Need stronger governance, internal controls in urban cooperative banks: RBI Deputy Guv

New Delhi, Swaminathan J has emphasised stronger governance, robust internal controls and greater technology adoption in (UCBs).

He was addressing the 3rd Conference of Registrars of Cooperative Societies (RCSs) organised by the Reserve Bank of India (RBI) here on Tuesday.

Swaminathan also emphasised closer coordination between the RBI and the Registrars of Cooperative Societies and the Central Registrar of Cooperative Societies (CRCS).

He also highlighted the need to strengthen controls against and money-mule accounts, and referred to as an initiative for capacity building in the sector.

Speaking at the conference, Deputy Governor Shirish Chandra Murmu observed that while cooperation has deep roots in India, a cooperative society, once licensed as a bank, assumes greater responsibilities and accountability.

He emphasised the importance of professional and fit-and-proper Boards and senior management, robust internal controls, greater technology adoption and timely resolution of weak UCBs.

Central Registrar of Cooperative Societies Shiv Pal Singh emphasised closer coordination between the cooperative authorities and the RBI, continued professionalisation of UCBs, and timely resolution of banks under liquidation.

Discussions during the conference covered key governance, regulatory and supervisory issues concerning UCBs, including the expectations of the RBI and the Deposit Insurance and Credit Guarantee Corporation (DICGC).