New clause for duty-free gold evokes mixed response from NRIs

[email protected] (CD Network)
March 2, 2013
Mangalore, Mar 2: Even though the Government of India has revised the clauses for duty-free gold that can be carried by passengers to India in the 2013 budget, Indian expatriates in Gulf countries including UAE and Saudi Arabia voiced mixed responses to the new rule.

Finance Minister P Chidambaram on Thursday had announced amendment to a 1967 customs rule that had fixed the value of gold that can be carried by male and female passengers at Rs10,000 and Rs20,000 respectively. He raised the value of gold exempt from taxes to Rs50,000 and Rs100,000 for men and women respectively. As per the new rules, Indian expatriates can now carry five times more gold without paying any tax when they visit their home country.

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While some heaved a sigh of relief and welcomed the government's move, a large number of Indians were upset that the government did not fix the limit as per the weight of the gold, but its value, considering the ever-changing and generally skyrocketing gold rates.

K.V. Shamsudheen, the chairman of Sharjah-based Pravasi Bandhu Welfare Trust that had launched a campaign demanding a hike of the limit for carrying gold freely to India, appreciated the minister for increasing the present value to its five times. “In the budget, it is the only advantage for NRIs.”

However, he said it was not adequate for Indians, particularly women, who are known to wear a lot of gold jewellery, especially for functions. “But under the current value (of gold), the value of their wedding ring and mangalya soothra itself would be much more than the new allocation which is not adequate,” he said.

Thousands of people had signed an online petition launched by Shamsudheen who had requested the Indian prime minister and finance minister to allow 100gm gold to be carried by male passengers and 200gm of gold by female passengers without paying tax.

Dhilna Dinesh, a dance teacher from Dubai, said the new rule was likely to create problems for women like her.

“If customs officials will start strictly imposing this rule, it will be difficult for women like me to wear gold ornaments of our choice for functions in India. This can lead to people trying to carry ornaments by hiding them somehow and it can also pave the way for opportunistic customs officials to demand bribe,” she said.

According to Sunny Chittilappilly, chairman of Dubai Gold and Jewellery Group, it was a welcome move by the government to amend the age-old law. “Something is better than nothing. But, considering the current gold rate, the women can hardly take 36gm of gold. It would have been ideal had the government not repeated the mistake of tagging the limit to the value, not the weight,” he said.

Citing the Indians' obsession with gold and the spiraling rates, he said it would be reasonable for the government to allow male and female passengers to carry 50gm and 100gm of gold without paying tax. “It is a reasonable quantity and there won't be demands for amendments in future,” he added.

Related: Duty-free import limit of jewellery via passengers raised

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News Network
September 24,2024

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The Karnataka High Court on Tuesday dismissed the petition filed by Chief Minister Siddaramaiah against Governor Thawarchand Gehlot's decision to sanction the complaint and investigation against him in the alleged Mysore Urban Development Authority (MUDA) scam case.

Justice M Nagaprasanna said the facts narrated in the petition would undoubtedly require an investigation.

The court has also said that the Governor's order approving sanction to investigate against Siddaramaiah under section 17A of the Prevention of Corruption Act does not suffer from application of mind, instead has abundance of application of mind.

Meanwhile, the court rejected the request made by senior advocate Abhishek Singhvi to stay the order of the court. The court has vacated the interim order passed on August 19. In the interim order the trial court was directed not to take any precipitative action against Siddaramaiah. On August 17, Governor had approved sanction under section 17 A  of the Prevention of Corruption Act and Section 218 of Bharatiya Nagarik Suraksha Sanhita ( BNSS), citing three applications.

The court said the private complainants were justified in registering the complaint and seeking approval from the governor.

Insofar as private complainants seeking sanction under section 17A, the court said the provision nowhere requires only a police officer to seek sanction from a competent authority. The court further said it is in fact the duty of the private complainants to seek such approval.

Earlier, The High Court had completed its hearing in the case on September 12, and reserved its orders. It had also directed a special court in Bengaluru to defer further proceedings and not to take any precipitative action against the Chief Minister.

The case pertains to allegations that compensatory sites were allotted to Siddaramaiah's wife B M Parvathi in an upmarket area in Mysuru that had higher property value as compared to the location of her land that had been "acquired" by MUDA.

