Arunachal to go for CBI inquiry into Apex Bank scam

Itanagar, Oct 05 (UNI) The Arunachal Pradesh government today decided to hand over the multi-crore Apex Bank scandal to Central Bureau of Investigation (CBI).

The decision was taken by the Cabinet, chaired by Chief Minister Gegong Apang, here this afternoon on the eve of Arunachal Pradesh State Cooperative Apex Bank Employees' Association's (APSCABEA) indefinite strike, beginning tomorrow.

State Parliamentary Affairs Minister Tako Dabi, also the state government spokesman, told a press conference here this afternoon that the cabinet has rejected all the demands of the APSCABEA and declared their proposed strike 'illegal' and would go for effective measures to control such agitational programme.

The employees association has been demanding that the state government take immediate steps to provide Rs 250 crore as soft loan from NABARD or other financial institutions, implementation of Vaidyanathan Committee recommendations, appointment of full-time managing director and closure or merger of loss making bank branches for effective functioning of the bank.

The Association also demanding release of staff salary regularly and parking of all non-treasury funds with the bank besides allowing credit facilities to the bank.

The government rejected the demands of the association since their demand was not genuine and they were getting regular salary, the minister said adding, the present condition of the bank, which is on the verge of closure is due to the financial mismanagement of the officials who disbursed loan to the tune of Rs 157 crore without observing any official formalities.

He further informed that the cabinet also discussed at length on measures for revival of the sick bank and accordingly chalked out certain strategies in this regard.

''Loan recovery drive would be accelerated and names of defaulters along with their guarantors would be published in all the newspapers'', he said adding, all the officers involved in illegal disbursement of loans would be identified and appropriate legal actions taken.

He said the cabinet also decided to go for audit of the accounts of the bank branches at Itanagar, Naharlagun and Nirjuli by appointing auditors from state cooperation department, as the quantum of misappropriation of public money were highest in these branches.

The cabinet also decided to implement the recommendations made by the Vaidyanathan Committee, he added.

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