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DCC bank caught in political crossfire
As the wicked game of political one-upmanship centering District Central Cooperative Bank (DCCB) reaching a crescendo, the needy sections especially those looking for crop and educational loans seem to be the ultimate sufferers.
Warangal: As the wicked game of political one-upmanship centering District Central Cooperative Bank (DCCB) reaching a crescendo, the needy sections especially those looking for crop and educational loans seem to be the ultimate sufferers.
Whatever the outcome of the ongoing tussle between the TRS and the Congress that led to the suspension of the DCCB Chairman, Janga Raghava Reddy and some officials may be, right now the row has its bearing on the functioning of the bank.
It all started, when the Palakurthy MLA, Errabelli Dayakar Rao, reportedly approached the government to take action against the DCCB Chairman and managing committee, accusing them of involving in large scale irregularities causing a loss to the bank. Following which, the government had ordered an inquiry by the Commissioner for Cooperation and Registrar of Cooperative Societies (CC&RCS).
Subsequently, the government suspended the board and its chairman for six months under Section 34 (1) (c) of TSCS Act 1964, while appointing Warangal Rural District Collector Prashanth J Patil as its administrator in April. However, Reddy got a reprieve from the High Court and assumed charge again a fortnight ago.
Amid all this, the bank that should have provided short term (crop) loans to the farmers to the tune of around Rs 265 crore has dispensed only Rs 161 crore. The bank which provides a bank guarantee of Rs 15 lakh each to 69 Primary Agriculture Cooperative Societies (PACS) towards fertilisers has so far achieved 60 per cent of its target.
It’s learnt that the bank also failed to provide long term, mortgage and security on overdraft loans on desired lines compared to last year’s figures. This year, the bank is yet to provide educational loan to a single person. The prevailing uncertainty also has its impact on deposits. While the target is to achieve Rs 350 crore deposits, the bank has so far managed to get Rs 263 crore.
DCCB Assistant General Manager (Loans & HRD) T Ravinder told The Hans India: “The bank will achieve 100 per cent target of disbursing kharif crop loans before September end.”
“The government is bent on dethroning me,” Raghava Reddy alleged, referring to another enquiry ordered by the State. This is nothing but a political vendetta, he said, terming Palakurthy MLA Errabelli Dayakar Rao as its mastermind. He said that due to prevailing uncertainty, the bank has failed to achieve its targets. It may be noted here that Raghava Reddy is Congress’ Palakurthy constituency in-charge.
Meanwhile, with the authorities failing to provide substitution for the four key posts – two DGMs, a general manager and a manager - who were under suspension facing charges of irregularities - the sanctioning of loans are getting delayed, bank sources said.
