Cooperative Minister I Periyasamy says misappropriation of Rs 516 cr funds in crop loan waivers

Chennai, Aug 25: Cooperative Minister I Periyasamy has said that Rs. 516 crore has been misappropriated in crop loan waivers and Rs 503 crore has been misappropriated in Namakkal and Salem districts alone.

Responding to the discussion on the co-operative subsidy request, he said that 81% of the crop loan waivers have been receipted. The Minister said that it has been revealed that the area under cultivation has been increased many times more than the loan to be given to the crop and through that Rs. 516 crore has been misappropriated.

In Salem and Namakkal alone, Rs 503 crore has been found to have been misappropriated, said Periyasamy

He said that he had written off the scheme a day in advance in anticipation of the loan waiver and that the co-operative societies had been involved in irregularities by lending other collections while providing crop loans.

He questioned whether all the co-operative banks had computers and whether it was for sambarani and none of them were reported.

I. Periyasamy explained with evidence that 54 lakh 50 thousand had been paid to 66 farmers in 6 Primary Cooperative Agricultural Banks in Erode district on February 21 and 16 crore 70 lakh had been given to 2698 members of 12 Primary Cooperative Agricultural Banks in Salem as against only 4 crore 96 lakh.

The minister also said that more money had been given to Kochadai, the hometown of former Cooperatives Minister Cellur Raju. He also said that 13 lakh 91 thousand 656 people have taken loans of Rs 5,896 crore from various banks while the rebates for jewelery loans up to 5 5 have been announced.

Minister I Periyasamy replied that a list of those involved in the scam was being prepared and that the Chief Minister would take a decision to waive the jewelery loan to eligible persons. He said that they are taking loans from the Co-operative Bank and leaving it to Kanthuvatti and since it is the tax money of the common people, it should reach the poor. Minister I. Periyasamy replied that the interest in the co-operative banks should be abolished and thus it was decided to bring everyone in the co-operative societies, including the students in the villages. He added that it would be public justice not to make mistakes in co-operative societies