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Who is responsible for trying to Protect Corrupt in Bofors Bribery case?
Home | Excerpts, from Switzerland Government Website | Excerpts collected from Private Websites Working on Switzerland banking system | ANOTHER PROGRAM FOR FAST-UNTO-DEATH | Representation 18-05-05 | Representation Dated 9th May 2005 | sp

Dated 6th June 2005

To,

1.       His Excellency President of India Shri APJ Kalam,  

2.       Hon’ble Prime Minister of India Shri Man Mohan Singh Ji;    

3.        Hon’ble Minister for Foreign Affairs Shri Natwar Singh Ji;

 

Subject : Who is responsible for trying to Protect Corrupt in Bofors Bribery case. 

 

His Excellencies Sirs,

 

This is with reference to my Representation dated 29th April, 5th May, 9th May, 12th May, 18th May, 28th May, 30th May, and last one dated 2nd June 2005, addressed hereto or copies thereto, and all are posted at: http://milapchoraria.tripod.com/swiss, with notice that in case my demands are not conceded by the Swiss Government I will sit for Fast Unto Death at outside Swiss embassy. I received responses from the Swiss Embassy against my three representations. Till the judgment is pronounced on the application made by Hinduja Brothers to discharge them from the Bofors bribery case, in view of the Swiss Embassy’s response, I was under impression, that under its declared Policy, Swiss Government must have supplied necessary documents related to Bofors bribery Case to Indian Investigating Agency. 

 

I was prompted to write this letter when I could not understood the reason for enthusiasm expressed by the National Congress Party after judgment discharging Hinduja Brothers. Hinduja Brothers never known as Congress Leaders, nor their discharge from the said Bribery case can be considered in any way related to Congress Party or a matter of good governance on the part of the Government of India, as I explained below.

 

As per reports roaming amongst the people, a file is exists with the Central Vigilance Commission (CVC), which came to the knowledge of the then Commissioner of the CVC Mr. N. Vittal. According to such roaming reports India’s large-scale Black money between Rs.16 Lakhs Crores and Rs. 50 Lakhs Crores, were deposited by the corrupt Politicians, Bureaucrats and unscrupulous Businessmen in Swiss Banks and part of it in some other countries, through illegal routes, which now used in Asset Management at abroad by Financial Sector of such Countries. As per reports, out of 2,500 Billions CHF about 800 Billions CHF in internationally-invested private wealth by the Swiss Banks are belongs to Indian corrupt politicians, bureaucrats and unscrupulous businessmen etc. Reportedly, in the file, names of some renowned Politicians of the Country were exists, including one most powerful politician and his son’s connections having thousands Crores of Rupees is invested in internationally-invested private wealth by the Swiss Banks, but I cannot prove it until Swiss Government not ready to give details of such transactions. Once such facts exposed the double face of the said powerful politician will be exposed and his Political Party will suffer a big jolt in India’s Politics. I referred detailed facts with strong evidences, relating to misuse of the Powers and abuse of authority by the said Politicians in a Book: Mysteries of Polticd-Crime-Nexus, (416 Pages) and forwarded it to His Excellency President of India Shri A. P. J. Kalam, Hon’ble Prime Minister of India Dr. Man Mohan Singh, Hon’ble Chief Justice and Attorney General of India, Head of respective Political Party, Chief Minster and Chief Justice of respective State. But, under the impact of Political influence of the said Politician every one decided to maintain silence on the issue. However, President’s Secretariat, as if has just a Role of Post Office, forwarded said Book to Home Ministry. While Home Ministry in last 15 years proved as a mere silent spectator in the matters referred by me. I must place on record that Government of India not initiated any diligent action or negotiations to unearth such large-scale Black-money of India, invested in internationally-invested private wealth by the Swiss Banks. On the other hand Swiss Government in violation of purpose and object for establishment of UNO as described in U N Charter. Also in violation of its admitted responsibility Swiss Government adopting double standards with the developed and undeveloped countries, thus not ready to disclose details of corrupt Politicians, Bureaucrats and unscrupulous Businessmen from developing countries having invested their black money in internationally-invested private wealth by the Swiss Banks just to protect its own financial sector, which will lost its legs to stand once details of such illegal money exposed.       

