Black money in cooperative banks: Reserve Bank calls emergency meeting in Kochi, will be attended by representatives of banks

Ernakulam: The Reserve Bank of India has called an emergency meeting of urban cooperative banks in Kerala. The meeting will be held today at Kochi and is convened in the background of the Karuvannur Cooperative Bank scam.

The bank representatives are included to examine if there are any links of urban banks with primary cooperative banks in violation of guidelines.

The Enforcement Directorate (ED) had found out that two urban banks had dealings with the Karuvannur Cooperative Bank. The RBI wants to examine in detail if the urban banks are strictly following the guidelines.

The ED will, today, question Cooperative Society Registrar, TV Subash, in relation to the Karuvannur Cooperative Bank scam. The probe agency had already questioned the Mukundapuram Assistant Registrar, and Thrissur Joint Registrar.

The ED believes that Karuvannur Cooperative Bank scam would not happen without the knowledge of high officials in the Cooperative Department. This is why the ED has summoned Subash for questioning.