GPCC’s Trajano D’Mello today said that the PM’s declaration that demonetisation would rid of black money and fake currency has proven to be a myth.
The reported news that fake currency has been seized in a raid which includes denomination of 200 and 2000 that never existed prior to demonetization exposes the myth that counterfeit currency would be eradicated.
An RBI annual report, as reported, also says that fake notes of new Rs 500 series saw a 37% rise in 2019-20 and there was a fall in circulation of 2000 rupee notes with the Central Bank not printing new 2000 rupee notes in 2019-20.
In 2019-20 as many as 30,054 fake notes of new Rs 500 series as against 21,865 in 2018-19 is an increase of 37%.
Similarly, there was a 151 per cent rise in the detection of fake Rs 200 notes. Data shows that banks and RBI together detected 31,969 fake Rs 200 notes in 2019-20, as against 12,728 in 2018-19.
The number of fake Rs 2,000 notes detected fell 22% to 17,020 in 2019-20, from 21,847 in the year ago period.
However, data from the new report showed that counterfeiting of currency notes remains a problem for India.
Take example of Goa, if the fake currency is in circulation, who is hit the most, it’s the small traders and businesses. They dont have big amounts of liquidity to sustain the damage the fake currency will do.
The second biggest loser is the common man who goes by his daily routine and gets caught in the fake currency web and loses money.
Week after week, some case of fake currency is being reported from some part of the country. That clearly shows that counterfeit currency is very widely in circulation and yet another aim of demonetisation falls flat. Demonetisation has completed a full circle of failures.
1. Terrorism/cross border infiltration hasn’t stopped
2. Black money and fake currency hasn’t stopped
3. Economy has hit its lowest in the history of the country’s GDP memory.