Banks in Maharashtra are unable to sanction recent crop loans to some farmers as guidelines don’t allow them to increase recent crop loans in circumstances the place their current crop loan accounts have turned non-performing, based on United Discussion board of Bank Unions (Maharashtra).
“The targeted groups of farmers to whom the crop loans are to be disbursed are in dire need of debt relief package from the Central/State Governments. Since their existing crop loan accounts are already non-performing assets (NPAs), Banks are unable to sanction fresh crop loan to these farmers,” mentioned Devidas Tuljapurkar, the Discussion board’s Convenor for Maharashtra.
Because the farmers’ accounts proceed to be NPA in bankers’ books of accounts, guidelines don’t allow banks to sanction recent crop loan, he mentioned in a letter to Maharashtra Chief Minister Uddhav Thackeray.
Tuljapurkar referred to a letter written by the State House Minister asking all of the District Collectors to register complaints in opposition to bank officers in the event that they don’t sanction crop loans as per guidelines and laws.
The UFBU Convenor emphasised that every one authorities bulletins must be translated into correct instructions by the competent authorities. Within the absence of such clear instructions bank officers can’t implement these bulletins, he added.
“We have to bring to your notice that banks are governed by the directions issued by the Central Government which is the owner of all Public Sector Banks & regulator — Reserve Bank of India. State Level Bankers Committee also has a defined role to play in implementing the instructions and advisories of the Government.”
“…In some of the cases while sanctioning loans, bank officials are facing some technical difficulties on which solution needs to be found out by amending some of the systems & procedures by appropriate authorities. On this government should ensure that proper directions are issued to the banks by the competent authority,” mentioned Tuljapurkar.
The letter sought to deliver to the CM’s discover that the majority banks are going through acute workers shortages and thus are unable to eliminate the loan proposals sooner.
Additional, branches in rural areas are usually not getting uninterrupted energy provide & BSNL connectivity and due to this fact branches are unable to operate correctly.
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