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Section 262
Blocked currency cannot be circulated

(1) If there is an order of an authorized officer in accordance with the law to prohibit the circulation of currency in circulation, such prohibited currency shall not be brought into circulation, transacted or kept in such a way that such order is adverse.
(2) A person who commits or commits an offense under sub-section (1) shall be punished with imprisonment up to one year or with a fine of up to ten thousand rupees and the currency used, transacted or held in such manner shall also be confiscated.