Cash withdrawal
With reference to “Unfair demand” (January 31), the editorial deserves appreciation for raking up several significant issues in the context of the Election Commission of India persistently asking the Reserve Bank of India (RBI) to hike the cash withdrawal limit for candidates of state polls. However, the thought-provoking observations came a bit late, more so when the RBI has already averted a showdown with the election commission. In any case, the moot question remains why such an “unsavoury” situation arose in the first place. Perhaps, the central bank could have sent an emissary to the election commission to “clarify” the position when an initial request was made by the EC to the RBI to raise the weekly cash withdrawal limit for candidates in five states that are going to polls, instead of turning a blind eye to it.
However, on finding itself on a sticky pitch following a sterner demand by the EC to raise the limit (reportedly referring to its unquestionable powers under Article 324 of the Constitution), the RBI was left with no other choice except to fall in line, albeit obliquely. No wonder, all restrictions on cash withdrawals from current accounts stand withdrawn today. It’s a different matter that such a knee-jerk reaction by the RBI could tantamount to yet another U-turn by it. For sure, this does not augur well for its image which has suffered a lot since November 8 last year when the government announced demonetisation of ~500 and ~1,000 currency notes.
Nevertheless, the insistence of the poll panel on enhancing the cash withdrawal limits for the would-be “servants of the people” goes against the grain of the government’s ambitious policy of ushering in a digitalised economy in our country. Perhaps, the given situation was the best opportunity for it to checkmate the incorrigible political class which is well known for misusing money power and fleecing and luring unsuspecting voters in elections. But the government missed the bus to virtually put all of them in a digital mode, which could also have been quite useful for “monitoring” them. S Kumar New Delhi resign before contesting a new seat. Anil K Gupta Ludhiana