Modi’s threat works: Inflows Into Jan Dhan Accounts Decline

Modi's threat against allowing Jan Dhan accounts to be misused for laundering black money seems to be paying off. The inflows into Jan Dhan accounts have waned significantly.

After an initial surge in deposits into Jana Dhan accounts, there is a continuous fall in deposits.

"Since the time the government has alerted people not to allow their accounts, particularly Jan Dhan accounts, to be used by others for the purpose of converting their black money, there has been a considerable decrease in the inflow of funds in Jan Dhan accounts," an official statement said.

The average per account deposit in Jan Dhan accounts is Rs 13,113 for this entire period from November 8 to December 2. The official sources said that this is not alarming, given the need to bring all cash to banks.

Total amounts deposited during November 8-15 were Rs 20,206 crore, while during November 16-22, people deposited Rs 11,347 crore in such accounts. This further fell to Rs 4,867 crore during November 23-30. Total daily deposit in Jan Dhan accounts was Rs 410 crore on December 1 and Rs 389 crore on December 2.

"The Income Tax Department has identified the local clusters and bank branches where the inflow of Jan Dhan deposits have been more than normal, in order to investigate money deposits in Jan Dhan accounts which belonged to somebody else," Government sources said.