Port Blair, Nov 08: To a question raised by Shri Bishnu Pada Ray in Lok Sabha recently, the Minister of State in the Ministry of Finance Mr. Nama Narain Meena while answering in Parliament has given the details of loan issued and also the recovery rates during the last 3 years by of Andaman & Nicobar State Cooperative Bank Ltd. According to the Minister’s statement the details submitted in Parliament were on the basis of the report of National Bank of Agriculture and Rural Development (NABARD).
As per the submitted details during 2010 the A & N Cooperative Bank Ltd had issued a total of Rs 4302.44 lakhs as loan and the recovery of loan amount upto 30th June 2010 was Rs 1553.52 lakhs. Similarly during 2011 the total amount released as loan by Bank has been Rs 5250.29 lakhs and loan recovery upto 30 June 2011 was 1548.23 lakhs. During 2012 the Cooperative Bank had lent out a whopping amount of Rs 10718.10 lakhs as loan and the recovery upto 30 June 2012 was Rs 2440.37 lakhs. Loan issued by the bank during current year upto 30 July 2013 has been Rs 3079.52 lakhs whereas the recovery upto 30 July 2013 was Rs 2666.44 lakhs.
As per the statement of the Minister the two type of monitoring mechanism adopted while sanction of loan is Pre-Sanction and Post Sanction monitoring and other mandatory clauses are abided before sanction of loan.
But the Ministers statement was silent on the issue of number of defaulters, total default amount or the number of cases in which the outstanding loan amount have been written off. These questions are important for the investors to understand the Health of the Bank. The details of the Minister’s Statement are being taken to public domain to make people by the Member of Parliament understand the Bank’s approach on loan disbursal and recovery pattern.
