Monday, March 14, 2016

Mallya (Mal-liya) Conundrum

Its so good to be back on your blog after a substantial period of time. Its just that somebody reminded me during the course of a hearing of a case in my office today that they have gone through my blog and have come before me. Was glad to know that they knew a lot about me through my blog than about their case !

Newspapers and News channels these days are flooded with Mallya's flight to UK and the NPA (non-performing assets) scam. Its shocking to see that there are so many willful defaulters who have taken crores of loans and have just shown their back to the banks. No recovery is in sight. I, infact, came across an e.g. of PNB from whom some 4 companies had taken loan amounting to approx Rs.150 cr. It was later found out that all these four companies worked from a common address in Karolbagh, New Delhi. When the locational search was done, it was found out that their office space was equal to a size of a table and a chair and that space was a rented one. The owners were paying Rs.100 a month as rent. This is really surprising that the Banks are pleading before the Debt Recovery Tribunal and are now appealing before the Apex Court.

Why did all this got initiated in the first place ? This shows that proper scrutiny checks were not maintained by the Banks, to begin with. It appears that for small investors/laymen/salaried class, the banks have the stringent rules available. But when it comes to corporate lending, where does the checks and balances go ? Its all public money and it should be safeguarded at any cost. No Tom, Dick and Harry should be allowed to play with it. If there are securities given by defaulters, then it should be attached. If we say that the securities are not existing (Just like NSEL scam), then definitely there is a big flaw on the part of banks. 

The Civil Service aspirants should study this issue very closely from all quarters possible. Who are the defaulters, Where is the flaw, What are the problems in recovery, What action the Government has taken, What are the strategies adopted by the defaulters to dupe the banks.. ?

Bigger picture of checks and balances is to kept in mind. Plug the loophole in the initial stage itself so that it does not become a monster which are are unable to handle.

Cheers !

Thursday, September 12, 2013

Women : Respect them

Hi guys,
 
(without any prejudice whatsoever)
 
I have been thinking for quite some time that what compels a man to downgrade himself to such an extent that there remains no difference between animals and humans. Yes, you got the context right. The gangrapes taking place in the country at such a rapid pace is really troublesome. No fear exists in the minds of these monsters who commit such heinous acts. The Government has been doing its part but not enough to console the shaken conscience of the victim's families. December 2012 Delhi gangrape case is about to get concluded wherein the sentence will be pronounced on 13.09.2013 to the convicts. It took 9 months for the Judiciary to declare Rape, a Rape. In these 9 months, there were numerous other girls who were raped in the country. What about justice to them ?
 
It seems everybody is busy in the preparation of Elections 2014. Our Hon'ble Parliamentarians never appeared to have sufficient time at their disposal to bring about an amendment in the Rape Law of the Country. Though, from few corners of the North Block, voices have been heard to give Capital Punishment to the convicts in the rape cases. But, these are just the voices and not a Law. Because, it is the Law only which the Judges follow in their courtrooms. Now, if the Law says that there cannot a Death sentence given to rape convicts, then how can a judge pronounce a death dentence in such cases.
 
Here, we need to ponder over an issue of death sentence to be given to these shameless creatures. Why not ? Where is the deterrence in the society ? People know that if they commit crime, they will walk free because acquittal rate in the country, i guess, is the highest in the world. A man while raping a girl is fearless because the State can maximum give him life imprisonment. In maximum of the cases, the rapes do not get reported only. So, there is no scope of punishment also. Hence, like a wild bull, they roam free and do whatever they feel like in the manner they want. They are a blot on a civilised society.
 
I just wish that an amendment is brought to the rape law and nothing less than a death sentence is pronounced in such cases. (Infact, if a woman is raped , then why not a man committing this act be ostracised publicly in society ?) This society will change. Cent percent. An initiative is required to bring about that deterrence effect.
 
Just kill these bastards or throw an acid on their genitals..!!! Rapists of Mumbai's photojournalist had already committed 5 more rapes in the past 6 months. Why not give them a death sentence within 1 month through a fast track court ? What evidence is required to prove them as a rapist ? Have we learnt any lesson from Ajmal Kasab's ? Or are we still going to provide defence to these cruel species who attacked our defenceless sisters and mothers ?
 

