Co-operative Department’s report discovered financial irregularities in Thiruvananthapuram Kandala Service Co-operative Bank

Thiruvananthapuram: The Kandala Service Co-operative Bank in Thiruvananthapuram has faced an overturn due to financial irregularities of Rs 173 crore. The Co-operative Department’s report uncovered the financial mismanagement at the Kandala Service Co-operative Bank.

One hospital and two branches that function under the Kandala Service Co-operative Bank are now facing the spectre of closure due to the inability to repay chitty loans for several months. Meanwhile, the bank president has stolen crores by taking a loan on a house that is only worth lakhs.

Investors from nearby taluks came to the Kandala Service Co-operative Bank because it offered higher interest rates on deposits and commissions compared to other co-operative banks for those making deposits. The Cooperative Department discovered that investors are owed Rs 173 crore by the Kandala Service Cooperative Bank. Simultaneously, the bank’s governing body asserted that the bank would receive twice the deposited amount.