RoCS tells co-ops not to harass farmers with notice on agricultural loans

A circular dated May 5 to this effect was served to the regional joint registrars of all regions and the managing directors of all district central cooperative banks (except Chennai). 

Referring to the discussions at a meeting of officials that was held on April 27 to reiterate that no statutory action shall be initiated against the member farmers of cooperative credit societies for recovery of overdue loans and no statutory notice shall be issued until further orders. 

Disregarding this directive, a primary agricultural cooperative credit society (PACCS) had issued notice to its member farmers, and the same was brought to the notice of the RoCS. The communique referred to Government Order (GO) No 6 Revenue [DM3(1)] dated January 10, which declared all 32 districts as drought-hit. 

The orders stated that the ‘short term’ agricultural loans availed by farmers in commercial banks, private sector banks, and cooperative banks will be converted into ‘medium term loans, and subsequent orders have been issued by the RoCS. 

Short term loans to the tune of Rs 144.32 crore had been converted into medium term loans under this scheme until April 30 and the banks were told to take proactive measures to enrol more farmers. 

The circular also mentioned that the outlay for disbursal of the agricultural loans through PACCS for 2017–2018 was Rs 7,000 crore. 

“The district collectors and district cooperative union should give wide publicity to create awareness among farmers about the steps being taken by the department and explain the process of conversion of short-term loans into medium-term and the issue of new crop loans,” the circular said.

The Cauvery Rights Retrieval committee (CRRC), an umbrella group of farmers associations and various political parties, on Thursday urged the state Government to make public the proposal submitted by the Union Government regarding the constitution of an expert group on Cauvery basin management. P Maniyarasan, convener of the CRRC, said the Karnataka government had convened an all-party meeting on the expert committee and decided to meet their legal expert Fali S Nariman on the issue. 

Meanwhile, the farmers’ federation elaborated on the week-long (May 1521) rail blockade in six Cauvery detla districts. It said the protest would focus on demanding the withdrawal of the bill for Single tribunal for the inter-state water disputes tabled in Parliament by the Water Resources Minister, Uma Bharti and the immediate constitution of the Cauvery Management Board (CMB), demanding steps to stop the efforts of Karnataka to construct a new dam in Megedatu, waiver of loans advanced by commercial and cooperative banks, payment of drought relief, payment of Rs 15,000 per farm workers’ family and Rs 15 lakh to families of farmers who committed suicide, said Maniyarasan.