Oommen Chandy suggests cooperative banks give guarantees

THIRUVANANTHAPURAM: Former chief minister Oommen Chandy on Thursday suggested that district cooperative banks should give guarantee to depositors to help them avail facilities at hospitals and agencies like  Supplyco, Consumerfed, Horticorp and Matsyafed. His suggestion has been taken by the government positively. Chief minister Pinarayi Vijayan told mediapersons that the government would take a decision on these suggestions on Friday. Mr Chandy’s suggestion goes like this; “When a depositor gives a cheque in district cooperative bank for a particular amount and gets it passed, he should be able to avail facilities for the same amount at hospitals or at essential commodities stores. The cooperative banks can provide guarantee for such transaction. There is no risk even of a single rupee.”

He said the government should issue directive to all departments concerned to accept guarantee given by district cooperative banks.  Such services rendered by cooperative banks during crisis, will be applauded by all, he added. He said payment on bills or demand note can be made to departments or agencies through electronic transfer or at the time of availability of currency from RBI. This scheme can be utilised in hospitals, public sector agencies dealing with food and essential commodities, Supplyco, Consumerfed, Horticrop and Matsyafed.

Chandy said after evaluating the success of the scheme, it could be extended to other sectors as well. This would provide great relief to the people besides bringing movement in trade and commerce sector which has come to a standstill.
It would also be a befitting reply to those who are adopting a defiant stand against cooperative sector and do not want to give them their due.

Those who have not opened accounts in district cooperative banks and primary credit societies should be made to do that. To ensure that the facility is not misused, adhar card and ration cards should be made mandatory for opening new accounts. Special counters can be opened at at district bank branches and primary credit societies for this purpose. Mr Chandy said at the moment there was no restriction on online transaction. However, the most affected were the poor sections who don't have means to use such facilities.