Indian-linked money deposited in Swiss banks rose sharply in 2024, tripling to CHF 3.54 billion Swiss francs (approximately ₹37,600 crore), according to the Swiss National Bank’s (SNB) annual report released on Thursday, June 19. 

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Amid the ongoing war between Russia and Ukraine, Zelensky said, "Russia is a threat to Europe." He called on swiss banks to freeze Russian assets.

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US Justice Department said today that <a href="https://www.wionews.com/business-economy/hsbc-announces-new-heads-of-investment-banking-division-267192">Switzerland's HSBC</a> had "conspired with US account holders to conceal assets abroad and evade taxes" and had agreed to pay $192.4 million in unpaid taxes, improper fees and fines.

"HSBC Switzerland conspired with US account holders to conceal assets abroad and evade taxes that every American must pay," Stuart Goldberg, acting chief of the department's tax division, said in a statement.&nbsp;

The bank essentially helped wealthy Americans evade taxes, the US Justice Department investigation revealed.

"Banks, asset managers and other financial firms enable such crimes -- and we will hold these institutions to account, right along with the taxpayers that use them to facilitate and disguise illegal activities," Goldberg added. 
&nbsp; 
"Some HSBC Switzerland bankers assisted clients in closing their accounts in a manner that continued to conceal their offshore assets," US prosecutors said in a statement.

According to the Justice Department, In 2002, HSBC had over 720 undeclared US client relationships with a total value of more than $800 million which reached $1.3 billion over the next five years.

The bank will now have to demonstrate "good conduct" under the settlement deal with the US government, however, the Justice Department said in a statement that it does not mean individuals will not be prosecuted separately.

After the US decision, Chief Executive Alex Classen said: "Today the Swiss subsidiary operates under new management, we have strengthened our compliance function, enhanced our control framework and put in place a comprehensive client tax transparency policy."

US Justice Department said today that Switzerland's HSBC had "conspired with US account holders to conceal assets abroad and evade taxes" and had agreed to pay $192.

US Justice Department said today that Switzerland's HSBC had "conspired with US account holders to conceal assets abroad and evade taxes" and had agreed to pay $192.4 million in unpaid taxes, improper fees and fines. "HSBC Switzerland conspired with US account holders to conceal assets abroad and evade taxes that every American must pay," Stuart Goldberg, acting chief of the department's tax division, said in a statement. The bank essentially helped wealthy Americans evade taxes, the US Justice Department investigation revealed. "Banks, asset managers and other financial firms enable such crimes -- and we will hold these institutions to account, right along with the taxpayers that use them to facilitate and disguise illegal activities," Goldberg added. "Some HSBC Switzerland bankers assisted clients in closing their accounts in a manner that continued to conceal their offshore assets," US prosecutors said in a statement. According to the Justice Department, In 2002, HSBC had over 720 undeclared US client relationships with a total value of more than $800 million which reached $1.3 billion over the next five years. The bank will now have to demonstrate "good conduct" under the settlement deal with the US government, however, the Justice Department said in a statement that it does not mean individuals will not be prosecuted separately. After the US decision, Chief Executive Alex Classen said: "Today the Swiss subsidiary operates under new management, we have strengthened our compliance function, enhanced our control framework and put in place a comprehensive client tax transparency policy."

US government fines HSBC $192.4 million in tax evasion case

Money parked by Indian individuals and enterprises in Swiss banks, including through India-based branches, fell by nearly 6 per cent in 2018 to 955 million Swiss francs (about Rs 6,757 crore) to hit its second-lowest level in over two decades, Swiss National Bank data showed Thursday.&nbsp;

Aggregate funds of all foreign clients of Swiss banks also fell by over 4 per cent to CHF 1.4 trillion (nearly Rs 99 lakh crore) in 2018, as per the annual banking statistics released by the Zurich-based central banking authority of Switzerland. However, the ‘locational banking statistics’ of the Bank for International Settlement (BIS), which the Indian and Swiss governments had said last year was a more reliable measure for deposits by Indian individuals in Swiss banks, showed a greater fall of 11 per cent for 2018.

Watch: India likely to get information on 50 Swiss bank account holders

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According to the SNB, its data for ‘total liabilities’ of Swiss banks towards Indian clients take into account all kinds of funds of Indian customers at Swiss banks, including deposits from individuals, banks and enterprises. This includes data for branches of Swiss banks in India, as also non-deposit liabilities. The funds, described by the SNB as ‘liabilities’ of Swiss banks or ‘amounts due to’ their clients, are the official figures reported by the banks and do not indicate the quantum of the much-debated alleged black money held by Indians there.

The official SNB figures also do not include the money that Indians, NRIs or others might have in Swiss banks in the names of entities from different countries. The SNB data had shown the total liabilities of Swiss banks towards Indian clients rising by over 50 per cent in 2017 to CHF 1.01 billion (Rs 7,000 crore), reversing a three-year downward trend.

