DCM (NPD) No. 5673/09.39.00/2006-07
February 12, 2007
The Chairman & Managing Director /
Managing Director / Chief Executive Officer,
All Banks having currency chests
Dear Sir / Madam,
Clean Note Policy – Sorting of banknotes
In pursuance of the Bank's Clean Note Policy, the currency
chest holding banks have been advised to automate the sorting of notes by installing
Note Sorting Machines (NSM) at their currency chests.
2. It has been decided to change the tolerance level of reissuable
notes in the soiled banknote remittance to RBI from the existing 10% (cf. circular
/ 2004-05 / 372 – DCM (NPD) No. 402 / 09.39.00 / 2004-05 dated February 22,
2005) to 5% of each remittance, with immediate effect. You may advise your
currency chest branches suitably and ensure that the Note Sorting Machines installed
at the currency chest branches invariably sort the banknotes and only the non-issuables
are sent to RBI.
3. Please acknowledge receipt.
Chief General Manager