Progress of Shree Janta Co-Operative Bank in Halol Taluka

(Reference of N. P. A.)

Amishaben N. Prajapati

Assistant Professor, (Economics) M. &. V. Arts & Commerce College, Halol.

*Corresponding Author E-mail: dr.vinaypatel1976@gmail.com

ABSTRACT:

The word bank originated from the Italian word ‘banco’ means desk/bench. The bank is the financial institute that received the deposit as money and provides finance in different projects and activities. In simple word we can say that bank provide the financial service to its customer and make the investor in profit. As time passes and as per the place financial activities of bank are changing as per the government rules. In financial market, the bank is the major part to perform its role. The bank provides the service of investing amount to earn interest and give the loan to earn interest in the market.

KEYWORDS: Financial, Investing, Transaction, President, Encourage, Governance, Cooperative

INTRODUCTION:

As per the historian during the time span of BC 2000 to BC 1400 the evidence of transaction or cash outlay evidence has found. Din second CE the interest charged more is found on giving loan amount. With the reference of Manuscript to take the property or accept the medium of survive with decided money landing to different people of caste and creed and these different interest charge considered as serious sin or non-ethical act. Religious scriptures have given the support to the financial loan work while Kautliya has also given the reference to the loan work.

The banking related work has started in India in the last phase of 18^thcentury of modern era. First bank was founded in India in 1770 was the Bank of Hindustan, which was cancelled or rejected later in the year during 1829-32. The General Bank of India was founded in the year 1786, which failed to govern due to some reason and collapsed in the year 1791. The State Bank of India is the oldest and the widest bank institute in India. This bank was emerged first in 1806 as the Bank of Kolkata. In 1809, the name of this bank was changes as the Bank of Bengal. This bank is among the three bank of India, which provided the deposit by the president of the ruling government. These two banks were the Bank of Bombay in 1840 and the Bank of Madras in 1843 founded. These there banks were merged to form the Imperial Bank of India in the 1921. Inpost-independence year, 1955 this bank known as the State Bank of India and in under the act of 1935 the Reserve Bank of India 1959 do function and control with eight states of India. In 1969 the Indian government has did the nationalized of 14 main private banks and later in 1980 more six banks were form as nationalized bank from privetsector.

The Present Time:

The Indian banking sectors were classified into the scheduled banks and unscheduled banks. The act of Reserve Bank of India 1934 all the banks that includes in second list are scheduled banks. In these banks, there were the commercial banks as well Scheduled cooperative banks. This banking system received the deposit from the investor or the common citizen and provide the loans on affordable interest rate to the businessmen or needy producers. The processes of investing amount in the bank encourage, makes lively and effective in the economic and financial activities. In 1904 the Indian government has started cooperative movement to fulfill the dream of common men’s house, new car, starting new venture in business and many other activities. This movement also worked as blessing to the poor farmers who were under the huge debt of moneylenders and they become free with this positive and prime intense of service government cooperative financial banks, administrative care and development work has done with great care in this cooperative activities so these movement become a good friend, guide and philosopher.

The members of the cooperative bank do not take the simple loan but there are different kinds of loans. In present at banking sectors ATM, internet, online banking, credit card, and many other technologies are using to provide advanced service to the customer. At cooperative stage, these cooperative banks organized the small unit of bank. In urban and semi-urban areas, these banks are functioning. Urban cooperative banks provide the loan to the small scales business purpose. Private and business members are also provided with lockers facilities.

Janta Cooperative Bank Halol Taluka:

To bring the development and improvement into the financial condition of urban area of Halol in Panchmahal district the Janta Cooperative Bank was founded credit society at cooperative form on 01/06/1981 then received the Reserve Bank License which helped to start the Janta Cooperative Bank. Initially there were 100 members with 25rs each share to take membership borrow four share of 100rs. Slowly and gradually saving deposit are increased which caused the financial strength and development of the bank therefore in 2001-2 received the sanction from the District Registrar then purchased the private building to govern administration of the bank and registered the place from the capital of the Janta Cooperative Bank. Possessing the building as its governance indicates the richness and stability of the Janta Cooperative Bank. Self-deposit board service was established since 1981. (1000 locker service is there.)

Bank offer the loan to the business which have the less risk like to take truck, tempo, JCB, Machinery and many others for the development. In 2008 for bank there were 50 lakhs rupees remained to receive against 1crore N.P.A. so the Reserve bank and State Gandhinagar Registrar in year 2008 the Janta Cooperative Bank had deposit 10crore and loan 4.5crore and total amount is remain to collect was 2.25crore. When the audit had done this matter quote as a negative aspect to the bank and then authority gave the D grade to the bank. The members of the bank met Rajanbhai Shah and request to join the bank so the bank came out from this tide corner. Rajanbhai Shah has started the administration with his skills and knowledge to bring the bank on the road.

