When the CBI raided the vaults of the Reserve Bank of India they found a huge cache of counterfeit Indian currency lying in the denomination of 500 and 1000. This was conducted when the CBI raided some 70 odd branches of various banks on the India Nepal border from where counterfeit currency racket was unearthed. The thin line between genuine and counterfeit currency has further got blurred and the banks and ATM machines too are churning out counterfeit currency foisting it for genuine exchange instrument. The CBI sent the notes to labs in Japan, Hong Kong & America for testing. It was here that the lab discovered that they were counterfeit. Only a small patch in the notes has been altered. It was this information that triggered the CBI raids on the banks bordering Nepal.
Now a Committee, headed by V Kishore S Dev, has said in its report that in between 1997-1998 the Indian Government got printed Indian Currency worth 1 lac crores in America, Germany and England. This committee raised such questions in front of RBI as well and the trouble creating fact is that RBI could not give any satisfactory answers to this. RBI replied to committee that at that time the Indian Mint was not capable enough to fulfill the demand of the different departments concerning the supply of money. As per the data, during 1996-97 RBI required 3 lack 35 thousand and 900 hundred crores of rupees and that time the production printing was 2 lac 16 thousand 5hundred and 75 crores only. The similar way RBI required the notes worth 1 lackh 20 thousand crores .
DE LA RUE, a British Company, has its biggest contract with RBI (earns 25% of its profit from India) and it provides India with special watermark paper for printing currency. The moment RBI was raided the shares of this company plunged. On the 5th January 2011 India severed all business relations with DE LA RUE. It came to light that RBI had disbursed the contract of 16000 tons of printing paper to four competitors of DE LA RUE & not even invited to bid. DE LA RUE CASH SYSTEM INDIA PRIVATE LIMITED was given an office in India. The company deals in currency paper, passports, high security paper, security print, holograms and cash processing solutions. It sells to India equipment needed to differentiate the real from fake currency. This means that this is the same company that is sending counterfeit in the country and is also selling the machines to test their genuity. This perhaps is the reason that in India fake currency passes all tests of being real.
The owner of DE LA RUE, Tim Cobald is in collusion with Italian mafia is running fake currency racket in the country. ISI and Pakistani terrorists gets their supply directly from Europe. And this is the reason why the Indian agencies have failed in the past to rein in this racket as they have been looking at Pakistan, Malaysia, Hong Kong and Nepal only. What has been transpiring in Europe has not caught their eye.
Indian authorities estimate that as many as 400 million fake rupee notes with a face value of some $9 million are in circulation in the state of Uttar Pradesh alone, and fake currency dealers in Nepal projected in 2009 that “by 2010 nearly 10,000 crore ($2.2 billion) of fake currency will be in circulation in India”.