Due to the non-completion of inquiry on time, NCP leader Ajit Pawar, agriculture minister Pandurang Fundkar in the BJP govt. and Shiv Sena Lok Sabha member Anandrao Adsul allegedly involved in serious financial irregularities in the Maharashtra State Cooperative Bank, may go unpunished , reports Times of India.
Sources are quoted saying as per provisions of the cooperative societies act, the probe has to be completed within two years from the date of issuance of notice. As a special case, an extension of six months can be granted. If the probe is not completed in 2.5 years, the case will have to be closed, sources said.
Nabard had in 2011, submitted a report on the state of affairs in the NCP-controlled MSC bank for 2008-2011to the RBI. It was found that there was blatant violation of the Banking Regulation Act, RBI Act and cooperative societies act.
Subsequently, Prithviraj Chavan then CM Maharashtra took the decision to dissolve the board of directors and appoint administrators as per section 88 – power of registrar to assess damages against delinquent promoters.
Following the appointment of administrators, the MSC bank has come out of the red, informed sources say.
