Ci-Dex an alternative to crypto currency
This is Deepak Khairha IRAS officer of 1998 batch, presently posted as financial Adviser in KOTA Indian Railway. I am Joint Secretary level officer of Central Government and secretary level officer of state govt.
A small write up by me for your kind information and suggestion pl.
Kindly help in publishing it on any edition of your newspaper
After BITCOIN what is Next: CI-DEX
It is seen that a number of virtual currencies are there in the market and the most popular one is BITCOIN, which is highly overvalued, without any backing of physical assets it is basically a balloon inflated a million times. The bubble may burst anytime because of no regulatory mechanism by any country or by Central Bank of any Country. Although many countries have recognized such currency without having any control over it. Fluctuation in these crypto currencies is purely based on rumors and international economic development mainly of developed Nations.
In future a better alternative for BITCOIN type crypto currency will be CIDEX. It is nothing but the city index which is a sensitive index of any City behaving like a company and will work under SEBI guidelines and ROC (REGISTRAR of company) will keep a watch on the returns of that city working as a company. The purpose of such cidex will be to keep a watch on every Penny of taxpayer money. Whatever we are paying for Municipal charges water charges, electricity charges and registration charges for sale or purchase of any property such earnings must go exclusively for the development of that city only.
The roles of the district magistrate or collector will change after implementation of cidex he will work as the CMD for that city company. The board of directors will assist him. Such Board members may be government officials or private person having majority stake holding.
Every tax collected or any earning pertaining to that city shall be booked as earning of that city and expenditure will also be charged to that city and based on the demand and supply of share of that city the price of the bourses will change. Once the city is converted into a company no budgetary support must be given to that city company except in some emergency cases like flood, draught or natural calamity or disaster.
I hope after making a city as a city company the overstaffing in the government offices will reduce and to a large extent the corruption will reduce from the government offices especially from the third world countries.
For implementing cidex (the sensitive index for city) the biggest challenge will be to assess the value of all the Assets of the city and the second one will be to have 3D map of each City to declare profit Centre for the city hence Google can be very useful for making a 3D map of all profit centers of the city area. For example in a multi storey building there may be 10 floors with four wings hence we have to give a unique ID to each profit centre i.e. every flat. These 40 flats will be assigned a unique code and each profit Centre will have a database for payment of tax or dues pending and a link for paying dues in city's bank account as a company must be there.
The unique code for each profit Centre must be defined as an alphanumeric code of 12 to 16 digits.
* * first two digits which are alphabet stand for state
* * * next three digits stand for cities which are again alphabet.
* * * the next three digits which are numbers, are the code for zone and
* * * * * the last 5 digits which are numbers it is a code for property.
Whatever that city earns as a profit collected in terms of taxes like Income Tax, GST or any other tax pertaining to State government or Central government must be given back to that city as some percent back because the development of that city is responsible for collection of that Tax amount hence that city has a right to get back some percentage of its earning from state or central government.
Every City company must have a balance sheet, profit and loss accounts and earning and expenditure statement so that public can understand the financial condition of that city company before investing. Like the profit centers, there must be expenditure unit or Centre also where every penny can be booked and each and every expenditure must be placed on public domain so that public can see it online.
Presently there is no complete transparency in government expenditure till you ask for in Right to Information Act of 2005 from any government office, that too individually you will get that information. But after making each city as a city company, every detail of profit and expenditure will be available with ROC (Registrar of Company).
Presently the concept looks weird and strange but in near future it will solve many problems like budget deficit, corruption from public offices etc.
Suggestions and feedback can be given to
Indian railway Account service