Lok Sabha Question No. 4069 (UNSTARRED), answered on 2019-01-04
Subject: Scribbled Currency
Ministry: FINANCE
Asked by: SHRIKANT EKNATH SHINDE, VINAYAK BHAURAO RAUT, KUNWAR PUSHPENDRA SINGH CHANDEL, DHARMENDRA YADAV, PRITAM GOPINATH MUNDE, Shrirang Appa Barne

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## GOVERNMENT  OF INDIA

## MINISTRY OF FINANCE DEPARTMENT  OF ECONOMIC AFFAIRS

## LOK SABTIA

## UNSTARRED OUESTION NO. 4069 TO BE ANSWERED ON O4tb JAIYUARY,2OIqII4I\  PAUSI{A SAKA. 1940

## Scribbled  Currency

4069. DR. SHRIKANT EKNATH SHIIIDE: SHRI VINAYAK BTIAI,IRAO RAUT: SHRI KT'NWAR PUSHPENDRA  SINGH CTIAIYDEL: SHRI DHAR.IVIENDRA  YADAV: DR. PRITAI}{ GOPINATH  MUNDE: SHRI SHRIRANG APPA BARNE:

## OUESTION

## Will the Minister of FINAtrICE  be pleased  to state:

- (a) whether writing on the crrrrency notes defaces  them and reduces  their life, if so, the details thereof and the data of such currency  maintained  by the Government;
- (b) whether the Government  is aware that nationalized  banks including  cooperative  banks are not accepting the scribbled  crxrency  from the customers  although  scribbled currency is being disbursed throusfi  ATMs,  if so, the details thereof  and the reasons therefor;
- (c) whether the Government  has issued any directions verbal or written  to all the nationalized banks not to accept  scribbled./  defaced currency  from their customers, if so, the details thereof; and
- (d) the remedies  for the general  public  in this regard and measures  being  considered/  schemes in place to solve this problem of exchange  of such currency  through banks?

## AI{S\ryER

## MINISTER OF STATE IN THE MINISTRY OF FINAI{CE (SHRI P. RADHAKRISHNAN)

- (a): Writing  on banknotes defaces them and reduces their life. The watermark  window  has an important security feature which  distinguishes  it from a counterfeit note. Any defacement on the window  will not allow the common  man to identiry one of the features  of a genuine  note. The public was, therefore, requested  to refrain  from doing anything  that leads to defacement. RBI does not have any data on bank notes with writing on them.
- (b): RBI has clarified that banknotes with scribbling  on them continue  to be legal tender through  its press releases  dated December  31,2013  and December  14,2015.  On December  31,2013,  RBI issued a press release.  Details are as follows:
- (i) In the wake of rumours  circulating  in the market that fiom January  l, 2014, banks will not accept banknotes  with any4hing written on them,  the Reserve Bark has urged members  ofpublic

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not to fall prey to such rumours and to use the banlootes without any fear. The Reserve Bank of India has clarified it has NOT issued any instructions for banl<s not to accept  banknotes.

(ii) It has further clarified  that it had issued instructions  on August  14,2013 only tc--anks advising them to instruct  their staffnot  to scribble  or write on the body of the baDknotes  since it was observed  that the bank offrcials themselves  were in the habit  of writing  on banknotes which went against  the Reserve  Bank's Clean Note Policy.

(iii) Reiterating that writing or scribbling  on banknotes  works  against  its Clean Note Policy, the Reserve  Bank has also sought co-operation  fiom all members ofpublic,  institutions  and others in keeping the banknotes clean by not writing/scribbling anything on them.

On December  14,2015,  RBI has reiterated  through a press release which is as follows:

(i) The Resewe Barik of India denied having issued a communication cfuculating  on social media alerting members of public that banks will not accept currency notes with scribbling  on them from Jamary 1,2016.

(ii) The Reserve  Baok  has  reiterated tlat all currency  notes  issued by it are legal tender and banks and or public  can fteely  and without  fear accept  them in exchange  for goods and services.

(iii) The Reserve  Bank has also stated  that in pursuance  of its clean note policy, it keeps requesting banks and public not to write on the currency  notes as writing  defaces them and reduces  their life.

(iv) RBI has advised all the banks to provide the facility for exchange  ofnotes  and coins at all their branches vide its Master Circular on 'Facility for exchange of notes and coins" dated July 02, 20t8.

(c): Reserve Bank of India has not issued any instructions to banks not to accept scribbled currency from the customers.

(d): RBI has advised  all the banks to provide the facility for exchange of notes and coins at all their branches  vide its Master Circular  on "Facility for exchange ofnotes aad coins" dated  July 02, 2018. lf any bank refuse to exchange  such notes, applicant may register complaint  with the bank under Grievance Redressal System of the bark. RBI has advised all public  sector banks and some private  sector and foreip banks to appoint  an intemal ombudsman to function as a forum to bank customers for grievance redressal.  Ifthe bank's reply is not satisfactory  or reply is not received within one month, complaint may be registered  with the Banking Ombudsman  concemed under Banking Ombudsman  Scheme, 2006.