Currency Demonetisation and Future course of Indian Economy

Suraj · Post by **Suraj** » 13 Nov 2016 02:32

The basic idea is that the new currency is not the same unit as the old. Therefore the man cannot claim that he deposited the same 10K back for business reasons because he always deposits 10x1000 and gets 5x2000 . By generating new currency in a new denomination they shut down everyone who could claim legitimate redeposition of the same cash , since not all banks track serials assiduously . Nobody has old money in the new denomination, so the games up .

The more you think through this the more the genius of the plan looks . The only problem is the operational difficulty of switching to new currency as abruptly as this was done . GoI needs to get on that on a war footing; the first two weeks or so of rush are critical to deal with . They have time afterwards to mine the wealth of deposit data to catch the crooks .

JayS · Post by **JayS** » 13 Nov 2016 02:46

But if banks track each and every old note deposited/exchanged then one cannot claim he deposited new money second time, because the money that he actually deposited was old currency and is marked already under his name. Yes, if the banks are not marking the old notes deposited in own bank accounts than one can make claims that he deposited new currency and get away. Since I am yet to go to bank and deposit the 2k worth old notes we have I don't know what banks are doing exactly.

The thing is GOI is planning to overhaul entire currency with new notes to curb fake notes. So printing large amount of existing designs of 100/50 would have been a costly and wasteful affair for GOI. Considering the printing cost of 1.79 Rs per 100 Rs note means 1800Cr to print 100000Cr worth currency. In January due to idiotic people at the note press, 30000Cr of 100 Rs notes had to be burnt. This could also have had effect of current crunch in releasing new 100 rs notes. Difficult to say.

Hopefully Modi will take control of the situation now that he is back.

Marten · Post by **Marten** » 13 Nov 2016 02:49

My mom, MIL, SHQ all took 15 minutes to get cash when the ATMs were opened. Most around our houses were closed.
From what I understand, the backlash from corrupt Govt. employees will be higher than from the average citizen who really doesn't carry that much cash. The real pain will come to the small business owners who have been hiding their sales or fudging their books for a long while. When the PM says he will go as far back as 1947, he means they cannot hide anything at all.

There are obviously a lot of folks who will be stuck with worthless notes. I'm considering buying notes at 40% discounts - I mean every honest tax paying citizen should be able to buy 4 lacs from dishonest citizens at 2.5 lacs. hehehe. (j/k)

MohdKav · Post by **MohdKav** » 13 Nov 2016 02:59

It has begun, So this what a Bus service business people, have to go through; corruption at the checkposts and motor vehicle department. Remember one poster stating if you are 99% correct.they will you let be , the contempt and silliness of the arguments presented on this forum are frankly sickening.

MohdKav · Post by **MohdKav** » 13 Nov 2016 03:04

Deleted .

Marten · Post by **Marten** » 13 Nov 2016 03:06

Sickening or not, you're actually sad that someone is unable to bribe or ask for one? Quite pathetic.
Suck it up mate. Eventually none of these dogs will be able to ask bribes or hide their ill gotten gains. It will take a few days of pain, but really, that is not a reason to abuse the move.

Suraj · Post by **Suraj** » 13 Nov 2016 03:07

JayS wrote:But if banks track each and every old note deposited/exchanged then one cannot claim he deposited new money second time, because the money that he actually deposited was old currency and is marked already under his name. Yes, if the banks are not marking the old notes deposited in own bank accounts than one can make claims that he deposited new currency and get away. Since I am yet to go to bank and deposit the 2k worth old notes we have I don't know what banks are doing exactly.

More data for them to note down . Throughout is important. There's absurd amounts of cash suddenly flowing into the banking system. It looks like the early estimates for deposits will be exceeded by quite some margin . This system is not sophisticated enough to manage this throughout so efficiently . Therefore the smarty thing to do is to simply not generate the same denomination at all , so that roundtripping literally isn't possible and all the information that's needed quickly is number of notes and face value .

MohdKav · Post by **MohdKav** » 13 Nov 2016 03:15

Marten wrote:Sickening or not, you're actually sad that someone is unable to bribe or ask for one? Quite pathetic.
Suck it up mate. Eventually none of these dogs will be able to ask bribes or hide their ill gotten gains. It will take a few days of pain, but really, that is not a reason to abuse the move.

You need to understand how black money is made, most of them time it is about tax evasion, most other times it is survival.

