Making a strong case for withdrawal of strangulating bill aimed at curbing what its calls unregulated deposits, Sukesh Zamwar the young cooperator from Buldana said the motivation for this bill has come from UK. But what they fail to understand is the difference in the basic nature of two economies, he argued.
Referring to “U K Regulation of Activities & Order and CA Rules” Zamwar said the nature of economies of UK and USA are speculative; see the speculation over commodities or for that matter over dollar; can you compare it with the economies of cooperatives which work on demand and supply in a close loop? he asked.
“And the attrition rate? Of the govt listed 1245 multi state credit cooperatives only 15 have gone defunct-a rate which is much better than that of even corporate”, he said forcefully.
“We give loan to poor and marginalized segment of population. The loan amount is as low as Rs 5000. Can a commercial bank do so”, Zamwar asked. More than 70 per cent of the loan is also given to the agriculture sector thereby fulfilling the credit gap in the society, he underlined.
“And how are we unregulated? Both Central Registrar as well as state Registrar keeps a check on us. We have AGMs, voluntary and open membership, free economic participation by the members and annual financial statements; how we can be called unregulated”, he asked.
Lauding cooperative model over corporate Sukesh referred to famed American University of Michigan which found that in Buldana members’ per capita income is double the national average due to economic activities undertaken by Buldana Urban.