The Maharashtra State Cooperative Bank (MSC) has passed a resolution to change its name to the Maharashtra State Apex Cooperative Bank to “reflect its status”. It has also decided to form a grievance redressal mechanism for the purpose of preventing long and tedious legal processes.
Making the announcements, Vidyadhar Anaskar, chairman of the administrative board, the bank also recorded a total turn over of Rs 35,440 crore, the highest ever in its 108-year history.
Sitting at the top of the cooperative credit structure, the bank refinances 31 District Central Cooperative Bank (DCCB) to lend short-duration crop loans to farmers. The bank also lends working capital to 53 sugar mills after they pledge their sugar stock. For the financial year 2018-19, the bank had refinanced 28 of the 31 DCCBs to the tune of Rs 3,000 crore. The bank had extended short-duration loans amounting to a total of Rs 1,409.23 crore to sugar mills to finance their need for capital to meet transportation and harvesting costs.
In a press release issued by the bank after its annual general body meeting on August 20, it talked about the resolution passed which added the word “apex” to its name. “Ours is the apex bank but its name did not reflect the status,” he said.
On the resolution to set up a dispute resolution committee, Anaskar said it would be headed by an eminent banker, and that all disputes would be referred to it before going to court.
“Only if the committee gives its failure report will the dispute go to the courts. This is the first instance of a cooperative body setting up such a committee in the country,” he said.
The bank has also recorded a net profit of Rs 251 crore, compared to Rs 201 crore last year. In addition, it has opened four new branches this year in the districts of Jalna, Osmanabad, Jalgaon and Parbhani.
Work to set up branches in Wardha and Yavatmal is in the final stages. A regional office is also planned in Solapur. The total share capital of the bank at the end of the financial year 2018-19 stood at Rs 544.85 crore.