Stay all Operations of GSTN - Swamy to PM
DR. Subramanian Swamy has again written to the Prime Minister on GSTN, this time a much stronger letter. The CBEC and IRS Associations seem to have got a champion campaigner on their behalf.
Swamy in his letter to the PM states:
I am happy to learn from the media that you have taken a review meeting of finance ministry officials on the question of GST/GSTN implementation. As you may now be aware, GSTN, which is a data processing and tax revenue collecting private limited company, was never security cleared by the home ministry, whose clearance is mandatory.
I strongly urge you therefore to direct the complete stay of all operations of the presently constituted GSTN, and that it remains non-operational till it is restructured according to our national interest and after security certification by the home ministry.
CAG has no power to look into financial transactions of GSTN, which will run into huge amounts once GST is implemented. Hence, there is reckless disregard to the use of public funds to benefit the private shareholders and employees.
The Indian Revenue Service Association has unanimously resolved that GSTN is a facility which can be duplicated by the experience of the finance ministry's data processing of income tax receipts and with much greater experience and efficiency by CBEC.
The CEO of GSTN gets an annual salary of Rs. 1 crore, HRA of Rs. 1 lakh, free car/travel, telephone, wi-fi network at home, club membership, medical reimbursement etc. and performance linked incentive bonus up to 50% of the basic pay plus DA. Never in the history of any government has any official got this level of remuneration and that too for performing routine work of data processing.
The data obtained by private parties and foreign shareholders of indirect tax dues and payments of Indian taxpayers as well as details of travel from the point of manufacturing to the point of sale will help private parties rig national exchange outcome.
I am of the view that given the capacity of our department of electronics and finance ministry's data processing capacity that GSTN should be restructured with government-owned financial institutions in place of the present two private banks and private companies. The data processing can then be handed over to the Central Board of Excise & Customs. Only then, further progress in implementation of GST can take place. Otherwise continuation of the present system and/or with its marginal amendments, will be set aside by the Supreme Court on a PIL, as unconstitutional and not as being in the public interest.
Hence I am urging you to order the stay of all operations of the present GSTN as it is illegal.