Penal Interest for Delayed/Wrong/Non-Reporting of Currency Chest Transactions
Banks are required to report currency chest transactions within the prescribed time limits. Delays in reporting will attract penal interest, with relaxation provided for strike periods in banks.
Wrong reporting will also attract penal interest, and banks must report soiled note remittances to RBI/diversion to other chests and diversions in ICCOMS.
The maximum penal interest to be charged is specified.
Penal Interest for Inclusion of Ineligible Amounts in Currency Chest Balances
Banks are required to ensure that only eligible amounts are included in currency chest balances. Inclusion of ineligible amounts will attract penal interest.
Rate of Penal Interest
The rate of penal interest is specified.
Levy of Penal Interest in Respect of Currency Chests at Treasuries
Penal interest will be levied in respect of currency chests at treasuries.
Representations
Banks can make representations in case of delayed reporting, wrong reporting, or non-reporting of currency chest transactions.
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