However, the quantum of such funds has fallen again in 2018 to CHF 954.71 million, which includes about CHF 15 million held through fiduciaries or wealth managers. This is the second-lowest total since CHF 723 million recorded over two decades ago in 1995. The lowest ever amount of CHF 675 million, ever since Switzerland began making the data public in 1987, was recorded in 2016. As per the latest figures, the total customer deposits of Indian clients rose to CHF 572 million in 2018, but funds held through banks fell to CHF 104 million, while money parked through securities and other instruments and via fiduciaries also declined.

On the asset side, Swiss banks saw a marginal increase in the amount due to their Indian customers to CHF 212 million (from CHF 210 million in 2017). In comparison, the BIS data showed that the total amount outstanding to non-bank or individual Indian clients of Swiss banks fell to USD 84.6 million at the end of 2018 (by 11 per cent from USD 94.8 million at the end of 2017). The fall was much larger at 44 per cent during 2017. The BIS publishes quarterly figures, which shows that these funds rose during the first quarter of 2018 (to USD 100.9 million), but declined in the three remaining quarters of the year. The annual SNB data has shown a decline four times during the last five years.

The fall was the maximum at 45 per cent in 2016. The funds held by Indians through fiduciaries alone used to be in billions till 2007 but began falling after that amid fears of regulatory crackdown. The total funds held by Indians with Swiss banks stood at a record high of CHF 6.5 billion (Rs 23,000 crore) at 2006-end, but came down to nearly one-tenth of that level in about a decade. Since those record levels, there has been a rise only three times — in 2011 (12 per cent), 2013 (43 per cent) and then in 2017.

A new framework has been put in place for automatic exchange of information between Switzerland and India to help check the black money menace with effect from January 1, 2018. Detailed financial information on all Indian residents that have an account maintained by a Swiss financial institution in 2018 will be provided for the first time to the Indian tax authorities in September 2019 and on a yearly basis thereafter. The information would also include accounts that would be closed during 2018. While Switzerland has already begun sharing foreign client details on evidence of wrongdoing provided by India and some other countries, the new framework would expand the cooperation.

A number of strategies have been deployed by the government to combat the stashed-funds menace, in both overseas and domestic domain, which includes enactment of a new law, amendments to the Anti-Money Laundering Act and compliance windows for people to declare their hidden assets. The tax department had detected suspected black money running into thousands of crores of rupees post investigations on global leaks about Indians stashing funds abroad and has launched prosecution against hundreds of them, including those with accounts in the Geneva branch of HSBC.

As per the SNB, there were 248 banks in Switzerland at the end of 2018, of which 216 reported a profit while 32 suffered losses. Their aggregate profit rose to CHF 11.5 billion, but overall balance sheet size decreased slightly to CHF 3.2 trillion. Domestic customer deposits rose by CHF 30.3 billion to CHF 1.22 trillion, while foreign customer deposits were down slightly to CHF 591.1 billion. There was an increase of 16 per cent in fiduciary funds administered by banks in 2018 to CHF 160 billion, but remained much below the high of CHF 482.9 billion set in 2007. The number of staff declined by 1,547 to 107,388.

Money parked by Indian individuals and enterprises in Swiss banks, including through India-based branches, fell by nearly 6 per cent in 2018 to 955 million Swiss francs (about Rs 6,757 crore) to hit its second-lowest level in over two decades, Swiss National Bank data showed Thursday.

