Supreme Court refuses to put a stay on government's demonetisation move

The Supreme Court of India after hearing the PILs (public interest litigations) from various quarters on the government’s demonetisation move refused to put a stay on the drive, therefore boosting government’s stance on black money offenders.

The apex court also sought a reply from the GoI (Government of India) on the measures it is taking to avoid inconvenience to public. Next hearing on the plea would take place on November 25 as the top court will examine legal validity of the government's notification and then take a decision.

Court also observed that they are not interfering with the economic policies of the government, but at the same time wants to examine the scope of section 26 of RBI Act which permits demonetisation.

Representing the government, Attorney General (AG) Mukul Rohatgi informed the bench comprising CJI (Chief justice of India) that Rs 3.25 lakh crore were deposited in the banks since November 10 and Rs 11 lakh crore would be added in the next few days.

AG justifying the demonetisation move said, ‘large amount of fake currency has been used to finance terrorism in various parts of the country including in Jammu and Kashmir and north eastern states’.

For the second day in row Indian markets declined on the demonetisation move fearing near term impact on the economy.