Prime Minister Narendra Modi’s government was unable to "bring back" black
money in the form of a physical cash transfer or direct recovery into
India's national treasury. This failure primarily stems from the legal
complexities of recovering foreign assets, strict international banking
privacy laws, and the fact that much of this money is already integrated
into the global financial system.
The recovery and transparency efforts faced several key hurdles:
- *No Automatic Retroactive Recovery:* Recovering money kept in foreign
accounts involves highly complex, time-consuming international litigation.
India cannot simply seize private funds without proving in court that the
money is illicit, and many bilateral tax treaties with Switzerland
historically prevented the retroactive disclosure of funds.
- *Strict Privacy Laws:* Switzerland’s historically strict banking
secrecy laws prohibited the disclosure of account holders' identities or
fund volumes without concrete legal evidence.
- *Global Asset Integration:* The funds in question are rarely sitting
as liquid cash. They are typically invested in companies, loans, or other
financial vehicles across multiple countries, making outright "recovery"
impossible without suing individual account holders through lengthy audits.
Instead of direct repatriation, the Modi administration pivoted toward a
different approach:
- *Automatic Exchange of Information (AEOI):* In 2016, India and
Switzerland signed an agreement to automatically share financial data,
successfully dismantling historical Swiss banking secrecy. Since 2019,
India has been receiving comprehensive details about the accounts and
financial assets held by Indian residents in Switzerland.
- *Domestic Tax Crackdown:* Rather than attempting to physically extract
deposits from Swiss institutions, the government utilized this transparent
data to investigate suspected tax evaders and penalize them locally
The Indian Prime Minister Narendra Modi, will be visiting Switzerland on
June 6. His trip comes when Switzerland is under great pressure to share
banking information, but a deal on sharing data with India will probably
have to wait.
Even before being elected prime minister in 2014, Modi saw the political
potential in raising the issue of untaxed income stashed abroad by Indians.
Barely three months after joining Twitter he initiated a nationwide poll on
bringing back black money (untaxed assets) from Switzerland.
However, Swiss banking secrecy and limitations of bilateral treaties have
frustrated his government’s efforts in delivering the promises. Questions
are being raised about his government’s commitment to punish financial
wrongdoers. Therefore Modi is under significant pressure to show something
for his Swiss stopover. However, this is unlikely to happen.
India has been looking into 782 names taken from a list of HSBC bank
clients given to foreign authorities by former employee, Hervé Falciani,
who worked at the bank’s Geneva branch. Despite pressure from India,
Switzerland had refused to compromise on its stance of rejecting requests
for banking information that are based on stolen bank data.
But Switzerland has shown signs of being willing to bend the rules a bit to
appease India. In October 2015, it reached an agreement with India to
“examine requests for which investigations have been carried out
independently from what the Swiss government considers as data obtained in
breach of Swiss law.”
The change in the Swiss stance towards Indian HSBC clients comes at a time
when it is under intense OECD scrutiny to respond to requests for
information. In March 2015, Switzerland was upgraded to Phase 2 of the
Organisation for Economic Cooperation and Development’s (OECD) tax
transparency review process, thanks to its efforts in complying with
international tax data sharing standards. Achieving this Global Standard
External link of tax compliance will help Switzerland be seen as taking
money laundering and corruption seriously and cement its position as a safe
place to do business.
It now faces the challenging task of scraping through Phase 2, where it
will assessed on its ability and willingness to respond to requests for tax
information from other countries. Beginning the latter half of this year, a
Peer Review Group (PRG) comprising 30 countries will evaluate Switzerland’s
performance over several months. India happens to be one of four
vice-chairs External link of the PRG and will likely wield considerable
influence, especially when it comes to the issue of stolen data.
“It is enough for two objections for Switzerland to stumble and India has a
very uncompromising stance,” said Jacques de Watteville, chief of the State
Secretariat for Financial Affairs in an interview External link published
in the Le Temps paper in 2015.
Refusal to entertain any information requests from India, even when they
are based on stolen data, could potentially cost the Swiss their chance to
clear Phase 2 and meet the OECD’s global standard on tackling tax evasion.
Its neighbour Luxembourg failed its Phase 2 assessment in 2013 and one of
the reasons given was its refusal to exchange information in cases where
stolen data was involved.
Thus the Swiss are hoping to appease India by revealing the identities and
bank details of certain Indian HSBC clients where the Indian authorities
have been able to provide other evidence in addition to the stolen HSBC
data. A compromise of this kind would mean that Switzerland is not
harangued by India over stolen data during its critical Phase 2 assessment.
It is also in India’s best interest to have the Swiss as signed up members
of the automatic exchange of information treaty as soon as possible. This
would discourage Indians stashing undeclared funds in Switzerland in the
future.
In December 2015, the Swiss parliament approved the AIE treaty that the
country had signed up to earlier. The green light for the agreement means
that Switzerland will have to commit to an annual exchange of all financial
information automatically on a reciprocal basis with all other
participating countries. The first exchange of information is expected to
take place in 2018.
However, the Swiss parliament will have to approve information sharing
under this AIE treaty with each country on an individual basis. So far,
Switzerland has signed agreements with the EU and nine other countries,
with parliament approving two of the deals – the European Union and
Australia. India is not yet one of them.
Modi, will no doubt be hoping to get India into this list as soon as
possible*. But this is a time-consuming process as each country deal has to
be approved by both houses of the Swiss parliament. It is unlikely that any
deal will be inked during this visit. *
----------------------------------------------------------------------
It is nearly impossible to find out the exact amount of black money
deposited in foreign countries since Indian agencies have no power or
access to relevant original documents of those counties . Since you don’t
have the reliable data, there is no point speculating over the figure.
