14 chapter-v role of co-operative...

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CHAPTER – V

ROLE OF CO-OPERATIVE BANKS

1. ABHUDAYA CO-OPERATIVE BANK LTD.

(MULTI STATE SCHEDULED BANK)

This bank is established under the co-operative societies act, in the year 1964.

In the beginning the functions of the bank were narrow but over the passage of time it

has broadened the function.

Today it serves the society in ways by providing various financial products.

The contribution of the Abhudaya Co-operative bank in the development of Bhiwandi

City is indicated in the following figure.

CONTRIBUTION TOWARDS POWER LOOM SECTOR IN BHIWANDI:

Abhyudya bank was established for providing loan & advances to various

communities in Bhiwandi city for the benefit of economic development upliftment of

down trodden society. Powerloom industries are wildly scattered in Bhiwandi, but

they are not grown since long period. Hence, we have to see the progress of

powerloom industries due to the major role of Abhyudya Cooperative Bank by

providing different financial assistants and various other details of it is given as under:

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Table No. 1

Provision of loans against Deposits

Year 2002 2005 2008 2011 2012

Dep. Loan Dep. Loan Dep. Loan Dep. Loan Dep. Loan

ACB 20 2 60 5 80 12 120 22 150 30

Graph No. 1

Table No. 2

NPA Level of Banks (% of gross NPA's to gross advances)

Year 2002 2005 2008 2011 2012

ACB 4 3 4.1 4 3.5

Graph No. 2

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1. BHARAT CO-OPERATIVE BANK (MUMBAI) LIMITED


This bank is established in the year 1977 under the co-operative societies act

1960. It has various branches at several places in Mumbai. It is recognized as one of

the leading bank among co-operative banks. But the researcher is concerned about the

role of bank for the Bhiwandi Tehsil. Hence the scope of the bank is indicated in the

following table and graph.


The Bharat Co-operative Bank Limited was established for providing loan &

advances to various communities in Bhiwandi city for the benefit of economic

development upliftment of down trodden society. Powerloom industries are wildly

scattered in Bhiwandi, but they are not grown since long period. Hence, we have to

see the progress of powerloom industries due to the major role of The Bharat Co-

operative Bank Limited by providing different financial assistants and various other

details of it is given as under:

Table No. 3


Year 2002 2005 2008 2011 2012


BCB 7 0.2 10 1 17 3 25 6.5 55 10

4

Graph No. 3

Table No. 4


Year 2002 2005 2008 2011 2012

BCB 5.5 4.3 5.2 6.1 6

Graph No. 4

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2. BOMBAY MERCANTILE CO-OPERATIVE BANK LTD.

(SCHEDULED BANK)

The bank was formed to serve the members of the society. It is established in

the year 1939 under co-operative societies Act and various regulations and norms of

RBI. It functions in different forms by providing productive service to its members

but the contribution of this bank in the growth of Bhiwandi is shown in the following

table and chart.


Bombay Mercantile Co-operative Bank Limited was established for providing

loan & advances to various communities in Bhiwandi city for the benefit of economic



see the progress of powerloom industries due to the major role of Bombay Mercantile

Co-operative Bank Limited by providing different financial assistants and various

other details of it is given as under:

Table No.5


Year 2002 2005 2008 2011 2012


BMCB 9 1 20 1.5 27 4 40 6 50 8

6

Graph No. 5

Table No. 6

NPA Level of Banks

(% of gross NPA's to gross advances)

Year 2002 2005 2008 2011 2012

BMCB 5.6 5 6.1 7.3 7

Graph No. 6

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3. DOMBIVLI NAGARI SAHAKARI BANK LTD.

This bank is established to serve the different objectives of its members under

the co-operative societies act. It pursues various norms of RBI for its smooth

functioning.


Dombivli Nagari Sahakari Bank Limited was established for providing loan &




see the progress of powerloom industries due to the major role of Dombivli Nagari

Sahakari Bank Limited by providing different financial assistants and various other


Table No. 7


Year 2002 2005 2008 2011 2012


DNSB 5 0.5 10 3 45 8 100 18 120 20

8

Graph No. 7

Table No. 8


Year 2002 2005 2008 2011 2012

DNSB 8 8.5 9.6 5.1 4.46

Graph No. 8

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4. GOPINATH PATIL PARSIK JANATA SAHAKARI BANK LTD,

(SCHEDULED BANK)

It is scheduled bank established in the year 1971 for meeting agricultural

needs of the people in Thane Belapur belt. But the researcher is concerned with the

study of this bank to Bhiwandi region. It has played a significant role on the growth

Bhiwandi economy.


