Currency demonetisation: As demand surges, RBI releases soiled Rs 100 notes

According to senior officials of banks and RBI officials based in Chennai, the situation was getting worse as they did not have enough currency notes to release through branches or ATMs.

Written by Arun Janardhanan | Chennai | Updated: November 12, 2016 3:00 am
rs 500 ban, rs 1000 ban, black money, fake notes, fake currency, Fake Indian Currency Notes , bangladesh trade, indo bangla border fake money, narendra modi, black money, currency ban, indian express news, kolkata news, india news Many ATM machines also need to be reconfigured to load Rs 100 notes as their cassettes are configured for separate denominations (including Rs 500 and Rs 1,000).

As the demand for smaller denomination notes surged, many bank branches in Chennai started downing shutters while ATM counters put up boards reading “ATM Out of Service”.

According to senior officials of banks and Reserve Bank of India (RBI) officials based in Chennai, the situation was getting worse as they did not have enough currency notes to release through branches or ATMs. The result: RBI started returning soiled notes to bank branches for circulation again, worth a total of Rs 50 crore to SBI in Tamil Nadu alone. So apart from handling the huge crowd, bank employees were busy sorting less damaged notes for circulation.

A top RBI official told The Indian Express that the central bank was unable to respond to calls from bank officials as they themselves had run out of currency for remittance. “On an average, an ATM counter used to have a stock of Rs 20 to Rs 40 lakh, with currency notes in three denominations (Rs 100, 500 and 1,000). With the demonetisation, we could upload notes of only Rs 100 denomination and that, too, a maximum of Rs 2 to Rs 4 lakh in an ATM,” said the official.

Another RBI official said they had already returned soiled notes worth crores to bank branches. “We are facing a huge shortage of Rs 100 notes,” he said, ignoring multiple calls on his phones from bank officials. “There was zero preparation. Had it been such a crucial plan, the authorities shouldn’t have done it in this irresponsible manner. It has forced us to return dirty and damaged notes to branches for circulation,” he said.

A senior SBI official said the soiled notes could only be used in branches, not ATMs. “ATM machines are too sensitive to handle damaged notes. They get stuck in the machine,” he said. Moreover, according to various banks, the usual storage of cash in ATMs (in three denominations) worth Rs 20 lakh to Rs 40 lakh would last two or three days, except during month-end, salary dates and festival seasons. “But since we could upload only Rs 2 lakh to Rs 4 lakh (Rs 100 denomination), many ATM counters ran dry before Friday noon. The RBI says it doesn’t have enough currency,” said the regional head of a nationalised bank.

Many ATM machines also need to be reconfigured to load Rs 100 notes as their cassettes are configured for separate denominations (including Rs 500 and Rs 1,000).

Asked about RBI’s statement urging people to exercise patience in exchanging notes, bank managers in Chennai said their employees were being harassed by customers. “Nobody wants Rs 2,000 notes as there is no change available. We are getting reports of heated arguments and minor scuffles at branches and ATM counters,” said an official.

The office of the SBI Chief General Manager, Chennai Circle, B Ramesh Babu, refused to detail the crisis. “We are not issuing any release today,” said the secretary to the CGM.

