Skip to main content

Modi intention questioned: Just 0.028% of demonetized currency is fake, Rs 1.14 lakh crore bad debts waived

Counterview Desk
A group of prominent citizens has doubted Prime Minister Narendra Modi’s intention to fight black money by demonetizing Rs 1000 and 500 notes, saying, instead of punishing those responsible for Rs 1.14 lakh crore of bad debts, the Government of India has “waived” these over the last 3 years.
“At the same time”, they have said in an open statement, “loans worth lakhs of crores of rupees are still outstanding”, wondering, “Why has the government not made public the names of the beneficiaries of the waiver and the names of the big defaulters, both individuals and corporations?”
Those who have signed the statement include prominent economist Prof Prabhat Patnaik, well-known Supreme Court advocate Prashant Bhushan, top right to information (RTI) activists and Magsaysay award winners Aruna Roy Nikhil Dey, top Dalit rights activist and Magsaysay award winner Bezwada Wilson, and National Alliance of People’s Movement (NAPM) activist Meera Sanghamitra, among others.
Characterizing government intention to fight fake currency as without basis, the statement says, “As per the Indian Statistical Institute, Kolkata, study, done on behalf of the National Investigation Agency (NIA), Rs 400 crore worth of fake currency is in circulation. This is only .028% of Rs 14,180 billion worth currency demonetized in Rs 500 and Rs 1000 notes.”
The statement says, “IT raids have found that only 5-6% of black money is kept in hard cash”, while the rest is converted into “bullion, gold jewellery, real estate and foreign currencies through brokers and middle-men”, adding, “In fact, organized middle-men and touts have already emerged to convert black money into white for a commission.”
Pointing out that experts, “including a former RBI Governor and the current chief economist of the World Bank”, have disputed the government move, the statement says, “86% of currency in circulation is in Rs 500 and Rs 1000 notes” and “97% of all transactions by volume are done in cash”.
It underlines, as a result, the “summary demonetization has created chaos all over the country with people unable to purchase daily essentials and, in many cases, life-saving goods and services.”
Pointing towards the death of several persons following demonetization, the statement says, “Only about 30% of the Indian population has access to the banking system as per data compiled by the banking division of the finance ministry. Moreover, the distribution of banks is highly skewed with a third of all bank branches in only 60 Tier 1 and Tier 2 cities/towns.”
“Consequently”, it says, “people in rural India who often also suffer from inadequate information have become the worst victims of demonetization”, adding, worse, “reports have started coming in of digital payment systems unable to keep up with the new volume of transactions with credit and debit card servers also going down.”
“Summary demonetization has shaken this trust and will likely impact India’s economy well beyond the initial and widespread chaos”, the statement notes, adding, “If it is the Government’s case that high value denomination currency is used to hoard black money, then the decision to reissue new Rs 500 and Rs 1000 notes does not make sense. Issuing even higher value Rs 2000 note is completely inexplicable and puzzling.”
The statement warns, “The summary way demonetization has been effected is leading to a riot like situation in the country”, demanding rollback or suspension of demonetization “to enable the common person to make adequate arrangements for daily needs and for more orderly phasing out of the old notes.”

Comments

Anonymous said…
Seems logical

TRENDING

Mystery around Gujarat PSU 'transfer' of Rs 250 crore to Canadian firm Karnalyte

By AK Luke, IAS (Retd)*
While returning from a Board meeting of the Oil India Limited (OIL) in Ahmedabad some time in 2012, two officers of the Gujarat State Fertilizers and Chemicals Ltd (GSFC), Nanavaty and Patel,  saw me off at the airport. They said they were proceeding to Canada in connection with a project GSFC had entered into with a company there. As we were running late, I hastily wished them the best.

Savarkar in Ahmedabad 'declared' two-nation theory in 1937, Jinnah followed 3 years later

By Our Representative
One of the top freedom fighters whom BJP and Prime Minister Narendra Modi revere the most, Vinayak Damodar Savarkar, was also a great supporter of the two nation theory for India, one for Hindus another for Muslims, claims a new expose on the man who is also known to be the original proponent of the concept of Hindutva.

J&K continues to be haunted, as parts of India 'degenerate' into quasi-Kashmir situation

By Rajendran Narayanan*, Sandeep Pandey**
“Jab har saans mein bandook dikhe toh baccha kaise bekhauf rahe?” (How can a child be fearless when she sees a gun in every breath?) remarked Anwar, a gardener from Srinagar, when asked about the situation in Kashmir. On November 30, 2019, a walk through an iron gate in a quiet neighbourhood of Srinagar took us inside a public school. It was 11 am when typically every school is abuzz with activity. Not here though.

Indians have made 119 nations their ‘karma bhumi’: US-based Hindu NGO tells Rupani

Counterview Desk
In a stinging letter to Gujarat chief minister Vijay Rupani, the US-based Hindus for Human Rights (HfHR), referring to the report citing his justification for the Citizenship Amendment Act (CAA) – that “while Muslims can choose any one of the 150 Islamic countries in the world (for residence), India is the only country for Hindus" – has said, he should remember, Hindus have made several countries, including USA, their home.

Dalits rights meet planned on how citizenship law 'negates' Ambedkar's equality focus

By Our Representative
A Dalit rights meet has been planned at the Dalit Shakti Kendra (DSK), Sanand, Ahmedabad district, to discuss implications of the Citizenship Amendment Act (CAA), passed by Parliament on December 10-11, for Dalits, Adivasis and other marginalized sections. Announcing the decision, DSK director Martin Macwan said, the meet would take place on December 25, 2019, at 11.00 am, to commemorate the anniversary of burning of copies of Manusmriti by Dr BR Ambedkar.

What about religious persecution of Dalits, Adivasis, asks anti-CAA meet off Ahmedabad

By Rajiv Shah
A well-attended Dalit rights meet under the banner “14 Pe Charcha” (discussion on Article 14 of the Indian Constitution), alluding to Prime Minister Narendra Modi well-known campaign phrase of the 2014 Parliamentary elections, “chai pe charcha” (discussion over cup of tea), organized off Ahmedabad, has resolved on Wednesday to hold a 14 kilometres-long rally on April 14 to oppose the controversial Citizenship Amendment Act (CAA), enacted on December 10-11.

'Allow critical thinking': SAARC-sponsored varsity teachers support protesting students

By Our Representative
Teachers of the high-profile South Asian University (SAU), a New Delhi-based international institute sponsored by eight member states of the South Asian Association for Regional Cooperation (SAARC) – Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan and Sri Lanka – have supported “peacefully protesting students and other citizens” against the Citizenship (Amendment) Act (CAA), 2019 and the National Register of Citizens (NRC).

Upendra Baxi on foolish excellence, Indian judges and Consitutional cockroaches

By Rajiv Shah
In a controversial assertion, top legal expert Upendra Baxi has sought to question India's Constitution makers for neglecting human rights and social justice. Addressing an elite audience in Ahmedabad, Prof Baxi said, the constitutional idea of India enunciated by the Constituent Assembly tried to resolve four key conflicting concepts: governance, development, rights and justice.

Kerala governor turned History Congress into political arena, 'insulted' Prof Irfan Habib

Counterview Desk
In a signed statement, office bearers of the Aligarh Society of History and Archaeology (ASHA), Prof Syed Ali Nadeem Rezavi (president), Prof Jabir Raza (vice-president), Prof Manvendra Kumar Pundhir (secretary) and Prof Farhat Hasan (joint secretary), have said that Kerala governor Arif Mohammad Khan had sought to insult veteran historian Prof Irfan Habib, 88, at the 80th session of the Indian History Congress, even as turning it into his “political arena”.