Prime Minister Narendra Modi: Here is the biggest ever revelation on black money; Khullamkhulla leak on fountainheads of corruption

Our beloved Prime Minister Shri Narendra Modi, Khullamkhulla is proudly revealing here to the nation and you the real sources of black money generation and its beneficiaries. We are doing it in national interest and out of our heartfelt desire to see your nationalist government succeed.

More than a billion Indians stand in solidarity with you today. They share your nationalist mission and vision and are ready to undergo hardships for it, suffering business and man-hour losses. They seem to have tremendous and nearly total faith in you. 

You will be surprised to learn that while the gigantic and unprecedented operation of  ‘demonetisation’ of old currency notes and their replacement is underway, the giant serpent of corruption is not a wee bit affected by it. That serpent is not standing in queue to exchange notes. It has found creative means to beat the queue. That’s its inherent nature. The serpent of corruption abhors queues.

Why are we, at Khullamkhulla, making these revelations, at this stage? Because we wish you well our beloved Prime Minister and would like you to go on serving this nation. You are as hard working as most of us. We cannot see you falter or fail.

We also want you to advise Arun Jaitly to restrain his IT hounds who may begin issuing notices to hard-working petty traders, small businessmen, artisans, street vendors, beggars, lay citizens, farmers, retirees, and others who deposited their emergency cash in banks during the demonetization drive. These are not the corrupt people. They are in fact the victims of corruption. The little they may have saved over years in taxes, 2, 3, 4 or even 10 lakhs, is inconsequential. They were not evading taxes, they were saving themselves from the tyranny of the corrupt government machinery and various fountainheads of corruption this Khullamkhulla article intends to expose.

So, let us now begin with revelations on the fountainheads of black money and corruption that affect lay citizens of India and act as albatrosses around the nation’s neck. 

1: The Indian Court System – The story of a court bailiff

Just a few days ago, a court-appointed bailiff in Delhi, in order to perform his ordained duty of serving a court order of eviction to an illegal occupant of a property, demanded ‘facilitation fees’ of Rs.1,00,000 (one lakh) from a landlord who had fought the case that went up to the Supreme Court. It was a straightforward case of eviction that could have been decided in one hearing. So, to avoid further delay, the landlord agreed to pay to the bailiff, who finally settled for a figure of Rs.50,000. The landlord said since he didn’t deal in cash, he would make the payment by cheque. The bailiff baulked at the idea. The lawyer of the landlord acted as the middleman and it was agreed upon that the landlord would pay the lawyer by cheque who in turn would pay the bailiff the freshly printed and minted cash. Even otherwise, the landlord could not have shown this expense in his IT return as the ITRs don’t allow such deductions.

Please tell the Chief Justice of India Shri T. S. Thakur, who misses no opportunity to embarrass you at various public forums that the Indian judicial system is one of the biggest sources of corruption in India and it affects common citizenry on day-to-day basis. You must also ask Arun Jaitly, your MOF and sundry other Supreme Court lawyers in your cabinet, if they are aware of it or not. If they express ignorance of this reality, they are simply lying and you should sack them immediately. If they know the reality, what have they done about it in the past two and a half years and ever since they have been in public life?

Please also ask Arun Jaitly how many IT notices have been sent to sundry court officers, and how many lawyers have been subjected to intense scrutiny of IT hounds? Ask Arun Jaitly if he has personally known cases of court officers, including judges, bailiffs, and clerks who collect bribes worth hundreds of crores every day while lawyers act as conduits in this gigantic black money enterprise.

If Jaitly is aware of this reality and has kept mum, he is complicit in this corrosive criminal enterprise. He is part of the insidious army of white ants that is eating away the vital energy of our nation. Ask him to reveal all those names and turn a witness and approver in this gargantuan crime against the nation.

2: Indian Tax Collection Machinery: Case 1 - A builder, his cash-on-hand and the Income Tax officer, Case 2 – A machinery manufacturer and his annual pay-out in bribes/extortion  

I had a conversation with a friend who informed me that builders and real estate developers were not much perturbed by the demonetization drive. At any given point of time, they show crores as cash-on-hand in their books of account. They have to. They have to pay bribes to a whole lot of people starting from ministers, babus, to others down the line. Surprisingly, our beloved Prime Minister, your MOF Arun Jaitly also shows large amounts as cash-on-hand in his books of account while preaching vociferously about a cashless economy.

