Coins of 25 Paise and below – Withdrawal from Circulation
RBI/2010-11/479
RPCD.CO.No RRB. 60 /03.05.33 /2010-11
April 20, 2011
The Chairmen
Regional Rural Banks
Dear Sir,
Coins of 25 Paise and below – Withdrawal from Circulation
Please refer to the Govt. of India Gazette Notification S.O 2978(E) dated December 20, 2010 and the Reserve Bank Press Release dated February 1, 2011 on the above subject (copies enclosed).
2. The Government of India has decided to withdraw coins of denomination of 25 paise and below from circulation with effect from June 30, 2011. The Reserve Bank of India has instructed the banks maintaining small coin depots to arrange for exchange of coins of denomination of 25 paise and below for their face value at their branches. The coins will be exchanged at the branches of these banks as also the offices of the Reserve Bank till the close of business on June 29, 2011. Coins of denomination of 25 paise and below will not be accepted for exchange at the bank branches from July 1, 2011 onwards. The RRBs may take note of the above instructions.
3. Please acknowledge receipt to the Regional Office concerned.
Yours faithfully
(C.D.Srinivasan)
Chief General Manager
Encls: 2
Ministry of Finance
(Department of Economic Affairs)
Notification
[F.No.11/19/2009-coin]
December 20.2010
S.O.2978 (E) –In exercise of the powers conferred by sub-section 15A of the Coinage Act, 1906 (3 of 1906), the Central Government hereby determines to call in from circulation the coins of the denomination of 25 paise and below, issued from time to time, with effect from June 30, 2011 and from this date these coins shall cease to be a legal tender for payment as well as on account. The procedure for call in shall be notified separately by the Reserve Bank of India.
Sd/-
(Arun Sobti)
Under Secy.
(Currency & Coinage)
CAclubindia
