Author: Agencies
Publication: Times Now
Date: January 31, 2011
URL: http://www.timesnow.tv/articleshow/msid-4364053,prtpage-1.cms
Amid a raging controversy over black money
allegedly stashed by stud farm owner Hasan Ali in Swiss banks, Switzerland
has said it is awaiting a "complete" request from India for help
in this case since 2007. Switzerland's Federal Office of Justice (FoJ) had
last told Indian authorities in August 2010 to complete their request and
the request has not been completed so far, an FoJ spokesperson told.
India had first sought legal assistance from
the Swiss authorities in January 2007 in this case, but Switzerland can provide
help only after India makes a request "complete" with facts corresponding
to a fraudulent conduct of the accused, the official said in reply to emailed
queries.
Besides, the Swiss government's internal probe
in the case of Hasan Ali, who is alleged to have stashed billions of dollars
of illicit wealth in Swiss and other foreign banks, has found no reality in
the presumed transfer of USD 6 billion to his accounts in Swiss bank UBS,
he added.
The spokesperson said that numerous communications
have taken place between the two countries in connection with this case, but
Switzerland can provide legal assistance in the matter only after the request
corresponds to a tax fraud. Addressing a press conference on the black money
issue, Finance Minister Pranab Mukherjee said last week that investigation
was still continuing in the Hasan Ali matter and the case was being pursued
both by the Enforcement Directorate and the Income Tax department.
Mukherjee said that there were several cases
involved against Ali, including a double passport case and avoidance of taxes
and the ED had received information on three Swiss bank accounts allegedly
held by him, where no amounts were left. "One account where USD 60,000
were deposited, and next day the amount was withdrawn. There was no trace
of that," Mukherjee said, adding that the government had seized some
documents related to Ali's foreign bank accounts that later turned out to
be forged. "On the basis of forged document no information can be given
(by Swiss banks)," the Minister added.
In reply to queries on this matter, the FoJ
spokesperson provided an entire chronology of the case since 2007. "In
January 2007, Indian authorities submitted in the context of criminal proceedings
against Hassan Ali Khan (namely for money laundering) a request for legal
assistance to FoJ. They asked Swiss authorities to freeze his bank accounts
and to hand over the relevant banking documents."
In the same month, FoJ informed the Indian
authorities that "concerning the presumed transfer of 6 billions USD
domestic inquiries has revealed that the supposed transfer to UBS accounts
has no reality." On India's request for help in the matter, the Swiss
authorities replied that they needed specific details to "examine and
possibly to accept and execute the request," the official said.
These specific details included a confirmation
that the Indian investigation is a criminal one (no tax or related investigation),
a better description of the predicate offences which are object of the Indian
money-laundering investigation and to show the relation between the predicate
offences and the accounts in Switzerland. The FoJ spokesperson said that Indian
Embassy in March 2007 submitted some complements to the FoJ.
However, the FoJ informed the Embassy in April
2007 that the complements did not include the necessary specification. "Without
these information Swiss authorities cannot examine whether the conditions
to grant legal assistance are fulfilled or not. Indian authorities have not
submitted the necessary specification so far," he added.
The FoJ spokesperson said that Indian authorities
submitted a new request for legal assistance in August 2010 in the context
of criminal proceedings for tax offences. However, even this request was not
considered as "complete" with all the necessary specifications by
Swiss authorities. "In the same month (August 2010), the FoJ told the
Indian authorities: Switzerland does not grant mutual assistance for tax evasion.
"However, mutual assistance may be granted
in cases of tax fraud (fraudulent evasion of duty and taxes by using false,
forged or untrue information, documents etc). The facts described in the request
do not correspond to tax fraud, therefore mutual assistance cant be granted,"
the official said. The FoJ spokesperson added that "Indian authorities
may complete their request at any time, if fraudulent conduct is discovered
in the Indian proceedings. The request hasn't been completed so far."
