Sunday 20 November 2011

How Hawala Works ?

"Hawalas" is an ancient, unregulated, and little-known systems of exchanging money. A hawala (derived from the Arabic word for "a bill of exchange or promissory note") is a system of brokers that provides paperless banking transactions and enables individuals to transfer large sums of cash from one country to another without the funds ever crossing borders or being recorded. The hawala system predates conventional banking by thousands of years and is prevalent in India, Pakistan, the Middle East, and parts of Asia.

Here we explain to make you understand How a hawala system might work: In Afghanistan, or any other South Asian nation, a man finds a hawala dar (a broker who has inherited the job from his family through several generations) and gives him a certain amount of money to be transferred to a relative, friend, or cohort in America. The broker then contacts by phone, fax, or e-mail a fellow dar who is set up — usually in association with a legitimate business — in an American city. He then asks that broker to pass on an equivalent sum of money to the intended recipient. Thousands of dollars can be moved in a matter of minutes, with no questions asked and no record of any kind. The two brokers even their balance over time, usually through a reverse transaction (when someone in the United States wants to send money to a counterpart in the same city in Afghanistan, for example). However, because the system is based on a long-standing trust among hawala dars, there is no need to balance accounts at the end of each day, or even at the end of each month, as with conventional banking. This makes transactions even more difficult to track.

While much of the money that flows through the hawala system in the United States is used for legitimate purposes — a son sending money home to his parents, for example — hawalas also allow terrorists and drug dealers to smuggle money into the country, undetected by the global banking system. The State Department has long been aware of the challenges posed by hawalas and reported them in its annual International Narcotics Control Strategy Report.

Congress, too, has recognized the danger of hawalas and moved to regulate their activities in 1994, when it passed a law requiring check-cashing businesses and informal financial enterprises like hawalas to register with the government and report transactions greater than $3,000. Unfortunately, the regulations implementing this statute remain unpublished, while hawalas continue to operate in the United States without supervision. Now Congress is moving toward further regulation and oversight of hawalas, including passage of my legislation requiring hawalas to register with the U.S. government.

The recently proposed bills on record-keeping and account-monitoring, for example, would expedite the publication and enforcement of hawala regulations and give U.S. law enforcement and intelligence authorities the tools they need to intercept terrorist financing before it is too late. Targeting the financial network of terror groups like al-Qaida will not, by itself, strike a deathblow to international terrorism. But it will disrupt the criminal financial network supporting terrorism, and it will give U.S. law enforcement and intelligence communities a better chance of detecting and preventing terrorist activities.

Wednesday 16 November 2011

Rajiv Pandit reads India Fraud Exposed

Rajiv Pandit the prime accused of Torno Herbal Coil scam had recently read articles about his wrong doings. We have also received an email from him using the email id rajpro2000@gmail.com surprising to see a Country Head and a learned man using a private email address to convey his message.

Below we share a snap-shot of the received email from Dr. Rajiv Pandit, threatening our team of dire consequences if we bring out his misdeeds to the masses. 



We believe that this email is work of a spoof and our team is researching the authenticity of the email said to be received from Dr. Rajiv Pandit himself. We will post more on the development on the Rajiv Pandit Mega Care Fraud after we receive a satisfactory reply from Dr. Pandit and Megha Pandit Wasnik to prove they are not guilty.

We see this email as a positive node towards spreading of awareness of fraud companies now if Dr. Rajiv Bhaskar Pandit and his wife Dr. Megha Wasnik Pandit are genuine they will surely come up with proofs to their innocence and rest an affirmative case for their genuinity.

We request all our readers and the masses to also contact our team and email their grievances like the Torno Herbal Mosquito Coils Scam victims have done it, we always aim to get the voices of the victim to reach everyone and spread awareness. 

Sunday 6 November 2011

Recent development Purulia Arms Dropping Case

On 8 October 2008 the extradition of the key accused, Kim Davy, real name Niels Holck, was close to being finalized as the government had, in principle, agreed on giving "sovereign assurance" to the Danish authorities on their conditions, as well as bringing about some changes in the existing extradition law. One of the conditions Denmark had set included the waiving of the death penalty if Davy is convicted by a court for his involvement in the dropping of a huge cache of arms and ammunition from an aircraft in West Bengal in 1995.

On 28 April 2011 Kim Davy came forward and alleged that both the Indian government (congress party) as well as its intelligence agency R&AW were aware of the precise details of the arms drop well in advance, and that the whole operation was conducted with the implicit agreement of the Indian authorities. Both Peter Bleach and Kim Davy claimed that the aim of the arms drop was to help anti Left government dissidents and to create a pretext to impose President's Rule in West Bengal.

On 29 April 2011 Central Bureau of Investigation denied all allegations of involvement or collusion in the arms drop. Questions have been raised if Kim Davy's 'sensational revelation' was aimed to stall the extradition efforts of India. Some political analysts have also questioned the 'timing of the revelation' which may help the Left parties in the ongoing state government assembly elections.

On 30 June 2011 Central Bureau of Investigation has been denied to extradict Kim Davy a.k.a Neils Holck to India for further proceedings in India. The Danish High Court dismissed the plea on the grounds of "torture or other inhuman treatment".

