As the Assembly election approaches, major parties are said to have intensified booth-level voter tracking, with individuals reportedly assigned to monitor groups of voters in each constituency.
According to the report, candidates are allegedly planning cash distribution to voters, with amounts said to go up to ₹2,000 per vote. It claims large quantities of ₹500 notes have been stockpiled for this purpose, reducing their availability in day-to-day circulation.
In cities including Madurai, some bank ATMs have reportedly not been loaded with ₹500 notes for the past two days. Customers are said to be receiving only ₹200 and ₹100 notes, limiting the amount they can withdraw in higher denominations.
A bank official was quoted as saying that the circulation of ₹500 notes has indeed reduced after election-related developments. A senior party functionary also said ₹500 notes are preferred during elections as handling large volumes of smaller denominations is difficult, and noted that ₹1,000 notes were more convenient before 2016.
