Fri. Mar 29th, 2024
Demonetization

After demonetization, Non-Resident Indians (NRI) are allowed to exchange their old notes of Rs. 500 and Rs. 1000 by the end of the June. Many Indians still have those scrapped old notes of Rs. 500 and Rs. 1000. These people have found a way to exchange their money. They are offering a handsome amount of money to NRIs for the exchange.

An unnamed trader involved in this matter stated: “The going rate for exchanging old notes is Rs 9 on every Rs 100, so if you want to exchange Rs 1 crore in old notes, then you would get back Rs 9 lakh in new notes”. When asked about the exchange he said “These are people who don’t want to show the government their source of funds. It’s not about taking a hit on their current cash. Those who have not declared are the ones who feel their future source of income would also be exposed before the tax authorities”.

For 1 crore the traders get Rs. 50,000 or Rs 1 lakh as commission. He also said that they will stop this exchange of money on 25 June for the safe side.

Recently Thane police nabbed three people who were trying to exchange Rs 1 crore in old notes. Also, Hyderabad police too caught a businessman with Rs 3.48 crore old notes a couple of days back.

RBI has confirmed this news of illegal exchange through NRIs but added that it was not in their jurisdiction to keep a tab on this. RBI official said, “They are exchanging notes with NRIs and submitting absolutely foolproof documents”.

The exchange limit for NRIs as per FEMA (Foreign Exchange Management Act) regulations is Rs 25,000 per person.

By Bharat