MohdKav · Post by **MohdKav** » 13 Nov 2016 03:23

My business and my family is the most important thing for me, I would bribe , I would hide, I would anything to stay afloat and give a better future. As long as I am faced with unreasonable corruption, taxation, and regulations, where a hard working man cant enjoy the fruits of his labor in peace. As long as Modi doesnt remove the impediments to a 'sane' business environment, tax evasion will continue. As long as structural problems persists with over reuglations and corruption, black money will find its way back. Modi can do, diddly sqwat.

LokeshC · Post by **LokeshC** » 13 Nov 2016 03:24

The britshit colonial days ensured we had two parallel systems. One on the books and one off. It had been like that for ages. Modi is just integrating it into one while killing BM in the same stroke.

The problem here is small time folks use the same off the books methods that people with BM use. Once the small time folks come into the mainstream, the BM guys will be the only ones who use the parallel economy.

I just hope the small time folks resolve everything in a couple of weeks, and yes, I have not much in Indian currency so I dont feel the pain (and i might come across as sanctimonious/hypocrite).

MohdKav · Post by **MohdKav** » 13 Nov 2016 03:26

Black Marketeer's is not some shadow organization, it is part of the Indian economy, the way our economy and how business is run here, it will come back

darshan · Post by **darshan** » 13 Nov 2016 03:30

Lot of people I know are presently visiting India and all had canceled their plans to travel to certain areas known to collect unauthorized tolls like this. It is all about planning accordingly. Yes, central gov't may not have taken care of it but lot of situations can be taken care of individually. They are all happy about this move and by the way each one of them took some decent amount of hit and they are still OKAY with it.

sudarshan · Post by **sudarshan** » 13 Nov 2016 03:32

MohdKav, do you understand that Modi *is* removing those impediments and trying to do away with everything that you find unreasonable? That in the process of doing this, people are definitely going to undergo short-term pain? It is inevitable. You want everything to stay as it is, so that the short-term pain is avoided. Others are trying to put up bravely with the short-term pain, in the hope of long-term benefits - and those long-term benefits are exactly the same ones you yourself enumerated - removing impediments to sane business, removing unreasonable corruption and regulations, etc. You can find N examples of this or that guy inconvenienced at border checkposts or banks or ATMs. Nobody's denying that those inconveniences are happening. The idea is to ride out those day-to-day inconveniences in the short-term, so that within a few months or a year, things get better.

But if you just want to crib about every little inconvenience in the meantime, you are not going to get any sympathy for that.

hanumadu · Post by **hanumadu** » 13 Nov 2016 03:44

MohdKav wrote:It has begun, So this what a Bus service business people, have to go through; corruption at the checkposts and motor vehicle department. Remember one poster stating if you are 99% correct.they will you let be , the contempt and silliness of the arguments presented on this forum are frankly sickening.

That's the inefficiency of the bus operators and the state police manning the check post. The bus operator should be carrying the necessary cash or card if they are business worth its name. The check post should have made arrangements to accept card or old currency. After all the state govt's have the ear of the PM, an exemption could have been asked. How come there are more vehicles backed up? How come other inter state traffic seems to have no problem?

MohdKav · Post by **MohdKav** » 13 Nov 2016 03:47

I keep hearing this " little inconvenience" , You think Bus service provider's with passenger's not allowed to pass a check point without bribing the cops with the right kind of money is little inconvenience, if refuses to pay, they will stop all his buses playing by putting false charges, and then who will answer to the passengers, who pay money he might have borrowed to run the business, who will pay the salaries ?

ESI Hospitals - Run by the government, 8 years ago decides even though it is for factory workers to include my industry into it, they publish a gazette which nobody see. If you see the law regarding ESI, it is meant for factory workers not professionals. I get no letters or intimations nor does anyone in my sector, 8 years passes, suddenly I get a notice from ESI that I need to pay ESI for my staff, and I am supposed to come to their office with rolls. They come up with a figure of 39 lacs as penalty for 7 years insurance that my company or my staff havent used, or I havent collected, which my staff doesnt want ( nobody wants ESI, they rather have National Insurance ) or something they have intimated me either. So some idiot in Kerala, decided that they cant close down ESI hospitals, and they need money for it, so they decided to put some new sectors into it, which werent even part of the original esi mandate. Now I have to pay 39 lacs insurance, which I or my employee's never even knew existed. I am not the only one, they have done to ALL the companies in my sector. We went to the courts and lost, why because the system is gamed.

