The primary Maharashtra cupboard of 2025 that met on Thursday allowed the Mumbai District Central Co-operative Financial institution, led by ruling Bharatiya Janata Celebration (BJP) MLC Pravin Darekar, to open wage accounts of presidency workers and to simply accept funding of surplus funds from authorities companies.
In October 2023, the Maharashtra authorities sanctioned related permissions to 14 district central co-operative banks. The factors then was ‘A’ class in annual audit for 5 years and credit score reserve ratio at 9 per cent. The MDCC financial institution then didn’t fulfil the standards because it had acquired ‘B’ class in one of many years and the ratio too had come down from 9 per cent. Darekar is a boss of the financial institution.
Aside from the permission to open wage accounts, the MDCC financial institution will now be eligible to simply accept funding of surplus funds from authorities companies resembling Mumbai Metropolitan Area Growth Company (MMRDA), Metropolis and Industrial Growth Company (CIDCO), Maharashtra Housing and Space Growth Authority (MHADA) and the Slum Rehabilitation Authority (SRA).
In March 2020, Maharashtra authorities had directed all departments to open wage and pension accounts in nationalised banks solely. In August 2020 and in November 2020, the choice was modified and co-operative sector banks have been additionally allowed for the above-mentioned transactions.
The record of co-operative banks will get up to date yearly primarily based on the criterion on annual audit and credit score reserve ratio. The 14 DCCBs allowed in October 2023 are Thane, Raigad, Ratnagiri, Sindhudurg, Ahmadnagar, Pune, Satara, Sangli, Kolhapur, Latur, Akola, Bhandara, Chandrapur and Gadchiroli. The BJP leader-led MDCC financial institution was included on this record as a particular case within the cupboard assembly on Thursday.
“It was a minor technical challenge which, has been rectified, and primarily based on the proposal, granting permission to Mumbai financial institution was pending. It wanted cupboard approval and the proposal was moved as we speak and cleared,” mentioned an official from the finance division.
“I thank the federal government for exhibiting belief in our financial institution. We’re within the A grade and due to the belief proven by the federal government, we’ll proceed to do good work,” mentioned Darekar.
Within the earlier authorities, Darekar-led MDCC financial institution had acquired a 2,566.57 square-metre MHADA plot within the prime Sion space (South Central Mumbai). The plot was leased to the financial institution, regardless of unfavourable remarks from the finance division.
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