HOME > BUSINESS > Kerala merchant’s union strike against black-money currency move

Kerala merchant’s union strike against black-money currency move

traderKerala’s merchants and traders union has asked its members to shut all shops from Tuesday to protest the Center’s decision to swap currency notes to control black money.

The central government has withdrawn existing 500 and 1000 rupee notes and asked everyone holding the same to get them exchanged with new notes from their nearest banks.

The move is seen as a reaction to the pinch felt by the trading class, arguably one of the worst affected by the crackdown.

The reason given by the ‘Kerala Vyapari Vyavasayi Ekpana Samiti’ or Kerala Traders’ and Industrialists Coordination Union is that there is a dearth of cash in consumers’ hands, which has affected their turnover.

With not enough consumers turning up with cash, it makes no sense to keep the shops open, the union said.

The decision was conveyed by President T Naseeruddin and Secretary Joby Chungath.

Update — Strike has been withdrawn following pressure from political parties.

The union said cooperative banks should be supplied with new notes directly by the RBI, so that they can issue the notes without having to depend on commercial banks.

It may be noted that cooperative banks have been directed to ascertain and audit the details of everyone who is holding money in their accounts.

A big chunk of the ‘liquid’ black money in Kerala is estimated to find their way into cooperative banks, which are controlled by local politicians and do not insist on PAN numbers and other formalities for taking deposits and conducting transactions.

It is estimated that there are around Rs 30,000 cr worth of illegal money in the cooperative sector. The Income Tax department has started scrutinizing the deposits even as the currency exchange program was kicked off.

Since co-operative banks do not have the new currency, the depositors are essentially locked in and cannot withdraw the money. The Department has, in other words, trapped the illegal funds within the cooperative banks sector.

The Vyapari Vyavasayi Samiti said giving money to cooperative banks and allowing them to directly swap currency for their depositors will ease conditions in Kerala.

The Kerala Vyapari Vyavasayi Ekopana Samithi is the single largest trade organization in the world. It has over 10 lakh members, 4000 units and over 1400 Vyapar Bhavans.

Much of the day-to-day retail trade in Kerala happens without any form of paper or electronic trail.

The Left front government has been trying to bring the merchants to book, but with little success. In order to force merchants to issue true bills and declare their income, the Kerala government has even opened a Facebook page where any consumer from the state can upload their bill.

The uploaded bill is then checked against the billbook presented by the merchant. If the bill is not found, punitive action is taken against the merchant.

