Bhatkal: The order of demonetization of currency notes of Rs500 and Rs1000 has put the general public into difficulties; the national banks employees are tired of their unending busyness whereas the co-operative societies and financial institutes are on the verge of closing their business. The rural population who are mostly dependent on the co-operative credit societies for their usual affairs seem to be utterly empty handed.
Most of the populace in taluka is dependent on the co-operative societies for getting loans for their business and other affairs. There are a high number of people who collect their savings through pigmy and pay off their loans through credit societies. Due to the recent regulations of Reserve Bank, the pigmy collecting agents are denying to accept the old currency notes of Rs500 and Rs1000. The people who have taken the loans from these societies by impledging their jewellery are in no state of immediately taking back their jewellery. The condition is such that the customers have taken the staff of the societies to task. One of the specialties of these credit societies based in rural areas is that the directors, presidents and vice-presidents of the societies are usually the politicians from the same rural areas. And the bank manager and the other staff have been reportedly working under their pressure which has made the situation difficult for the bank staff.
Apart from Bhatkal Urban Bank and KDCC Bhatkal branch, 8 agricultural and 16 non-agricultural co-operative credit societies are unable to make the straight transfer of money for not being the clearing members of State Bank. All these societies are dependent on the KDCC bank for their procedures. Shockingly, the accounts of these societies are being treated as a normal bank account like any other customer by the KDCC Bank and not more than Rs10,000 can be withdrawn from them.
It is a matter of panic for the managers and staffs of the concerned co-operative societies that what would be the outcome after 30th of December when the RBI would investigate about the dealings of these societies. The managers and staffs were the people who would come under questioning. Fearing the consequences, the concerned people are of the opinion that it was better to be in a stagnant state rather than working much on the issue and avoid going to office. For now, the accounts of all the credit co-operative societies have been blocked. It was only after the permission from RBI, anything could be done regarding the issue.
Sources have said that name of KDCC Bank was not listed in the list of RBI, even though it is firmly based in the district and working on a larger scale. The panicked directors, president, managers and others only after providing clarification to the RBI, new notes were issued to them, it is said.