Colleges impart ‘lessons’ to combat demonetisation

Hyderabad/Nellore: Demonetisation of high value notes, as a measure to curb black money is making the black money hoarders to come up with new ways to convert money them into white. These ways are turning out to be more sinister with middle class and lower middle class people becoming victims in both the Telugu speaking states.

In Hyderabad, educational institutes, particularly engineering and professional colleges, are using all their resources to convert black to white. They are forcing their employees to deposit black in their respective accounts and those opposing the move are being threatened.Engineering colleges, on the outskirts of the city in Ranga Reddy, Medak and Medchal mandals, have mandated their staff to deposit the black money of the management in their respective salary accounts.

“The management gave us Rs 2 lakh each and asked us to deposit the same in our salary accounts to be withdrawn later in phases and given back to them,” said a faculty with an engineering college under the condition of anonymity.

Most of these engineering colleges are group of institutions having more than 100 staff on their roster. These institutes are said to be using every one of their staff, right from watchman to dean to convert black into white.

While the watchmen are given Rs 50,000, the faculty and heads of departments were given up to Rs 2.5 lakh to deposit in their respective accounts. These managements are holding back the salaries and certificates of the staff, in a bid to make the staff toe their line.

A group of institutions have even arranged college bus to the staff on Saturday to send them to the bank, which has salary accounts and got the money deposited. Moreover, the staff was asked to pay the amount in entirety and if the staff are in tax bracket and if any penalties are levied they have been asked to bear the burden. This means that they are not supposed to reveal the source.

In Nellore in Andhra Pradesh, commercial organizations are pressurising their employees to deposit Rs 2.40 lakh in their personal accounts and if anyone refuses to do so, he is threatened with retrenchment from his job. “My owner warned me of retrenchment when I explained my inability to do so.

Now, we are not performing duties but are standing in bank queues to deposit the money and also exchange demonetised currency. The money so deposited is to be withdrawn later in a phased manner,” said an accountant on the condition of anonymity.

These organizations are also employing some people on a daily wage of Rs 500 to help them exchange the demonetised notes.
These organisations deploy local accountants who record entries in double entry system and maintain current accounts in local banks for business needs.

Major chunk of their revenue is put aside which is not accounted for. With sudden decision of the government demonetising the higher denominations, middle-level commercial and production organisations are now scouting for means to convert black money into white.

By:Aditya Parankusam/PV Prasad