Karnataka Cooperation Minister Laxman Savadi has strongly opposed the Reserve Bank of India’s directive restricting directors of urban cooperative banks from continuing in office after completing 10 years of service without a mandatory three-year cooling-off period, according to media reports.
Speaking to reporters after participating in Independence Day celebrations in Karwar, Savadi questioned the RBI’s authority to impose such a restriction, arguing that only the Central or state governments have the power to introduce such provisions.
The RBI’s directive has triggered legal challenges across several states, with directors approaching courts to seek a stay on its implementation. In Karnataka, several directors of district central cooperative banks and urban cooperative banks are awaiting the outcome of cases pending before the High Court.
Savadi warned that removing experienced directors could adversely affect cooperative banks, as many institutions depend on long-serving leaders who have earned the confidence of members and depositors.
His remarks have provided relief to directors facing possible disqualification under the RBI’s tenure-related norms.
Nalayak,nonsense,follow the law of the land,do you understand lot fraud in cooperatives then what being minister,,?
The minister is not competent,Kuch to samaj karo bai lot of frauds happend in cooperatives in Maharastra and Karnataka,ultimately RBI frames controls to safeguard general public frm financial frauds.
We all appreciate the bold statement given by our Honourable Co Operative Minister Sri Laxman savadi by giving independence to all co operative Bank Directors regarding 10 years tenure during the time of Independence Day celebration by giving big Relief for Urban Co operative Banks . Regards N M Suresh President Malleshwaram Co Operative Bank Ltd Bangalore
ಕರ್ನಾಟಕದ ಸಹಕಾರಿ ಡಿಸಿಸಿ ಬ್ಯಾಂಕ್ಗಳಲ್ಲಿ ಬರೀ mla ಸಚಿವರ ಆಪ್ತರೆ ಹೆಚ್ಚಾಗಿ ಬಡ್ಡಿ ರಹಿತ ಸಾಲದ ಪಲಾನುಭವಿಗಳಗಿದ್ದಾರೆ
RBI guidelines should be imposed and implement then the cooperative banks will going to save otherwise the closing and shutdown of the cooperative banks are coming very near…
Due to influence and imposing of the directors to be administrators of cooperative banks for the reason most of the accounts are not going to recovering…