Get inked to exchange notes from today: Here's the RBI guideline

Banks will use indelible ink to ensure that people only change old notes for new ones once under Prime Minister Narendra Modi's scheme to fight "black money", resorting to a tactic used to prevent multiple voting in elections.

The move is expected to prevent "unscrupulous persons" from sending people from one bank branch to the next to exchange old notes. Individuals are allowed to swap Rs 4,500 just once.

"You find the same people coming back again and again," Economic Affairs Secretary Shaktikanta Das told a briefing, saying huge queues were preventing honest people from getting the cash they need.

The step comes a week after Modi ordered the withdrawal of large denomination banknotes from circulation, in a shock "demonetization" drive to fight tax evasion, corruption and forgery.

Here are the RBI guidelines on indelible ink:

While exchanging the notes, the concerned bank branch and post offices would put indelible ink mark on the right index finger of the customer so as to identify that he/she has exchanged the old currency notes only once.
 

The indelible ink would be supplied to the bank/post offices by IBA in coordination with the banks and consultation with RBI.
 

This procedure would be introduced to begin with in the metro cities and expanded to other areas later.
 

Each bank branch will be provided with black indelible ink bottles of 5 ml each. The cap of the bottle includes a small brush for applying the ink.
 

The indelible ink can be applied by the cashier or any other official designated by the bank before the notes are given to the customer so that while the exchange of notes is taking place, a few seconds elapse which will allow the ink to dry up and prevent removal of ink.
 

Indelible ink on the index finger of the left hand or any other finger of the left hand may not be used as a pretext to deny exchange of old notes.

The Centre is also willing to rope in former bank and post office employees on a temporary basis to curb the staff shortage in banks and post offices. The finance ministry has written to Indian Banks' Association to explore the possibility of hiring retired bank staff on a temporary basis.