Congress majority governing body of Agriculture and Rural Development Bank dissolved; temporary charge for CPM governing body

THIRUVANANTHAPURAM: The governing body of the Kerala State Co-operative Agriculture and Rural Development Bank, which has a majority of Congress members, has been dissolved. The government handed over the responsibility to a temporary governing body. This governing body consists of CPM members. The governing body headed by advocate C K Shaji Mohan was dissolved citing the reason that the budget could not be passed at the annual general meeting held on the 28th.

The governing body consisting of government nominees G Harishankar from Mavelikkara, Thilakan from Peerumedu and Karunakaran, an elected member from Taliparamba, took charge at 2.15 pm. It is alleged that no notification has been given to the current president or office in this regard. President Shaji Mohan said he did not know under what circumstances the new system came into existence. He submitted a letter to the registrar of cooperative societies asking for a copy if there is an order in this regard. With some bank representatives standing up with various objections at the beginning of the last annual general meeting, what was included in the agenda could not be considered.

Loans worth Rs 1,05,66,128

The bank had planned to disburse agricultural loans worth Rs 3,500 crore in the coming financial year. It could not be implemented as it was not approved by the general body. The interest rate on the loan was estimated to be less than 10 per cent. The decision to waive off the loans of 52 victims of the Wayanad disaster also failed to get the approval of the general meeting. With this, the process of writing off loans worth Rs 1,05,66,128 came to a standstill.

"Dissolving on the ground that there is no majority in a general meeting is unacceptable. Legal action will be taken against this. Not issuing a notice pointing out the dissolving is part of an attempt to delay legal proceedings.

- Adv. C.K. Shaji Mohan