The Sixteenth Annual General Meeting of The Ahmedabad City and District Co-op Banks Association was held on 06-09-2024 at 6:00 PM at Orient Club, Near Gujarat College, Ellisbridge, Ahmedabad. I am glad to welcome you.
Before starting the proceedings, I would like to share the sad news of the passing of Mr. Himanshubhai Thakorbhai Patel, the executive member of the association and chairman of The Ahmedabad Mercantile Co-Op Bank Ltd., on 14-09-2024.
Mr. Himanshubhai significantly contributed to the development of Ampho Bank with his administrative excellence and deep knowledge of the banking sector. On behalf of all members of the association, I pay tribute to his services and pray for his soul's welfare.
The management committee's financial reports, including the profit and loss account, balance sheet, and annual report for the year 2023-24 (approved on 25-04-2024), are presented for ratification. These accounts have been shared with all member banks.
The association convenes a monthly management committee meeting to discuss the issues of the banks and discuss development.
Necessary instructions and useful information received from RBI, Indian Banks Association and “NAFCUB” Cooperative Banking during the year have been regularly sent to member banks through circulars.
If member banks have any major or minor problems in their banking operations and those problems are not resolved, details of the same are sought from each member and appropriate action is taken to resolve the issues. Guidance has also been provided to member banks in this regard.
A booklet with financial and structural details of member banks for the year 2022-23 has been published and distributed, promoting informed development efforts.A booklet providing financial position and structural details of member banks for the year 2022-23 has been released and distributed to member banks. This booklet provides detailed information about the banks along with statistics. These details help banks understand the real situation and get inspiration for development by knowing competitive statistics. The release of this booklet has created a unique identity for the association.
The Revenue Department of Gujarat State has decided to close the licenses of franking machines for paying stamp duty from 30-06-2023. This decision was withdrawn due to the representations of the association to continue the stamp franking machines, the state government has continued the stamp franking machines till 31-03-2025 with a limit of Rs. 10,000-00 stamps per document. Due to this limit, the cooperative banks could not afford to continue the stamp franking machines, so most of the banks have stopped these services and deposited the stamp franking machines and all related items in the stamp office.
Since the deposit balance of the cooperative banks in the returned stamp franking machine is a large amount, the banks have been trying to get back this deposit amount for 8-9 months but since it was not returned, the association took up this issue and submitted a request to get back the deposit amount with interest. Due to the submission, the process of returning it has been started.
To provide information on cyber fraud and cyber security vigilance, the association organized a seminar on 16-12-2023 in collaboration and sponsorship with The Kalupur Commercial Co. Op. Bank Ltd. The seminar was addressed and given complete information by ECS Group Founder and Police CEO Shri Vijaybhai Mandor Brown and Smt. Seemaben Mandor. They have experience in cyber security solutions and digital forensic solutions.
In this seminar, the association thanks Shri Vijaybhai Mandorraj of The Kalupur Co. Op. Bank for their cooperation in the seminar.
RBI supervises and controls the banking sector and the financial sector and works to ensure compliance with RBI's financial norms. But Aben is keeping a strict watch on the administration and financial transactions of Co-op Banks. It also imposes extraordinary financial penalties and administrative punishments on banks for common and human errors. It prohibits cooperative banks from opening new branches. This hinders the development of banks and damages the reputation of the bank.
RBI's norms and its penal action should not be associated with the development of banks and opening new branches. The association has submitted a representation to the Reserve Bank, the Finance Minister and the Cooperation Minister, Delhi on 05-04-2024 to maintain the same attitude towards cooperative banks as the Reserve Bank maintains towards nationalized banks and private banks.
There are provisions to appeal against the orders of Income Tax, GST and government departments and also to the officers in the courts when they do not agree with them, but whenever RBI imposes monetary or other penalties on cooperative banks, there is no provision for the banks to appeal against the decisions of RBI before higher authorities.
Due to the absence of this provision, cooperative banks have to suffer injustice. For this, in cases where the decisions of RBI are not valid, there should be a provision to appeal against the higher authority. For this, the association has submitted a representation to the Minister of Cooperatives, Finance Minister, RBI Governor on 11-06-2024.
In the Management Committee meeting held on 15-02-2024, Shri Arvindbhai K. Patel, Chairman, Amarnath Co.Op. Bank. Ltd. and Shri Jalpaben K. Jain, Director, Aapni Sahkari Bank Ltd. have been appointed as members in the Management Committee and in the Management Committee meeting held on 27-06-2024, Shri Sharadbhai Punjalal Shah, Chairman, The Ahmedabad Mercantile Co. Op. Bank. Ltd. has been given a place in the Management Committee. We welcome them and ratify the decision.
On behalf of all the members, the Association would like to thank Shri Kumarpal S. Sandhvi, CEO of Saraspur Citizens Co. Op. Bank Ltd. and Shri Anandbhai G. Thula, Manager of The Navnirman Co. Op. Bank Ltd., as well as Shrimati Khushbuben S. Shah, Manager of Social Co. Op. Bank Ltd. for their great cooperation in the instructions sent to the Reserve Bank and IBA during the year and the guidance given to the member banks.
Thus, I would like to express my heartfelt gratitude to the office bearers of the organization, executive members, and all member banks for their cooperation throughout the year, and with the hope that the association will continue to work well with the cooperation of all.
I extend my heartfelt thanks to the office bearers, executive members, and all member banks for their cooperation and look forward to continued progress in our collective endeavors.
Ahmedabad
Dt. 06-09-2024
Mineshbhai J. Patel
President