PORVORIM: The State government is likely to appoint an administrator on the Goa State Cooperative Bank (GSCB), the apex cooperative bank, which has of late shown signs of decay in the wake of unmanageable capital adequacy ratio (CAR).
“We will have to put an administrator on the bank. Initially, we may run the bank through Government Secretary and later appoint the administrator,” Chief Minister Manohar Parrikar told media persons on Sunday.
“Government will have to undertake necessary amendment to the Goa Cooperative Societies Act to appoint the administrator,” he said.
Parrikar also said that the new managing director (MD) of the Bank will be a financial/ banking expert.
The chief minister had in July directed the Board of Directors of the bank, to resign in view of an adverse report given by the National Bank for Agriculture and Rural Development (NABARD).
He had promised the Assemble during the monsoon session to resort to capital infusion in the bank with the help of NABARD, which in its report, had made 24 adverse observations about the bank
GSCB is in a bad shape with its capital adequacy ratio (CAR) in red zone.
It has a capital shortfall of Rs 128 crore.
