This confirms what the Bloomberg report stated. It's a mess. Imagine what this would be like in the US if the government suddenly declared all $10 and $20 bills illegal. I found it interesting that Mastercard supports this. I suspect it is an attempt to force everyone in India to use credit/debit cards.

It's also interesting to note the minimum wage in India is $0.31 per hour on a 48 hour work week amounting to $14.88 per week. The 1000 Rupee notes which are no longer legal have a value of US$ 14.68. This makes it impossible for Indian companies to pay their minimum wage workers weekly in cash and the workers have no way of using electronic funds.