Ruling LDF launches agitation to save co-operative sector

Highlighting problems faced by cooperative units in the state following demonetisation, Chief Minister Pinarayi Vijayan and his ministers today sat on a seven-hour dharna in front of the RBI office here protesting restrictions on financial transactions imposed on the sector.
Putting aside political differences, Congress-led UDF Opposition expressed solidarity with the LDF and said it would not allow any step that would "wreck the state's co-operative sector".
The dharna also saw the Chief Minister taking pot shots at Prime Minister Narendra Modi, saying "PM has declared a war against the people of the country..."
Meanwhile, the state cabinet today decided to convene a special session of the assembly on November 22 to discuss issues raised by the cooperative sector.

Both ruling LDF and UDF were irked over Centre's decision not allowing primary cooperative societies and district cooperative banks to carry out transactions like deposits and exchange of scrapped Rs 1,000 and Rs 500 notes which had brought the sector to a standstill.
Hitting out at BJP, which had alleged that cooperative sector was a 'storehouse' of black money, LDF said the Centre's

move imposing restrictions on the sector was part of a "political conspiracy to destroy the sector" in which lakhs of people have stake.
Vijayan, in his opening and closing address during the protest, rubbished the BJP's charge as 'absurd' and said they were creating "unnecessary smokescreen."

"Their intention is to destroy the sector. We know that,...But we are not going to allow it ... A massive people's agitation would be launched till victory is achieved," he said.
Kerala MPs led by former Defence minister, A K Antony had met Finance minister Arun Jaitley to discuss the issues related to the sector. Antony said they had been assured by the minister that he would take up the matter with RBI.
Referring to this, Vijayan said "we are not rejecting it. But follow up action is what is required."
However, the chief minister said the state's earlier experience with regard to a similar assurance from the minister, was "not positive" and so "we are anxious", he said.

Attacking the Centre, Vijayan said demonetisation
"without taking proper precautionary measures" had led to the present "crisis" and hardships to people.
Earlier in the day, Vijayan and his Cabinet colleagues marched from the Martyrs Column at Palayam to the RBI regional office here before commencing the dharna.
Vijayan said the cooperative sector was not being allowed to accept deposits and exchange of demonetised notes which had led to "deep crisis" and attributed this to the outcome of BJP's "propaganda".
"All financial transactions in these societies have accurate inspection system and these are deposits of ordinary persons," he said, adding, the sector "stands with the people of the state".

Highlighting the importance of cooperative societies in Kerala, he said 70 per cent of agriculture loans for farmers were given by the sector. Besides, it also meets the day-to-day needs of the people, he said.
CPI(M) General Secretary Sitaram Yechury, who spoke at the dharna, said the party would take the initiative to launch an all-India agitation along with other opposition parties to put pressure on the Centre to make proper arrangements to end the "anarchy" in the country and economic system due to demonetisation.
Extending support to the cause, UDF leaders said lakhs of people, including people from villages were facing hardships due to the Centre's decision on not allowing cooperative sector to accept deposits and exchange demonetised notes.

"UDF cannot support any such action which will destroy the cooperative sector in the state," Opposition leader Ramesh Chennithala and former chief minister Oommen Chandy said.
Activists of various organisations, including state unit of the Shiv Sena, marched to the venue of the dharna to express their solidarity with the stir.
The BJP state unit alleged that the dharna had affected the RBI's functioning and this was 'unconstitutional'.
The party had alleged an estimated Rs 30,000 crore of black money had been deposited in cooperative banks in the state and not a single paise is paid as income tax on them and depositors include politicians, real estate mafias, hawala dealers and terrorists.