Professional Documents
Culture Documents
Bi – weekly
Editor: Nagaraja.M.R.. Vol.16.....Issue.14.........16/02/2020
Reserve Bank of India is indirectly aiding big looters and draining tax payer’s money. Years ago , We
have brought these issues of loot to the notice of Supreme Court of India by way of PILs. SCI is also
aiding big looters , by failing to take appropriate actions. Hereby , we want information regarding status
of action taken by SCI in following cases :
Thank you
IN THE MATTER OF
NAGARAJA . M.R
Versus
….Respondents
PETITION UNDER ARTICLE 12 to ARTICLE 35 & ARTICLE 51A OF THE CONSTITUTION OF INDIA
FOR ISSUANCE OF A WRIT IN THE NATURE OF MANDAMUS UNDER ARTICLE 32 & ARTICLE 226 OF
THE CONSTITUTION OF INDIA.
To ,
Hon’ble The Chief Justice of India and His Lordship’s Companion
Justices of the Supreme Court of India.
3. In India , a small shop owner to big industrialist have mastered the art of TAX EVASION . their
teachers – some corrupt tax officials & auditors. The black money thus created is causing
inflation, feeding the mafia , underworld. Some industrialists lobby ( bribe ) with the government &
gets favourable laws enacted. This black money is the main source of funds for political parties ,
religious bodies & terrorist outfits.
The recent raids by C.B.I & KARNATAKA LOKAYUKTHA have proved how the tax officials have
become multi-millionaires. The sad part is that some of the police officials who are on deputation to
C.B.I & LOKAYUKTHA themselves are utterly corrupt.
This scourge can only be cured by corporate accountability intoto. However , all the industrialists ,
traders who are demanding for more flexible labour reforms , economic reforms , infrastructure ,
etc are not at all concerned about their own accountability with respect to tax , environment , other
laws. The MNCs coming to India are not coming here for best Indian talents or infrastructure alone.
In their own countries they are feeling the
heat of strict environment laws , consumer laws , share holder disclosures , corporate
accountability. Some of these MNCs are being kicked out of their countries , by it’s own people
.These MNCs are aware that in India , by greasing the palms environment laws , labour laws , tax
laws , etc everything can be flouted , cases in courts can be dragged on for years . share holder
disclosures , corporate transparency is minimum.
4. However when a concerned citizen complains about the crimes of guilty corporates ,
organizations or corrupt public servants , immediate action is not taken. The file is kept pending for
months , years together , allowing the criminals to manipulate all the evidences , records , ground
situations. Finally even if action is taken guilty will be let out due to favorable evidences , there are
chances that the concerned citizen himself is falsely implicated & put behind bars . in all such
cases all the involved parties must be subjected to lie detector tests .
2. Question(s) of Law:
Is it right for banks , tax authorities , government to let out fraudsters , guilty bank executives , guilty tax
officials without criminal prosecution & recovery ?
3. Grounds:
Requests for equitable justice , Prosecution of master minds of financial frauds / tax evasions.
4. Averment:
https://sites.google.com/site/sosevoiceforjustice/rbi—robberer-s-bureau-of-india ,
https://evoiceofhumanrightswatch.wordpress.com/2015/07/19/rbi-robberers-bureau-of-india/ ,
Hereby , I do request the honorable supreme court of India to consider this as a PIL for : “writ of
Mandamus” and to issue instructions to the concerned public servants in the following cases to perform
their duties & to answer the questions.
The Petitioner has sent many letters / appeals / petitions to supreme court of india & other courts through e-
mail , DARPG website & through regular mail requesting them to consider those as PILs. But none ofthem
were admitted , even acknowledgement for receipts were not given. See How duty conscious ,our judges
are & see how our judges are sensitive towards life , liberty of citizens , commonmen & see howcareless
our judges are towards anti national crimes , crimes worth crores of rupees. That the present petitioner has
not filed any other petition (which are admitted by courts) in any High Court or the Supreme Court of India
on the subject matter of the present petition.
PRAYER:
In the above premises, it is prayed that this Hon’ble Court may be pleased:
a . Hereby , I do request the honorable supreme court of India to consider this as a PIL for : “writ of
Mandamus” and to issue instructions to the concerned public servants , Tax Authorities , Law
Enforcement Agencies , RBI authorities in the following cases to perform their duties & to answer the
below RTI questions.
b . to pass such other orders and further orders as may be deemed necessary on the facts and in the
circumstances of the case.
d. To make it mandatory for all bank executives , tax officials including board members to make
their income , wealth details public every year. This must be disclosed under RTI A ct.
e. To form a statutory mechanism to share information in real time ( through computer networking) about
creditors , debtors , borrowers , policy holders , insurers , wealth managers , etc between all financial
institutions like SEBI , RBI , IRDA , Banks , State and Central Government Tax Authorities etc. Creditor ,
debtor information must be disclosed under RTI Act.
f. To appoint a person from lending bank to loan availing companies to monitor it’s daily financial affairs.
g. To legally prosecute RBI Governor , Chief Justice of India & Union Finance Minister for aiding fund
raisers of terrorists , underworld.
h. To order Government of India to accept our conditional offer of apprehending corporate terrorists.
i. To criminal legal prosecution against promoters of fraud companies , partners in their crimes supporting
company executives and bank executives.
j. To order for recovery of money with interest & penalty , by confiscation of properties of such company
promoters , their family properties , property of concerned bank executives , tax officials and most
importantly PROPERTIES OF RBI GOVERNOR , UNION FINANCE MINISTER & CJI must be attached.
k. Black Money & Crime are inter twined , two faces of the same coin . Amnesty must not be
given to black money launderers , it is nothing but legalizing the crimes of big criminals & crimes
which are sources of black money. Thereby , government is giving legal sanction to those
criminals to commit more crimes to accumulate black money and government itself is waiving
off it’s duty to legally prosecute those black money launderers for the crimes which are the
sources of those ill gotten money. As per the constitution , government must do it’s duty to
uphold law , it cann’t waive off it’s own duties. If a government cann’t do it’s duty , it must get out
of the seat.
l. Police , Government , Judges spend thousands of rupees public money to legally prosecute
a small thief caught for stealing hundred rupees , where as now letting out big time looters
who have stolen millions of rupees public money , who have earned money through swindling
banks , share holders , earned money by illegal money lending , rowdyism , drug trafficking ,
human trafficking , etc. It is against principle of equitable justice , law. If the government is not
able to catch , prosecute these black money launderers , it is unfit to be in the seat.
m. To immediately give a stay to the moves by government of india , giving amnesty to
black money launderers from 01st June 2016. Also , annul such laws enacted by
government of India.
FOR WHICH ACT OF KINDNESS, THE PETITIONER SHALL BE DUTY BOUND, EVER PRAY.
https://sites.google.com/site/sosevoiceforjustice/rbi—robberer-s-bureau-of-india ,
https://evoiceofhumanrightswatch.wordpress.com/2015/07/19/rbi-robberers-bureau-of-india / ,
NAGARAJA . M.R
Versus
….Respondents
PETITION UNDER ARTICLE 12 to ARTICLE 35 & ARTICLE 51A OF THE CONSTITUTION OF INDIA
FOR ISSUANCE OF A WRIT IN THE NATURE OF MANDAMUS UNDER ARTICLE 32 & ARTICLE 226 OF
THE CONSTITUTION OF INDIA.
To ,
Hon’ble The Chief Justice of India and His Lordship’s Companion
Justices of the Supreme Court of India.
3. For a common man it is a herculean task to get Rs.5000 loan from a bank , but rich & connected get
lakhs , crores of rupees loan quite easily from banks , how ?
4. When a common man , farmer defaults to pay loan of few thousands of rupees bank immediately
dispatches loan recovery agents / Rowdies , seizes his property & auctions and recover their dues to last
penny. Farmers are committing suicide unable to pay loans to escape from ignominy .
5. Huge companies get crores of rupees loan from banks eventhough basically the project report itself is at
fault , not viable. Siphons off company resources by insider trading to their sister concerns although bank
representatives are very much their on the board of companies.
6 . Such companies default on loan dues to bank , but no recovery agents / rowdies are sent by banks.
Finally the company becomes bust.
7. Bank looses money , the company is declared as NON PERFORMING ASSET and government +
bank waives off interest or else loan itself.
8. End looser the public whose money went down the drain , profiteers – company promoters , executives
and bank manager. No recovery from their personal , family properties why ?
9. Eventhough , I have repeatedly appealed to RBI authorities , Union Finance Ministry since years
seeking information under RTI Act regarding illegalities , irregularities in RBI , Various banks , RBI Note
Press ( BRBNMPL ) , etc , the RBI authorities have evaded answering our questions lest the TRUTH
come out. Supreme court of India specifically Chief Justice of India were also approached to order RBI ,
Union Finance Ministry to disclose information to us in public interest. But SCI , CJI also failed to do their
duties.
