The scam battered Amanath Cooperative Bank would finally merge with the Canara Bank. The Karnataka govt’s dept has given permission for the merger.
The High Court has already been informed of the decision. All the assets and liabilities of the cooperative bank would soon be transferred to the Canara Bank.
The Amanath cooperative bank had been established to help the vulnerable sections of the Muslim community in Karnataka. Accusations of fraud involving Rs. 300 crore have been levelled at some community leaders.
One of the leaders is K.Rahman Khan Union minister for minority affairs. The allegation is that the scam happened when Mr. Khan headed the bank.