Maha lags in collection; Marathe-Mehta holds meeting on Umbrella

Maharashtra based Pune District Urban Cooperative Banks Association organized a brainstorming session on Umbrella Organization, in which RBI director Satish Marathe and NAFCUB President Jyotindra Mehta were invited, among others.

It was organized on the next day of the first meeting of the National Committee constituted for drafting documents for National Cooperative Policy. The duo, among others, are part of the NPC Panel.

On this occasion, the Chairmen and CEOs of Pune’s urban cooperative banks were present. In his address, Mehta made an appeal before the UCBs representatives to contribute for share capital of Umbrella organization and asked to contribute 10 paisa per every Rs 100 of your assets (advances and investment)”.

It is being said that so far Rs 53 crore has been collected and received a resolution of more than Rs 25 crore. And the remaining amount will be collected before the completion of this financial year. The highest contribution made by Gujarat i.e. Rs 24 crore. Maharashtra contributed a mere Rs 3 crore.

It bears recalling that the national level Umbrella Organisation (UO) is expected to provide liquidity and capital support to member co-operative banks.

The UO will have an authorised capital of Rs 500 crore. Initial issued and paid up capital will be Rs 300 crore. The Steering Committee recommended that if each UCB contributes Rs 0.10 per every Rs 100 of assets, the above amount of Rs 300 crore can be contributed to the capital of the UO by all the UCBs.

There are over 50 UCBs in Pune. But the contributions of Maharashtra UCBs are not enough yet for the Umbrella Organization.

Exhorting UCB delegates to grab the opportunity of becoming Promoter Members of Umbrella Organization, senior cooperator H K Patil said during the recently held Nafcub AGM that it’s a time to strengthen the upcoming body.

Nafcub has been able to secure a share of Rs 200 crore from the NCDC for the UO, which is seen as a big victory. RBI is watching the response of UCBs to the idea, said senior co-operators.

In recent times Nafcub has been in overdrive to see the dream of UO translate into a reality. In the last six months it held more than 20 meetings on the conceptualization of Umbrella and even got it registered.

Making UCBs to accept UO as their saviour is a major challenge before the Nafcub leaders.