EC No. 129/DoS- 23 /2020 11 May 2020
Ref. No. NB. DoS. Pol/389 /Policy/J-1/2020-21
All Regional Rural Banks
Dear Sir / Madam
Detection and Impounding of Counterfeit Notes
We invite your attention to our Circular No. NB. DoS/Pol.2694/J-1/2018-19 (Circular No.271/DoS-39/2018) dated 29 October 2018 and RBI’s Master Circular DCM (FNVD) G-1/16.01.05/2019-20 (RBI / 2019-20/01) dated 1 July 2019 (copy enclosed) on the above subject. As per paragraph 10 of the Master Circular (page 6), all banks are required to report detection and impounding of Fake Indian Currency Note (FICN) on a monthly basis in the format prescribed in Annexure VI of the aforesaid Master Circular. In case no counterfeit note has been detected during the month a ‘NIL’ Report is required to be submitted. Non-compliance of instructions contained in RBI’s Master Circular dated 1 July 2019 will be construed as violation of RBI Directive dated 19 November 2009.
2. Further, under Rule 8 (1) of Prevention of Money Laundering (Maintenance and Record) Amendment Rules, 2013, Principal Officers of Banks are required to report information on cash transactions, where forged notes have been detected, to The Director, FIU-IND by the 15th day of the succeeding month, by uploading the information on the FINnet portal and in the web enabled software at the National Crime Records Bureau, New Delhi.
3. We advise that the instructions issued in the aforesaid Master Circular by RBI and updated from time to time may be strictly adhered to.
4. Please acknowledge receipt of this circular to our Regional Office concerned.
(K. S. Raghupathi)
Chief General Manager
Encl:- as above