Today’s Key, Supreme Court Decision Regarding the Centre’s Note Ban: 10 Facts
The decision to demonetize currency was “well-considered,” according to the Centre, and it was a part of a bigger plan to fight the threat of counterfeit currency, terrorism financing, black money, and tax evasion.
On petitions contesting the central bank’s decision to outlaw the $1,000 and $500 bills in November 2016, the Supreme Court is expected to rule today. The action caused the overnight destruction of 10 lakh crore.
The top 10 updates on this major story are listed below.
- The Supreme Court received 58 petitions contesting the notes prohibition, contending that the government should not have made such a hasty decision and that the ban should be overturned.
- The administration has contended that a case cannot be decided by the court in the absence of any real relief. According to the Centre, it would be like “turning back the clock” or “unscrambling an egg.”
- Before going on holiday for the winter, a five-judge Constitution bench led by Justice SA Nazeer heard the arguments, and on December 7 the decision was suspended. Justices BR Gavai, BV Nagarathna, AS Bopanna, and V Ramasubramanian make up the other members of the bench. It has been learned that two distinct judgements have been written by Justices BR Gavai and BV Nagarathna.
- The decision to demonetize currency was “well-considered,” according to the Centre, and it was a part of a bigger plan to fight the threat of counterfeit currency, terrorism financing, black money, and tax evasion.
- P Chidambaram, a former union minister and prominent lawyer, said that the government hasn’t looked at other options for preventing the use of counterfeit money or illegal funds.
- He asserted that the government cannot bring forward a legal tender proposal on its own. According to him, this can only be carried out on the central board of the Reserve Bank of India’s advice (RBI).
- Mr. Chidambaram claimed that the Centre was also hiding important records pertaining to the decision-making procedure, such as its letter to the Reserve Bank dated November 7 and the minutes of the central board meeting of the bank.
- When the bank’s attorney argued that economic policy decisions are exempt from judicial review, the court responded that the judiciary cannot simply sit on its hands because it is an economic policy issue.
- The RBI acknowledged that there had been “temporary challenges” that were necessary for nation-building. It claimed in its response that a system had already taken care of the issues.
- The administration, according to the opposition, failed to implement demonetization, which destroyed businesses and eliminated employment. Mallikarjun Kharge, the head of Congress, claimed “The amount of money made available to the general population six years after the “masterstroke” is 72% larger than it was in 2016. PM (Narendra Modi) has not yet acknowledged this monumental blunder that caused the economy to collapse.”