The workshop held by National Cooperative Union of India to review Report of the Expert Committee on Short Term Cooperative Credit (STCCS) on Friday asked for withdrawal of NABARD circular.
Dr Chandrapal Singh, President, NCUI said that NCUI will now take a lead in protesting against the Circular by making representations to various authorities.
NCUI President called upon the cooperators to be ready for the big fight as the implementation of this Circular is going to destroy the building blocks of cooperative.
“We will do whatever it takes to stop this” said an anguished Yadav. We will not allow any conspiracy to destroy PACS, he added.
The controversial Circular advocates converting Primary Agricultural Cooperative Societies (PACS) to the status of Business correspondents of Central Cooperative Banks/State Cooperative Banks. 
Transfer of assets and liabilities of PACS to DCCBs/SCBs, non-acceptance of deposits by PACS, PACS to function as Business Correspondents of DCCBs/SCBs etc. are the key features of NABARD circular issued on 22nd July 2013.
The workshop was attended by representatives of PACS/DCCB/SCBs from across the country. The resolution adopted at the end of the workshop called for initiating strong protest against the circular.
A consensus emerged that the NABARD circular would lead to break-down of the cooperative credit system, particularly PACS.
A delegate from Kerala informed that Kerala Govt. has got a stay against NABARD circular.
B. Subramanyam, Managing Director, NAFSCOB lamented that due to this circular, the basic existence of PACS will now be threatened. Bishupada Sethi, IAS, Principal Secretary, Odisha said that implementation of circular is difficult at the State level. “Cooperative is a State Subject and NABARD circular violates this”, he said.
Dr. Dinesh, Chief Executive, NCUI said that the NABARD circular threatens the existence of the basic tier of cooperatives i.e. primary agricultural cooperatives.
KRIBHCO representative Mr Sambha Rao said that this will affect the business of top fertilizer cooperatives too, who have to deal with Primary Agricultural Cooperative Societies.
The representatives of the cooperative banks from Tamil Nadu, Kerala, Karnataka, Madhya Pradesh, Uttar Pradesh, Bihar, Rajasthan, and Chhattisgarh were present on this occasion. Key representatives like Chairmen/MDs of National level federations were also present on the occasion.
