BLACK MARKETING AND BLACK MONEYBLACK MARKETING BLACK MARKETING

AND BLACK MONEYAND BLACK MONEY

BLACK MARKETINGA black market or underground

economy is the market in which goods or services are traded illegally.

Common black markets are - Drugs (Both Legal & Illegal),Slave Labor, Animals (Particularly Furs and Exotic creatures), Human Organs and Stolen Goods.

causes of black market: When the supply of goods is not equal to

the demands Increasing level of poverty and

unemployment Due to corruption There is no Controls on licensing system Due to lacking of education and awareness

BLACK MONEYMoney which is earned through any illegal

activity controlled by country regulations. Sources of black money include drug

trafficking, weapons trading, terrorism, human trafficking, selling counterfeit or stolen goods and selling pirated versions of copyrighted items such as software and musical recordings.

The recipients of the black money moves their black income by using HAWALA system and by depositing in SWISS BANK.

Cont…As per the leaked HSBC reports there are

about 1195 Indian account holders with swiss bank and their account balance stood at US $3.8 Billion.

The account holders are mainly Ministers, Liquor Traders, Top Industrialists, Senior Officers, Civil Servents, etc.

ConsequencesPovertyInflationReduces DevelopmentTerrorism

Recommendations for legalization Simplify/Rationalize tax lawsConsolidating the public sector and

making administrations more efficientReduce red tapismStringent laws to curb money

laundering/corruptionCreation of awareness among students on

the evil of black marketing and black money

Regulation on election spending and donation to political parties/ organizations

THANK YOUTHANK YOU