Finance ministry seeks details of all currency swap transactions

The finance ministry has written to bank chiefs and the chairman of the Indian Banks Association (IBA) directing that all the bank branches in the country should be alerted to reflect correctly the cash deposit in old and new currency and inform the customers about the same. Finance ministry has sought report on action taken in this regard by 16 December 2016.

The finance ministry through the Department of Financial Services(DFS) has asked all the public sector banks (PSBs) and the Indian Bankers Association (IBA) to ensure hundred per cent (100 per cent) exchange of new currency is properly reflected in the customers' counterfoils.

The letter by the Department of Financial Services states that maintenance of records regarding deposit of SBN and non-SBN, as the case may be, is essential both in the bank record as well as the customer's record.

The letter further states though most banks providing correct information to the customers yet to ensure that it is done in 100 per cent of cases without fail, all the bank branches in the country be alerted to reflect correctly the cash deposit in old and new currency and inform the customers about the same.

The ministry has asked the MDs &CEOs / CMDs of PSBs and chairman, IBA that this must be followed scrupulously and any deviation in this regard has to be prevented and if noticed, dealt with firmly and immediately.

The letter further states that to educate the public, banks may clearly display a prominent sign (including in the local language) in their respective branches requesting their customers to fill-up deposit slips clearly indicating old and new currency and the denomination of the notes.

At the same time, the finance ministry appreciated the role played by the banks post-demonetisation, especially when the old currency was accepted and till 24 November 2016, when exchange of old currency to specified limit was also permitted.