Govt seizes Rs 2.55 crore in fake notes post demonetisation; more than half from Gujarat

Key Highlights

• The value of fake Indian currency crossed Rs 2.55 crore post demonetisation.
• A total of 23,429 fake notes in denominations of Rs 2000 and Rs 500 were seized by the government.
• Gujarat contributed to more than 50% of fake notes seized.

9254 Fake Indian Currency Notes (FICN) of newly introduced Rs 2000 were seized between November 9, 2016 and July 14, 2017, Hansraj Ahir, Minister of State, Ministry of Home Affairs told the Lok Sabha on Tuesday. 

In the eight months preceding the demonetisation announcement of November 8, 2016, a total of 23,429 fake notes in denominations of Rs 2000 and Rs 500 were seized by the government which amounted to Rs 25,595,500 (In fake currency), Ahir said in a reply. 

A break up of the total FICN showed 9254 fake notes of Rs 2000 and 14,175 of Rs 500. The fake Rs 500 notes comprised of new and old notes, the statement by Ministry of Home Affairs read.

The highest value of fake notes were seized from the state of Gujarat amounting to Rs 1,37,84,500. The fake notes seized from here amounted to 4487 in Rs 2000 notes and 9621 of Rs 500 notes.
This amounted to 53% of the total value of fake Indian currency seized.

Mizoram followed with Rs 55,20,500 in fake notes of Rs 2000 and Rs 500 that were seized by the government.

West Bengal had Rs 44,45,500 in fake Rs 500 and Rs 2000 notes seized.

The menace of fake currency had reached Rs 400 crore in circulation last August, as per the study by Statistical Institute, which was one of the reasons why the Narendra Modi-led government decided to demonetise higher denominations notes in India.

In 2015, the government recovered 1.78 lakh fake Rs 1000 notes; 299,524 Rs 500 notes and 217,189 Rs 100 notes. The value of fake currency remained constant for the last four years, the Ministry of Finance said in a statement.