Radical changes in MP cooperative bodies

Bhopal, June 30: Radical changes are being made in the working of cooperative societies in Madhya Pradesh keeping it aloof from political interference and making it financially sound as per the recommendations of the Vaidyanathan Committee.

Madhya Pradesh is the first state to implement the recommendations of the Prof A Vaidyanathan Committee which looked into the credit structure of cooperative institutions.

The state government has also given the green signal to execute 12 new integrated cooperative development projects costing Rs 300 crore with the financial assistance of National Cooperative Development Corporation, Cooperative Minister Gopal Bhargava said.

Under the project, financial assistance in the form of loan, share capital, margin money and grant will be given for strengthening the internal structure of cooperative societies in selected districts. Employment-oriented schemes such as rural industries, cottage industries, common consumer items and industrial production would be executed in the rural areas.

The state government made a budgetary provision of Rs 181 crore this year in compliance with the recommendations of the Vaidyanathan committee. This include Rs 70 crore as the budget amount of the Food department.

Several important amendments have also been made in the M P Cooperative Societies Act 1960, under which political interference in cooperative movement was eliminated and administrative clarity ensured.

Accordingly, MLAs and MPs have been barred from becoming office-bearers in these institutions and a person would be allowed to hold the post of President or Vice President for more than 11 years.

This step was made to end the monopoly, Mr Bhargava said.

UNI