10. The money involved here is public money , it is nobody’s papa’s money.
11. These swindled monies are finding it’s way to under world , Mafia & Terror outfits. This
proves RBI Governor , Union Finance Minister and Chief Justice of India are least bothered to safe
guard PUBLIC MONEY. They are least bothered about our national security.
12. We have offered our conditional services to RBI , Union Finance Ministry & SCI to
apprehend corporate criminals , to recover money while the concerned officials have failed to do their
duties. Till date RBI , SCI , Government have failed to respond to our offer.
13. We SOS e Clarion of Dalit & SOS e Voice for Justice once again offer our conditional services to
authorities , RBI , SCI to legally apprehend corporate criminals , tax evaders & corrupt bank
executives and to recover monies from them. Are RBI , SCI & Union Finance Ministry Ready to catch tax
thieves , corporate criminals , corporate terrorists ? Are they ready to utilize our services ?
14. By , shielding corporate criminals RBI , SCI , Union finance ministry are shielding corporate criminals
to continue financial aid to terrorist outfits , underworld & mafia. Thereby , RBI Governor , Union Finance
Minister & CJI , Supreme Court of India have also become parties to those crimes , they themselves have
become criminals.
15. These Huge financial frauds , swindling for years cann’t happen repeatedly for years without tacit
understanding , cooperation , collusion , connivance of RBI GOVERNOR and UNION FINANCE
MINISTER. These crimes are spared from fair , timely legal trials with tacit support of Chief Justice of
India.
16. These swindled money is destabilizing our economy , funding terrorist outfits , mafia & underworld.
These are posing constant threat to our national security , integrity.
17. By financially supporting funding of criminals , terrorists RBI GOVERNOR , UNION FINANCE
MINSTER & CHIEF JUSTICE OF INDIA themselves have become anti nationals , criminals , terrorists.
2. Question(s) of Law:
Is it right for banks , government to let out fraudsters , bank executives without criminal prosecution &
recovery ?
3. Grounds:
Requests for equitable justice , Prosecution of master minds of financial frauds.
4. Averment:
https://sites.google.com/site/sosevoiceforjustice/rbi—robberer-s-bureau-of-india ,
https://evoiceofhumanrightswatch.wordpress.com/2015/07/19/rbi-robberers-bureau-of-india/ ,
Hereby , I do request the honorable supreme court of India to consider this as a PIL for : “writ of
Mandamus” and to issue instructions to the concerned public servants in the following cases to perform
their duties & to answer the questions.
The Petitioner has sent many letters / appeals / petitions to supreme court of india & other courts through e-
mail , DARPG website & through regular mail requesting them to consider those as PILs. But none ofthem
were admitted , even acknowledgement for receipts were not given. See How duty conscious ,our judges
are & see how our judges are sensitive towards life , liberty of citizens , commonmen & see howcareless
our judges are towards anti national crimes , crimes worth crores of rupees. That the present petitioner has
not filed any other petition (which are admitted by courts) in any High Court or the Supreme Court of India
on the subject matter of the present petition.
PRAYER:
In the above premises, it is prayed that this Hon’ble Court may be pleased:
a . Hereby , I do request the honorable supreme court of India to consider this as a PIL for : “writ of
Mandamus” and to issue instructions to the concerned public servants , RBI authorities in the following
cases to perform their duties & to answer the below RTI questions.
b . to pass such other orders and further orders as may be deemed necessary on the facts and in the
circumstances of the case.
c. To legally prosecute authorities of M/s RBI & M/s BRBNMPL , who denied job opportunities to me under
the behest of criminals responsible for late PM Rajiv Gandhi assassination case.
e. To make it mandatory for all bank executives including board members to make their income , wealth
details public every year. This must be disclosed under RTI A ct.
f. To form a statutory mechanism to share information about creditors , debtors , borrowers , policy
holders , insurers , wealth managers , etc between all financial institutions like SEBI , RBI , IRDA , Banks ,
etc. Creditor , debtor information must be disclosed under RTI Act.
g. To book criminal cases of Rowdyism , goondaism against rowdy loan recovery agents & respective bank
managers.
h. To reopen cases of Currency exchange scandal @ RBI Bangalore incinerator and currency theft
cases @ RBI currency note press , Mysuru. To also legally prosecute bank executives & CBI investigating
officials who shielded original criminals in these cases.
i. To order full payment of unjustly withheld salary , gratuity , pension dues , etc to victimized RBI staff Mr.
Ganapathi Hariram immediately.
j. To appoint a person from lending bank to loan availing companies to monitor it’s daily financial affairs.
k. To legally prosecute RBI Governor , Chief Justice of India & Union Finance Minister for aiding fund
raisers of terrorists , underworld.
l. To order Government of India to accept our conditional offer of apprehending corporate terrorists.
m. To criminal legal prosecution against promoters of fraud companies , partners in their crimes supporting
company executives and bank executives.
n. To order for recovery of money with interest & penalty , by confiscation of properties of such company
promoters , their family properties , property of concerned bank executives and most importantly
PROPERTIES OF RBI GOVERNOR , UNION FINANCE MINISTER & CJI must be attached.
FOR WHICH ACT OF KINDNESS, THE PETITIONER SHALL BE DUTY BOUND, EVER PRAY.
https://sites.google.com/site/sosevoiceforjustice/rbi—robberer-s-bureau-of-india ,
https://evoiceofhumanrightswatch.wordpress.com/2015/07/19/rbi-robberers-bureau-of-india/ ,
NAGARAJA . M.R
Versus
….Respondents
PETITION UNDER ARTICLE 12 to ARTICLE 35 & ARTICLE 51A OF THE CONSTITUTION OF INDIA
FOR ISSUANCE OF A WRIT IN THE NATURE OF MANDAMUS UNDER ARTICLE 32 & ARTICLE 226 OF
THE CONSTITUTION OF INDIA.
To ,
Hon’ble The Chief Justice of India and His Lordship’s Companion
Justices of the Supreme Court of India. The Humble petition of the
Petitioner above named.
2. Eventhough , I have repeatedly appealed to RBI authorities since years seeking justice regarding
illegalities , irregularities in recruitment , currency handling , currency theft , etc @ RBI , they didn’t provide
justice at all.
3. For a common man it is a herculean task to get Rs.5000 loan from a bank , but rich & connected get
lakhs , crores of rupees loan quite easily from banks , how ?
4. When a common man , farmer defaults to pay loan of few thousands of rupees bank immediately
dispatches loan recovery agents / Rowdies , seizes his property & auctions and recover their dues to last
penny. Farmers are committing suicide unable to pay loans to escape from ignominy .
5. Huge companies get crores of rupees loan from banks eventhough basically the project report itself is at
fault , not viable. Siphons off company resources by insider trading to their sister concerns although bank
representatives are very much their on the board of companies.
6 . Such companies default on loan dues to bank , but no recovery agents / rowdies are sent by banks.
Finally the company becomes bust.
7. Bank looses money , the company is declared as NON PERFORMING ASSET and government +
bank waives off interest or else loan itself.
8. End looser the public whose money went down the drain , profiteers – company promoters , executives
and bank manager. No recovery from their personal , family properties why ?
2. Question(s) of Law:
Is it right for banks , government to let out fraudsters without criminal prosecution ?
3. Grounds:
Requests for equitable justice , Prosecution of master minds of financial frauds.
4. Averment:
https://sites.google.com/site/sosevoiceforjustice/rbi—robberer-s-bureau-of-india ,
https://evoiceofhumanrightswatch.wordpress.com/2015/07/19/rbi-robberers-bureau-of-india/ ,
Hereby , I do request the honorable supreme court of India to consider this as a PIL for : “writ of
Mandamus” and to issue instructions to the concerned public servants in the following cases to perform
their duties & to answer the questions.
The Petitioner has sent many letters / appeals / petitions to supreme court of india & other courts through e-
mail , DARPG website & through regular mail requesting them to consider those as PILs. But none ofthem
were admitted , even acknowledgement for receipts were not given. See How duty conscious ,our judges
are & see how our judges are sensitive towards life , liberty of citizens , commonmen & see howcareless
our judges are towards anti national crimes , crimes worth crores of rupees. That the present petitioner has
not filed any other petition (which are admitted by courts) in any High Court or the Supreme Court of India
on the subject matter of the present petition.
PRAYER:
In the above premises, it is prayed that this Hon’ble Court may be pleased:
a . Hereby , I do request the honorable supreme court of India to consider this as a PIL for : “writ of
Mandamus” and to issue instructions to the concerned public servants , RBI authorities in the following
cases to perform their duties & to answer the questions.
b . to pass such other orders and further orders as may be deemed necessary on the facts and in the
circumstances of the case.
c. To legally prosecute authorities of M/s RBI & M/s BRBNMPL , who denied job opportunities to me under
the behest of criminals responsible for late PM Rajiv Gandhi assassination case.
