From Sahakar Bharati to Campco, from Chhattisgarh to Karnatak-cooperators of all hues and of various states landed in Delhi on Monday to impress upon the govt the need to do something urgently to rectify the situation arising out of demonetization.
The delegation of cooperators led by NAFCUB President Jyotindra Mehta met Santosh Gangwar, Minister of State for Finance and submitted him a memorandum on Monday in New Delhi. Gangwar had earlier a meeting with Dillep Sanghani on the issue.
Besides pointwise issues listed in the memorandum, they argued before the Minister post demonetisation the entire Co Operative Sector across the Country has been severely affected, both in Urban and Rural areas resulting in unbelievable hardships to all segments of Society – Farmers, Labourers, Dairy – Men and Women, Weavers, Consumers, Depositors, Small Borrowers, Agricultural Produce Markets, Self Help Groups/Joint Liability Groups.
While the coop sector forms an integral part of the country’s economy, its role in Maharashtra, Gujarat, Tamil Nadu, Madhya Pradesh, Goa and Karnataka is most pivotal. The operations of co operatives in many cases have been reduced to less than 30% and in some cases the operations have ground to a halt, delegation felt.
The general public, though supportive of the bold decision of the GOI to demonetize high value Currencies is getting restive as it faces untold hardships on a daily basis in conducting their normal economic activities, they argued.
Supply of small denomination Currency Notes to State Level Apex Co Op Banks, District Central Co Op Banks and Urban Co Op Banks needs to be augmented immediately. The Reserve Bank of India, Public Sector and Private Sector Banks have not been releasing enough Currency Notes to enable the Banks to meet the requirements of their Depositors and Customers as per the directions of the Govt of India, it said.
So also, huge Cash has accumulated in the Co Op Banks as the same is not being accepted by RBI, Public Sector and Private Sector Banks, cooperators underlined.
The points enlisted by the delegation are:
1.We request the Govt of India to direct the Reserve Bank of India, Public Sector Banks and Private Sector Banks to immediately release New and Small denomination Notes to State Level Apex Co Op Banks, District Central Co Op Banks and Urban Co Op Banks.
2.The Reserve Bank of India and Public Sector and Private Sector Banks should be advised to permit withdrawal of Cash by all Co Op entities particularly, Urban Co Op Banks, Credit Co Op Socs, Primary Agricultural Co Op Socs, Dairy Co Ops, from their accounts, based on their needs to service their Members, subject to extant Guidelines and Limits of GOI.
Cash withdrawal limit of Rs 24,000/- per week should not be made applicable to the above Co Op Socs as they in turn service their Members.
3.Urgent action is needed to separately store the demonetised Notes from the entire Banking Sector.
We understand that all Currency Chests across the Country are full with inflow of demonetised Notes. Hence, the Govt of India and State Govts should urgently make arrangements to receive Cash from Currency Chests at Special Centres just as Ballot Boxes are kept secured pending counting of votes.
4.Acute shortage of small denomination Notes is being experienced in Rural and Semi Urban areas. Hence, Cash should be provided on top priority basis to all branches of UCBs, DCCBs, RRBs, PSUs and State Level Apex Co Op Banks in Rural and Semi Urban areas.
5.ATMs in Rural and Semi Urban areas should be re calibrated on top priority basis for dispensing small denomination Notes.
6.Loans and advances availed by the Members of the Credit Co Op Socs are generally of small value and hence, Members should be allowed to pay their loan instalments in demonetised Notes till 31st December, 2016. Suitable instructions be issued to maintain proper record to the Credit Co Op Socs Sector.
Besides Jyotindra Mehta, Uday Joshi Gen Secretary Sahakar Bharati, Subhashji Mandge, President, National Dairy Fed, Shri Kantibhai Patel Director, Apex Bank, Gujarat, Pritpal Belchandan, Sathish Chandra President, Campco, Karnataka , Santosh Dewangan, Weavers’ Fed, Chhattisgarh and othere participated in the meeting.
