NAFSCOB AGM passes resolution to grant membership to DCCBs

The apex body of state cooperative banks-Nafscob held its Annual General Meeting on Tuesday at Jaipur, wherein several important issues including granting membership to DCCBs were taken up.

Realizing the dwindling importance of NAFSCOB if it fails to represent DCCBs, members were unanimous that a suitable amendment should be brought in the bye-laws for extending membership either nominal or associate to DCCBs.

The AGM also decided to form a committee under the Chairmanship of its Vice-Chairman Dan Singh Rawat for the celebration of the apex body’s Diamond Jubilee year in 2024. The venue and dates will be finalized sooner than later by the Committee.

Nafscob MD Bhima Subrahmanyam, who got the extension of his tenure till the end of current term of board in the AGM, placed the agenda before the general body for the approval.

Telangana State Cooperative Bank Managing Director Nethi Muralidhar said there is a need to change the name of National Federation, which was endorsed by the Himachal Pradesh State Cooperative Bank MD Sharwan Kumar. The leaders felt the name does not convey its true character; they suggested that the name should be changed to National Federation of Rural Cooperative Banks, instead of National Federation of State Co-operative Banks.

The other item that came up for discussion was the draft of model bye-laws for the State Cooperative Banks and District Central Cooperative Banks. Referring to this, Rao informed the august gathering that the Nafscob has made a representation before the Secretary, Union Ministry of Cooperation in this regard.

Besides, the Meghalaya State Cooperative Apex Bank MD Osmand Nongbri said that there should be ease of norms in lending under Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE). He as well as many others felt that it should be at par with other banks.

Some of the participants felt that the criteria of having Gross NPA less than 5 percent should be relaxed and it can be replaced with Net NPA. They wanted NAFSCOB to represent them before the government on the issue.

Participants also wanted to know the membership fees for DCCBs, which was answered by the Nafscob Chairman K Ravinder Rao who said initially it would be Rs 10,000. The other issues that came up for discussion included the scheduled status for state cooperative banks and DCCBs, branch license etc.

The meeting was attended by Principal Cooperation Secretary Shreya Guha, Rajasthan Cooperative Registrar Meghraj Singh Ratnoo, Rajasthan State Cooperative Bank MD Bhomaram, MD, representatives from State Cooperative Bank, DCCBs, PACS and others.