FOR WHICH ACT OF KINDNESS, THE PETITIONER SHALL BE DUTY BOUND, EVER PRAY.
https://sites.google.com/site/sosevoiceforjustice/rbi—robberer-s-bureau-of-india ,
https://evoiceofhumanrightswatch.wordpress.com/2015/07/19/rbi-robberers-bureau-of-india/ ,
Versus
PETITION UNDER ARTICLE 12 to ARTICLE 35 & ARTICLE 51A OF THE CONSTITUTION OF INDIA
FOR ISSUANCE OF A WRIT IN THE NATURE OF MANDAMUS UNDER ARTICLE 32 & ARTICLE 226 OF
THE CONSTITUTION OF INDIA.
To ,
Hon’ble The Chief Justice of India and His Lordship’s Companion
Justices of the Supreme Court of India. The Humble petition of the
Petitioner above named.
2. Eventhough , certain PIJF companies were previously found to be involved in illegal practices , CPIO
of DOT / BSNL is hiding information . Thereby , he is trying to shield criminals.
2. Question(s) of Law:
DOT / BSNL has paid crores of rupees to PIJF Telecable manufacturers towards purchase of cables.
The money is from public exchequer , people’s money . That public money is swindled by cable
manufacturers with tacit support of DOT / BSNL officials. Why no prosecution of DOT / BSNL officials &
cable manufacturers ? are they above law ?
3. Grounds:
Requests for equitable justice , Accountability for public money worth crores of rupees.
4. Averment:
Private companies in their greed for money are violating norms in league with public officials. They have
caused loss to the public exchequer.
Hereby , I do request the honorable supreme court of India to consider this as a PIL for : “writ of
Mandamus” and to issue instructions to the concerned public servants in the following cases to perform
their duties & to answer the questions.
The Petitioner has sent many letters / appeals / petitions to supreme court of india & other courts through e-
mail , DARPG website & through regular mail requesting them to consider those as PILs. But none of them
were admitted , even acknowledgement for receipts were not given. See How duty conscious ,our judges
are & see how our judges are sensitive towards life , liberty of citizens , commonmen & see how careless
our judges are towards anti national crimes , crimes worth crores of rupees. That the present petitioner has
not filed any other petition (which are admitted by courts) in any High Court or the Supreme Court of India
on the subject matter of the present petition.
PRAYER:
In the above premises, it is prayed that this Hon’ble Court may be pleased:
(i) Hereby , I do request the honorable supreme court of India to consider this as a PIL for : “writ of
Mandamus” and to issue instructions to the concerned public servants in the following cases to perform
their duties & to answer the questions.
(ii) to pass such other orders and further orders as may be deemed necessary on the facts and in the
circumstances of the case.
FOR WHICH ACT OF KINDNESS, THE PETITIONER SHALL BE DUTY BOUND, EVER PRAY.
http://crimesatrpg.blogspot.com/ ,
http://crimesatrpg.wordpress.com/ ,
http://groups.yahoo.com/group/naghrw/message/218
Halting the witch-hunt by top brass of the biggest bank in India and coming to the rescue of the employees
one of whom was even dismissed from service, Madras high court said: "It is unfortunate that a public
sector bank like the SBI should file a (defamation) suit not only claiming damages for loss of reputation, but
also seeking for a prior restraint on the trade union in publishing hand bills, posters and putting up
placards."
A division bench of Justice V Ramasubramanian and Justice K Ravichandrabaabu said, "Image of the bank
cannot be confused with officers at lower level committing fraud, misconduct and embezzlement. Certainly
when a trade union finds that action is not being taken, they can take the issue to the public and the
grievance projected in no way amounts to defaming the bank. An employee working in a public sector bank
also owes a public duty when public funds were frittered away or misappropriated."
In May 2006, a sum of Rs 30 lakh - six bundles of Rs 500 denomination - went missing from currency notes
stored in the strong room of Avinashi branch of Coimbatore module in SBI's Chennai circle. Holding that
chief general manager Pradip Chaudhary cannot be spared for the loss caused to the bank, three persons -
M V Thangaswamy, president, S Gunasekar, general secretary and G Arasukumar, treasurer of SBI
Ambedkar Trade Union - wrote complaints to the RBI and pasted posters seeking action.
In this regard, they pointed out that cash bundles worth Rs 5 lakh had gone missing from Salem branch, Rs
6 lakh went missing from Rasipuram branch, Rs 5.5. lakh from Aminjikarai branch, Rs 5 lakh from Kulithalai
branch, Rs 6 lakh from Avinasi branch, Rs 1 lakh from Avinasi branch and the latest case of Rs 30 lakh
going missing from the same Avinasi branch.
The bank hit back by issuing show-cause notices, memos, defamation suits and then dismissal of one
officer from service, on the ground that they pasted posters without properly verifying the truth and with a
view to defame the bank and cause damage to their business and reputation.
Setting aside the dismissal and other proceedings, the judges said, "It is seen from the contents of the
posters that it was only an appeal to the bank for taking action. Specific instances were pointed out to the
chief general manager to take appropriate action. Instead of taking action on the grievances projected by
the trade union, the bank had filed the suit."
Exposing inaction of the bank in the light of a series of cash shortages can only be in public interest and
making such statements cannot be detrimental to the interest of the bank, the bench said. The bank itself
expects its officers to take all possible steps to ensure and protect the interests of the bank. Publishing or
exposing the cash shortages in the bank and the inaction of the top officers cannot amount to willful
damage to the property of the bank. It cannot even be said to be prejudicial to the interest of the bank, they
concluded.
"Merely because it has exposed some irregularities, the poster will not affect the commercial interest of the
bank," they said, adding that on the other hand, only by such exposures, correctional measures could be
taken and the bank could assure the general public that all is well with them.
In this regard, the bench pointed out that it is usual practice for trade unions and public sector banks to
publish the list of defaulters and the non-performing assets of the bank in order to bring it to the notice of
the general public and the government, so that corrective actions can be taken.
Even after coming out clean, mr.G.Hariram was not reinstated into
service by RBI. They gave the ruse of domestic enquiry & showed
contempt to the court order. On appeal, the honourable high court of
Karnataka ordered RBI to review it's order with respect to
mr.G.Hariram , still RBI failed to reinstate mr.G.Hariram into service
, once gain showing contempt to the court of law.
In India as per law , the decisions of court of law are binding on all
, orders of court over rides the organisation's internal rules ,
service rules , etc. inspite of lack of evidences, in a whimsical
manner the higher authorities of RBI , fixed some innocents as the
scape goats heaped all charges against them ( against whom they had
personal grudge , dislikes ). RBI repeatedly showed contempt to the
court orders , dismissed the scape goat - ailing old man mr.G.Hariram
from service. RBI snatched away his PF money towards the alleged loss
to the bank , didn't pay his gratuity amount , salary arrears and
finally he was even deprived of the pension. As a result , the old man
has even lost his social prestige, dignity , his family suffered a lot
& he is a mental wreck today.
Why RBI authoroties are hell bent upon to send away the innocents /
scape goats away from service ? why CBI didn't conduct polygraph tests
of all the accussed , specifically higher officers of RBI , managers
of RBI office Bangalore ? probably the scape goats were aware of the
crimes master minded by higher ups & didn't co-operate with the higher
ups in their crimes. So, the criminals were afraid that the scape
goats will blurt out truth to the world , fixed non co-operating
innocents themselves as criminals.
Who will give justice to innocents like old man mr.G.Hariram & who
will bell the corrupt , criminals , fat cats of RBI ?
APPEAL UNDER SEC 19 (3) OF RTI ACT 2005 OF GOVERNMENT OF INDIA & GOVERNMENT OF
KARNATAKA
"Power will go to the hands of rascals, , rogues and freebooters. All Indian leaders will be of low calibre and
men of straw. They will have sweet tongues and silly hearts. They will fight among themselves for power
and will be lost in political squabbles . A day would come when even air & water will be taxed." Sir Winston
made this statement in the House of Commons just before the independence of India & Pakistan. Sadly ,
the forewarning of Late Winston Churchill has been proved right by some of our criminal , corrupt
people’s representatives , police , RBI Officials , public servants & Judges. Some of the below mentioned
public servants fall among the category of churchill’s men – Rogues , Rascals & Freebooters.
RBI Officials are denying me information under one pretext or the other and covering-up SCAM worth
crores of rupees.
We salute honest few in public service , our whole hearted respects to them. HEREBY , I DO HUMBLY
REQUEST YOU TO GIVE ME WRITTEN STATEMENTS / ANSWERS TO THE FOLLOWING QUESTIONS
– WHICH IN ITSELF ( ie answers ) ARE THE INFORMATION SOUGHT BY ME. HERE WITH I AM
SEEKING NOT THE OPINIONS ABOUT SOME HYPOTHETICAL ISSUES , BUT YOUR OFFICIAL
STAND , LEGAL STAND ON ISSUES WHICH ARE OF FREQUENT OCCURRENCE WHICH ARE
VIOLATING PEOPLE’S FUNDAMENTAL RIGHTS & HUMAN RIGHTS. WE DO HAVE HIGHEST
RESPECTS FOR JUDICIARY & ALL PUBLIC INSTITUTIONS , THIS IS AN APPEAL FOR TRUTH ,
INFORMATION SO THAT TO APPREHEND CORRUPT FEW IN PUBLIC SERVICE, WHO ARE AIDING &
ABETTING TERRORISM , UNDERWORLD & CRIMINALS.
mid of 1979 ?