Money parked by Indian individuals and enterprises in Swiss banks, including through India-based branches, fell by nearly 6 per cent in 2018 to 955 million Swiss francs (about Rs 6,757 crore) to hit its second-lowest level in over two decades, Swiss National Bank data showed Thursday. Aggregate funds of all foreign clients of Swiss banks also fell by over 4 per cent to CHF 1.4 trillion (nearly Rs 99 lakh crore) in 2018, as per the annual banking statistics released by the Zurich-based central banking authority of Switzerland. However, the ‘locational banking statistics’ of the Bank for International Settlement (BIS), which the Indian and Swiss governments had said last year was a more reliable measure for deposits by Indian individuals in Swiss banks, showed a greater fall of 11 per cent for 2018. Watch: India likely to get information on 50 Swiss bank account holders According to the SNB, its data for ‘total liabilities’ of Swiss banks towards Indian clients take into account all kinds of funds of Indian customers at Swiss banks, including deposits from individuals, banks and enterprises. This includes data for branches of Swiss banks in India, as also non-deposit liabilities. The funds, described by the SNB as ‘liabilities’ of Swiss banks or ‘amounts due to’ their clients, are the official figures reported by the banks and do not indicate the quantum of the much-debated alleged black money held by Indians there. The official SNB figures also do not include the money that Indians, NRIs or others might have in Swiss banks in the names of entities from different countries. The SNB data had shown the total liabilities of Swiss banks towards Indian clients rising by over 50 per cent in 2017 to CHF 1.01 billion (Rs 7,000 crore), reversing a three-year downward trend. However, the quantum of such funds has fallen again in 2018 to CHF 954.71 million, which includes about CHF 15 million held through fiduciaries or wealth managers. This is the second-lowest total since CHF 723 million recorded over two decades ago in 1995. The lowest ever amount of CHF 675 million, ever since Switzerland began making the data public in 1987, was recorded in 2016. As per the latest figures, the total customer deposits of Indian clients rose to CHF 572 million in 2018, but funds held through banks fell to CHF 104 million, while money parked through securities and other instruments and via fiduciaries also declined. On the asset side, Swiss banks saw a marginal increase in the amount due to their Indian customers to CHF 212 million (from CHF 210 million in 2017). In comparison, the BIS data showed that the total amount outstanding to non-bank or individual Indian clients of Swiss banks fell to USD 84.6 million at the end of 2018 (by 11 per cent from USD 94.8 million at the end of 2017). The fall was much larger at 44 per cent during 2017. The BIS publishes quarterly figures, which shows that these funds rose during the first quarter of 2018 (to USD 100.9 million), but declined in the three remaining quarters of the year. The annual SNB data has shown a decline four times during the last five years. The fall was the maximum at 45 per cent in 2016. The funds held by Indians through fiduciaries alone used to be in billions till 2007 but began falling after that amid fears of regulatory crackdown. The total funds held by Indians with Swiss banks stood at a record high of CHF 6.5 billion (Rs 23,000 crore) at 2006-end, but came down to nearly one-tenth of that level in about a decade. Since those record levels, there has been a rise only three times — in 2011 (12 per cent), 2013 (43 per cent) and then in 2017. A new framework has been put in place for automatic exchange of information between Switzerland and India to help check the black money menace with effect from January 1, 2018. Detailed financial information on all Indian residents that have an account maintained by a Swiss financial institution in 2018 will be provided for the first time to the Indian tax authorities in September 2019 and on a yearly basis thereafter. The information would also include accounts that would be closed during 2018. While Switzerland has already begun sharing foreign client details on evidence of wrongdoing provided by India and some other countries, the new framework would expand the cooperation. A number of strategies have been deployed by the government to combat the stashed-funds menace, in both overseas and domestic domain, which includes enactment of a new law, amendments to the Anti-Money Laundering Act and compliance windows for people to declare their hidden assets. The tax department had detected suspected black money running into thousands of crores of rupees post investigations on global leaks about Indians stashing funds abroad and has launched prosecution against hundreds of them, including those with accounts in the Geneva branch of HSBC. As per the SNB, there were 248 banks in Switzerland at the end of 2018, of which 216 reported a profit while 32 suffered losses. Their aggregate profit rose to CHF 11.5 billion, but overall balance sheet size decreased slightly to CHF 3.2 trillion. Domestic customer deposits rose by CHF 30.3 billion to CHF 1.22 trillion, while foreign customer deposits were down slightly to CHF 591.1 billion. There was an increase of 16 per cent in fiduciary funds administered by banks in 2018 to CHF 160 billion, but remained much below the high of CHF 482.9 billion set in 2007. The number of staff declined by 1,547 to 107,388.

Indians’ money in Swiss banks falls, hits second-lowest level in two decades

As many as 55 businessmen of Nepal have parked Nepali Rs 52,072,774,000 billion in Swiss Banks by defying the law of the land, the Center for Investigative Journalism (CIJ) has claimed."Nepal`s law bars Nepalis from investing abroad.

Our study found that nearly a dozen business groups are involved in channelling their illegal wealth abroad and bringing the money back into the country in the name of Foreign Direct Investment (FDI)," the CIJ stated in its editorial after its reports were released Wednesday night.

As per the report's findings, Nepali investors have stashed a whopping Nepali Rs 52,072,774,000 billion in Swiss Banks.

The report states that the trend of sending black money into the Swiss Banks while defying the existing laws had started in 1996, the very same year when the Maoist insurgency-hit the nation.

Prominent among those whose names have appeared in the CIJ report include former lawmaker Birendra Mahato in association with Niraj Govinda Shrestha, Upendra Mahato, Romeo Abdo; former President of NRNA Upendra Mahato, wife Samata Nepal and businessman (partner) Niraj Govinda Shrestha who have made investments in British Virgin Islands, Cyprus, Belarus, England, and so on, and hotelier Rama Malla in partnership with John Morrison Atwater in UK amongst others.

"According to details released in 2017 by Swiss National Bank, Nepalis deposited 11,042,000 Swiss francs (Nepali Rs 1,247,746,000) in Swiss banks in 1996. Over the period of 10 years, the total saving amount of Nepalis rose to a whopping 240,272,000 Swiss francs (Rs 2,715,736,000). Remarkably, after the end of the conflict, the amount deposited by Nepalis for the next two years saw a dramatic decline," the CIJ said in its report.

"In 2006 alone, Nepalis deposited 36,727,000 Swiss francs (Rs 4,150,151,000) in Swiss banks. In 2007, the savings fell to 34,500,010 Swiss francs (Rs 3,899,630,000)," the CIJ stated in its sub-report entitled 'The Nepalis Who Deposited Their Suspicious Wealth in Swiss Banks.'

The investigation has further revealed that two-thirds of the FDI in Nepal have been sourced from the British Virgin Islands.

"The survey report on FDI in Nepal published by the Nepal Rastra Bank (NRB) in June 2018 said `FDI totalling Rs 173,678,400,000 has been endowed to the industries currently operating in Nepal."

