Fake currency found in ATMs as Rs5,000 and Rs1,000 notes circulate

The Senate finance committee was told that fake Rs5,000, Rs1,000 and Rs500 notes are circulating in large numbers.

Serious concern over ATM notes

The issue was discussed at a meeting of the Senate Standing Committee on Finance and Revenue chaired by Senator Saleem Mandviwalla. He expressed concern over reports that ATMs were dispensing fake Rs5,000 and Rs1,000 notes.

Mandviwalla said it can be very difficult for a person to recover the loss when a fake note comes from an ATM. He also warned that ordinary citizens, especially daily wage workers, could suffer the most from fake currency.

Fake notes difficult to identify

The senator said some counterfeit notes are made so well that even experienced people may struggle to identify them. Last year, the Senate committee presented three Rs5,000 notes to State Bank Deputy Governor Dr Inayat Hussain for verification, and one of them was fake.

The deputy governor was also reportedly unable to identify the counterfeit note immediately. The development highlighted concerns about the growing quality of counterfeit currency.

New banknote series planned

State Bank officials told the committee that work has started on a completely new series of currency notes. The new notes are expected to include stronger security features to make counterfeiting more difficult.

A government committee headed by the finance minister is overseeing the new currency series. Officials said the designs will focus not only on preventing counterfeiting but also on making the notes more durable for daily use.

The complete process of designing, producing and gradually introducing the new currency series could take around one year. Until then, concerns over counterfeit notes and their circulation remain a major issue for consumers and banks.

The reported ATM issue could make fake currency a bigger concern for ordinary people. Stronger security features in the new notes may help, but effective checking by banks will also be important.

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