On 10th November
2016 at around 9:00 PM, The Prime Minister of India Narendra Modi gave a
proclamation that the from the midnight, Rs.500/- and Rs.1000/- currency notes can
no longer be used in transaction.
Why was the scheme
introduced?
- The incidence of fake Indian currency notes in higher denomination has increased. For ordinary people, the fake notes look similar to genuine notes, even though no security feature has been copied.
- The fake notes are used for anti-national and illegal activities.
- High denomination notes have been misused by terrorists and for hoarding black money. India remains a cash-based economy, hence, the circulation of fake Indian currency notes continues to be a menace.
Hence the sole motive behind this giant step is to control the black money, corruption and fake notes circulation in the market. Moreover it would also benefit to establish a strong check on the transactions in the form of donation accepted by Educational Institutes like schools, colleges or in the real estate deals.
Citizens of India
would have 50 days' time to exchange / deposit Rs.500/- and Rs.1000/- currency
old notes in banks / post office till 30th December 2016. The lower
denomination notes and coins will remain legal tender. The money may be withdrawn via ATM with the
limit of Rs.2000/- per day initially. This limit may be raised to Rs.4000/- in
few days. The other mediums like Online Transactions and Cheques are still
valid to be used.
The honest citizens
who earn the money via legitimate sources and keep in it bank account as savings, would have no
harm at all. However an individuals who are hoarding the cash i.e.
"Black Money" would face the unrest. Because the hidden cash
would have no price now. They have no option left but to deposit the hoarded cash in
the bank account in order to gain the value.
This way the
"Black Money" or hidden money would flow in the legal stream into the
Indian market. Now it would be traced easily by Income Tax Department with the
help of Banks via client screening and filtering procedure.
The new currency notes of Rs.500/- and Rs.2,000/- would be revealed by Reserve Bank of India.
This decision by PM Modi has brought a smile on the faces of common man but at the same time it has become a tough game for the people who possess the Black Money with them.
Herewith I take this
opportunity congratulate and appreciate PM Narendra Modi for taking a enormous decision to
curb the illegal money and made the India shine as a clean and bright spot in the
landscape of world economy.
|| Hari om || || Shree Raam || || Ambadnya ||