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First Published on: November 12, 2016 2:58 am
  1. A
    Anandreddy CH
    Nov 12, 2016 at 4:07 pm
    100 denominations delverd through ATM Looking like picked up from Garbage and loaded, it is really shameful to relese statement like this RBI of based at Chennai.
    Reply
    1. A
      aamJantaIndia
      Nov 12, 2016 at 10:51 am
      another Surgical strike...lt;br/gt;lt;br/gt;Now on innocent, old, elderly, housewives, medical emergency patients, foreigner visitors...lt;br/gt;lt;br/gt;Untold stories of troubled millions...but govt keeps playing its parrots...
      Reply
      1. A
        amit
        Nov 13, 2016 at 5:48 am
        Nobody of RBI except official press release will comment. No other official will give statement to press. IE please stop fooling people.
        Reply
        1. A
          ashok
          Nov 12, 2016 at 1:54 am
          RBI SHOULD BE ASHAMED THAT WITHOUT PROPER PLANNING THEY HAVE DONE WHAT IS THE REASON TO HAVE BANK ON SUNDAY WHEN YOU DONT HAVE MONEY PEOPLE ARE NOT INTERESTED IN Rs2000
          Reply
          1. A
            ashok
            Nov 12, 2016 at 1:57 am
            RBI should have increased Rs100 and stopped Rs500 then we could appreciate the action but now it shows that RBI is made itsself a fool
            Reply
            1. A
              Ashutosh
              Nov 12, 2016 at 1:04 pm
              व्यक्तिगत रूप से आप बीजेपी के विरोधी हो सकते हैं।lt;br/gt;बीजेपी की नीतियों के विरोधी हो सकते हैं ये एक सामान्य प्रकिया है.. lt;br/gt;और इसमें कुछ गलत भी नहीं है...lt;br/gt;lt;br/gt; परंतु आप आलोचक की हद को पार करके घृणित-निंदक बनकर PM की आलोचना कैसे कर सकते हैं...?😳lt;br/gt;lt;br/gt; आप उस व्यक्ति की आलोचना कर रहे हैं जो लगभग 15 सालों से CM के बाद, अब PM रहते हुए भी अपनी सैलेरी राष्ट्र को दान करता आ रहा है PM हाउस में अपना खर्चा स्वं उठाता आ रहा है..।lt;br/gt;lt;br/gt; Pm की निंदा-रस में डूबते समय क्या आपको खयाल आया है कि क्या आपने कभी 1 महीने की सैलेरी राष्ट्र को दान किया है...?🤔😳🤔lt;br/gt;lt;br/gt; ₹-240 की LPG-Subsidy तो आप छोड़ नहीं पाते, बाकी.. क्या आप में हिम्मत है 1 साल की सैलेरी राष्ट्र को दान कर दें...?lt;br/gt;lt;br/gt; तो फिर आप उस व्यक्ति की निंदा कैसे कर सकते हैं जो 15 सालों से ये सब करता आ रहा है....?🤔😳😰😡lt;br/gt;lt;br/gt; 3 बार गुजरात का CM रहने के बावजूद किसके पास कोई बड़ी संपत्ति नहीं है, परिवार को भी जिसने VIP सुविधाओं से महरूम कर रखा है ।lt;br/gt;lt;br/gt; जिस PM के विदेशी दौरों को आप सिर्फ घूमने फिरने का नाम देते हैं जबकि असली उदेश्य व्यापारिक समझौते और आपसी सम्बन्ध को सुधारना होता है।lt;br/gt;lt;br/gt; एक 66 साल का व्यक्ति 6 दिन में 5 देशों की यात्रा करता 40 महत्वपूर्ण मीटिंग में भाग लेता है। देश का पैसा बचाने के लिए ऐसी प्लानिंग करता है जिससे होटल में कम से कम रुका जाए, और, फ्लाइट में नींद पूरी की जाये....lt;br/gt;उसके दौरे को आप सिर्फ भ्रमण का नाम देते हैं..?😳lt;br/gt;lt;br/gt; वैश्विक मंदी और ख़राब मौसम की मार झेलने की बाद भी देश पर आंशिक प्रभाव पड़ा है...lt;br/gt;और देश आगे बढ़ रहा है, क्या इतना काफी नहीं है..?lt;br/gt;काँग्रेस द्वारा 60 सालों से किये गये गड्ढे क्या 2 साल में भर जायेंगे..?😳lt;br/gt;अभी तक कांग्रेस की सरकारों से अगर 25% भी हिसाब माँगा जाता, तो ये दिन देखने नहीं पड़ते..🤔😳🤔lt;br/gt;lt;br/gt; अगली बार PM की निंदा करने से पहले अपने गिरेबान में झांककर देखें और-lt;br/gt;अपने आप से तुलना करें कि जिसकी आप निंदा कर रहे हैं, क्या उसके पैरों की धूल के बराबर आप हैं या नहीं..?🤔😰😡lt;br/gt;lt;br/gt; कितने शर्म की बात है.....lt;br/gt;एक तरह जिस व्यक्ति को सारा विश्व सम्मान दे रहा है....lt;br/gt;वहीं दूसरी तरफ कुछ लोग (जो उसी देश के हैं) उसी सम्मान को गलत साबित करने पर तुले हैं... निवेदन है की इस पोस्ट को अधिक से अधिक शेयर करें और अपने देश के प्रधानमंत्री की गरिमा को मज़बूत बनायें 🙏lt;br/gt; आप सबसे निवेदन है, यह मैसेज अपने सभी व्हाट्सएप्प कांटेक्ट ओर फेसबुक पर जरूर शेयर करे.. और उन सभी को कहे की आप भी अपने व्हाट्सएप्प कांटेक्ट ओर फेसबुक दोस्तों में शेयर करे, हम सब बलिदान ना ी पर देश के लिए इस छोटा सा काम तो कर ही सकते हैं ना:lt;br/gt;lt;br/gt;1. कचरा सड़क पर ना फैंकें।lt;br/gt;2. सड़कों, दीवारों पे ना थूकें।lt;br/gt;3. नोटों, दीवारों पर ना लिखें।lt;br/gt;4. गाली देना छोड़ दें।lt;br/gt;5. पानी एवम् लाइट बचाएँ।lt;br/gt;6. एक पोधा लगाएँ।lt;br/gt;7. ट्रेफिक रूल्स ना तोडें।lt;br/gt;8. रोज़ माता पिता का आशीर्वाद लें।lt;br/gt;9. लड़कियों की इज्जत करें।lt;br/gt;10. एम्बुलेंस को रास्ता दें।lt;br/gt;lt;br/gt;देश को नहीं, पहले खुद को बदलें।
              Reply
              1. S
                SBS Family
                Nov 13, 2016 at 1:49 am
                Today went to buy some things for my home with the hope of debit and credit card I have from axis bank. I tried to get cash from ATM but all closed and no money. When tried to swipe the card all keep declined. But when I try the same card for online purchase then works. No cash in ATM and no swiping. Luckily that shop owner accepted the old 500 notes. It's a complete mess. It's good step to stop the black money but RBI needs to be well prepared before launching the things.
                Reply
                1. R
                  rishi
                  Nov 12, 2016 at 9:58 am
                  Come What May....The Mission Must Succeed In ridding the Nation of illegal-cash-rich mafias. Modi-Led-BJP and their biullion-plus well-wsihers both have the will to clean the society of all that was wrong, unethical and unfair of the greed-driven congress-party that was misruling the nation for far too long.
                  Reply
                  1. R
                    rishi
                    Nov 12, 2016 at 9:52 am
