New Delhi: To avoid situations like the PMC Bank scam, National Bank for Agriculture and Rural Development (NABARD) has directed cooperative and regional rural banks to submit information about their credit disbursal every month.
Speaking to ANI, NABARD chairman Harsh Kumar Bhanwala said that cooperative and regional rural banks have also been asked to submitted information about deposits on every 15 days.
"After PMC Bank scam, we have started asking for credit disbursal on every month as against three months. We have also asked them to submit information about deposits on every 15 days. This is being done to ensure that we identify the irregularity if there is any," Bhanwala said.
He said that if a co-operative bank or a regional rural bank has over-exposure in a particular sector, the NABARD ask them to fix it. "If they cannot do it, then we inform the Reserve Bank of India (RBI) and seek directions for the banks," Bhanwala said.
Speaking on the bank's Non-Performing Assets, the NABARD chief said that the bank's NPA has reduced last year. "There are a few states that are to be blamed for our NPAs. There are improvements after we carried out campaigns in such states," he said....