The search for black money stashed abroad for the Modi government is a chimera which looks is going to remain unfulfilled during its current term. The revelations of offshore accounts have opened another front in the flow of black money through the global financial system breeding crime and striping national treasuries. Much of that reflects “new money” from China and other developing nations whose citizens to an extent have legitimate fears about political stability and the rule of law. First the war on drugs and then, more recently, the war on terror led to meaningful political pressure on countries around the world to alter their banking practices so as to reduce global money laundering. More recently, the European Union has successfully pressured Switzerland to change its laws to make it easier for the EU to catch people engaged in criminal tax evasion. Though up till now not much has come to the front Modi government will have tough time explaining the figuring of some of the Padma awardees in the papers, which could be quite an embarrassment for the government. A Supreme Court monitored SIT is already looking into the issue of black money. On 24th May, 2014 the first Cabinet meeting of the Narendra Modi government constituted the SIT to dig out black money which was directed to be set by the Supreme Court. Tax avoidance is an inevitable feature of any tax system, but the reason this particular form of avoidance grows and grows without bounds is that powerful politicians in powerful countries have chosen to let it happen. During his campaign in the run-up to the elections, Modi had stated that reclaiming the black money deposited abroad can assure a sum of about Rs 15 lakh for every citizen. Recently Shiv Sena in its mouthpiece Saamna asked Modi how many of the citizens had received Rs 15 lakh in their bank accounts in the last two years.
