Gujarat chief minister Narendra Modi on Wednesday told industry leaders to be cautious against “dirty money” entering India as government and policy makers pull all stops to improve liquidity amid a global credit crisis and worsening economic growth outlook.
“I have placed the issue before the Prime Minister as well. We must be careful and ensure that dirty money does not enter (into our country),” Modi said addressing top corporate captains at the annual India Economic Summit organised by the World Economic Forum and the Confederation of Indian Industry (CII) here.
Modi was obliquely referring to “hawala transactions” as he emphasised that “dirty money” did not refer to “black money”.
“If dirty money gets into the financial and banking sector, they will dictate for the next 10 years,” the Modi said.
The government is examining records of more than 600 financial transactions that it believes could be linked to terror funding and other suspicious activities in the country and the region. It has also recently approved amendments in the Prevention of Money Laundering Act (PMLA).
Modi, who earned the praise of the industry for the speed at which land was allotted to Tata Motors for the Rs 1 lakh small car (Nano) project, said invitation to the Tatas was aimed at keeping the entrepreneurial spirit alive and giving shape to the dream of a people's car.
{{/usCountry}}Modi, who earned the praise of the industry for the speed at which land was allotted to Tata Motors for the Rs 1 lakh small car (Nano) project, said invitation to the Tatas was aimed at keeping the entrepreneurial spirit alive and giving shape to the dream of a people's car.
{{/usCountry}}“Our efforts to bring Tatas to Gujarat was part of an honest intention to help a leading industrial house of the country, honour the sentiments of the industry in general and ensure that the common man's dream of an affordable car doesn't shatter,” he said.