3 lakh cos under scanner after note ban; strict action to follow: PM

NEW DELHI, Jul 1: Prime Minister Narendra Modi today said 37,000 shell companies had been identified and three lakh companies were under scanner since demonetisation and strict action will be taken in case they were found violating the law.
Speaking at The Institute of Chartered Accountants of India(ICAI) function here, the Prime Minister said, “Three lakh companies are under scanner and one lakh companies have been removed from the Registrar of Company 48 hours ahead of national introduction of GST in the country.”
The Government has removed one lakh companies from the Registrar of Companies (RoC) 48 hours ahead of national introduction of GST in the country, which is being seen as a biggest fiscal reform since the Independence.
Commenting on the action taken against shell companies, the Prime Minister said, “The decision to remove one lakh companies from RoC can only be taken by the person who thinks of national interest. Those who think through the prism of politics couldn’t have taken this action.”
Warning of tough action on companies indulging in tax evasion, Prime Minister said over 37,000 such shell firms have been already detected and registrations of more than 3 lakh others have been cancelled.
Modi said his Govern-ment is committed to taking even tougher action against those helping hide black money and he is not at all concerned about any political implications of strong moves.
Modi also said CAs should take a pledge to bring people in the tax bracket rather than boasting about the number of clients they have saved from paying taxes.
He said his Government along with Swachh Bharat Abhiyan (Clean India), is also cleaning India’s economy and it has taken tough stand against those who have looted the nation.
In a strong message to the CA community, he asked as to why action has only been taken against just 25 of them for irregularities, while more than 1,400 cases have been pending for many years. (Agencies)