Early Times Report
Jammu, Apr 21: The Board of Directors of Citizens Cooperative Bank Ltd, Jammu, has allegedly resorted to open loot in the bank and also taking its employees for a ride.
In a bid to manipulate balance sheet for the financial year 2015-16, the management is learnt to have forced the bank employees to purchase shares of CCBL Jammu, for which loans were disbursed.
In other words, the bank utilized its own staff to manipulate the figures and befool Reserve Bank of India (RBI), which has already issued warnings to the CCBL Jammu to improve its banking and rein in unnecessary expenditures.
While elaborating, sources explained that three days before the closure of last month of financial year 2015-16, the bank management issued a circular asking all the employees to avail Housing/Commodity loan from the CCBL Jammu. Loan up to Rs 5 lakh was offered to each officer while for the class IV employees, the loan limit was Rs 3 lakh.
Interestingly, the circular was issued on March 28 and within three days, the loan amounts were transferred to each employee's account without processing the requisite formalities for the same.
More ironic is the fact that before April 1, Rs 50 thousand were also deducted from the accounts of bank employees, who were sanctioned and disbursed loans. All these transactions were done without consent of the bank employees, who were first forced to avail the loan at an interest of Rs 9.5 percent and purchase the CCBL shares of Rs 50 thousand.
Except a few employees of the bank, who are at the verge of retirement and thus can not avail the loans, more than 90 percent staff of CCBL was advanced loans and forced to purchase the shares for increasing capital of the bank, sources informed.
According to the sources, the entire game plan of advancing loans to own employees and then forcing them to purchase the CCBL Jammu shares was managed by the Chairman Dinesh Gupta and Board of Directors, who have outlived their tenure.
As some employees are now expressing their inability to pay back the loan installments, sources said that the Chairman and his Directors are allegedly issuing threats of ousting them from the bank. |
