At a time when the issue of black money has gained momentum and the government is making efforts to bring back the unaccounted money stashed abroad by Indians, a sting operation conducted by news portal CobraPost reveals that the real estate sector remains a major contributor to the generation of black money within the country.
At least 35 real estate companies were willing to accept up to 80 per cent of the transaction value in cash, the sting operation showed.
Claiming that the investigation lasted over 18 months, the portal showed top officials of real estate companies across the country admitting and advising on cash transaction in the real estate sector. The portal also showed that developers were also willing to accept the cash overseas in a bid to evade the attention of Indian authorities.
The videos and transcripts of the investigation done by the portal showed officials of the rank of chairman and managing director, CEO and top echelons of the management willing to accept anywhere between 10-80 per cent of the property value in cash, which goes unaccounted.
The journalist from the portal posed as a representative of a prominent politician who was looking to divert black money into real estate through cash deals.
When contacted, while some companies denied the allegations of any wrongdoing, and others said that they are in the process of investigating the claims.
A section of real estate companies, when contacted, raised a question on the motive of the investigation being limited to 35 companies specifically.
The investigation named as “Black Ninja” also shows that a developer even suggested that the black money can be deposited in a bank account and once the deposit is made, “the account would be closed” and thus there would be no trace.