Parliament committee's meeting with RBI Governor over demonetisation begins
New Delhi [India], Jan. 18 (ANI): The meeting of Parliament's Standing Committee on Finance with the Governor of the Reserve Bank of India (RBI) Urjit Patel over demonetisation and its aftermath began here this morning.
The committe is led by Congress leader Veerappa Moily. Former prime minister Manmohan Singh is also a part of the committee.
In the meeting, Patel is expected to face questions over the criticism that the RBI compromised its autonomy in order to toe the line of the government.
Senior officers, including Banking Secretary Anjuly Chib Duggal, Department of Economic Affairs Secretary Shaktikant Das and Revenue Secretary Hasmukh Adhia will also attend the meeting and brief the committee about demonetisation and its impact on the economy.
The RBI has been criticised for relinquishing its autonomy as the central bank of India to head the cirulation of currency in the nation and blindly following the Union Government's diktat. The RBI is also said to have failed to carry out the necessary checks ahead of banning the high-end value currency notes.
Throughout the demonetisation drive, rules for cash withdrawal from the bank ATMs were also changed frequently. There have also been demands to know how much of the 15.44 lakh crores in banned notes has returned to the banks.
Patel will also be asked if the decision of demonetisation was legal and feasible enough.
The RBI Governor will also appear before the Public Accounts Committee (PAC) of the Parliament on January 20. (ANI)