Page 18 - Banking Finance March 2019
P. 18
CO-OPERATIVE BANK NEWS
CO-OPERATIVE BANK
RBI grants Rupee Coop- Chikhli Urban Co-op Bank to take over Janata Comm
erative Bank 3-month ex- Co-op Bank
tension Chikhli Urban Cooperative Bank of the Vidharbha region is planning to achieve
a business turnover of Rs 2400 crore by 2020 when
Rupee Cooperative Bank based at
pune has been granted a further the next election of the bank is due.
three-month extension by RBI till “Currently the bank is having a business mix of about
May 30, 2019. The bank was put Rs 2,050 crore and we plan to touch the figure of
under directions by the RBI over its Rs 2400 crore by 2020. That apart, we are in the
deteriorating financial health in Feb- process of taking over Khamgaon based Janata Com-
ruary 2013. When under directions, mercial Cooperative Bank which has two branches.
the bank will continue to undertake The process is likely to be completed after March”,
banking business with restrictions till said Satish Gupta, Chairman.
its financial position improves.
He further said, “As the Registrar of Cooperative
Chairman of the bank’s administra- Societies has given the approval for the take over and the proposal is pending
tive board Sudhir Pandit said a period with RBI. We are hoping that it will be passed soon. The Janata Commercial
of three months is inadequate for Cooperative Bank has incurred losses amounting to a whopping Rs 2.5 crore”,
the troubled lender to resolve its is- he informed.
sues. The bank has approached the
RBI to seek an increase in extension The Chikhli UCB is also active in empowering women of society and launched a
and also a permanent solution. Ru- scheme namely “Bachat Ghar” in the interest of women. “So far we have dis-
pee Cooperative Bank has ap- bursed loans to 35 thousand women amounting between Rs 10k to 50k. Repay-
proached some banks for a possible ment of the loan is 99 percent”, he claimed.
merger and the response has been “We have also empowered youths of society and offered them financial help to
positive, Pandit said. the tune of Rs 62 crore in just seven months. Ours is the first bank which imple-
Rupee Cooperative Bank is looking at ments the government scheme namely Anna Sahib Patil Udyojakta Yojana”, said
partial merger of its assets and liabili- Gupta who was earlier one of the contestants in the recently concluded elec-
ties with Thane Janata Sahakari Bank tion of Nafcub. However, later he bowed out of the race.
(TJSB) and the Maharashtra State The bank is having a Net NPA 4% and Gross NPA 6.95%. In the period of about
Cooperative Bank (MSC). A proposal 1.5 years the bank has opened 13 branches across Maharashtra and now the
in this regard has been sent to the total number of branches is 29. “We will not expand the network of branches at
RBI by Satish Soni, the cooperative least in the foreseeable future and we are currently focused on improving infra-
commissioner of the state. structure and the internal system of 29 branches”, he stated.
18 | 2019 | MARCH | BANKING FINANCE
