Darbhanga/Gaya/Bhagalpur: Dry ATMs have triggered a cash crisis in at least three Bihar districts, Darbhanga, Gaya, and Bhagalpur.

Shutters are down at most ATMs in Darbhanga town, around 125km north-east of Patna. "I need cash for my niece and nephew's admission. I have visited ATMs of all major banks; none have cash," said Darbhanga resident Shashi Kumar Nilu.

Another resident, Ram Pukar, who was spotted outside the State Bank of India ATM on the Darbhanga Medical College and Hospital premises, said: "I had come to withdraw cash but the manager told me to bring the chequebook to withdraw cash. I had to skip office for a day to withdraw money."

In Gaya, Rs 2,000 and Rs 500 notes have virtually vanished and most ATMs are dry. "Withdrawing cash has become a full-time job," said Habib, a professor in Gaya town, around 100km south of Patna.

The situation is similar in Bhagalpur, around 235km east of Patna, where the Eastern Bihar Chamber Of Commerce And Industry has said the shortage of currency in banks has slashed business by more than 35 per cent.

Bank officials said they were helpless. "The RBI is not remitting enough higher denomination notes and that has caused the currency shortage," a senior SBI official in Darbhanga said under cover of anonymity. "Banks can only give currency notes of lower denomination like Rs 10 and Rs 50, which customers are usually not ready to accept."

Contacted, Gaya district manager Abhishekh Singh said: "Feeding the ATMs with cash is the responsibility of the lead bank manager."

Gaya lead bank manager R.P. Poddar admitted there was a shortage of higher denomination notes: "Most ATMs are being fed Rs 100 notes but the cash trays get empty fast. The Rs 100 cassette cannot hold more than Rs 5 lakh. The machines have not been calibrated to hold Rs 200 notes."

Central Bihar Chamber of Commerce President Kaushalendra Pratap said the cash shortage "is adversely affecting business activities".

Reporting by Salil Shankar, Farhana Kalam & Gautam Sarkar