Even when tenders smaller than Rs 5000 are made in an account and such tenders taken together on cumulative basis exceed Rs 5000 they may be subject to the procedure to be followed in case of tenders above Rs 5000, with no more tenders being allowed thereafter until December 30, 2016. These restrictions shall not apply to tenders of old notes for the purpose of deposits under the Taxation and Investment Regime for the Pradhan Mantri Garib Kalyan Yojana, 2016.
Speaking to CNBC-TV18 Ashvin Parekh of Ashvin Parekh Advisory Services said that Rs 5000 looks to be a smalle amount. “If a lot of cash has come back, then there is no need for control.” Rajnish Kumar, MD, SBI said that it is a precautionary measure taken by the Reserve Bank of India. The process becomes more tedious but the number of deposit transactions has come down significantly, he said.
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(Sourced from agencies, feature image courtesy:goodreturns.in)
