Co-op banks vs PSU banks: Rupee Bank depositors ask “why only us”

The Rupee Bank Depositors Forum has asked that if PSU banks could be saved by the govt of the day why the helpless depositors of UCB banks are left high and dry.

Talking to Indian Cooperative Shrirang Parsapatki, who is heading the Depositors Forum  of  Rupee Bank said “If the govt could pump in huge money to save nationalized and PSUs banks having high NPAs, what stops it from helping the urban cooperative banks”, asked Parsapatki.

Alleging a bias against co-operative sector in the govt attitude, Parsapatki said government always support the ill-managed PSU banks, even when it is found that they have indulged into the acts of gross violations and irregularities. But it develops cold feet when it comes to helping cooperative banks, which are working for the uplift of downtrodden people, he asked.

Parsapatki added that, “Depositors are wandering from here to there to get back  their hard earned money from the bank but there is nobody to listen to them”. He however, asserted that the Forum is making all-out efforts that no depositor should incur any financial loss and all must get their money bank.

More than 6 lakh depositors are associated with Rupee Bank.

Formed with an objective to protect the interest of gullible depositors of ailing Pune based Rupee Bank, Forum has demanded Maharashtra government to complete the process of merger of bank with MSC Bank before the state assembly polls which are likely to take place in October.

It is to be noted that MSC Bank has already carried out the due diligence. The top official sources of MSC Bank said, “So, far we have not received the approval from the apex bank RBI to takeover Rupee Bank and  the matter still is under consideration”.

“We are requesting state government to complete the process of merger of ailing Rupee Bank with MSC Bank. We have met CM Devendra Fadnavis on several occasions, said Parsapatki.

Parsapatki, who is not happy with the snail’s speed at which the merger proposal is moving, however appreciative of Chief Minister Devendra Fadnavis and says he takes personal interest in the matter.

Meanwhile, a press release from the beleaguered UCB says that the Statutory Audit for the FY 2018-19 was recently completed and there were no adverse remarks. The BOA( Board of Administrators) has also requested RBI to carry out Annual Inspection of the Bank at the earliest.

The Bank has paid Rs 332 crores to Rs 83,777 needy depositors under hardship scheme of RBI. The Bank is having deposit of Rs 1,297 crores,” the release said.

In the current financial year, the Bank could recover Rs 2 crores while it aimed at a target of Rs 40 crores. But the overall performance of the UCB was not bad as the Bank is hopeful of earning an operating profit of more than Rs 10 crores in this year.

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