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LATEST NEWS UPDATES | Disclosing Reasons for Demonetisation Will Hurt India, Says RBI

Disclosing Reasons for Demonetisation Will Hurt India, Says RBI

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published Published on Dec 31, 2016   modified Modified on Dec 31, 2016
-TheWire.in

Refusal to disclose reasons for the demonetisation decision does not stand up to legal scrutiny, RTI experts say.

New Delhi:
It’s time to call it the Reserved Bank of India.

Fifty days after the board of India’s central bank voted to discontinue all Rs 500 and Rs 1000 notes and the prime minister announced the demonetisation of 86% of India’s cash stock,  the Reserve Bank of India has said the reasons for the sudden announcement cannot be made public.

In response to a Right to Information request, the RBI refused to disclose the reasons behind the decision to demonetise around Rs. 16 lakh crore of currency in the country, citing Section 8(1)(a) of the Right to Information Act.

The exemption under this section allows a public authority to withhold “Information, [the] disclosure of which would prejudicially affect the sovereignty and integrity of India, the security, strategic, scientific or economic interests of the State, relation with foreign state or lead to incitement of an offence.”

While denying the information sought in the RTI application, the RBI did not explain how this exemption would apply in the given case as the decision to demonetise has already been taken and there is no way that disclosure of information about the reasons would fit any of the reasons cited in section 8(1)(a) of the RTI Act.

The monetary policy authority also refused to give any details about the time it will take to replenish the old currency notes.

“The query is in the nature of seeking future date of an event which is not defined as information as per Section 2(f) of the RTI Act,” RBI said in response to an RTI query.

Please click here to read more.

TheWire.in, 29 December, 2016, https://thewire.in/90462/rbi-refuses-give-reasons-behind-demonetisation/


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