Specified Bank Notes (Cessation of Liabilities) Act, 2017 Notified; Read the Salient Features [Read the Full Text]
The Central Government has notified the Specified Bank Notes (Cessation of Liabilities) Act, 2017 repealing the ordinance in that regard.
The Act is to provide in the public interest for the cessation of liabilities on the specified bank notes. Following are the salient features of the Act.
- Section 5 of the Act bars any person from knowingly or voluntarily, holding, transferring or receiving any specified bank note after the expiry of grace period
- Holding not more than ten notes in total, irrespective of the denomination is not prohibited. If it is for the purposes of study, research or numismatics, up to twenty-five notes can be held.
- Holding of such notes by any person the direction of a court in relation to any case pending in the court is not prohibited
- Section 7 states that whoever contravenes the provisions of section 5 shall be punishable with fine which may extend to ten thousand rupees or five times the amount of the face value of the specified bank notes involved in the contravention, whichever is higher.
- The Act also states that, whoever knowingly and wilfully makes any declaration or statement specified under sub-section (1) of section 4, which is false in material particulars, or omits to make a material statement, or makes a statement which he does not believe to be true, shall be punishable with fine which may extend to fifty thousand rupees or five times the amount of the face value of the specified bank notes tendered, whichever is higher.
- Court of a Magistrate of the First Class or the court of a Metropolitan Magistrate can impose a fine, for contravention of the provisions of this Act.
Read the full text here.