Company : Sol Infotech Pvt. Ltd. Website : www.courtkutchehry.com COINAGE RULES, 1937 CONTENTS 1. 1 2. 2 3. 3 4. 4 5. 5 6. 6 7. 7 8. 8 9. 9 10. 10 11. 11 COINAGE RULES, 1937 No. D.-4355/F., dated the 14th June, 1937. 1 -In exercise of the powers conferred by Section 21 of the Indian Coinage Act, 1906 (3 of 1906) and in supersession of the rules in para. 3 of the notification of the Government of India in the Finance Department No. 1448-A, dated the 8th March, 1907, the Central Government is pleased to make the following rules, namely,- 1. 1 :- These rules may be called the Indian Coinage Rules. 2. 2 :- In these rules, unless there is anything repugnant in the subject or context : (a) the "Act" means the Indian Coinage Act, 1906 (3 of 1906); and (b) "the Reserve Bank" means the Reserve Bank of India constituted under the Reserve Bank of India Act, 1934 (2 of 1934). 3. 3 :- A loss of 6 per cent. below standard weight in the case of the rupee and of 12 -: per cent. in the case of the half-rupee, quarter-rupee and eighth of a rupee shall be the limit of reasonable wear; and a loss of 25 per cent. below standard weight shall be lhe further percentage referred to in Section 17 of the Act, in the case of all silver coins. 4. 4 :- Where a rupee or a half-rupee, which has been diminished in weight so as to be more than 2 per cent but not more than 6 per cent 12 cent respectively, below standard weight, and which has not bean fraudulently defaced, is tendered to any person authorised to act under Section 16 of the Act, such person shall accept the coin at its nominal value, and the coin shall thereupon be withdrawn from circulation at the cost of the Government of India. 5. 5 :- Where a rupee or half-rupee which has been diminished in weight so as tobe more than 6 per cent. or 12 per cent. respectively, but not more than 25 per cent. below standard weight, and which has not been fraudulently defaced, is tendered to any person authorised to act under Section 16 of the Act, such person shall, if the tenderer so requests. instead of reluming the cut coin, accept it at the following rates, namely :- (a) rupees weighing between 15/16ths and 7/8ths of their proper weight, at the rate of 14 annas; (b) rupees weighing between 7/8lhs and 13/16ths of their proper weight, at lhe rate of 13 annas; (c) rupees weighing between 13/16ths and 3/4ths of their proper weight, at lhe rate of 12 annas; and 6. 6 :- Where a quarter-rupee or an eighth of a rupee which has been diminished in weight so as to be more than 12 per cent. but not more than 25 per cent. below standard weight and which has not been fraudulently defaced, is tendered to any person authorised to act under Section 16 of the Act, such person shall, if the tenderer so requests, instead of returning the cut coin, accept it at its nominal value, and it shall thereupon be withdrawn from circulation at the cost of the Government of India. 7. 7 :- Silver coin received by Government officers under these rules and withdrawn from circulation shall, whether or not it has been cut or broken under these rules, be sent by the first convenient opportunity to the Master of the Mint at Bombay or Calcutta, or lo any principal Treasury appointed by the Reserve Bank to receive such coin for remittance to the Mint. Such coin will be credited in the officer's cash balance as uncurrent coin' at the actual value at which it has been received and on transfer to the Mint will be credited at the rates prescribed in these rules, any loss incurred in re-coinage being taken as a charge of the mint. 8. 8 :- Silver coin received by a person other than a Government officer under these rules and withdrawn from circulation shall, whether or not it has been cut or broken under these rules, be sent to the nearest Treasury, where it will be paid for at the rates respectively prescribed in these rules, and thereafter it will be dealt with in the manner prescribed in Rule 7. 9. 9 :- In cutting or breaking any diminished, defaced or counterfeit coin. Government officers and other persons authorised in this behalf shall not, unless specially empowered by the Central Government so to do, completely divide the coin. 10. 10 :- Persons authorised under Section 20 of the Act to cut or break counterfeit silver coins should not receive and pay for the coin according to the value of the silver bullion contained therein as permitted under that section, save where from the excellence of the execution or for any other cause it seems desirable that the coin should be acquired as a specimen. The cost of paying for the coin will be charged to the Central Government. The broken pieces of coins so paid for should be forwarded to the mint at Calcutta or Bombay. 11. 11 :- In determining the loss of weight in the case of silver coins to which solder or other metal has been attached the weight of such solder or other metal shall not be taken into account.