RBI nails Govt’s lie on note ban

Says value of scrapped notes not `15.25L cr but `20.5L cr

New Delhi : A simple query under the Right to Information (RTI) Act to the Reserve Bank of India (RBI) has nailed the government’s lies on the total value of the scrapped notes and release of the new currency notes as soon as printed.

The value of the scrapped currency notes of Rs 1,000 and Rs 500 is not Rs 15.25 lakh crore as repeatedly claimed by the government, but it is actually Rs 20.5 lakh crore as on the day of demonetisation on November 8, the RBI revealed in reply to Mumbai-based RTI activist Anil Galgali.

[alert type=”e.g. warning, danger, success, info” title=””] The RTI reply says RBI already had `4.94 lakh crore worth of `2,000 notes on the day of demonetisation. That puts a question mark as to why the RBI did not release these notes[/alert]

There is no clarification coming forth from the finance ministry or the RBI on the discrepancy of Rs 5.25 lakh crore since after the latter gave out the statistics that put the value of the 500 rupee notes at Rs 11.38 lakh crore and that of 1000 rupee notes at Rs 9.13 lakh crore, giving a total value of Rs. 20.5 lakh crore.

It does not tally with the figures given by the government in an affidavit filed with the Supreme Court which said “as per the Weekly Statistical Supplement, the notes in circulation as on November 8, 2016 stood at Rs. 17,74,187 crores. Roughly 86% of this value i.e. Rs 15,25,800 crore comprise of notes of denominations Rs 500 and Rs 1000.”

More interesting is the revelation by the RBI in reply to the RTI query on the inventory of new Rs 2000 and Rs 500 notes with it on November 8. It says the RBI already had Rs 4.94 lakh crore worth of 2,000-rupee notes on the day of demonetisation.

That puts a question mark as to why the RBI did not release all these notes to the banks to reduce the currency crunch in the market. If RBI deputy governor R Gandhi”s statement on December 13 is to be believed, the new notes valued at only Rs 4.61 crore were issued to the public by banks until December 10 through their counters and ATMs. That means the notes so issued were less than the stock with the RBI on November 8.

Or, does it mean that the new currency notes that are claimed to be printed round-the-clock in four security presses have not been released to banks despite the public hue and cry over the banks not honouring the government”s word of allowing the weekly withdrawal of Rs 24,000 from savings accounts and Rs 50,000 from current accounts?

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