Failure of Cooperative Movement in J&K

Sumer Khajuria
In background, the Indian Co-operative Movement was kick started in 1904 A.D by following the principles of self help, self responsibilities, equality, equity and solidarity being one of the world based largest field of direct public participation. Such movement at the initial stage was ignited in shape of credit movement to the most distressed class of farmers, enabling them to purchase seeds and other crops repayable upon the harvest of crops and yielding income therefrom. In Jammu and Kashmir state also, Maharaja Pratap Singh following the suit of British India introduced the co-operative movement in 1914 A.D for providing relief to the small agriculturist class of the state so as to improve the agricultural productivity by getting rid of private money lenders. This Co-operative movement spread its tentacles in many other spheres, i.e apart from agriculture, in education banking, housing, labour and transport sectors with the motive of bringing green revolution by means of self sufficiency in food production, white revolution, blue revolution, Golden revolution and Yellow revolutions.
In 1950-51 the State Govt., established retail shops at tehsil level and in 1967 the distribution of fertilizers, seeds of high yielding varieties of rice, wheat; pesticides was assigned to the co-operatives. To stream line the co-operative sector, the J&K Co-operative Societies Act SVT 1970, J&K Co-operative Societies Act SVT 1993, J&K Co-operative Societies Act 1960 A.D (Act no XXVIII of 1960) successively came into play with due amendments under J&K co-operative societies Acts No 21 of 1965, 40 of 1966, 25 of 1968, 18 of 1970, 9 of 1972, 22 of 1972 and finally the J&K co-operative Societies Act 1989 (Act of 1989), there by defining the statues of various co-operative societies of the state under section 2, by consolidating the co-operative societies laws with a view to provide for orderly development of the co-operative movement in the state in accordance with the directive principles enunciated in the constitution of the state, which came in operation on Oct. 11, 1999. To further improve the working of the co-operative sector the rules and circular orders also came into operation periodically.
To run the co-operative sector being people friendly the Apex bodies such as J&K Co-operative Federation, J&K Co-operative consumer Federation besides, J&K Co-operation Societies as well co-operative consumers dealt societies were also introduced totaling to 562 ending 199-200 across the State out of which 204 societies became defunct till year 2000. Again under Self Reliant Act operated in the 1999, 1028 societies were registered but operative societies reduced to 766 i.e 236 in Kashmir, 159 in Ladakh and 371 in Jammu till the year 2008. The societies under co-operative sector also received Budget support in shape of grant in aid from state Govt. Rs 4 crore in 2013-14, Rs 4 crore in 2014-15, Rs 8 crore in 2015-16, Rs 7 crore in 2016-17 Rs 7 crore in 2017-18 and in the year 2018-19 Rs 7 crore as grant in aid besides 5 crore as investment of the Govt., Despite all efforts of the Govt., it did not survive. J&K Co-operative Federation assigned with the procurement of chemical fertilizers and seeds of high yielding varieties of food grains, itself was subjected to frauds and misappropriations involving loss of hundreds of crores to State exchequer. Like wise the where about of J&K co-operative consumer Feder-ation,Transport societies, milk supply societies , vegetable production societies are missing. The face of District, Tehsil co-operative societies across the state is not out of sight. Presently, barring few based on the active participation of ex-serviceman in education sector or the Devika bank at Udhampur , the fate of other co-operatives is at the stage of dashing on grounds.
Taking the examples of an employees co-operative based consumers store (Super bazaar) first of its kind so established at Udhampur in June’1967 with the management duly elected, the Deputy commissioner (Sh A.K Mengi) as President and the Superintendent of Police of the time as secretary the Said store was opened purely with the share capital of state employees of Udhampur and State Govt. and the same carried its consumer activities for the benefits of the State employees as well as the Govt. Departments by possessing its own building premises in the prime location of Udhampur presently costing more than five crores. It is unfortunate that the said co-operative consumer store thereafter was not allowed to be handled by the elected management of share holders hailing from the State Govt. employees but the co-operative Department itself took its control in 1968. Thereafter this store was subjected to heavy losses by way of buildings and misappropriation . Again in the year 1974, despite the said institution of employees was in miserable in financial condition, the elections of which were held under the orders of the state Govt., but the management so properly elected was not allowed to take administrative control there of and ordered its liquidation in 1975 by appointing A.K Kapoor as the secretary of JCC Bank as its liquidator, who further swallowed the moveable assests with the naked connivance of the Departmental officers. Since 1975 there after the Dy Registrar Udhampur himself is liquidator but has no control on the assests of the said institution . The assets of the employees co-operative society despite being the property of Govt. employees of the time as its share holders, who were kept at bay and the immoveable assets thereof were handed over to the District co-operative Market Society Udhampur, permitting it carry the consumer Goods business under the name and style of “Apna Bazar” , which opened the new chapter of controlled buildings.
The first floor of the building being occupied by the Jammu Central Co-operative Bank was allowed to continue its possession without realization of any rent, for the last over forty years. So far as the immovable assests of the said Employees co-operative store under liquidation were allowed to be sold to the private parties on the pretext of rent deeds with the under hand considerations of hefty amounts in lakhs of rupees with the naked connivance of the co-operative departmental authorities.
Even the own assests of the District Co-operative Marketing Society are not safe but have already been sold out i.e the built shops in shape of rent deeds of very meager rent but the consideration amount of Lakhs of rupees under table has been swallowed . This is the fate of co-operative institutions which have been subjected to heavy buildings, loots and mis appropriations by the political oriented people being fully protected by the political elite. The audit wing of the Department is so defficient and incapable that, it never dare to surface such huge bungling, swallowing institutional share capital as well as the business turn over resultantly burdening the state Govt. and the share holders of the societies with heavy debts and losses. It is to introspect the reasons of such unabated bunglings and the protection of political elites to prevent the thorough probes and bringing culprits to book.
(The views of the author are personal, and not that of the Daily Excelsior)
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