 

I am referring some extracts from the declared policy of the Swiss Government from which this can be easily established that if diligent efforts could have been made by the Government of India as well as Central Bureau of Investigation, to obtain such documentary evidence from Switzerland in Bofors bribery Case, Swiss Government was bound to hand over the same:-

 

“Switzerland is fully aware of its responsibilities as an international financial centre. In view of the challenges posed by globalisation and technological developments, the reinforcement of multilateral co-operation is absolutely essential. Switzerland is therefore actively involved in the framing of new international regulations aimed at securing the sound operation of financial markets, and in particular at combating financial crime. We have also launched a number of initiatives aimed at enhancing the effectiveness of the international fight against money laundering, financing of terrorism and corruption.” Switzerland has absolutely no interest whatsoever in allowing its territory to be used for such activities”, “its negative impacts on the progress of numerous developing countries or nations in transition”, and “Switzerland's banking secrecy does not protect terrorists, nor does it protect criminal organizations or criminal activities of any nature whatsoever.”, “Another aspect of financial crime that gained in importance over the past few years is corruption. Together with some other countries, Switzerland has taken a leading role to fight this scourge, for example in the negotiation of the 1999 OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions. Switzerland has pursued its commitment through its active role in the negotiation of the recently adopted United Nations convention to combat corruption which text has been signed at a special ceremony in December 2003 in Mérida, Mexico. Well, beyond the adoption of international agreements and appropriate legislation, the decisive  element is the political will to be tough on crime and to implement the rules thoroughly.” “The Swiss Federal Banking Commission provides comprehensive administrative assistance to foreign supervisory authorities. In criminal cases Switzerland also provides legal mutual assistance to those states with which no corresponding convention exists or which are not members of the corresponding European Agreement”.

 

“Through a balanced assessment of the Swiss track record, one can draw two lessons. First, Switzerland managed to appropriately balance the imperative necessity to fight financial crime against the legitimate aspiration of honest citizens to financial privacy. This balance exercise is an on-going process, reason why Switzerland constantly fine-tuned the legal provisions relating to banking secrecy The second lesson is that the banking secrecy is entirely compatible with an effective fight against financial crime and terrorism, provided it is embedded in a coherent framework of anti money laundering rules and it is subdued to an implacable determination of the authorities to crack down on financial crime. Switzerland understood long ago that a tough stance on crime was a necessary condition for preserving its traditional individual privacy in financial matters. Our beliefs, convictions and experience make that our country is fully committed to intensifying international and bilateral cooperation to tackle the common scourge of economic crime and terrorism financing.”

 

Furthermore, it has to be noted that severe cases of corruption are frequently associated with the problem of illicit funds deposited by leading political figures (e.g. heads of state). Switzerland is actively involved in the fight against corruption, both at home and in the international arena. We played a major role in the formulation of the 1999 OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions. The workgroup was chaired by Professor Mark Pieth (University of Basle), while the negotiations group was presided over by a Swiss diplomat, Ambassador Marino Baldi. Switzerland has already ratified this convention and accordingly amended its Penal Code, thereby outlawing bribery of foreign public officials in international business transactions. On 26 February 2001, Switzerland also signed the Council of Europe Criminal Law Convention on Corruption which includes clauses governing the responsibility of legal entities. Finally, Switzerland is pursuing its commitment within the framework of a future United Nations convention to combat corruption, work on which was initiated in Vienna on 21 January.”

 

“It is clearly in Switzerland’s interests to prevent assets of dubious origin from entering the financial centre. Should a head of state or politically exposed person nevertheless succeed in investing such assets of dubious origin in Switzerland, the necessary steps will be taken by the authorities in cooperation with the state of origin to block and return the assets in question to the legitimate owners. In this connection, Switzerland actively supports the states concerned in their efforts to find, block and repatriate illegally acquired assets.”

 

“In 1999, Parliament approved a variety of measures aimed at supporting the fight against organised crime, in particular by entrusting the federal government with new powers (that had previously been held by the cantons) to deal with organised crime and corruption. It also approved additional funding and staff. And last October, Switzerland participated in an evaluation of its financial sector by the International Monetary Fund (Financial Sector Assessment Program, FSAP). We are the first country to have extended the scope of application of this assessment to include its legislation against money laundering, and this clearly underscores our active commitment to the fight against unlawful use of the global financial system.”

