Politicians invest in real estate
The recent income tax notice to RJD leader Laloo Prasad and his family members again confirmed that politicians are investing most of their black money in real estate . They will purchase property at a low price, paying black money and then show the profit that they make as long term capital gains.
Land located in prime areas of major cities, is the preferred investment for the politicians . The land can be sold to businesmen for development at a very good profit, or one of the relatives or associates of the politician may develop the land into a mall or similar lucrative property.
A large number of these properties are benami deals, in the name of a relative, associate who these politicians are trusting. Real estate in holiday spots like goa is in great demand.