2. This crime came to light only due to anonymous phone calls of good
out of premises ?
value of bags of reissuable notes & bags of note meant for destruction
, after sorting is done, why they are not tallied with total weight ,
5. Immediately after noticing the crime, why did not you transfer all
6. why did not you take steps to preserve3 & protect respective
7. why didn't you immediately issue charge sheet to all the accussed &
8. Why RBI has left out , so many officers ( who worked in the same
enquiry ?
9. why CBI also failed to put those people in the charge sheet before
the court ?
11. did the CBI dance to the tune of vested interests in RBI while
independent investigation ?
12. those left out probables from the charge sheet might have caused
have been destroyed. Are not CBI & RBI responsible for destruction of
14. after noticing such a high profile crime the RBI must have taken
utmost care to preserve such old records for indefinite time , for
why ?
defense ?
17. RBI authorities have stated that court proceedings & domestic
enquiry are independent of each other & are not binding on one
the order of same court of law ? why this double standard by RBI ?
18. The alleged crime was committed in 1977-79, but charge sheet was
manipulate evidences ?
20. as stated before court , indeed some records , 22nd currency note
21. has the CBI conducted enquiry , polygraph test of RBI higher
if not why ?
23. what disciplinary action RBI has taken against the inefficient ,
25. as per RBI pension regulations 1990 , RBI has the right to deduct
any loss caused to the bank , from the pension of RBI employee if the
mr.G.Hariram came out clean from the court , why RBI has denied his
pension ?
26. judicial courts of law are appellate authorities over & above ,
28. RBI alleged that mr..G.Hariram caused loss to the tune of Rs.14000
to the bank & recovered it from his provident fund dues. There was
mr.G.Hariram , why ?
of law. In mr.G.Hariram's case , CBI & RBI failed to prove the charges
beyond court orders date & gave findings indicting mr..G.Hariram. does
the enquiry officer of domestic enquiry think that he is over & above
31. did the RBI pay interim relief to mr.G.Hariram , during suspension
period ?
sheet ?
35. does not this itself show that it is not statement of actual
37. is not the conduct of joint / mass enquiries of all charge sheeted
officers illegal ?
38. how come such an important evidence 22nd note packet went
missing ?
39. is it because it may point towards real criminals ?
expert mr.vijendra rao , the notes of earlier dates have been removed
treasurers are there , who didn't work at all on that day is not it ?
42. does not it show that some body else was misusing the seals ,
43. does it not show that , crime has taken place at verification
section ?
46. why inspection of RBI Bangalore office was not done between 1975 &
1979 ?
47. is it not true that you failed to produce all records showing
proceedings ?
48. your expert mr.vijendra rao has stated that some seal marks are
smudged , he has stated some seal marks appears to be so & so. He has
49. your expert nowhere said that 100% sure this seal mark is this ,
However approver says fraud was there before mid 1977 also. Why no
51. why you didn't produce all records of all persons , who have
52. are not their chances of some criminals putting the seal marks of
53. your expert is not 100% sure of seal mark , your records are not
sections , neither your expert nor your records are 100% sure on what
original criminals ?
withheld ?
you didn't even conduct domestic enquiry against them , let alone
legal prosecution ?
60. as inly 5% sampling of verified note bundles are done , there are
61. you have left out so many officers who worked in those sections,
62. who are the bank employees , from whom you have recovered the alleged bank loss of Rs.220000 ?
64. you don't have any internal statuotary records to prove that
office note dated just on the eve of charge sheet years after the
alleged crime ? does it not prove that this note has been concocted
66. three officers of staff grade A daily work in three sections out of 40 officers , why you have picked up
only mr.G.Hariram , out of 1095 working days , he has worked for only 223 days in those
sections , still those officers who worked for more days in those
sections are not charge sheeted why ? the approver , the management
expert witness , shift registers , V2 registers , Destruction
on what date , at what stage , by whom crime took place , also they
were unable to say on what date at what stage crime was committed by
67. the management expert witnesses said , the most probable place of
treasurers were joint custodians . they were not enquired & let off
why ?
69. as per the normal course of duty , staff officers does not
count notes in each bundles , but they just count the number of
70. does not all these prove higher authorities of RBI & CBI
criminals ?
have invested ?
73. how do you monitor the rapid wealth growth of certain bank
etc ?
officials , the loans become NPAs & full value cann't be realized in
the market by selling off the assets of debtor companies also. In such
cases , what action is taken against erring bank officials who collude
permissible ?
78. why not criminal complaints filed against bank mangers for
82. have you taken action against all those mentioned by telgi
86. who were responsible for selling the good printing machine at
87. who recruited the candidates below merit rankings in R.B.I for
88. how many irregularities have taken place in R.B.I till date ?
91. how wastages, scrap of ink , papers , etc in the printing process
92. How the finished goods ie currency notes are accounted for ?
95. From security angle who keeps track from start till dispatch ?
96. Give me the merit ranking list of all candidates for the
97. give me the merit ranking list of all candidates for the
98. give me the merit ranking list of all candidates for the
year 1996-1998 ?
information request as per RTI Act ? are you afraid that skeletons
101. what action initiated against the SBI branch Bangalore & SBI
102. give me specific figures bank wise with respect to loss caused
103. how RBI is containing crimes of loss of cheques / DDs causing huge losses to the banks to the tune
of crores of rupees ?
104. what action taken against the RBI officials who are covering up crimes inspite of my repeated appeals
& RTI requests ?
YEAR TO WHICH ABOVE PERTAINS : MAJORITY OF DOCUMENTS PERTAINS TO YEAR 1995 - 2015
.
CPIO , C/o PCGM and Secretary , Secretary’s Department , Reserve Bank of India , 16 th floor, Central
Office Building , Shahid Bhagat Singh Marg , Mumbai – 400 001
However , upto 1997 two branches of state bank of india in bangalore &
overseas branch sufferred from frequent loss of cheques totally
amounting to RUPEES THREE THOUSAND TWO HUNDRED CRORE. In all cases of
cheque loss the bank has paid out of suspense account, totally
amounting to Rs.3200 crore. However the bank has not
initiated any enquiry to recover that amount from the cheque givers.
In the 1997 internal audit report of the bank itself , this has been
clearly pointed out. Till date, even the central vigilance commission
has not initiated any action about it. A member of central vigilance
commission happens to be ex-chairman of state bank of india.
In india, both central & state government tax/ revenue officials are
neck deep in corruption. By, taking bribe they make lower assessment
of income, gains, etc & spare businessmen from the tax payment. The
government in return for favours received from
lobbies, gives tax exemptions to them at it's sweet will. All these
scams & it's cover-ups are insider jobs. The government is not
interested to collect, recover it's own monies
amounting to billions of billions of dollars every year. However our 5-
star leaders living at the expense of tax-payers, go-on foreign jaunts
with a begging bowl for a few lakhs of dollars. What a shame?
More than 50 billion indians are barely surviving on a single meal per
day & hundreds are dying due to starvation, billions don't even have
basic necessities of life. If the government even just collects a
fraction of it's dues from scamsters, defaulting industrialists –
people won't die of hunger in india. Has this enlightened our thick
skinned netas ?
Just refer “Oil for Food Money in Iraq scam ” and “ Vostro Account Scam of 1990s”. Influential
people are involved , everything happened under the noose of RBI , With the connivance of RBI
officials ?
We requested the CPIO of RBI HQ for information as per RTI Act ( our
letter dt 20th September 2008 ) about various issues concerning the
activities of that institution in whole. However the CPIO OF RBI HQ
through his letter no.DAPM.CO.RIA.4001/07.50.01/2008-09 dt October
03rd 2008 declined to give information citing certain ruses. ( RBI Ref
no. RIA 798/2008-09 )
One more ruse given by CPIO of RBI is that I have raised many issues ,
to be specific 103 questions on various topics concerning RBI , giving
information on all those diverts the resources of authorities , hence
information request is denied. TRUE , information sought is many , so
do the crimes @ RBI which are also many. When compared to magnitude of
crimes @ RBI which is 3-4 times the entire budget outlays of Indian
government to the tune of crores of rupees , the resources spent to
ascertain information as per our RTI Application is just few hundreds
of rupees. When compared to the money spent by RBI officials by way of
TA / DA during their travel , etc, our information request resource
needs are peanuts.
Your’s sincerely,
Nagaraj.M.R.
