'Phase out Rs 2,000 currency notes': BJP MP Sushil Kumar Modi to Rajya Sabha
Raising the issue through a zero-hour mention, the BJP MP said Rs 2,000 notes have vanished from most ATMs in the country and there are rumours that they may not be legal tender soon.
FollowBJP MP Sushil Kumar Modi on Monday (December 12) demanded the Rajya Sabha to gradually phase out Rs 2,000 currency notes stating that the citizens holding such banknotes should be given two years to deposit them.
Raising the issue through a zero-hour mention, the BJP MP said Rs 2,000 notes have vanished from most ATMs in the country and there are rumours that they may not be legal tender soon.
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"The government has to clarify on this," he said, adding the RBI stopped printing the 2,000 rupee currency notes 3 years back. The Rs 2,000 currency note along with a new 500 rupee note was introduced when the government overnight demonetised old Rs 500 and Rs 1000 rupee notes.
"There was no logic of bringing a 2,000 rupee note when 1,000 rupee note circulation was stopped," he said and went on to cite examples of developed nations that do not have currency notes of higher denomination.
Modi also said that Rs 2,000 notes are being hoarded and are often used in illegal trades such as drugs, and money laundering. The 2,000 rupee note - the highest currency denomination in the country - has become synonymous with black money, he said.
"The government should gradually phase out the 2,000 rupee note. Citizens should be given 2 years to exchange their holdings of the 2,000 rupee notes," he said.
Meanwhile, Elamaram Kareen of CPM sought an extension of the compensation paid to states for revenue lost from the implementation of the Goods and Services Tax (GST) for another five years.
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When the one-nation, one-tax, or GST was implemented on July 1, 2017, by subsuming 17 levies, including excise duty and VAT, a cess was levied on sin and luxury goods. Collection from this was used to pay states for any revenue they lost. That compensation mechanism ended on June 30, 2022.
Kareem said Covid led to a substantial slowdown in the economy. Expenses rose and revenues fell, creating an imbalance, he said, adding the Union Government should consider the request of Kerala and other states for extending the compensation cess for another 5 years.
M Shanmugam (DMK) wanted minimum support price (MSP) for tea, while Javed Ali Khan (SP) raised the issue of disbanding of students union and teachers association as well as 8,000-capacity hostel being locked up in the national capital's Jamia Millia Islamia.Â
(With inputs from PTI)
