Centre’s fight against black money yet to see breakthrough

The Centre’s fight against black money, though wellintentioned, seems to be lacking teeth as only 112 persons have been convicted under the Income Tax Act in the last three financial years, taking the overall conviction rate to a meagre 1.77%.

The Income Tax Depart- ment, which is responsible for taking action against black money, does it through searches, surveys, enquiries, assessment of income and filing of prosecution of complaints before criminal courts. However, the progress has been far from satisfactory as far as conviction rate is concerned.

According to the government’s own admission, only 552 cases were filed in 201516. This number increased to 1,252 in 2016-17 and 4,527 in 2017-18. However, only 28 persons (5%) were convicted in 2015-16, which came further down to 16 (1.28%) in 2016-17. In 2017-18, however, 68 persons (1.5%) were convicted. In these three years, the authorities could seize assets worth only Rs 3,179 crore.

The demonetisation move of 2016, which was also intended to curb the menace of black money, was misused by many. However, agencies failed to take action against the offenders. While the Enforcement Directorate (ED) filed 37 cases in demonetisation related irregularities, the CBI registered only 35 cases against those who misused demonetisation.

According to government figures, during the period between November 2016 and March 2017, the Income Tax Department conducted searches in 900 groups, involved in various activities and businesses, leading to a seizure of Rs 900 crore, including a cash seizure of Rs 636 crore.

Sources said a dedicated campaign was launched to