The hawala trail
PRAVEEN SWAMI
BRITISH officials are investigating the activities of one of the most prominent overseas backers of
secessionist groups in Jammu and Kashmir. Last month, the United Kingdom's Charities
Commission and the Metropolitan Police began looking into allegations that Ayub Thokar, the head
of the World Kashmir Freedom Movement, had funnelled funds raised for charity to the terrorist
groups.
Investigations into Thokar's role in funding terror began after Indian officials handed over evidence
in the case to their British counterparts in June. The two Indian officials from the Ministry of Home
Affairs and a senior Jammu and Kashmir Police officer made available details of funds funnelled
from Thokar's charity, Mercy International, through Standard Chartered Grindlays Bank (since then
renamed Standard Chartered Bank) and the Development Credit Bank. The investigators also
provided transcripts of telephone intercepts and cases filed against the recipients of the funds in
India.
On May 25, a long-running Intelligence Bureau operation led to the arrest of Srinagar-based
journalist Imtiaz Bazaz. Officials claim that he was a key conduit for transferring funds to Hizbul
Mujahideen field commanders in Jammu and Kashmir. On April 22 Bazaz had received a foreign
currency remittance of Rs.4,84,875 into his account with Standard Chartered in New Delhi, and on
May 15 a second remittance of Rs.14,98,000 into the Development Credit Bank. Although
intelligence officials monitored the first transaction, they did not intervene, in the interest of
building up evidence. The second transaction was frozen.
The funds trail led straight to Thokar. It transpired that in early 2001, Hizbul Mujahideen chief
Mohammad Yusuf Shah had sent Rs.48 lakh to Jamaat-e-Islami leader Syed Salahuddin through
Thokar. Subsequently, after the arrest of Jamait-ul-Mujahideen finance commander Qasim Faktu,
Thokar began to finance his organisation through the terrorist's wife, Asiya Indrabi. Most of the
funds were routed through Bazaz, who arranged for the transfer of funds received in New Delhi to
accounts held with the Jammu & Kashmir Bank in Srinagar. Cash was then paid to the final
recipients.
Meanwhile, Income Tax Department investigations against All Parties Hurriyat Conference (APHC)
leader Syed Ali Shah Geelani have started to bear fruit (Frontline, July 5, 2002). The secessionist
leader claimed an annual agricultural income of Rs.10,000 in his tax returns, and also received the
official pension of Rs.85,200 due to two-term MLAs - ironically enough for a man now at the cutting
edge of the secessionist anti-election campaign! His expensive house in Hyderpora, however, had
several cars parked there and the household was run by a personal staff of 14 people. The monthly
kitchen expenses amounted to Rs.25,000. Income Tax Department searches of the Geelani home
also yielded Rs.10.25 lakhs and $10,000 in cash. Income-tax officials have now decided to impose
penalties of Rs.30 lakhs on Geelani, based on his estimated income over the last six years, the
maximum period allowed by law. His businessman son-in-law Altaf Ahmad Shah, who allegedly
used his legitimate operations to launder funds, has been slapped with a Rs.40 lakhs penalty.
Failure to pay could lead to the auctioning of Geelani's assets, including the Hyderpora home.
Separate income-tax penalties of Rs.2 crores have been imposed on businessman Abdul Rashid
Saraf, who was allegedly involved in handling hawala funds sent to APHC chairman Abdul Gani
Bhat. Saraf, income-tax authorities found, had failed to disclose income of Rs.3.37 crores over the
last six years.
The vigour that the Income Tax Department has shown in this matter marks a welcome departure
from the past. After it was driven out of Srinagar in the later 1980s by mobs that attacked income
tax inspectors, the organisation had granted de-facto independence to the State. This time, two
planeloads of officials flew into the Avantipora Air Force base and they were escorted to the raids
by police officers. Their successes seem to have convinced the Income Tax Department that it is
after all possible to play a useful role in Jammu and Kashmir.
In the U.K., both Mercy International and Thokar will now have to answer some hard questions. For
one, there is no explanation why the organisation did not send supposed philanthropic donations
to the several-dozen charities in Jammu and Kashmir which have clearances under the Foreign
Exchange Management Act. Thokar will also have to explain how he paid for the purchase of his
London home, and his regular overseas travels, given the fact that he has no ostensible means of
income. India has, however, chosen not to seek Thokar's extradition, since the fact that his wife is a
U.K. national makes this outcome unlikely.
For India, British action in this case will be a key test of its loudly-advertised anti-terrorist stance. In
March, sources told Frontline, Deputy Prime Minister L.K. Advani had handed over to British
Foreign Secretary Jack Straw a dossier on the activities of secessionist groups in the U.K. Titled
'Misuse of British Soil by Kashmir Expatriates Based in the U.K. for Funding Terrorism in J&K', the
document outlined many of the charges which investigations have now added substance to.
Sources say the team that visited the U.K. pointed to Straw's promises to crack down on terrorism-
related money laundering, and were told that criminal prosecutions would take place in the U.K.
Earlier, the U.K. successfully prosecuted two Khalistan-linked British nationals involved in backing
the Babbar Khalsa International.
If funds transfers to terrorist groups are effectively cut off, it will do not a little to cripple such
organisations. The reasons are simple. While it is easy to send cadres across the Line of Control,
actually sustaining their activities in Jammu and Kashmir needs an elaborate financial structure.
Money is needed to pay for everything from food and shelter to informants, political support and
the legal defence of arrested sympathisers. Since it is impossible to lug sacks full of cash across
the LoC, illegal funds transfers come into play. For many businessmen in the Kashmir Valley,
holding such cash for short terms has been a profitable, risk-free enterprise. Now the penalties
imposed should persuade conduits for blood-money transfers that crime does not, in fact, pay.
Al-Qaeda routing money to India via Europe
New Delhi, Mar 6: European countries are being used as hot destinations by terror group al-Qaeda
to route money to India, according to a report by Peruvian Financial Intelligence Unit (FIU).
The report said the FIU had found at least one case of such suspicious transaction by al-Qaeda
every month and shared them with the US investigators.
"The FIU also reports tracking cases similar to that of an OFAC-designated (US Office of Foreign
Assets Control) of al-Qaeda element moving money from Europe through Lima and on to India," the
report leaked by Wikileaks, a non-profit media organisation dedicated to bringing important
information to the public, quoting FIU head Enrique Saldivar disclosed.
"Asked if this al-Qaeda case was the first of its kind or they had seen similar cases before, Saldivar
told NASOff that they see about one case a month," the cable said.
The FIU receives and analyses STRs, may request additional information relevant to cases or
operations related to money laundering or terrorist financing, provides Financial Intelligence
Reports (FIR) to the Public Prosecutor's Office, participates and/or requests joint investigations,
and coordinates with foreign FIUs and entities.
"Of the 7,710 suspicious activity reports examined by FIU analysts in 2009, 781 resulted in financial
intelligence reports sent to the Public Ministry for further processing and investigation.
"Based on these 781 intelligence reports, the FIU concludes more than 3 billion USD moved illegally
through Peru''s financial sector in 2009," it said.
"83 per cent of this amount, according to the FIU, is related to drug trafficking. The other 17 per
cent is reportedly related to fiscal fraud, corruption and illegal gun dealing. Currently, 308 of these
intelligence reports are at various stages of investigation and prosecution in the legal system as
compared to four cases in 2008," the cables read.
According to Saldivar, anti-money laundering efforts in Peru are hindered by several factors.
Mumbai: Standard Chartered Plc, (StanChart) which is set to hit the market with the first ever issue
of Indian depository receipts (IDRs) on 25 May, has not disclosed many pending cases against it for
alleged violation of foreign exchange remittance norms in the draft red herring prospectus
submitted to the capital markets regulator.
The alleged violations—17 transactions of drafts, one telex transfer and two cash transactions—go
back to 1991-92, when the Enforcement Directorate (ED) found a series of forex violations made
through the bank’s Mumbai branches to the UK.
The violations were discovered after ED investigated a number of banks, including Standard
Chartered, in the aftermath of the Harshad Mehta scam that rocked the stock markets in 1991-92.
The ED complaint was filed in the court of chief metropolitan magistrate in Mumbai by enforcement
officer S. Parvez in May 2002.
These complaints, which are still pending, charge the bank and its then chairman Rodney Galpin of
“total violation” of the exchange control manual and provisions of then prevailing foreign exchange
regulation norms.
The Issue of Capital and Disclosure Requirements (ICDR) norms, laid down by the Securities and
Exchange Board of India (Sebi), require any firm floating a public issue to disclose all pending
proceedings initiated for economic offences against the issuer or its directors, as well as the
present status of such cases.
StanChart said that it has no “material litigation” to disclose. The bank’s spokesman Arijit De said
the lender has applied the relevant materiality standard in arriving at the disclosures.
In response to an email questionnaire, he said the bank would comply with the applicable laws,
regulations and international practice with regard to material information disclosure and uniformity
of disclosures.