You have to read about how PF department used a Court order they got in Jharkhand, which was squashed by a higher court, but they hid the higher court's order, but brandished lower court's order in Kerala to get people to declare PF in a different calculation, which would put more people into their books. It took 4 years, before it was caught by a intelligent CA. No money was returned back , no bribe was returned which was used to reduce the money they calculated on the basis of the defunct court order they brandished.

My employee's have stood by me thick and thin through all of this,

As long as above remains, As long as the system harasses business, there will black money. And I and every business owner will do anything to survive.

MohdKav · Post by **MohdKav** » 13 Nov 2016 03:47

hanumadu wrote:
MohdKav wrote:It has begun, So this what a Bus service business people, have to go through; corruption at the checkposts and motor vehicle department. Remember one poster stating if you are 99% correct.they will you let be , the contempt and silliness of the arguments presented on this forum are frankly sickening.

That's the inefficiency of the bus operators and the state police manning the check post. The bus operator should be carrying the necessary cash or card if they are business worth its name. The check post should have made arrangements to accept card or old currency. After all the state govt's have the ear of the PM, an exemption could have been asked. How come there are more vehicles backed up? How come other inter state traffic seems to have no problem?

Its for Bribing.

MohdKav · Post by **MohdKav** » 13 Nov 2016 03:48

darshan wrote:Lot of people I know are presently visiting India and all had canceled their plans to travel to certain areas known to collect unauthorized tolls like this. It is all about planning accordingly. Yes, central gov't may not have taken care of it but lot of situations can be taken care of individually. They are all happy about this move and by the way each one of them took some decent amount of hit and they are still OKAY with it.

People who dont have to face such impediments and are not responsible to anyone but themselves will definitely be happy.
I dont care about black money, but this move has some serious collateral damage, as long as modi is not handling that part of it, this will end badly for many businesses
Also, as a moderator pointed, obivisouly at me, I wasnt looking for a bail out, but a management of collateral damage and making sure liquidity isnt sucked out of the economy which will collapse the economy on its own weight, being academic is all fine dandy, as busineses close down and job losses happen, shits hits the fan. In the books it might be 2.2 trillion, in reality it is 2.7, that extra black economy which our moderator wants to crash has people in it. Lives and families are depeneded on the jobs of these people.
Without de regulation, stopping corruption and ease of credit, this will make our economy shrink atleast 20% ,maybe even more.

ManSingh · Post by **ManSingh** » 13 Nov 2016 04:03

MohdKav wrote:
darshan wrote:Lot of people I know are presently visiting India and all had canceled their plans to travel to certain areas known to collect unauthorized tolls like this. It is all about planning accordingly. Yes, central gov't may not have taken care of it but lot of situations can be taken care of individually. They are all happy about this move and by the way each one of them took some decent amount of hit and they are still OKAY with it.
People who dont have to face such impediments and are not responsible to anyone but themselves will definitely be happy.
I dont care about black money, but this move has some serious collateral damage, as long as modi is not handling that part of it.
Also, as a moderator pointed, obivisouly at me, I wasnt looking for a bail out, but a management of collateral damage and making sure liquidity isnt sucked out of the economy which will collapse the economy on its own weight, being academic is all fine dandy, as busineses close down and job losses happen, shits hits the fan. In the books it might be 2.2 trillion, in reality it is 2.7, that extra black economy which our moderator wants to crash has people in it. Lives and families are depeneded on the jobs of these people.
Without de regulation, stopping corruption and ease of credit, this will make our economy shrink atleast 20% ,maybe even more.

Business are driven by and exist due to demands of customers. After this move, are people going to stop eating, watching movies, taking a vacation etc.? If I want to eat ice cream, there will be a person willing to manufacture, distribute and sell ice cream.

I really don't understand your doomsday predictions. What is your reason for businesses going kaput and job losses?

BTW, I have seen enough of corrupt officials, so please don't base your reasoning on that.

vijayk · Post by **vijayk** » 13 Nov 2016 04:04

https://twitter.com/Babu_Bhaiyaa/status ... 8071862272

Paresh Rawal fαи ‏@Babu_Bhaiyaa 13h13 hours ago
Ha ha ha. Spot on. Common man is happy..Funniest video I seen on Black Money. They used to mock Chai wala..& that Chai wala did this to them

darshan · Post by **darshan** » 13 Nov 2016 04:08

^^^ Sorry brother. Still sticking to the same point. While I mentioned my family from outside India there, other side of the coin runs various transportation businesses ranging from private corporate rentals to trucks. None of the drivers or employees were running around like crazy. Yeah trucks were standing and not earning money due to not being able to figure out how to get diesel in far away cities. Like someone mentioned above it is all about preparation whether it is drunk guy at a check post, riot, flood etc. Matter of fact lot of family members instead took down days to help drivers and other employees get into bank system so they and their families do not panic due to random rumors on whatsapp.

