PMC crisis calls for board of management in urban cooperative banks

The idea - seconded by the R Gandhi committee on UCBs in 2015 - behind this was to cut through the legal bureaucracy and tap dance around dual regulation

“I have never seen a single dissent note coming out of a cooperative bank board meeting,” says M L Sukhdeve, former chairman of the Maharashtra State Co-operative Bank (MSCB). It is likely that he is exaggerating to drive home a point, but it is most likely to have been the case at the Punjab and Maharashtra Co-operative Bank (PMC Bank). And, consensus of this kind is not desirable at all.

In 2011, the Y H Malegam committee on the licensing of new urban cooperative banks (UCBs) made a case for setting up a board of management (BoM) below the board