Banned notes

Yesterday I met a very young gentleman in a pharmacy. He told me how his mother been suffering at home because she could not get operated in a hospital. His story is like this.

His mother had to be operated in a hospital and the cost of the operation was two lakh rupees (one lakh is one hundred thousand). They collected the money by borrowing from different sources. Since the amount is large, most of the money was in five hundred and one thousand rupee notes. Just one day before the scheduled operation the five hundred and one thousand rupee notes were banned by the government of India.

His mother was already admitted into the hospital but the hospital authority declined to accept the banned currency notes and eventually she could not be operated. They brought her back to home and presently she is under 24 x 7 medications.

There is not an iota of doubt that the note ban was to control black money but I still wonder if people who are having crores (one crore is 10 million) of rupees of black money have suffered like the young man and his family.

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6 thoughts on “Banned notes”

  1. I had read that the only people who were going to really be affected by the currency change were the “common” people. I wonder if Mr. Modi had any understanding of what was going to happen when he decided to make the change overnight. He must have known that Indians conduct a lot of their business in cash. That is so sad.

    Liked by 1 person

      1. It seems demonetization was Narendra Modi’s personal decision, he kept it secret from his cabinet colleagues. But it could be possible that the RBI (Reserve Bank of India which is equivalent to Federal Bank of the USA) governor and the Finance minister knew about it. According to many leading economists only 6 to 8% of entire illegal money is available in cash rest is available in gold (Indian government may not have much gold but every Indian family posses gold and many families own huge amount of gold in the order of kilograms), real estate, Swiss bank account &c. Illegal money problem is also very complex. If the source of illegal money is due to tax evasion then the Government will forgive them after deducting 60 to 80% as tax. But if the source is from drug, illegal trade etc. then nobody knows what could happen. Let us see how things move. It seems you keep lot of information about India. Have a good day.

        Liked by 1 person

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