NABARD new rule something lethal to SCDCC; says SCDCC president

Pinterest LinkedIn Tumblr


Udipi; August 14: Addressing the media reporters in the press meet held at Kidiyoor hotel, Udipi on August 14, Wednesday M N Rajendra Kumar, President of SCDCC bank said in his address that “the new rule gives power to district banks with regard to agricultural credit and takes away the power from co-operative societies and the new rule will convert the co-operative societies into an agent of disbursing loans, which is not acceptable.

sahakari_bank3 sahakari_bank2

SCDCC bank has already appealed to the state government against implementing the new rule of NABARD in Karnataka and soon will be opposed at the state level meeting too.


Under the new rule of NABARD circular No.N.B.I.D.D/ICBC/824/ICBC-14/2013-14 dated 22.07.2013,co-operative societies cannot disburse or advance loans in the villages and convert the co-operative societies into commission agent and thereby losing its prominence in the villages, he said.


He further said there are around 4800 co-operative societies and all are democratically working and earlier there were three modes of arrangements for the disbursement of loans i.e state co-operative Apex bank, Zilla Kendra co-operative banks and primary co-operative banks and loans were being distributed properly and now under the new rule, NABARD is contemplating to strengthen state apex bank and zilla Kendra Sahakari bank at the cost of primary co-operative societies.


The members of the committee has urged for the support from all the elected representatives to oppose the rule


South Canara district central co-operative bank (SCDCC) has opposed the new rule of NABARD (national bank for agriculture and rural development) of depriving co-operative societies in villages from advancing loans and expressed its opposition to the new rule.

 Kishan Hegde,President ,G Sahakari union,Deviprasad Shetty, President,Belapu Vyavasayika SevaSangha,Ramesh,President,Uppooru,Padubidri,Kokkarne,Sasthaana,Innanje,Kodavoor,Shirva,Hiriyadka,Brahmavar,Korangrapady,Kota and  presidents of Ganapathi Vyavasaya Seva Sahakari Sanghas were present in the meet.

1 Comment

  1. Nabard’s circular stayed:Hon’ble High court of Kerala, on 16th August 2013, granted stay on the implementation of Nabard’s Circular dated 22.07.2013. Nabard had issued directions to transfer the share capital, loans and deposits held by PACS to DCBs and to convert the former as Business Correspondents of DCBs in line with recommendations of Prakash Bakshi report. Registrar had instructed the DCBs not to implement the advice of Nabard. WPC 20345/13 (Kevayur & Karuvanthuruthi SCB’s)

Write A Comment