Supreme_court_clarify_that_Demonetisation_in_india_is_totally_legal[1]

Supreme court clarify that Demonetisation in india is
totally legal
India's Supreme Court has just issued a landmark ruling that demonetisation is totally legal in India. In a
6-3 majority decision, the court has now clarified what the legality of demonetisation was and how it
would be enforced. This ruling comes after months of debate over whether or not demonetisation was
actually legal, and how it should be implemented if it was found to be so. In this blog post, we’ll take a
look at what the Supreme Court said, explore the implications of this decision, and discuss what it means
for the future of India’s economy.
India's Demonetisation
Demonetisation in India is totally legal and the Supreme Court has clarified this. The decision to
demonetise was taken by the government after due consideration and consultation with the Reserve Bank
of India. The main objective of demonetisation was to curb black money, counterfeit currency and terror
funding.
The Supreme Court's ruling will provide some much-needed relief to the common man who has been
struggling to cope with the consequences of demoetisationn. It will also help restore confidence in the
government's decision-making process.
The different Types of demonetisation
There are different types of demonetisation. The first type is voluntary demonetisation , which happen
when government or RBI ask people to change their old currency for new currency. The second type
Involuntary demonetisation , which happen when government or RBI forced the people change their old
currency for new currency.
Pros and Cons of Demonetisation
When the Indian government announced it demonetisation Rs. 500 and RS.1000 currency notes in 08-
November-2016, it was met with mixed reaction, some people praised the move as a strong step against
black money and corruption, while other criticized it as an unfair and Inconvenient decision that caused
immense hardships to Common citizens.
There are both Pros and Cons to demonetisation and it is important to weigh them both before coming
to a conclusion about this complex issue.
Pros of Demonetisation
1.Strong step against black money:- one of the main aims of demonetisation was to tackle the problem
of black money in India. By making high-value currency notes invalid, the government aimed to flush out

udeclared or untaxed wealth from the system. This more was successful to some extent, with an
estimated Rs.3 lakh core worth of black money being detected post-demonetisation
2. Curb on Corruption :- corruption is another big problem in India, and one more that is closely linked to
black money which high value currency note no large number of legal tender, it became difficult for
corrupt officials and politicians to hoard ill-gotten wealth in cash form. This made it easier for the
government to crack down on corruption.z b b
3. Boost for digital payments system:- Another positive outcome of Demonetisation was the boost it gave
to digital payments in India. With cash in short-supply, people were forced to adopt new methods of
payments for transparency and accountability.
Alternatives of Demonetisation
The government of India has been taking steps to clamp down on black money and corruption. One such
step is the demonetisation of high value currency notes. However, this move has been met with criticism
from some quarters. Here are some alternatives to demonetisation that have been suggested.
1. Clamp down on benaami property transactions:- benaami property transactions are those in which
the money, property is not the person who is shown as the owner on documents paper, this is a major
route for black money to enter the system the government could clamp down on such black money
transactions , money laundering by amending relevant laws and making them more stringent by India
government.
2. Bring back wealth stored in abroad or Swiss bank:- It’s estimated that there are trillions of dollors
worth of black money stashed away in offshore account by Indians. The India government could bring
this wealth back by offering amnesty lenient taxation schemes. This would be a big blow to the black
money economy.
3. Strengthen anti-Corruption laws:- The existing anti-corruption law in India are not very effective, the
government could strengthen these laws and makes them more stringent so that corrupt partices are
curbed effectively.
4. Increase transparency in political funding:- Political parties in India rely heavily on black money for
their funding, if the funding process made more transparent, it would go a long way in curbing black
money in politics.
5. Better implement of existing laws:- There are many laws aimed at combating black money.
Conclusion
In conclusion the Supreme court of India has clarified the demonetisation in India is totally legal and can
be Implemented at any point of time to manage financial crisis. The supreme court has also given its
approval for implementing re-monetisation process which will help in regulating the economy and
stabilizing it this ruling will surely bring relief to many who were worried about their investments as well

as those who were awaiting clarity on this matter. It’s important to note that while demonetisation my
be preceded by some hardships, it could potentially pave the way for greater economic in future.
What is Demonetisaton?
Demonetisation is the process of the withdrawing legal tender status from a currency It’s usually done in
order to combat inflation or other financial reasons. In India prime minister Narendra Modi announced
on 8-nov-2016 that all Rs.500 and Rs.1000 banknotes would be withdrawn from circulation from
midnight of the same day . the decision was made as an attempt to crack down on corruption black money
and counter felt currency.
What happened in India
Since independence the Indian economy has been through several ups and down In recent years, India’s
economy has been growing steadily thanks in part of the country burgeoning technology sector. However,
this growth came to a halt in 2016. When the government implemented a nationwide demonetisation
program. The sudden cancellation of high value of currency notes caused wideseperad chaos and
confusion, and many businesses were forced to close their doors. The demonetisation program was
intended to crack down on corruption and tax evasion but it ended up having a negative impact on the
economy the supreme court of India recently nailed that the demonetisation program was legal. But it
also acknowledged that the program caused significant hardships of many people.
The Aftermath of Demonetisation
When the India government announced its demonetisation policy in 2016, there were widespread
confusion and panic among the public the sudden nature of the announcement meant that people didn’t
have time to prepare for it , and as a result, may were left stranded without access to cash.
Is Demonetisation legal?
Yes, demonetisation in India is legal, the supreme court of india has uphold the legality of the
demonetisation policy in recent ruling. The judgement was give by a five judge constitution bench headed
by court justice Dipak Mishra. The bench said that right to live with human dignity and all basic necessities
required for a dignified life, however it also said that right is not absolute and reasonable restriction con
be placed on it in the interest of public order, morality and health. The court added that the government
has to show that means adopted to achieve its objective is proportionate to the end sought to be achieved
in this case, its means adopted by the government demonetisation is proportionate to its objective of
curbing black money, fake currency and terrorist funding. Thus the Supreme court has held that
demomonetisation in India is legal and within the powers of the government.
Why was Demonetisation controversial?
Demonetisation in India was a highly move by the government that resulted in the sudden withdrawal of
all Rs.500 and Rs.1000 rupees notes from circulation. The stated goal of the policy was crack down on
black money and corruption, but it caused immense hardships for millions of people who were left

without access to cash the policy was also widely criticised for being poorly implemented and causing
significant economic disruption.
Conclusion
The supreme court of India has clarified that the demonetisation in India is a legal practice and it upholds
the government right to take such action, this ruling reinforces the fact that demonetisation was an
important step taken by the Indian government to curb black money and corruption as well as promote
digital payments. It also serves to reassure citizens about their rights and adds strength to our economic
going forward. The verdict from the supreme court India stands treatment to its commitment to forward
curbing illegal activities like tax evasion, terrorism financing, counterfeiting etc, hereby safeguarding
public interest over private gains.