Added later:
And, by the way, I am proud grandson of a grandfather who had shut down many family businesses due to not able to run them without hiring goons or paying bribes. He was first one after independence to go ahead and send in his portion of tax year after year even with having tons of agriculture qualification to hide behind. Tons of people within city still call refer to him as crazy for filing tax returns when he did not have to. It is all about the road you choose to walk.

shyamal · Post by **shyamal** » 13 Nov 2016 04:11

ManSingh wrote:
MohdKav wrote:
People who dont have to face such impediments and are not responsible to anyone but themselves will definitely be happy.
I dont care about black money, but this move has some serious collateral damage, as long as modi is not handling that part of it.
Also, as a moderator pointed, obivisouly at me, I wasnt looking for a bail out, but a management of collateral damage and making sure liquidity isnt sucked out of the economy which will collapse the economy on its own weight, being academic is all fine dandy, as busineses close down and job losses happen, shits hits the fan. In the books it might be 2.2 trillion, in reality it is 2.7, that extra black economy which our moderator wants to crash has people in it. Lives and families are depeneded on the jobs of these people.
Without de regulation, stopping corruption and ease of credit, this will make our economy shrink atleast 20% ,maybe even more.
Business are driven by and exist due to demands of customers. After this move, are people going to stop eating, watching movies, taking a vacation etc.? If I want to eat ice cream, there will be a person willing to manufacture, distribute and sell ice cream.

I really don't understand your doomsday predictions. What is your reason for businesses going kaput and job losses?

BTW, I have seen enough of corrupt officials, so please don't base your reasoning on that.

I guess he is trying to say that the manufacturing and distribution of ice-cream will be hampered due to the corrupt govt machinery unless their palms are greased. So even if there is demand for ice-cream its not worth the hassle to manufacture and sell it

MohdKav - we live in this country too and believe me we do understand.

But change has to start somewhere. Unfortunately, you may become the scapegoat of change. Or you may try you best to stay on the straight and narrow from now on and check how you can still sell a profitable ice-cream. Maynot be impossible

MohdKav · Post by **MohdKav** » 13 Nov 2016 04:13

ManSingh wrote:
MohdKav wrote:
People who dont have to face such impediments and are not responsible to anyone but themselves will definitely be happy.
I dont care about black money, but this move has some serious collateral damage, as long as modi is not handling that part of it.
Also, as a moderator pointed, obivisouly at me, I wasnt looking for a bail out, but a management of collateral damage and making sure liquidity isnt sucked out of the economy which will collapse the economy on its own weight, being academic is all fine dandy, as busineses close down and job losses happen, shits hits the fan. In the books it might be 2.2 trillion, in reality it is 2.7, that extra black economy which our moderator wants to crash has people in it. Lives and families are depeneded on the jobs of these people.
Without de regulation, stopping corruption and ease of credit, this will make our economy shrink atleast 20% ,maybe even more.
Business are driven by and exist due to demands of customers. After this move, are people going to stop eating, watching movies, taking a vacation etc.? If I want to eat ice cream, there will be a person willing to manufacture, distribute and sell ice cream.

I really don't understand your doomsday predictions. What is your reason for businesses going kaput and job losses?

BTW, I have seen enough of corrupt officials, so please don't base your reasoning on that.

You think business exist in India, because there is demand ? Most of the businesses in India especially in the past 3 years, were not making money rather was just rolling.

How will you quench the demand of the market for eating - if the health inspector doesnt give you the license, because you didnt pay him off?
There are many examples,
I even provided a proof of how a the cops stopped a bus full of passengers to collect their hafta? Bus service can refuse to pay and his buses would not ply the next day. Whats use of demand, when you wont be allowed to fullfill those demand ? Regulations and corruptions ensure that it cant be fullfilled , and he cant even afford to be off the roads, because he has taken 2 percent /month black money loan from loan sharks to pay his staff in white as well buy diesel.
Most of you havent had to face anything, which is why you are all spouting sanctimonious academic horse puckey out here,

And again, I am not against what Modi has done,

MohdKav · Post by **MohdKav** » 13 Nov 2016 04:14

shyamal wrote:
ManSingh wrote:
Business are driven by and exist due to demands of customers. After this move, are people going to stop eating, watching movies, taking a vacation etc.? If I want to eat ice cream, there will be a person willing to manufacture, distribute and sell ice cream.

