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Angadias

  • IASbaba
  • February 24, 2022
  • 0
UPSC Articles
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Angadias

Part of: Prelims and GS-I Society and GS-III Economy

Context: An FIR has been registered against three Mumbai Police officials for allegedly threatening Angadias.

What is Angadia system?

  • The Angadia system is a century-old parallel banking system in the country where traders send cash generally from one state to another through a person called Angadia that stands for courier.
  • It is by and large used in the jewellery business with Mumbai – Surat being the most popular route as they are two ends of the diamond trade.
  • The cash involved is huge and it is the responsibility of the Angadia to transfer cash from one state to another for which they charge a nominal fee. 
    • Generally, it is the Gujarati, Marwari and Malbari community that are involved in the business.
  • The Angadia system works completely on trust.

Is the system legal?

  • While the Angadia system per se is legal, there hangs a cloud over the activity as it is suspected that a lot of times it is used to transfer unaccounted money.
  • There have been suspicions that it is also used for transfer of black money like the hawala transaction which is generally used across countries.

News Source: IE

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