Indians always wonder, why London has become a dreamland for Criminals & Fraudsters to settle in. As per our research, we found that around 65% of fraudsters & criminals all across the world prefer to hibernate in London. Has London become the land for escapers?
Few Famous Indian Fraudsters & Criminals residing in London:
1. Vijay Malia had a huge debt on banks, which covered a major portion from SBI (State Bank of India), the King of Indian Lender. And ran away to London. Debt? A promised amount of money to be returned to the lender by the borrower with interest. There are possibilities when such negative minded people misutilise & run to a safer region to protect themselves from Indian judicial custody.
2. Nirav Modi was found guilty of 14,000 crores fraud from PNB (Punjab National Bank). And he flew to London before his scam got exposed. Till now, he lives free across London streets untouched.
3. Lalit Modi. The IPL Money laundering case was also welcomed by London & he is living free there happily. Few more are Former Pakistan’s PM Nawaz Sharif. Criminals such as Tiger Hanif charged against Gujarat Riot escaped to London.
4. Yes Bank Cofounder Rana Kapoor got arrested after 30 hours of questioning by the Enforcement Directorate (ED) over accusations of money laundering to the tune of Rs 4,300 crore. His daughter Roshni Kapoor was stopped from traveling to London at Mumbai airport.
1. London welcomes everyone across the world who enters into its territory with a significant amount of money.
2. As per the immigration laws in London, People coming with a ransom amount of money will be sheltered with premium access to various facilities catered with a Golden Visa.
3. If someone invests 2 million pounds in the United Kingdom, then an individual can stay there with assured safety & isolation for a few years. As per their Signatory authorities, if you invest an amount of around 3 Million pounds or more in the UK then you will be allowed access to all luxury British Amenities and can stay there till lifetime.
4. Apart from the UK, We have counties like Switzerland, Mauritius doing the same. Usually, their government gives priority to people contributing to their economy. A Significant part of their nation’s cash inflow & tax flows happens through investment from Illegal modes incidents from abroad & reinvesting black money into its resource development.
5. London always has a key excuse stating that the People convicted from other countries claiming them as criminals haven’t been charged with any cases in London. Thus, we cannot violate our Human rights policies and allow them to face any kind of serious torture or death penalty.
Let us understand with a real-time case study, how do Fraudsters & criminals from abroad help in boosting London’s economy? What happened to Kingfisher?
Let us consider that Vijay Malia got into a huge debt due to the mismanagement of Kingfisher Airlines, The Airlines could neither manage nor analyze its competition with Indigo (the low-cost airline). The Kingfisher’s market audience wasn’t specific, they were into the affordable premium segment, ticket charges used to around ₹6k-₹8k for a 2 hr flight, which was neither a low-cost segment nor a luxury segment. Here, it did confuse the air travelers to select while traveling. Budget travelers preferred Indigo as it was offering tickets at a lower price than Kingfisher (Price sensitive market) & Business travelers preferred Emirates. This was the core reason behind the drowning of Kingfisher (poor dynamic costing), they also missed one more important analysis, their flights used to connect all paths on domestic & international ground. Their brand equity wasn’t recognized and most of their air routes were not profitable i.e. there were quite a few air travelers on that route.
But coming to the service, I still remember my childhood flights in Kingfisher, they never compromised on the hospitality & Quality control. As per the reports, Mr. Vijay Malia himself used to take interviews of the Cabin crew. Kingfisher was the best in class in terms of outstanding service & safety but they failed on the Pricing strategy & air route planning.
All these incidents lead kingfisher to shutdown & the company had a huge bad debt which still remains unrecovered.
There are 131 criminals in London convicted on scams, Frauds & Money Laundering cases. Out of 131, Indian govt. has only managed to get 1 to India. Rest, rest are living life peacefully.
But this is not the same with the USA & Russia, as their govt. has managed to capture significant criminals with their strategies.
Thus, this really shows that the Indian government needs to improve its diplomatic policies & negotiation pitches. The Indian government has failed to capture all the criminals, were as countries like the USA & Russia were able to achieve it.
How will it affect a common man like us?
1. When the government doesn’t work to capture these criminals. These criminals feel encouraged to be safe in London. Therefore, this might influence more people in the wrong direction to fly with easy money.
2. It drains the entire economy of India, the money laundered are ultimately the contribution of taxpayers in the nation.
3. The banks will face a huge problem in managing their NPAs (Non-performing assets). NPAs are the amount defaulted by the borrower failing to pay back to banks. This will force banks to follow a conservative approach while lending, leading to a drastic fall in ease of getting credit. Here, Small farmers, businessmen, cottage industry might face a huge problem in getting access to loans.
4. When the banks face a crisis, it has a direct impact on the govt.” balance sheet. The govt. might see a decline in tax collection & employee layoffs, which will again lead to an increase in fuel prices, retail inflation, increase in tax tariffs so as to recover the stability.
5. Therefore, ultimately the entire crisis will be faced by the common man like us and we will experience the hit by dropping our taxes or charges to rebalance the scenario. Most people, don’t realize this scenario but this is the hidden truth & economic cycle which functions.
Students, Middle class, Retail investors always become the victim of every regular incident. Thus, Finocontrol is here to help them understand and prepare for their financial future, simplify their decision-making process. Content on the solution to the crisis coming up! Stay tuned!