I really don't understand your doomsday predictions. What is your reason for businesses going kaput and job losses?

BTW, I have seen enough of corrupt officials, so please don't base your reasoning on that.
I guess he is trying to say that the manufacturing and distribution of ice-cream will be hampered due to the corrupt govt machinery unless their palms are greased. So even if there is demand for ice-cream its not worth the hassle to manufacture and sell it

MohdKav - we live in this country too and believe me we do understand.

But change has to start somewhere. Unfortunately, you may become the scapegoat of change. Or you may try you best to stay on the straight and narrow from now on and check how you can still sell a profitable ice-cream. Maynot be impossible

I rather you be scapegoat or there be no scapegoat at all.
Sorry my family and employee's arent ready to be guinea pigs

shyamal · Post by **shyamal** » 13 Nov 2016 04:18

You want sarkari corruption to stop? Newsflash - we all want that

It seems for the first time in the history of India we have a leader who is serious about corruption - to the tune of risking his entire career through a very risky move. I am sure Modi knows how wrong it can get and how soon riots can start over money. He has still gone ahead with it.
So I am very hopeful that things will change very soon in the sarkari level too. Already plenty of sarkari corrupt are squirming just like the besarkari corrupt

MohdKav · Post by **MohdKav** » 13 Nov 2016 04:19

ManSingh wrote: I really don't understand your doomsday predictions. What is your reason for businesses going kaput and job losses?

BTW, I have seen enough of corrupt officials, so please don't base your reasoning on that.

You think black money is some thing people have hidden in some safety lockers?
Black money also runs and finances businesses.
So, when you suck out cash out of an economy, there are going to businesses which will close down, when they cant find finances to run anymore. Which will result in job losses

Do you really think when the economy contracts by 20 percent, there woudnt be any job loses or collateral damage?

MohdKav · Post by **MohdKav** » 13 Nov 2016 04:21

shyamal wrote:You want sarkari corruption to stop? Newsflash - we all want that
It seems for the first time in the history of India we have a leader who is serious about corruption - to the tune of risking his entire career through a very risky move. I am sure Modi knows how wrong it can get and how soon riots can start over money. He has still gone ahead with it.
So I am very hopeful that things will change very soon in the sarkari level too. Already plenty of sarkari corrupt are squirming just like the besarkari corrupt

narendera Modi zindabad.

There is no point talking. If Modi dosesnt fix the liquidity crunch in the market and regulations/corruption which exist in the market. Within the next 3 -6 months, businesses will start closing down. He has risked his political career with our economy.

And he cant fix corruption/regulation in 5 months, there are far too many variables. Why would Mamta want to end corruption?

Suraj · Post by **Suraj** » 13 Nov 2016 04:29

MohdKav: only black money goes away , not money itself . No matter whether it's burned or returned, there is no change in RBIs balance sheet . In other words the monetary base of the economy is exactly the same whether all white or white plus black because it's all printed by the RBI either way .

The only extent to which business fails is their own unwillingness to transition to cashless basis . There's no point in complaining about the e difficulties of running a business because it's your voluntary choice to run your own business and accept all the problems that come with it .

What's going to hurt is the businesses that depend on black money to run. Those will have to painfully change to all white . You spoke of selfishness . The average consumer is selfish too - they want the businesses to take all the pain now, quickly rather than spread it out over a long time and prolong the consumers pain .

Rather than complaining here, which is a complete waste of your time, you should be seeking a MuDra loan or other means to address the short term cash flow of your business, not to mention figuring out how to operate on a more cashless basis . Your own business will benefit more from those efforts than any time you spend here mocking our discussion and getting yourself warned for disruption .

vera_k · Post by **vera_k** » 13 Nov 2016 04:32

In today's day and age with so many people with mobile phones that can be used to place a call, there's no excuse for a bus with passengers being held up for a bribe.

Seems like doordarshan should be running continuous ads with number to call to report corruption.

