No, Rs.500 Indian currency notes with ‘*’ symbol are NOT FAKE but genuine; Fact Check

A social media post is being shared widely with a claim that ₹500 notes with an asterisk (*) symbol are fake notes in circulation for the past few days. In the context of recent withdrawal of Rs. 2,000 notes by RBI from circulation, the claim on Rs. 500-note with a star symbol has gained more attention. See the post here:

The claim on Facebook post reads: “Since last 2-3 days these 500 notes with * symbol have started circulating in the market. Such a note was returned from IndusInd Bank yesterday. This is a fake note. Even today, a friend received 2-3 such notes from a customer, but immediately returned them due to lack of attention. The customer also said that someone gave this note in the morning. Take care. There has been an increase in the number of hawkers carrying fake notes in the market. Appeal: Please be a conscious citizen… spread this message to more and more of your brothers, so that they are spared loss. Thank you.”

It has been shared here  and here.

FACT CHECK

Digiteye India fact-checked the post as it sounded to impact many people. When we checked for authenticity with the official website of the Reserve Bank of India (RBI), we found that the RBI in its recent press release, dated July 27, 2023, clarified clearly that the note is legal. See the statement here.

“In this connection, it is informed that the Star (*) symbol is inserted in the number panel of a banknote that is used as a replacement for defectively printed banknotes in a packet of 100 pieces of serially numbered banknotes. A banknote with a Star (*) symbol is identical to any other legal banknote, except that in the number panel a Star (*) symbol is added between the prefix and the serial number,” the statement read.

Even the FAQ section of the RBI also mentioned that ‘The Bank adopted the “STAR series” numbering system for replacement of defectively printed banknote in a packet of 100 pieces of serially numbered banknotes. The Star series banknotes are exactly similar to the other banknotes, but have an additional character viz., a *(star) in the number panel in the space between the prefix.’

We also found a similar Press Release  from 2006 where it was stated that the ‘star’ prefix would be added to the denomination of ₹10, ₹20, ₹50.

In fact, ₹500 notes with ‘*’ (star) have been in circulation since 2016 when the new notes were introduced and accordingly, the RBI in a press note in December 2016 confirmed that the new ₹500 denomination banknotes with star will continue to be legal tender from Nov. 8, 2016.

Hence, the claim is false.

Claim: RBI’s Rs. 500 notes with * symbol are fake notes.
Conclusion: False, RBI has clearly stated that they are genuine notes.
Rating: Misrepresentation —