“Accordingly, in relation to disclosure on litigation, as provided under the provisions of the Sebi
(ICDR) regulations, 2009, as amended, Standard Chartered Plc, as an issuer of IDRs, is required to
disclose ‘material litigation’. In considering whether disclosures are necessary in relation to
litigation, Standard Chartered Plc has applied the relevant materiality standard. On this basis, no
litigation is required to be disclosed,” the email said.
Under Sebi rules, the so-called materiality of a case must be judged on three broad parameters:
qualitative nature, litigation or defaults that may not be material at present but might have a
material impact later, and litigations that may not be material individually, but may be found
material collectively.
A questionnaire to Sebi on whether it has granted any special exemption to StanChart for the IDR
remained unanswered.
A senior lawyer at a national law firm said: “All pending litigations that have a bearing on the issue
should be disclosed in the prospectus as per ICDR regulations. Moreover, the issue of materiality
varies from case to case and is subjective. If I were an underwriter, I would have disclosed the
status of the cases and justified if the cases have any material impact on the company’s
businesses or not, in the prospectus.” The lawyer did not want to be identified.
Market analysts say there is no definitive yardstick for deciding the importance of a case.
“Materiality is subjective and judgemental,” said Prithvi Haldea, chairman and managing director
of Prime Database, a primary market tracker. “The merchant banker, issuer and lawyer can
collectively take a call on whether a matter is material or not.”
However, if these matters are decided in court and proven to be material, the issuers, bankers and
lawyers can be taken to court for substantial damages, he added.
The amount involved in the 17 transactions listed by ED and facilitated by the bank between
February 1991 and September 1992 is Rs4 crore. The bank also allegedly facilitated a telegraphic
transfer of Rs1.5 crore. ANZ Grindlays Bank, which was acquired by StanChart in 2000, allegedly
helped the same entities transfer around Rs55 crore. Separate cases are pending against both
banks in the matter.
According to the case files, Irish rugby player Keith Fairbrother was the key beneficiary of the
transfers. He owned a company, Indo International, earlier known as Eastern Suburbs, based in the
UK, but with bank accounts in both names in India as well as the UK.
Fairbrother is said to have facilitated a few import-export deals between some Indian firms and their
counterparts in the erstwhile Union of Soviet Socialist Republics (USSR). Since India and USSR had
bilateral trade pacts, any payment to entities there needed to be routed through the Reserve Bank
of India (RBI) with appropriate approvals and sanctions. Fairbrother, the files claim, broke these
rules using various foreign banks, including StanChart.
Through his associate Kuldip Singh Sood in India, Fairbrother would collect Indian rupee drafts
drawn by an Indian bank on its domestic branch. Allegedly with the connivance of StanChart, he
would get them cleared without making any declarations or taking any approvals and credit the
amount to a vostro account of StanChart London and Manchester. These banks would, in turn,
transfer the amount to a beneficiary of the same name in the UK.
A vostro account is the local currency account held by a local bank for a foreign one. Such
accounts are used for inter-bank transfers, and money transfers to non-residents need RBI’s nod.
ED has charged that the bank and its then CEO violated these rules.
A senior broker, on condition of anonymity, said that as a matter of principle, the company should
publish all pending legislation and leave the question of materiality to investors’ judgement.
“By choosing to ignore pending legislations, they are setting a bad example for the companies
coming to list such instruments in future,” he said.
n.subramanian@livemint.com
PANAJI: Opposition leader Manohar Parrikar on Thursday said he would write to Prime
Minister Manmohan Singh, fearing that money from a multi-crore excise scam linking Goa with
Indian border states is being used to fund terrorist activities.
Parrikar has also alleged that the state excise department has been issuing permits to companies
furnishing bogus addresses.
· Incidentally, the state government's reply that the state finance secretary is
investigating earlier allegations made by Parrikar on the excise scam has not satisfied the
opposition leader, who has demanded that the matter be immediately handed over to the Central
Bureau of Investigation (CBI).
Raising the matter during question hour, Parrikar said that illicit alcohol consignments worth crores
of rupees are being sent to border states in the north and north-east of India.
"Money from this scam is being used to fund terror networks. The excise departments from other
states such as Punjab, Rajasthan and the north eastern states are involved," he said. The
opposition leader also reminded the House that he had first made these allegations in the last
assembly session.
"I believe the prime minister is an upright person and I will write to him to probe into this," Parrikar
said. Chief minister Digambar Kamat, however, did not commit to a criminal investigation into the
scam.
"The finance secretary is currently conducting an inquiry into the matter," he told the House.
Parrikar retorted: "The finance secretary does not have powers to conduct such an inquiry. We
have to verify the signature of the superintendent of excise on the order, which the finance
secretary will not be able to do. He cannot go to Punjab and Rajasthan to investigate the matter."
"The only thing that needs to be investigated is who made the payment for the 1.04 lakh litres of
alcohol that was imported in September. Trace the source of payment and you will find out who the
culprit is," Parrikar said.
Mumbai / Pune: The reluctance of a top Swiss bank to help Indian investigators is slowing the
unravelling of an intricate multinational trail of money transfers—across Switzerland, New York, the
British Virgin Islands and Pune—between an Indian horse owner and a fugitive Saudi arms dealer,
according to officials in the Enforcement Directorate, the government body that investigates
economic crimes.
A top official in the Enforcement Directorate (ED) who did not wish to be identified confirmed on
Friday that the agency’s officials, in December 2007, had advised the Indian government not to
clear a Rs467 crore plan by UBS (United Bank of Switzerland) AG, the world’s biggest wealth
management company, to buy the Indian mutual fund business of Standard Chartered Bank
because the Swiss bank had not helped track international money transfers of Pune horse owner
Hassan Ali Khan.
Investigators from the ED, who recently claim to have found $8 billion in the Swiss bank accounts
of Hasan Ali Khan, say they now have evidence of a $300 million transfer to him (via a Chase
Manhattan bank account in New York) from billionaire Saudi arms dealer Adnan Khashoggi, whose
arms supplies to Tamil terrorists, the LTTE, were revealed during an investigation into the 1991
assassination of Rajiv Gandhi.
alt="Home turf: Hassan Ali Khan (second from right, in
safari suit) with wife Rheema (second from left) and father-in-law Abbas Ali Khan (fourth from right). "
title="Home turf: Hassan Ali Khan (second from right, in safari suit) with wife Rheema (second from left)
and father-in-law Abbas Ali Khan (fourth from right). " v:shapes="_x0000_s1026">Home turf: Hassan Ali
Khan (second from right, in safari suit) with wife Rheema (second from left) and father-in-law Abbas
Ali Khan (fourth from right).
As the Bombay high court hears an Enforcement Directorate plea not to return passports to Khan
and his wife Rheema, theHindustan Timeshas previewed a secret ED report that reveals the
agency’s attempts to find the links between Khan and Khashoggi.
As evidence the report quotes a notation, “funds from weapon sales”, made by UBS AG, a top-tier
investment banking and securities firm, after it froze an account belonging to Hassan Ali Khan, the
Pune horse owner, following the $300 million transfer to him—it isn’t clear when— from Khashoggi.
“I would not like to talk about this,” said UBS India managing director and chairperson Manisha
Girotra, referring all questions to the bank’s spokesperson.
“As a truly global entity, our policy on such issues is to comply with the laws and regulations in
each host country, while at the same time, complying with the banking laws in Switzerland,” the
UBS spokesperson said in an email. The spokesperson declined to comment specifically on the
arms sale notation.
The government has told the Bombay high court that the Khans are “virtually absconding” and if
they are allowed to leave India, investigations could collapse. Khan’s counsel, Milind Sathe, said
his client “regularly appeared before the Directorate”. Asked where Khan was, his main lawyer,
Mugdha Jadhav, said: “Can’t tell you, sorry.”
At Pune race course, HT found Hassan Ali Khan’s father-in-law, Abbas Ali Khan, who said his son-
in-law was “not well” and in Mumbai. He dismissed all allegations.
Hassan Ali Khan has three Indian passports—issued from Pune, Patna and Mumbai; he also applied
for passports from Guwahati and Chandigarh— and he and his wife have applied to Switzerland for
citizenship, another ED official who did not wish to be identified said. Passport authorities in those
three cities are now trying to find out how three passports were issued to Khan.
Kashoggi now lives a quiet life in the principality of Monaco. There is a British warrant out for his
arrest.
Another top official at ED who also did not wish to be identified said Kashoggi’s $300-million
transfer was “only the tip of the iceberg” and that the agency was trying to connect the dots in the
global trail, which also includes evidence of another $290 million in two “fictitious companies”
created by Hassan Ali Khan and a friend in the British Virgin Islands in the Caribbean. All the
money transfers are recorded in a laptop seized in January 2007 from Hassan Ali Khan’s house in
Pune and while investigators believe this is laundered money, there is no direct evidence. They
would also need corroboratory evidence to establish that these transfers have anything to do with
terror networks.