ManSingh · Post by **ManSingh** » 13 Nov 2016 04:33

MohdKav wrote:
ManSingh wrote:
Business are driven by and exist due to demands of customers. After this move, are people going to stop eating, watching movies, taking a vacation etc.? If I want to eat ice cream, there will be a person willing to manufacture, distribute and sell ice cream.

I really don't understand your doomsday predictions. What is your reason for businesses going kaput and job losses?

BTW, I have seen enough of corrupt officials, so please don't base your reasoning on that.
You think business exist in India, because there is demand ? Most of the businesses in India especially in the past 3 years, were not making money rather was just rolling.

How will you quench the demand of the market for eating - if the health inspector doesnt give you the license, because you didnt pay him off?
There are many examples,
I even provided a proof of how a the cops stopped a bus full of passengers to collect their hafta? Bus service can refuse to pay and his buses would not ply the next day. Whats use of demand, when you wont be allowed to fullfill those demand ? Regulations and corruptions ensure that it cant be fullfilled , and he cant even afford to be off the roads, because he has taken 2 percent /month black money loan from loan sharks to pay his staff in white as well buy diesel.
Most of you havent had to face anything, which is why you are all spouting sanctimonious academic horse puckey out here,

And again, I am not against what Modi has done,

Seriously, If you haven't made any money in 3 years, what difference does it make now whether there is liquidity in the market or no?

You are still doing a corruption==black money. It might be partially correct but not fully. Not wanting to give you any wrong ideas, but you could still be corrupt and do your business in the new economy Modi is building. Just pay with your white money profits and adjust somewhere else.

Btw, it ain't going to happen that their is a demand and no one to fulfill that demand. No food, we riot. No ice cream, well....

One more thing I would like to share. You are asking for sympathy as a small business holder because your worth has been reduced.

Have you thought of what we salaried class go through or went through till now? The pain we endured till now is nothing that you know of.
I as a salaried class could die working in my cubicle and still not make enough to own a decent place to live( I mean ownership ), had to think several times before eating out, own a very small car which I could buy on installments after working for 6 years. Every small business holder/property broker teenage kid that I see owns a fortuner/endeavour etc. There is no way we could compete with the underground economy.

No one sympathized with us earlier. While a lot of others have sympathized with you, I can only feel sorry after digging very deep.
We also had to figure out a way to survive. It's your turn now. I am sure I could figure out, so can you.
Sorry if I am harsh. Last post from me as a reply to you.

MohdKav · Post by **MohdKav** » 13 Nov 2016 04:46

I dont care about worth, I care about liquidity.
You dont risk as much as we do, so you get what you deserve.
Black economy was encouragedby the govt through its policies, Burn the black money, I care two hoots. I am asking what Modi is doing about cash crunch that will create and corruption. It cant wait.

I have understood you dont understand and you think businesses men are swimimng in money; quite devoid of reality

Suraj · Post by **Suraj** » 13 Nov 2016 04:54

You will never have the same cash liquidity again. The sooner you accept this and figure out cashless business options, the better for you . I'm telling you this in the nicest possible way . It will never be business as usual in black money again, so stop begging the government to restore it.

You can yell at Modi to improve liquidity and basically cause your business to fail by wasting time on futile screaming, or you can start working now on building a foundation of white transactions - cheque, cards , mobile or whatever .

ManSingh · Post by **ManSingh** » 13 Nov 2016 04:59

MohdKav wrote:I dont care about worth, I care about liquidity.
You dont risk as much as we do, so you get what you deserve.
Black economy was encouragedby the govt through its policies, Burn the black money, I care two hoots. I am asking what Modi is doing about cash crunch that will create and corruption. It cant wait.

I have understood you dont understand and you think businesses men are swimimng in money; quite devoid of reality

Hmm... I get what I deserve. Quite personal but I will take it as a compliment. Karma after all.
It would take too much of an effort to whine about salaried class.

MohdKav · Post by **MohdKav** » 13 Nov 2016 05:00

Try giving 89 people salaries every month and see the difference.

Suraj · Post by **Suraj** » 13 Nov 2016 05:04

MohdKav wrote:Try giving 89 people salaries every month and see the difference.

That's 89 people who need a bank account, and you need to be using bank transfer to pay them. If you depend on cash for something so basic and your business cannot survive without even paying salary using a bank payment, and then you spend hours here complaining about the government, you are setting yourself up for failure.

shyamal · Post by **shyamal** » 13 Nov 2016 05:07

MohdKav wrote:Try giving 89 people salaries every month and see the difference.

