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Cash acceptance

Srinivas Sharma KN (Tax Consultant) (292 Points)

18 November 2016

As per RBI circular, credit co-operative societies are not authorised to accept demonetized Rs. 500 & Rs. 1,000 notes from members either towards deposits or loans. What are the consequences if they accept such notes? Can they deposit such notes to their bankers or only nationalised banks?

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4 Replies

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (177713 Points)
Replied 19 November 2016

The members are allowed to deposit any such cash with their own accounts of nationalized bank/s. Society should not accept any such cash now. Society can deposit the cash balance as on 08.11.2016 to their respective account of nationalised bank.

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Srinivas Sharma KN (Tax Consultant) (292 Points)
Replied 19 November 2016

Sir. thanks for the reply. Please let also know me, What are the consequences if credit cooperative soceities accept cash from members from 8th November 2016 onwards?

Srinivas Sharma KN (Tax Consultant) (292 Points)
Replied 19 November 2016

Sir. thanks for the reply. Please let also know me, What are the consequences if credit cooperative soceities accept cash from members from 8th November 2016 onwards?