Specified Bank Notes (SBNs) - Deposit under Guarantee Scheme to decongest the storage facilities at banks- (Reserve Bank of India) (24 Nov 2016)

MANU/RDCM/0035/2016

Banking

As you are aware there is a massive accumulation of SBNs at branches of banks and currency chests putting strain on processing capacities and storage facilities. This is slowing down the deposit of accumulated SBNs into chests.

2. For resolution of the problem, it is decided to revive the Guarantee Scheme to enable deposit of SBNs with RBI. The details of the scheme are as under:

i. Banks may deposit SBNs directly with the offices of RBI under whose jurisdiction they are located. These SBNs will remain, in the vaults of RBI, under the lock and key of the depositing banks till taken up for examination.

ii. For the SBNs deposited by banks, RBI will afford credit to their current accounts maintained with RBI. Thereafter, if any shortage, counterfeit note, mutilated note, etc. is detected during detailed processing at RBI, the value of the same will be recovered from the bank concerned.

iii. This facility will be extended to all banks and be available at all our Issue Offices.

iv. To avail the facility banks need to enter into an agreement (Annex) with Regional Offices of RBI concerned.

3. The scheme is effective from November 25, 2016.

Tags : GUARANTEE SCHEME DEPOSITS SBNS