“These are all false allegations,” said Sathe. Asked about the $300 million transfer from Khashoggi,
he said: “When the Enforcement Directorate questions us, we shall give a reply.”
The ED official, who confirmed the agency’s involvement in spiking UBS’ deal with Standard
Chartered, said the Swiss bank had told Indian investigators to get a letter rogatory, a formal
request from an Indian court to a Swiss court. This is a complicated process and would have
needed to be routed through the ministry of external affairs, and it would have involved finding and
presenting clear evidence of Hassan Ali’s links to terror.
It now seems apparent that UBS’ stand in the ongoing investigation led to the collapse of its deal
with Standard Chartered Bank.
In a December report, Mint said that the Reserve Bank, India’s banking regulator, would not
approve the deal because of possible money laundering through the Swiss bank involving certain
transactions of Khan. On Friday, RBI declined to comment. “We are a civil body,” a spokesperson
said. “Whenever we find violations, issued to be investigated, we hand over the information to the
Enforcement Directorate. We have not issued any comments on the issue of UBS.”
In December, Standard Chartered, the parent of Standard Chartered Bank in India, sent a notice to
stock exchanges in London and Hong Kong, where it is listed, saying it would not proceed with the
deal, without giving a reason.(Hindustan Times)
An age old saying – AS THE KING SO DOES THE SUBJECTS. In india various
financial scams, crimes & it's cover-ups have taken place amounting to
billions of billions of dollars have taken place, made possible , just
due to the involvement of the king – the netas & government officials
themselves in the shameful act – the crime.
The tax officials are utterly corrupt, the wards of these officials
spend double their pappa's salary just during
weekends. Now, realise their financial might. These ill-gotten wealth
is destabilising our economy & might have even found it's way into the
hands of underworld, terorrists. INDIA WILL BE DEFEATED FROM
CRIMINAL FORCES WITHIN LIKE THIS NOT FROM THE EXTERNAL FORCES.
2. to make public the NPAs, losses & monies under litigation by both
private & public sector banks annually.
It is a cock & bull story of C.B.I, that all alone a single security
guard stole the booty. There must be a crime syndicate. The C.B.I
officers themselves must be subjected to polygraph, brain mapping
tests to know why they are lying , to cover-up whom? The C.B.I has
not answered previous questions raised by us. The C.B.I must answer
the following questions :
Dear sir,
SATYAM CO FRAUD - ARE YOU SINCERELY READY TO CATCH TAX THEIVES , CORPORATE
CRIMINALS ? - AN APPEAL TO UNION FINANCE MINISTER & KARNATAKA STATE
FINANCE MINISTER
MEGA FRAUD BY GOVERNMENT OF INDIA – Rs 85 000 crore tax arrears waiver + non
performing assets of banks to the tune of Rs. 200 000 crore
- An appeal to Honourable Supreme Court of India
Just see how the GOI gave export incentive of Rs.1800 crore to
reliance petroleum although it didn't even export a barrel. Reliance
infocom & tata teleservices were CDMA mobile service providers & have
paid license fee of few crores only equal to landline fees without any
competitive bidding . They were supposed to provide mobile service to
operate like fixed phones within a radius of 40k.m. however they were
providing service like mobile service from one state to another like
GSM mobile service providers. By this act of RIC & TTSL , the GSM
providers who have paid thousands of license fee in competitive
bidding were economically hurt , the dispute went to court. The court
was on the verge of pronouncing it's verdict awarding damages worth Rs.
18000 crore to GSM players & Rs. 3000 crore of license fees with
penalty to GOI. The government announced a unified telecom license
regime with retrospective effect. Thereby, the GOI lost thousands of
crores of rupees & the share holders of GSM players lost thousands of
crores. Onceagain the RIC was charged by PSU bsnl THAT RELIANCE IS RE-
ROUTING INTERNATIONAL CALLS AS LOCAL CALLS & SWINDLING THE GOI. This
time too, GOI bailed it out. during the dispute between ambani
brothers the younger ambani mr. Anil ambani director of reliance
himself has stated that for the favours received from the GOI , the
company gifted some shares to then IT & COMMUNICATIONS MINISTER mr.
Pramod mahajan.
Black money stashed away in foreign banks is not just a case of tax evasion, it is “mind- boggling
crime” amounting to “theft and plunder of national wealth’’, the Supreme Court said on Wednesday.
In a frank message to the Union government, the court wanted it to realise the gravity of the issue.
“We are talking about mind-boggling crime. We are not on the niceties of various treaties,’’ a bench
of justices B Sudershan Reddy and SS Nijjar told solicitor-general Gopal Subramanium.
Earlier, the government had contended that money in foreign banks was a case of tax evasion and
it cannot make public the names of Indian account holders.
“The authorities have to go on the basis of mutual agreement with various countries where the
money is stashed,’’ Subramium said.
“This is the problem worrying us. It is not only about tax evasion and has something more,’’ the
bench said after it was pointed out that the source of the money could be narcotics, terror fund or
arms dealing.
The court was hearing a petition filed by noted criminal lawyer Ram Jethmalani and some retired
bureaucrats and police officers.
Standard Chartered tries to cover up its messy past, but SEBI is in a slumber
Standard Chartered Bank’s draft red herring prospectus to raise $500 million-$700 million through the
first-ever issue of Indian Depository Receipts (IDRs) has completely blanked out at least 15 litigations
pending against it in connection with the securities scam of 1992 and a foreign exchange scandal involving
the misuse of its vostro account, also in the 1990s.
The prospectus has reportedly been cleared by the Securities and Exchange Board of India (SEBI), which
is fully aware that most litigations pertaining to the 1992 scam are still dragging their way through the Indian
judicial system. It is shocking that the Bank has attempted to avoid disclosure, given that the Bank's deep
involvement in the scam is widely known in India and the IDRs are being sold to Indian investors. What is
worse, when asked about the failure to disclose litigation pending against the Bank, SEBI has chosen to not
to respond to the emails marked to the entire top brass of the Bank.
On checking with the Bank, Arijit De, head of external communications, has this to say: “With reference to
your email to Neeraj Swaroop, our response is as below: The IDRs represent the shares of Standard
Chartered PLC, UK , the ultimate parent company of Standard Chartered Bank, India. In accordance with
the disclosure requirements under SEBI Regulations, IDR Rules, other applicable laws and international
practice, SC PLC has made appropriate disclosures of all material issues in the draft offer document filed
with SEBI. We have nothing further to add beyond what is disclosed in the DRHP.”
However, a simple reading of page 414 of its draft red herring prospectus suggests otherwise. It says: “As
of the date of this Draft Red Herring Prospectus, neither the Company, any member of the Group, any
Director, or any material associate of the Company (emphasis ours) are involved in any material
governmental, legal or arbitration proceedings or litigation and the Company is not aware of any pending or
threatened material governmental, legal or arbitration proceedings or litigation relating to the Company,
any member of the Group, any Director or any material associate which, in either case, may have a
significant effect on the performance of the Group, and there are no liabilities or defaults (including arrears
and potential liabilities) in relation to such material proceedings or litigation which would be required to be
disclosed under the SEBI Regulations.”
Moreover, the cases filed by the Enforcement Directorate and in the Special Court do not all pertain to the
Indian operations (the Bank's Indian operation itself is significantly large and important, especially after the
impact of the global financial crisis). In fact, many of them specifically name a former chairman of the Bank,
Rodney Galpin.
Among the cases that we have information about include some in the Special Court set up to try the
securities scam related offences (MA 365/2003 – SCB v/s the Custodian & others; Suit 45 of 1995 SCB v/s
Andhra Bank; Suit No 6 of 1994 SCB v/s Andhra Bank and Suit No 32 of SCB v/s Andhra Bank). Then
there are at least half a dozen cases filed by the Enforcement Directorate, many of them in 2002. We have
sent a list of all these cases to SEBI, but have no response from the regulator.
Are these cases serious enough to make a difference to the Bank's global operations and performance?
Probably not. Also, many Indian companies have successfully raised funds, even after disclosing that the
main promoters were accused of murder or worse. The issue is the Bank's lack of transparency, while
selling a financial instrument to Indian investors.
What is worse, the failure to insist on this disclosure reflects even more badly on the market watchdog. In
its very first IDR clearance, SEBI has shown that it is probably overawed with the international bank's plans
to raise funds in India or its fat, 801-page offer document. Either way, it is not insisting on the same
transparency and disclosure standards that it expects from Indian companies, which should be a matter of
serious concern, given that global banks have not covered themselves in glory in the lead-up to the
financial crisis of 2008. — Sucheta Dalal
Anand Adhikari
Hidden-camera videos of the country's three leading private banks' officials allegedly advising customers
on money-laundering recently kicked up a storm. Heads have started to roll at the junior levels in these
banks - ICICI, HDFC and Axis. But punishing wrongdoers is unlikely to stem the irregularities. A
commenter on Cobrapost.com, the Delhi-based website which conducted the sting, hit the nail on the head.