 

“Limits of banking secrecy: Banking secrecy is flanked by rules to, as much as possible, prevent its abuse. Legitimate protection of personal rights on the one hand is confronted by public interest on the other and preventing criminal abuse of all kinds, including customs duty fraud, money laundering, corruption and terrorism. It is for this reason that there are a series of legally defined limits to banking secrecy. Exemptions are provided for under the Swiss Civil Code, debt collection and bankruptcy law, criminal law, administrative criminal law and cases of legal mutual assistance in criminal matters. In such cases, banking secrecy may also be lifted by order of the courts against the wishes of the client. Banking secrecy is inapplicable under the Swiss Federal Banking Commission (SFBC) supervisory body.”

 

“International mutual legal assistance in criminal matters: Thanks to the instrument of international mutual legal assistance in criminal matters states are able to support each other in the framework of criminal proceedings. Should a judge have to conduct investigations abroad, he submits a request to the judicial authorities of the country concerned on his behalf. The state to which the request is made provides legal assistance by undertaking the required official acts on his territory and the transfer of the findings for a specific criminal proceeding to the requesting state. Mutual assistance in criminal matters consists in particular of interviewing witnesses and suspects, the seizure and handing over of evidence and procedural documents as well as of objects and assets, house searches and confiscation, identity parades and the serving of summons, rulings and other court acts.”

 

“Combating international financial crime: Special features of organised crime are its complex structures and its international dispersion. Over the course of time, criminal organisations have infiltrated the political, economic and financial systems of numerous countries. This is how the most diverse financial centres are abused to feed money from illegal activities into the legal economic system. The core concern is the vast quantities of money mainly from drug trafficking, people trafficking and arms dealing. Since the attacks which took place on 11 September 2001 in the USA, the fight against global terrorism and its financing have become a priority. This has led not just to national but also international efforts being further intensified to more effectively call a halt to money laundering.”

 

“Right from the start, Switzerland has played a major role in the struggle against the laundering of money of criminal origin. A first step was taken in 1977 with the introduction of the obligation by the banking sector to observe clearly defined due diligence standards when accepting funds. This provision obliges the banks to fully implement the "KYC" (Know Your Client) rules. Subsequently, co-operation was 10 General Agreement on Trade in Services.”

 

 “In Switzerland any form of anonymous numbered account is prohibited. The identity of the beneficial owner of a bank account is clearly established. If required, the supervisory authorities are accorded unhampered access to all necessary information. In the case of a criminal act (tax fraud, money laundering, etc.), “banking secrecy” is waived, regardless of whether or not the crime was committed in Switzerland or abroad, and where applicable, legal mutual assistance is granted.”

 

“Switzerland, of course, does not tolerate the abuse of its financial system by terrorists for the undertaking of criminal acts; we introduced the necessary measures many years ago to prevent it from being used to finance terrorist activities. Switzerland co-operates fully in the investigation of international criminal activities, and Switzerland's banking secrecy does not protect terrorists, nor does it protect criminal organizations or criminal activities of any kind whatsoever.”

 

But, in spite of aforesaid declared intention in its Policy, following facts causing serious doubts in respect of intention of the Swiss Government:-

 

“Along the Swiss banks, 147 foreign banks operate in Switzerland through either subsidiaries or branches. Foreign banks have long been welcome in Switzerland and almost all the big names are represented in Switzerland. Among them some Japanese banks like Mizuho Bank, Nomura Bank, Mitsubishi Tokyo and UFJ Bank. The subsidiaries of foreign banks differ widely in size and activities, but most of them focus on private banking and asset management. This is the real specialty of Swiss-based banks which according to certain estimates, manage more than one fourth of all internationally-invested private wealth.”,  “Switzerland's banking system currently comprises 378 institutions with a combined balance sheet total of more than 2,300 billion Swiss francs. Our two biggest banks – UBS and Credit Suisse - are ranked among the ten largest in the world, and in the area of asset management, Swiss banks are the world's leaders.”, “A traditional strength of the Swiss Financial Centre is asset management which created over half of the banks’ total added value. In this business domain Switzerland occupies a leading global position. Here it is competing with other important financial centres.” , and “Swiss financial center: Foreign customers accounted for a share of approximately 57%. Of all assets held, 42.1% came from private clients and 47.5% from institutional investors. Commercial clients accounted for the remaining 10.4%. As a means of comparison, Swiss foreign assets (active) in 2001 amounted to CHF 2,200 billion with corresponding net assets of CHF 602 billion.”     

