Sources say over Rs 400 crore intended for distribution among drought affected farmers in the Vidharbha region of Maharashtra has been lying unused in three district cooperative banks.
The paradoxical situation has arisen from the fact that the banks of Nagpur, Wardha and Buldhana cannot transfer the money to farmers until the RBI has given them a clean bill of health.
As per the RBI directive, the banks crippled by NPA , financial irregularities and scams cannot carry out their normal functions.
Meanwhile, the Maharashtra chief minister has asked the finance dept to withdraw the amount from the cooperative banks and transfer it to the nationalized banks for disbursement among farmers without any further delay.
