HSBC accounts: Taxmen already in touch with whistleblower, government says

NEW DELHI: Union finance minister Arun Jaitley on Monday said the new names which have been released in the HSBC list will be checked by government authorities.

An official statement later said that necessary investigation as per the provisions of law will be taken up in all the new cases expeditiously and the income tax department was already in touch with the whistleblower who apparently brought out the names of persons holding undisclosed bank accounts in HSBC Geneva.

"He has been requested to share information available with him in regard to undisclosed bank accounts of Indians in HSBC, Switzerland and other destinations. His response is awaited," the statement said.

The government said that information about foreign HSBC accounts was received from French authorities in respect of 628 Indian personsentities. Out of these, 200 were either non-residents or non-traceable, leaving 428 cases of residents which were found actionable.

"For these 428 actionable cases, the net amount of peak balance was about Rs 4500 crore," the ministry's statement said.

The statement said during the last six months, the government had taken vigorous and proactive measures to expedite investigations in the cases of Indians holding undisclosed foreign accounts assets abroad.

"Useful contacts have been established with foreign governments who might have some further information in this regard. Based upon credible information of undisclosed foreign bank accounts, fresh references for obtaining further information in more than 600 cases have been made to foreign jurisdictions, under available treatiesagreements. The same are being pursued," the statement further said.

The government said it had taken expeditious action in cases involving the HSBC list. Up to December 31, 2014, assessments were completed in 128 cases, involving more than 350 assessments, it added. In the remaining cases, assessment proceedings were at an advance stage. Undisclosed income of about Rs 3,150 crore was brought to tax on account of deposits made in unreported foreign bank accounts.

Out of 128 cases in which assessments were completed, concealment penalty proceedings were initiated in almost all the cases, the statement said.

About 60 prosecutions have so far been launched for willful attempt to evade taxes and failure to furnish accounts and documents. Show cause notices before launching prosecutions have been issued in a large number of other cases wherein further action is under way.