AJOY KUMAR VERMA Vs. UNION OF INDIA

JUDGEMENT

(1.) THIS writ petition was initially filed against the Union of India through the Secretary, Ministry of Finance and the Reserve Bank of India through its Governor seeking a writ of mandamus or any other appropriate writ, order or direction to initiate disciplinary departmental proceeding against the then Chief General Manager, Reserve Bank of India, Patna, Mr. Mahadev Jha and Chief Deputy General Manager, Reserve Bank of India, Mr. Dutta, who have failed to discharge their duties and thereby have helped circulation of counterfeit currency through the official channel of the Bank causing erosion in faith in the Indian Currency System, and to issue consumer friendly policy of the Reserve Bank of India providing for issuance of certification of currency notes as and when produced by any willing consumer of banking services, and for consequential order/direction against the respondent no. 2.

(2.) AT this stage without giving the details, the background in which the case was filed may briefly be mentioned. The petitioner who is an officer of the Indian Police Service, withdrew Rs. 60,000/ - from the Boring Road, Patna Branch of the State Bank of India (SBI) on 24.3.99. The money was delivered in currency notes of Rs. 500/ - denomination on request. This consisted of 100 pieces in sealed pack and 20 loose pieces. When he went to deposit the amount in his Provident Fund account at Patliputra Colony Branch of the SBI he was told that 22 pieces in the pack were counterfeits. He returned to the Boring Road Branch, where he was offered exchange. According to the petitioner as such exchange would have been neither legal nor proper and as he also suspected foul play at the hands of the officials of the said Branch he refused to return the currency notes; instead he met local senior officials of the Reserve Bank of India (RBI) and the State Bank (SBI) and also entered into correspondence with the higher functionaries including the Governor, RBI and Chairman, SBI. Finally he came to this Court in the present writ petition on 17.1.2000. During the intervening period certain developments took place which shall refer to later in this judgment.

(3.) BEFORE stating the facts of the case it may be mentioned that the petitioner filed two more interlocutory applications. On 5.5.2000 he filed IA No. 2910/2000 seeking addition of the relief: for determination of admissibility and quantum of compensation, as claimed. On 24.5.2000 he filed IA No. 3507/2000 for issuance of direction to the Central Bureau of Investigation to take up investigation of the Budha Colony PS Case No. 104/99 from the CID Bihar and for issuance of a direction to RBI for taking away all Rs. 500 and Rs. 100 denomination currency notes out of circulation in phased manner and for making it mandatory to issue account payee cheque for getting any bank draft issued beyond a sum of Rs. 3000 in order to keep Indian Currency System free from menace of counterfeit circulation and for discouraging black economy. Besides the above said interlocutory applications the petitioner has filed as many as six supplementary affidavits besides reply affidavits to the counter affidavits filed by the different respondents.