Gujarat State Cooperative Union organized a webinar on the theme of “Banking Regulation Act Amendment – 2020 & Emerging Banking Marketing” last Saturday for various District and urban cooperative banks of the state. While RBI Board member Satish Marathe inaugurated the webinar, GSCU Chairman GH Amin presided over it.
Speaking on the occasion, Satish Marathe said “I am glad to know that more than 500 representatives of various banks have joined the webinar. Let me inform you that we recommended an amendment to the Act so as to generate opportunities for Cooperative Banks on the lines of other Banks.
“The Banking Regulation Act Amendment has put Cooperative Banks on an equal footing with the nationalized banks. The employees of Banks can now achieve development by strengthening the financial structure of their banks on the basis of detailed study of these amendments in the B. R. Act”, underlined Marathe.
Marathe said it is really commendable that Cooperative Banks presently render excellent services by way of adopting core banking solutions and we see encouraging achievements made by them over a period of time.
Marathe said in the past the Harshad Mehta Scam and the Madhavpura Mercantile Cooperative Bank Scam occurred because of the lack of control of RBI and as a result the credibility of the Cooperative Banks was eroded.
This necessitated the amendments in the B.R. Act. Now pursuant to these amendments there will be control and monitoring by RBI which will make Banks economically viable. As a result of these amendments, Cooperative Banks like other banks will be able to raise their share capital by way of bringing their issues or bonds in the market.
In his presidential remarks, G H Amin said this amended Act has already come into force with effect from 29th September 2020 and it is high time the office bearers of the co-op banks get an idea about the amended Act so that they exploit it to their growth and also refrain from violating any of its clauses inadvertently.
“Earlier there was dual control of the Registrar and RBI over Cooperative Banks but now there is total control of RBI over us”, said Amin analysing various sections of the B.R. Act in detail. He also expressed confidence that the participants will get the specialized guidance and updated knowledge about the BR Act from experts like Subhash Gupta and Jatinbhai Nayak.
Welcoming Guests with bouquets of flowers Dr. Rajendra Trivedi, Executive Officer of Gujarat State Cooperative Union, said representatives of various Urban and District Cooperative Banks of Gujarat are participating online and seeking guidance in the webinar.
Bhima Subramaniyam, MD of NAFSCOB congratulated Amin for holding the webinar with the online participation of around 580 representatives from various District and Urban Banks. C J Dave of GSCU proposed a vote of thanks.
