Delhi HC reserves order in PIL against exchange of Rs 2,000 banknote without requisition slip, identity proof

2000 notes

The Delhi High Court on May 23, reserved for judgment, a plea against permission to exchange Rs 2,000 banknotes without obtaining any requisition slip and identity proof.

The High Court bench led by Chief Justice Satish Chandra noted that they will pass appropriate orders.

Appearing in person, lawyer Ashwini Upadhyay filed the plea that the notifications by RBI and SBI in this regard are arbitrary, irrational and offend Articles 14 of the Constitution of India. He took the court through his plea.

Appearing for RBI, senior advocate Parag Tripathi urged the bench to dismiss the plea on the ground that the constitution bench of SC has time and again reiterated that they cannot interfere in the nation’s economic policies.

Tripathi further argued that withdrawing Rs. 2000 notes is not demonetisation but a statutory exercise, hence it is not a public issue.

The bench, on hearing both the parties reserved the case for judgment.

The petition said that a large amount of the currency has reached either an individual's locker or has "been hoarded by the separatists, terrorists, Maoists, drug smugglers, mining mafias & corrupt people".

The petition highlighted that cash transaction in high-value currency is the main source of corruption and is used for illegal activities like terrorism, naxalism, separatism, radicalism, gambling, smuggling, money laundering, kidnapping, extortion, bribing and dowry, etc. and the RBI and SBI should ensure that Rs 2,000 banknotes are deposited in respective bank accounts only.

"Recently, it was announced by the Centre that every family should have Aadhaar card and bank account. Therefore, why is RBI permitting to exchange Rs 2,000 banknotes without obtaining identity proof? It is also necessary to state that 80 crore BPL families receive free grains. It means 80 crore Indians rarely use Rs 2,000 banknotes. Therefore, petitioner also seeks direction to RBI and SBI to take steps to ensure that Rs 2,000 banknotes are deposited in a bank account only," the plea stated.