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<b>Letters:</b> Withdraw certain notes

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Business Standard New Delhi
Last Updated : Jul 17 2016 | 9:59 PM IST
With reference to Dilasha Seth's report, "Ban cash transactions of above Rs 3 lakh to curb black money: SIT" (July 16) the suggestion, though feasible, is not realistic. A more rational solution would be to withdraw currency notes of Rs 500 and Rs 1,000 denomination. However, this is not an easy task. Baby steps can be taken by discontinuing high-denomination currency notes.

Carrying, exchanging, delivering and storing huge stacks of low-denomination currency notes like Rs 50 or Rs 100 will be a Herculean task and a logistical nightmare. This may help route the flow of tax-evaded incomes and possibly encourage transactions through banks and other legal channels.

Will the government take this step? Since black money is a major lubricant of our electoral system, it is unlikely that any party will want to rock that boat.
H N Ramakrishna, Bengaluru

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First Published: Jul 17 2016 | 9:36 PM IST

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