Kerala

Special package to repay depositors in Karuvannur bank: Vasavan

Minister for Cooperation V.N. Vasavan has informed the Assembly that a package is on the anvil to repay depositors of the Karuvannur Cooperative Bank in Thrissur which is being probed for a multi-crore loan scam.

Replying to discussion on demands for grants in the revised Budget on Wednesday, Mr. Vasavan said that properties of all the accused involved in the scam would be confiscated. The administrative body of the bank had been directed to implement the special package for repayment of deposits in the bank. The package would be implemented with the help of Kerala Bank, he added.

Assuring the House that the government would take stringent action against those involved in the irregularities, Mr. Vasavan said that the vigilance system in the cooperative sector would be strengthened by entrusting its charge to a police officer of the SP rank.

Curbing misuse of law

The Chief Secretary had already written a letter seeking the service of a Deputy Director of the Indian Audit and Accounts Service as Cooperative Audit Director. Steps would also be taken to strengthen the Kerala State Cooperative Act to prevent culprits from misusing soft spots in the law, he said.

The registration and operation of youth cooperative societies would commence this month, the Minister said adding that 23 of the 25 societies announced were being launched. The proposed paddy cooperative society for procurement, processing and marketing of paddy would be registered this month. A modern rice mill would be set up at Kuttanad and Upper Kuttanad. A project for ensuring marketing facility of agricultural produces would also be started, Mr. Vasavan said.

Helping farmers

He also said that primary agricultural cooperative societies would provide loans at 4% interest rate for helping farmers. Kudumbasree units would be involved in the ‘Muttathe Mulla’ scheme for protecting families hit by COVID crisis from loan sharks, he added.

Loans under the scheme would be provided at 4% interest rates. He also said that modern banking facilities of Kerala Bank would be rolled out within months. The Cooperative Academy would be developed into a centre of excellence, he stated.


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Printable version | Sep 29, 2021 8:43:27 AM | https://www.thehindu.com/news/national/kerala/special-package-to-repay-depositors-in-karuvannur-bank-vasavan/article35728394.ece

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