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Centre lied about expiry of cap on cash withdrawal: HC told

Press Trust of India  |  New Delhi 

An application was today moved in the High alleging that the Centre has made false statement before it that the restriction for withdrawal of Rs 24,000 by individuals was only till November 24 as this limit was extended till December 30.

A bench of Chief Justice G Rohini and Justice Sangita Dhingra Sehgal was told that the Centre's notification of November 8, on the weekly withdrawal limit from the banks was modified on November 14 by which the date of expiry of the cap has been removed.

"By virtue of November 14 notification, the has made Clause 2(vi) applicable till December 30, 2016," the application by petitioner Ashok Sharma contended.

He through his counsel A Maitri has alleged that an Additional Solicitor General (ASG) gave a wrong impression that Clause 2 (vi) of the notification expired on November 24.

Based on the ASG's submission, the on November 25 had rejected his plea on the ground that the limit fixed on withdrawal has come to an end on November 24 midnight.

Urging the to recall its order, the petitioner said, "The has not come out before this court with clean hands and it seems that deliberately a misleading false and incorrect statement has been made."

The court has listed the application for hearing tomorrow.

The petitioner, who claims that his business was suffering, had moved the court seeking direction to the Centre to remove the cap on daily withdrawal of money deposited by the public in banks before demonetisation of Rs 500 and Rs 1,000 currency notes.

The court, however, refused to go into the merit of the petition and had said the Supreme Court was seized of the issue related to the validity of the Centre's notification.

While seeking quashing of Clause 2 (vi) of the Centre's notification, the petitioner had urged for a relief on the ground that the government's decision to put a cap on weekly withdrawal of Rs 24,000 is "affecting right to livelihood" of the people at large.

Under the earlier Clause 2 (vi), the weekly withdrawal limit from the banks was Rs 20,000 while the daily limit was Rs 10,000. Later, the weekly limit was increased to Rs 24,000 and the daily limit was scrapped. From the ATMs, the daily limit is Rs 2,500.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Tue, November 29 2016. 17:29 IST