Karuvannoor bank: panel formed to evaluate assets and liabilities

The government has constituted a three- member committee to assess the assets and liabilities of the Karuvannoor Service Cooperative Bank, Thrissur, in the wake of the loan scam unearthed by the audit.

The committee to be headed by the Registrar of Cooperatives will assess the amount to be returned to investors in the bank. It will also prepare the estimate of loans to be recovered and suggest steps for recovery.

Minister for Cooperation V.N. Vasavan who chaired a review meeting of the Cooperation Department on Wednesday said the committee had been tasked with the responsibility of preparing the assets of the accused in the scam and ensuring that they were not lost.

Mr. Vasavan said the Karuvannoor Service Cooperative Bank had several remunerative ventures like shopping complexes and Neethi stores. “The income from these sources would be considered as assets before making the next move,” he said.

The Minister said the government was preparing a package to ensure that investors in the bank did not lose their money. “Efforts are on to set up a consortium of cooperative societies, Kerala Bank and Cooperative Risk Fund Board for the purpose.”.

He said the government had initiated action against officials on the basis of the interim report submitted by the team investigating the loan scam. More action would be taken as soon as the team submitted its final report, he added.