VHP seeks Govt intervention to save Citizens’ Cooperative Bank

Excelsior Correspondent

JAMMU, Sept 1: The Vishva Hindu Parishad (VHP) has sought timely and tangible intervention by the Union Territory Government and Cooperative Department to help revive the Citizens' Cooperative Bank Ltd, Jammu, following stringent restrictions imposed on the bank by the Reserve Bank of India (RBI).

In a statement issued here, VHP J&K and Ladakh president Rajesh Gupta said that the restrictions have adversely affected depositors and current-account holders, particularly small traders, shopkeepers and businessmen dependent on the bank for routine transactions, supplier payments and salary disbursements. He also pointed out that the bank has 139 sanctioned posts, of which 123 are presently filled, creating uncertainty for a large number of employees and their families.

Gupta reminded that the Board, employees, shareholders and a section of depositors had made efforts to keep the institution afloat, including appeals for additional share capital. He said those who continued to retain their accounts and shareholding had demonstrated faith in the bank's potential for recovery.

Drawing a comparison with other cooperative banks, the VHP leader referred to the Jammu Central Cooperative Bank and two Valley-based district central cooperative banks, noting that stressed cooperative institutions had received Government support in the past. It specifically mentioned the Rs 366 crore Central recapitalisation package channelled in 2022 to the Jammu Central, Anantnag Central and Baramulla Central Cooperative Banks.

However, on the other hand, Rajesh Gupta alleged, the Citizens' Cooperative Bank was not provided adequate attention and support by the Cooperative Department and UT administration.

Maintaining that employees, shareholders, depositors, trade organisations and the wider business community share a common interest in the survival and revival of the local banking institution, VHP leader urged the UT administration to extend CCBL Jammu same degree of support that was made available to other stressed cooperative banks.