Page 20 - Banking Finance November 2017

CO-OPERATIVE BANK NEWS

CO-OPERATIVE BANK

NEWS
NEWS
NEWS
NEWS
NEWS

Co-op banks in a fix over loan waiver announcement Delhi government to
The leaders of co-operative banks in Maharashtra were caught unaware in the probe irregularities in co-
wake of Chief Minister announcement that
farmers' loan would be waived off. This wav- operative bank
ing off of loans would mostly be done by co-op The Delhi government's Anti- Corrup-
banks and Fadnavis has promised them to re- tion Branch
imburse their money. will probe

Indian Cooperative talked to several chairman the alleged
of co-op banks including Maharashtra State Cooperative Bank (MSC Bank) Chair- irregulari-
man Dr M. L. Sukhdeve, Nashik District Central Cooperative Bank Chairman ties in ap-
Narendra Darde, Osmanabad District Central Cooperative Bank Chairman Suresh pointments
Birajdar and Aman Gavande Chairman of Yavatmal District Central Cooperative and promotions in the Delhi Nagrik
Bank to know their views on the announcement. Sehkari Bank Ltd (DNSBL) with Lt
Maharashtra State Cooperative Bank Chairman Dr M.L.Sukhdeve hailed the Governor Anil Baijal referring the
decision of Maharashtra govt and said "It is a historic move aimed at benefitting matter to the anti-graft body.
both- co-op banks and farmers. As farmers would have their loan waived off, co- The decision came after Chief Secre-
op banks which had no hope of recovery would get the reimbursement from the tary M M Kutty recommended the
govt. The scheme would help those farmers who had taken the loan amounting case for an ACB probe after an 'ac-
to Rs 1 Lakh to 1.5 lakh from these banks between the period of 2009-2016, tion taken report' (ATR) was submit-
Sukhdev clarified.
ted before the Delhi Assembly's Ques-
"Farmers who were not in position to pay back the loan would breathe easy with tions and Reference Committee.
the implementation of the new scheme; banks would also be able to recover their "The LG has referred the matter of
bad-debts. So, it is a win-win for both, banks as well as farmers", Sukhdeve under-
lined. There are 31 District Central Cooperative Banks (DCCBs) in Maharashtra with the alleged illegal appointments and
promotions in DNSBL to the ACB af-
more than 3 thousand branches with a deposit of about Rs 74,000 crore.
ter the chief secretary's recommen-
dations," an official, who did not wish
Co-op bank opens branch in vijaywada
to be named, said.
The Visakhapatnam Cooperative Bank Limited, a multi-State co-operative urban
Recently, Kutty had appeared before
bank, as part of its expansion drive inaugurated its branch at Kothapet in
Vijayawada. Bank chairman Chalasani Raghavendra Rao said that the 101-year- the assembly's committee, headed
old Vizag-based bank was having 47 branches in Andhra Pradesh, including three by Deputy Speaker Rakhi Birla, and
in Hyderabad. submitted the report in the case.

20 | 2017 | NOVEMBER | BANKING FINANCE

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