Follow ULTRA.news
Congress wants taxpayers to fund Muslim divorces – RS Prasad Muslim women at a function in Uttar Pradesh Union law minister Ravi Shankar Prasad today said he has had official talks with the Congress Party on the 'triple talaq' bill, but the opposition party has raised two demands that amount to incentivizing Muslim men to abandon their...
Rajput Karni sena threatens Gujarat-like stir over reservations, Padmavati Karni Sena's logo The apparent success of Hardik Patel-led campaign for reservations seems to be emboldening other groups to start similar campaigns. Shri Rajput Karni Sena, which was in the news for threatening have artists associated with the film Padmavati beheaded, has...
Mumbai Police block Mevani event, organizers threaten to hold it in the open A poster on the summit Mumbai Police have denied permission to the Chhatra Bharati, a students' organization in the city, to hold an event today featuring Gujarat MLA Jignesh Mevani and JNU student Omar Khalid. Police have started rounding up the organizers into vans and t...
BJP attempting to divide Dalits and Marathas – Congress Veerappa Moily The Indian National Congress today alleged that the ruling dispensation at the centre, led by the Bharatiya Janata Party, was trying to create enmity between Marathas and Dalits -- two prominent communities in Maharashtra that comprise nearly half the populatio...
Maharashtra violence: BJP fears a repeat of Gujarat episode CM Fadnavis & Athavale BJP leaders have expressed worries that the Maharashtra Bandh called by Dalit organizations and some political parties in the state could be part of a political conspiracy by opposition parties to achieve a caste-based polarization in the state simi...
Titan jewelry retail sales meet expectations, primary sales slow Titan's promotion for Taneira Titan Co, India's largest jewelry company, said its mainstay jewelry business saw retail sales that were in line with expectations for the October-December period, but there was a slight slowdown in sales to franchisees. It also said its pilot...
Kerala businessman offers life-time job to accused in actress cyber-bullying case Parvathy | Twitter Joby George of Kerala-based Goodwill Entertainments has offered a 'lifetime' job in the UK, Australia, Dubai or India to the person who was arrested by the Kerala police yesterday for cyber-bullying an actress who criticized super star Mammootty. "If u c...
BSNL 4G is coming to villages, not towns BSNL Chairman Anupam Shrivastava has officially confirmed what had only been hinted at so far, the company will indeed launch 4G services starting with Kerala next month. However, in all the buzz, one key element of the plan was overlooked -- it is going to use Band 1, also k...
NOWHERE TO HIDE: 29 lakh new businesses caught in GST net The Goods and Services Tax is turning out to be quite effective in ensnaring more and more people into the tax net compared to the previous excise and VAT system. Out of the 93.33 lakh individuals and businesses registered under the new tax system as of the end of last month, ...
DEMONETIZATION: Income Tax e-filings up 20%, collection up 14% The number of income tax e-filings increased by 19.5% this year compared to last year as demonetization forced many people declare their hitherto undeclared incomes. A total of 3.89 cr e-filings were recorded in the current financial year as of Nov 7, compared to 3.25 cr in t...
Trial Court vs Supreme Court – Who is right in 2G scam judgment? The decision by a trial court in Delhi's Patiala House complex to dismiss charges of corruption and conspiracy against former telecom minister and others in the 2G scam case has created a curious legal imbroglio as the order seems to fly counter to the Supreme Court's verdict in...
Demonetization unearths Rs 25,000 cr of black money so far – Govt The move to withdraw high-value currency notes in November last year has helped the income tax department unearth Rs 25,000 cr of undisclosed income as of October this year, the finance ministry said. Out of this, Rs 15,761 cr was unearthed by searches and raids, while the re...
16 Congress candidates likely to approach High Court for VVPAT counting Sixteen candidates of the Indian National Congress, who lost the Gujarat state elections by a margin of 3,000 votes or less, are likely to approach the Gujarat High Court to seek counting of paper slips. It is expected that there are about 40 seats where the victory margin was...
Akhilesh Yadav supports reservation for Patels, upper castes Samajwadi Party chief Akhilesh Yadav has suggested extending reservation benefits not only to Patels, but to all forward communities as well. "Do a census and give everyone reservation according to their population. Nobody will be angry," Yadav said, when asked about how to d...
CBI files FIR in Chhattisgarh Sex CD Case The Central Bureau of Investigation has filed two separate cases related to the Chhattisgarh sex CD allegedly featuring the state PWD minister Rajesh Munat. This follows the takeover of investigations into the matter by the central investigation agency after allegations that ...
Is Rahul Gandhi rejecting his mother’s secularism? The rather 'Holy' election campaign being waged by Rahul Gandhi in Gujarat elections has led to speculation that the Indian National Congress may adopt a 'soft Hindutva' model under Rahul Gandhi to counter BJP's 'hard Hindutva'. FROM NONE TO ALL Over the last half a centur...
Ahmedabad cops deny permission to roadshow by Modi, Rahul The Ahmedabad administration has denied permission to the 'roadshows' planned by Rahul Gandhi and Prime Minister Narendra Modi in Ahmedabad tomorrow. The separate roadshows would have featured Modi and Rahul Gandhi traversing the city in a last minute effort to boost their res...
I am low-caste, but I do high work – Modi replies to Aiyer Mani Shankar Aiyar tried to undo the damage he caused to the party's prospects in Gujarat by calling Narendra Modi -- who hails from a group classified under the Other Backward Communities -- 'neech' (low or low-caste), but Modi sought to take advantage of the controversy by sei...
COLUMN: A win for Congress in Gujarat may be just what Modi needs By all accounts, the chances of a Congress victory is becoming stronger and stronger in Gujarat, a state that goes to the polls on Sunday. The possibility was almost unthinkable two months ago, even to Congress strategists, but the 'Patel factor' is likely to be the deciding ...
GST complaints coming mainly from tax-evaders – Adi Godrej Adi Godrej, chairman of one of India's largest manufacturing and real estate groups, said most of the complaints about the new Goods and Services Tax is coming from businesses that have been built on a model of tax evasion. "The complaints about the GST are mainly coming from ...