RBI, of forged notes, fake Banks, police inaction

It seems that you can teach an old dog new tricks after all. Senior Officers of the Reserve Bank of India (RBI) were foxed when SarbaJit Roy's Hacking Complaint confronted them with the fake Bank styled as "Standard Chartered Grindlays Bank" which had operated in India for over 2 years without any Banking licence, and which bogus Bank had also hacked the database containing Credit Card details of over 12 lakh ANZ Credit Card holders in India.

So does this show that after fake Banks, the RBI has no control over its own staff either? Especially if currency notes marked for destruction can find their way into salary packets of Government employees.

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National Library files FIR against Canara Bank
Imran Ahmed Siddiqui (source: Indian Express Newsline)

Kolkata, May 21: THE National Library authorities today lodged an FIR against the Canara Bank’s Brabourne Road branch after fake notes of Rs 500 denomination were found in the employees’ salary.

Eleven such notes, bearing the Reserve Bank of India’s ‘‘Forged Note’’ stamp, were found in the salary issued to the employees of the National Library and the Archaeological Survey of India.

The salary had come from Canara Bank’s Brabourne Road Branch on April 30.

‘‘We have lodged an FIR against the Canara Bank, as they issued the notes of Rs 500 denominations which were already marked as ‘Forged’ by the Reserve Bank of India (RBI). Those notes were not to be put in circulation. The complaint was lodged by the head office,’’ said Saibal Chakraborty, an official of the library.

Asked how it happened, S Chowdhury, chief general manager, RBI, Kolkata, said: ‘‘It is a very serious matter. We have to investigate how it happened. We have given specific instructions to our staff as well as to other banks not to give fake note to customers. But the important question is how these forged notes reached the Canara Bank from the RBI. And why they did not intimate us’’.

Meanwhile, the authorities of Canara Bank, Brabourne Road branch, blamed the RBI for the fiasco after the Newsline reported about the detection of the fake notes.

The assistant general manager of Canara Bank, Brabourne Road branch, BN Roy, said: ‘‘We are also at a loss of words as these notes bore the stamps of RBI as ‘‘FORGED’’ and still ended up in salary. They are supposed to be destroyed’’.

The fake currency racket has even reached the Lalbazar. Newsline reported in March that fake notes of Rs 500 and Rs 1000 denominations were detected in the salary of policemen. The notes on that occasion had come from the Reserve Bank of India.

Admitting that the fake currency racket is too deep, Chowdhury said: ‘‘we found that fake notes which reached Lalbazar were not issued by the RBI. So there is no question of exchanging them’’.

His statement is at variance with that of the police commissioner, Prasun Mukherjee, who had said that the fake notes were part of the salary which comes every month from the RBI.

Chowdhury said the RBI is planning to provide training to several bank officials in the wake of this spurt in fake currency circulation.

Fate of Fake Currency
The RBI receives fake notes from other banks. These are mechanically tested
The words ‘Forged Notes’ are stamped on the notes
The RBI lodges a complaint with police
The fake notes are kept separately and later destroyed