The cooperative banks’ financial woes are just refusing to go away in Maharashtra. After the Maharashtra State Cooperative Bank, several district cooperative banks have surfaced as candidates for a similar bailout.
At least, half a dozen district cooperative banks are in serious financial difficulties and have been stopped from accepting fresh deposits.
According to Harshavardhan Patil , Minister Cooperatives, the crisis-ridden banks would , in the foreseeable future , be inspected by Nabard and if given a clean bill of health they would be able to get their banking licence.
A source familiar with the cooperative banking scene in Maharashtra, however, says at least two of the six district cooperative banks seem past redemption as their negative net worth is extremely high.