Ensure strict compliance with regard to exchange of old Rs 500, Rs 1000 notes: RBI

The RBI issued strict guidelines to banks to adhere to the new rules.

By: Express Web Desk | New Delhi | Published:November 15, 2016 8:05 pm
Demonetisation, RBI, RBI demonetisation, RBI banks demonetisation, RBI old notes, RBI old 500 notes RBI assured the public that a person who changed his higher value cash will get exactly the equal amount in lower denominations. (File Photo)

The Reserve Bank of India on Tuesday said there were reports that some cooperative banks were not strictly adhering to the instructions issued in connection with the withdrawal of legal tender status of the existing Rs 500 and Rs 1,000 bank notes (specified bank notes). In a statement released today, the central bank said, “The Reserve Bank of India today informed that it has advised the Urban Cooperative Banks through its Regional Offices and the State Cooperative Banks through National Bank for Agricultural and Rural Development (NABARD) of the need to ensure strict compliance with the instructions issued with regard to exchange of specified bank notes as also deposit of such notes into the accounts of their customers.”

In a sudden move by the government, Prime Minister Narendra Modi last week announced that all Rs 500 and Rs 1,000 notes will cease to be legal tender, in an effort aimed at curbing black money and terror financing. The move drew criticisms from Opposition parties who demanded a rollback, some even termed it ‘draconian’.

“Where is black money? As far as black money is concerned, Modiji is yet to give the names to the Supreme Court,” Congress spokesman Kapil Sibal told reporters. He said the Congress was opposed to marking people exchanging now-defunct notes with indelible ink and insisted that the move meant the government is preventing people from replacing their own money.