GOVERNMENT ADMITTED FAILURE OF CURRENCY DEMONETISATION – NEW SCHEME ANNOUNCED

The new Pradhan Mantri Garib Kalyan Deposit Scheme, 2016 which comes into force from the 17th day of December, 2016 is literally an admission of the Government of its failure on the Currency Demonetisation. The Scheme will be valid till 31st day of March, 2017. Definitely it is an attempt to save those VVIPs who hoard black money even now. How many such Black Money Schemes are yet to come? Definitely many more “ACHE DIN” schemes are yet to come.

(Please refer Chapter 4 of my book “A FRAUD IN THE INDIAN CONSTITUTION”. For details, go to link:- https://www.facebook.com/afraudintheindianconstitution/ ). 

Under the scheme, deposit is to be made in the form of cash or draft or cheque or by electronic transfer and shall be drawn in favour of the authorised bank accepting such deposit.  But there is no mention whether the term “CASH” include the recently demonetised currencies which are accepted by the Banks till 31/12/2016. If it includes, clearly it is a ‘scam scheme’ tailor made for the biggie scam masters to offload their black money without making a queue under the scorching sun as the many ordinary poor people stood in the queue to change their meagre amount demonetised because of these black money masters. Even if “CASH” does not include demonetised currency, still it is a bonanza for the black money masters. They could easily transfer their white money into these accounts and replace it with the declared black money under the scheme. And the general public will become fools as usual – standing in queue below the fiery sun for hours and days.

Main part of the scheme is given below:-

Notification dated the December 16, 2016: 

1.  Short title, commencement and application.— (1) This Scheme may be called the Pradhan Mantri Garib Kalyan Deposit Scheme, 2016.      

(2) It shall come into force from the 17th day of December, 2016 and shall be valid till 31st day of March, 2017.  

    (3) This Scheme shall be applicable to every declarant under the Taxation and Investment Regime for Pradhan Mantri Garib Kalyan Yojana, 2016. 

2. Eligibility for Deposits.— The deposit under this Scheme shall be made by any person who intends to declare undisclosed income under sub-section (1) of section 199C of the Taxation and Investment Regime for Pradhan Mantri Garib Kalyan Yojana, 2016. 

3.   Form of the deposits.— (1) The deposits shall be held at the credit of the declarant in Bonds Ledger Account   maintained with Reserve Bank of India.   

 (2) A certificate of holding the deposit shall be issued to declarant in Form I. 

            (3)The Reserve Bank of India shall transfer the deposit received under this Scheme into the designated Reserve Fund in the Public account of the Government of India. 

4.     Subscription and Mode of investment in the Bonds Ledger Account.— (1) The deposits shall be accepted at all the authorised banks notified by Government of India. 

              (2)   The deposits shall be made in multiples of rupees one hundred.  

 (3)  The deposit under sub-section (1) of section 199F by a declarant shall not be less than twenty-five per cent. of the undisclosed income to be declared under sub-section (1) of section 199C of the Act.

 (4) The entire deposit to be made under sub-section (1) of section 199F under this Scheme shall be made, in a single payment, before filing declaration under sub-section (1) of section 199C.

 (5) The deposit shall be made in the form of cash or draft or cheque or by electronic transfer and shall be drawn in favour of the authorised bank accepting such deposit. 

5. Effective date of deposit.— The effective date of opening of the Bonds Ledger Account shall be the date of tender of cash or the date of realisation of draft or cheque or transfer through electronic transfer. ..................................