ALSO READHawala, fake notes from Pak, terror funding hit by demonetisation: Govt Post demonetisation, new Rs 500 notes took long time in coming: Here's why Is Modi winning fake currency war? A data you shouldn't miss Govt rules out new window to deposit scrapped Rs 500, Rs 1,000 notes Currency notes printed with best quality, security practices, clarifies RBI
The demonetisation of Rs 500 and Rs 1,000 notes had instantly wiped out Pakistan-printed high quality fake Indian currency notes besides hitting hawala transactions, the Rajya Sabha was informed on Wednesday.
"Demonetisation also led to instant extinguishment of Pakistan-printed high quality fake Indian currency notes. It also adversely affected the hawala operators," he said replying a written question.
Ahir said Left Wing Extremism cadres have deposited illegal money into the accounts of the sympathisers or simple villagers.
Nearly Rs 9.8 million were seized from various LWE groups post demonetisation and the red ultras also protested against the note ban drive, indicating their discontentment, he said.
"Since illegally held cash forms the major chunk of terrorist funding, after the demonetisation, most of the cash held with the terrorists turned worthless," he said.