"This indicates that more than 60 per cent of the FDI share amounting to Rs 82,655,700,000 in Nepal comes from 'tax haven'&nbsp;countries. The British Virgin Islands and the nearby countries alone have an investment totalling Rs 62,779,700,000 in Nepal," the report stated.

The investigation, on the other hand, has revealed that the statistics maintained by the Department of Industries (DoI), Government of Nepal are not accurate and the companies boasting of the FDI are functional, have ceased to function or have been simply registered.

The investigation also revealed that the DoI had approved FDI equivalent to (Nepali) Rs 282.91 billion, out of which (Nepali) Rs 66.9 billion has been sourced from tax havens.

A total of 689 companies from the 17 tax havens were registered with the authority seeking FDI."The Government of Nepal has given FDI approval to 17 'tax haven'&nbsp;countries.

The permitted investment amount totals Rs 66,901,843,284. On the contrary, evidence shows there has been a total investment of Rs 82.657 billion from these countries, which exceeds the approved amount by Rs 15,755,156,716. A question arises: What caused this difference?" the report states.&nbsp;

As many as 55 businessmen of Nepal have parked Nepali Rs 52,072,774,000 billion in Swiss Banks by defying the law of the land, the Center for Investigative Journalism (CIJ) has claimed.

As many as 55 businessmen of Nepal have parked Nepali Rs 52,072,774,000 billion in Swiss Banks by defying the law of the land, the Center for Investigative Journalism (CIJ) has claimed."Nepal`s law bars Nepalis from investing abroad. Our study found that nearly a dozen business groups are involved in channelling their illegal wealth abroad and bringing the money back into the country in the name of Foreign Direct Investment (FDI)," the CIJ stated in its editorial after its reports were released Wednesday night. As per the report's findings, Nepali investors have stashed a whopping Nepali Rs 52,072,774,000 billion in Swiss Banks. The report states that the trend of sending black money into the Swiss Banks while defying the existing laws had started in 1996, the very same year when the Maoist insurgency-hit the nation. Prominent among those whose names have appeared in the CIJ report include former lawmaker Birendra Mahato in association with Niraj Govinda Shrestha, Upendra Mahato, Romeo Abdo; former President of NRNA Upendra Mahato, wife Samata Nepal and businessman (partner) Niraj Govinda Shrestha who have made investments in British Virgin Islands, Cyprus, Belarus, England, and so on, and hotelier Rama Malla in partnership with John Morrison Atwater in UK amongst others. "According to details released in 2017 by Swiss National Bank, Nepalis deposited 11,042,000 Swiss francs (Nepali Rs 1,247,746,000) in Swiss banks in 1996. Over the period of 10 years, the total saving amount of Nepalis rose to a whopping 240,272,000 Swiss francs (Rs 2,715,736,000). Remarkably, after the end of the conflict, the amount deposited by Nepalis for the next two years saw a dramatic decline," the CIJ said in its report. "In 2006 alone, Nepalis deposited 36,727,000 Swiss francs (Rs 4,150,151,000) in Swiss banks. In 2007, the savings fell to 34,500,010 Swiss francs (Rs 3,899,630,000)," the CIJ stated in its sub-report entitled 'The Nepalis Who Deposited Their Suspicious Wealth in Swiss Banks.' The investigation has further revealed that two-thirds of the FDI in Nepal have been sourced from the British Virgin Islands. "The survey report on FDI in Nepal published by the Nepal Rastra Bank (NRB) in June 2018 said `FDI totalling Rs 173,678,400,000 has been endowed to the industries currently operating in Nepal." "This indicates that more than 60 per cent of the FDI share amounting to Rs 82,655,700,000 in Nepal comes from 'tax haven' countries. The British Virgin Islands and the nearby countries alone have an investment totalling Rs 62,779,700,000 in Nepal," the report stated. The investigation, on the other hand, has revealed that the statistics maintained by the Department of Industries (DoI), Government of Nepal are not accurate and the companies boasting of the FDI are functional, have ceased to function or have been simply registered. The investigation also revealed that the DoI had approved FDI equivalent to (Nepali) Rs 282.91 billion, out of which (Nepali) Rs 66.9 billion has been sourced from tax havens. A total of 689 companies from the 17 tax havens were registered with the authority seeking FDI."The Government of Nepal has given FDI approval to 17 'tax haven' countries. The permitted investment amount totals Rs 66,901,843,284. On the contrary, evidence shows there has been a total investment of Rs 82.657 billion from these countries, which exceeds the approved amount by Rs 15,755,156,716. A question arises: What caused this difference?" the report states.