Wednesday 2 November 2011

How Gegong Apang looted Arunachal Pradesh: Investigation report


This dates back in October 2004 when Bamang Anthony, president of Arunachal Citizens' Rights (ACR) decided to file a PIL in the Gauhati High Court regarding certain anomalies that he had smelt in the public distribution system (PDS) in Arunachal Pradesh, little did he realise that he was actually digging one of the biggest food scams in the entire subcontinent.

Six years later, he is glad his efforts have paid dividends. Former chief minister Gegong Apang has been arrested in connection with that scam, which is now believed to be of the magnitude of about Rs 1,000 crore.
Arunachal Pradesh and five other hill states of the Northeast get two types of reimbursements from the government of India for transportation of food grains under the PDS. While the first is reimbursement of Road Transport Charges (RTC) for lifting of food grains from the nearest rail head of Food Corporation of India (FCI) depots to the base depots, the second is called Hill Transport Subsidy (HTS) for moving the stock from the base depots to the approved principal distribution centers.

Interestingly, even as Bamang Anthony and The Indian Express were only looking at suspected large-scale irregularities in the distribution of food grains in the state, the FCI itself found out, through a special audit, an "excess payment" of Rs 193.53 crore in just one year (2003-04).

The HTS alone for three particular years in which misappropriation was suspected was as follows: Rs 24.27 crore in 2001-02, Rs 75.03 crore in 2002-03, and Rs 279.64 crore in 2003-04.

The Great Indian PDS Scam

But what was more interesting is that while on one hand the quantity of food grains "supplied" to the people of Arunachal Pradesh under PDS increased (from 54,765 MT in 2001-02 to 85,272 MT) and the reimbursement of HTS also increased, several instances also came to light where the supply records were grossly fraud and fictitious.

One such instance, which The Indian Express highlighted as an illustration of the scam, was the supply of salt under PDS in Damin, a revenue circle in Kurung Kumey district. While the circle had a population of 2,784 (according to 2001 census), records showed that every individual consumed at least 24 kg of iodised salt per month in 2004. Another instance: In Koloriang circle in the same district, roughly 4,800 persons were shown as having consumed 3,080 quintals of rice every month in 2004, which comes to 64 kg per person per month.
It is, however, not Gegong Apang alone who is suspected to be responsible for the multi-crore scam. Transporters, suppliers, government officials, political leaders including MLAs - a large number of people actually benefited from it.

In July 2004 for instance, 5,000 quintals of rice kept in some private godowns in Nagaon (in Assam) for onward dispatch to Arunachal Pradesh disappeared. Submission of false bills for carrying foodgrains by smaller vehicles (where trucks can't ply) and by headloads (to villages which have no road links) was another means of siphoning off huge sums. In some instances, registration numbers of mini-trucks shown in bills were later found out to be of scooters and motorbikes.


The Great Indian PDS Scam

What was most interesting is the story of a government officer, N N Osik, then director of civil supplies, who opened a separate account in the SBI at Itanagar just to receive "commissions" from the contractors engaged for transportation.

Between October 4, 2002 and July 16, 2003, Osik's balance in this account rose to Rs 2.85 crore. On one single day, February 14, 2003, numerous people deposited a total sum of Rs 97 lakh. What Osik immediately did was change his name, by an affidavit, to N Lego.

His name figures along with Apang's in a list of 40 accused persons, which the Special Investigation Cell probing the scam submitted to the the Gauhati High Court in October 2008.

Source: Indian Express

Tuesday 1 November 2011

Gegong Apang PDS Scam Arunachal Pradesh

The former Arunachal Pradesh chief minister Gegong Apang, prime accused in the Rs 1,000-crore public distribution system (PDS) scandal that came to light in 2004, he was arrested and sent for remand in the police custody today.

The Great Indian PDS Scam

Gegong Apang, aged 61, was arrested in Itanagar by the Special Investigation Cell (SIC) constituted by the Gauhati High Court, and charged under IPC Sections 120B (criminal conspiracy), 420 (cheating), 468 (forgery) and 409 (criminal breach of trust), read with sections of the Prevention of Corruption Act, 1988.

"We have registered eight cases in connection with the scam. So far 50 persons have been chargesheeted, of which 30 have been arrested. Today we arrested former chief minister Gegong Apang on the basis of material evidences and oral depositions made by a number of witnesses including several of the co-accused," M S Chauhan, SP, SIC, told The Indian Express over the phone from Itanagar.

Chauhan said Apang was the kingpin of the scam. "You cannot expect clerks and transportation contractors to misappropriate a huge sum like Rs 1,000 crore without the involvement of big and influential people," he said.

The Great Indian PDS Scam

The cases pertain to huge anomalies including forgery and fraud that took place in the PDS in Arunachal between 1995 and 2004.The case was brought to national attention by a four-part investigation published in The Indian Express in May 2005.

The forgery and fraud took place at two levels: (i) payment of huge sums as reimbursement of Hill Transport Subsidy and Road Transport Charges from the Government of India for transporting PDS items to the state, and (ii) showing delivery of PDS items without actually reaching them to the people.

The Great Indian PDS Scam

Read more on How Gegong Apang Looted Arunachal Pradesh

Source: Indian Express