APD | India involved in money laundering

Editor's notes: The author is Prof. Engr. Zamir Ahmed Awan, Sinologist (ex-Diplomat), Editor, Analyst, Non-Resident Fellow of CCG (Center for China and Globalization), National University of Sciences and Technology (NUST), Islamabad, Pakistan.(E-mail: [email protected]).

The Indian Express, a leading newspaper of India, quoting the source,the Financial Crimes Enforcement Network (FinCEN), reported on 24 September 2020 that “Almost 44 Indian banks have been identified in connection with transactions by Indian individuals and individuals in a set of Suspicious Activity Reports filed by US banks with the watchdog agency, (FinCEN).

According to a set of archives of parties with Indian origins, Indian banks figure in SARs related to over 2,000 transactions valued at over $1 billion between 2011 and 2017. Significantly, there are thousands of transactions pertaining to Indian entities and businessmen where the Indian senders or beneficiaries have addresses in foreign jurisdictions.

Records examined shows that Indian banks mentioned in the SARs include: state-owned Punjab National Bank (290 transactions), State Bank of India (102), Bank of Baroda (93), Union Bank of India (99), and Canara Bank (190), amongst others.

Among private-sector banks, that figure in the SARs is HDFC Bank (253 transactions), ICICI Bank (57), Kotak Mahindra Bank (268), Axis Bank (41), and IndusInd Bank (117), amongst others.

According to the paper, the foreign banks that have filed the SARs comprise Deutsche Bank Trust Company Americas (DBTCA), BNY Mellon, Citibank, Standard Chartered, and JP Morgan Chase, among others.

Meanwhile, there has been increasinganxiety among banks over the idea of correspondent banking. According to a report on the subject by the Committee on Payments and Market Infrastructures (CPMI) of the Bank for International Settlements, arranged in 2016, banks providing these services are reducing their relationships.

Money laundering is a graveoffense and the primary cause of terrorism. There is sufficient evidence of Indian involvement in terrorism, primarily international terrorism. Indian involvement in a deadly terrorist attack in Sri Lanks, numerous incidents of terrorism in Afghanistan, and out-number of terrorist activities in Pakistan, Bangladesh, Nepal, etc., are obvious cases, but there might be much more not discovered yet.

The international community is rigorous and taking all possible measures to eradicate money laundering and terrorism. However, the US and a few of its close allies are keeping their eyes closed and over-looked India for a long. But this policy may not sustain anymore.

As a matter of fact, the US depends on India to counter China, contain China and resist China’s rise, and in return, extend its political, economic, and defense assistance extraordinarily. Such favors have spoiled India and have encouraged India to commit even serious crimes. It is believed that the US may not protect India forever, and the International community may specific measures to Check India unilaterally.

India is committing scaring crimes against humanity in Kashmir, Punjab, Ladakh, Bihar, Assam, Naga Land, etc., and Amnesty International and Human right watch are alarming the international community with the evidence of humiliation to humanity in India. The US organization for religious freedom has also noticed the lack of religious freedom in India and has proposed several concrete measures to the Trump-Administration.

Based on its aggressive policies, all neighbors of India are scared and isolated India. But India is trying its best to built its friendship club in faraway regions, instead of improving ties with its immediate neighbors. After facing complete isolation in this region, India also needs to quarantine due to the rapidly spreading of Coronavirus. The number of increase of infectees is almost 100,000 each day, it is estimated, if the same trend kept for the next two weeks, India may surpass the US and become the worst-hit country in the whole world. There is a need to enforce a travel ban on India to prevent further spread of Coronavirus. A complete quarantine may be recommended immediately.

(ASIA PACIFIC DAILY)