Par panel members split over demonetisation

Political faultlines have split a parliamentary committee looking into demonetisation, with more than half of its members belonging to the ruling BJP and its allies moving a dissenting note terming as "politically motivated" the draft report of the panel headed by Congress leader M Veerappa Moily.

Sources said as many as 16 members belonging to BJP and allies in the Standing Committee on Finance have reservations over the tone and tenor of the draft report.

The committee has 31 members, including Chairman Moily.

Sources said a meeting of the panel was called on March 19 to adopt the report so that it could be tabled in the ongoing Budget Session of Parliament.

However, 10 BJP members and 6 belonging to allied parties objected to the content of the draft, which among other things described the move of scrapping of old Rs 500 and Rs 1,000 notes by the government in November 2016 as ill-conceived.

The draft also criticises frequent changes in rules and regulations regarding implementation of demonetisation.

The draft was not adopted, sources said.

Sources said as the number of dissenting members exceeds 50 per cent, there could be difficulties in accepting the draft report.

The dissent note, signed by several BJP members, has described demonetisation as the "mother of all reforms", which helped in reducing corruption, checking blackmoney and terror funding, among others.