Govt Cracks Whip on Shell Companies

New Delhi Aug 16: Another move has been taken recently.
The Government of India has stepped up the scrutiny of Companies to crack the whip on Black Money.

Sources say that PM Modi has formed a team of top law enforcement and revenue officials to identify shell companies and take action strict action on these companies.

Experts have said that Crack Down On Shell companies will result in greater transparency, helps in reducing tax evasion.

Last year Prime Minister Narendra Modi has announced the demonetization of Rs 1000 notes and Rs 50o notes and this resulted in the increase in activities of shell companies.

Recently PM has announced that nearly 2 Lakh Shell companies have been shut down and strict action would be taken against such companies in future.

Recently SEBI has also cracked the whip on 331dormant companies which had no recent activity till past 2 years and have suddenly become Active these companies effectively convert black money into white.

Sources say that Many of these companies are located in Kolkatta.The Serious Fraud Investigation Office has also acted tough and has created a database of shell companies, and identified 1,14,269 firms.

Let's hope that the crack down continues in future also.