Buldhana bank board superseded

The Registrar of Cooperative Societies has superseded the board of the Buldhana District Central Cooperative Bank board in the Vidarbha region and appointed an administrator following the Reserve Bank of India recommendations.

Prabhavati Shingne, mother of Rajendra Shingne who is minister of state for revenue and a Nationalist Congress Party (NCP) MLA, is chairperson of the bank. The decision to this effect was taken by the cooperation ministry of the state on Tuesday, following an RBI audit report which was critical about the way the bank functioned.

The bank's NPAs (non-performing assets) were to the tune of 47 per cent of its total advances. Besides, there were gross irregularities in purchasing and sanctioning of loans, sources said.

Commissioner of Cooperatives Shailendra Sharma confirmed the supersession of the bank's board and said the district deputy registrar of cooperatives had been appointed an administrator for the bank. He had taken charge of the bank on Tuesday.