                    Special thanks to the Staff and Management of Banks all over India in making this bold mission a success......the move also sets the finest example of citizen-government partnership in getting rid of the illegal cash-rich mafia from society that was a menace to both the government and the common citizen in multiple ways.
                    Reply
                    1. J
                      Jenny
                      Nov 12, 2016 at 11:02 am
                      Rishi, the rich politician and industrialist are all safe as they all knew about this well ahead and made all arrangements... their money is safe... it is only poor people who suffer and are the looser. And yes I agree fake currency market has come to an end for the time being.
                      Reply
                      1. K
                        KIRAN
                        Dec 7, 2016 at 1:34 am
                        Some People seems to be upset and keep saying that RBI and Govt. have not planned well. Why don't they directly admit that they are upset because its hard to cannot cheat and earn black money any more.
                        Reply
                        1. L
                          L bhadrapati Devi
                          Nov 12, 2016 at 4:54 am
                          I thought that media and political parties having huge stock of black money are creating problem. Look at Rahul hi standing in the queue to withdraw money through ATM even though he has internet banking and card payment.
                          Reply
                          1. L
                            L bhadrapati Devi
                            Nov 12, 2016 at 5:00 am
                            The soiled notes can be used for better liquidity management in such tight situation to tight over the panic withdrawal. I was in chennai without a single money for one week when all ATM were defunct during flood. Moreover, political party workers trying to create unnecessary problem denying Rs 2000/- at the same time to elongate queue to play politics.
                            Reply
                            1. L
                              L bhadrapati Devi
                              Nov 12, 2016 at 5:33 am
                              If RaGa and Arvindin Kejrudin Mia is standing in the same queue, media may have good sources of cook up story.
                              Reply
                              1. L
                                L bhadrapati Devi
                                Nov 12, 2016 at 10:05 am
                                Raga, Bhagoda, Mayabi, Chara Chor and other politicians and their coteries huge pile up money may be converted into white using party working giving commission at rate of 5 percent for using their accounts.
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                                1. M
                                  Manzoor
                                  Nov 12, 2016 at 7:02 am
                                  It shows the preparedness of RBI or government didn't provided the sufficient time. But any case responsibility lies with RBI.
                                  Reply
                                  1. M
                                    mathimathi
                                    Nov 12, 2016 at 9:08 am
                                    Is an any soiled Rs 100 printed with a devanaaaagari monkey alphabets numbers?
                                    Reply
                                    1. S
                                      S Subramaniam
                                      Nov 12, 2016 at 12:05 am
                                      Government should have stopped printing and circulation of 500/1000 notes for almost one year and its lieu they should have printed and circulated only other notes. By this the circulation of high-end notes from RBI would have been minimised. After the expiry of one-year period the high-end notes could have been demonetiIsed. Hope we learn by experience.
                                      Reply
                                      1. R
                                        R.Mehta
                                        Nov 12, 2016 at 4:53 am
                                        The respective ministries should take notice of the reality .If availability of required currency notes is not with RBI,then accordingly well in advance govt.should inform the people of some extended time frame regarding exchange /withdrawal ,so that people do not panic and do not unnecessarily keep waiting in front of banks with a hope to change their old notes ,which are of no use.
                                        Reply
                                        1. A
                                          Arun
                                          Nov 12, 2016 at 7:17 am
                                          It is clear the BJP govt did this to benefit its party and its affiliate groups! Thugs!
                                          Reply
                                          1. N
                                            Nandu K.
                                            Nov 12, 2016 at 6:48 am
                                            Yes, the onus should be on the Government who, in haste formulated a policy of demonetization without proper and appropriate arrangements. What is the use of raids on various sectors of Industry? What is Government trying establish. First give money to the people, who actually earned this money and kept in the Bank and then take the credit. This is a discredit to the Nation. I hope the People will learn lesson from what they did in 2014.
                                            Reply
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