Maha orders review of financial 'mismanagement' by DCC banks

In what could spell more trouble for NCP and Congress, Maharashtra government has ordered review of alleged financial "mismanagement" of all 30 District Central Cooperative (DCC) banks during the last 15 years.
It has also sought to fix responsibility over the financial losses incurred by them.
State Revenue Minister Eknath Khadse, in a meeting with Agriculture and Cooperative Secretary Shailesh Kumar Sharma here yesterday, took stock of the financial position and the amount of crop loans provided to farmers by DCC banks.
Jalgaon DCC bank, under Khase's control, has distributed around Rs 1,400 crore as crop loans to farmers in the last four months and the second largest amount disbursed as crop loans by other DCC banks is around Rs 350 crore.

"Government money was used for improper purposes. Several DCC banks controlled by the NCP misused money meant for salaries of primary and secondary school teachers and have deliberately delayed the recovery of loans. We are figuring out the amount. I think the amount runs into thousands of crores," alleged Khadse.
He said that bank guarantee given by the state government to various cooperative sugar and cotton mills is more than Rs 1,200 crore and is yet to be recovered.

"Thus, we have given instructions to prepare a detailed report of all DCC banks. The amount given to them by the state, the amount disbursed, the amount recovered, etc. and fix the responsibility of any wrongdoings on the directors. We will attach the properties of the directors and recover our money from the auction of their properties," Khadse said.

The minister said while NCP is protesting against the state government over issues like drought and financial aid for farmers, it is the party that is responsible for the present state of Maharashtra as it was ruling in alliance with Congress for 15 years.
The state government has already initiated an inquiry against senior NCP leaders like former Deputy Chief Minister Ajit Pawar and Sunil Tatkare in connection with alleged scam in the state's irrigation sector.
Another top NCP leader Chhagan Bhujbal is also facing inquiry into an alleged scam pertaining to construction of Maharashtra Sadan - state's guest house in Delhi.