You are a business owner. You take great risks. When you succeed you reap rewards which you richly deserve.
When you fail, you fail your dependents - family and employees.
And yes - failure to anticipate a change in govt regulation and business environment - specially after the amnesty scheme and public proclamation that it was going to be the final chance - that's failure.

Its not the govts(or our fault) that you do not have a plan B.

You are under a very stressful situation. Get some sleep instead of arguing with strangers on Internet. Your family and employees need you to have a clear head in this tumultuous times. No I am not being snarky.

MohdKav · Post by **MohdKav** » 13 Nov 2016 05:07

Suraj wrote:You will never have the same cash liquidity again. The sooner you accept this and figure out cashless business options, the better for you . I'm telling you this in the nicest possible way . It will never be business as usual in black money again, so stop begging the government to restore it.

You can yell at Modi to improve liquidity and basically cause your business to fail by wasting time on futile screaming, or you can start working now on building a foundation of white transactions - cheque, cards , mobile or whatever .

Who the hell wants cash? Who wants black? I am sure you have better comprehension skills that what you have stated above.
I want liquidity in the market, the government has decided to burn black economy, which has direct negative impact on a legitimate businesses like me, even though I dont own, borrow, transact or produce black money.
You dont have to be nice, You havent taken anything from me nor can you. There needs to be serious liquidity ( cashless or whatever ) into the market.
You just cut of a major cancerous part of your body, and if you wont put a bandage on it, you will bleed to death.
I dont see any such plans by Modi yet, nor do I see any structural reforms/ anti corruption raids on babu's or easing credit into the system.

MohdKav · Post by **MohdKav** » 13 Nov 2016 05:13

ManSingh wrote:
MohdKav wrote:I dont care about worth, I care about liquidity.
You dont risk as much as we do, so you get what you deserve.
Black economy was encouragedby the govt through its policies, Burn the black money, I care two hoots. I am asking what Modi is doing about cash crunch that will create and corruption. It cant wait.

I have understood you dont understand and you think businesses men are swimimng in money; quite devoid of reality
Hmm... I get what I deserve. Quite personal but I will take it as a compliment. Karma after all.
It would take too much of an effort to whine about salaried class.

You are job is under a business, it affects you to. The day your boss cant raise finance or make ends meet. He will try to sell his family jewels or mortgage his house to pay your salary, but you will jump to another job, when you get a few thousand more. Your loyalty and effort is just that. The more I see the glee here , absolutely disgusting. the more I am happy about my employee's who is with me.

But You have people here talking like an academician with no understanding of ground realities. As if like the economy is just a paper trail.Cut the black economy, nothing happens to the white.

Suraj · Post by **Suraj** » 13 Nov 2016 05:16

No, you want cash liquidity specifically. That much is clear when you talk of liquidity. There's more than enough liquidity in the system because the banks are receiving BILLIONS in deposits. They can issue loans far more easily than they could before Tuesday. In other words, the white economy is MORE liquid now than it was last week. Quite the opposite of what you're asserting.

You don't need cash liquidity to pay 89 employees who all have bank accounts into which you can transfer their salary out of your business account. You need no cash liquidity to deposit a check from a client, accept a card payment or mobile payment. For any of these tasks, the system works with absolutely no difference before and after Tuesday Nov 9 .

Lilo · Post by **Lilo** » 13 Nov 2016 05:22

Iam seeing some small business people are using these cheap mswipe POS card swipe machines(each costs ~Rs 1200).This should be more widely adopted & encouraged.

These machines are cheaper & smaller versions of the regular bulky card swipe machines which generate a thermal paper print .Instead these mswipe machines take in your phone number & send you a receipt as SMS after the card was swiped & payment completed.

Compared to the 2d barcode(i.e smart phone app) based payments like paytm & other digiwallets this is an easier solution for the relatively less digitally literate as just a standard card swipe & punching of the debit card pin is involved in the transaction.

It also accepts RuPay cards.
Other brands like Ezetap and iKaaz are offering similar machines.

https://twitter.com/sarpamedha/status/7 ... 5652536320

hanumadu · Post by **hanumadu** » 13 Nov 2016 05:23

MohdKav wrote:
Its for Bribing.

Looks fake to me. No official wants to attract attention to them by stopping so many people for 4 hours. In this day and age, no one will tolerate it.