RBI files complaint against banks for depositing fake notes

I think the root cause of all problem happens at the time of depositing money. Somehow or other, the very smart criminal deposits fake notes in the bank. The bank should check each and every note at the time of depositing them...

There is too much of fake currency cases these days, and even bank people are not able to make out the difference between and they are finding it difficult to manage the situation as RBI is lodging complaints against them, and with so many things that are there in a currency to identify whether it is a fake or a genuine, but people are not able to check, and while in a big bundle of notes, many of them will not check whether the note is genuine or fake one, to avoid this kind of infiltration of fake notes it is important to alert the authorities and take necessary action if not this fake notes will become rampant in coming days.

first we have to aware the people of india about the fake currency and secondly i think that the laws should be more strict on fake currency its not a small issue our goverment can do some modification in printing of the new currency and use good quality of material which costs  is equivallant  of a fake currency note.

Rather than using punishment as a deterrent against the menace the RBI should invest money and resources available at its disposal to eradicate the root cause of the problem.While it can be argued that it is the fundamental responsibility of the banks to exert due diligence and be meticulous in their operation and there should be zero tolerance of willful default in compliance related issues and these seem theoretically possible at the same time we also need to appreciate that the task becomes all the more arduous due to the following factors

1. Humongous volumes that they handle.

2. Lack of sufficient capable manpower.

3. Adherence of tight time frames.

4. Monotonicity of the jobs leads to errors.

Where as on the other hand if a massive organisation like an RBI decides to invest in R&D for improving the technology that is involved in creating a currency note it is certain to address the problem of counterfeiting.All it needs to do is to deincentivise counterfeiting by

1. Reduce the complexity involved in a currency note i.e make it easier for a common man to easily identify right now there are too many features making is difficult to remember and some features are not easily discernible by the naked eye even by an expert. e.g. suppose RBI gives an instruction via its circular refusing legal tender for notes starting with Q*****1 serial nos is is possible for the layman to remember to note the serial each time he receives a note

2. Introduce features into a currency that cannot be replicated.

3.Increase the cost of the currency compared to the value. e.g. ever wonder why fake coins of  various denominations are not so rampant  because the cost of production of a 1 Re coins is far in excess of the value it represents .

Call back all 500 and 1000 rs from public. stop circulating these high value notes. Problem will be solved.

Who will dare to do this?

Who will tie the bell to Cat's neck

the bank managers are involved in this racket .

SBI is pretty safe :: need to monitor regional & other banks strictly ::

To the extent possible use other forms of value transfer rather than using currency, other forms like credit card payments, payments through cheques, DD, Pay order etc. so the usage of the currency gets reduced.

A fake  currency detection machine controlled by RBI online may be placed in all bank branches under the controle of RBI, this machine will detect the fake notes which are not issued by RBI ,by this method circulation of fake notes through banks may be controlled considerably, penal consequences for involment in fake currency dealings may further be strenghtened.