55 businessmen of Nepal have stashed billions in Swiss Banks: CIJ

India will start receiving information <a href="http://www.wionews.com/india-news/rs-300-crore-but-no-claimants-six-india-linked-swiss-bank-accounts-lie-dormant-151910">relating to financial accounts of Indians </a>in Swiss banks from Switzerland, government said on Wednesday. 
&nbsp; &nbsp;&nbsp; &nbsp; 
Minister of state for external affairs V K Singh, replying to a question in the Lok Sabha, said such information may include details about persons allegedly involved in corruption. 
&nbsp;&nbsp; &nbsp; 
Switzerland has been <a href="http://www.wionews.com/business-&amp;-economy/indians-with-illegal-swiss-bank-deposits-to-face-harsh-penal-proceedings-says-arun-jaitley-147959?src=fb">long perceived as one of the safest</a> havens for illicit wealth allegedly stashed abroad by some Indians. Singh said the India-Switzerland tax treaty facilitates receipt of information on request basis for cases under investigation. 
&nbsp;&nbsp; &nbsp; 
"In addition, from 2019, India will receive on automatic basis, information in respect of financial accounts held by Indian residents in Switzerland. The information received on request or on automatic basis may include information about persons allegedly involved in corruption," he said. 
&nbsp;&nbsp; &nbsp; 
At the same time, Singh added that the information received is governed by the confidentiality provisions of the tax treaty between the two countries. 
&nbsp;&nbsp; &nbsp; 
In 2016, India and Switzerland had signed a joint declaration relating to automatic exchange of information relating to tax.&nbsp;

Piyush Goyal who had taken temporary charge of the finance portfolio had said earlier in Parliament that after PM Narendra Modi's government came to power in 2014, the amount deposited in Swiss National Bank has reduced by 80 per cent.

Switzerland has already begun sharing foreign client details on evidence of wrongdoing provided by India and some other countries, it has agreed to further expand its cooperation on India's fight against black money with a new pact for automatic information exchange.

In July last year, as per the latest data released by the Swiss National Bank (SNB), funds parked by Indians with Swiss banks rose 50 per cent to CHF 1.01 billion (about Rs 7,000 crore) in 2017.

The funds, described by SNB as ‘liabilities’ of Swiss banks or ‘amounts due to’ their clients, are official figures disclosed by Swiss authorities and do not indicate to the exact quantum of the much-debated alleged black money held in the famed safe havens of Switzerland.

The official figures, disclosed annually by Switzerland’s central bank, also do not include the money that Indians, NRIs or others might have in Swiss banks in the names of entities from different countries.

It has been often alleged that Indians and other nationals seeking to stash their illicit wealth abroad use multiple layers of various jurisdictions, including tax, havens, to shift the money in Swiss banks.

India will start receiving information relating to financial accounts of Indians in Swiss banks from Switzerland, government said on Wednesday. Minister of state for external affairs V K Singh, replying to a question in the Lok Sabha, said such information may include details about persons allegedly involved in corruption.

India will start receiving information relating to financial accounts of Indians in Swiss banks from Switzerland, government said on Wednesday. Minister of state for external affairs V K Singh, replying to a question in the Lok Sabha, said such information may include details about persons allegedly involved in corruption. Switzerland has been long perceived as one of the safest havens for illicit wealth allegedly stashed abroad by some Indians. Singh said the India-Switzerland tax treaty facilitates receipt of information on request basis for cases under investigation. "In addition, from 2019, India will receive on automatic basis, information in respect of financial accounts held by Indian residents in Switzerland. The information received on request or on automatic basis may include information about persons allegedly involved in corruption," he said. At the same time, Singh added that the information received is governed by the confidentiality provisions of the tax treaty between the two countries. In 2016, India and Switzerland had signed a joint declaration relating to automatic exchange of information relating to tax. Piyush Goyal who had taken temporary charge of the finance portfolio had said earlier in Parliament that after PM Narendra Modi's government came to power in 2014, the amount deposited in Swiss National Bank has reduced by 80 per cent. Switzerland has already begun sharing foreign client details on evidence of wrongdoing provided by India and some other countries, it has agreed to further expand its cooperation on India's fight against black money with a new pact for automatic information exchange. In July last year, as per the latest data released by the Swiss National Bank (SNB), funds parked by Indians with Swiss banks rose 50 per cent to CHF 1.01 billion (about Rs 7,000 crore) in 2017. The funds, described by SNB as ‘liabilities’ of Swiss banks or ‘amounts due to’ their clients, are official figures disclosed by Swiss authorities and do not indicate to the exact quantum of the much-debated alleged black money held in the famed safe havens of Switzerland. The official figures, disclosed annually by Switzerland’s central bank, also do not include the money that Indians, NRIs or others might have in Swiss banks in the names of entities from different countries. It has been often alleged that Indians and other nationals seeking to stash their illicit wealth abroad use multiple layers of various jurisdictions, including tax, havens, to shift the money in Swiss banks.

India to get information on account holders in Swiss banks from this year: Government

India&#39;s Prime Minister Narendra Modi warned black money hoarders that they were in for a tough time once Switzerland begins automatic information exchange with India in two years.&nbsp;

PM Modi said the impact of the government&#39;s steps to curb the growth of black money was evident since as per the Swiss Bank, there had been a 45 per cent drop in deposits by Indians, &quot;the lowest ever in years&quot;.

&quot;Impact of our steps to check is clear from latest figures of Swiss banks, where Indians&#39; money has dipped to record low. If you know anyone with black money, warn them that they would not be spared,&rdquo; said PM Modi.

