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.
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.