Citizens' Issues
Black money: India to expand customs overseas snoop network

The main area of focus would be expanding the snoop network would be the South East region after authorities found that a majority of illegal goods were originating from there and being smuggled to India using different gateways

New Delhi: India is considering a proposal to expand its Customs Overseas Intelligence Network across Asia for checking cross-border illegal trade and blackmoney besides gathering information on commercial frauds, reports PTI.


A proposal in this regard is under consideration of the ministry of external affairs, sources said.


The network, which functions under the Directorate of Revenue Intelligence under the finance ministry, plays a pivotal role in exchange of information related to cross-border illegal trade.


At present, there are nine Customs Overseas Intelligence Network (COIN) offices in various cities including London and Brussels. The finance ministry has recently approved two COIN offices in China, the proposal which has been agreed upon by the MEA.


“Two COIN offices are yet to be established in China. There has been an in-principle approval on it by the finance ministry and the MEA. The MEA is also looking into the possibility of opening few more such offices in Asian nations. However, no final decision has been taken so far,” a source said.


He said the main area of focus would be South East region which includes Malaysia, Philippines, Cambodia, Singapore, Indonesia and Thailand among others.


The need for expanding the network was felt after authorities found that a majority of illegal goods were originating from these countries and being smuggled to India using different gateways, sources said.


Customs officials have noticed spurt in activity related to Trade Based Money Laundering (TBML) through illegal export to India from South East nations.


“The government is in talks with all the stakeholders.


An appropriate decision will be taken soon,” an official, in the know of the status on the proposal, said.


The sources said the MEA is also considering a proposal to set up 14 new Income Tax Overseas Units (ITOUs) to deal with the menace of black money and keep a tab on illegal routing of funds from abroad and parking of money in foreign countries.


A similar proposal to position liaison officers in some of the countries by CBI is also under consideration of the MEA.


India has already established 10 ITOUs in its missions at Cyprus, France, Germany, the Netherlands, Japan, the UAE, the UK, the US, Mauritius and Singapore.


The ITOUs are manned by tax officers who are designated as first secretaries to maintain effective coordination and liaison between Indian tax authorities and the tax authorities of countries concerned.


These units are mandated to obtain information on tax and financial data of investments made by individuals and institutions in these countries and facilitate exchange of data on legal investment or routing of money in the country and vice-versa.


The Central Bureau of Investigation (CBI) has decided to open its offices in the UK, the US and the UAE to liaise with their law enforcement agencies which would help in execution of its judicial requests on real time basis.


Sources said the MEA is looking into all the proposals by the Customs and the I-T departments and the CBI.


A recent finance ministry report on black money has recommended to expand and strengthened the scope and reach of COIN offices to check suspicious trade transactions.


DRI maintains constant interaction with its Customs Overseas Intelligence Network offices to share intelligence and information through diplomatic channels on the suspected import/export transactions to establish cases of mis-declaration, which are intricately linked with tax evasion and money laundering.


“The scope and reach of COIN offices should be further expanded and strengthened. Customs officers should be stationed in major trading partner countries to liaise with customs authorities of those countries and cause verifications of suspicious trade transactions,” the report has said.


DGCA to review Kingfisher issue; pilots join in strike

Civil aviation minister Ajit Singh recently said that government will revoke KFA’s license if its fleet size goes down below five

Mumbai: Aviation regulator Directorate General of Civil Aviation (DGCA) will review Kingfisher Airlines’ operations in the wake of mass cancellation of its flights, even as a section of the airlines Mumbai-based pilots joined in the strike by its engineers, reports PTI.


“We will review the situation of Kingfisher Airlines,” Director General of Civil Aviation Arun Mishra told PTI.


Mr Mishra also said that airline's situation will also be discussed with the civil aviation ministry.


The engineers of Kingfisher went on a strike yesterday to protest the non-payment of salaries since March.


“Almost all Kingfisher aircraft are grounded due to the engineer's strike... some Mumbai-based pilots have also joined in the strike today,” sources told PTI.


The airline, saddled with huge debt, is currently operating less than 50 flights with seven aircraft.


Civil aviation minister Ajit Singh recently said that government will revoke KFA’s license if its fleet size goes down below five.


 Meanwhile, Kingfisher said in a statement late last night that, “We are anticipating disruptions and delays of flights on Monday, as it is likely that a section of KFA employees may not report to duty due to threat by a section of engineers who are not reporting for duty.”


“With a view to mitigating the impact of the anticipated disruption, we are pro-actively cancelling several flights across our network today. We are monitoring the situation and continue to engage with this section of employees to see reason as such action is not only detrimental to the company but directly impact the travelling public,” the statement said.




5 years ago

High time the KFA is allowed to fold up.And the promoter is till arrogant!!The great Dr, Yes Dr Vijay Mallya says all is well and now that FDI in aviation is on, investors are queing up to invest in his airline.He is not worried if his staff are not paid, taxes that he collected upfront from customers are not credited to the government account, banks are not paid as long as he is having a good time.
And he wants to be paid commission in cash to give his personal guarantee to the company he owns.What a cozy arrangement.

Fortnightly Market View: Immune to QE3?

One of the two factors behind my asset bubble call is weakening

Last fortnight, I had...

Premium Content
Monthly Digital Access


Already A Subscriber?
Yearly Digital+Print Access


Moneylife Magazine Subscriber or MSSN member?

Yearly Subscriber Login

Enter the mail id that you want to use & click on Go. We will send you a link to your email for verficiation

We are listening!

Solve the equation and enter in the Captcha field.

To continue

Sign Up or Sign In


To continue

Sign Up or Sign In



The Scam
24 Year Of The Scam: The Perennial Bestseller, reads like a Thriller!
Moneylife Magazine
Fiercely independent and pro-consumer information on personal finance
Stockletters in 3 Flavours
Outstanding research that beats mutual funds year after year
MAS: Complete Online Financial Advisory
(Includes Moneylife Magazine and Lion Stockletter)