Why are the builders not worried about demonetization drive? They know how the Indian tax collection machinery works. It has always been on their pay roll. They know in and out of ITOs, Income Tax Commissioners, and even the members of the appellate tribunals. They know how to fix them. They also have politicians and bankers as their business associates and will ultimately find ways to adjust their black money.

Some time back, I had a twitter interaction with the then MOS in the Ministry of Finance, Shri Jayant Sinha. He was one of the ministers who cared for social media (SM) feedback and did not use it merely for harmless PR exercises. He welcomed suggestions and even invited common people to send him specific cases related to his Ministry. He was like Sushma Swaraj and Suresh Prabhu who take twitter feedback and SOS messages very seriously. He was removed inexplicably. The new MOS Shri Arjun Ram Meghwal does not seem to care and of course a supercilious Arun Jaitly is off the reach of SM commoners.

Here is the screenshot and link to the interaction I had with Shri Sinha over how corrupt was the Income Tax Department. I made an assertion that nearly 90% IT officers were corrupt. Shri Sinha didn’t agree with that and then I did an instant twitter poll.

Out of 651 people who participated in the poll, 90% felt that nearly 90% IT officials were corrupt. This is the abject scenario. And we are talking about just one tax collection agency of the Central Government. There are others at state level as well.

I had a detailed discussion with a friend who runs a manufacturing industry with a turnover of 20 crores, and finds it tough to keep his bottom-line out of red. Though Nirmala Sitaraman may not agree with me, only the bravest can enter and stay in the small and medium-scale manufacturing sector. Over-regulation, corruption, rampant blackmailing by labor leaders, price competition from the Chinese, rising import and input costs, etc. are killing them. So, I sat down with him and listed out the amount of bribe he had to pay to buy peace with tax collectors, factory inspectors, and excise officials. It roughly came to about 25 to 30 lakhs per annum, a major portion of his annual profit.

The corruption machine makes more money than him. He does not want to pay this bribe and has to manipulate his books of account to adjust such outgoings. His unit is ISO-certified and he follows all the rules, yet if he does not shell this money out, he will be in big trouble. Inspectors and tax collectors will find some tiny rule in their thick rulebooks to harass the management. He received an IT notice some time back. His CA said they would fight the case as they were in the right. That was a big mistake. He could have ended the matter by paying a few thousand rupees in bribe but the stupid CA suggested an honest path and now after a decade he may have to pay a few lakhs to settle the matter.

Now, will the demonetization drive affect such deep-rooted corruption? I don’t think so. As it could not prevent the court bailiff from demanding the bribe, the factory inspector, the excise officials, and the Income Tax officials will continue to have their pound of flesh, now in brand new currency.

So, if you want to deal effectively with corruption and the black money menace, ask the team of honest officials around you that instead of sending notices to crores of ordinary people and creating mass disaffection, they should focus on the tax collection machinery itself and begin the process of sending notices, investigating, suspending, sacking, and arresting corrupt officers and employees of Income Tax, Excise, and various other government departments and tax collection agencies.

And as these corrupt officials make a beeline to jails, the nation will stand in unison and applaud you and give you standing ovations for your serious intent. It will become a willing and enthusiastic participant in your drive against corruption. No citizen in this country will mind being part of a just, fair, equitable and an easy-to-comprehend and follow taxation regime. What this nation of philosophers does not want is to keep books of account and being subjected to the tyranny of corrupt tax officials. 

I’m sure, our beloved Prime Minister, that this existential reality of India certainly won’t have escaped your notice in decades of your public life. I am also certain that all your Cabinet colleagues, many of whom are chartered accountants, know this reality. There are good people outside your Cabinet, and whose advice you have seemingly been taking quite seriously, people like S. Gurumurthy, who can provide you inputs on this as well. 

3: Top of the pyramid - Political, business & bureaucrat class: Untouchable hovering dogs, power elite, high-society pimps and fixers: Case of how Nehru-Gandhi family and its cronies made its billions

They are untouchables, beyond the reach of the laws of the land. Their crime is so manifest yet they don’t get IT notices. They are the de-facto rulers of our nation and they stay ensconced in their safe zones, pontificating piety and practicing impiety and deception. They are the good-looking ugly men and women -- incompetent, insensitive, devious and dubious. They misrule and destroy the destiny of our nation and people. They make us look hapless and hopeless. They are a bunch of mediocrities that suppress and suffocate the genius of our nation. They inspire youth to be as corrupt as them. They are truly the bane of our nation.

