Government Makes It Illegal To Hold Old Notes Post March 31

An ordinance to prevent future litigation on junking the high denomination currency notes has been passed by the Union Cabinet, which met on Wednesday.

The ordinance, titled,'The Specified Bank Notes Cessation of Liabilities Ordinance, is aimed at preventing ambiguity and harassment over note ban. This proviso would be added to ensure that people belonging to some specific categories can still deposit the old notes in RBI branches between December 31 and March 31 next.

Categories like the armed forces, those living abroad and those who can explain the source of money and did not deposit all these days due to valid reasons.

The ordinance also seeks to impose a penalty on those possessing a certain quantity of old notes after December 30.