RBI Governor Urjit Patel faced some tough questions from MPs on the note ban move as he was grilled by the parliamentary panel on the demonetisation and its impact on the economy.
The panel criticised Patel for his inability to answer queries related to demonetisation.
“Patel was unable to tell us how much money has come back to the banks,” said Saugata Roy, TMC MP. “The governor was unable to tell us that how much old currency has come into the banks,” added Roy.
However, former prime minister Manmohan Singh came to his aid to say that the RBI as an institution needs to be respected.
Dr Singh said asked the RBI governor to not reply to questions which may create problems for the central bank.
Congress MPs like Digvijaya Singh wanted to ask tough questions to the RBI governor but were prevented by Dr Singh and others.
Patel, flanked by deputy governors R Gandhi and S S Mundra, told the parliamentary panel that discussions between the central bank and the government on the process began early last year.
He said the central bank was in agreement with the government on the objective behind scrapping of the Rs 500/1000 notes.
The RBI Governor informed the MPs that the central bank had replaced Rs 9.2 lakh crore or 60 per cent of demonetised currency.
The Committee headed by former Union minister and senior Congress leader M Veerapa Moily had called the RBI and finance ministry officials to discuss the “demonetisation of Indian currency notes of Rs 500 and Rs 1,000 and the impact thereof”.
Since the members of the panel could not complete their questions, RBI Governor and ministry officials have been called again on a later date.