SC not inclined to interfere in 500, 1000 demonetisation, asks Centre for its stand

In a batch of petitions challenging the discontinuation of Rs. 500 and Rs. 1000 notes, the Supreme Court of India remarked that it will not interfere in the economic policies of the government..A Bench of Chief Justice of India TS Thakur and DY Chandrachud J however asked the Central government to file an affidavit setting out its stand in the matter..Attorney General Mukul Rohatgi represented the Centre, while Senior Advocate Kapil Sibal appeared for one of the petitioners..Sibal’s arguments today were two-fold. Firstly, he argued that the notification dated November 8 is violative of Section 26 (2) of the RBI Act. He said that as per the Section, only a particular series of notes can be demonetised and not “all series”..His main argument was, however, based on the implementation of the demonetisation. He submitted that it has resulted in great practical inconvenience for the common man. He said,.“Today, 86 per cent of entire cash economy has been withdrawn. Somebody from Bastar has to travel 20 km to reach an ATM. People from north-east cannot buy anything..We are with the government as far as black money is concerned, but a great many people in this country are illiterate and cannot fill forms. You can have a surgical strike against black money but not against common man.”.Sibal also made it clear that he is not seeking a stay on the notification..Attorney General Rohatgi, however, told the court that the notification is well within the ambit of S. 26 (2) and the only case the petitioners have is regarding “inconvenience”..He then set out the various steps taken by the Centre to reduce the hardships caused to the public. He also gave reasons for not calibrating ATMs or printing notes in advance..“If I had calibrated ATM machines or printed the new notes in advance, the cat would have been out of the bag….…People are also intelligent and are finding new ways to convert old notes. Some booked first class air tickets and later cancelled them. So we had to plug that loophole.”.The Court, after hearing the parties, remarked that it is not inclined to interfere in the government’s economic policy, but asked the Centre to ensure that the difficulties caused to public are minimised..It also asked the Centre to set out its stand on an affidavit, though no official notice was issued..The matter will now be taken up on November 25.