The prime minister said the government would take a strong stand against corruption, and &quot;those who have looted the poor will have to give back what they have looted.&quot;

&quot;A country where a select few loot, such a nation cannot scale new heights. These select few never want the nation to grow,&quot; he said.

&quot;On one hand, there is a Swachh Bharat Abhiyaan and there is a movement to clean the nation from the menace of corruption.&quot; 
 
&quot;Two years from now when Swiss Banks start giving real time data, people who deposited money in foreign banks will face tough time,&quot; PM Modi said at an event organised by the Institute of Chartered Accountants of India (ICAI).

Calling chartered accountants a &quot;big pillar&quot; of the Indian economy, the PM urged them to bring technological innovations to meet global standards.

He said it was a good coincidence that July 1 was the foundation day of ICAI and the launch day of the Goods and Services Tax (GST) regime.&nbsp;

Modi also launched a new CA course at the event.&nbsp;

&quot;I am hopeful the new course will boost the financial skills of people joining this profession. We need to develop a dynamic system in our institutions and human resources to meet the global benchmarks and requirements,&quot; Modi said. &quot;We will have to see how we can bring technology in the CA field. If chartered accountant firms think of technological innovation, new software, it will open a new market for you.&quot; 
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PM Modi said the impact of the government's steps to curb the growth of black money was evident since as per the Swiss Bank, there had been a 45% drop in deposits by Indians

India's Prime Minister Narendra Modi warned black money hoarders that they were in for a tough time once Switzerland begins automatic information exchange with India in two years. PM Modi said the impact of the government's steps to curb the growth of black money was evident since as per the Swiss Bank, there had been a 45 per cent drop in deposits by Indians, "the lowest ever in years". "Impact of our steps to check is clear from latest figures of Swiss banks, where Indians' money has dipped to record low. If you know anyone with black money, warn them that they would not be spared,” said PM Modi. The prime minister said the government would take a strong stand against corruption, and "those who have looted the poor will have to give back what they have looted." "A country where a select few loot, such a nation cannot scale new heights. These select few never want the nation to grow," he said. "On one hand, there is a Swachh Bharat Abhiyaan and there is a movement to clean the nation from the menace of corruption." "Two years from now when Swiss Banks start giving real time data, people who deposited money in foreign banks will face tough time," PM Modi said at an event organised by the Institute of Chartered Accountants of India (ICAI). Calling chartered accountants a "big pillar" of the Indian economy, the PM urged them to bring technological innovations to meet global standards. He said it was a good coincidence that July 1 was the foundation day of ICAI and the launch day of the Goods and Services Tax (GST) regime. Modi also launched a new CA course at the event. "I am hopeful the new course will boost the financial skills of people joining this profession. We need to develop a dynamic system in our institutions and human resources to meet the global benchmarks and requirements," Modi said. "We will have to see how we can bring technology in the CA field. If chartered accountant firms think of technological innovation, new software, it will open a new market for you." #WATCH PM Modi speaking on Foundation Day of Institute of Chartered Accountants of India https://t.co/UbePZkQx09 — ANI (@ANI_news) July 1, 2017 ×

45% drop in Swiss deposits by Indians: PM Modi

Stepping up its efforts to trace black money parked abroad, India has shot off at least 20 administrative assistance requests to Switzerland in recent months seeking details of Indians suspected to have misused the famed high-secrecy walls of Swiss banks to evade taxes.

The individuals and companies about whom India has requested for information include at least three listed companies, former CEO of a real estate major, the wife of a Delhi-based former bureaucrat, a Dubai-based Indian origin investment banker, a high-profile fugitive along with his wife, an UAE-based holding company, and also some Gujarati businessmen settled abroad and presumably in the trading business.

Many of these are suspected to have maintained accounts in Swiss banks through offshore entities, including in Panama and the British Virgin Islands.

These requests for administrative assistance, which typically involves exchange of information on submission of proof by the requesting country about the account holders&#39; wrongdoing, have been documented by Swiss authorities in their Federal Gazette as per local laws to give the concerned person or entity a last chance to appeal against sharing of data.

While India and Switzerland last week signed a new pact for automatic exchange of information about account details from September 2018, the pending requests have been made under their existing bilateral tax treaty.

In the past also, names of some Indian nationals figured in Switzerlands Federal Gazette notifications after the Swiss authorities were approached by India for information about those people with regard to the pending tax-related probes against them.

After following the due process prescribed under Swiss law, the information has been shared by Switzerland with India in some cases, pursuant to which the Indian authorities -- including the tax department and the Enforcement Directorate -- have proceeded with their prosecution and other actions.

However, the pace of seeking such details seems to have quickened in the recent months, going by the sudden spurt in the number of Indian names figuring in such notifications.

So far in November alone, five Indian names have been disclosed, while a similar number of administrative assistance requests were notified in October as well. Since June this year, at least 20 such requests have been disclosed by the Swiss authorities.

Typically, these notifications include name, nationality and date of birth of the concerned individual, while in case of companies, their names and the country of registration are mentioned.

