Income tax department keeping an eye on all suspect money trails, warns finance ministry


NEW DELHI: Giving a stern warning to those who were converting black money into white, the finance ministry on Friday said that the trails were being watched by the income tax officials and a coordinated action was underway.

“Those indulging in or colluding with money laundering or converting black money into white+ will not be spared,” economic affairs secretary Shaktikanta Das said in a tweet.

“Trails being pursued by agencies. Coordinated action underway. Result already visible. Will be more visible in coming days,” he said in another tweet.

Meanwhile, Das told reporters on Monday that demonetisation has led to excess cash in the system which was being tackled by the Reserve Bank of India(RBI).

“It is a situation of excess liquidity and the RBI is managing it. It is definitely on the higher side,” he told reporters here.

To manage surplus liquidity, the central government, on RBI’s advice, on Friday revised upwards the ceiling for issue of securities under the Market Stabilisation Scheme (MSS) to Rs 6,00,000 crore.

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