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Supreme Court Reconstitutes SIT for Government Probe on Black Money
May 06, 2014

A day after Centre relented and disclosed names of 18 people it was investigating for tax evasion to the Supreme Court, the apex court reconstituted a panel to monitor the Union government’s probe on black money. The Supreme Court said former justice M.B. Shah would head the special investigating team with justice Arijit Pasayat also a part of the team. The Centre has been directed to form the special investigating team within three weeks.

In view of the inability expressed by Justice Jivan Reddy, the court request Union of India to issue appropriate notification in this regard as expeditiously as in three weeks and asked SIT to start working as the earliest. On July 4, 2011, the apex court had ordered for setting up of SIT but the government had opposed the same and filed a review petition before the court for recalling of its order. In March this year, the bench had dismissed the government's review plea.

The Centre had disclosed names of 18 persons who had stashed black money in LGT bank in Liechtenstein, as per information furnished by the German government to India in 2009. Liechtenstein is seen as a tax haven.

This disclosure came after the Supreme Court censured the government for failing to take firm steps to recover money stashed by Indians abroad. The Centre had earlier argued that publicly revealing the names shared by Germany would compromise its credibility with that country and others with which it has tax treaties.

According to the apex court's directive, the Centre has to handover all the information within three days to Ram Jethmalani, who is an appellant in this case. 


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