Notice to the Center and RBI on demonetisation: SC said by November 9, by which law 1000-500 notes were banned

The Supreme Court has issued a notice to the Central Government and the Reserve Bank of India (RBI) on demonetisation. A five-judge constitution bench has asked by November 9 to state under which law the Rs 1000 and Rs 500 notes were banned. The court has asked the government and the RBI to give their answers in the affidavit.

The petitioners contend that Section 26(2) of the Reserve Bank of India Act does not authorize the government to completely cancel currency notes of any particular denomination. Section 26(2) empowers the Center to cancel a particular series of currency notes and not the entire currency notes. Now the government and RBI have to answer this.

Live streaming of this hearing in Supreme Court https://webcast.gov.in/scindia But it happened. Earlier on September 28, a five-judge bench had heard the matter. The bench then adjourned the proceedings saying that the court had many more important and rights-related matters.

A petition was filed against the government’s decision in 2016

In 2016, Vivek Sharma challenged the government’s decision by filing a petition. After this 58 more petitions were filed. Till now only three petitions were being heard. Now everyone will be heard together. The hearing will be presided over by Justice S. Abdul Nazeer.

The case was referred to the Constitution Bench only on 16 December 2016, but the bench could not be constituted then. On 15 November 2016, the then Chief Justice TS Thakur praised this decision of the Modi government.

The Chief Justice had said – The intention of the government behind the plan of demonetisation is worthy of praise. We do not want to interfere in economic policy, but we are concerned about the inconvenience caused to the people. He had asked the government to file an affidavit on the issue.

On December 16, the Supreme Court handed over the case to a five-judge bench.
On 16 December 2016, the Supreme Court referred the matter to a five-judge Constitution Bench after the petitioner’s lawyers in the Supreme Court argued that there were several legal errors in the government’s demonetisation plan. Then the court refused to give any interim order on this decision of the government. Even the court had then stayed the petitions filed in different high courts on the matter of demonetisation.

1680 crore notes of 500-2000 printed after demonetisation disappeared… RBI has no account

This picture is from July 27, 2022. ED got 50 crore cash from a flat owned by Arpita Mukherjee, a close aide of West Bengal minister Partha Chatterjee. This entire amount was in 500 and 2000 notes only.

At the time of demonetisation of 2016, the central government was expecting at least Rs 3-4 lakh crore of black money stashed in the mattresses and pillows of the homes of the corrupt. In the whole exercise, only 1.3 lakh crores of black money came out. Click here to read full news…