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Banks Responsible For Fake ATM Notes

As per the new RBI guidelines, banks are responsible for fake currency notes dispensed by their respective ATM machines.
Hyderabad | 21st August 2013
Reserve Bank of India (RBI) Regional Director (Andhra Pradesh) K R Das, on Wednesday, advised people to approach banks concerned if fake notes are found in ATMs.

He also stated that as per the new RBI guidelines, banks are responsible for fake currency notes dispensed by their respective ATM machines, and that they should compensate customers for them.

Addressing a press conference, Das said that banks are accountable for errors or irregularities in outsourced cash management systems of loading currency in bank ATMs.

As per the new RBI guidelines, not only is reporting fake notes to the police compulsory, an FIR must also be issued if a customer gets 4 or more fake notes from an ATM in a single transaction. Therefore, banks must verify the genuineness of all currency notes before they are fed into the ATMs, Das said.

However, he said that banks are not responsible for fake notes being circulated outside the banking system. (INN)
filed in:  RBI, Banks
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