Chief minister Prithviraj Chavan seems to be in no mood to bailout the cash-strapped Nagpur District Central Cooperative Bank (NDCCB). The teachers are without salaries for last three months as NDCCB is practically penniless. A bailout package was expected but it was not even taken up in the last cabinet meeting.
Sources said local ministers were under fire from depositors and teachers for not doing anything to save the bank. They had lobbied hard for a Rs66 crore bailout, which would have enabled the bank to meet the conditions for getting a banking licence.
Bank officers feel that the chances of bank’s survival were bleak. “The cabinet will meet once more on March 5 after which general elections will be called. Chances are unlikely that CM have a change of heart regarding the bailout,” an official said.