The district central cooperative banks across states have breathed a sigh of relief with the ruling of the apex court in the matter. The Supreme Court has recently ruled that district central cooperative banks (DCCBs) are allowed to show the amount of old currency notes lying with them in their balance sheets.
The court has also asked DCCBs, RBI and Nabard to submit their written statements in this regard within four weeks.
The next hearing in the matter is slated for the month of July.
Earlier, Nabard had issued a notification to the Maharashtra DCCBs to destroy old currency notes and keep written records of these losses.
After the Nabard letter, DCCBs had knocked at the door of the apex court.
A bench of Honorable Justice Deepak Gupta and Honorable Justice Sanjiv Khanna heard the petition.
It is to be noted that according to an estimate, eight district central cooperative banks including Pune, Sangli, Wardha, Nagpur, Ahmednagar, Amravarti, Kolhapur and Nashik are stuck with old currency notes of over Rs 110 crore after demonetization.
The old currency notes in question are the ones which DCCBs had before the Centre introduced demonetization on November 8, 2016. After a few days, the RBI refused to allow DCCBs to either exchange or accept old currency notes, citing non-compliance of KYC.
