Consider window for deposit of scrapped notes: SC to Centre

Tammy Harvey
July 5, 2017

After the Reserve Bank Of India closed the window for exchange of the note, Supreme Court asked the Government today to provide a grace time period to those people who couldn't deposit or exchange the 500 and 1000 Rs. notes in banks due to genuine reasons.

The plea at the SC is being heard by a bench comprising Chief Justice JS Khehar and Justices DY Chandrachud and SK Kaul.

Reviewing the case, the Supreme Court said, "You can not trash a person's genuine hard-earned money and let it go waste like this". "We want to know as to why you chose to bar such persons".

The Modi government have tried some or the other way to make people declare their old notes or may be undisclosed income (black money) and pay taxes accordingly.

"If you are not giving a person, who could not deposit their money for genuine reasons, another chance, then it raises a serious issue".

The demonetisation diktat on November 8, 2016 saw old notes - Rs 500 and Rs 1,000 - being sucked away from circulation overnight. As per the rule, if the people who couldn't depsit the old notes in banks could still do it till March 31, 2017 at RBI branches.

The Court has reprimanded the Centre and said that it can not set up a deadline for depositing demonetised currency.

The government, however, had reversed this decision later allowing the exchange facility after December 30 to only those who were overseas and to security personnel who were posted in remote areas during the period when demonetisation came into effect.

The government has also given a last chance to district cooperative banks, commercial banks and post offices to deposit the invalid Rs500 and Rs1,000 notes with the Reserve Bank by 20 July, provided they were collected within the specified time period.

The Supreme Court was forceful in its direction to the Centre. The Center gave until 31st December for people to exchange their money through any bank across the country or deposit it in their accounts.

Other reports by Ligue1talk

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