Kerala: Investors in Kandala Cooperative Bank unable to withdraw money; Read
Kandala Bank owes Rs 173 crore to investors. Out of this, Rs 68 crore were given out as loans without proper authorization. The investigation led by both the Enforcement Directorate (ED) and the Cooperation Department is ongoing to address this issue.
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FollowThiruvananthapuram: The investors in Kandala Cooperative Bank are experiencing difficulties as they are unable to retrieve the money they've invested. Investigations led by both the Enforcement Directorate (ED) and the Cooperation Department are ongoing to address this issue.
Ramya, one of the investors came to meet the Joint Registrar of Corporatives. She has Rs 35 lakhs in the bank. When she came to withdraw the money for her mother's surgery the bank refused to provide it. The next investor Smitha invested the money she got from selling the land and came to withdraw for her daughter's marriage. However, the bank didn't pay the money and later the marriage was canceled due to financial issues. This is the condition of every depositor in Kandala Bank.
Kandala Bank owes Rs 173 crore to investors. Out of this, Rs 68 crore were given out as loans without proper authorization. This means that even if those loans are paid back, there won't be enough money left to repay the investors. An investigation revealed that the remaining money was used for other purposes instead of being kept aside for investor refunds. The Department of Cooperation explained that they couldn't seize property or collect money from former President Bhasurangan, who is in jail due to an Enforcement Directorate case. The government hasn't decided on a plan yet to refund the money to the investors who trusted the cooperative department.
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