He said the problem was not just these three banks - it was that the entire system was riddled with
loopholes. "It's a good opportunity for the regulators to plug these loopholes," he wrote.
He pointed to the multiplicity of acceptable identity documents - for instance, the PAN (permanent account
number) card, passport and Aadhaar unique identification (UID) number - and the fact that none of them
are interlinked. "It's a real pity for a country which produces some of the best IT talents in the world," he
added. Contrast India with the United States, where social security numbers are in place since 1935.
There are numerous problems at multiple levels - the industry regulator, the government, and the banks
themselves. At the level of the bank, the core issue is the approach to banking, as banks are caught up in
an aggressive sales culture. The ones named in Cobrapost's allegations have said they do business
ethically. However, all three declined to speak to Business Today until they had investigated the matter
fully.
At the level of the regulator - the Reserve Bank of India (RBI) - there is an urgent need to improve the
frequency and quality of inspection. More importantly, there is a need to overhaul Know Your Customer
(KYC) norms for financial intermediaries such as banks, non-banking financial companies (NBFCs),
insurers and mutual funds.
And at the government level, there is a need to speed up Aadhaar - the national unique identification (UID)
number project - as it would eliminate the multiplicity of documents.
The central bank's KYC guidelines require banks to collect three documents - photographs, identity proof,
and address proof - from customers before they can open an account or get a locker. If a customer has no
UID number, the bank has no option but to accept documents such as voter ID, electricity bill, passport, or
PAN card.
"The root cause of many of the problems today is the multiplicity of enforcement agencies, array of
regulations and variety of documents for the identification of a single person," says Pavan Kumar Vijay,
Managing Director of Corporate Professional Group, a corporate advisory firm.
The Cobrapost videos show bankers asking for easily available KYC documents, and, in some cases,
even advising customers not to submit a PAN card so they can stay off the tax radar. Bankers say some
customers get away with submitting a lease agreement and rent receipts as address proof. "These are the
most suspect cases, where the bank should do a ground check or periodically re-check whether the
customer still has the same residence or job," says the chairman of a public sector bank.
Some banks accept a company ID card as proof of identity, and a letter from an employer as residence
proof. That is in line with RBI guidelines, but banks are also required to update the customer data from time
to time. But many bankers say these checks get short shrift, as the bank is focused on attracting new
customers.
"The problem is not with the KYC, but its implementation," says M.D. Mallya, who recently retired as
Chairman of the state-owned Bank of Baroda. He may be right, as the genuineness of even crucial
government-issued documents is not always above quest ion.
According to the Comptroller and Auditor General (CAG), there were close to 96 million PAN cards as of
March 2010, but only 34 million tax returns were filed.
The PAN card is one of the most abused documents. The CAG noted in 2010/11 that big tax evaders
spread out their money by opening multiple bank accounts with fake PAN cards. Tackling PAN card fraud is
not enough, though. The Income Tax Act allows those who claim not to have a PAN card to fill out Form 60
and say they have no taxable income, or Form 61 to say their income is from agriculture. A Cobrapost
video shows a banker allegedly advising an undercover re-porter to fill out Form 60 to avoid detection by
tax authorities.
So just by filing Form 60 and without submitting a PAN card, a tax evader can deposit cash of over Rs
50,000 in a bank or post office, no questions asked. According to banking industry sources, the RBI and the
finance ministry are investigating cases in which banks have not reported transactions backed by Form 60
or 61 to the government's Financial Intelligence Unit (FIU).
Eventually, Aadhaar will resolve the KYC issue. But until that happens, some argue, it is impossible to
require just one or a few documents as acceptable proof of identity and residence. "There is the issue of
financial inclusion, or people having different sets of documents," says a banker from one of three banks
named by Cobrapost. He adds that some people genuinely do not have taxable income, many do not have
a passport, and for some, the only address proof is an employer's letter.
"Banking is a serious business where service, compliance and safety are core elements," says A.K.
Khandelwal, former Bank of Baroda chairman and author of the book Dare to Lead. But private banks have
a strong culture of cross-selling their subsidiaries' products, and increasing the number of savings and cur
rent account deposits.
"Nurturing an ethics-based corporate culture, with provisions to claw back performance-based incentives...
can help correct the current approach of mobilising fresh business by any means," adds Khandelwal.
The Cobrapost expose shows bankers allegedly marketing insurance products to convert black money into
white. Insurance products are profitable, because the bank earns a high first-year commission on the
premium. The bank manager could benefit, too: many banks and insurers offer rewards for high sales, such
as foreign junkets.
Insurance products are easy to sell. The bank's KYC requirements are sufficient proof for investing any
amount in an insurance scheme. A PAN card is not necessary, even though some single-premium policy
amounts are as high as Rs 30 lakh. Many banks sell policies that mature after seven years. At that point,
nobody can question the source of the money, because income-tax laws do not require banks to keep
records for more than seven years.
Cobrapost has also alleged that the three banks have been laundering money. Money-laundering means
the transfer of money from illegal sources - drugs and arms trafficking, terrorism, extortion and theft - into
the financial system through fictitious bank accounts and hawala transactions. Cobrapost alleges that the
banks suggested opening accounts in the name of the applicant's spouse, cousin, or friend, which is not
money-laundering in the strict sense.
By law, bank employees have the authority to ask a customer for details of transactions that are not
consistent with the customer's profile. The onus is on the bank to ensure that the account is not being used
to launder money. Insurance companies, too, are required to report cash transactions of over Rs 10 lakh a
month to the FIU.
Following Cobrapost's allegations, the RBI and the Insurance Regulatory Development Authority are
investigating KYC violations and the background of customers who have put large sums into singlepremium
insurance plans. ICICI Bank's life insurance arm has launched a probe, too.
Some in the industry say the FIU is seeking details of policy holders with high-value single-premium
policies. The RBI, too, is investigating high-value transactions. "If there is a series of cash transactions
valued at Rs 10 lakh or more in a month, they need to be reported under AML," says a public-sector banker
on condition of anonymity. AML refers to anti-money laundering rules.
Banks are required to report demand drafts, mail transfers and travellers' cheques worth Rs 50,000 and
more to the RBI. A source in the central bank says: "The investigation will also look at the extent of
complacency shown by the top management of these banks."
Some bankers argue that it would be unfair to blame the top management of the three private banks that
Cobrapost has named - the country's largest in terms of market capitalisation. ICICI and HDFC have nearly
3,000 branches each, and Axis Bank has close to 2,000. The Cobrapost investigation covered some 50
branches. All three banks have comprehensive codes of conduct for employees. For example, ICICI Bank,
with a balance sheet of Rs 5 lakh crore, has a detailed manual outlining due diligence for accepting a
customer.
A day after Cobrapost published its investigation, ICICI and HDFC banks appointed audit firm Deloitte
Touche Tohmatsu to carry out an independent forensic enquiry in addition to their own internal
investigations into Cobrapost's allegations. The stock market has reacted, too: the banks' stocks have
fallen more than the BSE Sensex.
"The RBI may also put the brakes on new branch licences to some banks," says Kashyap Jhaveri, analyst
at Emkay Global Financial Services, in a recent report. An analyst who manages the money of foreign
institutional investors says the probe could expand to other banks. A Goldman Sachs report notes: "These
developments, if proven true, could potentially lead to slower growth across private banks' deposits and
business."
The RBI's deadline for a scrutiny of the head office and branches of the three private banks is March 31.
The central bank is also studying whether the banks' gold coins and wealth management products could be
potential ways to stash black money. RBI Deputy Governor K.C. Chakrabarty has downplayed the expose,
saying: "If we find there is a need to further tighten any guidelines, we will do that."
Some in the industry say that Finance Minister Chidambaram's estimate that 46,800 people have taxable
income of over Rs 1 crore is baffling, considering the growth of banks' wealth management services and
the portfolio management services of mutual funds and brokerages.
In addition to being the government's debt manager, the RBI manages the country's monetary policy, and
supervise and regulate banks. "There is a strong case of hiving off the banking supervision from RBI,"
suggests a banker.
The number of bank branches in the country has grown to 80,000. The RBI has some 20,000 employees,
of which one-third are maintenance and technical staff. Some bankers question, however, whether adding
layers of people will improve the situation.
Former RBI governor Bimal Jalan says: "We should learn from the current experience and see how we can
improve our ethical governance system in implementing the banking guidelines."
There is also the issue of black money - estimated at Rs 10-15 lakh crore - being generated in the first
place. It is common knowledge that much of it is stashed in other countries. The Cobrapost sting has
highlighted that banks, which are highly regulated, seem to be doing little to bring tax evaders to book at
home. It is anyone's guess what goes on in more loosely regulated financial intermediaries such as co-
operative banks, NBFCs and credit societies.