To do the conversation with Shree Rajanbhai Shah we came to know that as per the RBI guideline bank has started to take its money back from the borrower. This detail has given in the table of Deposit and loan. The bank has earned credit in few years and started its new branch at Halol Kanjari road with the presence of Shree Dwarkeshlalji Maharaj. In inauguration function Minister Shree Jaydrathsinh Parmar, President of Municipal Diptiben Patel and other eminent personality remained present. In Gujarat state this is the first branch of bank which provide new advance service of lockers, online services, L.E.D. lockers services. This bank provide the reasonable loan service, SMS alert service, 2 lakh accidental policy to all members and death of members’ family received 16000 rs membership Kalyannidhi Sahay. Bank received the first shield and letter of appreciation for its noble work during the year 2012-13. Bank received ‘Sahkar Hetu 2018 Award’ by Urban Cooperative banks federation Ahmadabad from the minister shree Ishwarsinh Patel of Gujarat state due to its credit amount of 100crore in Gujarat state.

OBJECTIVES OF THE STUDY:

· To know the Credit level of Halol Janta Cooperative Bank

· To know the capacity of Halol Janta Cooperative Bank in off eringloan

· To find out the level of time span increase of Halol Janta Cooperative Bank

· To know the what kind of steps and action has taken by the members and the responsible person of the bank

· To know the progress and hardship to achieve the Progress award

METHOD OF STUDY:

Personal interview of Chairman, Shree Rajanbhai, of Janta Sahkari Bank and used questionnaire. Try to study descriptively that how Bank failed to collect borrowing money.

Two types of information have given in this research.

1. Primary Information

2. Secondary Information

· Primary Information: Personal visit method, Questionnaire method

· Secondary Information: Annual Bank report, Magazine, Articles and Research Papers, Internet.

Limitation of the study:

· The data information of the study is limited to one bank only.

· The information has received for this study from the bank employee.

· This study is taken for limited time span.

Illustrations of Janta Cooperative Bank’s Capital

Year	Credit (In Crore)
30/06/1987	1,15,36,727 /-
30/06/1991	1,46,25,358 /-
31/03/1995	3,66,50,000 /-
31/03/2000	18,96,32,727 /-
31/03/2005	12,40,19,254 /-
31/03/2006	10,45,63,073 /- (1.81)
31/03/2007	11,46,86,869 /- (1.65)
31/03/2008	11,89,40,125 /- (1.59)
31/03/2009	13,88,71,018 /-
31/03/2010	15,23,31,788 /-
31/03/2011	17,00,77,009 /-
31/03/2012	22,11,03,565 /-
31/03/2013	33,20,41,687 /-
31/03/2014	40,95,96,443 /-
31/03/2015	47,91,34,324 /-
31/03/2016	57,27,29,352 /-
31/03/2017	74,18,32,241 /-
31/03/2018	80,49,88,192.98 /- (4.25)
	2008 (7.76)
	2006 (7.69)

· As per the above table we come to know that in 1995 the total credit was 3,66,50,000 Rs which increased in 2005 at 18,96,32,721. In five years of span the growth increased at 5.17percentage.

· In compare to the year, 2000 the year, 2007 and 2008 the credit of the bank members saving was decreased as in 11,46,86,869 and 11,89,40,125respectively.

1.65 percentage decreased in 2007 and in 2008 1.59.

· The capital of the bank in 2008 was 11,89,40,125 which increased in the year 2018 at 80,49,88,192. From 2008 to 2018 bank capital increased at near seven percent.

· Bank received ‘Shaker Hetu 2018 Award’ by Urban Cooperative banks federation Ahmadabad from the minister shree Ishwarsinh Patel of Gujarat state due to its credit amount of 100crore in Gujarat state.

Lending amount Table of Janta Cooperative Bank

Year	Credit (In Crore)
30/06/1987	76,87,653 /-
30/06/1991	96,23,968 /-
31/03/1995	2,55,81,000 /-
31/03/2000	15,54,63,165 /-
31/03/2005	7,34,32,083 /-
31/03/2006	6,15,37,026 /-
31/03/2007	6,35,56,231 /-
31/03/2008	5,70,64,463 /-
31/03/2009	6,29,85,393 /-
31/03/2010	08,90,07,939 /-
31/03/2011	11,50,34,986 /-
31/03/2012	13,85,93336/-
31/03/2013	18,50,44,968/-
31/03/2014	20,88,51,906 /-
31/03/2015	22,13,64,969 /-
31/03/2016	31,37,04,553 /-
31/03/2017	39,36,25,542 /-
31/03/2018	51,32,91,016.05 /-

Analysis:

· As per the guide lines of Reserve Bank of India 2007 there are Rs.2,59,29,000/- nonperforming assets that covers 40.80% of total lending amount. Bank has made the provision against it of Rs. 1,98,87,000 net NPA14.84%.

· In 2008 as per the guide lines of Reserve Bank of India there are Rs.2,34,53,000/- nonperforming assets that covers 41.10% of total lending amount. Bank has made the provision against it of Rs. 1,98,37,000 net NPA9.72%.

