Using your phone's internet browser
go to:  qna.rediff.com
Click and drag this link to
the Home icon in your browser.
Q.

I recently read in a newspaper that more than a decade back Mr. P.Chidambram as Finance Minister took a decision and got Indian Currency notes printed in three countries.As he was afraid that the Indian currency notes are being mutilated and the India Security Press will not be able to meet the demand.
If any country can print a specified number of Indian Currency notes, it can also print many more of them unauthorisedly.And we have no means to check it.Perhaps this is the cause of circulating fake currency in India.Pls comment.Any remedy for this?

Tags: india, pls, countries
Asked by HEMANT MEHTA, 05 Jun '10 11:59 am
  Invite a friend  |  
  Save  |  
 Earn 10 points for answering
Answer this question  Earn 10 points for answering    
4000 characters remaining  
  
    
Keep me signed inNew User? Sign up

Answers (8)

1.

The bulk of fake stamp papers in Mr Harshad Mehta case are believed to be printed in the government press , Nasik. with inside help. As such counterfeit notes can be printed at any source .And technology has improved so much that printing a fake note is easier day by day. Perhaps keeping this in mind the then finance minister might have arranged for the printing , where the latest technology was available with the hope it is not possible for others to print the counterfeit. And if that is the decision of the council of ministers then there is nothing to argue about it. However we are cautious and as a result our costliest denomination of note is for only for Rs 1000 only or about 21 US dollars and I do not think any foreign country is interested in printing them for profit as marketing it is a costly affair.
Answered by Josna, 05 Jun '10 11:19 pm

 
  
Report abuse
Useful
 (0)
Not Useful
 (0)
Your vote on this answer has already been received
2.

Yes, I have heard about it. Further, many commentators feel that there was more volatility in stock markets each time PC became the Finance Minister! We would never know the truth behind such incidents!
Answered by Milind Madhukar Kulkarni, 05 Jun '10 01:02 pm

 
  
Report abuse
Useful
 (1)
Not Useful
 (0)
Your vote on this answer has already been received
3.

The Committee on Public Undertakings (COPU) has criticised the Reserve Bank of India (RBI) and the Finance Ministry for outsourcing the printing of Indian currency notes amounting to a sum of Rs 1 lakh crore to three foreign countries in 1997-98.
The Committee has described the move as an unprecedented, unconventional and uncalled for measure.
It took up a detailed study of the public sector undertaking, Security Printing and Minting Corporation of India Ltd (SPMCIL).

The COPU report was tabled in Parliament.
The report recalled that 2,000 million pieces of 100 rupee denomination and 1,600 million pieces of 500 rupee denomination of notes were outsourced for printing at American Banknote Company(USA) - 635 million pieces, Thomas De La Rue-UK - 1,365 million pieces (100 rupee denomination) and Giesecke and Devrient Consortium (Germany) - 1,600 million pieces (500 rupee denomination).
---The Net---
Answered by QueSera Sera, 05 Jun '10 12:23 pm

 
  
Report abuse
Useful
 (1)
Not Useful
 (0)
Your vote on this answer has already been received
4.

Yeah i read abt it too..but its quite old news....and i think there are many other causes too behind fake currency nnotes....Pak's major economical portion is consumed in spreading fake Indian currencies by any means and few sources says China is also behind this game
Answered by Gaurav vyas, 05 Jun '10 12:04 pm

 
  
Report abuse
Useful
 (1)
Not Useful
 (0)
Your vote on this answer has already been received
5.

Printing Indian currency outside the country is basically wrong .How he didnt understand that time being a finance minister is not understood..Everywhere thre is flaw in our Govt body. Yes, I have heard about it. Further, many commentators feel that there was more volatility in stock markets each time PC became the Finance Minister! We would never know the truth behind such incidents!
Answered by Motu, 21 Sep 06:08 pm

 
  
Report abuse
Useful
 (0)
Not Useful
 (0)
Your vote on this answer has already been received
6.

Hemant ji, I would be more comfortable if Indian currency notes were printed outside of India. Why? Because Indian Rupee has very weak international demand and is only valued as a tradable currency inside INdia more or less. Noone abroad deals with or trades in Rupees. So outside of India, the Indian Rupee is as valuable as u r monopoly game money.

Inside of India, in the Govt of India presses, we have the money in DIRECT access to corrupt topshots , who can convert the money into USD or Euro inside iNdia itself and then float it away 2 Swiss bank. Most of the corruption of the Indian Rupee was done right here at home.

We should talk w/a SAARC country and strike a deal where we print Sri Lanka's money and where Sri Lanka prints ours.

The INR is a very poor tradable commodity so u don't have 2 worry about overseas counterfitting efforts at least! The only concern for the INR is the Govt of India presses because it can b directly manupulated by corrupt political interests.
Answered by A Moin, 10 Jun '10 04:26 pm

 
  
Report abuse
Useful
 (0)
Not Useful
 (0)
Your vote on this answer has already been received
7.

If chindambardam really do this, make this order given to very good institutions, they would print with great security. so don't afraid of the fake currently floating the Indian markets. but i think india was not in a position to make their currency printed in other countries.

answer by easystockbasics.blogspot.com
Answered by srinivas, 06 Jun '10 12:11 pm

 
  
Report abuse
Useful
 (0)
Not Useful
 (0)
Your vote on this answer has already been received
8.

Printing Indian currency outside the country is basically wrong .How he didnt understand that time being a finance minister is not understood..Everywhere thre is flaw in our Govt body.
Answered by ANURADHA PATHAKJ, 05 Jun '10 01:00 pm

 
  
Report abuse
Useful
 (0)
Not Useful
 (0)
Your vote on this answer has already been received

Ask a Question

Get answers from the community

600 characters remaining

Related Answer

Q.
A

It is undoubtedly clear from the trend of the share market visible in last three -four moths that politicians and the FII have close nexus between the..more

Answered by Danendra Jain