Gopinath Patil Parsik Janata Bank Limited was established for providing loan

& advances to various communities in Bhiwandi city for the benefit of economic



see the progress of powerloom industries due to the major role Gopinath Patil Parsik

Janata Bank Limited by providing different financial assistants and various other


Table No. 9


Year 2002 2005 2008 2011 2012


GPPJS 3 0.25 30 5 60 10 140 15 167 25

10

Graph No. 9

Table No. 10


Year 2002 2005 2008 2011 2012

GPPJS 3.2 3 4.1 4.4 4.3

Graph No. 10

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5. THANE JANATA SAHAKARI BANK LTD.


This bank is established in the year 1972 under the co-operative societies act


the leading scheduled bank among co-operative banks. But the researcher is

concerned about the role of bank for the Bhiwandi region. Hence the scope of the

bank is indicated in the following table and graph.


Thane Janata Sahakari Bank Limited was established for providing loan &




see the progress of powerloom industries due to the major role of Thane Janata



Table No. 11


Year 2002 2005 2008 2011 2012


TJSB NA NA NA NA 5 0.2 35 3 40 5

12

Graph No. 11

Table No. 12


Year 2002 2005 2008 2011 2012

TJSB NA NA 6.67 3.42 2.63

Graph No. 12

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6. THE THANE DISTRICT CENTRAL CO-OP BANK LTD.

The Thane District Central Co-Op Bank Ltd. is registered under Maharashtra Co-

Operative Society’s Act-1960. The Bank is the leader for all the co-operative

movements in the thane district. Established to Guide, to help and fulfill all the

financial needs of co-operative movements in the district. To act as Middle stage of

the three tier rural financial architecture in Maharastra State. To finance primary

agriculture co-operative societies (PACS) in the Thane District and generally to carry

on Banking Business. To advance loans to farmers for raising of crops, marketing of

agriculture fisheries societies, labours, rural artisans and other agricultural activities in

the Thane District....

Agriculture Banking is the main object of our Bank. Short Term Finance is

provided for seasonal Agriculture operation to the farmer members of primary

Agriculture co-operative societies, through these societies against security of land.

Medium Term loan is also made available to the Agriculturist through the societies

for purchase of motor pumps sets, constructions of pump house, repairing deeping of

old wells, installation of pipe line, purchase of bullocks/bullock carts and agriculture

implements, purchase of power tiller, tractors and construction of gobar gas plants.

Finance is also provided to the farmers through the societies for purchase of milch

cattle rearing of goats, running of the poultry farms etc., with view to make them

available side business to support their agriculture / activities.

For Crop Loans, Bank is giving interest free loan to the farmer. who are

repaying the outstanding crop loan before 31st March every year (reimbursement of

interest)

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The Thane District Central Co-op. Bank Ltd., Thane is the Bank registered

under Maharashtra Co-op. Societies Act 1960 and licensed to carry on the Banking

business from Reserve Bank of India.

From 7 branches in 1958, We have grown to a network of 91 branches all over

Thane District and a customer base of more than 1 million. We serve the customers

with all the Banking facilities like Demand Deposits, Time Deposits, Loans and

Advances for various sectors and purposes.


The Thane District Central Co-operative Bank Limited was established for

providing loan & advances to various communities in Bhiwandi city for the benefit of

economic development upliftment of down trodden society. Powerloom industries are

wildly scattered in Bhiwandi, but they are not grown since long period. Hence, we

have to see the progress of powerloom industries due to the major role of The Thane

District Central Co-operative Bank Limited by providing different financial assistants

and various other details of it is given as under:

Table No. 13


Year 2002 2005 2008 2011 2012


TCCB 30 0.6 40 8 70 12 120 19 160 25

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Graph No. 13

Table No. 14


Year 2002 2005 2008 2011 2012

TCCB 6 5 5 6.5 4

Graph No. 14

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7. THE MERCHANT COOPERATIVE BANK LTD.

The Merchants Co-Operative Bank Ltd., a trendsetter Bank in Mumbai which

serves its customers all the 365 days of the year. At the end of the golden jubilee year,

the bank has 4503 members and 60 associate members. The members include 3607

men and 956 women. There are 80 members who belong to scheduled cast and tribes

started the society on 02-07-1959 for the welfare and prosperity of merchants class on

a small scale.

