Terming the demonetisation move as a political posturing, the CPI(M) on Thursday said the Centre’s bid would result in total disruption of payments and settlements and urged Prime Minister Narendra Modi to release the names of those who have created humongous Non Performing Assets (NPA) in banks.
“The claim that demonetisation will check black money, fake currency, corruption and terrorism lacks substance. By the Prime Minister’s own admission, the bulk of black money generation and storage is in off-shore accounts in foreign currency. Counterfeit currency can be generated for any denomination. The announcement of a new Rs2,000 note alongwith another Rs500 note does not in any way prevent future possible counterfeit circulation. It’s an established fact that terrorist funds flow through electronic transfers and not through currency transactions.
“By allowing the conversion of the existing 1,000 and 500 currency notes within the prescribed time limit, no effective measure is there to prevent benami conversions. Further, transactions through plastic will continue as usual. In effect what this would result in is a total disruption of the payments and settlements that are part of daily life of our economy,” said CPI(M) Polit Bureau in a statement.
The left party also said the current situation created a burden on many people like daily wage labourers, fishermen, small businesses, traders and vendors selling at the door steps. What is going to happen is the disruption in livelihoods and bureaucratic harassment of ordinary people who wish to change the currency notes, it said.
“The CPI(M) demands that the Government make public forthwith the names of those holding bank deposits and accounts in tax-havens and those refusing to return humongous loans from nationalised banks estimated at over Rs11 lakh crores, if it is really committed to recover and curb black money,” the Polit Bureau added.