For long, Switzerland has been known for strict secrecy clauses about details of foreigners with accounts in Swiss banks. However, under growing global pressure, Switzerland has begun sharing information in cases where other countries have been able to present some evidence of suspected illegalities.

Under Swiss law, a prescribed procedure is followed for any administration assistance or information exchange by the FTA (Federal Tax Administration of Switzerland) with India or any other country with which the Alpine nation has tax treaties about their respective nationals.&nbsp;

Among other provisions, this procedure also seeks to safeguard &quot;the right to be heard&quot; of the person about whom information is sought by a foreign country.&nbsp;

&quot;If the person concerned has not designata person authorised to receive the notifications, the FTA shall inform this person about the pending administrative assistance procedure through the requesting authority.&nbsp;

&quot;Simultaneously, the FTA shall set a period of time for the person concerned to designate a person authorised to receive notifications. The FTA may inform the concerned person directly provided that the requesting authority expressly consents to this procedure in that case,&quot; the rules say.&nbsp;

If the person concerned is found to be entitled to appeal, he or she may participate in the procedure and inspect the files. The information can be shared with the foreign authorities after the appeal is rejected.&nbsp;

As per the latest data by Swiss National Bank (SNB), money held by Indians in Swiss banks fell to to a record low of 1.2 billion franc (about Rs 8,392 crore) at the end of 2015.&nbsp;

The funds held by Indians with Swiss banks stood at a record high of CHF 6.5 billion (Rs 23,000 crore) at the end of 2006.&nbsp;

However, the quantum of these funds has been falling since then, except for in 2011 and in 2013 when Indians&#39; money had risen by over 12 per cent and 42 per cent, respectively.&nbsp;

The funds, described by SNB as &quot;liabilities&quot;&nbsp;of Swiss banks or &#39;amounts due to&#39; their clients, are the official figures disclosed by the Swiss authorities and do not indicate the quantum of the much-debated alleged black money held by Indians in the safe havens of Switzerland.

SNB&#39;s official figures also do not include the money that Indians or others might have in Swiss banks in the names of entities from different countries.&nbsp;There are more than 250 banks in Switzerland and they together have an estimated 1.24 lakh full-time employees. Last week, Switzerland agreed to automatic sharing of information with India on Swiss bank accounts of Indians.&nbsp;

The &quot;Joint Declaration&quot;&nbsp;in this regard provides that both countries will start collecting data in accordance with global standards in 2018 and exchange it from 2019 onwards.&nbsp;

While Switzerland has conformed to the global standards on automatic exchange of information with the signing of the declaration, India, on its part, has promised to safeguard the confidentiality of the data.&nbsp;

(PTI) 
&nbsp;

India has sought details of those suspected to have misused their Swiss bank accounts for evading taxes

Stepping up its efforts to trace black money parked abroad, India has shot off at least 20 administrative assistance requests to Switzerland in recent months seeking details of Indians suspected to have misused the famed high-secrecy walls of Swiss banks to evade taxes. The individuals and companies about whom India has requested for information include at least three listed companies, former CEO of a real estate major, the wife of a Delhi-based former bureaucrat, a Dubai-based Indian origin investment banker, a high-profile fugitive along with his wife, an UAE-based holding company, and also some Gujarati businessmen settled abroad and presumably in the trading business. Many of these are suspected to have maintained accounts in Swiss banks through offshore entities, including in Panama and the British Virgin Islands. These requests for administrative assistance, which typically involves exchange of information on submission of proof by the requesting country about the account holders' wrongdoing, have been documented by Swiss authorities in their Federal Gazette as per local laws to give the concerned person or entity a last chance to appeal against sharing of data. While India and Switzerland last week signed a new pact for automatic exchange of information about account details from September 2018, the pending requests have been made under their existing bilateral tax treaty. In the past also, names of some Indian nationals figured in Switzerlands Federal Gazette notifications after the Swiss authorities were approached by India for information about those people with regard to the pending tax-related probes against them. After following the due process prescribed under Swiss law, the information has been shared by Switzerland with India in some cases, pursuant to which the Indian authorities -- including the tax department and the Enforcement Directorate -- have proceeded with their prosecution and other actions. However, the pace of seeking such details seems to have quickened in the recent months, going by the sudden spurt in the number of Indian names figuring in such notifications. So far in November alone, five Indian names have been disclosed, while a similar number of administrative assistance requests were notified in October as well. Since June this year, at least 20 such requests have been disclosed by the Swiss authorities. Typically, these notifications include name, nationality and date of birth of the concerned individual, while in case of companies, their names and the country of registration are mentioned. For long, Switzerland has been known for strict secrecy clauses about details of foreigners with accounts in Swiss banks. However, under growing global pressure, Switzerland has begun sharing information in cases where other countries have been able to present some evidence of suspected illegalities. Under Swiss law, a prescribed procedure is followed for any administration assistance or information exchange by the FTA (Federal Tax Administration of Switzerland) with India or any other country with which the Alpine nation has tax treaties about their respective nationals. Among other provisions, this procedure also seeks to safeguard "the right to be heard" of the person about whom information is sought by a foreign country. "If the person concerned has not designata person authorised to receive the notifications, the FTA shall inform this person about the pending administrative assistance procedure through the requesting authority. "Simultaneously, the FTA shall set a period of time for the person concerned to designate a person authorised to receive notifications. The FTA may inform the concerned person directly provided that the requesting authority expressly consents to this procedure in that case," the rules say. If the person concerned is found to be entitled to appeal, he or she may participate in the procedure and inspect the files. The information can be shared with the foreign authorities after the appeal is rejected. As per the latest data by Swiss National Bank (SNB), money held by Indians in Swiss banks fell to to a record low of 1.2 billion franc (about Rs 8,392 crore) at the end of 2015. The funds held by Indians with Swiss banks stood at a record high of CHF 6.5 billion (Rs 23,000 crore) at the end of 2006. However, the quantum of these funds has been falling since then, except for in 2011 and in 2013 when Indians' money had risen by over 12 per cent and 42 per cent, respectively. The funds, described by SNB as "liabilities" of Swiss banks or 'amounts due to' their clients, are the official figures disclosed by the Swiss authorities and do not indicate the quantum of the much-debated alleged black money held by Indians in the safe havens of Switzerland. SNB's official figures also do not include the money that Indians or others might have in Swiss banks in the names of entities from different countries. There are more than 250 banks in Switzerland and they together have an estimated 1.24 lakh full-time employees. Last week, Switzerland agreed to automatic sharing of information with India on Swiss bank accounts of Indians. The "Joint Declaration" in this regard provides that both countries will start collecting data in accordance with global standards in 2018 and exchange it from 2019 onwards. While Switzerland has conformed to the global standards on automatic exchange of information with the signing of the declaration, India, on its part, has promised to safeguard the confidentiality of the data. (PTI)

