Demonetisation dries up fund flow of Jharkhand ultra gps

Several extremist groups in Jharkhand were reported to have incurred losses to the tune of Rs 80 crore following the demonetisation decision of the Central government on November 8 last and thus suffered a body blow, a top police officer said today.
The ultra groups are desperate ever since the Narendra Modi-led government had decided to demonetise Rs 500 and 1000 currency notes from the midnight of November 8 last, which had an adverse impact on the activities of naxal and extremists group in the state, Additional Director General (ADG), Jharkhand, R K Mallick said.
Quoting an intelligence report, he said at least Rs 80 crore cash of the naxal groups has thus been destroyed due to demonetisation.

The ultra outfits have weakened as their major economic system was destroyed post-demonetisation, which prompted the naxals to indulge in looting cash in desperation, going against the Maoist ideology, Mallick claimed.
However, the state police was prepared to foil all their nefarious design, he said.
Responding to a query, ADG said as per an intelligence report, the naxals used to collect Rs 140 crore in the form of levy three years ago but it had come down to Rs 100 crore owing to intensified anti-naxal operation launched by the security personnel during last couple of years.

Further quoting Intelligence report, Mallick said that the naxal and other extremist organisations had saved around Rs 100 crore for meeting expenditure for one year but the money had suddenly become defunct in the wake of government's decision on November 8 last.

The ultra groups including Maoists, however, were reported to have succeeded in exchanging old currency notes into new currencies worth Rs 20 crore with the help of their over-ground workers and sympathisers as well as by threatening poor villagers and farmers, he said.
Elaborating stringent action launched by the state administration to crush naxals in the state, Mallick said the ultras could not exchange majority of old currencies into the new one and they are now conspiring to loot cash vans of banks and post-offices in desperation.
He said around 100 incidents would have taken place across Jharkhand, where the ultras had tried to convert the old currency notes forcibly through banks, but could not succeed due to vigilant state police.

He said 37 naxals had been killed while 35 surrendered during 1546 special campaign launched against them by the security personnel last year, claiming that the situation had worsened to such an extent at one time that extremist outfits were recruiting poor farmers and villagers forcibly to enhance their strength.
A huge resentment was prevailing among the common man due to their bullying approach, he said, adding the development work being carried out by the government also restricted naxals, who were left with no option but to leave the state.