A poll by Inshorts, India’s highest-rated news app, after PM’s decision to scrap Rs 500, Rs 1000 currency notes showed that 82% of Indian’s hailed Government’s decision. Ex-RBI Governor Raghuram Rajan, however, held a different viewpoint.

Speaking at the 20th Lalit Doshi Memorial lecture in Aug 2014 on ‘Finance and Opportunity in India’, Rajan had said that though demonetisation has often been cited as a solution to black money, the clever will find ways around it.

Rajan said that people will divide up their hoard into multiple small units and get them converted. He also said that people who do not find ways of converting will deposit in the temple Hundis.

He had instead suggested better tax administration as taxes provide the basis for generation and retention of black money. Though he had then called the Indian taxes fair drawing attention to higher taxes at other countries, but he suggested better data tracking and tax administration to curb the menace.