New Delhi, Feb. 28: Stung by the opposition charge that it hasn’t taken enough steps to crack down on corruption and black money, the government today said it had adopted a five-fold strategy to tackle the generation and circulation of black money.

Finance minister Pranab Mukherjee told the Lok Sabha, while presenting his budget for 2011-2012, that his five-fold strategy included joining a global crusade against black money, creating an appropriate legislative framework, setting up institutions for dealing with illicit funds, developing systems for implementation and imparting skills to manpower for effective action.

However, hopes that he would come out with another voluntary disclosure of income scheme were dashed as he refused to budge on this demand. Officials said his logic was that the government could not penalise honest tax payers by letting those who cheated to get away with lower rates.

India joined the G20’s Financial Action Task Force (FATF) in June last year, and more recently the Task Force on Financial Integrity and Economic Development, Eurasian Group (EAG) and Global Forum on Transparency and Exchange of Information for Tax Purposes.

“Discussions have also been concluded for 11 tax information exchange agreements and 13 new double taxation avoidance agreements (DTAAs) along with revision of provisions of 10 existing DTAAs,” he said.

India is in talks with another 65 countries to exchange tax information and amend double taxation avoidance treaties, to track down slush funds held by Indians abroad, officials said.

The BJP had in recent years made an issue of India not being able to take advantage of OECD norms, which could allow it to tap wealth spirited away by tax dodgers.

However, officials said the government had been acting quietly on this front but could not reveal too much about it in the past as it needed to have concrete treaties with several countries in hand before it could speak out.

Mukherjee also said the amendment in money laundering legislation in 2009 had significantly increased its scope and application. “The number of cases registered under this law has increased to over 1,200 by January this year. The strength of the Enforcement Directorate has been increased three-fold to deal effectively with the increased workload.”