After Modi’s demonetisation, banks earn deposits of Rs 24,000 crore from deregistered companies

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Updated: June 4, 2018 11:08:04 AM

As many as 73000 companies deregistered by the government deposited Rs 24,000 crore after demonetisation.

pm narendra modi, narendra modi, narendra modi in singapore pm modi in singapore, singapore, indiaThe ministry document also said that the details of companies from different banks is also under process. (ANI)

As many as 73000 companies deregistered by the government deposited Rs 24,000 crore after demonetisation. “Out of this, 73,000 companies deposited Rs 24,000 crore. Details of companies from various banks is under process,” PTI reported citing document released by Ministry of Corporate Affairs. The compiled data also showed that out of the 2.26 lakh deregistered companies, the bank details of 1.68 lakh of them showed that post note ban cash was deposited in these accounts. The Corporate Affairs Ministry has also struck off names of nearly 2.26 lakh companies which have been inactive for a long period of time. Many of these companies are suspected to have been used for carrying out illegal fund flows, the document which listed the ministry’s achievements in the last four years said.

The ministry document also said that the details of companies from different banks is also under process. Around 68 companies are under probe, the document said. The Serious Fraud Investigation Office (SFIO) is investigating 19 companies while the Registrars of Companies (RoC) are investigating 49 firms, the document further said.

As part of the fight against the black money menace, in November 2016, the government had cancelled old Rs 500 and Rs 1,000 currency notes as legal tenders. Under the Companies Act, the government has powers to strike off names of firms from the register on various grounds.

The government announced the demonetisation of all Rs 500 and Rs 1000 banknotes of the Mahatma Gandhi Series On 8 November 2016. The government claimed that the action would control the shadow economy and crack down on the use of illegal and counterfeit cash to fund illegal activity and terrorism.

The extended shortage of cash after sudden announcement created significant disruption throughout the economy.

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