The Government has initiated action under the Banking Regulation Act, 1949 regarding the eligibility of directors at the Maharashtra-based Dharashiv District Central Cooperative Bank (formerly Osmanabad District Central Cooperative Bank)
In a written reply, Maharashtra Cooperation Minister Babasaheb Patil informed that a memorandum dated August 23, 2025, submitted by Dr. Tanaji Sawant seeking an inquiry into the Board’s functioning has been received by the Government.
Citing provisions of Section 10(2A) of the Banking Regulation Act, 1949, the Minister stated that a director cannot continue for more than 10 consecutive years. Accordingly, seven members of the current Board have exceeded this limit and are rendered ineligible to continue as directors.
Of these, one director has already been declared disqualified, with the seat vacated under the Maharashtra Cooperative Societies Act, 1960. For the remaining six directors, proposals are being processed for submission to the Reserve Bank of India for further action under the Banking Regulation Act.
The Minister further stated that, following the complaint, an inquiry was conducted and a report submitted in December 2025. Based on its findings, a separate inquiry has been ordered under Section 83 of the Maharashtra Cooperative Societies Act, 1960, with an Inquiry Officer appointed in February 2026.
Further action will be taken after receipt of the detailed inquiry report, the Minister said.
