Government notifies demonetisation of Rs 500/Rs 1,000 notes

To give effect to Prime Minister Narendra Modi's decision to denotify Rs 500 and Rs 1,000 notes to curb black money, the central government on late Tuesday notified the changes.

The notification by the Department of Economic Affairs, Ministry of Finance published in the Gazette of India read: "The Central Government declared that the bank notes of existing series of denomination of the value of five hundred rupees and one thousand rupees, shall cease to be legal tender on and from the 9th November, 2016."

The government also declared that the Rs 500 and Rs 1,000 notes shall "not be ceased to be legal tender between November 9 and 11" for providing public convenience in carrying out certain emergent and urgent transactions.

The notification detailed that old Rs 500 and Rs 1,000 notes can be used for making payments in government hospitals, pharmacies in government hospitals, at railway ticketing counters, ticket counters of government or public sector undertakings buses and airline ticketing counters at airports for purchase of tickets.

"For purchases at consumer cooperative stores operated under authorisation of central or state governments; for purchase at milk booths operating under authorisation of the central or state governments; for purchase of petrol, diesel and gas at the stations operating under the authorisation of public sector oil marketing companies; for payments at crematoria and burial grounds."

The notification specified that all establishments allowed to carry transaction between November 9 and 11 have to maintain a complete account of record of stock and sale of transactions made with old Rs 500 and Rs 1,000 bank notes.

In another notification, the government gave its assent for the new Rs 2,000 notes.

"On the recommendations of the Central Board of Directors of the Reserve Bank of India, the Central Government hereby specifies the denomination of bank notes of the value of two thousand rupees," the notification read.

--IANS

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