RBI's senior official arrested for illegal exchange of new currency

After carrying out an investigation in Bengaluru, the Central Bureau of Investigation (CBI) arrested nine men for making illegal exchange of banned big notes and newly issued currency notes.

A PTI report revealed that one of the senior offical named K Micheal of the Reserve Bank of India was also involved in the seizure of Rs 5.70 crore in new currency. 

The other eight people were middlemen who exchanged money for a fee. On Tuesday, the Enforcement Directorate (ED) arrested seven middlemen for siezure of Rs 93 lakh in new currency in Karnataka as part of its money laundering probe, the report said.

Recently, the Investigation Directorate of Income tax department conducted searches on December 08, in which they siezed over Rs 96.89 crore cash in old high denomination notes, Rs 9.63 crore of new Rs 2000 notes and 127 kgs of gold worth approximately Rs 36.29 crore.

It said, "The IT group has  sand mining licence for the entire state of Tamil Nadu."

The department made its largest seizure of Rs 5.7 crore cash in new notes in Bengaluru few days back after which two other central probe agencies, the CBI and the Enforcement Directorate, had taken over the cases to probe instances of corruption, money laundering and large-scale hawala transactions in the wake of the currency scrap on November 8, said PTI report. 

(With inputs from PTI.)