Narendra Modi Government has, however, done its best to bring back black
money deposited in foreign countries to India. These steps include:-
Constitution of the Special Investigation Team (SIT) on Black Money under
Chairmanship and Vice-Chairmanship of two former Judges of Hon’ble Supreme
Court,
Enactment of a comprehensive law – ‘The Black Money (Undisclosed Foreign
Income and Assets) and Imposition of Tax Act, 2015’ to deal specifically
with black money stashed abroad,
Constitution of Multi-Agency Group (MAG) consisting of officers of Central
Board of Direct Taxes (CBDT), Reserve Bank of India (RBI), Enforcement
Directorate (ED) and Financial Intelligence Unit (FIU) for investigation of
revelations in Panama paper leaks,
Proactively engaging with foreign governments with a view to facilitating
and enhancing the exchange of information under Double Taxation Avoidance
Agreements (DTAAs)/Tax Information Exchange Agreements (TIEAs)/Multilateral
Conventions,
Proactively furthering global efforts to combat tax evasion/black money,
inter alia, by joining the Multilateral Competent Authority Agreement in
respect of Automatic Exchange of Information (AEOI) and having information
sharing arrangement with USA under its Foreign Account Tax Compliance Act
(FATCA),
Renegotiation of DTAAs with other countries to bring the Article on
Exchange of Information to International Standards and expanding India’s
treaty network by signing new DTAAs and TIEAs with many jurisdictions to
facilitate the exchange of information and to bring transparency,
Enabling attachment and confiscation of property equivalent in value held
within the country where the property/proceeds of crime is taken or held
outside the country by amending the Prevention of Money-laundering Act,
2002 through the Finance Act, 2015,
Enactment of the Benami Transactions (Prohibition) Amendment Act, 2016 to
amend the Benami Transactions (Prohibition) Act, 1988 with a view to, inter
alia, enabling confiscation of Benami property and prosecution of benamidar
and the beneficial owner,
Initiation of the information technology based ‘Project Insight’ for
strengthening the non-intrusive, information driven approach for improving
tax compliance, and
Launching of ‘Operation Clean Money’ on 31st January 2017 for collection,
collation and analysis of information on cash transactions, extensive use
of information technology and data analytics tools for identification of
high risk cases, expeditious e-verification of suspect cases and
enforcement actions in appropriate cases, which include searches, surveys,
enquiries, assessment of income, levy of taxes, penalties, etc. and filing
of prosecution complaints in criminal courts, wherever applicable.
Hence it cannot be denied that all-around sincere efforts have been taken
by the Modi government for tackling the black money issue and the results
will come in time, not over-night as is being expected by many, since many
legal issues involved with it are to be addressed suitably.
---------------------------------------------------------------------
THUS, THE NEUTRAL NATIONAL POLICY CANNOT BE ENCOUNTERED OR ENFORCED
WITHOUT SECRET DATA SOURCES BEING PRESENTED, ENSNARING THE LIVES DANGEROUS.
SWISS PARLIAMENT DUE TO FALL OF FINANCIAL STRENGTH , KEEP POSTPONING BOTH
HOUSES APPROVAL. BUT HE LAWS OF INDIA PASSED BY MODI GOVT ,BLOCKS ENTRY OF
SWISS MONEY NOT ONLY OF GANDHIS BUT ALSO OF MANY CITIZENS, SO THAT, MANY
INDIANS ARE ALWAYS DAUNTING IN AND OUT OF INDIA TO SPEND; AND THAT IS WHY
RAHUL IS SEEN JAUNTING AROUND ABROAD ALWAYS. THE FALL OF CONG WAS DUE TO
NON- SUPPLY OF MONEY TO WIN THE ELECTIONS.
-------------------------------------------------------------------------------
K RAJARAM IRS 12626
On Thu, 11 Jun 2026 at 21:01, Suryanarayana Ambadipudi <
[email protected]> wrote:
> MKG and JLN were both Hindu traitors more than IG and RG.
> The less said about Sonia and Manmohan
> Every true Hindu is proud of MoSha .
>
>
> *A.SURYANARAYANA*
> *The less you speak,the more you are listened to*
>
> On Thu, 11 Jun 2026 at 4:36 PM, N Sekar <[email protected]> wrote:
>
>> Travesty of truth to call it a prison.
>>
>> He and M K Gandhi were confined yes, but in luxury, unlike real
>> freedom.fighters like Verr Savarkar who were subjected to unspeakable
>> torture in Andamans. And people like V O Chidamabaram Pollai Ayya who was
>> made to pull Chekku, a feat done by bulls or driven by motors.
>>
>> Yet, only 2 fellows are made our to be great snd people like Verr
>> Savarkar are ridiculed and insulted.
>>
>> An ungrateful Nation, with deliberately misplaced praise.
>>
>> N Sekar
>>
>> Yahoo Mail: Search, Organize, Conquer
>> <https://mail.onelink.me/107872968?pid=nativeplacement&c=US_Acquisition_YMktg_315_SearchOrgConquer_EmailSignature&af_sub1=Acquisition&af_sub2=US_YMktg&af_sub3=&af_sub4=100002039&af_sub5=C01_Email_Static_&af_ios_store_cpp=0c38e4b0-a27e-40f9-a211-f4e2de32ab91&af_android_url=https://play.google.com/store/apps/details?id=com.yahoo.mobile.client.android.mail&listing=search_organize_conquer>
>>
>> On Thu, Jun 11, 2026 at 2:58 PM, Indrajit Ghose
>> <[email protected]> wrote:
>> Fyi.
>>
>>
>>
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