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News Network
October 4,2024

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Mysuru: Chairman of JD(S) core committee and Chamundeshwari constituency MLA G T Devegowda on Thursday expressed his solidarity with Chief Minister Siddaramaiah saying the latter need not resign, while lambasting leaders of his own party and alliance partner BJP, including Union Minister H D Kumaraswamy.

In his speech during Mysuru Dasara inauguration he said that if persons against whom FIR is registered have to resign, many leaders from all the three parties, including Opposition Leader R Ashoka, will have to resign.

“All are sitting in glass houses... Since I know Siddaramaiah well, I am talking about him. At a time when mines and real estate are ruling politics, Siddaramaiah has survived in politics. He has never done any favour,” Devegowda said.

He added, “Allegations against Siddaramaiah are unexpected and accidental. If the Governor and Chief Justice order an investigation, it does not mean that he should resign."

He continued, asking, "Have they told Siddaramaiah to resign or have they asked to imprison him? When a person becomes a Central minister, he or she should realise their dignity and responsibility. Instead of recognising the good work done by Siddaramaiah, they ask him to resign. Will Kumarswamy (facing an FIR) resign? Should Siddaramaiah, who has become CM with a support of 135 MLAs, resign?"

"Opposition leaders are not remembering the good work of earlier CMs Kengal Hanumanthaiah, Veerendra Patil, Ramakrishna Hegde, H D Deve Gowda or S M Krishna. Karnataka is a model state. It is a bad trend to topple an elected government which is doing good work,” he further said.

Devegowda added, “Siddaramaiah is Goddess Chamundeshwari’s ‘Varaputra’ and hence has her blessings during tough times. He won the election in Chamundeshwari Assembly constituency, when the BJP-JD(S) government was in power in 2006. With the blessings of the Goddess, he has held varied positions right from becoming an MLA for the first time in 1983. He presented 15 budgets and has become CM for a second time. He took H C Mahadevappa, a Dalit leader to the state level. Siddaramaiah has the support of Deputy CM D K Shivakumar as ‘Jodeththu’. Blessings of the beneficiaries of guarantee schemes are with him (Siddaramaiah).” 

Siddaramaiah said, “Devegowda was a MUDA member. He knows the truth. Hence, he is saying this. His words have filled strength in me. ‘Satyameva Jayate’, Truth will always triumph.” 

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News Network
October 3,2024

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Bengaluru: The Karnataka Food Safety and Quality Department has issued an urgent warning following the discovery of potentially cancer-causing chemicals in cakes sold by certain bakeries across the state.

Recent tests conducted by the department revealed that some cake samples, particularly those with vibrant colors, contain harmful synthetic coloring agents such as Allura Red, a substance known to pose health risks. The findings have raised concerns about the use of artificial colors in bakery products, especially given their potential link to cancer and other serious health conditions.

"We routinely test various food products, and this time, our officials noticed unusually dark-colored cakes on the market," said Srinivas K, Commissioner of Food Safety for Karnataka. "Upon testing, we found that a few cakes contained Allura Red, a synthetic dye associated with health risks."

The use of artificial colors, especially in popular cakes like red velvet and pineapple varieties, is widespread as it attracts customers, particularly children. However, many bakers prefer using natural, safer alternatives, while some opt for synthetic dyes to enhance the cake's visual appeal.

"Most bakeries use permissible, natural colors that are safe for consumption. Unfortunately, a few are resorting to synthetic dyes just to make their cakes more attractive," said a bakery owner from Electronic City, speaking anonymously.

Medical experts are warning that consuming synthetic colors can lead to numerous health issues, including asthma and allergic reactions.

"Some of these artificial dyes are carcinogenic, and prolonged exposure could have serious consequences, especially for children and young adults," cautioned Dr. Vandana G, a private medical practitioner.

While the Food Safety and Standards Authority of India (FSSAI) confirms that only a limited number of samples tested positive for harmful colors, legal action is being taken against the violators.

"There is no need for widespread panic or halting production. We are closely monitoring the situation, and only a few bakeries were found to be non-compliant. Rest assured, appropriate legal measures are underway," assured an FSSAI official. 

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