Prime Minister Narendra Modi’s move to demonetize Rs 500 and Rs 1,000 currency notes will cripple Naxal activities, as per a media report.
With intelligence and security machineries on their toes as per plan, the Naxalites will find it difficult to launder their cash dumps containing several hundred crores. They cannot transfer such substantial cash from secret locations in the forest, known only to top ranking cadres, and exchange them for new currency at banks.
A section of the security forces feel that Naxalites might make a desperate attempt through Jan militia supporters, front organizations working as NGOs, and even their cadres masquerading as villagers, to launder the money in banks where they have presence.
Sources in the banking sector said there have been huge deposits in Gadchiroli district. The accounts which received substantial deposits are bound to be scrutinized. Inspector general of police, state Anti-Naxal Operation (ANO) cell chief Shivaji Bodkhe said close surveillance is being kept near banks and other financial institutes in Gadchiroli, Chandrapur, Gondia and Bhandara districts.
“As per intelligence inputs, the ban on higher currency has frustrated the Naxals and they may target ATMs, banks, post offices and other business establishments in near future in the areas of their presence,” Special Director General of Police (anti-Maoist operations) D M Awasthi said.
“In view of it, security forces in all the districts, particularly those Naxal-affected, have been alerted and asked to enhance security of such establishments,” he said.
According to Awasthi, Maoists collect crores of rupees through levy and extortion and keep cash with them or in the dumps in forests for their activities and distribution among their cadres and supporters.