PILs Filed Against Demonetisation Of Rs 500 And Rs 1,000 Notes

The Supreme Court will hear a plea against demonetisation of 500 and 1000 rupee notes on Tuesday.

Rs 500 and Rs 1000 notes were discontinued from Tuesday midnight as a step to curb black money. (Photo: PTI)

The government’s move to scrap notes of Rs 500 and Rs 1000 was challenged via two public interest litigations (PILs) filed in the Supreme Court on November 9.

The two PILs have been filed by Uttar Pradesh-based lawyer Sangam Lal Pandey and New Delhi-based lawyer Vivek Narayan Sharma.

Pandey has termed this decision as Prime Minister Modi's "Tughlaki Farman" and argues that the move is illegal and arbitrary in law, as such decisions cannot be taken overnight without prior notice.

The petitioner has listed out problems faced by citizens – ranging from payment needs at private hospitals to funds needed by farmers for sowing new crops.

The government’s move to scrap notes of Rs 500 and Rs 1000 was challenged via two public interest litigations (PILs) filed in the Supreme Court on November 9. (Photo: Reuters)

The petitioner has received information from different private hospitals that they are not taking cash amount that includes Rs 500 and Rs 1000 currency notes because of which serious operations are not being done and people are dying.

<b>PIL filed in SC</b>

BloombergQuint could not confirm those claims.

The petitioner had further claimed that marriage ceremonies that are scheduled between November 9-12 will have to be cancelled in light of this decision.

The PIL seeks direction to the government to provide adequate time to citizens to prepare for such a move.

Pandey had told BloombergQuint that he will be mentioning this case before the apex court on November 10 and will seek an urgent hearing and directions on the same.

Violating RBI Rules?

Sharma's PIL, on the other hand, alleges that government's decision to cancel the tender of Rs 500 and Rs 1000 notes is illegal, as it violates Reserve Bank of India norms.

An Indian shopkeeper poses for a picture as he counts notes at his shop. (Photo: Reuters)

That U/s 26(2) of the Reserve Bank India Act,1934 Respondent is required to give reasonable time to people to make alternate financial arrangements to avoid large scale mayhem and chaos.

<b>Vivek Narayan Sharma in PIL</b>

The PIL added that this scheme would translate into large queues at banks and post offices and even ordinary purchases of vegetables and other essentials will become difficult.

In fact, Sharma alleges that RBI has not printed sufficient money to distribute and circulate.

How would 125 billion citizens of India survive with a meagre limit provided in the ambit of said scheme, that too in the current scenario, when a small pollution mask come for more than Rs 2000/- and Inflation (Mehngai) is at its all-time peak?

<b>Vivek Narayan Sharma in PIL</b>