· During the year of 2007-08 the return of lending money collection increase so it is decreased the remain amount but it is not satisfactory. Bank chairman and the administrative members of the bank had tried their best efforts to collect the landed amount. The case has filed against the borrower who did not return money in time duration. To take the money back as per the constitutional law 1961 act 95, 159, and 161 under recovered agent or Sell officer nominated employees by the bank. Before 2008 the bank did not follow the rule regulation of the Reserve Bank.

· In 2009 as per the guide lines of Reserve Bank of India there are Rs.2,06,25,000/- nonperforming assets that covers 32.75% of total lending amount. Bank has made the provision against it of Rs. 2,00,50,000 net NPA1.34%.

· In 2010 as per the guide lines of Reserve Bank of India there are Rs.1,91,26,000/- nonperforming assets that covers 21.49% of total lending amount. Bank has made the provision against it of Rs. 2,02,00,000 net NPA 0%. Until 2010 NPA reached at 30% 17crore was increased then NPA 15% decreased caused 8crore return amount. Bank received the C+ grade by Reserve bank.

· In 2011 as per the guide lines of Reserve Bank of India there are Rs.1,67,91,001/- nonperforming assets that covers 14.60% of total lending amount. Which is notable recovery. Bank has made the provision against it of Rs. 2,05,00,000 net NPA 0% sustain as per the previous year.

· Nonperforming assets increased with constant efforts as 11.20% as in Rs. 1,55,19,000 noted as remarkable benchmark in 2012. Bank has made the provision against it of Rs. 2,09,50,000 net NPA 0% sustain as per the previous year.

· Nonperforming assets increased with constant efforts as 08.34% as in Rs. 1,54,28,000 noted as remarkable benchmark in 2013. Bank has made the provision against it of Rs. 2,20,50,000 net NPA 0% sustain as per the previous year.

· Constant recovery efforts resulted in 2014 as Rs. 2,38,07,000/- as nonperforming assets which on 31/03/2015 reached at 1,43,75,000/- NPA. This is against the borrowing amount of 11.40% reduced at6.49%.

· Constant recovery efforts resulted in 2016 as Rs. 1,24,88,757.06/- as nonperforming assets which on 31/03/2015 reached at 1,32,37,912.61/- NPA. This is against the borrowing amount of 3.98% reduced at3.36%.

Take actions to Collect Borrowing Amount:

Personal interview with Shree Rajanbhai Shah and Bank employees result to know what kinds of actions has taken place to increase the value of bank and recover the remaining amount.

· Before 2008 bank did not follow the RBI guidelines so the debt of recover amount was increased. So the bank has taken the rule and regulation of RBI seriously and started to work omit.

· Those who failed to return amount the employee of Shree Janta Cooperative Bank had started to meet them personally.

· If the borrowers ran away then the bank called the person who remain in guaranteed and took strict action to collect amount.

· Bank has started the Recovery department by undermine the relatives as well to collect the recover amount.

· Those employees who provided the loan without the enough documents bank had taken the strict action against them.

· Bank has no system of KYC (Know Your Customer) before 2008. Then after bank has started to link bank members’ Aadharcard, Pancard, Election card and other Identity cards after2008.

· Recovery Officer and Sell officer had sealed the property of the people who failed to return the recovered amount to the bank and if required police security is arranged.

· In many cases bank has managed the mid-way to recover amount by applying no penalty on interest. Shree Rahanbhai informed that we can make less penalty against interest but return capital interest rate should not be offered less which is against the RBI rule and if bank does against the RBI rule than 5 to 10 lakhs penalty should charge against bank.

· In many cases bank filed the court cases and offered the notices to get return the recover amount.

· Bank tried to maintain healthy atmosphere towards guarantor those who the member of bank of the residential of the same village.

· Before hand over the administrative task to Shree Rajanbhia bank has also made an enquiry related members of the banks that intentionally want to harm or destroy the function of bank.

· Bank received the A grade and become free from the banned of Reserve Bank and Registrar.

REFERENCES:

1. Annual Report of Shree Janta Cooperative Bank Ltd.Halol.

2. Aug,16,2018https://m.dailyhunt.in/.../halolnitshrijanta+sahakari+abank+li+ne

3. http://gu.wikipedia,org/wiki/bank

Received on 11.10.2023 Modified on 19.11.2023

Int. J. Rev. and Res. Social Sci. 2023; 11(4):216-220.

DOI: 10.52711/2454-2687.2023.00036

Year	Borrowing amount NPA
31/03/2007	2,18,00,897.52 /-
31/03/2008	1,97,76,971.04 /-
31/03/2009	1,81,85,559 /-
31/03/2010	1,65,14,860.62 /-
31/03/2011	1,39,88,433.05 /-
31/03/2012	1,22,15,896.11/-
31/03/2013	1,03,92,711.00/-
31/03/2014	1,13,12,554.00 /-
31/03/2015	1,05,46,334.86 /-
31/03/2016	87,85,640.85 /-
31/03/2017	84,49,775.61 /-
31/03/2018	96,81,314.61 /-