Page 16 - Banking Finance October 2025
P. 16
ing, skill development, and digital lit-
eracy for cooperative staff will also be
a core focus.
The blueprint is expected to acceler-
ate financial inclusion and coopera-
tive-led rural development across the
Ò»© NABARD holds literacy
state.
camp in Nagaon to boost
PACS computerisation
In a move to enhance rural banking
Ex-CEO of Ahmedabad Co- Odisha unveils strategic infrastructure, NABARD organised a
cooperative literacy camp in Nagaon,
operative Bank arrested in blueprint to transform co- Assam, with a focus on strengthening
?64 crore loan fraud operative sector Primary Agricultural Credit Societies
(PACS) through digital empowerment.
The Ahmedabad police have arrested The Odisha government has launched
The camp aimed to raise awareness
the former CEO of a cooperative bank a comprehensive blueprint to trans-
among PACS members and stakehold-
for his alleged involvement in a ?64 form its cooperative sector and im-
ers about the importance of
crore loan fraud. The Economic Of- prove rural livelihoods. The plan fo- computerisation and transparent gov-
fences Wing (EOW) revealed that the cuses on digitising Primary Agricultural ernance.
accused, during his tenure, had sanc- Credit Societies (PACS), expanding co-
Held at the Samabay Bhawan, the
tioned large loans to shell companies operative banking infrastructure, and
camp drew participation from officials
and individuals without adequate col- enhancing operational efficiency
of the Cooperation Department,
lateral or due diligence, leading to through technology and capacity build-
NABARD, and members of various
massive financial losses. ing.
PACS in the region. Sessions covered
According to investigators, the ex-CEO Key elements of the roadmap include the role of PACS in rural credit delivery,
colluded with others to fabricate docu- integrating PACS with Core Banking benefits of digital record-keeping, and
ments and divert funds, breaching Solutions (CBS), strengthening credit government schemes promoting tech-
multiple banking norms. The fraudu- delivery systems, and promoting value- nology upgrades in the cooperative
lent loans were later declared non- added agri-businesses through coop- sector.
performing assets (NPAs), raising red eratives. The blueprint also envisions Speakers emphasised that
flags during an internal audit. The scam creating new employment opportuni- computerisation would improve effi-
is believed to have occurred over sev- ties and empowering women and ciency, transparency, and access to fi-
eral years, affecting the banks finan- marginalised communities by fostering nancial services in rural areas.
cial stability. inclusive cooperative models. NABARD reiterated its commitment to
Police have registered a case under Officials noted that Odisha aims to providing financial and technical assis-
relevant sections of the Indian Penal become a model state in cooperative tance for PACS digitalisation, in line
Code and the Banking Regulation Act. reform, aligning with national objec- with national efforts under the Minis-
Further arrests are expected as the tives under the Ministry of Coopera- try of Cooperation.
probe widens to include other senior tion. The state plans to collaborate The initiative is part of a larger plan to
bank officials and borrowers involved in with NABARD and other institutions for modernise the cooperative ecosystem
the conspiracy. funding and technical support. Train- in Assam.
14 | 2025 | OCTOBER | BANKING FINANCE