This is the class that creates and sustains the all-encompassing network of corruption and incompetence, populated by freeloading hounds, leeches, pimps, and parasites. The network penetrates deep down to the grass roots, affecting every citizen of our country in one way or another. It controls almost every government ministry through its surrogates and stooges, indulges in micro and macro-level sleaze, and drains the public exchequer to serve private interests. This is what the President Elect of the USA Donald Trump terms as the swamp. The apex court judges are part of this swamp too. 

Our beloved Prime Minister, you must be aware of its modus operandi. You must have seen it at close quarters. You may be aware of how the Nehru-Gandhi family made its billions by passing on Russian contracts to its crony capitalists who deposited hefty commissions in Nehru-Gandhi family foreign bank accounts. You know how the license and permit raj was used to make thousands of crores by this family and the people around it. I’m sure you are aware how the 2G Scam money made it to the coffers of this family and how the bankers close to the previous regime used people’s money to fund those doomed enterprises of the corrupt.

Let me also remind you that Sonia also prompted formation of the Special Investigating Team (SIT) on black money by the Supreme Court of India in big haste as you won the election. It became so apparent when Justice Lodha inducted Arijit Pasayat as its Vice-Chairman, a post specially created for him. Pasayat was the judge who did the bidding of the UPA regime and targeted Gujarat, your government and you. He nearly got you but thanks to an honest police officer like Raghavan, you came out of that attack without blemish. While the SIT on black money sat on various lists of foreign bank account holders, since May 2014 most of the money by Indians in overseas banks has moved out and gone to other sleaze money havens. This makes me conclude that SIT was essentially formed with the intent and purpose of protecting the Nehru-Gandhi family and the corrupt who were part of its power elite. Strangely, it’s the first instance where judges and not police officers are conducting criminal investigation.

This is merely to exemplify the nexus of politicians-bureaucrats-businessmen-judiciary-bankers-fixers-pimps and others in an organized and massive loot of the exchequer.

Demonetization and other campaigns against corruption will be total failures if the top of the corruption pyramid remains untouched in spite of the fact that we know how the power elite plays the system.

That’s your biggest task, to challenge the power elite and I don’t think you can take it up effectively with people like Arun Jaitly next to you. I’m sure you know Arun Jaitly’s modus operandi as well. He is part of the swamp too even if he does not directly partake in the loot. My experience of the Ministry of Information & Broadcasting under him confirmed to me that bureaucratic micro-corruption and cronyism flourished as much as ever and no attempt was made to dismantle the rotten and corrupt structure within the ministry during his tenure and even afterwards. In fact both the corrupt bureaucrats were rewarded, one got a five year extension and the other was made one of the CVCs by your own office. I was disappointed but still keep my faith in you in spite of some misgivings.  

Now, let me sum it up for you our beloved Prime Minister as to the groups and persons your investigators should identify and focus on in their post demonetization action plan: - 

  1. Indian Courts & its officers
  2. The Indian Tax Collection Agencies & its officers
  3. Politicians, bureaucrats (including civil and police), bankers, known fixers & surrogates, and business groups known for working the system to their advantage

Hard-working petty traders, small businessmen, salaried class, artisans, street vendors, beggars, lay citizens, farmers, retirees, and other commoners who deposited their emergency cash in banks during the demonetization drive should be left alone unless there is an exceptional case of misdemeanor. Moreover, none of them are running away. So, tell Arun Jaitly to keep his IT hounds at bay.  

All extra-ordinarily unusual movement of cash must be investigated. However, for the unusually high deposits in Jan Dhan Accounts during the demonetization period, random checks will give you a clue of what actually has been going on and if someone has used these accounts for money laundering purposes, it will not be a problem to trace them out. Don’t harass the poor,  catch the corrupt.

You need a lot of good men and women to lead the charge against the corrupt elite. They are not easy to find yet they exist if you can locate them. Don’t rely on retired taxmen without investigating their benami properties and their continuing relationship with fixers as tax consultants.

In case you need someone like this writer as part of such a team, he is available. He has been a swayamsevak from his early childhood and has seen the world and will be willing to dedicate himself to the noble cause namelessly without remuneration or any other expectation. 

Rajesh Kumar Singh

@khulkebolo @neelnabh

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