HISTORIC MOVEMENT

AGAINST BLACK MONEY

IN INDIA
In what could be termed as an unprecedented move,
Honorable Prime Minister Shri Narendra Modi on Tuesday
added a lethal edge to Indias fight against the black money
by announcing the ban on the currency notes in the
denominations of Rs.500 and 1000

The move was announced in a sudden address at 8 pm that

was televised across all news channels
Insights into how the magnitude of cash in circulation is
linked to inflation and how the inflation situation is
worsened due to the cash deployed through corrupt means
were shared
The demonetization of Rs.500 and Rs.1000 notes is a major
assault on black money hoarders, fake currencies and
corruption
In his 40 minutes address, PM Modi said the notes of 500
and 1000 will not be legal from midnight tonight and will
be just worthless piece of paper
There is no restriction on any kind of non-cash payments i.e
plastic money and electronic fund transfer
However, all notes in lower denominations and the coins
will be continue to be valid
Banks and ATMs wont function for 9th and 10th of
November

Public will have 50 days time between 10th Nov and 30th Dec
to deposit old notes after showing proper POI
Exchange of old notes,however,will be limited to 2000 from
10 to 24th of November and will be 4000 between 25th Nov
and 30thDecember
Withdrawals will be restricted to 2000 per day and from
bank accounts will be limited to 10,000 a day and 20,000 a
week
The government hospitals, pharmacies,air,bus,railway ticket
counters will accept old notes till midnight 11 Nov
New notes of Rs.2000 and 500 embedded with NGC and
greater security features will be circulated from today
Those unable to deposit the currency till 30th Dec can do so
in designated RBI offices till 31 march 2017 after filling a
declaration form with proof and reasons
Confidence was expressed that the staff of banks and post
offices will rise to the occasion to introduce the new order
within the available time.