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Demonetisation is crisis of gigantic proportion, says CPM

The CPM alleged that while known cases of money laundering through chit funds schemes like Saradha and open acceptance of bribe exposed by Narada News sting operation continue to remain uninvestigated, the common people whose savings have been looted are not being given back their money by the government and the culprits go unpunished.

Terming the demonitisation drive by the Narendra Modi government a ‘crisis of gigantic proportion’, the CPM politburo has stated that this measure does not in any way address the issues of black money, corruption, counterfeit currency notes and terrorist funding.

‘No effort has been made whatsoever to bring back the bulk of black money which is generated and stored in off-shore accounts in foreign currency. Cash constitutes only 6 per cent of the black economy. Also a study conducted on behalf of the National Investigation Agency by the Indian Statistical Institute, Kolkata has found that only 0.028 per cent of the currency withdrawn is counterfeit. Also, the basic avenues for money laundering through Participatory notes and diversions through tax havens remains untouched. There is no attempt to curb the roots of generation of black money such as in the real estate sector,” stated a media brief by the party politburo.

The CPM alleged that while known cases of money laundering through chit funds schemes like Saradha and open acceptance of bribe exposed by Narada News sting operation continue to remain uninvestigated, the common people whose savings have been looted are not being given back their money by the government and the culprits go unpunished.

It urged the Central government to accept the requests by Kerala and Tripura Chief Ministers to permit their state governments to accept Rs. 500 and Rs. 1,000 notes for payments until alternative arrangements are firmly put in place.

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