Complete details about discontinuation of Rs 500 & 1000 notes

In a bid to tackle the scourge of black money in the country, Prime Minister Narendra Modi on Tuesday said Rs 500 and Rs 1000 notes will no longer be legal from midnight today. He explained that the currency notes will be just paper with no value.

“You have 50 days to deposit notes of Rs 500 & Rs 1000 in any Bank or Post office,” Modi said while making a special address to the nation.

“Notes of Rs 2000 and Rs 500 will be circulated soon, RBI has decided to limit the notes with higher value,” he added, saying some ATMs in the country may not function on November 9 and 10.

The new Rs 500 and Rs 2,000 notes will be added to circulation from November 10.

He also assured the nation that the notes of Rs 100, 50, 10 and coins of all denominations will remain legal tender and will not be affected and that,

“this step will strengthen the hands of the common man in the fight against black money.”

“Corruption, fake currency and terrorism are festering wounds, holding back the economy,” Modi said.

Modi’s announcement comes just days after some leaders suggested that currency notes of Rs 1000 and Rs 500 denominations should be abolished to curb black money in the country.

The Prime Minister said that black money to the tune of Rs 1.25 lakh crore had been unearthed during last two-and-a-half years.

Highlights from PMs speech:

# India has registered itself as a bright spot, and its not that this is a claim made by us, but by IMF and World Bank

# Corruption and black money are diseases rooted in this country, they are obstacles to our success.

# We are among the fastest growing economies, but we also rank so high in global corruption rankings.

# India was earlier 100 on global ranking of corruption. Today it stands at 76th position.

# Our enemies from across the border run their business with counterfeit notes and it has been going on for years.

# Terror strikes at the innocent. Who funds these terrorists? Across the border, our enemy uses fake currency and dodgy funds to sponsor terror – this has been proven repeatedly.

# We talk about use of black money in elections. We have to set the country free from corruption and black money. So from today midnight, from Nov 8, we ban all Rs 500 and Rs 1000. They wont be legal tender any more.

# Our measures to check black money are paying off. A voluntary disclosure scheme for undeclared money saw a good response.

# A Special Investigating Team is making progress to identify who has sent money abroad.

# 1.25 lakh crores of black money has been recovered.

On discontinuation of Rs 500 and 1000 notes:

# From now on, Rs. 500 and Rs. 1000 notes will not be used. They wont be legal tender any more.

# Citizens will have 50 days (From 10 Nov to 30 Dec) to deposit notes of Rs 500 & Rs 1000 in any Bank or Post office.

# On November 9 and in some places on November 10, ATMs will not work.

# There will be respite for people for the initial 72 hours as government hospitals will accept old Rs. 500 and 1000 notes till 11 November midnight.

# Petrol pumps, retail outlets will have to keep every single entry of cash transaction with 500 and 1000 notes till November 11.

# Crematoriums and cemeteries will be allowed to transact 500 and 1000 notes till November 11.

# Railway stations, bus stands and airports will also be allowed to transact 500 and 1000 notes till November 11.

# Medicines can be purchased with Rs 500, Rs 1000 notes for the next 72 hours.

# There will be no change in any other form of currency exchange be it cheque, DD, payment via credit or debit cards etc.

# On November 9, all banks will remain closed for public work.

# Notes of Rs 2000 and Rs 500 will be circulated soon, RBI has decided to limit the notes with higher value.

# Those unable to deposit Rs 1000, Rs 500 notes by Dec 30 for some reason, can change them till March 31, 2017 by furnishing ID proof.

# For next few days, ATM withdrawals will be restricted to Rs 2,000 owing to an expected paucity of notes. ID Cards needed to return notes.