Black to White Money-Trade Related Moneylaundering

The generation of black money and its stashing abroad in tax havens and offshore financial centers have dominated discussions in India by the last year with the Cobrapost second sting operation which brought in to the public the money laundering activities of three private banks in India. Particularly some reports suggested estimates of such unaccounted wealth being held in abroad via clandestine channels. The objective of this paper is to place various dimensions of black money and its complex relationship with policy and governance in India. This also brings forth the framework, policy options, and the strategies that the Government of India has been pursuing to tackle this issue; especially recent initiatives and developments. This paper may be helpful in contributing to the current debate on the black money issue and help to develop a board consensus regarding the future course of action for it.