Page 19 - Banking Finance JANUARY 2017

CO-OPERATIVE BANK NEWS

CO-OPERATIVE BANK

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IT probes co-op bank with 3,000 new accounts after Cooperative bank heads
demonetisation plan to meet RBI governor
The Income Tax department is looking into at least 4,500 accounts at the Citi- The heads and chief officers of all
zen Credit Cooperative Bank Ltd that were either district central cooperative (DCC)
opened or activated after the demonetisation of Rs banks from
1,000 and Rs 500 notes on November 8. According Mah arash tra
to sources, the bank, which has branches across have decided to
Maharashtra, Goa and Daman, received at least Rs meet Reserve
275 crore in demonetised currency notes in the last Bank of India
month-and-a-half. (RBI) governor
Following a survey, the tax authority reportedly found that about 3,000 new Urjit Patil and
accounts were opened while over 1,500 dormant accounts were re-activated officials of Na-
after November 10. "Apart from this, about 60 accounts were closed since No- tional Bank for Agriculture and Ru-
vember 10 after these accounts saw deposits in old currency and quick with- ral Development (NABARD).
drawals/ transfers through Real-Time Gross Settlement Systems (RTGS)," said I- Over 60% of the rural people are di-
T sources. rectly dependent on DCC banks.
Pensioners and self-help groups also
Alwar's Cooperative Bank cashier commits suicide over
have accounts with them. After
interrogation demonetisation, the RBI prohibited
Distressed over the interrogation of Special Operations Group (SOG) wing of cooperative banks to exchange old
Rajasthan police, a 52-year-old cashier of Alwar's Urban notes with new ones, and stopped
Cooperative Bank committed suicide by consuming poi- the process of depositing money in
sonous substance at a hotel near Mathura in Uttar scrapped currency.
Pradesh. Vijaysinha Chavan, chief officer of
The deceased, Jhamman Lal, was the cashier of Alwar's Kolhapur said, "The Supreme Court
Cooperative Bank where the SOG had arrested five people for alleged embezzle- has asked the RBI to get deposits
ment of Rs 16 crore and illegal money exchange of Rs 1.38 crore. The family with DCC banks submitted and infuse
members alleged that he was summoned by the SOG for the interrogation. currency in rural banks to provide
relief to the farmers, daily wage
"He was broken and dejected after the interrogation. On returning home, he
labourers and other sections of the
asked us that he was going to religious place Govardhan for offering prayers. society facing troubles due to cash
In the morning, Uttar Pradesh police intimated us about his suicide," said a
relative. crunch."

BANKING FINANCE | JANUARY | 2017 | 19

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