Demonetisation led to a decline in Pakistan printed high quality fake Indian currency notes which resulted only Rs 2.60 lakh seizure of such notes in Jammu and Kashmir between November 9, 2016 and July 14, parliament was told on Tuesday.
“As per reports of agencies, the demonetisation of bank notes of Rs 500 and Rs 1,000 denomination resulted in significant positive impact on most theatres of violence in the country,” Minister of State of Home Hansraj Gangaram Ahir told the Lokj Sabha in a written reply.
“Since illegally held cash forms the major chunk of terrorist funding, after the demonetisation, most of the cash held with the terrorists turned worthless. Demonetisation also led to instant extinguishment of Pakistan-printed high quality fake Indian currency notes. It also adversely affected the hawala operators,” he said.
Citing National Crime Record Bureau (NCRB) data, Ahir said that only Rs 2.60 lakh fake Indian currency notes in the denomination of Rs 2,000 (98 notes), new Rs 500 (68 notes) and old Rs 500 (60 notes) have been recovered in Jammu and Kashmir between November 9, 2016 and July 14, 2017.