The main object of the Bank at that time was to protect the businessman from

the exploitation of the private bankers. The society started with only 131 members

and Rs.56,429/- as share capital in 1959. Over a span of 50 years the bank has grown

up by leaps and bounds as a number one co-operative bank in Mysore District, as for

as working capital, transactions and earning of net profit are concerned. Late A. B.

Srikantaiah the first paid secretary of the bank had served with sincerity and dignity

for 30 years and rightly known as the architect of the bank. The head office at

Mumbai and the branch at Bhiwandi are own buildings with well-equipped, fully

Computerised and efficient staff.


The Merchant Co-operative Bank Limited was established for providing loan




see the progress of powerloom industries due to the major role of The Merchant Co-

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operative Bank Limited by providing different financial assistants and various other


Table No. 15


Year 2002 2005 2008 2011 2012


MCB 5 1 30 6 40 5 78 11 100 15

Graph No. 15

Table No. 16


Year 2002 2005 2008 2011 2012

MCB 5 5.5 6 7.8 7

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Graph No. 16

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8. BHIWANDI NAGARIK SAHAKARI BANK LTD

Bhiwandi Nagarik Sahakari Bank is one of the oldest and leading Cooperative

bank in Vidarbha. With the collective efforts by some of the devoted members of

cooperative movement, on the auspicious day of "Vijayadashmi" in the year 1962.

Bhiwandi Nagarik Sahakari Bank's first branch was started in Gandhibagh area of

Bhiwandi.

The Bank started with a meager capital amount of Rs. 26000/- and has grown

to a capital base of Rs. 1493.46 lac with 60521 members as on 31st March, 2010. The

Bank was awarded Scheduled bank status on 22nd May 1999 after fulfilling the

criteria of desired deposit base. The bank has also acquired Multistate Scheduled

Bank status on 21st March 2001. Today, the area of operation of the bank is entire

state of Maharashtra , Madhya Pradesh and Raipur, Durg in the state of Chattisgarh.

The Bank has adopted models Bye-Laws of Multistate Cooperative Societies on

approval w.e.f Dt 17/12/2004. The Bank has 33 Nos of fully computerized branches

with one Service branch and Head Office. Out of the above, the bank own's premises

for its 11 branches with modern interiors.


Bhiwandi Nagarik Sahakari Bank Limited was established for providing loan




see the progress of powerloom industries due to the major role of Bhiwandi Nagarik

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Table No. 17


Year 2002 2005 2008 2011 2012


BNSB 5 1 20 5 40 12 60 24 80 30

Graph No. 17

Table No. 18


Year 2002 2005 2008 2011 2012

BNSB 9 9.5 8 8.9 10

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Graph No. 18

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9. SAHYADRI SAHAKARI BANK LTD

This bank is established in the year 1974 under the co-operative society’s act


the leading bank for business mix among co-operative banks. But the researcher is

concerned about the role of bank for the Bhiwandi Tehsil. Hence the scope of the

bank is indicated in the following table and graph.


Sahyadri Sahakari Bank Limited was established for providing loan &




see the progress of powerloom industries due to the major role of Sahyadri Sahakari

Bank Limited by providing different financial assistants and various other details of it

is given as under:

Table No. 19


Year 2002 2005 2008 2011 2012


SSB NA NA NA NA NA NA 10 0.2 30 1

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Graph No. 19

Table No. 20


Year 2002 2005 2008 2011 2012

SSB NA NA NA 4 3

Graph No. 20

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On the discussion of the profile of the- above banks taken in the study concluded in

the following results:

Table No. 21

Return on Investment

Year No. of

Units

Total Investment

(in crore)

Return

(in crore)

Return on Investment

(in %)

2002 51 60 6.2 10.33

2005 51 75 8 10.67

2007 51 85 9 10.59

2011 51 100 9.7 9.70

2012 51 120 10 8.33

Graph No. 21

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Cooperative banks are also allocating funds to powerloom workers to meet their

personal needs in small amount as under:

Table No. 22

Micro Loan to Workers ( Co-operative Banks )

Year Loan (Rs.)

2002 10,00,000

2005 40,00,000

2008 50,00,000

2011 1,00,00,000

2012 3,00,00,000

Graph No. 22

0

5000000

10000000

15000000

20000000

25000000

30000000

35000000

2002 2005 2008 2011 2012

Loan Rs.

Micro Loan to Workers ( Co-operative Banks )

14 chapter-v role of co-operative...

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