Demonetisation: No concession to co-operative banks
New Delhi: The Supreme Court on Thrusday said that concessions cannot be allowed to district co-operative banks. The co-operative banks' demand for taking urgent measures on the issue of receiving scrapped currency notes and exchanging them was not considered by the court.
The Union goverment said that urgent measures cannot be taken to provide concession to district cooperative banks. Instead, the banks can deposit the money received between November 10 to 14 in Reserve Bank of India.
Reserve Bank of India had informed earlier that the co-operative banks can accept money from November 10 to 14. This order was withdrawn on November 14.
Hence, the Centre said that money that was accepted till November 14 can be deposited in Reserve Bank of India.
"Won't the honesty of intention of the government be affected if concessions are given to district cio-operative banks? Can't the co-operative banks, which has assets to the tune of crores of rupees, wait for two more weeks?," the bench headed by Chief Justice asked.
The court said that the government may provide concession after December 30 and it will consider the issue after this.
The bench pointed out that people are not getting the amount that was announced by the government after demonetisation.
Though the stipulation exists that Rs 24000 can be withdrawn in one week, customers are getting only Rs 2000 or 3000 from many banks.
As reports come out that crores of money kept illegally have been seized from various places, why is the government not able to give the money required by people.
It is not correct to put the blame on bank managers after not giving the announced amount to customers, SC said.