Intel database soon to track fake notes

In its effort to crack down on massive circulation of Fake Indian Currency Notes (FICN) in the country, the Centre is contemplating creation of a centralised intelligence database of suspicious sources to expedite action by investigative and law enforcement agencies. Officials privy to the latest development said the high profile system will scan major transaction centres including petrol pumps and big shopping malls across the nation to prevent circulation of fake currency.

The Centre recently received a detailed report that reveals the sources of fake currency smuggled in the country. The report includes details of seizures at petrol pumps, banks, shops and of individual smugglers. Sources said that the Financial Intelligence Unit (FIU-IND), responsible for analysing and disseminating information relating to suspicious financial transactions, will also share the fake currency related information with the RAW and other enforcement agencies.

“The focus of central agencies is on the supply source and all the banks has been asked by the Reserve Bank of India to send each and every report related to fake currency to the Financial Intelligence Unit,” sources said.

Central enforcement agencies examining several seizures and reports also found out that banks are facing serious problems in registering first information report after detecting fake currency. Sources said the ministry of home affairs has been asked to look into this.

Recently, the cabinet also cleared the amendment draft of Unlawful Activities Prevention Act (UAPA) making production, smuggling or circulation of counterfeit Indian currency as a terrorist offence.

Sources said innocent civilians, who received the fake currency by mistake, will be excluded from the amended rules of UAPA and they will not be punished.

According to the government estimate around Rs 300 crore worth of fake Indian currency are being smuggled into India by Pakistan every year and a large portion goes into funding terrorism.