Border vigil intensified for fake bank notes

Jaipur: The Border Security Force has beefed up security along the international border in Rajasthan after receiving reports from intelligence agencies that there were likely to be large-scale attempts to smuggle counterfeit currency into the country through Rajasthan, Punjab and Jammu and Kashmir.

The governor of the Reserve Bank of India (RBI), D. Subbarao, chairing a meeting of the bank's deputy governors and newly constituted board, noted that the problem of counterfeit currency had shown a marked increase. The central bank, the Finance Ministry and the Home Ministry were in the process of drawing up a comprehensive plan to stop the racket, he said.

"The Indian laws will have to be amended to punish such persons who are involved in circulating counterfeit currency. The present law has many loopholes and it is difficult to prove that a person was involved in circulating counterfeit currency. The role of police and the law will have to be redefined to curb the circulation of the counterfeit notes."

The RBI became vigilant after the National Investigation Agency alerted that fake currency notes were being printed at a government-owned printing press across the border.

Changes

"We have been making changes in the currency notes, particularly Rs500 and Rs1,000 currency notes, yet those who are involved in circulating counterfeit currency find their own way," admitted Subbarao.

According to a deputy governor of the Reserve Bank, tasked with combating the counterfeit currency problem, a committee of experts had suggested several fool-proof design aspects that could be incorporated into new currency notes.