A whopping Rs 9,000-plus crore worth deposits were made by some district central cooperative banks (DCCB) across17 states in just five days after demonetization. The five day window was really a godsend especially considering these banks could convert their illegal money into legal cash, say media reports.
A former Nabard official says DCCBs have been hunting grounds for politicians who open accounts in the name of farmers and use them for money laundering,
Experts watching the cooperative scene are surprised by the deposits of Rs. 1,800 crore in SCCBs in Kerala. Most of the depositors are poor loanees and therefore their deposits defy all logic, say experts.
Similarly, DCCBs in Punjab and Maharashtra have shown huge deposits comprising banned high value currencies.