As banks runs out of money, commission agents cash in

SHAHJAHANPUR: With 90% ATMs still not operational in the district and banks running out of cash within two to three hours of opening, people of Shahjahanpur have resorted to exchanging their demonetized currency notes at a lower value from commission agents. Unlike banks, these agents never seem to be be short of new currency.
The commision agents operate near railway stations and markets where they exchange an old Rs 500 note for Rs 400 and replace Rs 1,000 notes anything between Rs 800 and Rs 900.One of the agents, who did not wish to be named, told TOI, “Our routine business has been hit by the demonetization of currency and we are forced to do this work. We have contacts with bank employees, who charge us 10% to exchange the currency.” Most of these agents are involved in the business of lending money on high interest rates.
Aashu Verma, who failed to exchange money from Punjab National Bank even after standing in queues for two days in a row, told TOI, “I tried to exchange currency in the bank on Thursday but the cash ran out. We were asked to come on Friday but the cash ran out again. The queue is only meant for people like us while a person came twice in two days with a bag and managed to get a get cash at the manager's cabin. We all know what is happening and government can check the call records of all the bank managers to confirm their links with high-end businessmen of the district.”
The situation is even worse in rural areas where no ATMs are operational and people are dependent upon the banks for cash. While branches of State Bank of India have managed to meet the expectations of the people, the situation is not the same for people having their account with Bank of Baroda. The BOB branch at Khuthar ran out of cash before lunch-time on Friday, leaving their customers in a lurch, None of the ATMs of BOB is operational in the district. People are left with only one option — to exchange their currency at a lower value from a commission agent.
Vichitra Singh, a local from Todarpur village of Khuthar, is going to get married on December 2 but he does not have cash to shop for his wedding. All his time taken up in standing in queues at Khuthar branch of BOB but he is yet to get cash.
Vichitra told TOI," I had to borrow 10k from my friend to begin shopping for my wedding. I have already spent two days at the bank and have given them application and my wedding card but there was no cash for me. We all know that that the bank has cash but it is only for people who have good contacts with the manager."
TOI spoke with lead bank manager BM Gupta about the issues faced by the customers. He said, “We cannot cross-check all the inflow and outflow of currency at various branches because every bank has its own regulatory authority. I will check if there is any discrepancy in exchanging currency in Bank of Baroda branch.