Shiv Pratap Shukla: Demonetisation was not about black money

The issue of black money was the one of the prime reason for which demonetisation was done. This was known to us. But embarrassing Prime Minister Narendra Modi, Union Minister of State for Finance Shiv Pratap Shukla the government red-faced by saying that ” The PM never said demonetisation was about black money”.

Speaking to India Today, Shukla contradicted the statement of PM Modi and said that the premier never promised that demagnetisation would curb black money, instead it was done to strengthen the Indian economy. He stated, “Aadarniya Pradhan Mantri ji ne kabhi iss baat ko nahi kaha tha ki hum ye kale dhan ke nate kar rahe hain. Balki, saaf saaf kaha tha ki desh ki arthavyavastha ko sudharne ke liye kar rahe hain. (PM Modi never said that demonetisation was being done to curb black money. He always said it was to strengthen the economy.)”

It is to be mentioned that on several instances PM Modi said that demonetisation helped curb black money. The Premier on November 8, 2016, announced the decision to demonetise high-value currency notes. He had then said, “To eradicate black money and corruption, we need to make another tough decision. From today November 8, 2016 midnight, Rs 500 and Rs 1000 notes will no longer be legal tender.”

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Even on 71st Independence Day speech, the PM had emphasised on the importance of demonetisation. He said, “Demonetisation has helped a lot in curbing black money. The black money that was hidden is now in public domain. Our aim was that all money coming should become part of the formal economy. According to a research, Rs 3 lakh crore has become part of the system, Rs 1.75 lakh crore deposited in banks is under probe and over Rs 2 lakh crore black money has reached banks. Those who have deposited this amount will now be made answerable.”

Shukla’s answer to the contradictory statement is as undigestable as it could be. He was of the opinion that money that is not in circulation is considered as black money and it has now reached banks thus the problem of black money is solved, reports the news website.

Last week RBI’s annual report said that 99.3 per cent junk notes were deposited in banks, which the opposition created a ruckus on. As per to media reports, Finance Minister Arun Jaitley had also announced the Union government will celebrate Black Money Day on November 8, 2017.

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