N.Sundaresan - Financial Minister
The government announced demonetization of denominations above Rs.1000 with effect from 12th January 1946 and gave little time for exchange too. As the notes were accounted only to 3% of the India’s population, it didn’t affect normal life to an extent. The crown princes were exempted from the same and only 40% of today’s India-Pakistan-Bangladesh was in effect, of the demonetization (by area directly controlled by the British)
Morarji Desai announced the currency ban taking Rs 1000, Rs 5000 and Rs 10,000 out of circulation. The sole aim of the ban was to curb black money generation in the country.
To eliminate fake currency and dodgy funds which have been used by terror groups to fund terrorism in India. The move is estimated to scoop out more than more than Rs 5 lakh crore black money from the economy. Rs. 500, Rs. 1000 were demonetized