They are alleged to have stashed away money in foreign banks, avoiding paying Indian taxes.

Of these, 4,526 crore can be traced back to 220 cases. The other 202 cases show no amount. The report shows 403 actionable cases, which means that these account holders are traceable and can be moved against 6,432 crore has been brought to tax.

Several concealment penalty proceedings have been initiated, and in 36 cases, nearly 112 crore has been levied. A total of 121 prosecution complaints have been filed in 35 cases. Prosecution proceedings are pending at various stages in 166 cases.

Six hundred and five cases are being additionally pursued and investigation is underway, the document said.

The SIT also takes into account a report from the International Consortium of Investigative Journalists, and the inquiry based on it revealed 534 Indian names.

The report noted “cricket betting” as a source of black money, where, citing a report from FICCI, it said “more than 300,000 crore” was traded this way.

In related events, Ram Jethmalani, parliamentarian, lawyer, and the petitioner in the case, told the court that loyalists from the former United Progressive Alliance government were part of the SIT, and that “they will not help” recover black money. He also claimed that “the present government and bureaucrats will not get (back) black money”. He questioned the role of Anita Kapur, chairperson of the Central Board of Direct Taxes (CBDT) on the SIT. When contacted, Kapur declined to comment as she was not aware of the comments made.

The case originates in a writ petition filed by Jethmalani in 2009. The apex court, in 2011, had set up the SIT to investigate black money stashed outside the country.