BHUBANESWAR: The state government has dissolved the management committees of two cooperative bodies over allegations of corruption and financial irregularities.
The managing committees of Odisha State Cooperative Bank (OSCB) and Odisha Cooperative Housing Corporation (OCHC) were dissolved as per the instruction of Registrar of Cooperative Societies. “In exercise of powers conferred under sub-section 7 of section 32 of Odisha Cooperative Societies Act 1962, do hereby place the Committee of Management of the Odisha State Cooperative Bank Ltd., Bhubaneswar Under suspension with immediate effect,” said the RCS.
During the period of suspension of the committee, the commissioner-cum-secretary of Cooperation department will manage the affairs of the apex cooperative bank, the order said. As president of the OSCB managing committee T Prasad Rao Dora has moved the Orissa High Court against the order of the state government. On the other hand, managing director of the bank Pravu Kalyan Pattnayak has issued a order saying Dora has ceased to be a member of the committee of management.
As per the order of RCS, “It has been found that you have incurred disqualification under section 28(3-a) of the Odisha Cooperative Societies Act, 1962 to continue as a member of the committee of management of OSCB, Bhubaneswar as well as President of the committee.” Dora ceased to be member of the committee of management of OSCB with immediate effect due to such disqualification by the RCS, said the order of the OSCB MD. Financial irregularities in OSCB was discussed in the Assembly by Cooperation Minister Pradeep Bal Samanta who informed the House that misappropriation of funds to the tune of Rs 224.61 crore detected in various cooperative banks across the state.
The irregularities came to fore during the financial audit of OSCB, 17 Central Cooperative Banks (CCBs), and 13 Urban Cooperative Banks (UCBs) in the state, said Samanta answering a question asked by Congress leader Tara Prasad Bahinipati.