Source: Reserve Bank of India · RBI/2009-2010/91 · issued 01 Jul 2009 · ~2 min read
Quick answerRBI updated its master circular on detecting and impounding counterfeit notes, effective July 1, 2009. All banks and treasuries must stamp, register, and issue receipts for fake notes, lodge FIRs with police, and report data to RBI.
What changed
RBI issued an updated Master Circular (RBI/2009-2010/91) on July 1, 2009, replacing the 2008 version. It consolidates all operational instructions on counterfeit note detection and impounding as of that date, with no new policy changes but a refreshed compilation.
What it means for you
Banks must ensure strict adherence to procedures for stamping counterfeit notes, issuing receipts, and filing FIRs. Non-compliance could lead to regulatory scrutiny. The circular reinforces the need for staff training, UV lamp availability, and Forged Note Vigilance Cells at bank HOs.
Historical instruction — do not use for current compliance. This is what was required at the time; it no longer reflects current RBI requirements. If no replacement rule is linked above, that only means none is recorded on our register yet — it does not prove no later applicable rule exists. Confirm on the official RBI source below.
What banks were required to do at the time
Train all cash-handling staff on security features and counterfeit detection procedures.
Ensure every branch has a 5 cm x 5 cm 'COUNTERFEIT BANKNOTE' stamp and a separate register for impounded notes.
Issue acknowledgement receipts (Annex I format) to tenderers and display public notice about the process.
Lodge FIRs with local police for all detected counterfeits and send copies to your bank's Forged Note Vigilance Cell.
Report counterfeit note data to RBI as per the circular's reporting requirements.
Who it affects
All commercial banks (public, private, foreign), Cooperative banks and Regional Rural Banks, State treasuries and sub-treasuries, RBI Issue Offices
Built from our lineage records — each fact carries its provenance; missing history simply is not shown (never guessed).
What should we do if a customer refuses to countersign the receipt for a counterfeit note?
Issue the acknowledgement receipt anyway, even if the tenderer is unwilling to countersign. The receipt must still be authenticated by the cashier.
Do we need to file an FIR for every counterfeit note detected?
Yes, for any counterfeit note detected in cash tenders across the counter, you must impound it in the tenderer's presence and forward it to local police with an FIR (Annex II format).
Is it mandatory to have a Forged Note Vigilance Cell at our bank's head office?
Yes, the circular requires banks to establish a Forged Note Vigilance Cell at their head office to handle counterfeit note cases and coordinate with RBI.
📜 This document’s life story (1 recorded event, each backed by RBI’s own words)
RBI’s words: “Please refer to the Master Circular DCM (FNVD) No.G-4/16.01.05/ 2008-09 dated July 1, 2009 consolidating the instructions issued till June 30,2009”
📜 Read the original circular — full text as issued by RBI
RBI/2009-2010/91
DCM (FNVD) No./16.01.05/ 2009-2010
July 1, 2009
The Chairman / Managing Director,
All Commercial / Cooperative Banks / RRBs /
Private Banks / Foreign Banks /
Director of Treasuries of all States
Dear Sir/Madam,
Master Circular – Detection and Impounding of Counterfeit Notes
Please refer to the Master Circular DCM (FNVD) No.G-1/16.01.05/ 2008-09 dated July 1, 2008 consolidating the instructions issued till June 30,2008 relating to detection and impounding of Counterfeit Notes. The Master Circular has been suitably updated by incorporating the instructions issued till date and has been placed on the RBI website www.rbi.org.in .
The Master Circular is a compilation of the instructions contained in the circulars issued by RBI on the above subject which are operational as on the date of this Circular.
Yours faithfully,
(U. S. Paliwal)
Chief General Manager
Master Circular – 2009
CONTENTS
Para No
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2009-2010/91 · issued 01 Jul 2009. The plain-English explanation above is BankPulse’s own independent summary.
Discuss this circular with fellow bankers — reply, upvote what helps, report what doesn’t belong. Be professional; no client data. Views are the commenter’s own, not BankPulse’s.
BankPulse Compliance Evidence Pack — generated 03 Aug 2026 · status cross-checked against RBI’s official withdrawal register (refreshed weekly). Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=5149&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
Help us keep this accurate
Found an inaccuracy or have an improvement? Tell us. Every report is reviewed by our team before any change is made — nothing goes live unverified.
Public beta — plain-English informational summaries. Always verify against the official RBI source (circular number cited on every page) before making compliance, credit, treasury, audit, or operational decisions. · Join our WhatsApp channel ↗
BANKPULSE · FREE DAILY BRIEF
Get RBI updates for your role
Every important RBI update, decoded in plain English — for your career, exams & financial awareness.
We collect only your email, name and role, used solely to send your brief — never sold or shared. Withdraw anytime via the unsubscribe link in any email. Independent platform, not affiliated with the RBI. Information, not legal advice.
REPORT AN ERROR · BETA
Spotted an error? Earn 500 BankPulse Credits
Help us stay accurate. If your correction is verified true and approved by our founder, you earn 500 BankPulse Credits — redeemable when the platform monetises.
Reviewed by a human before any credit is awarded. We never change the site from crowd input without verification.
WANT A NEW FEATURE · BETA
What would make BankPulse more useful for you?
Tell us what to build next — a tool, a data view, a role page, anything. We read every suggestion.
Thank you — your ideas directly shape what we build.