 

From the aforesaid facts and circumstances, serious question arises that whether any part of the foreign customers accounted for a share of approximately 57%. Of all assets held, 42.1% came from private clients, is at all from any developed country? Certainly cannot. Therefore, I am sure that such amount is coming from the developing countries major part of it from India’s corrupt Politicians, Bureaucrats and unscrupulous Businessmen and terrorists etc.  

 

Under the aforesaid facts and circumstances this is ample clear that either Central Bureau of Investigation withhold from producing necessary documents in the Bofors bribery case to save influential but corrupt people or failure to obtain necessary documents, by the Government of India or Central Bureau of Investigation cannot be justified, unless there are some hiding arrangement to protect some powerful or influential people.

 

Therefore, I humbly submit that Government of India should clarify its positions on all counts referred above to remove each and every doubts.

 

With Best Regards,

Yours truly,

(MILAP  CHORARIA) 

Convenor : Movement for Accountability to Public (MAP):

http://groups.yahoo.com/group/MAP_INDIA            http://milapchoraria.tripod.com/msp

Columnist : For Several DAILY Newspapers in India

Life Member of India Chapter of Transparency International and associated with several other organisations

Author: “A MODEL OF NEW CONSTITUTION FOR INDIA”

and

“MYSTERIES of POLITICS-CRIME-NEXUS”

B-5/52, Sector-7, Rohini,  New Delhi-110 085 (INDIA)

Email: Milap_choraria@yahoo.com

Copies to   1.   His Excellency President of the Swiss Confederation Mr. Samuel Schmid, Hard Copy of this Letter His Excellency

                                             Swiss Ambassador to India. 

                                2.          His Excellency Vice-President of Swiss Confederation Mr. Moritz Leuenberger

3.             Hon’ble Mr. Joseph Deiss Head of the Swiss Federal Department of Economic Affairs

4.        Secretariat-General FDF Swiss Federal Department of Finance

5.             Ms. Micheline Calmy-Rey, Head Swiss Federal Department of Foreign Affairs

(Through Message Box): http://www.calmy-rey.admin.ch/e/contact/cntrequest.aspx

6.       Swiss Political Affairs Division II - Asia / Pacific

7.       Swiss Political Affairs Division V - Economic and Financial Affairs

8.       Swiss UN – Coordination

9.       Swiss Federal Banking Commission

10.      Smt. Sonia Gandhi, President of Congress Party and Chairperson of UPA; through self 

Email ID and also through Smt. Ambika Soni and Shri Anand Sharma, 

11.     Shri Lal Krishna Advani, Leader of Opposition in Loksabha;

12.    Shri Jaswant Singh Ji, Leader of Opposition in the Rajya Sabha.

13.    Shri Prakash Karat, General Secretary, Communist Party of India (Marxist) 

14.    Home Secretary, Government of India; 

15.    The Commissioner of Police, Delhi;

16.    Chief Vigilance Commissioner, and other Two Commissioners, Central  Vigilance Commission.  

17.    Director, Central Bureau of Investigation.

18.    His Excellency Mr. Kofi A. Annan, Secretary-General of UNO through Director,

Mr. Sarbuland Khan, Department for Economic and Social Affairs

19.    His Excellency President of European Union Mr. José Manuel Barroso

20.    The Spokesperson of The President of European Union Mr. José Manuel Barroso

21.    Secretariat-General European Union

22.    Commissioner for Economic and Monetary Affairs, European  Union Joaquín Almunia

23.    Commissioner for Employment, Social Affairs and Equal Opportunities, European Union Mr. Vladimír Špidla

24.    His Excellency Mr. Paul Wolfowitz, President of the World Bank,

25.    Board of Directors IMF, through IMF Centre,

26.    His Excellency Swiss Ambassador to India,

27.    Shri Ram Jethmalani. M. P.,

28.    Hinduja Brothers,

29.    Mr. Magnus Ingesson, President Bofors Company,

30.    Hon’ble Chief Justice of India, through Registrar-General of Supreme Court of India, by Regd. Post.

 

TRUTH SHALL PREVAILS