Tuesday, June 25, 2013

Set Goals in Life

What are your goals ? What do u want to achieve ? What do you want to be ? In life. At work. In relationships. Whatever it be, write it down. Now. Just write it down. Not later..not tomorrow - now !!

And commit urself to action. Commit urself to doing what it takes to achieve ur goals. Take action. Make sure that everything you do is takin u closer to your goals.

And finally, take a step today. However small it may be, but take that first step today. If you want to lose weight, walk that 45 min walk - today..!! You will see the difference. As the Nike guys would say, JUST DO IT.

Friday, June 14, 2013

If Tomorrow Never Comes

There are two things that can happen when we plan to do something tomorrow. Either tomorrow gets postponed and never comes, or we ourselves may not be there tomorrow..!! In either case, the work remains undone.

Friends, the worst regret we have in life is not for the worng things we did, but for the right things we did not do.

The thought i am trying to convey by saying 'tomorrow never comes' is not only about 'giving' but also about a hundred and one things, which we go on postponing. For example, it may be reading a book, phoning a friend, calling on a sick relative, visiting our aged parents, learning something new, taking a vacation, playing with our children, or sitting by the sea shore watching the waves, admiring a sunrise, gazing at the stars and even sometimes doing nothing. Let us live like a samurai as if each day is our last one.

Monday, November 19, 2012

My First Survey as an Authorised Officer

I conducted my first survey as an Authorised Officer in Nov'12. - Scintillating Experience..

I was very apprehensive in the beginning as anyone else would be. In the very first place, i wasn't knowing as to how to prepare a Sat Note. Then i called up some of the senior Officials whom i met during 2nd OJT. Everyone reiterated the same fact again and again that - "Move out of the office and visit your jurisdictional area". That was the time i decided to move out and went for the recce. The case related a big builder in Mumbai. I visited their site offices in Thane and also the Corporate office in Mumbai disguising my identity (as Jasbir Singh, Inderjeet Singh etc etc....).
 
Howver, on the date of survey, i realised that my recce was misdirected. During recce, i was basically looking for 'on money' transactions. I had infact visited and talked to one of the Property dealer also about this group whether they take any cash or not. But everywhere i was posted with the fact that they do business totally in white. All payment shave to be made in cheque only, no cash component at all. That was very disappointing. But, on the day of survey, in the morning, we totally changed our direction of investigation. The assessee was claiming deduction u/s 80IB(10) for one of its housing project. We decided to target this particular section only. That morning, we studied the entire section from the act, also read some of the articles from the web and took the decision that we will confront the assessee point by point. The strike time was 4.15pm on 06.11.2012. This lasted for 27 hours. And finally, we were able to prove that the assessee was not eligible to claim deduction u/s 80IB(10). Although they were fulfilling the 1000 sq ft. and more than 1 acre conditions. But we caught them on the issue of completion of the project which should be within 5 years from the end of financial year in which they obtained the commencement certificate from the local authority. Here, 5 years came to an end on 31.03.2012, but they received the completion certificate from the Thane Municipal Corporation on 27.09.2012. This was the catch. Moreover, they had been claiming deduction on 4 of their towers. But one of these towers ('VARUNA') was still under construction as was reflected by field verification and also by architect's certificate. In addition , the assesse was having certain 80IB and non 80IB towers. This concept itself appeared to be ridiculous. We relied on the Bombay High Court judgement in the case of BRAHMA ASSOCIATES. which specifically states that 80IB deduction cannot be given to any part of the housing project. This deduction is to be given for the entire housing project as a whole.
 
Also, the assessee was claiming deduction u/s 80IA(4)(iii), in one of its another premise which is developed as an Industrial Park. However, for claiming this deduction, the asssessee has to obtain a notification form CBDT, which was still pending in this case. Their auditor in the audit report had also stated that 'we are hopeful of getting a positive response from CBDT in the near future'. Our contention was that - WHAT IF CBDT REJECTS YOUR PLEA ?? We could not have allowed the deduction merely on the basis of presumption. Hence, this was also disallowed.
 
The assessee has agreed to pay the taxes over the surrendered amount. It turns out to be approx Rs.70 crores.
 

Total Deduction to be disallowed :

Deduction u/s 80IB(10)     : Rs.178,85,37,405/-
Deduction u/s 80IA(4)(iii)  : Rs.24,29,37,504/-

GRAND TOTAL : Rs.203,14,68,909/-