Some questions unanswered over note ban, House panel to summon Urjit Patel again

The move followed former PM Manmohan Singh’s insistence that Urjit Patel should tell the standing committee on finance how much money had come back to banks after demonetisation of notes in November.

Written by Anand Mishra | New Delhi | Published:April 21, 2017 6:29 am
Urjit Patel, Note Ban, House panel summons Urjit Patel over Note Ban, Demonetisation and Urjit Patel, Reserve Bank of India, M Veerappa Moily, Biju Janata Dal, India news, National news RBI Governor Urjit Patel. (File Photo)

A parliamentary panel on Thursday decide to call Reserve Bank of India (RBI) Governor Urjit Patel to appear before it again on May 25. The move followed former Prime Minister Manmohan Singh’s insistence that Patel should tell the standing committee on finance how much money had come back to banks after demonetisation of Rs 500 and 1,000 notes in November. He added that they wanted to know about the RBI’s preparedness for the government’s digital money push.

The issue was discussed at the panel’s meeting that senior Congress leader M Veerappa Moily chaired to discuss corporate governance. BJP MP Nishikant Dubey questioned the rationale behind calling Patel again. But the panel members from Congress, Biju Janata Dal (BJD) and Trinamool Congress (TMC) insisted on calling the RBI governor. They argued that Patel had not answered all the panel’s questions.

Sources said that Dubey, who other members including his party colleague Shivkumar Chanabasappa Udasi supported, argued that the discussion on demonetisation had been completed. He added that calling the RBI governor again would give the impression that officers were being “unduly harassed”.

BJP members insisted that demonetisation was over, and remonetisation was a continuing process. Thus, they said, calling Patel again on demonetisation would not serve any purpose. However, Singh and other members strongly opposed this argument.

Singh, who had at an earlier meeting of the panel come to Patel’s rescue and saved him from tough grilling, said that the discussion on demonetisation was yet to be completed. He added that Patel should be called as the panel had earlier decided to call him again. Singh is learnt to have said that Patel did not tell the panel during his earlier appearance on January 18 as to how much money had come back to the banks after demonetisation.

BJD’s B Mahtab and TMC’s Saugata Roy supported Singh. Mahtab is learnt to have said that the panel needed to be told in detail about the real purpose of demonetisation, the whole process and the RBI’s role in it. He said that when Patel had appeared before the panel on January 18, most of the questions were unanswered. Mahtab recalled that Patel had said that counting of all the money deposited would take time.

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  1. S
    s s nair
    Apr 21, 2017 at 12:54 pm
    No useful purpose will be served. It will be waste of time. Certain questions have no answers.
    1. S
      s Patel
      Apr 21, 2017 at 12:50 pm
      Can Mr Singh tell how much money was looted during his tenure as PM
      1. T
        Apr 21, 2017 at 9:43 am
        RBI is committed to the w citizen to disclose the amount what came back to the bank ... By refusing to disclose they are shutting the door of democracy at people's face . it's clear that amount exceeded the total circulated money and's being depostd through special counters . .. Hence its clear that government has tonface many question if they reveal it (only of they dont reveal cooked up figure .). During las t questioning thee were many questions left not answered by Urjit . So. It's nonsense to oppose it by BJP member s Note shortage is still going on in Kerala. Especially during vishu festival.people.were cursing the central government for the discrimination they are showing to the state since this state is been always rejecting their party ...almost all retail business men were complaining about the turnover this time which was not even the half figure what they had achieved last year .. The political retaliating is exposed and it's done publicly
        1. P
          Apr 21, 2017 at 9:36 am
          When will RBI declare how much of banned currency deposited? Are they still countig? Limit of inefficiency or is the real reason differet?
          1. S
            S Subramaniam
            Apr 21, 2017 at 9:13 am
            Why only the invalid notes deposited in the Banks and why not the invalid notes which have not yet been deposited in the Banks?
            1. T
              Apr 21, 2017 at 8:11 am
              RBI has got back more than 15.4 lakh cr. in old notes and some of it is in the form of fake notes.........Hence the Governor, P M , F M , BJP, etc. are all keeping quiet about the w fia.sco .........Demons of DeMon !
              1. A
                Apr 21, 2017 at 8:07 am
                What demonetization has demonstrated is that paper money is fraud because it is not backed by anything. I promise to pay the bearer xx means nothing. Government can make confiscate the wealth of holders of paper money at its whim like Feku did. History shows that paper currency eventually return to their intrinsic value - zero. There are no exceptions. How can the common man protect their savings? As our Shastras indicate by buying Gold & Silver. Just like the rich & powerful do. Government knows that Gold & Silver are best form of money that is why they are putting a limit on how much a common man is allowed to hold. Interesting that they are not putting any limit on worthless paper money they can print at will. Over long term (25 years) one can see the effect 1990 Gold Rs 4000 US$300 2017 Gold Rs 30000 US$ 1200 Lesson: Learn from demonetization experience and do not keep your savings in rupees.
                1. D
                  Apr 21, 2017 at 7:26 am
                  It is about time that RBI Governor Patel tell the country how much old currency has come back. Why did he have to be hauled back in front of the panel to share the crucial information? Why did it take so long to count. In the spirit of transparency, this should have been shared voluntarily. Also, the role of RBI in the approval of demonetization policy was never spelled out. Is he hiding something?
                  1. C
                    Apr 21, 2017 at 7:46 am
                    [How much OLD CURRENCY came back is an 'irrelevant issue'.] [Govt has identified 10 lakh crores worth SU IOUS DEPOSITS made by 1 crore DEPOSITORS during the DEMONETIZATION period] [Out of this 10 lakh crores, Government is likely get a BONANZA of at least 7-9 lakh crores in the form of TAX PENALTY][THAT IS THE SUCCESS STORY OF DEMONETIZATION]
                    1. T
                      Apr 21, 2017 at 9:50 am
                      That's just analyze ..did government collect that amount ? Nah.... Go through the news buddy .. The tax they collected through Pmkgy is just 2300 crores's nuts compared to the expect amount of 2 lakh crore . And those who has not replied for the notice sent post closure of the money exchanging counter ,75 of them. Approached IT with genuine source ... So no scope.of getting that too... Even if IT object to accept their source .it takes a decade to get settled in court through legal action . U are stuck some where on the news and data what government had given ....but didn't follow up the factor to know what happened after that
                      1. D
                        Apr 21, 2017 at 10:14 am
                        DeMon is not a success story by any means. There reasons pushed by GoI for this action (1) Remove fake currency notes, (2) stop corruption and (3) take the black money out of economy ( uming it will not reach bank and will be dumped somewhere). Check your self if this has happened. Those taking bribes can take them in new Rs.2000 notes. Fake Rs.2000 notes are already reported. Terrorist attacks still continue. The only result is the suffering of common man. Loss of businesses, loss of jobs followed. Even all the state Govts lost their tax revenues in last quarter as a result. Temporary pain? But was it necessary. Same result could have been achieved if old notes were taken out over longer period. By not declaring money returned to the banks - they were informing numbers till mid-Dec but stopped since then - shows that there is some big piece is missing.
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