India steps up efforts to trace details of Indian Swiss bank account holders

India will start getting financial information of accounts held by Indians in Swiss banks on automatic basis from September 2019, a move that will help fight the menace of black money stashed abroad.

Central Board of Direct Taxes (CBDT) Chairman Sushil Chandra and Deputy Chief of Mission of Swiss Embassy in India, Gilles Roduit, today signed the &#39;Joint Declaration&#39; for the implementation of Automatic Exchange of Information (AEOI) between the two nations.

&quot;As a result, it will now be possible for India to receive from September, 2019 onwards, the financial information of accounts held by Indian residents in Switzerland for 2018 and subsequent years, on an automatic basis,&quot; the Finance Ministry said in a statement.

It further said that fighting the menace of black money stashed in offshore accounts has been a key priority area for this government.

The &#39;Joint Declaration&#39; will further the goal of dealing with black money stashed in foreign accounts.

On June 6, Prime Minister Narendra Modi had met Swiss President Johann Schneider-Ammann at Geneva and discussed the need for expeditious exchange of information for combating tax evasion together with an early start to negotiations on the Agreement for Automatic Exchange of Information.

As a follow up, Revenue Secretary Hasmukh Adhia and Switzerland&#39;s State Secretary for International Financial Matters Jacques de Watteville met on June 15 and agreed to move towards an early agreement for the implementation of AEOI between the two countries.

Following the government&#39;s demonetisation of high value currency notes earlier this month as a crack down on domestic black money, some opposition parties have been demanding that the government take action to bring back the unaccounted Indian money stashed abroad, particularly in Swiss banks. 
 
(PTI)

India will receive financial information of accounts held by Indian residents in Switzerland for 2018 and subsequent years

India will start getting financial information of accounts held by Indians in Swiss banks on automatic basis from September 2019, a move that will help fight the menace of black money stashed abroad. Central Board of Direct Taxes (CBDT) Chairman Sushil Chandra and Deputy Chief of Mission of Swiss Embassy in India, Gilles Roduit, today signed the 'Joint Declaration' for the implementation of Automatic Exchange of Information (AEOI) between the two nations. "As a result, it will now be possible for India to receive from September, 2019 onwards, the financial information of accounts held by Indian residents in Switzerland for 2018 and subsequent years, on an automatic basis," the Finance Ministry said in a statement. It further said that fighting the menace of black money stashed in offshore accounts has been a key priority area for this government. The 'Joint Declaration' will further the goal of dealing with black money stashed in foreign accounts. On June 6, Prime Minister Narendra Modi had met Swiss President Johann Schneider-Ammann at Geneva and discussed the need for expeditious exchange of information for combating tax evasion together with an early start to negotiations on the Agreement for Automatic Exchange of Information. As a follow up, Revenue Secretary Hasmukh Adhia and Switzerland's State Secretary for International Financial Matters Jacques de Watteville met on June 15 and agreed to move towards an early agreement for the implementation of AEOI between the two countries. Following the government's demonetisation of high value currency notes earlier this month as a crack down on domestic black money, some opposition parties have been demanding that the government take action to bring back the unaccounted Indian money stashed abroad, particularly in Swiss banks. (PTI)

Swiss banks to provide information on Indian account holders from 2019

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